A signup is not a retained member-month
Trials, signed future contracts, failed charges, freezes and cancellations can inflate a gross enrollment count without producing the earned recurring revenue used by the model.
At the assumed 280 paid active member-months per month and $149.00 realized net yield, this Texas wage-reference scenario produces $5,918.92 mature monthly EBIT. EBIT break-even is approximately 237.286 paid active member-months per month. Opening funding is $321,369.37 under the stated ramp and reserve assumptions. These calculations use the fully paid roster; price, activity, premises and other commercial inputs remain planning assumptions.
Planning answer updated . Source periods appear below.
Leased boutique group fitness studio with one primary class room, a defined weekly timetable, paid instructors, paid studio coordination and recurring monthly memberships
State benchmarks: May / July 2025 · Page prepared September 13, 2026
The published reference assumes 280 paid member-months in a mature month, produces $5,919 monthly EBIT and needs 237.3 paid member-months for EBIT break-even. The assumed volume is 42.7 paid member-months above EBIT break-even. A larger shortfall in paid activity would erase the modeled operating profit.
Resolve the membership and prepayment obligations before using presales as launch cash. Texas health-spa guidance distinguishes covered memberships, exclusions and security exemptions. Where security applies, a surety bond and a certificate of deposit are different funding arrangements; the bond’s face amount is not its premium. Apply the exact contract and collection plan before changing opening cash, and keep the retained price advertisements separate from earned $149 member-months. Texas health-spa FAQ · Read the retained Texas observations.
The mature reference month has a surplus. 280 assumed paid active member-months per month produce $5,918.92 EBIT and $7,702.25 cash after the modeled maintenance investment. Both include paid work and exclude financing, income taxes and owner distributions. The $321,369.37 opening-funding scenario is separate; a reserve cannot remove an ongoing operating loss.
Resolve the membership and prepayment obligations before using presales as launch cash. Texas health-spa guidance distinguishes covered memberships, exclusions and security exemptions. Where security applies, a surety bond and a certificate of deposit are different funding arrangements; the bond’s face amount is not its premium. Apply the exact contract and collection plan before changing opening cash, and keep the retained price advertisements separate from earned $149 member-months. Texas health-spa FAQ · Read the retained Texas observations.
The May 2025 Texas Exercise Trainers and Group Fitness Instructors median is $19.65 per hour. Applied to the page’s full paid roster, state occupation benchmarks produce $16,097.35 monthly payroll, $1,806.41 lower than the same national-wage roster ($17,903.76), including the assumed 18% employer allowance. BLS state May 2025, SOC 39-9031, H_MEDIAN, row 31232. Use this comparison to obtain role-specific hiring terms and employer charges; it does not price rent or demonstrate customer demand.
With the same realized yield, costs and paid roster, 238 full billable member-months in a modeled month produce $98.98 EBIT; 237 leave −$39.59 EBIT. This tests earned full member-months, not leads, trials, signed future contracts or frozen memberships. The separate mature cash-after-maintenance boundary is 225 full billable member-months per month, before financing and income taxes; it does not establish launch payback.
Rounded break-even values elsewhere on this page are estimates. The conditional whole-unit tests here use the full unrounded inputs. EBITDA excludes depreciation and maintenance investment; EBIT includes depreciation; cash after maintenance deducts maintenance investment and is not owner income.
The assumed timetable has 45 classes a week with 16 places each: 3,120 monthly reservation spots on a 52-week annual average. At 8.5 reservations per member-month, 280 billable members need 2,380 spots; the 350-member planning ceiling needs 2,975. Paid instructor coverage is 243.75 hours per month, equivalent to 1.25 hours per scheduled class; operations and member service are paid separately. Check preferred-time access, safe room capacity, setup, reset and substitution. Track billable members by cohort: replace cancellations, freezes and failed collections before counting net growth. The $149 is a realized earned yield; class-pack or drop-in revenue already included in it must not be added again. The post-ramp flat membership line assumes replacement succeeds; it is not evidence of zero churn.
| Change from reference | Monthly EBIT | Held-constant scope |
|---|---|---|
| 20% fewer paid activity units | −$1,841.00 | Assumed activity falls; yield and the paid roster remain unchanged. |
| 25% higher full occupancy cost | $4,043.92 | Complete occupancy changes; refundable opening deposits also change in the full calculator. |
| 10% higher wage rates | $4,309.18 | Every paid role changes together; hours and the employer allowance remain unchanged. |
20% fewer paid activity units gives the lowest EBIT among these three tests: −$1,841.00. These differently sized tests are sensitivities, not a probability range or an exhaustive risk ranking. A result reverses when realized contribution no longer covers the stated paid costs; validate the selling unit and every binding resource before accepting extra volume.
Next validation action: Keep the named city’s rule, list-price and asking-rent examples separate from the retained reference inputs. A cheaper base rent or competitor tier becomes a model input only after its full scope matches this studio. The retained Census employer-establishment and BLS employment observations describe sector scope and timing; they do not count members or identify the best catchment. Observed wage and population records keep their source periods; the rent, selling yield, opening allowances, employer load and sales ramp remain disclosed assumptions unless a separately scoped observation says otherwise. Inspect this page’s exact sources and limits · Read the shared business format.
Published research and calculations support business planning and education. They are not personalized financial, investment, tax or legal advice, and they do not guarantee costs, revenue, profit or financing. Estimates depend on the stated format, location, source periods and assumptions. Check the requirements and commitments that apply to your circumstances.
The 2023 County Business Patterns file reports 3,465 employer establishments and 53,039 employees in NAICS 713940 for Texas. The 2022 Economic Census separately reports 3,182 establishments and $2,920,450,000 of receipts, an arithmetic mean of $917,803 per establishment. NAICS 713940 covers fitness and recreational sports centers, including broad gyms, health clubs and specialized studios; it does not isolate the frozen boutique group-class format.
| County | Collection stratum | Employer establishments | Employees | Employment / payroll flag |
|---|---|---|---|---|
| Harris County | major | 523 | 8,409 | G / G |
| Travis County | secondary | 292 | 5,654 | G / G |
| Lubbock County | smaller | 41 | 946 | H / H |
Reported county rows reconcile to 96.3% of the state establishment count. These strata guide local evidence collection; they do not rank counties or establish member demand.
Private NAICS 713940 employment in Texas ranged from 47,055 in January to 52,299 in July, a peak-to-trough ratio of 1.11 in 2025. Sector staffing timing does not measure memberships, retention, class attendance or the launch ramp of this format.
| Source | Decision area | Captured finding | Limit |
|---|---|---|---|
| Texas Secretary of State | registration, contracts and security | item: Annual registration fee; amount usd: 100 · item: Security range tied to prepaid memberships unless an exemption applies; range usd: 20000,50000 · item: Preopening prepayments; requirement: Escrow rules described | Exact security, exemption, contract and preopening treatment depend on the offering and filings; this is not an approved registration. |
| Texas Secretary of State | registration, contracts and security | form: 3001; topic: Health spa registration and supporting documents | Filing acceptance and exact entity/contract facts remain address- and operator-specific. |
| Texas Comptroller of Public Accounts | sales tax and revenue | topic: Gym memberships and initiation fees; treatment: Taxable amusement service described · topic: Separately provided live instructional group training classes; treatment: Nontaxable treatment described when facts fit | The operator must obtain current tax advice for its exact facts; do not assume a label determines tax treatment. |
| City of Austin Development Services | premises and fit-out permission | topic: Use, construction and occupancy permitting pathway | No selected address, permitted use, review time or fee is established. |
| City of Austin Development Services | premises and fit-out permission | topic: Certificate of Occupancy and change-of-use review | The page is procedural and does not approve an address or quantify the full project cost. |
| Texas Workforce Commission | paid labor | scope: Federal and Texas minimum wage stated by the agency; hourly usd: 7.25 | Federal/state/local rules must be rechecked for the intended payroll period; occupation medians are stronger planning anchors than the floor. |
These direct operator pages provide dated list-price context. They do not establish realized net member revenue, sales mix, retention, discounts, attendance or demand for the proposed studio.
| Operator | Locality | Captured offers | Limit |
|---|---|---|---|
| Illuminate Sweat | Harris County | Offer: 8 classes per month · Listed Monthly Price Usd: $199.00 Offer: Unlimited · Listed Monthly Price Usd: $239.00 | The page does not provide realized price, tax treatment, churn, visit frequency or transaction counts. |
| Luxe Performance | Harris County | Offer: 5 classes per month · Listed Monthly Price Usd: $160.00 Offer: Unlimited · Listed Monthly Price Usd: $280.00 Offer: Drop-in · Listed Price Usd: $45.00 | Service positioning and included features may differ; the prices are not achieved monthly revenue. |
| Urban Athletics | Harris County | Offer: Unlimited · Listed Monthly Price Usd: $199.00 Offer: HYROX-only · Listed Monthly Price Usd: $120.00 | The program-specific tier is not interchangeable with the full studio offer; neither value is a realized member-month. |
| Pure Body Studio | Harris County | Offer: 8 classes per month · Listed Monthly Price Usd: $299.00 Offer: 12 classes per month · Listed Monthly Price Usd: $329.00 Offer: Unlimited · Listed Monthly Price Usd: $369.00 Offer: Drop-in · Listed Price Usd: $48.00 | Use only to show that modality and class capacity can change price; do not blend it into the reference price. |
| B3 Movement | Travis County | Offer: Unlimited pass · Listed Price Usd: $480.00 | Retain as a rejected comparable; do not use it as current monthly revenue evidence. |
With every commercial input held fixed, Texas occupational wage rows produce $16,097 of loaded monthly payroll, 10.1% below the identical roster at national medians ($17,904). The authored scenario produces $321,369 of funding, $5,919 of mature monthly EBIT and 237.29 active member-months for depreciation-inclusive break-even. The wage comparison does not localize the rent, fit-out, equipment, membership value, retention or demand assumptions.
At national wage medians, the authored case reaches EBITDA break-even before maintenance at 230.24 active member-months, cash break-even after monthly maintenance at 237.45, and depreciation-inclusive EBIT break-even at 250.32. These are calculations from disclosed assumptions, not observed market thresholds.
Census 2023 County Business Patterns · 2022 Economic Census · BLS 2025 QCEW · BLS May 2025 OEWS · Approved state research standard
This completed planning profile combines checked state wage and population sources with a transparent financial scenario. Use its opening-cost, operating-cost and revenue figures as planning inputs, then replace location-sensitive assumptions when evaluating a specific address or service area.
| Evidence family | Published basis | What to confirm locally |
|---|---|---|
| Opening costs | Published planning inputs — replace with local quotes | premises scope, fitout, equipment, installation freight tax, deposits, preopening training, opening inventory, contingency |
| Operating costs | Published planning inputs — replace with local quotes | occupancy, utilities, insurance, materials, payment fees, marketing, software administration, maintenance |
| Paid labor and employer costs | State wage benchmark used — confirm employer costs | paid roster, wages, wage floor overtime, employer taxes, benefits leave, workers compensation, owner role |
| Revenue and collections | Published planning inputs — validate price and demand locally | realized price mix, demand volume, capacity, industry cross check, launch ramp, seasonality, collections |
| Permissions and fees | Confirm for the selected address | activity address jurisdiction, initial fees, recurring fees |
National equipment prices can support the plan where configuration, delivery and taxes match the intended purchase. Confirm rent, selling prices, demand and permissions for the actual location instead of applying a generic state adjustment.
The Census estimate for Texas is 31,709,821 people. It grew by 391,243 between July 2024 and July 2025 (+1.25%). This statewide movement cannot identify a viable retained membership, usable class-access pattern or realized member value.
Using the same paid roster, Texas occupational wages produce $16,097 of monthly loaded payroll. That is −10.09% relative to the identical roster priced with national occupation medians ($17,904). Only wage benchmarks change in this comparison; it does not measure a state’s overall business attractiveness.
BLS wage source · Census population source · Exact fields and workbook rows

Leased boutique group fitness studio with one primary class room, a defined weekly timetable, paid instructors, paid studio coordination and recurring monthly memberships. A 2,500-square-foot boutique group fitness studio delivering a defined weekly class timetable through paid instructors, studio operations and member-services coverage.
The authored timetable provides 3,120 bookable class spots per month from 45 whole weekly classes and 16 spots per class. At 8.5 reservations per member-month, the arithmetic supports 367 whole member-months before time-slot preference; the shared model uses a lower 350-member ceiling. Both are planning assumptions rather than observed demand or approved occupancy. Peak-time access, safe layout, equipment, instructor coverage, opening and closing work, cleaning, cancellations and the actual member visit pattern can reduce usable capacity.
| Input | Reference assumption |
|---|---|
| paid active member-months per month | 280 |
| Net selling price per paid active member-month | $149.00 |
| Trading days / month | Monthly recurring-account model |
| Variable cost share | 7% |
| Occupancy / month | $7,500 |
| Other fixed costs / month | $6,500 |
| Employer cost allowance | 18% above base wages |
3.0% payment processing and transaction leakage, 1.50% member-use consumables and amenities, 1.0% refunds, credits and chargebacks, 0.75% sales and affiliate incentives, 0.75% variable program-supply replacement; all instructor, operations and member-services compensation remains in payroll. Utilities $2,000.00; Cleaning and laundry $1,500.00; Recurring local marketing $1,250.00; Insurance $750.00; Booking, point of sale, music and software $600.00; Accounting, administration and professional services $400.00. Occupancy is modeled separately at $7,500.00 and maintenance investment at $1,000.00 per month.
| Role / SOC | Paid hours / month | Wage benchmark / hour | P25–P75 / hour | Base wages / month |
|---|---|---|---|---|
| Paid group fitness instructor coverage39-9031 · Exercise Trainers and Group Fitness Instructors · State observation | 243.8 | $19.65 | $14.11–$27.37 | $4,790 |
| Paid studio operations lead39-1022 · First-Line Supervisors of Personal Service Workers · State observation | 173.3 | $21.91 | $16.89–$28.53 | $3,798 |
| Paid member-services coverage43-4051 · Customer Service Representatives · State observation | 260 | $19.44 | $17.03–$23.22 | $5,054 |
Base wages total $13,642 per month. An authored 18% allowance for employer costs adds $2,456, giving $16,097 of loaded payroll. The allowance is a planning shortcut; it is not a state-specific payroll tax calculation or benefits quote for Texas.
Exercise Trainers and Group Fitness Instructors, First-Line Supervisors of Personal Service Workers and Customer Service Representatives are broad May 2025 occupational wage benchmarks. They do not establish studio-specific hiring quotes, qualifications, lawful scheduling, employer obligations or compensation terms. The model pays all class instruction, operations and member-services hours; it does not use unpaid owner work to create capacity. Every operating role is paid, including management or supervision. If the owner performs a modeled role, their compensation occupies that role once; no additional owner draw is included in operating profit.
The middle 50% wage interval describes the occupation’s observed wage distribution. It is not a confidence interval for this business’s total payroll. Allocate the aggregate hours across an actual roster and check wage rules, overtime, leave and employer obligations for the chosen location.
| Use of funds | Cash paid |
|---|---|
| Design, lease review, permits and professional allowance | $12,000 |
| Tenant improvements, acoustic treatment, HVAC and electrical allowance | $80,000 |
| Resilient flooring, mirrors, storage and signage | $30,000 |
| Functional training equipment package allowance | $45,000 |
| Audio, access control, POS and security setup | $12,000 |
| Furniture, cleaning equipment and opening supplies | $8,000 |
| Insurance deposits and launch marketing | $8,000 |
| Opening contingency | $20,000 |
| Refundable deposit (two months of occupancy) | $15,000 |
| Paid pre-opening training | $1,902 |
| Total payments before opening | $231,902 |
The equipment and premises allowances are the same in all 50 states for this operating format. They are a comparison baseline and must be replaced with local scopes and quotes. Training uses 80 aggregate paid hours at the modeled team’s weighted loaded rate. The refundable deposit is cash tied up, not an operating expense.
The cash schedule tests 60 months, with sales ramping through 40%, 55%, 70%, 82%, 90%, 96%, 100% of the volume assumption. Full payroll and fixed costs begin in month one. The reserve covers the deepest cumulative operating deficit plus the stated buffer. A buffer is retained cash, not spending and not part of project payback twice.
The reference assumes member charges are collected without receivable delay for the month in which access is earned. Prepaid terms, deferred service, failed payments, refunds, credits, freezes, chargebacks and taxes collected for government need their own billing and revenue schedule. Asset purchases are depreciated over 60 months for this scenario. No sale or deposit recovery is assumed at the end.
At the assumed 280 paid active member-months per month, the reference scenario produces $5,919 of mature monthly EBIT, a 14.2% operating margin. Its continuous EBIT threshold is approximately 237.3 paid active member-months per month for EBIT break-even. This result depends on unverified selling price, demand and premises inputs.
| Measure | Monthly amount |
|---|---|
| Revenue | $41,720 |
| Variable operating costs | $2,920 |
| Loaded payroll, including management | $16,097 |
| Occupancy assumption | $7,500 |
| Other fixed operating costs | $6,500 |
| EBITDA | $8,702 |
| Depreciation | $2,783 |
| Operating profit (EBIT) | $5,919 |
| Maintenance capital expenditure | $1,000 |
| Mature project cash flow | $7,702 |
EBIT break-even revenue is $35,356 per month: $32,881 of fixed costs plus depreciation divided by a 93% contribution margin. At $149.00 per paid active member-month, that is approximately 237.3 paid active member-months per month and 67.8% of the stated capacity.
| Measure | Months 1–12 | Mature month |
|---|---|---|
| Revenue | $430,968 | $41,720 |
| Operating profit (EBIT) | $6,232 | $5,919 |
| Project cash flow | $27,632 | $7,702 |
Project payback occurs in month 39 in this reference schedule. It measures recovery of actual pre-opening payments from cumulative project cash, with no financing or owner distributions. It does not measure cash paid back to an owner.
Trials, signed future contracts, failed charges, freezes and cancellations can inflate a gross enrollment count without producing the earned recurring revenue used by the model.
Full preferred-time classes and empty off-peak classes can produce a reasonable average while retained members cannot book the service they value.
Change the assumptions to see how this format responds. The sections above remain the published reference, so you can compare your scenario with the original. Use the browser-local export buttons below to save only the scenario you are working on.
Reference scenario. JavaScript enables editing and exports.
280 paid active member-months per month × $149.00 = $41,720 revenue. Loaded payroll: $16,097 per month. Break-even uses 67.8% of capacity.
The download preserves the published scenario and its source references.
Describe the exact address, proposed use, room layout, occupancy, activities, equipment, sound, ventilation, restrooms, accessibility, hours, signage, employees, membership terms, cleaning and any child care, food, retail, massage, clinical or personal-training activity. Ask the landlord, insurer and responsible state and local offices which business, land-use, building, fire, accessibility, employer, tax, consumer-contract and activity-specific requirements apply.
| Workstream | Official starting points | What to ask |
|---|---|---|
| Business and activity | Which entity, name or activity registrations apply, and which local or specialist office also has responsibility? | |
| Tax | Which registrations and treatment apply to the actual goods or services, location and staffing arrangements? | |
| Employers | Which employer accounts, reporting steps and labor obligations apply to the planned paid roster? |
Take the activity, address, proposed equipment and staffing plan to the relevant office. Record applicability, supporting documents, fees, dependencies and renewal terms from the actual official response.
Agency routes were listed on the IRS Texas directory when retrieved September 5, 2026. Links identify starting offices; they do not verify a permit, tax treatment, fee or opening time for this business. Open the full Texas opening checklist →
Fix the recurring offer and run an authorized presale or controlled opening test. Record paid starts, earned member-months, cohort retention, realized member revenue and usable class access rather than treating leads as members.
Confirm permitted use, occupancy, egress, accessibility, ventilation, temperature, acoustics, floor, mirrors, storage, restrooms, utilities, signage, cleaning and neighbor conditions for the exact class plan before the lease or fit-out payment.
Build whole classes with paid instruction, setup, reset, opening, closing, member service, administration, cleaning and substitution. Fund the ramp and fixed premises costs without assuming every available spot will be reserved.
Permitted use, occupancy, egress, accessibility, ventilation, acoustics, safe exercise zones, equipment, restrooms, cleaning and neighbor conditions must support the actual timetable.
For a selected address or service area, collect an evidence pack covering premises and equipment quotes, paid demand, staffing, collection terms and the responsible authorities. The state wage and population evidence on this page does not supply those location-specific inputs.
State: Texas, FIPS 48. Cross-industry, ownership 1235. H_MEDIAN supplies an available hourly benchmark; H_PCT25 and H_PCT75 describe the occupational distribution. 39-9031 (Exercise Trainers and Group Fitness Instructors), state workbook row 31232; 39-1022 (First-Line Supervisors of Personal Service Workers), state workbook row 31207; 43-4051 (Customer Service Representatives), state workbook row 31276. Retrieved September 5, 2026.
The national comparison uses the same paid roster and these national H_MEDIAN observations: 39-9031, national workbook row 785; 39-1022, national workbook row 737; 43-4051, national workbook row 872. Any national value substituted for a suppressed state value is identified separately. National observations do not become state observations.
SUMLEV 040; STATE 48; POPESTIMATE2025 and POPESTIMATE2024. July 1 estimates; change and percentage change are calculated within the same vintage. Population is context, not a customer forecast.
OEWS covers employee jobs across industries. It is a statistical benchmark, not a hiring quote or legal wage floor. Employer benefits and overtime premiums are outside the wage measure; tips can be included.
An official route to the state government and major agencies. This directory does not confirm the fees, permits or approval times for a particular address or business.
All selling prices, demand, paid hours, employer allowance, premises, startup allowances, cost shares, ramp and cash buffer are authored planning inputs. No commercial quote or researched state total is implied.
The stated operating format and paid roster define the scenario. Wage and population observations keep their geography and period. Replace commercial assumptions only with evidence that matches the scope, then reconcile the same inputs across earnings, cash and the delivery schedule.
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