Welcyon
Franchising since 2012 · 1 locations
The total investment to open a Welcyon franchise ranges from $259,100 - $363,000. The initial franchise fee is $20,000. Ongoing royalties are 5%. Welcyon currently operates 1 locations (1 franchised). PeerSense FPI health score: 45/100.
$259,100 - $363,000
$20,000
1
1 franchised
Proprietary PeerSense metric
FairActive capital sources verified for Welcyon financing
SBA
7(a) Eligible
21d
Avg Funding
P+2.25%
Best Rate
No retainers · Referral fee at closing
FPI Score Breakdown
New/Niche (1-2 loans)
SBA Lending Performance
SBA Default Rate
0.0%
0 of 1 loans charged off
SBA Loans
1
Total Volume
$0.3M
Active Lenders
1
States
1
Top SBA Lenders for Welcyon
What is the Welcyon franchise?
Every three years, the United States gains another six million people who cross the threshold into their fifties — a demographic tide that has been reshaping the American consumer economy for over two decades. The problem these adults face inside traditional gyms is visceral and well-documented: facilities designed for the 25-year-old market, equipment calibrated for maximum intensity rather than functional aging, and an overall environment that feels actively hostile to someone managing joint pain, recovering from surgery, or simply trying to maintain mobility and independence. Welcyon, operating under the tagline "Fitness After 50," was built to solve this problem with specificity and clinical insight. Founded in either 2009 or 2010 by Suzy and Tom Boerboom, two longtime healthcare executives based in Edina, Minnesota — an inner-ring suburb of Minneapolis — Welcyon emerged from a recognition that 100 million Americans were 50 or older, representing one in every three people in the country, and that the fitness industry was systematically failing them. Tom Boerboom brought credibility that few fitness founders could claim: he served as president and chief operating officer of a $200 million nursing home system ranked among the 40 largest in the nation by the American Healthcare Association. Suzy Boerboom, who serves as CEO of the Welcyon franchise operation, combined that institutional healthcare background with franchise business acumen. Paul Contris rounds out the founding team, and the executive bench also includes marketing, real estate, and franchisee coaching talent drawn from the Snap Fitness growth story. The company began franchising in 2011 or 2012, targeting a niche that sits at the intersection of two massive secular trends: the aging of the baby boom generation and the explosive growth of the U.S. health club industry, which represents a $22 billion annual market. The Welcyon franchise opportunity is a genuine niche play — a specialized concept designed not to compete across the entire fitness category, but to own a clearly defined and underserved segment of it. This analysis is independent research, not marketing copy, and the facts presented here are drawn from franchise disclosure documents, public records, and industry data.
The fitness and recreational sports center industry represents one of the most resilient and structurally growing segments of the U.S. consumer economy, and the macro forces at work here directly benefit a concept like the Welcyon franchise. The global fitness and recreational sports centers market was valued at USD 123.77 billion in 2024, projected to reach USD 180.44 billion by 2033 at a compound annual growth rate of 4.06%. A separate research estimate pegs the 2024 market at USD 254.20 billion, expected to climb to USD 367.07 billion by 2032 at a 4.70% CAGR, while a third projection sees the global market reaching USD 324.05 billion by 2035 from a 2025 base of USD 148.03 billion — an 8.15% CAGR that would represent one of the fastest expansion rates among major consumer service categories. North America dominates the global market with a 37.5% to 39.36% revenue share in 2024, and within North America, the United States controls 94.30% of regional revenue. The U.S. health club market alone generates $22 billion annually and grew 10% between 2008 and 2010, even during an economic downturn — a signal of recession resilience that franchise investors weigh heavily. The core consumer trend fueling a senior-focused fitness franchise is demographic arithmetic: baby boomers grew as a share of health club membership by 58% between 2002 and 2011, making them the fastest-growing segment of gym members in the country during that decade. Two million Americans turn 50 every year, continuously expanding the addressable population for an age-targeted fitness brand. Critically, the demand is not merely for fitness access — it is for fitness environments specifically designed for older adults. Research consistently shows that many adults over 50 find traditional gyms overcrowded, psychologically intimidating, and operationally underserving, creating a structural gap between what the mainstream fitness market offers and what this demographic actually needs. In 2025, nearly 96 million U.S. adults planned to prioritize health and fitness, with 88% viewing fitness facilities as essential to achieving their goals — a demand signal that crosses all age groups but carries particular urgency for aging adults managing chronic conditions, post-rehabilitation fitness needs, and long-term mobility goals. The market is fragmented at the senior-specific level, meaning early movers with a clinically credible programming model occupy a genuine competitive position.
The Welcyon franchise investment structure occupies a mid-tier position in the fitness franchise category, requiring meaningful but not prohibitive capital commitment. The initial franchise fee ranges from $20,000 to $30,000 depending on the agreement structure, with some documentation citing the standard fee at $30,000 and other sources reflecting a $20,000 entry point — a range that provides some flexibility in deal structuring. Veterans receive a $5,000 discount off the franchise fee, a meaningful incentive that reflects the brand's recognition of military community members as strong franchise operator candidates. The total initial investment for a Welcyon franchise ranges from $259,100 to $363,000, with one source citing a slightly tighter range of $239,000 to $349,000. The spread within this range is driven by standard variables in fitness club development: commercial real estate lease terms, tenant improvement allowances, equipment procurement costs, initial supply purchases, business licensing, and working capital reserves. This total investment range is competitive within the fitness franchise segment, where buildout-intensive concepts can easily demand $500,000 to over $1 million in total startup capital. Prospective Welcyon franchise investors must demonstrate at least $70,000 in liquid capital and a minimum net worth of $250,000 — thresholds that position this as an accessible mid-tier franchise investment rather than a premium, high-barrier-entry concept. The ongoing fee structure consists of a royalty rate ranging from 2.5% to 5% of gross sales — one source specifies 5.0% as the standard royalty rate — plus a 2.0% advertising fund contribution, producing a combined ongoing fee load of approximately 7% at the high end of the royalty range. By comparison, fitness franchise royalty rates commonly run between 5% and 8%, placing Welcyon's fee structure at or slightly below category norms. Third-party financing options are available to qualifying franchisees, which is an important consideration given that the SBA has historically supported fitness franchise investments with real asset backing. The absence of a disclosed parent company means franchisees are investing directly in the Welcyon brand structure without the added stability — or potential constraints — of a larger corporate parent.
The Welcyon operating model is built on a foundational insight from clinical physical therapy and healthcare management: that fitness programming for adults over 50 must be guided by an understanding of rehabilitative care, mobility limitations, and the physiological realities of aging. A prominent physical therapy expert leads fitness programming and training across the system, lending the Welcyon brand a level of clinical credibility that standard fitness franchises cannot replicate. For a franchisee, daily operations center on managing a welcoming, low-intimidation club environment staffed by trained fitness professionals who understand the specific needs of an older adult membership base. The business model is structured to support semi-absentee ownership in addition to the owner-operator model, providing flexibility for franchisees who may be managing other professional commitments while building their fitness business. The Welcyon franchise primarily sells single-unit licenses, with three-packs available for investors seeking multi-unit exposure. Area development agreements are considered on a case-by-case basis rather than being a standard offering. One of the most significant structural facts for prospective investors to understand: Welcyon does not offer territory protection to its franchisees, meaning the brand retains the ability to place additional units in geographic proximity to existing locations. This is a material due diligence consideration in any market where density could affect member acquisition economics. Initial training runs approximately two weeks at Welcyon headquarters in Edina, Minnesota, encompassing 52 total hours: 36 hours of classroom instruction covering operational procedures and business management, plus 16 hours of hands-on, on-the-job training. Post-opening support includes turnkey assistance with real estate site selection and lease negotiation, club design and buildout coordination, equipment procurement and installation, fitness programming implementation, and Grand Opening marketing execution alongside year-round promotional support. The executive team's deep background in fitness franchising, drawn in part from their involvement in the Snap Fitness growth story, informs the operational playbook franchisees receive.
Item 19 financial performance data is not disclosed in the current Franchise Disclosure Document for the Welcyon franchise. This is a material fact for any investor conducting serious due diligence. The FDD's Item 19 section is where franchisors may optionally disclose earnings claims — average gross sales, median revenues, top-quartile and bottom-quartile performance ranges, and profit margin data. Welcyon has elected not to make these disclosures, which means prospective franchisees cannot rely on franchisor-provided historical financial performance data when modeling their investment return. This is not uncommon among smaller franchise systems — many emerging or boutique franchise brands do not disclose Item 19 data, particularly in early stages of system growth — but it does place a greater burden of independent financial modeling on the prospective franchisee and their advisors. In the absence of disclosed unit-level revenue data, investors should reference industry benchmarks for context. The U.S. health club industry is a $22 billion market, and boutique fitness clubs targeting specialized demographics have historically commanded premium membership pricing — often in the $35 to $75 per month range per member — due to the differentiated programming and lower crowding that niche concepts deliver. A senior-focused fitness club with 200 to 400 members operating at those price points could generate annual membership revenue in the $84,000 to $360,000 range, with performance heavily influenced by local market demographics, real estate location quality, and the operator's ability to build community within the member base. The total investment range of $259,100 to $363,000 implies a payback period that would require strong local execution and consistent member retention — two variables that depend heavily on the franchise owner's operational engagement. The PeerSense FPI Score for Welcyon stands at 45, which is classified as Fair, a signal that warrants careful independent verification of unit-level economics before committing capital.
The Welcyon franchise system's growth trajectory tells a story worth examining carefully and honestly, because the unit count data across available sources shows significant variability. The system began with one franchised unit in 2012, grew to four franchised locations by 2014, and maintained approximately four units through the 2015 FDD filing period, with locations concentrated in the Midwest — specifically in states including Minnesota, Idaho, North Dakota, and South Dakota. A June 2017 news report documented the closure of a Welcyon fitness club in Sioux Falls, South Dakota, with the location's manager moving forward under a new brand name — a development that signals the challenges this system has faced in retaining franchise operators. Current data presents a range of reported unit counts: some sources reflect four total units, others cite three, two, or even zero active U.S. locations, depending on the reporting period and methodology. This contraction from the 2014 peak of four units is a meaningful data point for investors to weigh. The Welcyon franchise registration covers most U.S. states, with registrations not active in Connecticut, Utah, Virginia, Hawaii, New York, Rhode Island, and Maryland. The brand's competitive advantage rests on its founders' deep healthcare and active aging expertise, the clinical credibility of its physical therapy-led programming, and the structural market opportunity created by an aging boomer population that has grown 58% as a share of health club membership over the decade ending in 2011. Technology adoption trends in the fitness industry — including wearable devices, smart card equipment technology, virtual class integration, and fitness applications — represent both a challenge and an opportunity for a senior-focused concept, as this demographic increasingly engages with health technology while still requiring the in-person community and guided programming that boutique clubs provide. Whether Welcyon has made substantive investments in technology-enabled member engagement is a question prospective franchisees should explore directly with the franchisor.
The ideal Welcyon franchise candidate is someone who combines a genuine passion for serving older adults with the operational discipline to manage a membership-based service business. Given the clinical orientation of the programming model, franchisees with backgrounds in healthcare, physical therapy, wellness, or community services bring natural credibility to the member relationship and often have existing networks within the 50-plus demographic. The business model's compatibility with semi-absentee ownership also makes it potentially accessible to investors who plan to hire strong on-site management, though the membership retention dynamics of a boutique fitness club typically reward hands-on owner involvement, particularly in the critical first 12 to 24 months. The franchise agreement structure for a single-unit Welcyon franchise focuses on individual market development, with three-pack options for investors seeking to build a small local portfolio. Available territories span most of the continental United States, given the brand's registration across the majority of states. Markets with dense concentrations of adults aged 50 and above — retirement-adjacent suburban communities, Sun Belt metros, and upper-Midwest markets where the brand has historically been concentrated — represent logical primary targets. The absence of territory protection is a structural consideration that prospective multi-unit investors must factor into their market planning, as it affects the long-term defensibility of a local territory investment. The timeline from franchise agreement signing to club opening is influenced primarily by real estate availability and buildout duration, variables that the Welcyon support system is designed to help navigate through its site selection and buildout coordination resources.
The Welcyon franchise opportunity operates at the intersection of one of the most powerful demographic trends in American consumer history — the aging of 100 million baby boomers, growing by two million annually — and a $22 billion U.S. health club market that has consistently demonstrated resilience through economic cycles, including 10% industry growth between 2008 and 2010. The investment thesis for this franchise centers on a niche that is structurally large, demographically durable, and currently underserved by the mainstream fitness industry, which has historically designed its facilities, programming, and culture around younger, more physically capable members. The PeerSense FPI Score of 45, rated Fair, reflects the real complexities this system has navigated — including the unit count fluctuations documented since 2012 and the absence of Item 19 financial performance disclosure — and signals that investors should conduct rigorous independent due diligence before committing capital. The franchise fee range of $20,000 to $30,000, total investment of $259,100 to $363,000, 5% royalty, and 2% ad fund create a cost structure that is competitively positioned within the fitness franchise category, and the $5,000 veteran discount represents tangible recognition of military community applicants. PeerSense provides exclusive due diligence data including SBA lending history, FPI score analysis, location maps with Google ratings, FDD financial data, and side-by-side comparison tools that allow serious investors to benchmark the Welcyon franchise against competing fitness concepts across every material dimension. Explore the complete Welcyon franchise profile on PeerSense to access the full suite of independent franchise intelligence data and make your investment decision from a position of complete, verified information.
FPI Score
45/100
SBA Default Rate
0.0%
Active Lenders
1
Key Highlights
Franchise Financing Resources
Data Insights
Key performance metrics for Welcyon based on SBA lending data
SBA Default Rate
0.0%
0 of 1 loans charged off
SBA Loan Volume
1 loans
Across 1 lenders
Lender Diversity
1 lenders
Avg 1.0 loans per lender
Investment Tier
Significant investment
$259,100 – $363,000 total
Payment Estimator
Estimated Monthly Payment
$2,682
Principal & Interest only
Locations
Welcyon — unit breakdown
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