What is the total estimated initial investment range for a single Degree Wellness studio?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
,332 | | | | Investment | | | |
Multi-Unit Development
| TYPE OF EXPENDITURE | AMOUNT | METHOD OF PAYMENT | WHEN DUE | TO WHOM PAYMENT IS TO BE MADE |
|---|---|---|---|---|
| Development Fee | $91,500 (2 Studios) $129,500 (3Studios) | Lump sum | Upon execution of Development Agreement | Us |
| Initial Investment to Open Initial/Single Studio | $298,987 to $747,832 | Totals from Single Unit Chart of this Item 7 less the Initial Franchise Fee. | ||
| Grand Total | $390,487 to $839,332 (2 Studios) $428,487 to $877,332 (3 Studios) | This is the total estimated initial investment to enter into a Development Agreement for the right to own a total of two to three, as well as the estimated initial costs to open and begin operating your initial Studio for the first three months (as described more fully in the "Single Unit Franchise" chart above). |
Explanatory Notes:
General. The preceding chart and accompanying notes describe the estimated total initial investment expenses to obtain and commence business for a single Degree Wellness Studio franchise. These estimated initial expenses are our best estimate of the costs you may incur in establishing and operating a single Degree Wellness Studio. Unless negotiated with a third-party, non-affiliated vendor, all payments disclosed in this Item are non-refundable.
Our estimates are based on our experience with our Studio franchises and our current requirements for Studios. The factors underlying our estimates may vary depending on a number of variables, and the actual investment you make in developing and opening your Degree Wellness Studio franchise may be greater or less than the estimates given depending upon the location of your franchise, and current relevant market conditions.
Your estimated initial investment for each additional Studio you purchase may be lower if we charge a reduced Initial Franchise Fee. See Item 5 for additional information.
Source: Item 7 — Estimated Initial Investment (FDD pages 22–26)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, the estimated initial investment to open a single Degree Wellness studio ranges from $298,987 to $747,832. This figure excludes the initial franchise fee. The total estimated initial investment, including the franchise fee, ranges from $390,487 to $839,332. These costs cover expenses to begin operating the studio for the first three months. The FDD notes that these costs assume the franchisee will lease the location for the studio.
The initial investment includes various expenses such as the franchise license fee ($49,500), initial training fee ($8,000), training program expenses ($1,500 to $5,000), studio layout, architect, engineer, drawings, and permits ($19,250 to $21,500), real estate and construction management fee ($20,500), and lease security deposit ($11,318 to $34,668). It also includes costs for leasehold improvements, FFE (furniture, fixtures, and equipment), point of sale systems, initial inventory and supplies, professional fees and licenses, presale marketing spend ($12,000 to $15,000), insurance, and additional funds for operating expenses.
Several factors can influence the total initial investment. These include the location of the franchise, current market conditions, the size and condition of the premises, and any tenant improvement allowances received from the landlord. The cost of leasehold improvements can vary significantly, with low costs around $143,332 and high costs around $252,603, depending on whether the space is a "Dark Shell" or a "White Box." Additionally, the cost of permits can vary widely depending on the location.
Prospective franchisees should carefully review these figures with a business advisor and consider local economic conditions, the availability of materials and labor, and whether they will need additional cash reserves. The estimates do not include compensation for the owner or debt service, and variances may result from conditions beyond the franchisor's control. Franchisees must also pay ongoing royalty and other related fees as described in the Disclosure Document.