Bar Method
The total investment to open a Bar Method franchise ranges from $254,500 to $544,500. The initial franchise fee is $42,500. Ongoing royalties are 6% plus a 2% advertising fee.
What is the Bar Method franchise?
Choosing a franchise in the fitness sector requires attention to market position, operating history, capital needs, and the risk of investing in an unproven concept. The Bar Method offers a specialized, low impact barre workout based on a technique refined for safety and effectiveness across different body types and abilities. Burr Leonard founded the company in 2001, and the first flagship studio opened in San Francisco, California. Leonard drew the original concept from the Lotte Berk Method, which she encountered in 1981, then worked with physical therapists to further develop the method. The company began franchising in 2008 and expanded across North America. As of October 2023, the system operated approximately 100 studios in the United States and Canada. Reported unit figures include 76 franchised units and 1 company owned unit, 73 franchised locations in the USA according to the 2025 FDD, and more than 75 locations across both countries. The brand currently comprises 38 total franchised units. The corporate office is in Woodbury, Minnesota. The Bar Method joined Self Esteem Brands in 2019, giving it access to that parent company’s infrastructure. The concept operates within the boutique fitness sector, which is projected to reach $54.8 billion by 2029, a 38% increase over 2024. This page presents an independent review of the brand, separate from promotional material, to support a prospective franchisee’s due diligence.
The broader fitness and recreational sports centers industry was valued at USD 123.77 billion in 2024 and is projected to reach USD 180.44 billion by 2033. That forecast reflects a compound annual growth rate of 4.06% from 2025 to 2033. Another estimate places the global market at USD 148.03 billion in 2025 and approximately USD 324.05 billion by 2035, with a compound annual growth rate of 8.15% from 2026 to 2035. Growth is supported by greater attention to health and wellness among younger consumers and by an increasingly active aging population. Consumers are also showing more interest in specialized, community focused workout settings, which matches The Bar Method studio format. Participation in low impact, high intensity barre training in the United States rose 13% from 3.8 million to 4.3 million participants between 2022 and 2023. Demand is also influenced by interest in mental well being alongside physical fitness and by fitness methods intended to produce results while reducing injury and burnout. Women represent approximately 40% of members in fitness and recreational sports centers. That share has increased in part because of the growth of female only health club facilities, which aligns with The Bar Method’s core clientele. Specialized offerings can also support member loyalty. North America held a 37.5% market share in 2024 and is projected to provide 39.5% of the market’s incremental growth from 2025 to 2030. Technology, including wearable devices, artificial intelligence coaching, and virtual or hybrid fitness programs, continues to influence growth and product development in the sector.
The Bar Method’s financial requirements are structured for both single unit and multi unit development. The initial franchise fee for one unit is $42,500. The fee is $75,000 for two locations and $97,500 for three locations. Each additional location after that carries a reduced fee of $27,500. Reported estimates of the total initial investment vary by market and build out requirements. The figures include $237,559 to $499,869 as of October 2023, $386,523 to $537,264 for 2026, $304,304 to $511,232, and $355,357 to $511,869 from the April 2024 FDD. A provided database gives another initial investment range of $254,500 to $544,500. The average cost to establish a franchised studio is stated as $304,000 to $511,000. That amount includes construction, specialized equipment, initial inventory, and operating expenses for the initial phase. Real estate selection, the extent of leasehold improvements, and regional construction and labor costs can affect the final amount. Prospective franchisees are expected to show at least $125,000 in liquid capital per location. Other sources cite $100,000 or $150,000 in readily available cash or cash equivalent assets. The stated minimum net worth is $350,000 per location. Continuing fees include a royalty of 6% of gross revenue and a 2% contribution to the advertising fund. These payments support brand development, national marketing, and operating support. A $299 technology fee is also cited for proprietary software and system access. The franchise is positioned as a mid tier investment in specialized fitness. The Bar Method is part of Self Esteem Brands, whose other concepts include Anytime Fitness and Waxing the City. This relationship provides access to enterprise infrastructure and the parent company’s international expansion efforts. The franchise is SBA Approved, which can improve access to third party financing for qualified candidates. Veterans receive a $5,000 discount on the initial franchise fee.
The operating model calls for a hands on owner operator who participates in the daily management of the studio. Core responsibilities include building a welcoming community, managing employees, and maintaining the brand’s standards for instruction and precise form correction. Revenue comes from individual classes, recurring memberships, and retail fitness merchandise. A new studio generally needs at least three instructors at opening, while a fully operating location averages four to eight instructors. The franchisor assists with recruiting and hiring instructors. Its training program is intended to support instructor retention and limit turnover while maintaining consistent instruction. Studios average approximately 1,700 square feet, with layouts that can be adapted to different real estate opportunities. Older information describes studios ranging from 2,000 to 4,000 square feet, sometimes with additional areas such as kids’ clubs. Studio interiors may include plush carpets placed over gymnastics pads to protect joints, along with amenities such as showers. The franchisor provides 75 hours of initial training, consisting of 45 hours of classroom instruction and 30 hours of on the job training. Every instructor must complete the Teacher Training program, which covers teacher recruitment, interview and audition methods, and detailed anatomy training. Corporate support covers site selection, lease negotiation, construction oversight, interior design, marketing, and public relations. Franchisees also receive access to a Learning Management System for continuing virtual professional development, regular conference calls, teaching notes, and additional coaching through on site visits after opening. Exclusive territories give franchisees a defined area in which to develop their business without competition from another Bar Method franchise within the system. As part of Self Esteem Brands, franchisees also have access to enterprise infrastructure, continuing coaching, marketing assistance, operating guidance, and proprietary software.
As a result, the FDD does not provide mandated earnings claims, and prospective franchisees need to conduct additional independent review. External sources report other performance information. The company has operated for more than 20 years since its founding in 2001. It has an established presence in 19 states in the USA with 74 active units. By early 2025, the brand had also expanded into Japan through a master franchise agreement with Fast Fitness Japan. Self Esteem Brands has stated a global objective of opening more than 10,000 fitness, health, and wellness clubs and studios worldwide by 2030. The parent company’s plan reflects its expectations for its portfolio, including The Bar Method. The brand also secured $2.3 million in funding from Mainsail Partners in 2012.
The Bar Method has pursued selective growth in the United States and Canada and reports 74 active units after more than two decades in operation since its 2001 founding. The brand reported 123 locations in the United States and Canada in 2019. The database currently lists 38 franchised units. Recent corporate developments point to a renewed focus on expansion, although the available source ends before providing additional details about that activity.
Loan Activity Score
51/100
SBA Default Rate
12.5%
Active Lenders
22
According to its Franchise Disclosure Document or public business records, Bar Method has 42 locations, all owned by franchisees. Public SBA loan records show 22 lenders made 56 loans to franchisees of Bar Method. PeerSense calculates Bar Method's score as 51 out of 100, using public SBA loan performance and recent lending activity. Cost figures are based on the 2025 Franchise Disclosure Document.
Franchising since 2001 · 42 locations
$254,500 to $544,500
$42,500
42
42 franchised
Proprietary PeerSense metric
ModerateDistinct lenders in public SBA records for Bar Method
56
Total SBA loans
$343K
Average loan size
Source: public SBA 7(a) and 504 loan records through December 31, 2025
Referral fee at closing
SBA Lending Activity for Bar Method
Loan Activity Score Breakdown
Established (25 to 99 loans)
Are lenders increasingly or decreasingly funding this brand? Growing trends score highest.
Blended default rate (recent + all time) compared to NAICS sector peers.
Quality lenders actively backing this brand, with penalty for lender pullback.
FDD availability, Item 19 disclosure, and overall data completeness.
Geographic spread of SBA funded locations across states.
SBA Lending Performance
SBA Default Rate
12.5%
vs 10.8% peer avg
SBA Loans
56
Total Volume
$19.2M
Active Lenders
22
7 selective
States
15
vs. SBA Sector Average
SBA loan default rate vs. all franchises in the same NAICS sector, not limited to direct competitors
Key Highlights
Franchise Financing Resources
Data Insights
Key performance metrics for Bar Method based on SBA lending data
SBA Default Rate
12.5%
1.7% above peer avg
SBA Loan Volume
56 loans
Across 22 lenders
Lender Diversity
22 lenders
Avg 2.5 loans per lender
Investment Tier
Significant investment
$254,500 to $544,500 total
Payment Estimator
Estimated Monthly Payment
$2,635
Principal & Interest only
Indicative only, as of October 1, 2026. Not a quote, commitment or offer of credit. Final pricing, leverage and terms are determined by the lender at underwriting, after full transaction materials are reviewed. PeerSense sources the file. The lender sets pricing. What these terms mean.
Locations
Bar Method, unit breakdown
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Page Review
Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense
- PeerSense is a capital advisory firm that places commercial financing with direct capital sources; it does not lend, fund, or approve loans, and the capital source sets final terms.
- Edward L. Freeman founded PeerSense in January 2020.
- He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
- His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
- In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page
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