Does the estimated working capital for Aira Fitness include an owner's draw or salary?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
operation.
- (13) The figures in the chart represent the estimated amount of working capital you will need to cover other initial operating expenses for a period of 3 months. The estimate covers utilities, website, e-mail and internet expenses, phone, the monthly payment for the Gymmaster software. The higher estimate includes salary for a trainer. The lower estimate assumes that your Principal will be the general manager, as Aira Fitness Businesses are generally small, owner-operated gyms where the owner leads personal training and fitness classes. No amount is included for owner's draw or salary or for salary for a general manager.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT YOUR ESTIMATED INITIAL INVESTMENT FITNESS CENTER LOCATION (FDD pages 24–31)
What This Means (2025 FDD)
According to Aira Fitness's 2025 Franchise Disclosure Document, the estimated working capital does not include an owner's draw or salary. The FDD specifies that the figures provided for working capital are intended to cover initial operating expenses for the first three months of operation. These expenses include utilities, website costs, email and internet, phone services, and the monthly payment for the Gymmaster software.
The document explicitly states that no amount is included for an owner's draw or salary, nor is there an allocation for a general manager's salary. This suggests that Aira Fitness anticipates the owner to be actively involved in the day-to-day operations, particularly in smaller, owner-operated gyms where the owner leads personal training and fitness classes.
For prospective franchisees, this means they should not rely on the estimated working capital to cover their personal income or a general manager's salary during the initial three months. Franchisees need to have separate funds to cover these expenses. The FDD advises potential franchisees to carefully review these figures with a business advisor to make informed decisions about purchasing the franchise, considering factors like management skills, local economic conditions, and competition.