Workout Anytime Names Tim Hicks VP of Franchise Development as Brand Targets 50 New 24/7 Clubs — What Franchisees and Investors Need to Know

Table of Contents

1. Key Highlights:
2. Introduction:
3. Tim Hicks: experience on both sides of the franchise equation
4. Workout Anytime’s growth blueprint: aims, mechanics and conversion strategy
5. Franchisee-first leadership: Jerry Pugh’s elevation to CEO and cultural implications
6. Market context: consumer spending, the 24/7 model and competitive dynamics
7. What prospective franchisees must evaluate before committing
8. Operational priorities that determine club performance
9. Challenges and risks that could alter the expansion trajectory
10. What a successful rollout looks like: a practical roadmap for the next 24 months
11. Balancing opportunity with prudent expectations
12. FAQ:

Key Highlights:

• Workout Anytime appoints Tim Hicks, a former multi-unit franchisee and franchise executive with 20+ years of experience, to lead franchise development as the brand targets 50 new locations in the next two years.
• The brand combines a franchisee-first leadership team — including newly appointed CEO and largest franchisee Jerry Pugh — with a focus on disciplined site selection, scalable systems, and conversions of existing clubs to accelerate growth.
• The move positions Workout Anytime to capture demand in the 24/7 fitness segment amid strong consumer spending on fitness, while placing operational consistency, franchisee support, and unit economics at the center of its expansion strategy.

Introduction:

Workout Anytime has begun a deliberate scaling phase. The Atlanta-based premium, 24/7 fitness franchisor announced the hire of Tim Hicks as Vice President of Franchise Development and reiterated a target to add roughly 50 locations over the next two years. That combination—an executive with hands-on franchisee and corporate experience alongside a CEO who rose from the franchisee ranks—signals a concerted effort to expand without sacrificing unit-level profitability or franchisee support.

The brand’s aims rest on three concrete priorities: recruit the right partners, tighten real estate and site-selection discipline, and deploy systems built for scalable, repeatable openings. Those priorities reflect lessons franchisors learn when growth accelerates: expansion succeeds only when new units perform to the model’s expectations and existing owners retain the ability to scale. For aspirants evaluating franchise opportunities, Workout Anytime’s move highlights the mechanics behind responsible growth and the practical questions investors should ask before committing capital.

This article examines what Hicks’ appointment means for the brand, how Workout Anytime’s strategy compares to proven 24/7 models, what prospective franchisees should evaluate, and the operational and market realities that will shape whether the company achieves its stated goals. The analysis draws on the company’s announcement, established franchise practice, and the dynamics that drive economics in the overnight fitness category.

Tim Hicks: experience on both sides of the franchise equation

Tim Hicks arrives at Workout Anytime with an unusual combination of experience: long tenure as a franchisee paired with senior franchise leadership roles. That dual perspective is especially valuable in franchise development because it aligns recruitment incentives with operational realities.

Why that matters Franchise recruitment is often measured by speed and deal volume. A candidate-focused approach emphasizes unit sales and territory coverage. A franchisee-focused approach places matching operational capability and cultural fit ahead of closing deals. Hicks’ background suggests the latter. He brings more than two decades running franchise strategy, operations, and growth initiatives across multi-unit systems, and he has operated as a franchisee himself. This combination reduces the typical friction between franchisor incentives to expand and franchisee needs for predictable unit economics and reliable support.

What Hicks will likely prioritize Based on his stated remit—finding the right partners, strengthening real estate selection, and building scalable systems—Hicks is positioned to influence three concrete areas:

• Candidate screening: Expect a structured process to evaluate financial capacity, operational experience, local-market knowledge, and alignment with the brand’s values. Franchisors that emphasize fit typically require deeper interviews, field visits, and explicit growth plans for multi-unit owners.
• Real estate discipline: Site selection drives opening-day memberships and early retention. Hicks’ role will likely introduce stricter demographic profiling, drive-time analysis, and lease-negotiation templates to push developers and brokers toward sites that meet the brand’s return thresholds.
• Scalable systems: Consistency across locations depends on standardized opening playbooks, transparent supply chains for equipment and fit-out, and repeatable marketing campaigns. Expect investments in onboarding platforms, digital training, and operational scorecards.

Why a franchisee-turned-executive is different A former franchisee who transitions to corporate leadership understands the operational pressures of launching and managing clubs: lease starts, staffing for 24/7 access, equipment uptime, and local marketing. That operational empathy typically changes how franchise support teams prioritize resources. Rather than provide generic corporate manuals, leaders with franchisee experience tend to focus on tactical, executable supports—templates for local promotions, field troubleshooting playbooks, and realistic timelines for hitting membership targets.

Investor-backed growth experience Hicks also brings experience working within investor-backed growth environments. That background signals fluency in the metrics investors expect—same-store economics, unit-level contribution margin, payback periods, and acquisition multiple dynamics. Taken together, Hicks’ profile positions him to be a bridge between franchise operator realities and the capital-market metrics that investors use to evaluate scaling businesses.

What this signals to the market A hire like Hicks sends a clear message: the company plans to grow, but it intends to do so under disciplined, operationally-sound parameters. For franchise prospects, that may reduce the risk of rapid, poorly supported rollouts that have hurt other concepts historically. For investors, it indicates the company understands the importance of preserving unit economics while expanding footprint.

Workout Anytime’s growth blueprint: aims, mechanics and conversion strategy

Workout Anytime has set a tangible near-term goal: add 50 locations in the next two years. The announcement emphasizes a strategy that blends new unit development, multi-unit owner recruitment, and conversion of non-branded fitness clubs into the Workout Anytime system.

Setting a numeric target creates accountability. It also requires a clearly defined playbook that converts targets into opened gates and stabilized members. The mechanics of that playbook can be broken down into site sourcing, construction and equipment, pre-opening marketing and sales, and first-year operations.

Site sourcing and real estate selection Location quality will determine early membership performance. A disciplined real estate strategy includes these elements:

• Demographic profiling: Identify trade areas with a dense population of the target member profile—typically adults aged 18–54 with disposable income and proximity to work or home corridors.
• Competitive mapping: Analyze nearby fitness offerings, price points, and feature gaps. A 24/7 premium concept must differentiate on convenience, equipment quality, or price comparison.
• Lease economics: Standardized lease evaluation tools help ensure new sites meet pro forma occupancy and EBITDA thresholds. These templates can improve negotiation leverage and reduce post-opening financial surprises.

Construction, equipment and brand standards The fit-out and equipment package define the member experience. Workout Anytime markets itself as a premium 24/7 concept, so consistent delivery of equipment quality, club layout, and member flows is essential. Scalable franchisors limit customization to ensure predictable cost estimates and consistent brand recognition.

Pre-opening marketing and membership velocity Opening a club requires a concentrated marketing push. Successful franchisors provide templated pre-opening campaigns: targeted digital ads, local partnerships, referral incentives, and early-bird membership drives. Membership velocity—how many paying members join in the first 90 days—sets the path to breakeven. Franchisors that deliver proven pre-opening plans reduce variability in new unit performance.

Operational playbook for the first 18 months A replicable operations playbook covers staffing, security for 24/7 hours, equipment maintenance contracts, and member retention strategies. For a 24/7 club, technology and remote monitoring often compensate for lighter staffing, but those systems require reliable protocols and vendor relationships to ensure safety and member satisfaction.

Conversion of existing clubs One efficient growth lever is converting non-branded health clubs into Workout Anytime locations. Conversions can accelerate growth because they reuse existing infrastructure and often bring an existing local member base. The conversion play typically includes:

• Assessment of existing membership and retention dynamics
• Cost estimates for rebrand, equipment refresh, and technology integration
• Communication plans to retain members during transition
• Re-training of staff and alignment on pricing and sales processes

Conversion deals also simplify site selection work and shorten time-to-membership. Strategic acquisitions of underperforming or independent gyms can be a high-return path when the acquirer has strong conversion protocols and the ability to infuse operational discipline.

Franchisee recruitment: single- and multi-unit strategies Workout Anytime is recruiting both single-unit and multi-unit owners. Multi-unit owners accelerate footprint growth by replicating the model across several markets. For franchisors, multi-unit partners often bring operational scale, capital, and local-market execution. The company’s recruitment approach will likely adapt terms—territory structures, development schedules, and incentives—to attract larger operators without compromising unit economics or support intensity.

Financial transparency and investor confidence Hicks’ investor-backed growth experience aligns with a need to provide investors and potential franchisees transparent, repeatable unit economics. Clear pro formas, historical performance benchmarks, and first-party operational data reduce friction during franchise sales and investor diligence.

Franchisee-first leadership: Jerry Pugh’s elevation to CEO and cultural implications

The promotion of Jerry Pugh—Workout Anytime’s largest franchisee—to CEO in April 2025 is a structural shift with cultural and practical implications. A franchisor led by a major franchisee typically conveys a commitment to aligning corporate strategy with owner realities.

Why that matters for current and prospective owners Franchisors led by franchisees often prioritize scalable support functions that directly reduce owner pain points: more realistic ramp timelines, hands-on field support, and pragmatic franchise development that avoids diluting system performance. This approach helps preserve unit-level economics, a central franchisee concern.

Shared vision: Pugh and Hicks Pugh’s elevation and Hicks’ recruitment form a complementary leadership pair. Pugh brings deep, current owner experience and an understanding of on-the-ground obstacles. Hicks contributes franchise sales discipline and systems know-how. Their shared stated goal—to expand thoughtfully while supporting existing owners—implies a growth cadence that balances new unit production with operational support investments.

Empowering owners to scale Part of the announced strategy emphasizes helping current owners scale through additional unit development and acquisitions. This implies the company will:

• Facilitate multi-unit development plans with clear timelines and support
• Offer playbooks for acquisition and conversion deals
• Provide centralized services that lower marginal costs for owners (e.g., centralized equipment purchasing, marketing templates, training platforms)

Such a franchisee-empowering approach reduces friction for owners who want to expand their portfolios and helps maintain system-wide quality as development accelerates.

Governance and alignment A franchise system’s long-term value depends on alignment between corporate leadership, franchisee advisory councils, and individual owners. Having a CEO who is also a significant franchise owner inherently alters incentives: corporate decisions directly affect an executive’s balance sheet. That alignment typically prioritizes franchisee economics and may lower the risk of policies that favor short-term development at the expense of owner returns.

Market context: consumer spending, the 24/7 model and competitive dynamics

Consumers are projected to spend roughly $60 billion on fitness in 2026. That level of spending creates opportunity for concepts that can capture members through affordability, convenience, and consistent experience. The 24/7 model delivers convenience on a scale that meets contemporary consumer expectations: access outside of traditional business hours and fewer scheduling constraints.

Why the 24/7 model resonates

• Convenience and retention: Members who can work out any time of day are less likely to let travel or nonstandard work schedules become barriers.
• Lower labor costs per operating hour: Many 24/7 clubs employ a hybrid structure of staffed peak hours supplemented by supervised or monitored unstaffed access overnight. Technology and security systems make this feasible, reducing payroll burdens.
• Membership-driven revenue: A successfully run 24/7 club emphasizes high member density and predictable recurring revenue rather than per-visit fees, improving forecastability.

Competitive landscape The market includes legacy big-box operators, low-cost clubs, and other 24/7 franchisors. Differentiation typically rests on three pillars: price positioning, equipment and facility quality, and service model (self-service vs staffed features like classes and personal training). Workout Anytime markets itself as a premium 24/7 brand at an accessible price point, positioning it between low-cost gyms and full-service clubs.

Factors that determine local competitive success

• Unit economics and price elasticity: In saturated markets, achieving a profitable membership price point while covering lease and equipment costs is the chief challenge.
• Brand recognition and local marketing: National brands have awareness advantages, but local outreach, community partnerships, and direct mail/digital campaigns frequently determine initial membership velocity.
• Ancillary revenue: Personal training, retail, and add-on services can materially improve revenue per member if executed without eroding the convenience model.

Macro forces and resilience Fitness demand shows resilience across economic cycles when operators maintain value propositions that keep members engaged. Those value propositions include convenience, clean facilities, up-to-date equipment, and straightforward pricing. Franchisors that deliver consistent member experiences and maintain tight cost controls tend to weather downturns better than operators that expand indiscriminately.

What prospective franchisees must evaluate before committing

The announcement provides clear signals, but an investor considering a Workout Anytime franchise—or any fitness concept—should complete thorough due diligence across financial, operational, and legal dimensions.

Financial evaluation

• Franchise Disclosure Document (FDD): Request and scrutinize the FDD for historical financial performance representations, royalty structure, marketing fund obligations, and territory protections.
• Unit-level economics: Ask for pro formas, break-even calculations, and historical averages for first-year memberships, recurring membership churn, and typical timeline to reach stabilized cash flow.
• Initial and ongoing capital requirements: Inquire about typical build-out costs, equipment packages, working capital needs for the first 12 to 18 months, and any required reserves.
• Financing options: Determine whether the franchisor has lender relationships, preferred vendors, or equity partners that facilitate unit openings or acquisitions.

Operational and legal considerations

• Territory exclusivity and protection: Understand whether the development agreement includes protected trade areas and what conditions allow the franchisor to place other units nearby.
• Support and training: Evaluate the depth of onboarding programs, ongoing field support, marketing assistance, and technology platforms.
• Vendor relationships: Centralized purchasing agreements can lower costs but may limit flexibility. Understand how equipment procurement and maintenance are handled.
• Conversion mechanics: If conversions are part of the growth plan, obtain the conversion checklist and average conversion cost. Conversions often sound attractive but can require variable investment to meet brand standards.

Human capital and management

• Staffing model for 24/7 clubs: Clarify how the franchisor recommends staffing, remote monitoring, and security protocols for unstaffed hours.
• Local sales and retention strategies: Ask for proven campaigns to drive signups and reduce churn, along with metrics on local marketing spend and expected yields.

Market and site analysis

• Site selection criteria: Demand clear requirements for minimum population, drive time, visibility, parking ratio, and lease economics. Request examples of sites that met the model’s thresholds and their performance.
• Competitive landscape: Commission competitive scans and market penetration studies to verify projected member penetration rates are realistic.

Cultural fit and governance

• Franchisee advisory council: Determine whether the brand maintains a franchisee council and how owners participate in governance.
• Leadership accessibility: Meet leadership and ask direct questions about how decisions are made that affect day-to-day operations.

Red flags to watch for

• Unclear financial disclosures or withholding of performance metrics
• Rapid expansion with minimal field support plans
• Excessive customization allowances that undermine consistency
• Nontransparent vendor markups or undisclosed related-party contracts

Due diligence resources Prospective buyers should consult franchise attorneys, certified public accountants with franchise experience, and experienced multi-unit owners. Those experts help stress-test assumptions in the FDD and franchise agreement.

Operational priorities that determine club performance

Fitness franchisors that succeed at scale focus on repeatable operational systems. For Workout Anytime, several operational priorities will determine whether expansion meets the brand’s target without degrading unit economics.

Membership model and pricing strategy Clubs require clear, replicable pricing tiers that are easy for sales staff to present and for members to understand. Recurring membership revenue is durable only when members perceive ongoing value. Bundled services—such as limited personal training packages or small-group sessions—can boost revenue per member without compromising the core 24/7 convenience offer.

Technology and member experience

• Access control: Reliable key-card or mobile access systems make 24/7 access viable and safe. Technology must integrate with membership management platforms.
• Equipment monitoring and maintenance: A preventive maintenance schedule reduces downtime and preserves member satisfaction.
• Digital engagement: Apps for class schedules, workout logs, and member communications increase retention and reduce churn.

Safety and security 24/7 operations introduce safety considerations that require standardized protocols: emergency response plans, CCTV coverage, and partnerships with local security vendors when needed. Members must feel secure using the facility at any hour.

Staffing and labor models Peak-hour staffing supports member service and sales, while off-peak hours rely on automation and remote monitoring. Labor models should be tested at local wage rates and in the context of the club’s expected member traffic.

Local marketing and retention Retention is driven by initial onboarding experiences and ongoing engagement. Effective local marketing includes referral incentives, community partnerships, corporate relationships, and consistent follow-up on trial members. Churn reduction strategies—such as automated check-in campaigns and targeted promotions—improve lifetime value.

Vendor and supply chain management Standardized equipment packages and preferred vendor agreements compress costs and ensure consistent facility standards. Centralized procurement can negotiate better pricing for equipment, flooring, and signage, but should remain transparent to avoid conflicts of interest.

Scalability of support systems As the system grows, the franchisor must scale its support organization: field operations, training teams, marketing infrastructure, and customer success functions. Investing early in scalable cloud-based platforms—membership management, CRM, and training LMS—reduces friction in fast rollouts.

Challenges and risks that could alter the expansion trajectory

Growth targets are aspirational. Several challenges can slow progress or compress margins, and they deserve explicit attention.

Local market saturation Fitness markets vary widely. Urban corridors may approach saturation with multiple competitor offerings and differentiated price bands. In such markets, breakeven requires highly selective site choices or distinctive value propositions beyond 24/7 access.

Lease and real estate volatility Commercial lease costs and availabilities are subject to cyclical forces. A disciplined lease negotiation framework reduces exposure, but changes in market rents or increased landlord demands can alter pro formas and lengthen payback periods.

Member acquisition costs Paid advertising, search engine costs, and local promotions determine initial member acquisition costs. Rising digital ad prices or underperforming campaign creative can push payback timelines beyond projections.

Labor and operating expenses Minimum wage growth, local utility costs, and insurance premiums can erode margins. Systems that assume fixed or low wage rates must be stress-tested against local realities.

Execution risk in conversions Conversions of non-branded clubs often reveal hidden liabilities: legacy member contracts, deferred maintenance, or local reputation issues. A rigorous conversion due diligence checklist reduces surprises.

Brand consistency during rapid growth Rapid rollouts can strain field operations and training. Without standardized onboarding and repeatable checklists, new units can open underperforming and harm brand reputation.

Regulatory and safety obligations 24/7 access may require specific compliance activities—security, lighting, and emergency protocols—that vary by jurisdiction. Franchise owners must coordinate with local authorities to ensure compliance.

Economic downturns and discretionary spend Fitness is discretionary. While many operators see resilient membership retention through cycles, significant economic pressure can prompt members to cut discretionary expenses. Franchisors that preserve value and flexibility tend to maintain higher retention.

What a successful rollout looks like: a practical roadmap for the next 24 months

Turning a 50-club target into reality requires a practical, sequenced approach that balances speed with predictability. A successful rollout typically follows these phases:

1. Market prioritization and pipeline building (Months 0–3)
   • Identify priority markets using demographic criteria and competitor mapping.
   • Build a pipeline of qualified single- and multi-unit prospects.
   • Assemble site brokers and preferred vendor lists.
2. Candidate qualification and pre-development planning (Months 2–6)
   • Screen franchise candidates for capital, experience, and local-market fit.
   • Secure letters of intent for key real estate and finalize pro formas.
   • Establish financing options and delivery timelines for equipment.
3. Standardized construction and conversion playbooks (Months 3–9)
   • Deploy templated construction standards, equipment lists, and fit-out timelines.
   • Pilot convert one or two independent clubs with intensive oversight to refine conversion mechanics.
4. Pre-opening marketing and membership velocity push (30–45 days pre-open)
   • Implement digital, out-of-home, and community outreach to generate early leads.
   • Run promotions and pre-sale membership offers to build day-one revenue momentum.
5. Opening and stabilization (Months 0–12 post-open)
   • Execute a local onboarding plan for staff and a retention cadence for new members.
   • Track early KPIs: membership velocity, retention at 30/60/90 days, and first-year revenue per member.
   • Provide field visits and corrective action plans where performance deviates from plan.
6. Scale and continuous improvement (Months 12–24)
   • Apply lessons from initial rollouts to accelerate subsequent openings.
   • Standardize successful local marketing playbooks and centralize high-performing vendor terms.
   • Expand multi-unit owner development plans once initial units reach stable cash flow.

This roadmap emphasizes early pilot testing and iterative improvements. Rapid replication without initial pilots increases the risk of systemic mistakes.

Balancing opportunity with prudent expectations

Workout Anytime’s leadership moves—appointing a seasoned franchise developer and elevating a major franchisee to CEO—signal an intention to scale responsibly. The brand’s focus on recruiting quality partners, enforcing real estate discipline, and strengthening scalable systems reflects the best practices that underpin sustainable franchising.

Opportunities remain substantial for concepts that deliver convenience and a consistent member experience. Yet growth requires matching ambition with operational capacity. Prospective investors should prioritize transparency, insist on historical and projected unit economics, and validate the franchisor’s ability to support new and existing owners at scale.

For current franchisees, the leadership shift promises greater alignment between corporate actions and owner economics. For new investors, the brand offers a clear proposition: a premium 24/7 product with a documented appetite for expansion backed by leadership experienced on both sides of the franchise agreement.

FAQ:

Q: Who is Tim Hicks and what will he do at Workout Anytime? A: Tim Hicks is a franchise executive and former multi-unit franchisee with more than 20 years of experience in franchise strategy, operations, and growth. As Vice President of Franchise Development he will lead recruitment of new franchise partners, tighten real estate selection criteria, and implement systems to support scalable growth across new and existing markets.

Q: How aggressive is Workout Anytime’s expansion plan? A: The company has announced a target to open 50 additional locations over the next two years. Execution will depend on candidate recruitment, real estate availability, and conversion opportunities for existing independent clubs.

Q: What does “franchisee-first” leadership mean for owners? A: With CEO Jerry Pugh—Workout Anytime’s largest franchisee—leading the brand, and Hicks’ franchisee experience, the governance bias moves toward decisions that preserve unit-level economics and prioritize operational support. This often translates into more pragmatic ramp timelines, enhanced field support, and practical development incentives for current owners.

Q: Who should consider a Workout Anytime franchise? A: Investors with experience in multi-unit operations or owners seeking a scalable fitness model may find the opportunity attractive. Due diligence should assess alignment with the brand’s model, financial capacity for build-out and working capital, and local market dynamics.

Q: What are the key risks to consider? A: Principal risks include local market saturation, lease and construction cost variability, member acquisition cost increases, and execution risk in conversions. Prospective franchisees should validate pro formas against local rent and wage assumptions and review the franchise disclosure document carefully.

Q: How important is real estate selection to the model’s success? A: Real estate selection is critical. Location quality influences membership velocity, retention, and overall unit profitability. Workout Anytime’s stated focus on strengthening real estate selection indicates an emphasis on protecting pro-forma economics through disciplined site choices.

Q: Does Workout Anytime support conversions of existing clubs? A: Yes. The company has indicated acquisitions and conversions of non-Workout Anytime locations will be part of its growth strategy. Conversions can accelerate rollout but require thorough due diligence to assess hidden costs and member retention prospects.

Q: Where can prospective franchisees get more information? A: Workout Anytime directs interested parties to its franchise site (workoutanytimefranchise.com) for franchising information. Prospective buyers should request the Franchise Disclosure Document, meet the leadership team, and retain franchise counsel and accounting advisors to review terms.

Q: How should a prospective buyer evaluate projected unit economics? A: Compare the franchisor’s performance data in the FDD with third-party market rent and wage projections. Stress test assumptions for membership growth, churn rates, marketing costs, and equipment maintenance. Ask for case studies of recently opened clubs and contact existing franchisees about their timelines to profitability.

Q: What operational systems will determine whether new units succeed? A: Critical systems include standardized pre-opening marketing and sales playbooks, membership management and access control platforms, preventive equipment maintenance schedules, staff training programs, and a robust franchisee support structure that scales with development.

If you are exploring a franchise opportunity with Workout Anytime, prioritize obtaining the FDD, reviewing unit-level financials, and speaking directly with existing operators. A disciplined evaluation clarifies the investment case and helps match growth ambitions with realistic execution plans.