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In this section, you will present the costs associated with the initial investment and the spending plan for the first year of operation.
List the costs, dividing them into two groups:
After opening a gym, verify the costs regularly, preferably once a month.
Investment costs include, among others:
Regarding point 5 and 6, take into account a very important monthly purchase, which will however save your time and money finally. It’s a gym management software. You can compare some of the software providers on the market to meet the best gym management software . Yet, what we recommend is WodGuru . With its reasonable price, many useful features, amazingly helpful support and nice cartoon visual identity.
Create your own gym website in minutes.
Use WodGuru website creator to craft a site that turns visitors into customers. Don’t hesitate to contact WodGuru now.
How to finance the opening of a gym?
The biggest problem for a novice gym owner is finding financing for the first business. Various options are worth considering.
Considering bank loans or a subsidy, you must first think about the black scenario. What will happen if your business fails and you have to return the borrowed money? But also what to do to prevent this from happening? How much does it cost to open a gym and which costs are inevitable? How high the margin you have to impose on the training performance? This is the key to assessing the chance of return on investment in the gym.
The financial forecast consists of 3 elements:
Profit and Loss Account You will need to estimate the value of the sale considering the size of your gym, target market, sales volume, and revenue cost. You will get a profit and loss forecast, comparing this with the costs. The easiest way to prepare a profit and loss account is in the form of a table:
Months of running a business | Month 1 | Month 2 | Month 3 | e.t.c. |
---|---|---|---|---|
Number of fitness classes per month | ||||
Average class value | ||||
Monthly income (turnover) | ||||
Variable costs per month | ||||
Fixed costs per month | ||||
Profit per month | ||||
Profit margin (in percentages) |
Investors will want to know how much revenue you will need to generate each month to break even after all fixed and operating costs are considered. In the analysis, you should show how you intend to generate the necessary revenue, even in difficult months with lower sales.
It is worth doing it to assess the negative scenarios.
This will allow us to be prepared better for different financial crises and reduce stress when such a situation arises.
Make a sensitivity analysis in the form of a table
– – – | – – – | – – – | – – – |
Business is people. Describe what your team will look like, dividing it into two groups:
If you are looking for investors, this area can be critical for them.
Describe the founders:
Which positions are necessary for the daily functioning of the premises? Is it the receptionist, a permanent personal trainer, an outsourcing trainer, social media platforms specialist, etc.? Who will suffice as emergency help?
Think about which people you already know with the necessary competencies. Which ones will you have to look for or train as your employees from the beginning? The cost of necessary training should also be included in the gym business plan.
Describe the team you need to build:
Ideally, your marketing strategy should include the items we listed. Below we describe how to do effective marketing in your branch.
Create image of your gym with ease.
Increase your customers’ satisfaction by using the WodGuru gym CRM system, no expertise required. Sign up for free!
Determining the direction of development is very important at the beginning of your business. When setting gym goals you want to achieve in a certain time, you should start with the wider ones, reaching those at the everyday level. It is also worth considering how you want to achieve these goals.
During project execution you need to observe and adapt initial goals. It enables effective management and reduces losses in marketing, service, and other areas. Your gym’s written plan should clearly outline the vision and strategies to achieve desired objectives.
We created a sample gym business plan to help you write your plan. Click below to download an example of a business plan for a gym.
Download: Free gym Business Plan Template
Let the customers book classes and trainings online
Set up a gym booking software for your website in minutes. Boost revenue while saving time.
Key Takeaways
How to write small gym business plans.
Regardless of the size of the gym or business, the steps of gym business planning remain the same. Writing this document for a small gym consists of creating:
In our opinion, yes. If you are serious about putting your place in the whole fitness industry, you must implement a repetitive method of working “on the company”. A BP that is updated regularly every month and year is a way to run a business.
Opening a gym with no money can be challenging, but it’s not impossible. Here are some ways to open a gym without enough funds:
Discover more ideas on how to open a gym with no money.
Promoting a gym is key to attracting new guests, increasing sales and retaining regular customers. A few steps to help you promote your gym:
Check these gym promotion ideas for inspiration.
A gym’s profit depends on many factors, such as location, offer, prices, service quality, and business size. The average gym profit margin is between 10 and 15% per year, but it can vary significantly depending on the factors mentioned above.
Franchise gym profits on the lower end of 10%, boutique fitness studios averaging 20% to even 40% profit margins, and CrossFit gym profit margins in the 25-30% range.
A gym business plan is crucial for several reasons:
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Crafting a gym business plan that prioritizes modern technology can help your new fitness business succeed.
A passion for fitness alone isn't enough to open a gym . If you want your business to thrive, you must create a roadmap for success. Gym business plans outline your business's goals and strategies to help you reach those goals, providing a structured framework for decision-making, resource allocation, and long-term growth.
Let’s explore everything you need to know to craft a successful business plan for your gym.
Crafting your gym business plan with modern technology at the forefront, the core components of a tech-driven gym business plan, creating your niche and target market, the importance of financial forecasting, innovative marketing strategies for the modern gym, leveraging technology in your gym business plan to enhance your members’ experience, gym pricing strategies and membership models, measuring success: key metrics to track in your business.
Writing a business plan can feel daunting, and you may wonder if it's worth the time and resources. While you may feel overwhelmed now, pausing to plan offers significant benefits.
A well-thought-out business plan improves your chances of success and accelerates growth. Studies show that entrepreneurs with formal business plans are more likely to succeed .
Additionally, companies with well-developed plans grow 30 percent faster than those without. Why? A strategic business plan creates a path toward achieving important milestones. It outlines specific strategies, timelines, and measurable targets, enabling you to track progress and adjust as needed.
Whether you're seeking a loan or attracting investors, a comprehensive gym business plan is essential to secure funding for your fitness venture. Potential investors and banks typically require a business plan that includes market data and opportunity, a high-level marketing and growth plan , and projected costs and revenue.
With over 32,000 United States health clubs vying for members, new gyms must incorporate modern technology in their business plans to outperform their competitors.
"Technology spans nearly every element of the modern gym environment," says Randy Hetrick, Founder and CEO of OutFit Training. "From member acquisition, utilization, and retention analytics to scheduling, billing, goal setting, program design, biometric analysis, and more – technology touches nearly every aspect of a modern club."
In today’s rapidly evolving fitness landscape, adopting a tech-forward strategy isn't optional; it's a necessity.
Improves member retention.
Providing a location to pump iron and break a sweat isn't enough to retain members. In fact, most gyms lose 50% of new members within six months of joining. Today, gym goers demand more than just equipment. They want a seamless experience that takes their fitness to the next level. Incorporating modern technology, such as personalized workout apps, virtual classes, and progress tracking, enhances your member's experience and improves retention.
Repetitive administrative tasks are a time suck for gym owners. Ditch the spreadsheets and opt for a more efficient gym management strategy by investing in gym management software. Gym management software streamlines fitness facility operations by centralizing tasks like member registration, class scheduling, and billing. It also automates routine processes, like membership renewals and payments, reducing administrative work and minimizing errors.
The demand for online exercise courses has increased 132% year-over-year. This trend presents opportunities for gym owners interested in diversifying their revenue streams and bringing in more money.
Offering virtual workouts caters to individuals who may be too busy to visit the gym every day. It can also help boost in-person attendance by 12%. This means not only meeting the needs of those who prefer the flexibility of virtual workouts but also encouraging more people to show up at the gym when they can. It’s a win-win situation for gym owners looking to adapt to changing preferences and attract a broader audience.
Now that you understand the importance of a gym business plan and technology's role in helping your fitness center thrive, let's explore the essential elements aspiring entrepreneurs should include when crafting their strategies.
Your executive summary serves as a bird's eye view of your gym, providing insights into your business model at a glance. This section introduces your business idea to readers and includes your mission statement, goals, leadership, operations, and locations.
This section outlines the range of products and services your gym will offer. Here, you should provide pricing information and detail your services' unique features and benefits, emphasizing how technology will enhance the overall fitness experience for your members.
If you want to turn your dreams of gym ownership into a reality, you need to understand consumer behaviors in your area and economic trends in the fitness industry. In this section, delve into your local market, identifying target demographics, competitors, and potential growth areas. Analyze the demand for tech-driven fitness solutions and showcase how your gym is positioned to meet and exceed these market needs.
This section should detail your marketing strategy, outlining how you plan to promote your gym and attract members. Include both traditional and digital marketing approaches, like social media marketing. A well-crafted marketing strategy will include strategies for building brand awareness, promoting special offers, and fostering community engagement.
This section should outline your gym's financial planning and projections. If you already own a fitness business, include your financial statements from the previous two years, a listing of current or desired equipment to be purchased, and other relevant financial documents.
Aspiring gym owners should provide detailed financial projections, including revenue forecasts, expense estimates, and expected profit margins. If you need funding, include details about the financial assistance your gym will require. Most likely, you already know your business growth path. Demonstrating that growth path to third parties will help you unlock the funding you need to spur things into action.
In 1976, Gold's Gym claimed its title as "the Mecca of bodybuilding." Fast forward to 2024. What title will your gym claim?
The fitness industry is packed like a spin class on New Year's Day. To stand out, you need to carve your niche. It's not just about being different. It's about creating a brand identity that makes fitness enthusiasts say, "That's my kind of gym!"
Make your niche your gym's superpower. Why? It'll help you stand out. It'll narrow down the competition. (Because, let's face it, competing with everyone will exhaust you.) And it'll make you the go-to expert in your field.
Richard Wolff, owner of Medfitness, puts it perfectly : "To be successful, you really have to drill down on some specific entity. Whether it's a product or service and the one thing that we've done, that I've done for thirty years is getting more specific and more specific and more specific."
Don't try to be everything to everyone. Find your thing and own it.
Ready to carve out your niche? Here's your game plan:
1. Get introspective: What makes you jump out of bed for fitness?
2. Play detective: What's your local fitness scene missing?
3. Think creatively: Who's being overlooked in the market?
4. Crunch numbers: Will your chosen niche pay the bills?
Sound daunting? Maybe. But here's the kicker: when you nail your niche, you own it. As Wolff says, "When we look at successful people and successful entrepreneurs in any industry, whether it's business or musicians or whatever it is, if you're going to be good at something you have to own that one thing." So find your "one thing." And own it.
Remember, don't choose a niche because it looks good on paper. Make sure you're passionate about it, or you'll burn out faster than a New Year's resolution.
Your gym has a perfect customer. It's time you met them. Defining your ideal members is an essential, ongoing process for gym success. By understanding your target market, you can tailor your offerings, marketing, and overall gym experience to attract and retain the members who will drive your business forward.
Here's how to nail it:
One fitness marketing guru suggests : "Defining your target market will play a crucial role in the success of your fitness business. Often it is suggested that you continually test your brand proposition with different groups of your customers to find the group that brings you the most business."
Translation? Keep refining your understanding of your target market. It's an ongoing process, like gains at the gym.
Let's look at some gyms that have crushed the niche game:
1. Orangetheory Fitness: High-intensity interval training with heart rate monitoring (for data lovers who sweat)
2. Pure Barre: Ballet-inspired low-impact workouts (for graceful gainers)
3. CrossFit: Functional fitness and community-based training (for team players who lift)
These brands have gone global by zeroing in on specific fitness experiences.
Another example is Pure Gym, which "aims to provide an inexpensive, high-quality fitness experience using innovative technology." They've found success by focusing on affordability and tech - proof that you don't need to reinvent the squat rack to stand out.
When you're choosing your niche, keep these questions in mind:
1. Will this niche keep your lights on long-term?
2. Is there enough demand for your special sauce?
3. Can your niche flex with fitness trends?
Defining your gym's niche and target market will be more than a box to check off on your business plan. It'll become the foundation on which everything else builds. Nail this part—your future self (and your future members) will thank you.
Opening a gym is not for the faint of heart. Industry professionals estimate that 81% of fitness studios fail in their first year. This failure rate is often due to insufficient funds. If you want to avoid becoming a negative statistic, it’s essential to have a realistic financial plan in place before you open. Financial projections can help establish a budget and create benchmarks toward achieving your gym’s financial goals.
Financial projections predict the future income and expenses of your gym. This information helps you anticipate financial needs, set realistic goals, and demonstrate your business’s viability and potential success to investors.
Collect relevant data.
Established gyms can consult their historical data, like past financial statements, when crafting their financial forecast. However, aspiring gym owners with no historical data must conduct more research. Helpful data to explore when creating financial forecasts includes comparable market research (local and national), industry benchmarks, and analyst reports.
Typical gym expenses vary widely from facility to facility. Opening a gym can cost anywhere from $50,000 to $1 million. When creating your financial forecast, consider the cost of opening a gym and ongoing operational expenses like staff salaries, insurance , the cost to lease property, and marketing.
Make a list of your planned revenue streams and project the monthly sales for each. Possible revenue streams for gyms include memberships, merchandise, digital classes, and personal training. Use the data you collected at the beginning of this process to make sales predictions. Remember that revenue tends to ramp up over time, so include a reasonable growth rate for revenue, start at $0, and build into what you believe is realistic.
To forecast your net profit, compare how much money you plan to spend on the business with your predicted revenue. Demonstrating a path to profitability will show your lenders or investors (and most importantly, yourself) that your gym can be a successful and profitable operation.
Create a well-designed website.
Today's consumers expect businesses to have a website. Nearly everyone conducts online research before making a purchase. If you want to be on your target audience's radar, you must provide them with the opportunity to learn about your gym online.
If it's in your budget, we recommend working with a website designer. Poorly designed websites can do more harm than good, driving away potential customers. Skilled website designers will ensure that your website looks professional and is easy for users to navigate.
Many business owners think having a website is enough to get discovered. However, creating a professional-looking site is just the tip of the iceberg. If you want your business to show up when prospects search for gyms in their area, you must invest in search engine optimization (SEO).
SEO enhances your website's visibility by optimizing your site's content and structure to rank higher in search results. This makes it more likely that prospects will find your business. Tools like Semrush and Ahrefs can help you identify keywords to include on your site that may help improve your ranking. Given how tricky SEO can be, having a pro in your corner can make things way easier and boost your gym's online game.
With over 302 million social media users in the United States alone, social media marketing helps gyms reach a wider audience. Leveraging platforms like Facebook, Instagram, and TikTok allows fitness establishments to connect with potential clients, share engaging content, and build a community around their brand.
When crafting your social media marketing strategy, include multiple social platforms. Today, the average user engages with up to seven platforms a month . Creating content across different platforms aligns with user behavior and maximizes your gym's visibility.
As other digital marketing strategies have arisen, you may wonder if email marketing is still relevant. Let’s set the record straight. With 99% of email users checking their inbox daily , email marketing remains an effective tool for reaching and engaging your target audience.
Gym owners can utilize email marketing to promote special offers, fitness challenges, and exclusive content to their members.
When deciding what products and services you want to include in your gym business plan, consider ways you can integrate technology into the workout experience. Offering fitness tools beyond the standard free weights and cardio machines will help improve your members' health journey and help you stand out from competitors.
If you want to attract tech-savvy members, Randy Hetrick recommends investing in a gym app, saying,"Start with a great member app that engages, challenges, and rewards your members for exhibiting the behaviors that will deliver the results they seek."
Not techy enough to create an app yourself? No worries. Gym management software often includes custom-branded member apps as part of their software solution. These apps allow members to view and reserve classes, track workouts, and access digital exercise programs.
While some people enjoy going to the gym to pump iron, 56.1% of exercisers prefer working out at home . Offering remote training options like digital personal training or online classes can help you tap into this market and add another revenue stream to your business.
As fitness technology advances, exercisers have become increasingly interested in tracking their health data. Nearly one-third of Americans use wearable tech like smartwatches to track metrics like steps, heart rate, and burned calories.
Recognizing consumer interest in this trend, successful fitness brands like Orangetheory Fitness utilize smart tech in their workouts. This provides members with helpful information on their health and facilitates friendly competition.
Consider elevating your gym’s membership experience by investing in customized wearable tech for your members. Providing devices like MyZone trackers at the beginning of each training session lets you gamify classes through leaderboards showcasing individual efforts.
With 38% of gym goers citing equipment as their primary reason for visiting their gym, investing in quality exercise tools is crucial. Smart equipment like Peloton bikes and Tonal strength machines track users' progress and provide real-time feedback. This data allows individuals to refine their exercise techniques, prevent injuries, and optimize their workout efficiency.
Determining the right pricing strategy for your gym can be tricky. If you charge too much, you'll scare away your target audience. On the flip side, if you charge too little, you'll hurt your bottom line.
To strike the right balance, examine your forecasted expenses and research your competitors' pricing. This will give you a strong idea of how much money you need to bring in each month to stay profitable and how much you can charge to remain competitive in the market. Below are standard pricing model options that may be a good fit for your business.
Monthly memberships are one of the most popular membership models among gyms. These plans have a fixed monthly fee that grants members access to gym facilities and services.
Membership plans structured in tiers offer varying levels of access to amenities and services based on the chosen tier. Higher tiers often come with additional benefits at a higher cost.
If your gym offers a variety of classes, you may want to consider offering class packages. This membership option allows members to purchase packages that include a set number of classes allowing flexibility in attendance.
After creating a gym business plan, ensure it stays on track by using metrics to monitor its progress. Research shows that companies that track their progress are more likely to achieve their business goals . While the best metrics to track will vary from business to business, keeping tabs on the following metrics will give you valuable insights into the health and growth of your gym.
Net Profit Margin is a profitability ratio that calculates the percentage of net profit relative to total revenue. Your net profit margin is one of your gym's most important financial health indicators. This metric helps determine how much of every dollar your make is kept as profit.
Gross Profit Margin is the percentage of revenue left after subtracting the cost of products and services sold (like labor, equipment , and other consumables), showing how well a gym manages its core operations.
Revenue growth is the percentage increase in total income over a specific period, reflecting the expansion or contraction of the business. It's important for gyms (and all businesses) because steady revenue growth indicates an increasing demand for your services.
Your gym's member retention rate is the percentage of members retained over a set time period. A high retention rate indicates happy clients that contribute to a consistent revenue stream.
Your gym's member growth rate reflects the percentage increase in members over a specific period. A higher growth indicates an increase in popularity and will likely increase revenue.
Opening a successful gym requires a little planning. But, investing time into crafting a strategic business plan increases your likelihood of success and improves your chances of receiving funding. Check out the U.S. Small Business Administration's resources for more information about creating a business plan.
Take the next step in your fitness journey.
Michelle King
Meg Lambrych RN, NASM, CPT
February 8, 2023
Whether you are starting a studio, or already run one, a well-crafted fitness studio business plan is essential for building a profitable fitness business. A solid gym business plan helps you stay on track by identifying key market dynamics, illuminating opportunities for competitive advantage, and giving you key performance metrics to focus on.
Your fitness studio business plan may drive such critical decisions as where to locate your gym, how large a space to buy or lease, how many staff members you hire, what their pay rates should be, how many fitness classes and what type of classes and training programs you’ll offer, and the most effective ways to promote your fitness business.
If you own and operate an already established fitness business, revising your business plan – or creating one if you never have – can make a huge difference in boosting your bottom line and helping you to grow, especially if your gym’s growth has plateaued. A business plan is a constantly evolving blueprint that should reflect where your fitness business is in the moment, and let stakeholders know where you’re going and how you plan to get there.
In this post, we’ll review the elements of a solid small gym fitness plan, give you some gym business plan examples and links to gym business plan templates.
Executive summary.
In this section of your gym’s business plan get down on paper your “why.” What is the purpose of your fitness business plan? What elements will you include in your gym’s business plan and why? How will this business plan demonstrate the viability of your fitness studio over time? What are your long term goals and how will you define success? Consider this section your “elevator pitch.”
Starting a fitness business is no small feat. Doing your homework up front will not only give you confidence to weather the ups and downs of running your own business, but show potential investors that you’re prepared. Imagine being an investor who is reading your business plan, and whom you want to assure that you’ve got a solid vision backed up by well researched facts and figures. Add a few lines about your fitness business’s “why” that inspire and demonstrate your passion and commitment as a small gym or fitness business entrepreneur.
This is the place to give all the details about who, what, where, when and why your fitness business exists. Include your mission and vision plus a detailed description of the type of services your fitness business offers and to whom. How is your gym or fitness studio structured? Is it independently owned by one or more people? Is it a franchise? Is there more than one location? What is the ownership structure? Are there shares? How are important business decisions made and by whom?
This is the place to give clear, concise information about the products and services you offer, why you started your fitness business and what differentiates you in your local market.
Taking time to research your market, understand trends and map the competitive landscape can make or break a fitness business, whether you’re in start-up mode, or an established player.
What is your population size? How far are the people living in your area willing to travel to work out? What is your target demographic in terms of age, gender, income and other lifestyle factors? Pinpoint your major competitors. Get to know their pricing and promotions. Is there an unmet need in your area that your fitness business can tap into? You may want to consider using a SWOT format, outlining the strengths, weaknesses, opportunities and threats for competing gyms and your fitness studio.
Also, make sure you’re on top of the latest national and global fitness industry trends like online workouts and gym-goers’ preference for small boutique fitness experiences versus big box gyms. What innovative programs and services are top companies offering? Why?
Many small fitness business plans rely solely on word of mouth to promote their gym. While getting great recommendations through your community is an essential step in building a thriving fitness community, long-term, your fitness studio needs to have a solid, multi-channel marketing strategy to maximize your brand’s exposure to potential new customers.
In today’s competitive fitness industry landscape, it’s essential to understand how to efficiently use digital marketing platforms like social media, local search and email. To effectively run promotional programs, having a fitness business software platform that tracks your customer’s engagement and includes email, web and social media integrations is essential.
List all the key members of your fitness studio’s leadership team and include professional, biographical information that highlights their skills and experience. Your gym’s leadership team could include owners, board members, investors, lead instructors, sales and customer service representative and any business advisors you may have brought on board.
Describe how each person on the team will guide your fitness business to success. Consider including compensation structures and information about performance bonuses. Plan ahead for an eventual sale of your fitness business and formalize how owners and/or investors will be paid.
This is the section where many new business owners are overly optimistic. Base your financial projections on fact and always over-estimate expenses and under-estimate revenues. This includes being realistic about membership sales, seasonal fluctuations, attendance and staff turn-over. Calculate your gym’s monthly expenses and then figure out what your revenue per class or training session needs to be to cover your expenses plus owners’ compensation. From here you can determine how many class passes and/or monthly membership’s your fitness business will need to be profitable.
There can be a high turn-over rate in the gym business, so you’ll need a steady stream of potential new students coming through your doors each month, and know at what rate they will convert into long-term customers. Know your fitness niche’s average new student conversion rate.
Build out at least five years of financial profit and loss estimates. Be sure to take into account any rent increases in your lease, taxes, increases in instructor pay and get granular with your expenses, from phone and internet to Facebook ads to the toilet paper in the bathroom, and don’t forget all those new cleaning products you’ll need to operate safely and courteously in a post-pandemic world.
BusinessPlanTemplate.com This site offers a free outline of all the core content you’ll need to include in a fitness studio business plan. You can purchase a step-by-step business plan builder, including access to customer service and expert advise for $97. Business Plan Template.com is rated A+ by the Better Business Bureau and has strong, positive ratings from satisfied customers.
Bplans If you need a bit of inspiration check out or Bplans DIY gym sample plans for fitness centers, corporate fitness, gyms, health clubs, as well as martial arts studios, gymnastics schools, and a number of other athletics businesses.
For those who want a higher level of support in creating a full fleged, modern business plan, Bplans offers a paid option called LivePlan . It contains the same templates and information you can access for free on the company’s website, plus additional guidance to help you develop a complete plan. Pricing starts at $12/mo. for a year subscription or $18/mo for a 6 mo. plan.
Institute of Personal Trainers This well-respected trade organization offers personal trainers a free business plan that includes step-by-step instructions. You can download the guide using the link on the association’s website. The institute understand that during the process of writing a business plan you will be presented with questions, ideas or challenges that you might not have thought of before. According to the organization, this alone makes it worth doing.
Remember, it’s better to start the process of creating a gym business plan, even if you feel intimidated, than to procrastinate until you feel you’ll get it perfectly right. There is a wealth of knowledge to be gained simply by going through the process. Writing out your fitness studio business plan may open your eyes to blind spots in your business strategy or long-term performance goals and shift your business into a whole new realm of growth opportunity in the coming year.
Our top 7 business tips for opening a yoga studio, new customer workflow – combining automations to enhance customer onboarding.
BUSINESS STRATEGIES
Are you passionate about fitness, enjoy creating a welcoming environment and love helping people achieve their health goals? If so, starting a gym could be the perfect business for you. In this guide, we'll take you through the process of starting a gym, from developing your concept to creating a business website and implementing effective gym marketing strategies . We'll also address the challenges that come with running a gym and provide actionable steps for overcoming them.
A gym business is a facility that provides fitness and exercise services to individuals. This type of business typically offers various workout equipment, fitness classes, personal training and sometimes additional amenities like showers and locker rooms. Gyms are designed to promote physical fitness, improve health and support individuals in achieving their fitness goals.
Gyms have developed into more than just places to exercise—they have become integral to people's wellness journeys and social lives. The fitness industry is experiencing significant growth, with the demand for fitness services and facilities on the rise. In fact, by 2028, the fitness industry is expected to have grown 171.75% to $434.74 billion. As a gym owner, you have the opportunity to tap into this thriving market and make a positive impact on people's lives by starting this kind of a service business .
If you're passionate about fitness and ready to turn your dream of starting a business into a reality, here are seven helpful steps to lay a strong foundation:
Create a business plan
Select a business structure
Obtain financing or capital
Set up accounting and bookkeeping systems
Choose an appropriate location
Source gym equipment
Register, license and insure your gym
Develop a comprehensive business plan that outlines your gym's mission, target market, competitive analysis, marketing strategies, financial projections and operational details. This plan will serve as a roadmap for your business and guide your decision-making process. To get started, check out our guide on how to create a gym business plan .
Once you've written your business plan, write a concept statement to outline your vision.
How this business owner turned her understanding of her target audience into a successful gym business
Raquel “Rocky” Harris knows a thing or two about kicking ass. She’s a five-time Muay Thai champion, Team USA gold medalist, Fight Camp trainer (that’s basically the Peloton of boxing)—and, most recently, a thriving entrepreneur (see our guide on how to become an entrepreneur). Harris now uses Wix eCommerce to sell a collection of wellness products to athletes like herself as the founder of Warm Up .
“I was making my own hand sanitizer and thought ‘why don’t they have sanitizers that kill fungus?,’” she says. “ There are always breakouts in boxing gyms due to common skin infections like ringworms. Tea tree soap is anti-fungal, so I started adding it to my hand sanitizers, which eventually evolved into my sweat butters.”
She launched her first product line while training clients and creating Wix sites for her colleagues, all while moving across the country to shoot workouts for Fight Camp.
Choose a legal structure for your gym, such as a sole proprietorship, partnership , limited liability company (LLC ) or corporation . Consider consulting with an attorney or a business advisor to determine the best structure based on your specific needs, liability protection and tax considerations.
As you plan your gym, it’s important to explore different options to raise money for your business . These may include personal savings, loans from financial institutions, grants, partnerships or seeking investments from private investors. Research and prepare a solid business case to increase your chances of securing financing.
Establish accounting and bookkeeping systems to manage your gym's finances effectively. This includes keeping track of income, expenses, payroll and tax obligations. Consider using accounting software or hiring an accountant to ensure accurate record-keeping and financial management.
Selecting the right location for your gym is crucial to its success. Look for an area with high foot traffic, easy accessibility and sufficient parking. Consider the demographics of the surrounding population and the competition in the area. Lease or purchase a space that aligns with your gym's size, layout and amenities.
Research and source the necessary gym equipment to create a functional and appealing workout space. Determine the types of equipment based on your target market's preferences and fitness goals. The cost of opening a gym will vary depending on the brand, quality and quantity of equipment. Create a budget and compare prices from different suppliers to find the best value. Keep in mind, proper maintenance and regular equipment inspections are essential for the safety and longevity of your gym equipment.
Before you apply for your licenses and permits, you’ll want to make sure you have a solid name for your business . Consider using a business name generator for inspiration. Once you’ve settled on a name, you can move on to registering your business with the appropriate government agencies and obtaining the necessary licenses and permits. This may include registering your business name, obtaining a tax identification number and securing health and safety permits. Additionally, you’ll need to obtain the right insurance coverage, such as liability insurance, to protect your business and members in the event of accidents or injuries.
Be inspired: Gym business name ideas , Fitness business name ideas
Opening and managing a gym effectively requires careful planning and attention to detail. With this in mind, we recommend focusing on the following areas.
Keeping on top of your inventory management is key. Regularly assess inventory levels and reorder necessary supplies to avoid shortages. This includes doing your due diligence to make sure you’re getting the best deals on supplies. These items can quickly add up, chipping away at your profit, so be intentional about sourcing to make sure you don’t get stuck overpaying. At the same time develop a system for tracking and managing inventory, such as exercise equipment, cleaning supplies and amenities.
Be sure to deploy technology to your advantage when managing your business. You can implement management software to streamline back-end and front-end operations, such as membership management, class scheduling and payment processing. At the same time consider integrating your POS system with inventory and CRM tools for seamless data synchronization, efficient reporting and improved customer service. Wix's POS solution does just this.
You can also consider making a website that has specific templates and features for gym owners like fitness program information, class schedules and online reservations. Check out Wix’s Gym Website Templates , or these best fitness websites for inspiration.
Make sure that your gym is a clean and welcoming environment that customers will want to return to. In order to ensure this you’ll need to develop and enforce cleanliness and maintenance protocols to ensure a safe and hygienic environment. If equipment is broken or not properly maintained, it can not only be an inconvenience for your members, but can be dangerous as well, so you’ll need a maintenance process to tackle this. At the same time, seek feedback from your gym members and address any concerns promptly to maintain a high level of customer satisfaction.
Prioritize providing comprehensive training to employees on gym operations, safety procedures and customer service. This should include clear guidelines and procedures for opening and closing the facility, managing memberships, handling inquiries and resolving member issues.
Be sure to also conduct regular training sessions to keep employees updated on new equipment, fitness trends and customer service best practices.
Yes, opening a gym business can be profitable. In fact, the gym industry is a multi-billion dollar industry, and it's expected to continue to grow in the coming years. However, it's important to note that not all gym businesses are successful. There are a number of factors that contribute to the success of a gym business, including the location of the gym, the services offered and the management team.
Here are some tips for increasing the chances of profitability for your gym business:
Choose a good location. Your gym should be located in a convenient area with high visibility.
Offer a variety of services and amenities. This will help appeal to a wider range of customers.
Keep your gym clean and well-maintained. This will create a positive experience for your customers.
Hire qualified staff. Your staff should be knowledgeable about fitness and customer service.
Market your gym effectively. Let potential customers know about your gym and the services you offer.
The cost to open a gym business can vary depending on a number of factors, such as the size of the gym, the type of equipment purchased and the location of the gym. However, in general, you can expect to spend between $200,000 and $500,000 to open a gym business.
Here is a breakdown of some of the typical start-up costs for a gym business:
Lease or purchase of a commercial space: $50,000-$200,000
Purchase of commercial washers and dryers: $50,000-$100,000
Purchase of other equipment, such as folding tables and chairs: $5,000-$10,000
Signage and marketing: $5,000-$10,000
Permits and licenses: $1,000-$5,000
Working capital: $25,000-$50,000
Total start-up costs: $200,000-$500,000
There are a number of ways to reduce the start-up costs for a gym business. For example, you can purchase used equipment, lease a commercial space instead of purchasing it and start your gym business on a part-time basis. You can also seek out funding from investors or lenders.
Promoting your gym is essential to attract new members and build a strong customer base. Here are five tips to get your business out there and noticed.
Consider attending local community events, fitness expos and industry conferences to network with potential customers, suppliers and other business owners. Take this a step further and collaborate with local fitness influencers or trainers to host special events or workshops at your gym. You can also connect with local businesses, such as coffee shops or restaurants, and explore opportunities for partnerships or cross-promotion. Build on these external promotions by offering referral programs or incentives for current members who bring in new members, via word-of-mouth marketing.
In order to promote your business you’ll need to develop a comprehensive marketing plan that includes both online and offline strategies (and if you are already passionate about marketing, check out how to start a marketing business ). Potential online marketing efforts include digital marketing techniques like search engine optimization (SEO), pay-per-click (PPC) advertising and email marketing to reach a wider audience online.
You can also consider offline advertising options including local radio, television and print media, as well as outdoor signage and direct mail campaigns.
When it comes to starting any kind of business, making a website is essential in terms of effective promotion and management. You’ll need a professional and user-friendly website to showcase your gym's facilities, services and membership options. Utilizing a website builder like Wix to easily create and customize your gym's website without extensive technical knowledge is a great way to build a professional site fast when you're in the throes of starting a fitness business . You can additionally use Wix’s logo maker to create a logo that you can feature in all of your digital assets. Check out these fitness logo ideas for inspiration.
Social media is an important part of promoting businesses, especially gym businesses. Consider creating on popular social media platforms like Instagram, TikTok, Facebook and YouTube to reach a wider audience and build a community around your gym.
The next step is then to share engaging content such as workout tips, success stories, member spotlights and behind-the-scenes glimpses to encourage interaction and attract potential members. Furthermore, you can run social media campaigns and promotions, such as free trial passes or exclusive discounts, to incentivize engagement and generate interest.
Gymshare : Gymshare is a home gym-sharing platform. Skip the lines and enjoy total privacy in one of Gymshare’s fully vetted at-home gym set-ups.
Impulse Fitness : Impulse Fitness is a 24/7 access gym, fully equipped with top of the line equipment and an awesome group of members. They offer one price memberships that include unlimited classes for a LOT less.
In Awe Fitness : In Awe Fitness is a ladies only health and wellness group fitness studio. They offer group classes that cater to all levels of fitness—whether you're just starting out or you're looking to take your fitness to the next level.
Classic Bodyworks Gym : Classic Bodyworks is a family owned and operated “old school” gym since 1995. They offer members 24 hour access, free babysitting and a highly certified personal training staff.
In summary, as the owner of a gym business, you’ll get to:
Be the architect of your success: You have the freedom to shape your business according to your vision. From selecting the equipment and classes to creating a unique atmosphere with music and décor, you have the opportunity to build a gym that aligns with your goals.
Create a supportive community: Gyms serve as more than just fitness centers; they foster a sense of community and provide a space for individuals to connect, motivate each other and achieve their fitness goals together. If you have a passion for connecting people, starting a gym could be a fulfilling endeavor.
Realize profit potential: With the growing interest in fitness and wellness, there is significant profit potential in the gym industry. By offering quality services, diverse workout programs and excellent customer experiences, you can attract a loyal clientele and generate sustainable revenue.
Build a flexible schedule: Running a gym provides flexibility in terms of working hours and the ability to choose your hours. You can find the sweet spot between a schedule that suits your lifestyle and caters to the needs of your clients.
While starting a gym can have numerous advantages, there are also several challenges to consider:
High startup costs: Establishing a gym requires a significant investment in equipment, facility renovations, lease or purchase costs and initial marketing expenses. It's important to carefully plan and secure sufficient startup capital and funding.
Equipment selection: Procuring the right gym equipment that meets the needs and preferences of your target audience can be challenging. It's crucial to conduct thorough research, consider space limitations and invest in high-quality, durable equipment.
Attracting and retaining members: In a competitive market, attracting and retaining members can be a challenge. Effective marketing strategies, excellent customer service and providing a unique and valuable experience are essential to stand out from the competition.
Staffing and management: Hiring and managing qualified staff—including trainers, instructors and administrative personnel—can be demanding. Ensuring their expertise, professionalism and commitment to delivering a positive customer experience is crucial.
Is a gym a good business to start.
Whether or not a gym is a good business to start depends on a number of factors, such as your experience, budget and the market in your area.
If you're passionate about fitness and have experience in the fitness industry, then owning a gym may be a good business for you. However, it's important to do your research and develop a solid business plan before starting a gym.
You should also consider the market in your area. Is there a high demand for gym memberships? Is there a lot of competition? Answering these questions will help you to determine if starting a gym is a good business decision for you.
How to start a gym business with no money, is it hard owning a gym, how to start a business in a specific state.
If you're looking to start a gym business in a specific state, here are some helpful resources:
How to start a business in South Carolina
How to start a business in Michigan
How to start a business in California
How to start a business in Arizona
How to start a business in Texas
How to start a business in Maryland
Don’t see your chosen state here? You can use the search bar in the Wix Blog to find all the information you need.
How to start an online business
How to start a consulting business
How to start a fitness business
How to start a fitness clothing line
How to start a makeup line
How to start a candle business
How to start a clothing business
How to start an online boutique
How to start a T-shirt business
How to start a jewelry business
How to start a subscription box business
How to start a beauty business
How to start an eCommerce business
How to start a dropshipping business
How to start a farming business
How to start a plumbing business
How to start a food prep business
How to start a rental property business
How to create a website from scratch in 11 steps (for beginners)
How to start a business in 14 steps: a guide for 2024
How to create a gym business plan
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Full of enthusiasm and energy, they put up a shingle outside a warehouse space. These owner-operators focused on becoming great coaches, not creating a perfect CrossFit gym business plan. And they did great work serving their clients.
But they spent more than they needed to at start-up, they didn’t project revenue, they didn’t perform a break-even analysis, and they never created a balance sheet. Their prices didn’t reflect expenses and desired profit margins.
They also assumed marketing would take care of itself and failed to consider barriers to entry, local market trends, service potential, target audience demographics, competition and branding. They thought a commitment to coaching excellence would drive word-of-mouth traffic to the door. Worse, they never created staffing and operational plans.
Some of these ventures didn’t survive. Without a business plan for the gym, the owners worked long hours and struggled to turn a profit. Those that did turn a profit without a plan often weren’t making enough, so they turned to a mentor. That’s where Two-Brain comes in.
We help existing microgyms fill in the blanks that should have been addressed with a business plan for a CrossFit gym in the first place. We help them fix things. We help them with operations, staffing, pricing, marketing and retention. We essentially backfill a gym’s business plan through mentorship and our Growth ToolKit—a step-by-step guide to building a profitable, successful enterprise.
But we also work with people who want to open gyms—and you can avoid a lot of problems if you do things right the first time.
When prospective gym owners contact us with plans to open a facility or in the early stages of doing so, we can save them tens of thousands of dollars and put them on the path to profitability—fast.
We’ve got huge amounts of data from gyms all over the world, and we can tell a new owner what will work and where the speedbumps are. They don’t have to make the mistakes and then waste time and money fixing them. In our RampUp program, an experienced mentor helps a client lay the groundwork for long-term success—essentially creating a gym business plan.
After RampUp, clients enter the Growth stage. There, with all the elements of a gym business plan in place, they quickly build their businesses into cash-flow assets that help them live the lifestyles they want.
Along the way, we support our clients and the community with articles , podcasts, videos , webinars, conferences, Facebook groups and more. And we give away mountains for free help —like the CrossFit gym business plan you’ll find below.
Below, you’ll find an amazing resource: A page that will lead you through all the steps required to create a business plan for your CrossFit box, microgym, fitness studio or bootcamp. You can also download an editable Word document here . (We recommend doing that.)
When you’re finished, you’ll have a great idea how to open your gym, and you’ll have a document you can take to the bank if needed.
Going through this process and creating a strategic plan for your gym will save you thousands of dollars and hundreds of hours. But it isn’t easy. We’ve done as much of the work as possible, but you’ll have to fill in the rest.
If you feel overwhelmed or frustrated, don’t feel bad—but don’t give up, either. Investing now will pay dividends later.
And we’re here for you. If you would like someone to guide you through the process of setting up a gym, we can help. To find out if working with a mentor is right for you, click here .
Now, on the business plan for gyms.
DISCLAIMER—This is a sample business plan, and it should be tailored to your geographic location, your unique situation and the specific needs of your business. We’ve provided a general structure to get you started, and we’ve included instructions for finding or creating your own information in each section.
Two-Brain Business is committed to helping entrepreneurs find success fast, and this gym business plan is designed to help you start building your dream.
Business plans are tough enough without having to figure out the structure and layout. Many people don’t even know what should go in a plan, and a blank page derails them. With that in mind, we’ve created a document you can quickly customize for your business. You can download it here . We’ll take you through the process below, but you might want to work in that document.
We encourage you to be as detailed as possible when adding the information that applies to you and your business. The research that goes into a business plan is invaluable. It will help you plan ahead, avoid mistakes and find success sooner. We want to make this process as painless as possible for you, but it’s a mistake to just make a few mindless changes and hit print.
At the beginning of each section below, we’ve included instructions so you know how to find or create the information you need. The instructions are in all-caps bold.
If you need additional help, we can offer it. Two-Brain Business is a mentoring company, and we can help you set up your business. To see how we can help you, click here .
Download your customizable business plan document here .
⦁ Replace everything in square brackets with your details. For example, [YOUR BUSINESS] should be change to your name—XYZ Fitness Inc., for example.
⦁ Everything in red should be deleted after it’s served its purpose. These sections contain instructions, notes, hyperlinks and other info that’s for you only.
⦁ When you’re finished customizing the document, be sure to fill out the page numbers in the table of contents. We can’t do that for you because we don’t know how much you’re going to write.
⦁ We have not included section breaks for the same reason, but you might want to add them to improve readability. Click here for instructions.
⦁ We encourage you to add your branding to this document. To insert images, follow the instructions here .
⦁ Graphs and tables are always a nice touch, and we have included some basic versions that might suit your needs. You can also create your own in other programs and add them as pictures. For more information on charts, click here .
If you need help with your venture, contact Two-Brain Business .
THIS IS THE 1,000-FOOT VIEW OF YOUR BUSINESS. WHAT EXACTLY ARE YOU GOING TO DO? WHY WILL YOU SUCCEED? WHAT SETS YOUR BUSINESS APART?
⦁ [YOUR BUSINESS] will provide group exercise classes, personal training and nutrition consulting services.
⦁ [YOUR BUSINESS] will focus on high-value clients who desire coaching over a low-cost gym membership.
⦁ The owners of [YOUR BUSINESS] are experienced and educated fitness coaches.
⦁ The Association of Fitness Studios (AFS) reported that around 6.5 million Americans hire personal trainers. AFS also estimates that 59 percent of all fitness studios in the U.S. are personal training studios.
⦁ Most new gyms focus on the low-rate model instead of the high-value model we will implement.
⦁ Increasing awareness, obesity rates and self-esteem are the largest factors driving industry growth.
⦁ [YOUR BUSINESS] will have a private gym with high-quality equipment and amenities.
CONSIDER BAR GRAPH PRESENTATION. CLICK HERE TO LEARN HOW TO EDIT CHARTS. STARTUP EXPENSES SHOULD INCLUDE EVERYTHING YOU NEED TO SPEND TO GET STARTED. THIS DOES NOT INCLUDE INCIDENTALS AND REGULAR MONTHLY EXPENSES SUCH AS WAGES, HEAT, ETC. REMEMBER, THIS IS A HIGHLIGHT SECTION, AND A MORE DETAILED SECTION FOLLOWS TOWARD THE END OF THE DOCUMENT.
TO DETERMINE PROFITABILITY PROJECTIONS, FORECAST CASH FLOW AND SET YOUR RATES, WATCH “HOW TO MAKE MORE MONEY” HERE. NEED MORE HELP? CLICK HERE
[$8,500] | |
Equipment | [$41,500] |
Insurance | [$3,000] |
Licenses | [$3,000] |
Mentoring | [$5,500] |
Marketing | [$2,500] |
Software | [$400] |
Other | [$500] |
CONSIDER LINE GRAPH PRESENTATION. THIS IS A MONTH-BY-MONTH PROJECTION OF THE GROSS REVENUE YOU WILL TAKE IN BEFORE EXPENSES. REMEMBER THAT YOU ONLY HAVE PROFIT IF YOUR EXPENSES ARE LESS THAN YOUR GROSS REVENUE. NOTE: THIS IS A HIGHLIGHT SECTION, AND A MORE DETAILED SECTION FOLLOWS TOWARD THE END OF THE DOCUMENT.
Two-Year Revenue Forecast
[$500] | |
Month 2 | [$2,000] |
Month 3 | [$2,800] |
Month 4 | [$4,000] |
Month 5 | [$4,900] |
Month 6 | [$5,200] |
Month 7 | [$6,600] |
Month 8 | [$8,000] |
Month 9 | [$9,000] |
Month 10 | [$10,000] |
Month 11 | [$11,000] |
Month 12 | [$12,000] |
Month 13 | [$13,200] |
Month 14 | [$14,000] |
Month 15 | [$14,500] |
Month 16 | [$15,200] |
Month 17 | [$16,000] |
Month 18 | [$17,000] |
Month 19 | [$18,500] |
Month 20 | [$20,000] |
Month 21 | [$20,500] |
Month 22 | [$21,000] |
Month 23 | [$21,500] |
Month 24 | [$22,000] |
CONSIDER LINE GRAPH PRESENTATION. THIS IS A MONTH-BY-MONTH PROJECTION OF THE PROFIT AFTER EXPENSES ARE SUBTRACTED FROM GROSS REVENUE. IN TWO-BRAIN BUSINESS, WE ALWAYS TARGET A PROFIT MARGIN OF 33 PERCENT. THIS PROFIT IS USED TO PAY THE OWNER AND BUY NEW THINGS. REMEMBER, THIS IS A HIGHLIGHT SECTION, AND A MORE DETAILED SECTION FOLLOWS TOWARD THE END OF THE DOCUMENT.
Two-Year Profit Forecast
[-$10,000] | |
Month 2 | [-$10,000] |
Month 3 | [-$9,500] |
Month 4 | [-$9,000] |
Month 5 | [-$8,000] |
Month 6 | [-$7,000] |
Month 7 | [-$6,000] |
Month 8 | [-$5,000] |
Month 9 | [-$3,000] |
Month 10 | [-$2,000] |
Month 11 | [-$800] |
Month 12 | [-$200] |
Month 13 | [$1,000] |
Month 14 | [$1,500] |
Month 15 | [$2,500] |
Month 16 | [$3,200] |
Month 17 | [$4,000] |
Month 18 | [$4,800] |
Month 19 | [$5,500] |
Month 20 | [$6,000] |
Month 21 | [$6,500] |
Month 22 | [$7,200] |
Month 23 | [$8,000] |
Month 24 | [$8,400] |
Company overview.
THIS SECTION IS RELATED TO THE EXECUTIVE SUMMARY AND PROVIDES EXTRA DETAIL ON LOCATION, HISTORY AND PRODUCTS/SERVICES.
[YOUR BUSINESS] is situated in [YOUR CITY, YOUR STATE]. Its home will be [ADDRESS], a location it [OWNS OR LEASES, WITH TERM OF LEASE OR YEAR OF OWNERSHIP]. The business was founded by [FOUNDER’S NAME] in [MONTH YEAR].
[YOUR BUSINESS] provides exercise and nutrition coaching that are high in personal interaction and influence.
THIS SECTION DETAILS YOUR ULTIMATE GOALS AND YOUR VISION FOR THE VENTURE. THESE ARE CRITICAL ASPECTS OF YOUR BUSINESS, NOT JUST YOUR BUSINESS PLAN. YOUR MISSION AND VISION WILL GUIDE YOU IN EVERY DECISION FOR THE LIFE OF THE BUSINESS.
Mission: To extend the lives of people in [YOUR CITY].
Vision: A gym facility that includes one-on-one personal training space, private consultation space and group training areas. A community of between [X and X] clients who work with expert coaches to improve their fitness and health.
LIST ADVANTAGES, SPECIAL SKILLS AND AREAS OF STRENGTH, OFTEN WITH SPECIFIC REFERENCES TO THE FOUNDERS. WHY DOES THIS BUSINESS HAVE A CHANCE IN THE MARKET? WHAT ARE ITS OWNERS GOOD AT? MORE INFO: “ PARTNERSHIPS . ”
[LIST TOP CREDENTIALS OF PRINCIPALS]. [X] years of coaching experience. Owner’s personal mission to serve local residents.
THIS SECTION SUMMARIZES THE OBSTACLES YOU MUST OVERCOME. WHEN PERFORMING THIS ANALYSIS, IT’S WORTH REVIEWING THE WAY YOUR BUSINESS WILL OVERCOME THESE CHALLENGES. YOU WILL FACE ADVERSITY. ARE YOU PREPARED FOR IT?
[YOUR BUSINESS] will face a challenging situation in brand awareness and service separation. Currently, larger-scale fitness facilities offer low-priced membership options but not coached fitness services.
[YOUR BUSINESS] will also be challenged to create brand awareness and a marketing strategy to recruit new clients fast. With low cash reserves, the business will have to become cash-flow positive within the first [X] months (see Expected Profit Growth above).
THIS SECTION SUMMARIZES THE OVERALL LANDSCAPE OF THE INDUSTRY AND OUTLINES YOUR PLACE IN IT. MICROGYM/STUDIO OWNERS WILL NEED TO EXPLAIN IN DETAIL HOW THEIR FACILITIES DIFFER FROM TRADITIONAL GYMS WITHOUT COACHING. THE DATA BELOW IS FOR THE UNITED STATES. OBTAIN SIMILAR DATA FROM YOUR COUNTRY’S GOVERNMENT IF POSSIBLE. IF IT’S NOT AVAILABLE, USE U.S. STATS AND EXPLAIN HOW YOUR COUNTRY’S INDUSTRY COMPARES.
Fitness facilities primarily focus on headcount: The greatest possible number of members at low prices. [YOUR BUSINESS] will focus on fitness coaching, which includes nutrition consulting, personal training and small-group fitness classes.
Fitness coaching businesses are sometimes referred to as “studios” (when personal training is the standard service) or “microgyms” (when small-group training is the standard service). Studios can provide small-group training, just as microgyms can provide personal training.
Microgyms and studios differ by coach specialization instead of target client demographic. When the primary professional at a studio specializes in weight loss, the focus of the studio is weight loss. Other specialties include strength and conditioning, yoga, nutrition, sport-specific preparation and CrossFit.
⦁ According to IBISWorld’s report, the U.S. market size for personal trainers was $9 billion in 2017. The market is expected to reach $10.5 billion by 2022 .
⦁ In 2016, the U.S. Bureau of Labor Statistics (BLS) reported there were 299,200 gym and personal trainers in the country. The BLS estimates another 30,100 personal trainers will be working in the U.S. by 2026.
⦁ IBISWorld pegged the market growth rate at 3.2 percent from 2012 to 2017. Growth was driven by increasing demand for personalized workout programs. In the decade from 2010 to 2020, BLS estimated a 24 percent increase in jobs in the personal training industry.
⦁ If the personal training industry grows at 3.2 percent—a conservative rate—over the next three to five years, the market will reach $9.89 billion in 2020 and $10.53 billion two years later.
Source: https://askwonder.com/q/us-fitness-industry-market-size-and-growth-5b1777780b0220003a87031b
LIST THE MAIN SERVICES YOU WILL PROVIDE. FEEL FREE TO PROVIDE DETAILS, BUT AVOID EXCESSIVE LEVELS OF IT.
[YOUR BUSINESS] will provide the following services:
Personal training Group fitness classes Private nutrition consulting Group nutrition challenges
THIS SECTION IS AN OPPORTUNITY TO FURTHER EXPLAIN HOW YOUR BUSINESS IS DIFFERENT FROM OTHERS. USE STRENGTHS AND CORE COMPETENCIES ABOVE FOR INSPIRATION.
Highly qualified, caring coaches who work one on one with each client. High-value service with monthly payment plans. A combination of nutrition and exercise coaching to maximize client progress.
RELATED TO THE SECTION ABOVE, THIS ONE EXPLAINS HOW YOUR BUSINESS WILL SOLVE AN EXISTING PROBLEM. REVIEW YOUR MISSION STATEMENT AND VISION FOR INSPIRATION.
Access to fitness equipment is easy to find: Many people have gym memberships or own fitness equipment. However, most people are overwhelmed by a lack of clarity. They are surrounded by workout regimes in magazines and trendy classes in media. Fad diets lead to roller-coaster results. And injury rates are high because many gym members jump into workout routines without proper instruction or a ramp-up period.
The solution is personal coaching for nutrition and exercise, a service that is lacking in [YOUR AREAS]. Personal coaching will prepare new fitness enthusiasts for a lifetime of safe, reliable progress toward their goals.
IT IS NOT ENOUGH TO “PROVIDE GREAT SERVICE” OR “BE A GREAT COACH.” RUNNING A BUSINESS INVOLVES GENERATING REVENUE. THIS SECTION IS CRITICAL, BOTH FOR YOU AND POTENTIAL INVESTORS. YOU MUST HAVE A PLAN TO GET PEOPLE IN THE DOOR.
THE DATA BELOW IS FOR CANADA. ADJUST THE LOCATION IN THE LINK BELOW TO REFLECT YOUR COUNTRY. IF IT’S NOT AVAILABLE, TRY TO OBTAIN SIMILAR DATA FROM YOUR COUNTRY’S GOVERNMENT IF POSSIBLE. IF NOTHING IS AVAILABLE, USE AVAILABLE STATS AND EXPLAIN HOW YOUR COUNTRY’S MARKET COMPARES.
⦁ Fitness segment revenue is projected as US$266 million in 2019.
⦁ The expected annual growth rate (CAGR 2019-2023) is 6.1 percent, resulting in US$338 million market volume by 2023.
⦁ Wearables account for the largest revenue segment, at US$228 million in 2019.
Source: https://www.statista.com/outlook/313/108/fitness/canada
IN LARGER CITIES, IT’S LESS IMPORTANT TO SURVEY THE ENTIRE CITY AND MORE IMPORTANT TO SURVEY THE AREA AROUND THE BUSINESS. TO FIND OTHER LOCAL BUSINESSES, USE GOOGLE AND GOOGLE MAPS. MOST CIVIC GOVERNMENTS PUBLISH DEMOGRAPHIC INFORMATION, AND IT’S OFTEN AVAILABLE THROUGH A SIMPLE INTERNET SEARCH. CHECK YOUR COUNTRY’S CENSUS BUREAU FOR MORE DETAILS.
[YOUR CITY/AREA] is currently served by a total of [X] membership-based gyms, [X] personal training studios, [X] yoga gyms, [X] spin studios and [X] dietitians/nutritionists.
The average household income in [YOUR CITY/AREA] is $[NUMBER].
ADD MORE DETAIL TO PUT THIS NUMBER IN CONTEXT. IS IT GROWING OR SHRINKING? WHAT INDUSTRIES SUPPORT THE NUMBER? HOW DOES IT COMPARE TO OTHER AREAS? EXAMPLE: This is a decrease of 8 percent from a decade ago. However, the public sector is growing, buoyed by government and educational jobs. These jobs have pay-scale parity with major metro centers even though the local cost of living is 80 percent less than in the closest larger city. Top earners in the local public sector are reported annually here .
The microgym and studio fitness industry is unaffected by weather or season, except for a small uptick in interest during January and September each year.
RELATED TO THE SECTION ABOVE, YOU MUST EXPLAIN WHY PEOPLE WANT YOUR PRODUCTS/SERVICES AND WHY MORE ARE LIKELY TO DO SO IN THE FUTURE. IN THIS SECTION, YOU NEED TO BE AWARE OF CURRENT TRENDS AND CONSUMER BEHAVIORS. FITNESS MAGAZINES AND WEBSITES ARE GREAT RESOURCES. WHAT ARE PEOPLE BUYING? HOW ARE THEY TRAINING? WHAT DO THEY WANT?
The fitness club market in [COUNTRY] is evolving but growing. The demands of the new fitness club member extend beyond access to equipment and include:
⦁ Customization —People who have memberships or might get one are interested in customized fitness and health care plans. This desire is related to their self-perceived requirement or the prescriptions of a doctor, medical/therapy professional or personal trainer.
⦁ Ease of Service —People are looking for fun exercises that are easy to learn through the instruction of expert coaches.
⦁ Effectiveness of Exercise —Members desire results. Experienced, skilled trainers can devise effective programs so clients safely and measurably improve health and fitness.
THIS SECTION MUST BE TAILORED TO YOUR AREA. DOES YOUR COUNTRY HAVE A “FITNESS CULTURE” IN WHICH PERSONAL TRAINING IS COMMON? DID A MAJOR EMPLOYER MOVE INTO TOWN AND BOOST SALARIES? DETERMINE WHAT IS MAKING LOCAL PEOPLE WORK OUT OR NOT WORK OUT. EXAMPLE: Per capita income increases among the highest local earners. Though household income in Sault Ste. Marie has decreased over the last decade, the average income among our target market has continued to increase with the provincial average. Government campaigns have created increased awareness of the benefits of healthy eating and exercise, so members of our target market are more inclined to invest in gym and nutrition services.
⦁ [INSERT MAJOR FACTOR IN YOUR LOCAL MARKET.]
⦁ Confusion. Most clients joining a microgym or studio have tried exercise in the past and been frustrated by a lack of progress or confusion about what to do.
THIS SECTION REFERS TO THE FITNESS INDUSTRY AS A WHOLE, AND WEBSITES AND MAGAZINES ARE GREAT RESOURCES. WHAT’S POPULAR? IT WOULD BE WISE TO NOTE THE CURRENT TRENDS AND DETERMINE HOW YOUR BUSINESS CAN PROFIT FROM THEM.
According to the American College of Sports Medicine, current top trends are:
⦁ Wearable technology ⦁ Group training ⦁ HIIT (high-intensity interval training) ⦁ Fitness programs for older adults ⦁ Body-weight training ⦁ Employing certified fitness professionals ⦁ Yoga ⦁ Personal training ⦁ Functional fitness training
[YOUR BUSINESS] will incorporate three of these trends (HIIT, body-weight training, functional fitness training) within three services (group training, fitness programs for older adults, and personal training). We will also employ fitness professionals accredited through [INSERT CREDENTIALING AGENCIES].
Sources: ACSM and Self.com
THIS SECTION IS LIKELY RELATED TO NATIONAL MARKET DATA ABOVE. CONSIDER BAR GRAPH PRESENTATION. THE DATA BELOW IS FOR CANADA AND THE U.S. TRY TO OBTAIN SIMILAR DATA FROM YOUR COUNTRY’S GOVERNMENT IF POSSIBLE. IF NOTHING IS AVAILABLE, USE AVAILABLE STATS AND EXPLAIN HOW YOUR COUNTRY’S MARKET COMPARES.
As stated above the U.S. market was $9 billion in 2017 and is expected to reach $10.5 billion by 2022 .
IBISWorld pegged the market growth rate at 3.2 percent from 2012 to 2017. At the conservative 3.2 percent growth rate, the market will reach $9.89 billion in 2020 and $10.53 billion two years later.
Canadian growth rates are expected to be 6.1 percent, moving the market volume from US$266 million in 2019 to $338 million in 2023. See graph below.
THIS SECTION IS LIKELY RELATED TO NATIONAL MARKET DATA ABOVE. THE DATA BELOW IS FOR CANADA. TRY TO OBTAIN SIMILAR DATA FROM YOUR COUNTRY’S GOVERNMENT IF POSSIBLE. IF NOTHING IS AVAILABLE, USE AVAILABLE STATS AND EXPLAIN HOW YOUR COUNTRY’S MARKET COMPARES.
⦁ Health-care expenditure —Canadian health care reached CDN$242 billion in 2017—a growth of approximately 3.9 percent. The figure is 11.5 percent of the Canadian gross domestic product and amounts to $6,604 per citizen.
⦁ More spending —Since 1975, health spending has been increasing by both current and constant-dollar measures.
⦁ Aging population —As of 2014, more than 6 million Canadians (15.6 percent of the population) were 65 or older. By 2023, the numbers will be 9.5 million and 23 percent.
Source: Canada.ca
THIS SECTION USES CURRENT TRENDS TO LINK PROBLEMS TO THE SOLUTIONS OFFERED BY YOUR BUSINESS. SUBSTITUTE LOCAL/NATIONAL RATES AS AVAILABLE OR EXPLAIN HOW THE ONES LISTED BELOW RELATE TO YOUR AREA.
The fitness industry offers a lot of opportunities for existing and potential investors. The market for fitness services is growing for many reasons, some of which have already been noted above.
⦁ According to its government, Canada is home to 6.3 million obese people.
⦁ Almost 130 million Americans are overweight, with more than 61 million of them obese.
⦁ Fifteen percent of children in the U.S. are obese.
⦁ High blood pressure and heart disease affect 18 million Americans.
⦁ It costs almost $100 billion to treat obese patients—9 percent of total U.S. health-care expenditure.
⦁ Some insurance companies and government agencies are now funding fitness pursuits as a way to lessen long-term costs.
⦁ The effective, safe personalized fitness and nutrition programs we offer are ideal for reducing obesity and improving health.
THIS SECTION ADDRESSES DEMOGRAPHIC ISSUES AND EXPLAINS HOW YOU WILL BE ABLE TO OVERCOME ANY BARRIERS TO ENTRY. ADJUST AS NEEDED.
Some possible consumers might not be able to afford our high-value services. Other facilities sell low-priced membership options to these consumers but exclude the higher-value clients. Because our model is not based on volume, we overcome barriers to entry by seeking out the clients who see the value in our services and can afford it.
NOTE ANY SPECIAL REGULATIONS THAT MIGHT AFFECT YOU.
[YOUR BUSINESS] is governed by standard local tax and health codes and will be operated in accordance with those codes.
NOTE ANY LONG-TERM PLANS OR POTENTIAL OPPORTUNITIES AFTER YOUR BUSINESS IS ESTABLISHED AND HAS ACCOMPLISHED ITS INITIAL GOALS.
Currently, [YOUR BUSINESS] is focused on personalized coaching in exercise and nutrition.
However, in the future, the business might focus on integrating with health-care practitioners such as therapists and doctors.
YOUR TARGET AUDIENCE IS RELATED TO BOTH YOUR LOCAL MARKET ANALYSIS AND SERVICES. YOU MUST FIGURE OUT HOW MANY PEOPLE IN YOUR AREA MIGHT BE INTERESTED IN YOUR PRODUCTS AND SERVICES. CENSUS BUREAUS AND LOCAL GOVERNMENTS CAN PROVIDE THE INFO YOU NEED. EXAMPLE: According to government stats and facts briefs, Sault Ste. Marie is home to 75,141 individuals, including 39,030 females and 36,115 males. The largest segment of the population is aged 45-59. The average household income in Sault Ste. Marie is approximately CDN$86,500. Catalyst Fitness is targeting a segment of 7,456 individuals who are adults living in a home with an income over $120,000 per year.
WITH WHOM WILL YOU COMPETE FOR MARKET SHARE? IN LARGER CITIES, IT’S LESS IMPORTANT TO SURVEY THE ENTIRE CITY AND MORE IMPORTANT TO SURVEY THE AREA AROUND THE BUSINESS. TO FIND OTHER LOCAL BUSINESSES, USE GOOGLE AND GOOGLE MAPS. EVEN IF YOU DON’T STATE IT BELOW, IT’S WORTH DETERMINING HOW YOUR BUSINESS WILL STAND OUT FROM THE EXISTING CROWD.
Only the personal training studios will be direct competitors.
[INSERT NUMBERED LIST WITH ADDRESSES AND PROXIMITIES]
THIS SECTION RELATES TO YOUR BENEFITS AND FEATURES LISTED ABOVE. WHAT DO YOU OFFER THAT JUSTIFIES YOUR PRICES?
⦁ Highly qualified fitness professionals who focus on client results through diet and exercise.
⦁ Personalized approach to clients’ goals.
⦁ Modern, professional facility equipped with the most popular and effective equipment and tracking technology.
HOW WILL YOUR BUSINESS CREATE ITS IMAGE? IF YOU EMPLOY SOMEONE TO CREATE YOUR BRANDING, NOTE THE PERSON/COMPANY AND TRACK RECORD. IF YOU HAVE A COMPREHENSIVE PACKAGE IN PLACE—SIGNAGE, PROMO MATERIAL, INTERIOR DESIGN, VEHICLE WRAPS, POP-UP BANNERS/FLAGS—DESCRIBE IT.
[YOUR BUSINESS] branding will be consistent across all properties to create a professional image. Our logo, name and color scheme will be featured prominently in all uses both inside and outside the gym, both to attract potential clients and influence current clients.
Visitors to our facility will be met with a strong brand identity, both in the entrance and the training areas, and all printed take-away material will feature our signature look.
Employees will wear branded apparel, and, when possible, equipment will feature our branding.
[YOUR BUSINESS] will create an official website as the online cornerstone of the brand and company image, and it will be supported by customized social media channels with the same appearance and character.
Overall, [YOUR BUSINESS] will create a friendly, professional presence that is 100 percent consistent throughout all operations.
WHAT ARE YOU TRYING TO ACCOMPLISH THROUGH OUTREACH EFFORTS? ONLINE SALES, BRAND BUILDING, FOOT TRAFFIC, PHONE CONSULATIONS, EMAIL INQUIRIES? EXAMPLE: Catalyst Fitness will focus on creating a brand image of high-value expertise in Sault Ste. Marie, and we will fulfill our vision by coaching 150-200 clients at a time. To that end, our marketing is not directed at large-scale client acquisition but rather the steady, deliberate acquisition of high-value clients who are willing to invest in health and fitness.
Our primary goals are as follows:
Create the perception of quality and value—Our marketing will be designed to present us as “the best steakhouse in town,” which pre-qualifies prospective clients. We are for anyone but not everyone.
Educate—Our expertise will be on full display in all marketing efforts as we give away free advice and tips through content. The plan will raise our status in the minds of prospective clients and keep us top of mind.
Drive clients to book free consultations—We stand out from all other gyms by offering a prescriptive model in which skilled experts consult with prospective clients and offer customized plans. At similar facilities in other cities, the close rate at consultations is very high, so our marketing channels will direct people to book free consultations.
Grow our contact list—We’ll use various materials to generate an increasingly large mailing list to take advantage of the power of email marketing. We’ll use this channel for education, branding and direct calls to action.
THIS IS THE “HOW” BEHIND THE “WHAT” OF THE PREVIOUS SECTION. THIS SECTION SHOULD CONTAIN MORE DETAILS OF YOUR PLAN. IF YOU DON’T HAVE ANY DETAILS, YOU HAVE A BIG HOLE IN YOUR BUSINESS THAT MUST BE FILLED.
Microgyms and studios benefit from unsolicited referrals and word of mouth, but this inactive marketing isn’t enough. We have a thorough plan designed to engage members of our target market and build our status and value through regular contact until the client is ready to take action.
⦁ Affinity marketing—Referral marketing targets the people connected to our current clients. This is not passive. We have a plan to sit down in person with top clients—those in the Axial Loop below—every month and discover how we can help other people in their lives. We’ll also ask these seed clients for assistance in exchange for complementary services such as personal training. By involving these influential people in service and program development, we’ll tailor the offerings to please similar people and create a sense of ownership in our clients. This program will extend to bring-a-friend days, informational seminars, workplace demonstrations and other outreach activities.
CLICK HERE TO LEARN MORE ABOUT AFFINITY MARKETING.
⦁ Unpaid social media marketing—Social media platforms allow us to attract local fitness enthusiasts to our website with daily content. The fitness and nutrition industries are incredibly well suited to visual media, and we’ll release original content daily across Facebook, Instagram, Twitter, YouTube, Google Business and our website. Phase 2 involves LinkedIn, Pinterest and Vimeo. This content will build the brand and establish expertise, and it will also include calls to action that lead to products and services. Content effectiveness is easy to measure through platform tracking systems.
⦁ Paid digital marketing—This is the third leg of the marketing plan, and it’s implemented only after the other legs are set and things are running smoothly. We’ll use targeted Facebook, Google and Instagram ads to feed interested leads to our website through engaging content identified during unpaid marketing efforts. We’ll monitor the effectiveness of all campaigns daily and track return on investment. Campaigns will be adjusted and recreated depending on conversion rates.
CLICK HERE TO SEE HOW TWO-BRAIN MARKETING USES SOCIAL MEDIA TO GENERATE LEADS AND SALES.
MANY BUSINESSES DO NOT ALLOCATE FUNDS TO MARKETING AND CHOOSE TO RELY MOSTLY ON WORD OF MOUTH, WHICH IS UNRELIABLE. WE ENCOURAGE YOU TO TALK TO SOMEONE WHO CAN EXPLAIN HOW TO SPEND MARKETING DOLLARS WISELY AND ENSURE YOU’RE GENERATING A RETURN ON YOUR INVESTMENT.
[YOUR BUSINESS] will spend up to [$X,XXX] per month, mostly on digital ads. The return on investment will be tracked to ensure we are generating leads and sales. Poorly performing campaigns will be adjusted and discontinued, and successful campaigns will be replicated. The money spent here should be returned to the business in the form of long-term high-value clients. We will track both front-end revenue directly related to ad spends as well as downstream revenue generated when clients book services beyond the initial call to action.
THIS SECTION REVIEWS STRENGTHS AND CORE COMPENTENCIES LISTED ABOVE. FEEL FREE TO PROVIDE ADDITIONAL DETAIL. WHAT ARE YOU GOOD AT?
The owners are committed toward to a results-oriented approach to attract and maintain customers in a competitive market. A comprehensive retention and marketing plan supports this approach.
Personal coaching addresses the greatest needs of existing gym goers and ensures clients see results through safe, effective exercise provided by inspiring professionals.
The microgym/studio model requires only 150 clients to create a long-term, sustainable business and careers for coaches.
Our company will attract and develop qualified and trained “intrapreneurial” staff members who are able to generate sales and client satisfaction.
THIS SECTION REVIEWS THE CHALLENGES LISTED ABOVE. FEEL FREE TO PROVIDE ADDITIONAL DETAIL. WHEN PERFORMING THIS ANALYSIS, IT’S WORTH REVIEWING THE WAY YOUR BUSINESS WILL OVERCOME THESE CHALLENGES.
Our high-value proposition requires more explanation than low-fee services.
Larger gyms have a larger marketing budgets.
USE THE MARKETING OPPORTUNITIES SECTION ABOVE FOR INSIPRATION. WHAT ELEMENTS OF YOUR BUSINESS OR LOCAL MARKET SUGGEST YOU WILL BE SUCCESSFUL?
The fitness market is rapidly growing.
Increasing rates of obesity-related disease are causing people to pay attention to exercise and health-care activities.
A large segment of the local market is still unserved. High-income clients will be of special focus for [YOUR BUSINESS]. This segment is largely ignored by the competition. Client acquisition is costly, but we only have to acquire one $200 client for every four $50 clients our competitors acquire. This allows delivery of tailored, effective high-value service and creates referral opportunities.
THIS SECTION REVIEWS THE CHALLENGES AND WEAKNESSES SECTIONS LISTED ABOVE. FEEL FREE TO PROVIDE ADDITIONAL DETAIL. WHEN PERFORMING THIS ANALYSIS, IT’S WORTH REVIEWING THE WAY YOUR BUSINESS WILL OVERCOME THESE CHALLENGES.
Recessions and economic downturns can slow the growth of health clubs.
Potential similar offers from well-established competitors are a low-level threat, but we can assume other local gyms will want to copy our services.
Low-cost equipment is available for home exercise, but our coaches can serve these individuals through creation of fitness and nutrition plans and home visits.
Service execution timeline.
LAY OUT A TIMELINE OF EVENTS FROM THE DATE OF BUSINESS PLAN CREATION TO OPENING. IF THERE ARE KEY LAUNCH ELEMENTS THAT WILL BE ADDED AFTER OPENING, NOTE THEM. CONSIDER GRAPHICAL PRESENTATION. AN EXAMPLE IS INCLUDED BELOW AND SHOULD BE REPLACED IF YOUR TIMELINE DIFFERS OR INCLUDES OTHER ELEMENTS.
[YOUR BUSINESS] will launch according to the following timeline:
FOR HELP BUILDING YOU LAUNCH PLAN, CLICK HERE AND HERE .
THIS SECTION EXPANDS ON THE COMPANY OVERVIEW AND ADDS DETAILS RELATED TO YOUR LOCATION. IT SHOULD MENTION NEARBY COMPETITORS, AMENITIES, AND OTHER ELEMENTS SUCH AS PARKS, DESTINATIONS, NEIGHBORS, ZONING CONCERNS, PARKING AND SO ON. MANY GYMS HAVE FAILED TO REVIEW ZONING, LEASES AND LOCATIONS FOR POTENTIAL PROBLEMS. WE STRONGLY ADVISE YOU TO INVEST TIME IN SECURING A SUITABLE LOCATION. A LAWYER SHOULD REVIEW YOUR LEASE FOR POTENTIAL PITFALLS. EXAMPLE:
Catalyst Fitness has secured a lease at 123 Any Street for a term of five years at a rate of $4,000 a month. The lease includes an option to renew and has been reviewed and adjusted by legal counsel.
The facility is 5,000 square feet and includes a lobby and washrooms, which will be upgraded as part of the buildout. The landlord has indicated additional space is available if expansion is needed.
The building is wheelchair accessible, and we have researched zoning and fire codes and confirmed there are no concerns. No major mechanical, electrical or structural changes are needed for an occupancy permit. We have ample parking.
We are five minutes from the airport and on a major artery, giving us great opportunities for signage. The high-traffic destination store Joe’s Stuff is located 100 meters away, ensuring regular foot traffic. Several businesses in the area have already expressed an interest in partnerships, and there are opportunities for corporate fitness programs.
The only current neighbor is a loud autobody shop, and noise is not a concern. The landlord is aware of the volume of our proposed activities and has approved them. The floor has been evaluated, and it can withstand our activities with ¾-inch rubber matting, which we have ordered.
There are currently no fitness studios or microgyms within 2 miles; however, one membership-based gym exists within one block.
LIST ANY LEGAL ISSUES. THIS SECTION COULD INCLUDE PENDING LAWSUITS, INCORPORATION, SALE/TRANSFER OR SHARES, NEW PARTNERS, ETC.
There are no current legal obligations for [YOUR BUSINESS].
LIST ALL PERSONNEL, INCLUDING TITLES AND ROLES. IF THE STRUCTURE MIRRORS MANAGEMENT PERSONNEL FEATURED IN THE FOLLOWING SECTION, FEEL FREE TO BE BRIEF. EXAMPLE: Catalyst Fitness will open with three initial staff members, including the owner. See below for detailed breakdown.
Management strength.
THIS SECTION WILL LIST THE MAIN PEOPLE IN YOUR ORGANIZATION. BE SURE TO INCLUDE EDUCATION, TALENTS/SKILLS AND ROLES. EXAMPLES:
Chris Cooper—Chris is the sole owner of Catalyst Fitness Inc. Chris has a bachelor’s degree in an exercise-science related field and has been coaching fitness since 1996. Chris has successfully founded and sold two other fitness businesses and currently owns a business mentorship practice. Chris’ roles will include sales and marketing.
Sally Glama—Sally has a degree in business management and a passion for fitness. Sally’s roles will include operational oversight, personal training and nutrition coaching.
Jordan Glitz—Jordan is a passionate fitness coach with four years in the industry. Jordan’s roles will include coaching group fitness classes, goal reviews and planning, and personal training. Jordan will also fill the role of customer retention management.
LIST YOUR BANK AS WELL AS ANY OTHER PERTINENT INFORMATION ABOUT IT, INCLUDING DEBTS, MORTGAGE, LINES OF CREDIT, ETC.
[YOUR BUSINESS] will bank at [INSERT BANK], where its business representative will be [INSERT NAME].
LIST THE PEOPLE WHO WILL HELP YOU RUN THE BUSINESS, INCLUDING THEIR CREDENTIALS OR AREAS OF EXPERTISE. WE STRONGLY ENCOURAGE YOU TO SEEK THE ADVICE OF EXPERTS TO SET YOUR BUSINESS UP FOR SUCCESS AND LONG-TERM GROWTH. EXAMPLE: Catalyst Fitness will be mentored to launch by Two-Brain Business, the largest mentorship practice for microgyms in the world. Using Two-Brain’s RampUp program , Catalyst Fitness will determine its rates, create its operational processes, hire staff, build a retention plan, and pre-sell memberships before launch.
Ongoing mentorship will ensure Catalyst follows best practices, regularly reviews strategic plans and obtains advice on major decisions.
TO BOOK A FREE CALL WITH A TWO-BRAIN BUSINESSS MENTOR, CLICK HERE .
THIS SECTION REVISITS ASPECTS OF THE HIGHLIGHTS SECTION, OFTEN IN GREATER DETAIL.
YOU CAN INCLUDE INFORMATION ON SECURED FUNDING, LINES OF CREDIT AND SO ON. CONSIDER GRAPHICAL PRESENTATION FOR BEST EFFECT. YOU ARE OUTLINING THE MONEY YOU HAVE AND THE MONEY YOU NEED.
[X] | |
[Investor 1: ABC HoldCo] | [X] |
[Investor 2: XYZ OpCo] | [X] |
[Investment requirement] | [X] |
Total | [X] |
REVISIT THE INFORMATION FROM THE HIGHLIGHTS SECTION AND PROVIDE ADDITIONAL DETAIL IF NEEDED. CONSIDER BAR GRAPH PRESENTATION.
EXAMPLES: Insurance quote valid until July 10, 2019.
Facility buildout is maximum renovation price determined through guaranteed quotes.
Startup includes purchase of assorted office supplies and a desk, filed under Other.
Month | Clients | [X] |
---|---|
4 | [X] |
6 | [X] |
8 | [X] |
10 | [X] |
12 | [X] |
14 | [X] |
16 | [X] |
18 | [X] |
20 | [X] |
22 | [X] |
24 | [X] |
EXAMPLE: Potential growth rates determined in consultation with Two-Brain Business mentor. Rates reflect data collected from similar businesses in like markets.
Client growth supported by retention systems used in similar gyms to create strong length of engagement.
PROFIT AND LOSS PROJECTIONS ARE MORE SUITED TO SPREADSHEETS, BUT WE’VE INCLUDED A BASIC TEMPLATE HERE. PROFIT AND LOSS NUMBERS CAN BE DETERMINED FROM YOUR PROJECTIONS ABOVE. NOTE THAT OPERATING EXPENSES ARE DIFFERENT FROM STARTUP COSTS, AND YOU’LL NEED TO INCLUDE WAGES, RENT, UTLITIES AND A HOST OF OTHER LINE ITEMS. YOUR TOTAL REVENUE MUST BE GREATER THAN YOUR EXPENSES TO SHOW A PROFIT. AT TWO-BRAIN BUSINESS, WE TARGET A PROFIT MARGIN OF 33 PERCENT. THAT PROFIT IS USED TO PAY THE OWNER AND PURCHASE NEW THINGS.
CASH-FLOW STATEMENTS ARE MORE SUITED TO SPREADSHEETS, BUT WE’VE INCLUDED A BASIC TEMPLATE HERE. THIS TABLE SUMMARIZES CASH IN VS. CASH OUT OVER A TWO-YEAR PERIOD. USE YOUR PROJECTIONS FROM THE SECTIONS ABOVE TO FILL IT OUT, AND ADJUST THE ENTRIES FOR YOUR BUSINESS. IDEALLY, YOU WILL TRACK CASH IN AND OUT MONTH BY MONTH. TO DOWNLOAD AN EXCEL SPREADSHEET TO DO SO, CLICK HERE .
BALANCE SHEETS ARE MORE SUITED TO SPREADSHEETS, BUT WE’VE INCLUDED A BASIC TEMPLATE HERE. A BALANCE SHEET SHOWS THE NET WORTH OF YOUR BUSINESS AT A POINT IN TIME. USE YOUR PROJECTIONS FROM THE SECTIONS ABOVE TO FILL IT OUT, AND ADJUST THE ENTRIES FOR YOUR BUSINESS.
BREAK-EVEN ANALYSES ARE MORE SUITED TO SPREADSHEETS, BUT WE’VE INCLUDED A BASIC TEMPLATE HERE. A BREAK-EVEN ANALYSIS SHOWS THE SALES YOU WILL HAVE TO MAKE TO BREAK EVEN. USE YOUR PROJECTIONS FROM THE SECTIONS ABOVE TO FILL IT OUT, AND ADJUST THE ENTRIES FOR YOUR BUSINESS.
THIS SECTION OFTEN INCLUDES VARIOUS REFERENCES, TABLES, CHARTS AND DATA USED TO SUPPORT THE INFORMATION IN THE MAIN BODY OF THE PLAN. IF YOU NEED TO ADD SOMETHING HERE, MAKE A NOTE IN THE BODY OF THE PLAN AND ADD THE INFORMATION UNDER A CORRESPONDING HEADING HERE. FOR EXAMPLE: For a state-by-state breakdown of microgym distribution, see Appendix Section 1.
IF YOU NEED HELP, BOOK A FREE CALL HERE: TWO-BRAIN BUSINESS .
Michele Richardson
10 min. read
Updated July 3, 2024
Free Download: Sample Gym Business Plan Templates
You wake up at sunrise to teach the first class of the day at your new fitness studio. You love motivating your clients to reach optimum levels of health and wellbeing. This is what keeps you going when you face challenges or get overwhelmed in the nitty gritty of running your own fitness center.
If this sounds like something you would love to do, then this article is for you! I’ll walk you through how to start your own gym or fitness center, as well as give you the resources to help you start your dream business.
Starting a gym or fitness center is not easy, but it can be extremely rewarding if you’re willing to put in the hard work.
To supplement this guide, I’ve interviewed two successful fitness business owners, Kaylee Cahoon of SMARTCore Method, and Marcela Xavier of Bread and Yoga. What struck me most about both interviews was the clarity and vision the owners had surrounding starting their businesses in the first place, and how specific they were about who they wanted to impact through their fitness services.
The fitness industry has exploded in recent years. In the U.S., total revenues reached 27 billion U.S. dollars last year. Recent marketing aimed at fighting obesity, as well as trends toward improving health and fitness, have contributed to this market rise.
The low level of market concentration has made a variety of fitness niches accessible in local communities. Only 18 percent of total revenue in 2016 was from the top four largest players in the fitness industry, while small speciality gyms and independently-owned fitness businesses made up the rest.
In addition, many of these gym and fitness centers employ very little to no staff, which makes startup costs and barriers to entry low. With the proper mix of skills, training, and commitment, starting a gym or fitness center can prove a successful business move.
Kaylee Cahoon, the creator and owner of SMARTCore Method in Franklin, Tennessee, says that starting a fitness enterprise must come from love and passion, or you won’t last very long in the industry.
With over thirty years of experience in movement, including professional modern dance, choreographing, teaching, and various somatic movement modalities, Cahoon developed the SMARTCore Method to teach clients how to move smarter for optimal health and wellbeing. The method is a blend of somatic movement education, strength, balance, and functional and body weight training.
Her business is driven by her passion to educate clients to pay attention to their bodies for optimal function, not just follow fitness fads and trends that often end up being harmful to the body in the long run. “The fitness world needs to take a much harder look at what’s happening in the body, how the body functions, and how it relates to other parts of the body,” she says.
In 2009, Marcela Xavier, the owner of Bread and Yoga, saw a need for a yoga studio in the Inwood community in upper Manhattan. She started the studio with the intention of creating a gathering space for the community that was inclusive of all ages and people. In addition to the many types of yoga offerings, Bread and Yoga offers a wide array of holistic programs for children and adults aimed at encouraging them to maintain overall health and wellbeing.
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Your reason behind opening a gym will help you maintain the focus, clarity, and drive it takes to become a successful enterprise.
Be honest with yourself. You may find that instead of starting a gym, you want to become a personal trainer or fitness instructor. Make sure you think through the possibilities and determine if starting a gym is really the right choice for you.
Talk with fitness center owners to find out what it took to get their business up and running. Learning from those that are already successful in your given field is a priceless education that can save you lots of time and energy in the long run.
First and foremost, make sure you have the proper training, accreditations, and experience to start your own gym. Your clients will be counting on you not just to help them look great, but to keep their bodies healthy and safe using your services.
There are several different personal training certifications you can choose between, and other types of fitness offerings (such as yoga, Pilates, or aerobics classes) will come with their own certifications as well. You’ll also be responsible for making sure any staff you hire has proper certification.
There are a variety of fitness niches to choose from. Explore these niches below to determine what kind of fitness center you’d like to open.
It’s worth considering whether or not you’d like to start your fitness center as a for-profit business or a nonprofit.
A nonprofit family wellness center, such as the YMCA, will provide services and programs for community members who cannot afford to pay full price. Often this is done on a sliding scale, based on income; students and seniors also typically get a discount at nonprofit family wellness centers. For-profit wellness facilities do not offer these discounts.
Once you determine what kind of gym you want to open, you will have to determine how much space you will need.
First, get clear on how many clients you want to be able to serve in your facility. Knowing how much space you will need will help you find a location that best suits your requirements. Do you need street access? Access to parking? Are you in an area with a lot of foot traffic? Will it be hard for people to find you? Are you on a bus route?
Initially, a good location is key to getting clients to your gym. Many gym owners believe that location is worth paying more money upfront so that your business gets seen.
For Kaylee Cahoon, finding the right location was extremely important. She wanted to be in an area that was still developing and where many things were happening. It was also important for her to be around a more highly-educated population, and to have nearby medical facilities since her fitness niche focuses on “educating” the whole body.
Before hiring fitness instructors and personal trainers, check their training and accreditation carefully. Ask thorough questions during the interview, and consider “auditioning” the person before hiring them. You also may want to consider hiring them temporarily for a few test classes or personal training sessions before committing to keeping them as an employee.
When Bread and Yoga first opened its doors, Marcela Xavier taught about ten yoga classes per week. Eventually, she secured a strong group of teachers so that she could fully focus on the leadership aspects of the business. Finding a strong group of quality yoga teachers was extremely important to her when it came to fulfilling her overall mission and vision, and she did this by holding auditions for yoga teachers to see how they taught, who they were, and what they were all about.
If you need fitness equipment, you will need to decide whether to buy or lease. Leasing can help you stay current on the latest fitness technology, can give you an opportunity to assess your needs before purchasing, and will often include maintenance of the equipment.
However, if you lease equipment, you give up ownership interest, which might end up costing you more in the long run. Do your research and check with a lawyer before making a decision on whether or not to lease gym equipment.
If you decide to lease equipment, you can check to see if the company is a member of a leasing association such as the National Association of Equipment Leasing Brokers or the National Association of Equipment Finance Professionals.
You will want to make sure your finances are in good shape so that you can get financed. Most financing groups and landlords want to see two previous years of tax returns and financial statements, and before starting your business, you should have enough money saved for personal expenses for at least 12 to 24 months.
Having a strong business plan in place can help solidify funding for your gym or fitness center. Be sure to check out our planning resources, as well as the sample business plans at the end of this guide.
Once you hone in on your customer base, market and promote your business in places customers spend time. This sounds simple, but it takes consistency and dedication over time to build a solid customer base.
Consider hiring someone to take on a marketing, PR, or social media management role, and if you can’t afford that, do some of it on your own. By coming up with a marketing plan for your gym or fitness center, you’ll be able to focus your efforts and get the word out about your new business.
You may want to offer free guest passes, membership discounts, and other incentives to keep and attract new clients.
These sample business plans are an excellent resource in starting your own gym or fitness center.
Having a well-thought-out business plan can help you solidify your financing and give you the clarity of mind you need to achieve your business goals.
Surprisingly, many people do not take the time to write a business plan and are unable to move forward with their business goals—so make sure you don’t make this mistake.
Below are some free sample business plans to help you get started:
To find out more about various loan options, contracts, and other forms of assistance for small businesses, check out The U.S. Small Business Administration.
To learn about pertinent tax information for businesses, check out the businesses section on the IRS website. You will need to sign up for an EIN (Employee Identification Number) for federal requirement purposes as well.
Find out what documents, registrations, and licenses your state requires for opening a gym online via the Small Business Administration’s Licenses and Permits Resource.
Michele Richardson is a writer, actress and entrepreneur living in New York City. Her writing has appeared in a variety of web sites, and as a published playwright.
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Are you an aspiring gym business owner looking to make this exciting endeavor as smooth as possible? Whether you are just starting out or are knee-deep into the whole process, there are ways to ensure this venture doesn’t turn sour. Crafting a comprehensive gym business plan is your ticket to success .
However, this is often easier said than done. So, to help you navigate this crucial aspect of running your own business, we put together an ultimate guide.
We will cover everything from the basics of a business plan to the necessary steps for creating your own. Read on and let’s turn your gym business dream into reality!
A gym business plan is a document that outlines the gym’s mission , vision, objectives, strategies, and financial projections. Essentially, it serves as a blueprint that guides your decisions and actions when starting and running your gym.
Did you know that 81% of fitness studios fail within their first year? Given this high number, knowing how to make a gym business plan that works has become more important than ever.
Creating a well-thought-out business plan doesn’t only serve you but your potential investors as well. Starting a gym can be a price venture, and doing it on your own is often not an option. You need to think about securing the financing needed to start, but in order to do so, you need to show investors that you have a clear picture of the whole process .
A comprehensive fitness gym business plan demonstrates that you have thoroughly researched the market, understood your target audience, and have a strategy in mind for conquering the competitive landscape.
In continuation, we will cover each component of a business plan, breaking down the process into steps so that you can easily craft yours by the end.
Having a business plan may now seem like a necessary step if you want your gym to succeed. But that still doesn’t tell you how to write a gym business plan from scratch. The important thing to remember is that business plans can vary just as much as businesses do . This can make it hard to be sure you are creating something that actually makes sense.
Fortunately, the whole process is not as arbitrary as you may think. There is a simple gym business plan template you can follow when creating your own unique blueprint. To make it easy, we’ll break each component into a manageable section.
The executive summary is an introduction to your business plan that should provide an overview of all the key points. Even though it’s the first section it’s often written last so nothing’s left out.
It should clearly outline your business’s purpose and goals, what you aim to achieve, and how you plan to address the objectives. Make sure it’s attention-grabbing so potential investors keep reading your plan and not discard your whole idea. Also, don’t make it too long; think of it as a sort of elevator pitch for your business, it should be captivating and clear.
Aim to answer the following questions:
Company description defines your gym’s identity and purpose. It should also cover what you intend to achieve in the long run.
What are your gym’s core values? Are you aiming for excellence or inclusivity? These values define your gym’s culture and shape how you interact with your clients and employees . They help you stay consistent and make your gym stand out.
Remember to include your foundation story. People love hearing background stories about their favorite businesses, and they make you, as an owner, more human. Investors want to know where you are coming from and what you aspire your business to be . Look at it this way: the more they know, the more likely they are to trust you.
Include the legal structure of your business . Whether it’s a sole proprietorship, limited liability company, or corporation, this will give you and your investors an idea of your gym’s power structure.
Lastly, include some Unique Selling Points. USPs should cover what sets you apart from the competition . Not every gym is the same, so be sure you clearly state what makes yours so different. Do your research and see what’s missing in the market. Are there any gaps you can fill? Be sure to give investors a reason to choose your gym business over someone else’s.
A gym’s business plan must include a comprehensive analysis of the current market. Market analysis aims to understand the dynamics, trends, and opportunities in the fitness industry .
In this step, you will define your niche, determine the overall market size, and identify your ideal customers.
Photo by Artem Podrez
Competitor analysis refers to evaluating your rivals’ strengths, weaknesses, and strategies . When looking at the fitness industry as a whole, it’s practically impossible not to see what’s already out there, which is a great thing. Examining others can give you an opportunity to differentiate your gym and gain a unique position in the market .
Begin by identifying main competitors in your local area and later on expand to indirect competitors. This way you will also gain insight into what can be sold or additionally offered in your gym.
When checking out your competition, don’t forget to look into their strategies. If a fitness center is popular, that is likely for a good reason. See if you can implement something in your gym business plan.
Lastly, carefully evaluate weaknesses so you know what areas they fall short in meeting customers’ needs.
Services and products are pivotal points of any successful gym business. They attract new customers and retain existing members .
In this section of a gym business plan, outline all that you offer, but highlight what makes your gym unique.
Is there something you offer that people can’t get someplace else?
Perfect, make it a focal point of this section so it’s obvious what sets your gym apart. This includes unique features, special programs, or amenities that meet the diverse needs of your target audience.
Go into as much detail as possible, mention different membership plans, necessary equipment, facilities and fitness classes. Having everything on paper will also help you avoid making unnecessary purchases down the road.
The organization and management part of a gym business plan should cover the organizational structure and the management team that will oversee everything .
Who are the owners? And what percentage do they have? Are you planning on running a sole proprietorship, partnership, corporation, or limited liability company?
All of these should be defined in this part of the business plan so it’s clear who makes the decisions .
Image by rawpixel.com on Freepik
Additionally, outline the key employees in your gym’s management team and your staffing plans for the future. Include the number of front desk managers, personal trainers, maintenance staff, administrative staff, etc.
How do you plan on executing training and development for your employees? And what are some HR policies and procedures you plan on implementing?
While this may seem a bit excessive, especially if you are just starting out, having a mindset of “I’ll just wing it” or “That all will easily fall into place once a gym starts running” can scare potential investors away and cost you your gym’s success.
Don’t get us wrong; it’s not like there is no flexibility whatsoever. We are not saying a gym business plan is set in stone; rather, it’s there to help you stay on the right path.
It’s surely not surprising that the fitness industry is extremely competitive, so how can you ensure your gym stands out from the crowd?
Marketing is essential for attracting new members, building brand awareness, and driving business growth . In this section of a business plan for a gym, outline strategies and tactics you plan on using in order to promote your business, engage with the perfect audience, and differentiate your gym from the others.
You should clearly emphasize your brand identity, values, and personality in this segment . Also, include a plan for establishing your online presence through a professional website and social media platforms. Cover all the marketing channels you plan on utilizing and the promotional campaigns you plan on carrying out. When deciding on appropriate marketing efforts, always consider your target audience and what’s the best way to reach them.
Marketing can be expensive, so be sure you allocate an appropriate budget. However, don’t go overboard. You don’t have to make use of all channels. Once you are sure who you want to target, your business plan should outline all the ways to get to them.
When it comes to advertising, hitting all the boxes can be tricky, but it’s important to do so, as it can either make or break your business. To help you make a proper plan and execute it correctly, we put together this guide on gym marketing ideas and strategies that work.
Sales strategy refers to a part of a gym business plan that outlines tactics and techniques you’ll use to drive sales, maximize revenue, and increase customer retention . This essentially includes all strategies for converting prospects into loyal customers.
As you can probably guess, sales strategies are closely related to marketing efforts, and developing one can’t be successful without considering the other.
Make sure you answer these questions in this part of the plan:
Behind the scenes of every successful gym is a well-organized and efficient operations plan. This plan ensures smooth day-to-day functioning and exceptional customer experience .
When creating your gym business plan, outline the logistical and operational details that cover how your gym will run on a daily basis. From facility management to staff scheduling , this section provides insight into the operational framework that supports the overall success of your gym.
In this segment, you should also include inventory management and specify how the supplies and equipment will be ordered and stored. Next, cover customer service so both you and your potential investors can see how important client satisfaction is and how it will be handled.
For many, this is one of the most important parts of running a business, and it can become pretty overwhelming. But there are ways to make it more manageable.
Handling all day-to-day operations by yourself can be a huge burden on your time. But leaving it all to software can be a bit scary. After all, not every booking solution is cut for this job. Meet Trafft , a fitness scheduling software designed specifically with the unique needs of fitness business owners in mind .
With Trafft, your members can easily book their workouts, group classes, and personal training sessions online, giving them the flexibility they desire and freeing up your staff’s time to focus on delivering exceptional service.
But that’s far from all that Trafft can do for you. In addition to maximizing your facility’s usage, avoiding double booking , and optimizing class capacities, Trafft’s appointment reminders and follow-up messages can enhance communication with your members and keep them engaged in their fitness journey .
And that’s just the tip of the iceberg. If you are interested in your gym’s performance, including attendance trends, revenue tracking, and member satisfaction, there is no better tool than Trafft .
Sounds interesting? Check out all the Trafft’s features and see why so many successful gyms are already using it.
Opening a gym business is a pricey endeavor, so you will likely need some financing help along the way. But how do you include this in your business plan and secure what you need?
Whether you’re seeking investment from other individuals, loans from financial institutions, or contributions from private investors, the Funding Request section of your business plan should clearly outline your needs . But don’t just put a number and call it a day. You need to explain how you plan on using the funds to launch and grow your business .
Be sure to cover the following expense categories:
Finally, your gym business plan should include financial projections for the future. In this section, you should have a detailed forecast of your gym’s financial performance over a specified period , typically five to several years.
By presenting realistic and data-driven projections, you demonstrate your gym business’s revenue-generating potential and profitability. This instills confidence in stakeholders and helps you secure the necessary funding for your venture.
Creating a business plan can be an overwhelming task, but once it is broken down into steps, it becomes much more manageable. But how can you ensure that the plan you create will yield good results?
Well, besides closely following the structure we mentioned, there are some additional tips that can help you further.
When creating a business plan, the more data you have, the better you can make your plan . Research and data collection will ensure you make informed decisions every step of the way .
Start by diving deeper into your target audience. See how old they are, what their workout habits are, and what they want to achieve. Then, move on to researching your competitors. What are they doing right, and how can you fill any gaps they have left? What are their marketing tactics and pricing strategies? This all will come in handy when crafting your perfect plan.
Lastly, don’t overlook collecting data about your business. Once your gym is up and running, see how satisfied your clients are, how good membership sells, and how well your employees perform. Trafft’s business dashboard helps you analyze occupancy, employee performance and much more with just one glance!
People often get carried away when defining what they want to achieve. While being ambitious is always a good thing, having too many goals can lead to achieving none of them. When defining where you want your business to be in a few months or years , try utilizing SMART criteria.
The acronym SMART stands for goals that are specific, measurable, achievable, realistic, and time-bound. Clarity and precision in goal-setting will help you see what you have achieved and what you need to work on further .
Focusing on details will guarantee that every aspect of your gym business plan is thoroughly considered and carefully planned out . Delving into the specifics will give you deeper insights into the opportunities and challenges facing your gym business. On the other hand, no investor wants to read a business plan that is feeble and covers only the basics.
Maintaining clarity and going into as much detail as possible lays a solid foundation for successfully implementing your business plan .
We already mentioned that the gym business plan is a blueprint for how you plan to run your business. The fitness industry is always changing, so to ensure you are evolving with it, review your business plan regularly and change what is no longer relevant .
Keeping your business plan up-to-date demonstrates your commitment to staying agile and adaptive in a dynamic landscape, positioning your gym for sustained growth and success .
Seeking advice from a professional can provide invaluable insights and expertise needed to make your business plan a success . Whether it’s a business consultant, fitness industry expert, or financial advisor, consulting with professionals can provide guidance where necessary.
By leveraging their expertise, you can strengthen your business plan, lower risks, and maximize opportunities for success. Remember, investing in professional advice is investing in your gym’s future growth .
Photo by Katrin Bolovtsova
Understanding how to make a business plan for a fitness center is crucial for aspiring gym owners looking to navigate the complexities of this industry successfully.
By following the step-by-step guidance provided here, you can craft a comprehensive business plan that not only outlines your gym’s mission, vision, and objectives but also serves as a strategic roadmap for achieving your goals .
From conducting thorough market and competitor analysis to defining your gym’s unique selling points and sales strategies, each component of your business plan is instrumental in shaping the future of your gym business .
By meticulously detailing your plans, setting SMART goals, and seeking professional advice when needed, you can enhance the likelihood of securing funding and ultimately building a thriving gym business.
Take the time to develop a business plan that reflects your passion for fitness, addresses the needs of your target market, and positions your gym for long-term success. And if you need any help along the way, discover how to grow a gym with Trafft .
Barbara Stankovic is a Content Creator who enjoys exploring diverse perspectives and crafting compelling narratives. With more than 3 years of experience in content writing, she always strives to create materials that inform and entertain. Drawing from her background in psychology, Barbara brings a unique understanding of human behavior to her works. Beyond exploring the complexities of the human mind and emotions, she also loves hiking, reading, baking, and spending time with her two dogs.
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If you’re reading this, you’re probably the type of person who takes exercising seriously.
Has the idea of starting a gym suddenly sparked your interest? Or perhaps it’s a lifelong ambition of yours, and you are now ready to make a move.
Either way, what’s brilliant is that you’ve picked the right door. Because the first step you need to take is creating a gym business plan .
As the notorious American football coach, Paul “Bear” Bryant, once said, “It’s not the will to win that matters—everyone has that. It’s the will to prepare to win that matters.”
Knowing the structure of your business, understanding your target market and Unique Selling Point (USP), forecasting your financials, and hashing out any other details about your future gym: these are the vital components needed to create a valuable business plan.
But before we get on the treadmill….
Ask yourself: can you afford to run a gym? This venture could see you outlay on equipment, personal trainers, class instructors, insurance policies, property fees, and more, depending on the scope of your gym.
If you’re comfortable financially, think about how much personal time you are willing to sacrifice, especially in the beginning. Maintaining that work/life balance is one of the greatest challenges of starting any business; you’ll probably need extra working hours to become fully operational.
Remember, though, that money and time won’t be enough to pass ‘Go’ if you don’t have good people skills, a savvy head for marketing and sales, or the ability to manage your finances (unless you have extra cash to splash out on skilled people …).
But here’s the good news: it will be worth the money and the hard work if this is your passion. And a big or small gym business plan is a reliable way to make that dream a reality.
The latter group is crucial as Score, an entrepreneur mentoring enterprise, explains: in order to raise the capital you need for your gym to grow, “individuals or banks want a realistic forecast for when they will be reaping on their capital” to confidently invest in your gym.
Below is a comprehensive template for your business plan. Include all ten stages and you’ll fly. Miss one and you’ll fall. Because they are all equally relevant to your future as a gym owner.
Your executive summary needs to shout:
The what – your goals
The why – your mission
The how – what’s going to make you a success story
The bigger picture – your vision
It has to be attention-grabbing, to the point and clarifying. Which is why you need to keep it short. But that doesn’t mean you should rush this part of your business plan. It is your business pitch after all, as the Telegraph explains:
“The fact of the matter is that decision makers can only read so much in the course of a day. So if authors want their work to be paid attention, they must first sell it with a convincing pitch. To this end, executive summaries are a necessary and essential part of running a business, from start to finish.”
If you’re itching to say more on your goals and vision, don’t panic. You can flesh out these points in your company overview.
In your executive summary, you briefly outlined your vision and mission statement. In your company overview, you can elaborate on these points for further insight. Think of your vision statement as if it were a tagline on your future website. Cover:
Your mission statement can be more personal. Talk about your desired outcome for the business. Here’s an example from Nike :
“To bring inspiration and innovation to every athlete in the world. If you have a body, you have an athlete”
Consider the main reason you decided to go into this industry and share it. Is there something you want to change about the fitness world? Or make it better?
Again, this is useful for your investors and partners in understanding your journey and future plans. The more they know, the more they trust you.
Then you need to outline your strategy: discuss what services you plan to offer in the beginning, and how you might approach development and new offerings. Perhaps you’ll need to hire an instructor or build a new facility like a spa or studio. This will be a valuable resource for helping you realise when or where you might need funding or extra staff.
Get another green tick for thinking about ways to increase your market share. You could set up pro bono services with workplaces and schools, for instance. Then you might start to introduce a fee gradually: an efficient way to convert big target customers.
Whether you want to create a gym and spa business plan or any other kind of blueprint, an overview should communicate your planning objectives to potential bankers, partners, employees and financial backers.
Consider the positions you’ll need to fill and how these people are going to help your gym succeed..
What’s your employee ladder going to look like? What or who will they be responsible for? What incentives can you offer?
Follow this through into a summary that emphasises how their skills and management experience will solidify your business’s success.
Go back and read this section as if you are an outsider considering becoming a partner to this gym. Does the management structure make you feel satisfied and excited, or concerned?
If it’s the latter, explore how you can change this by making your chain of command stronger.
If marketing isn’t your thing, motivate yourself with the knowledge that solid research and marketing strategies will help you map out a plan for growth.
Your first goal is to summarise your market research. Not quite there with your findings? Think about your location, existing gyms in the area, and your local demographic.
Or even a specific group, like cyclists. Then explore why this specific demographic would join a gym – i.e. for cardio.
Having done your market research, you should have a better understanding of your target audience. Now ask yourself:
Answer these in your plan and define your Unique Selling Point (USP). This should communicate what makes your enterprise a valuable investment opportunity.
Identify your marketing strategies here and you’ll feel more secure about raising your business’s income in the future.
And any other ideas you have to build your customer base and increase your revenue.
For bonus points: describe the benefits of your products and services. Perhaps this is a gym and spa business plan ; look to demonstrate why this added facility would be a valuable asset to your customers.
Next, you want to create a pricing list. The easiest way to do this is to bullet point the costs for specific products and services. This will lead you to your financial forecasting.
Create a menu for your gym. What do you need to spend your capital on? Leave no table unturned, and make sure you put an estimate next to each purchase.
Then it’s time to get real. Get out your calculator and write down how much you will need to successfully launch your gym. This will give you a clear indication of what you can achieve with your budget, and what you might need funding for.
The idea is to reassure your investors, stakeholders and potential employees that you have a solid plan for your return on investment. Think about how much your services will bring in i.e. classes, a cafe, services, a spa and jot down your educated guess here.
You could also explore opportunities to sell products , such as health foods. You could produce your own protein shakes or energy bars, for example. Just ensure that if you do plan to sell food you keep in check with food hygiene standards.
“Your sales forecast is the backbone of your business plan. People measure a business and its growth by sales, and your sales forecast sets the standard for expenses, profits and growth.”
Outline your sales forecast for the first, second and third year of your business. It might also be a good idea to detail your active members predictions for your first year.
How will you use your fees to increase enrolment? Perhaps you discovered that all the gyms in your area have higher prices than average. This would be a golden opportunity to add value to your business by being financially sensitive (you could lower your membership fees or have better offers than the competition).
You could also think about rewards for loyal customers, discounts for group registrations, and pro bonos (as we previously discussed).
Additionally, if you’re creating a gym and spa business plan , compliment your gym with discounts for the spa facilities (jumping in the jacuzzi after a workout session is a gym-goer’s dream come true).
Putting your pricing strategy on paper will make you feel more secure about the future of your gym. The Balance contributor, Darrell Zahorsky , agrees:
“The pricing strategy of your small business can ultimately determine your fate. Small business owners can ensure profitability and longevity by paying close attention to their pricing strategy.”
How a customer pays for their gym membership or other fees is important. Use clunky, out of date and unregulated systems for processing payments and you’ll repel your customers.
If you do have a quick and painless booking system or banking platform in mind, make it known in this section of your gym business plan .This will instil confidence in your potential investors: with a seamless buyer experience in operation, your customers have an extra reason to be loyal to you.
Because having automated payments in place ensures that bills are never forgotten, delayed or lost, allowing you to maintain a solid cash flow.
And the easiest way to integrate this into your business is to use a third-party to operate any direct debits on your behalf.
And since FastPay independently processes your payments, you’ll never have to chase down customers, giving you more time to focus on developing other areas of customer service. It’s also secure: customers are protected by the Direct Debit guarantee.
With a Direct Debit solution like FastPay in place, your customer retention level will rise. Why would they move to a competitor if paying for a class or gym membership through you is so effortless?
Detail exactly where you plan to get your funding from and how much you are going to gain. And if you’ve previously made loan applications, make a note of them here for any potential investor to consider.
With a big or small gym business plan that details everything you have learnt today, you’ll be unstoppable in your new venture. Because you now have a solid roadmap that:
Before you leave, here’s a personal checklist to guide you through the next stages of running your own gym. Refer to it throughout the development of your business to ensure you don’t miss a thing.
Starting any business is not without its challenges, but the rewards are more than worth it in the end. Sign up to a Direct Debit bureau and make collecting recurring payments from your fitness suite members a reliable, secure and pain-free process. It’ll be a weight off your mind.
Collecting payments via direct debit can significantly streamline your business operations, ensuring regular cash flow
In today’s competitive business landscape, efficient cash flow management and streamlined payment processes are critical
The law regarding direct debits in the UK is designed to protect consumers and ensure
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Learn how to grow a gym business with this detailed guide. From market research to financial management, we’ve got you covered to grow a profitable gym business.
The gym industry has seen tremendous growth in the past decade, and there seems to be no sign of it slowing down. With more and more people becoming health-conscious, the demand for fitness services is only going up. According to IBISWorld’s market research report, the gym, health and fitness club industry revenue is projected to reach $37 billion by 2023. This means that starting a gym business can be a lucrative venture if done right.
However, with the rise in competition, it’s important to have a solid plan in place that sets your gym apart from others. That’s where this gym business growth guide comes in. Read on to learn the best way to grow a fitness gym and how you can utilize the best gym management software to manage and grow your gym business.
Want to get a tour of the best software for growing gyms?
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Before you start investing time and money into opening a gym business, learn these things you should know before opening a gym , because you need to have a clear roadmap of how you will achieve success. This is where having a solid gym business plan comes into play.
A business plan outlines the vision for your gym business, including financial projections and operational strategies. Not only does this give you clarity on what steps you need to take next, but it also helps secure funding from investors or lenders.
Your business plan should include details such as target demographics, competition analysis, marketing strategies and financial projections over the next three-to-five years. By having all these details outlined before launching your gym business will set yourself up for success.
In today’s competitive market, having just an ordinary gym won’t cut it. In fact most gyms look pretty much identical inside – treadmills here, weights there – so how will potential clients decide which one they want?
You need something unique that aligns with your customer’s needs. To get ahead of competitors , you need to have a Unique Selling Proposition (USP).
A USP is what sets your gym apart from others. For example, it could be offering unique amenities such as a sauna or juice bar, having 24/7 availability, or offering group fitness classes.
Having a unique selling proposition gives your gym business an edge over others and can help convert potential clients into members. Having established the importance of the gym industry and a solid business plan, we move on to market research that is crucial in identifying target demographics and their fitness needs.
Identifying target demographics and their fitness needs.
If you want to grow a successful gym business, the first thing you should do is identify your target audience. You need to know who your gym is catering to before you even think about opening your doors. If you aren’t sure what target market is right for your gym, be sure to learn how to choose a target market for your gym business so that you can be laser focused with your gym marketing efforts.
Are you targeting young professionals? Stay-at-home moms?
Seniors looking for low-impact exercises? Once you have identified your target demographic, it’s time to figure out what their fitness needs are.
Do they want to lose weight? Build muscle?
Improve flexibility or endurance? It’s important to create a gym environment that caters to these specific needs.
But don’t limit yourself just yet! Keep in mind that people’s fitness goals change over time, so make sure your gym offers a variety of options for different stages of their fitness journey.
Market research also involves analyzing your competitors and keeping up with market trends. You need to know what other gyms in the area are offering and how they are marketing themselves. Are they offering unique amenities or specialized training programs?
Don’t be afraid of competition though – it means there is demand for fitness services in the area! Use this knowledge to make informed decisions about what services and facilities will make your gym stand out from the rest .
Additionally, staying on top of market trends will ensure that your gym stays current with new ideas and innovations in the industry. Whether it’s incorporating virtual reality into workouts or partnering with wellness apps, keeping an eye on trends can help keep your business relevant and competitive.
In short, identifying target demographics along with their needs and desires, as well as analyzing competition along with market trends is essential if you want to open a successful gym business. By doing so, you’ll be better equipped to provide unique experiences catered towards customer satisfaction while also standing out from the competition.
Finding the perfect location for your gym is essential to its success. Your gym should be easily accessible, visible and have ample parking space. If your gym isn’t convenient for potential customers to get to, they will likely choose a competitor with a more convenient location.
You could have the best trainers in the world and top-of-the-line equipment but if people can’t find you or get there easily, it won’t matter. Accessibility means different things depending on where you are located.
A city center will require public transportation options, while a suburban location may need a lot of parking spaces. The accessibility of the location also depends on your target audience.
For example, if you are targeting retirees or an older crowd, you might want to consider opening up near health centers or retirement homes. Visibility is another essential factor when it comes to selecting a gym location.
When people drive by your building, they should know instantly that there is a fitness facility inside. You should make sure that your signs are clear and visible from all angles so that potential customers can easily locate you.
Negotiating gym lease agreements when renting space for your gym can be challenging but necessary. Landlords always want higher rent prices than what’s reasonable so it’s up to you as the tenant to negotiate suitable terms.
Make sure that both parties agree on everything related to rent payments before signing any lease agreements. Once you’ve secured your lease agreement, it’s time to build out your space according to what services/products you plan on offering at this new location.
Building out space requires detailed planning and budgeting for all materials needed including flooring materials such as rubber mats or carpet squares if being installed over concrete floors; mirrors; soundproofing materials; locker rooms and showers for members; and much more. You’ll also need to consider the design of your gym.
The layout should be easy to navigate, with plenty of natural light and an inviting atmosphere. Make sure that equipment is spaced out accordingly, considering the needs of your target audience.
For example, if you’re targeting serious weightlifters, you will need more weight training machines than cardio machines. Location is everything when it comes to owning a gym.
You need to find a convenient location that is visible from all angles and has ample parking space while keeping in mind your target audience’s needs. Once you’ve secured the right spot, negotiating lease agreements and building out the space requires detailed planning and budgeting for everything necessary to make your gym stand out from competitors.
When it comes to equipment, many gym owners make the mistake of trying to please everyone by cramming in as much equipment as possible. However, this strategy is doomed to fail. Instead, you should focus on providing equipment that fits your target audience’s needs.
For instance, if your gym caters to powerlifters, then you shouldn’t waste money on fancy cardio machines they won’t use. One thing I can’t stand is gyms that invest in a ton of flashy high-tech equipment just for show.
Sure, it might look cool and impress potential customers at first glance, but it doesn’t help people get fit. Instead of buying into gimmicky trends like vibrating dumbbells or whatever else the fitness industry is pushing these days, focus on investing in dependable basics that will last.
It’s no secret that there are countless gyms out there all competing for the same customers. So how do you stand out from the crowd?
By offering unique amenities and perks that your competitors don’t have! One amenity that I always appreciate is a sauna or steam room.
Not only does it promote relaxation and aid in muscle recovery after a tough workout, but it can also be a selling point for customers looking for a spa-like experience in addition to their fitness routine. Another amenity worth considering is a juice bar or healthy snack station.
Not only does this give members an easy option for refueling post-workout, but it also helps foster community by providing a space where people can socialize and interact outside of just exercising together. Ultimately, when deciding which amenities to offer at your gym, consider what sets you apart from other gyms in your area and tailor your offerings accordingly.
Hiring qualified personal trainers and fitness club support staff.
One of the most important aspects of running a successful gym business is hiring qualified trainers and support staff. This can make or break your gym’s reputation, as members are paying not only for access to equipment but also for expert guidance in their fitness journeys. When hiring trainers, it is essential to prioritize qualifications over personality.
While a trainer with a friendly personality can be appealing, they must also have the knowledge and skills necessary to effectively train clients. Look for certifications such as NASM, ACE or ACSM that shows their commitment towards education.
Additionally, ensure that your support staff has experience in customer service roles. They should be able to handle member inquiries and complaints professionally and effectively.
Hiring qualified staff is only the first step in ensuring quality service at your gym. It is equally crucial to provide ongoing training opportunities for your team to keep them up-to-date on industry trends, new technologies, and best practices. Investing in regular professional development sessions or bringing in outside experts can help keep your team’s skills sharp and provide them with fresh ideas on how to better serve members’ needs.
Furthermore, providing continuing education opportunities helps keep employees engaged and invested in their work at your facility. It communicates that you value their growth as professionals while ensuring they stay motivated.
Staffing plays a critical role in the success of any gym business venture. Taking the time and effort to hire qualified trainers & support staffs while providing ongoing training opportunities will not only improve member satisfaction but will also drive revenue growth for years to come.
Developing a strong gym brand identity.
One of the most important aspects of growing a successful gym business is developing a strong brand identity. Your brand is what sets you apart from your competitors and makes your business unique.
A strong brand will not only attract potential customers but also help retain current members. So how do you develop a strong brand identity for your gym?
First and foremost, focus on creating a clear and consistent message that resonates with your target audience. Are you catering to hardcore fitness enthusiasts or everyday gym-goers?
Once you know your target audience, develop messaging that speaks to their needs and goals. This will help build trust and loyalty among members.
Another important aspect of building a strong brand is creating a visual identity that reflects your gym’s personality and values. This includes designing an appealing logo, selecting color schemes that evoke certain emotions, and choosing imagery that aligns with your messaging.
In today’s digital age, social media has become an essential tool for businesses looking to expand their reach and connect with potential customers. As such, it’s crucial for gym owners to have an active presence on social media platforms like Facebook , Instagram, Twitter, Pinterest, etc. To make the most out of social media marketing for gyms, it’s important to understand the unique strengths of each platform.
For example, Instagram is ideal for sharing visually appealing images/videos of workouts or healthy meals while Twitter might be better suited for quick updates or motivational messages. Regardless of which platforms you use, it’s important to keep content fresh and engaging by posting regularly (at least once per day) and using hashtags effectively to reach new audiences.
Yet importantly hosting events can be an effective way to attract new members to your gym. For example, you can host a free introductory workout class for newcomers or offer discounted rates for new members signing up during a promotional period. Other ideas include partnering with local businesses to offer joint promotions or hosting charity events that bring the community together while raising awareness of your brand. Learn gym event ideas and how to find the best gym software with event management to get your creative juices going.
Ultimately, the key to successful event marketing is creativity, so don’t be afraid to take risks and think outside the box when planning your promotions. Whether it’s offering a unique incentive or partnering with a local influencer, finding ways to differentiate yourself will help you stand out in a crowded market.
Flexible membership plans: catering to different budgets and fitness goals.
One of the biggest mistakes gym owners make is assuming that all members have the same fitness goals and budget . This couldn’t be farther from the truth.
In order to truly grow your gym business, you need to offer flexible membership plans that cater to different budgets and fitness goals. For example, some members may only want access to cardio equipment while others may want access to a range of strength training equipment.
Some may be interested in attending group classes while others prefer working out alone. By offering a variety of membership plans, you can attract a wider range of customers and increase revenue streams.
It’s important to do market research before deciding on the types of memberships you offer. Look at your competition and see what they’re offering, but also consider taking it one step further by creating unique membership packages that set you apart from competitors.
While flexible membership plans are important for attracting new members, upselling additional fitness services is critical for increasing revenue per member. One effective way to upsell is by offering personal training sessions.
Not only do personal trainers provide additional value for members by helping them achieve their fitness goals faster, but they also generate significant revenue for your business. You can also consider adding other services such as nutrition coaching or massage therapy sessions that appeal to your target demographics. Read more to learn how to market nutrition services at a gym .
These types of services not only provide an additional source of revenue but also increase member loyalty since they’re getting more value from their membership. However, it’s important not to oversell these services and make them feel like a constant sales pitch every time they enter the gym.
Members should always feel like these services are optional add-ons rather than mandatory purchases. Offering flexible membership plans and upselling additional services is critical for growing your gym business.
By catering to different budgets and fitness goals, you can attract a wider range of customers and increase revenue streams. Additionally, upselling additional services such as personal training or nutrition coaching provides additional value for members while generating significant revenue for your business.
Creating a welcoming atmosphere for gym members.
One of the most important aspects of running a successful gym business is creating an environment that makes members feel welcome and appreciated. A well-lit, clean and spacious space with modern equipment is simply not enough to keep members coming back. Members need to feel like they belong, like they are part of a community that values their presence.
To create this sense of community, gym owners need to invest in customer service training for staff. Staff should be friendly, knowledgeable and attentive to member needs.
They should greet every member by name when they enter the gym and inquire about their fitness goals or progress. They should also be available to answer questions or provide assistance as needed.
In addition, consider offering classes or events that promote social interaction among members. This could include group fitness classes such as yoga or boot camp, or special events such as charity runs or nutrition workshops.
Loyalty programs and referral incentives are critical tools for retaining customers in the competitive gym industry. They reward members for their loyalty while also encouraging them to bring new business through referrals. Loyalty programs can take many forms – from rewards points that can be redeemed for merchandise or services, to free membership upgrades based on length of membership. Use the best gym software with loyalty program management and best gym software with referral management to streamline your gym’s loyalty and referral programs.
The key is making sure the program offers real value to members without breaking the bank. Referral incentives can also be effective if done properly.
For example, offer current members a free month’s membership if they refer a friend who signs up for at least three months. This not only incentivizes current members but also encourages them to spread positive word-of-mouth about your gym.
Ultimately, keeping customers engaged and invested in your gym requires ongoing effort and investment in customer service and loyalty programs. But the payoff – long-term retention of valuable customers – is well worth it.
Budgeting for gym expenses such as rent, equipment maintenance, staffing costs.
One of the most important aspects of running a successful gym business is budgeting properly. Without a solid financial plan in place, it’s easy to overspend and put your business at risk.
When creating a budget, it’s essential to factor in all expenses including rent, equipment maintenance and staffing costs. Firstly, let’s talk about rent.
Location is key when it comes to owning a gym. You want to be in an area that is accessible and visible to potential customers.
However, prime locations often come with high rental costs. Therefore, you need to factor in rent as part of your monthly expenses.
Make sure you have realistic projections for membership numbers so you can estimate how much revenue you’ll be bringing in each month. Secondly, equipment maintenance costs should also be included in your budget.
Gym equipment is expensive and when it breaks down or needs repairs, it could cost a lot of money depending on the severity of the problem. It’s important to invest in high-quality equipment that will last longer and require less maintenance over time.
Staffing costs are another expense that should not be overlooked when creating a budget for your gym business. The quality of trainers can make or break the success of your gym so investing in qualified trainers is key for ensuring customer satisfaction and retention.
Once you have created a well-thought-out budget plan, it’s crucial to monitor revenue streams through financial reports regularly. Monitoring financial reports allows you to track your progress towards reaching business goals such as profitability or growth. There are various reports that gyms should keep track of including income statements and cash flow statements which help track money coming into the business versus money going out of the business over time periods such as weekly or monthly periods.
Analyzing these reports allows you to identify areas where you can cut costs and optimize profitability. For example, if your gym is spending too much on marketing but not seeing a high return on investment, you can adjust your strategy to focus more on cost-effective methods.
Overall, having a solid financial management plan in place is essential for any gym business looking to succeed in the long term. By budgeting accurately and monitoring revenue streams through financial reports, you’ll be able to make informed decisions that will help grow your business over time.
To increase your gym profit, you can consider offering additional services like personal training and nutrition counseling, implementing value-added memberships with exclusive perks, optimizing your pricing structure, focusing on customer retention through exceptional service and loyalty programs, enhancing member engagement through Exercise.com’s gym management software, upselling products and merchandise, and maximizing facility usage through partnerships and rentals.
To attract and retain more clients for your gym, you can implement targeted marketing campaigns using Exercise.com’s marketing tools, establish a strong online presence through a professional website and social media, leverage referral programs to encourage word-of-mouth referrals, form partnerships with local businesses to expand your reach, host open house events, utilize online advertising platforms, offer trial memberships or free introductory classes, and provide an exceptional member experience through Exercise.com’s gym management software.
To differentiate your gym from competitors, you can focus on offering unique services or programs, emphasizing your gym’s strengths or specialization, providing exceptional customer service, creating a welcoming and inclusive environment, and leveraging Exercise.com’s gym management software to deliver a personalized and seamless member experience.
To retain gym members and reduce churn, you can implement strategies such as offering personalized attention and support, providing ongoing motivation and goal tracking through Exercise.com’s platform, organizing member challenges or events to foster community engagement, continuously updating and diversifying your offerings to meet member needs, and regularly seeking and acting upon member feedback to improve their experience.
Even with a limited budget, you can effectively market your gym by utilizing cost-effective digital marketing strategies such as social media marketing, content marketing through a blog or YouTube channel, leveraging online directories and review platforms, implementing referral programs to incentivize word-of-mouth marketing, and leveraging Exercise.com’s marketing tools to target specific demographics and track campaign performance.
Social media can be a powerful tool to promote your gym. You can create engaging and shareable content, showcase member success stories, offer exclusive promotions or giveaways, collaborate with fitness influencers or local businesses, encourage user-generated content through challenges or contests, and use Exercise.com’s platform to streamline social media management and track engagement metrics.
To expand your gym’s reach beyond the local community, you can leverage Exercise.com’s custom branded fitness apps to offer online workout programs for sale , nutrition services, or virtual training sessions, create engaging content on your website or blog that attracts a broader audience, partner with fitness influencers or brands to reach their followers, and utilize online advertising to target specific demographics or geographic areas outside your local market.
Exercise.com’s gym management software can help you grow your gym business by streamlining operations, automating administrative tasks, membership management, scheduling, and billing. It also enhances the member experience through personalized communication, targeted marketing campaigns, and goal tracking. With Exercise.com’s platform, you can engage with your members, offer specialized services, sell products and merchandise, and foster a sense of community through custom branded fitness apps. Overall, Exercise.com provides the tools and features to help you optimize your operations, attract and retain clients, and drive the growth of your gym business.
Growing a gym business is not an easy feat, but with hard work and dedication it’s definitely possible. There are many factors to consider, from identifying your target audience and location, to selecting the right equipment and staff.
However, by following these key points outlined above you’ll be well on your way to creating a thriving gym business.
Market research is crucial when starting any business, but especially for gyms. It’s important to understand the demographics of your target audience and their fitness needs in order to provide them with the best service possible.
Additionally, analyzing competition and market trends will help you stay ahead of the game. Location is also essential in creating a successful gym business.
Accessibility, visibility, parking – these are all factors that potential customers will consider when choosing a gym. Negotiating lease agreements and building out the space can also be costly – so it’s important to budget accordingly.
Equipment selection should be based on your target audience as well as any unique amenities you’re offering. Providing high-quality training staff will also set your gym apart from competitors.
Ongoing training opportunities for staff members will ensure that they are able to provide quality service for members. Marketing strategies can make or break a gym business – having a strong brand identity through social media platforms and hosting events/promotions can attract new members.
Offering flexible membership plans while upselling personal training sessions or other services will also generate revenue streams. Customer retention is essential in keeping members coming back – creating a welcoming atmosphere and implementing loyalty programs/referral incentives can help foster long-term relationships between members and gym staff.
Overall, growing a successful gym business requires passion for fitness as well as strategic planning skills. By following these key points I’ve outlined above you’ll be on track towards building a thriving community of fitness enthusiasts at your very own gym!
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If you’re planning on starting a CrossFit gym, you first need to put together a full and in-depth business plan. Keep reading and find out what to include in a business plan to get your CrossFit gym up and running.
Whether you're a seasoned pro and have run your own CrossFit gym before, or you are brand new to the world of running fitness businesses , ensuring you have written a thorough business plan is one of the first steps you need to take.
By putting together a comprehensive business plan for your CrossFit box , you're first and foremost creating a strategy for yourself, as well as holding yourself accountable. Each section of your CrossFit gym business plan can work as though it was a "to-do" list that you can check off as you address each task. Your business plan is much more than that though.
In this guide, we take you through what each section of your CrossFit gym business plan should include and how it'll help you take your CrossFit gym from being an idea to a project in motion.
A business plan is a comprehensive document that outlines your business goals, strategies, and how you plan on achieving them. When you start any business, there's a lot to think about, and CrossFit gyms are no different.
Business plans are an essential tool for any business owner. For aspiring CrossFit gym owners, they help to map out a strategy and make informed decisions about the future of your business.
Additionally, a well-written CrossFit gym business plan can help to attract potential investors or secure business loans by clearly demonstrating how you intend to structure your CrossFit gym.
Creating a business plan that's in-depth and gives your potential investors a thorough run-through of how you intend to get your new business venture off the ground is vital to securing funding and starting your cash flow to get your CrossFit box open.
Showing you've thought about all the various aspects it takes to start your own CrossFit , from getting the right CrossFit equipment such as rowing machines, medicine balls, and more to
As with all things, there's more than one way to approach writing up business plans. However, making sure your business plan template includes these key features will help steer you in the right direction:
So what does each section entail? How will each part help you start your own CrossFit box?
Keep reading, and find out more about each component of a business plan so you can start to build your own business plan template.
A company summary is basically a short, concise description of your company. It should include information about your business, what you do, your target market, your unique selling proposition (USP), and anything else that would be relevant to someone considering doing business with you.
A company summary is sometimes also referred to as an executive summary, particularly in the case of startups seeking funding from investors.
In these instances, the company summary serves as an introduction to the rest of the business plan and can be a make-or-break factor regarding whether or not an investor decides to provide funding.
For CrossFit boxes just starting out, having a well-crafted company summary is critical to attracting the right kind of attention and investors. Here are some tips on how to create an effective company summary:
In this section of your business plan, you need to describe the services you offer at your CrossFit gym. When creating your list of services, consider what type of training you offer and what your target market is looking for.
At its core, CrossFit tends to be a group fitness activity. It’s a good idea to specify that in your business plan though. Never assume that everyone who is going to read your business plan is going to know those details.
Once you’ve laid out a plan for your core services and how you’ll be leading workouts of the day (WOD), think about any additional services you or your CrossFit box will offer customers.
A lot of gyms and fitness studios include some extras to help boost revenue as well as to keep clients interested in their fitness business .
Some additional services to consider offering your clients include:
When it comes to starting a CrossFit gym, the most important step is conducting a thorough market analysis . This involves evaluating potential competitors, assessing consumer patterns in your local area, and exploring emerging trends in the CrossFit industry.
By analyzing these factors, you can gain valuable insight into what customers in your community are looking for from a CrossFit box.
Next, it's important to consider the broader market trends that are shaping the CrossFit industry as a whole.
By examining these broader trends, you'll be better equipped to anticipate and stay ahead of changes in customer preferences and competition.
Ultimately, doing a thorough market analysis is the best way to ensure that your CrossFit gym is positioned for success.
Once you've gathered all your research on the local CrossFit market and identified your competition from your market analysis, you can create a marketing plan that outlines how you will promote your CrossFit box and attract new members.
It's important to have a marketing plan and sales forecast in place to help you to determine how to best reach your target clientele and what type of CrossFit equipment and services you need to provide in order to meet their needs.
Some of the questions you need to consider when you put together a marketing plan include:
You will also need to develop a sales forecast that projects your expected revenues and expenses. By taking the time to create a comprehensive marketing plan and sales forecast, you will increase your chances of success in the CrossFit industry.
When you're thinking about starting a CrossFit gym, it's important to first understand the competition. Who are the other CrossFit boxes in your area? What are their strengths and weaknesses? How can you position your own gym to stand out from the pack?
The best way to get insights into your competitors is to conduct a competitive analysis. This involves researching their businesses, observing their practices, and talking to their customers. With this information in hand, you'll be able to develop a clear understanding of what makes your competitors successful (and what doesn't).
There are a few key things to look for when conducting a competitive analysis:
Competitor analysis isn't necessarily about trying to find ways to undercut the competition or even ways of poaching their clients. In many respects, it's more about making sure you're not stepping on each other's toes.
The ideal location depends on several factors, including the size and layout of the premises, the surrounding community, and the availability of parking and public transportation.
The size of the premises is an important consideration, as you need enough space to accommodate all of the necessary equipment and still have room for clients to workout comfortably.
The layout of the space is also essential, as you will need to have designated areas for warm-ups, workouts, and cooling down.
The surrounding community is another important factor to consider, as you want to be located in an area with a high concentration of potential clients.
You should also consider the demographics of the community, as you want to be sure that your target market will be able to access your gym easily.
Finally, you should consider the availability of parking and public transportation. If your gym is not located near public transportation, it is important to have ample parking available for your clients.
Finally, your business plan should include a detailed financial plan that outlines your expected startup costs and how you propose to fund and manage your CrossFit gym.
How much money do you need to start your CrossFit gym? This includes the cost of renting or purchasing a space, equipment, and any renovations or build-outs that need to be done.
How will you generate revenue? Will you charge monthly membership fees, daily drop-in rates, or both? As we've already established, the cost of a premises for your CrossFit business needs to be taken into consideration, but what else do Crossfit gym owners need to think about?
It may seem that at the start you won't need to invest in software solutions with lots of features. Your client base is still relatively small and running things with a spreadsheet and paying on the day can seem like the easiest solution for the first few months at least. But even if you start out with a smaller client base, that number is going to grow.
As a CrossFit gym owner, admin and paperwork can quickly start to pile up. From tracking memberships and payments to scheduling classes and managing finances, there's a lot to keep on top of. CrossFit management software can help CrossFit owners to overcome many of the challenges of managing a CrossFit box .
By investing in the right CrossFit software solutions, you can streamline your admin, freeing up time to focus on other areas of your business. The best CrossFit software will offer a range of features, from online membership management to class scheduling, payment processing and thorough reports that will help you make fact-based decisions based on clear data.
With everything in one place, you'll be able to save time and take the complexity out of your day-to-day administration. So looking for ways to simplify your CrossFit gym's admin from day one means exploring the different CrossFit gym management software providers out there.
An important part of your financial plan is showing that you've considered the cost of equipping your CrossFit box. Your financial plan needs to include proof that you've researched exactly how much it will cost to purchase all the necessary CrossFit equipment for your CrossFit box.
A CrossFit rig typically includes a pull-up bar, weights, and a squat rack. You can expect to pay anywhere from $2,000 to $10,000 for a basic rig, depending on the quality and features you choose. In addition, you'll need to factor in the cost of flooring, signage, and insurance.
Gym owners are responsible for the safety of their members, so it's crucial to have adequate coverage in case of accidents or injuries.
In addition to the obvious costs of renting or buying a space, outfitting it with equipment, and marketing your new business, there are a few other important factors to consider when creating a financial plan for your CrossFit gym.
One of the most important is hiring trainers and staff . While you may be able to get by with one or two trainers at first, eventually you'll need to hire more staff to keep up with the demand.
Not only do they need to be qualified and experienced, but they also need to be able to work well as a team. Hiring the right personalities is as important, if not more than hiring the most experienced candidates.
You can budget for continuing education and certifications for your trainers, but you can’t budget for the right characters who will work well with you, your other team members, and of course, with your clients.
Finally, don't forget to add a budget for any unexpected expenses, such as repairs or replacements for worn-out equipment. By taking all of these factors into account, you can create a comprehensive financial plan that will help you get your CrossFit gym off the ground.
Once you have a good idea of the start-up costs involved, you can start to look into potential revenue sources. Membership fees are typically the largest source of income for CrossFit boxes.
You may also want to consider hosting competitions or offering personal training services. By creating a detailed financial plan, you can make sure that you have the resources necessary to open a successful CrossFit box.
Following a clear structure when you put together a business plan for a CrossFit gym is beneficial not only so you can present your ideas with data and facts to any potential investors. It also helps you plan how to start your own CrossFit.
Each section of your business plan can work as a to-do list. It means making sure you’ve completed each task fully and you’ve considered all the different factors that go into starting any new fitness business.
By preparing a business plan that includes all of the necessary information, you increase your chances of opening a successful CrossFit gym. Make sure to do your research, consider all of the costs involved, and create a detailed financial plan. With careful planning and execution, you can create a thriving CrossFit business.
For more tips and advice for CrossFit gym owners, find answers to CrossFit FAQs here , and start planning the best WOD for your clients with these 11 CrossFit exercises .\
How much do crossfit gyms make.
The revenue of a CrossFit gym primarily comes down to how many members go there regularly. A well-run and managed CrossFit gym can earn six figures annually while having hundreds of total accounts across multiple locations. However, even with that said, it still relies on the owner's engagement every day. On average, a CrossFit gym owner earns $36,000 per year.
Starting a CrossFit gym can range from a few thousand dollars to $10,000 for a basic rig, depending on the quality and features you choose. In addition, you'll need to factor in the cost of flooring, signage, and insurance.
There are pros and cons to starting your own CrossFit gym from scratch and purchasing an existing one.
Start your own for more control over your gym and to foster a stronger sense of community. Remember that it will take more time and money than buying an existing one.
Although purchasing an existing CrossFit gym can be less risky, you'll need to ensure its goals and vision align with yours.
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For example, if a gym has 1,000 people paying $50 monthly, the gym could bring in $50,000 each month. And if the monthly expenses for the gym are $20,000 per month, the profit would be $30,000 per month. Open Comment Form. In this article, you'll find a checklist of everything you need to create a business plan for your gym or fitness business.
It is a detailed blueprint of all the cash flow and revenue streams, initial startup costs for setting up your gym and equipment, profit margins, and operational costs. So, mention all the below elements in your gym business plan outline: Profit and loss statement. Cash flow statement. Balance sheet.
Financial Plan Highlights. Steven's Gym is seeking $300,000 in debt financing to begin operations of the business. The funding will be dedicated towards securing the warehouse space, gym build-out, and purchase of the equipment. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, rent, and ...
Operations plan. Marketing and advertising. Financial plan. 01. Executive summary. The executive summary is a concise overview of your gym business plan. It provides an introduction to your gym, highlighting its unique selling points and summarizing the key elements of your plan. The executive summary should include a brief description of your ...
How you structure compensation and benefits will impact your ability to attract and retain a strong team and can make the difference on whether or not your business is profitable in the short and long term. So give these points and good thought before cementing anything in your plan. 8. Financial Projections.
Gym Business Plan Template & PDF Example. Remi. July 22, 2024. Business Plan. Creating a comprehensive business plan is crucial for launching and running a successful gym. This plan serves as your roadmap, detailing your vision, operational strategies, and financial forecasts. It helps establish your gym's identity, navigate the competitive ...
Try to include some facts and statistics about your industry and the future of the market. For example, a gym looking to obtain funding for expansion into online fitness would include trends and statistics on the rapid acceleration of digital fitness and where the market is headed in the future. 4. Customer Analysis.
Step 3: Create a gym business plan using the ready-made template (pattern) described below. Step 4: Review the business plan regularly, every month in the first months of running the gym, and at least once a year in subsequent years. A business plan is a living document that will help your fitness place grow.
Typical gym expenses vary widely from facility to facility. Opening a gym can cost anywhere from $50,000 to $1 million. When creating your financial forecast, consider the cost of opening a gym and ongoing operational expenses like staff salaries, insurance, the cost to lease property, and marketing. Forecast Sales.
Gym Business Plan Templates. BusinessPlanTemplate.com This site offers a free outline of all the core content you'll need to include in a fitness studio business plan. You can purchase a step-by-step business plan builder, including access to customer service and expert advise for $97. Business Plan Template.com is rated A+ by the Better ...
Gym Business Plan: A 10-Step Guide. Starting a gym is an exciting process. But, to ensure your success, it's crucial to create a detailed and well thought-out business plan. A well-crafted gym business plan acts like a roadmap, guiding you through the setup and growth phases of your business. And, it helps you clarify your goals, understand ...
How to start a gym business. If you're passionate about fitness and ready to turn your dream of starting a business into a reality, here are seven helpful steps to lay a strong foundation: Create a business plan. Select a business structure. Obtain financing or capital. Set up accounting and bookkeeping systems.
Read More: How to Create a Gym Business Plan. Example Gym Business Plan #1: Community Fitness Center Summary "Community Fitness Hub" is a gym designed to serve the local community with a focus on accessibility and inclusivity. Our mission is to provide a welcoming, supportive environment for people of all fitness levels.
As stated above the U.S. market was $9 billion in 2017 and is expected to reach $10.5 billion by 2022. IBISWorld pegged the market growth rate at 3.2 percent from 2012 to 2017. At the conservative 3.2 percent growth rate, the market will reach $9.89 billion in 2020 and $10.53 billion two years later.
Its comprehensive tools for client management, workout programming, scheduling, and reporting can streamline business processes and improve client engagement and retention. This template provides a structured approach for creating a fitness business plan. It can be customized to reflect the specifics of your fitness business idea, market, and ...
Step #1: Develop a Clear Business Plan. Creating a comprehensive gym business plan is the foundation of a successful gym. This plan should clearly outline your business goals, strategies, and financial projections. A detailed business plan will not only guide you through the early stages how to make a gym successful but also serve as a ...
Step 1: Get trained and accredited. First and foremost, make sure you have the proper training, accreditations, and experience to start your own gym. Your clients will be counting on you not just to help them look great, but to keep their bodies healthy and safe using your services.
3. Market analysis. A gym's business plan must include a comprehensive analysis of the current market. Market analysis aims to understand the dynamics, trends, and opportunities in the fitness industry. In this step, you will define your niche, determine the overall market size, and identify your ideal customers.
Steps to Create a Gym Business Plan. Follow these steps to create a business plan for a gym, then check out our free gym business plan template examples below. Step 1: Conduct Preliminary Research. Before you start writing your business plan, conduct preliminary research on the fitness industry, market demand, and competition in your area.
Step 1: Executive Summary. Your executive summary needs to shout: The what - your goals. The why - your mission. The how - what's going to make you a success story. The bigger picture - your vision. It has to be attention-grabbing, to the point and clarifying. Which is why you need to keep it short.
How to Hire Gym Staff and Build an A+ Team. #7 Launch Gym Marketing Strategies. Developing a Strong Gym Brand Identity. One of the most important aspects of growing a successful gym business is developing a strong brand identity. Your brand is what sets you apart from your competitors and makes your business unique.
A solid business plan helps clarify your vision, set achievable goals, and provides a roadmap for growth. Make sure to revisit and update your plan regularly to adapt to market changes and new opportunities. With a well-defined business plan, you're on the path to building a thriving gym.
Provide information about your CrossFit gym services. In this section of your business plan, you need to describe the services you offer at your CrossFit gym. When creating your list of services, consider what type of training you offer and what your target market is looking for. At its core, CrossFit tends to be a group fitness activity.