Are Pilates Studios Profitable in 2025?
If you're thinking about stepping into studio ownership, this is probably the question on repeat in your head:
"Are Pilates studios actually profitable, or am I just buying myself another stressful job?"
It’s a fair question. You’re thoughtful, experienced, and you want real numbers. At Boutique Fitness Broker, we’ve reviewed and sold 60+ Pilates and boutique fitness studios. We see the actual books, leases, staffing patterns, and owner schedules behind the scenes every single day.
This guide helps you understand the financials behind studio ownership as you explore your next chapter.
Explore our current listings: Pilates studios for sale.
Are Pilates Studios Profitable?
Yes! Based on our experience selling over 50 boutique fitness studios, Pilates can be very profitable. But profitability depends on the business model you run, not on Pilates itself.
In 2025, we're seeing strong consumer demand for Pilates, but also rising rents, increased competition from franchises like Club Pilates, and tighter labor markets. That means profitability is less about "is Pilates hot?" and more about how well your specific business is built.
Typical Financial Snapshot
Key drivers of profitability for Pilates studios include recurring revenue, manageable rent, efficient staffing, and a sustainable owner role. Here are some standard benchmarks:
Net profit margins: 15–25% in well-run studios
Owner take-home: $50k–$150k+
Breakeven timeline: 12–24 months for new studios; immediate income for strong acquisitions
Independent vs Franchise Profitability
Independent boutique fitness businesses can outperform franchises because:
Pricing is more flexible
Branding can be more personal
Staff can be more specialized
Overhead is often lower
Owners are closer to their community
Profitable Pilates Businesses vs Struggling Studios
Many Pilates studios are profitable, and some are very profitable—but not all of them. Profitability is not built into the word "studio." It's built into the numbers and decisions behind it.
You may see articles promising six-figure incomes or multi-million-dollar revenue. Those scenarios exist, but they're exceptions, not universal truths. What matters is whether a studio has a track record of consistent profit, not just occasional good months.
Signs a Studio Is Profitable
The studios we see that are truly healthy share common traits: predictable revenue, right-sized costs, and a sustainable owner role.
Steady revenue patterns (not wild swings)
Healthy instructor payroll percentages (35-45% of revenue)
Meaningful recurring income (60%+ from memberships)
Consistent net profit on P&Ls and tax returns
Owner working reasonable hours for fair compensation
Signs a Studio Is Struggling
Studios that struggle to consistently meet profitability goals also share some common traits:
Rent taking more than 20% of revenue
Underpriced services that don't cover costs
Heavy reliance on discounting to fill classes
Owner working 50-60 hours for little compensation
High instructor or client turnover
How Do Pilates Studios Make Money?
A Pilates business makes money by selling access to three things: expertise, specialized equipment, and community.
Most studios make the bulk of their income from group reformer classes, private or duet sessions, memberships, and class packs. Workshops and specialty series fill in the gaps. Some studios sell equipment and merchandise, but those are "nice-to-have" revenue, not the core.
As a future owner, what you're looking for isn't just how many revenue streams a studio has, but how strong and predictable they are. A studio with recurring memberships every month is in a very different position than one that relies on drop-in’s.
What Does It Cost to Run a Pilates Studio?
On the cost side, Pilates looks like other boutique models: equipment + space + people.
Typical operating expenses include:
Lease or rent (often with CAM charges and utilities) typically 15-25% of revenue
Instructor payroll (usually the largest variable cost) typically 35-45% of revenue
Manager or front desk staff if applicable
Insurance, software, marketing and promotion 5-10% combined
Cleaning, laundry, equipment maintenance ongoing operational costs
This is why "I just love Pilates" is not enough of a business plan.
The financial health depends on how well costs are managed relative to revenue.
A pilates business with sensible rent, controlled payroll, and lean operations has a much easier time generating profit than one paying premium prices for a huge studio space it doesn't need.
What Makes a Pilates Studio Profitable?
Profitability doesn't happen because you love Pilates enough. It comes from six concrete drivers: rent, pricing, staffing, owner involvement, brand reputation, and equipment.
1. Rent and Lease Terms
Your lease is one of the biggest determinants of your profit margin. Manageable rent gives you breathing room; sky-high rent makes even full schedules feel tight. As a general rule, rent should stay under 15-20% of your gross revenue. If it's creeping toward 25% or higher, margins get squeezed fast.
Geography also affects your path to profitability.
Major metros mean higher rent but also higher pricing power. Suburban locations often see stronger membership retention since clients live nearby and build routines. Small towns offer lower overhead but slower client acquisition. Profitability is possible in all markets—it just requires different strategies.
Review monthly rent + CAM, scheduled increases, renewal options, and assignment clauses (critical for selling later). A good deal on rent can be a hidden asset; a painful lease drags on profitability for years.
2. Pricing and Revenue Mix
Many owners underprice because they fear being “too expensive.” But pricing sets your margin, sustainability, and ability to pay instructors fairly. Money shame has no place here. If your business isn’t profitable, it can’t keep serving your community.
Profitable studios tend to:
Build recurring memberships early (aim for 50%+ of revenue).
Price services based on costs and market value—not emotion.
Adjust rates when rent, payroll, or inflation rises.
3. Instructor Team Strength & Hospitality
Your instructors aren't a line item on the P&L. They are your product.
Studios with loyal, well-trained instructors see fuller classes, steadier revenue, and resilient communities. You can fix a website. You cannot easily replace a deeply trusted teacher with ten years of relationships in the room. Your job is to create an environment where great instructors want to stay.
And customer service is underrated in the fitness industry. Walking in and being recognized, someone greeting you with a smile—that's what keeps clients coming back. Small moments of care drive retention, and retention drives profitability.
4. Owner Dependency
Building systems that reduce owner dependency isn't just about quality of life—it's about creating a valuable, sellable asset. The same practices that improve profitability also increase resale value.
If the owner is:
teaching the majority of classes
running the front desk
doing the cleaning
handling marketing, scheduling, payroll, onboarding…
…that business depends on one person. And that limits both income and valuation.
5. Brand Reputation and Client Retention
Pilates clients are loyal, discerning, and relationship-driven. They care who's teaching, who's in the room, and whether the experience feels consistently good.
Studios with strong profit have steady, repeat clients who stay for months or years, not weeks. Their schedules and teaching styles build trust. They know who they are—Classical, Contemporary, Hybrid—and their messaging reflects that.
Retention drives revenue consistency.
Consistency drives profit.
6. Equipment
Equipment quality and quantity directly impact profitability. More Reformers means larger class sizes and higher revenue per hour. Well-maintained Reformers, Cadillacs, chairs, and barrels reduce replacement costs. When evaluating a studio, check equipment condition because it affects both immediate capacity and future capital needs.
How Much Do Pilates Studio Owners Make?
"If I do this, what does it realistically mean for my income?"
Your income = salary for work you do + profit the business generates after expenses.
When we evaluate studios at BFB, we use Seller's Discretionary Earnings (SDE)—what the owner really takes home between salary, profit, and allowable add-backs like health insurance or personal vehicle use. That reflects the true earning potential.
Here's a helpful framing:
A lean, well-run single-location studio might support owner take-home in the $60k-$100k range in early years, growing to $100k-$150k+ as systems mature
An owner-operator teaching 15-20 hours/week typically takes home $50k-$80k in combined salary and profit
A semi-absentee owner with a strong manager might take home $80k-$120k+ with less hands-on work
Multi-location owners often reinvest early profits into growth, taking CEO-style salaries and building toward larger exits
The key: The business must generate enough margin to pay fairly for your role and still have profit left over. If it only "works" because the owner is underpaid, that's not sustainable—not for you now or a future buyer.
Cash Flow vs. Profit
It's important to distinguish between profit on paper and cash in your bank account. A studio can show profit on a P&L but still face cash flow challenges, especially in the early years.
Common scenarios:
If you're buying with an SBA loan: Debt service payments reduce your monthly cash flow significantly. A studio earning $100k in profit might only have $50k in actual cash flow after loan payments.
If you're growing: You may need to hire and train instructors before new revenue fully materializes, creating temporary cash tightness.
If you sell packages or memberships: You collect revenue upfront, but you "earn" it over time as clients use services. That can create accounting profit while cash gets tight if you're spending faster than services are delivered.
Equipment replacement and repairs: Reformers, Cadillacs, and other apparatus need maintenance and eventual replacement—these are real cash outlays that impact what's actually available to pay yourself.
When evaluating a studio's profitability, look at both the P&L and the actual cash flow. Ask: "How much cash does this business generate each month after all operating expenses, debt service, and planned reinvestment?"
How to Evaluate a Pilates Studio’s Profitability
Whether building or buying, the fundamentals are the same: understand the numbers and structures that drive profit.
If You're Buying
When you buy an existing studio, you step into revenue, a client base, instructors, and systems on day one—shortening the time to owner income dramatically. To understand long-term profitability, review operations: How many hours does the owner work? What exactly are they doing? Are there documented systems, or does everything live in one person's head?
Ask for:
2-3 years of P&Ls
2-3 years of tax returns
Class attendance and payroll reports
Lease documentation
Look for:
Consistent revenue (not wild swings)
Clear expenses (verified on tax returns, not just spreadsheets)
Recurring income (ideally 50%+ from memberships)
Healthy payroll percentages (instructors around 35-45%)
Low owner dependency (documented systems, strong staff)
If You're Building
Typical startup costs range from $150k–$350k for a lean, single-room studio to $300k–$500k+ for larger footprints or premium buildouts. This includes buildout and construction, equipment, software and marketing, and 3-6 months of working capital.
Key questions:
What rent can you afford and still profit? (Target: under 20% of projected revenue)
What pricing supports both accessibility and margin?
How will you build recurring revenue from day one?
What's realistic for class capacity and fill rates in your market?
Watch for Red Flags
You're not finding a perfect business. (Those are rare.) You're understanding what you're stepping into: the strengths and the challenges.
Watch for:
One-star instructor carrying half the schedule
Lease expiring soon with no renewal option
Incomplete or inconsistent financial records
High owner dependency with no clear transition plan
Underpriced services relative to market and costs
Can You Improve a Studio’s Profitability?
When evaluating a studio for purchase, look for improvement opportunities that indicate upside potential: underutilized class schedules, outdated pricing, high owner involvement that could be delegated, or low recurring membership percentages.
Studios with good bones but operational inefficiencies often represent the best value – you're buying at a fair price with room to increase margins through better systems.
Areas to improve profitability:
Class schedule efficiency
Pricing updates
Shifting clients to recurring memberships
Delegating daily operations
Clarifying staff roles
Eliminating waste or redundant expenses
Over time, the goal is to shift from "I bought myself a job" to "I own a business." That looks like building a team you trust, documenting how things are done, and moving your role from daily grind to leadership and strategy.
You don't have to do that overnight. You don't have to build 10 locations or sell to private equity. For many, the goal is simpler: a well-run, profitable studio that pays you fairly, supports your team, and becomes a valuable asset when you're ready to sell.
Interested in Opening a Pilates Studio?
If you're interested in buying rather than opening a Pilates studio from scratch, and you'd like help understanding whether a business is truly profitable, that's what we do every day at Boutique Fitness Broker.
The same things that make a studio profitable today are the things that make it valuable tomorrow: clean financials, thoughtful systems, sustainable roles, and a model that supports both your clients and your life. So, build a business you can sell.
Buy a Profitable Pilates Studio with Boutique Fitness Broker
Explore our current listings: Pilates studios for sale.
Choose from vetted, financially verified Pilates studios. We analyze the numbers, evaluate lease terms, assess staffing stability, and help you understand the operational reality. Whether you’re buying or preparing to sell, we help you move forward with clarity, confidence, and a partner who’s been through it.
Learn more about Boutique Fitness Broker.
FAQs About Pilates Studio Profitability
Q: Do Pilates studio owners really make money?
Yes. Well-run Pilates studios typically generate $50k-$150k+ in annual owner take-home, with net profit margins of 15-25%. Profitability depends on managing rent (under 20% of revenue), instructor costs (35-45%), and building recurring membership revenue (ideally 50%+).
Q: What's a realistic profit margin for a Pilates studio?
Well-run studios see 15-25% net profit margins. Key factors include rent under 20% of revenue, instructor payroll at 35-45%, and recurring revenue above 50%. Studios with excellent systems, strong retention, and manageable overhead can push higher margins.
Q: How much does it cost to open a Pilates studio?
Startup costs range from $150k-$350k for a lean, single-room studio to $300k-$500k+ for larger spaces. This includes buildout and construction, reformers and equipment, software and initial marketing, plus 3-6 months of working capital. The biggest variables are rent, space size, and equipment quantity. Many buyers prefer acquiring existing studios to avoid buildout costs and access immediate revenue.
Q: What is the average revenue of a Pilates studio?
Revenue varies widely by location, model, and capacity. A well-run single-location studio typically generates $200k-$500k annually, with the most efficient operations reaching $500k-$800k+. Multi-location owners can generate $1M+ across their portfolio. Revenue depends on class capacity, pricing strategy, membership base, and schedule utilization.
Q: Is it better to start from scratch or buy an existing studio?
Buying typically offers faster returns. You step into existing revenue, systems, and community immediately, versus 12-24 months to break even when building. With an SBA loan (10% down, 10-year term), you access cash flow on day one while the business pays down debt. Most buyers prefer purchasing because it shortens the path between "I own this place" and "this place supports me."