Why does a lot of guys want to own a gym?

[gixxerboy1]

I understand doing a job that you enjoy. But owning a gym isn't working out. Also the start up cost and maintenance isn't cheap. Also since most have longer hours open then most other business so its a lot more work. Also i see a lot of post on here complaining about what other members do in a gym. What are you going to do when they are doing it in the one you own? Just to me there are lot of other business that are cheaper to start up, less work and more profitable.

[IIIIIIIIIIII]

well yes.. maybe thats why some people do it,... because not everyone and their mother is successful at it.... therefore less competetion and more $$$$


plus u put 500k into a gym (leased equiptment not ur issue if they break and cheap to lease)

charge 20 bucks a month.. get 6000 members... = 120k a month.. and not all of them use the gymm...

so after a year 1.44 million...

making sense yet???

[gixxerboy1]

well yes.. maybe thats why some people do it,... because not everyone and their mother is successful at it.... therefore less competetion and more $$$$


plus u put 500k into a gym (leased equiptment not ur issue if they break and cheap to lease)

charge 20 bucks a month.. get 6000 members... = 120k a month.. and not all of them use the gymm...

so after a year 1.44 million...

making sense yet???

Yea that's a great plan. I don't know of any single gym with 6000k members. Yes the large chains pull those numbers. And that doesnt happen for alot of years. Mom and pop gyms cant compete with the larger chains. There is the exception but its rare and they usually have to offer something the chains don't.

Leased equipment its still your problem if it breaks.

[cfiler]

Because the gym is sort of a second home. It's a relaxing place for most. No-one goes to the gym because they have to. They go because they want to. They want to get into shape, and look better. It's a very positive atmosphere to me. I'm always in a good mood when I leave the gym.

I'd love to own a gym, but the startup cost is out of my league.

Owning a frachise of a larger company would be the easiest and cheapest way to start a gym. I looked into opening a Curves last year. It wasn't that expensive, but it was so small that I wasn't too sure about making a profit in the location I was looking at. Then while I was decieding the land was rented to a store instead. Oh well, obviously wasn't ment to be.

[G Child]

how much were the franchise fees?

[auslifta]

60dollars a month is considered cheap in australia i would aim at 1000 members.if i take care of capital, it seems good

[Warrior]

Being a fitness fanatic and being a successful business manager and entrepenuer are two different things all together. You need to either have both qualities to find a successful business model - or recruit the help in a partnership.

Just 'cause you can lift a volkswagon and have successfully trained many others doesn't mean you know how to write as good business plan or hunt down the required capital...

[gixxerboy1]

Because the gym is sort of a second home. It's a relaxing place for most. No-one goes to the gym because they have to. They go because they want to. They want to get into shape, and look better. It's a very positive atmosphere to me. I'm always in a good mood when I leave the gym..

I understand that, but i think owning it and working there are different from going there as a stress reliever for a member. I think owning it would ruin that experience for you.

[Flagg]

If I won the lotto I'd like to invest some of the money in maybe starting up a chain of gyms?

[mavsluva]

I think most people want to own a gym for the same reason that they'd like to have the opportunity to coach a sports team. To be in charge excites a lot of people.

[V_Vandetta]

well yes.. maybe thats why some people do it,... because not everyone and their mother is successful at it.... therefore less competetion and more $$$$


plus u put 500k into a gym (leased equiptment not ur issue if they break and cheap to lease)

charge 20 bucks a month.. get 6000 members... = 120k a month.. and not all of them use the gymm...

so after a year 1.44 million...

making sense yet???

Sounds real good in theory ......... if it was only that easy ....... that would mean you need 500 new members each and every month to hit a 6000 point with in a year and thouse are very high numbers ....... and the advertizing for a plan for that scale would be insane ... and most important that I learned in my quest for a gym WAS MARKETING were to place the gym THAT is key and most bigger gyms have that locked up becasue you have to attracted the members remember 75% of members are not Body builders but fitness buffs and second you have to make the gym accessable to the highest amount of members which leads you to prime commerical property ..... which any business knows that in the long run you are far better to own the building than leaseing it ......... than sometimes it comes down to over all capital ......... buy the way when i talked with a rep from Hammer stregth......... they are the leader in commerical gym equipment to house a fully ready gym leasing 50-125-k a month and to buy 500k-1 million....... but the biggest off set is the long term investment you have to look at the total operations cost ( how much every month will it take to keep you open ....... and what i looked in to was 45k a month So

i would need $540,000 just to keep the doors open Now you will get members but CANT COUNT ON IT ........ so you would need 4,320,000.00 in reserves to meet the business plan ......... So thats why lots of small gyms fail they dont have a proper business plan

[IIIIIIIIIIII]

ya.. i hear ya,.. i worked with a gym that has done 6k members in 9 months.. crazzzzy huh.. not even that big.. just in the middle of Downtown Boston...

[goodcents]

I understand doing a job that you enjoy. But owning a gym isn't working out. Also the start up cost and maintenance isn't cheap. Also since most have longer hours open then most other business so its a lot more work. Also i see a lot of post on here complaining about what other members do in a gym. What are you going to do when they are doing it in the one you own? Just to me there are lot of other business that are cheaper to start up, less work and more profitable.

Great post, I was going to respond, but it's hard to explain to people how much it cost to start and run a business. I own 2 of them. I would break it down for the one guy but it's not worth the effort.

[goodcents]

well yes.. maybe thats why some people do it,... because not everyone and their mother is successful at it.... therefore less competetion and more $$$$


plus u put 500k into a gym (leased equiptment not ur issue if they break and cheap to lease)

charge 20 bucks a month.. get 6000 members... = 120k a month.. and not all of them use the gymm...

so after a year 1.44 million...

making sense yet???

That's not shit

Hell your lease alone is $35,000 or more per month

Payroll= forget about it

Btw, open up right next to a 24hr. fitness or la fitness

[gixxerboy1]

ya.. i hear ya,.. i worked with a gym that has done 6k members in 9 months.. crazzzzy huh.. not even that big.. just in the middle of Downtown Boston...

It is possible but rare. And you would have to maintain that amount of members which a job with in its self. I could only imagine want rent or property cost in downtown Boston

[goodcents]

It is possible but rare. And you would have to maintain that amount of members which a job with in its self. I could only imagine want rent or property cost in downtown Boston

Rental rates in commercial areas:
The following figures show the average lease rates for retail and office space in various commercial areas in the Heart of the City in mid-2001 and mid-2002. In general, the lease rates have fallen slightly except for in Roslindale Square. This information is taken from Commercial Trends Boston 2001 Issue 4, and Commercial Trends Boston 1st half of 2002 Issue 6.

Retail Space 2001 2002
_______________________________
Centre Street $20-27 $19-27
_______________________________
Roslindale Square $14-18 $16-18
________________________________
Egleston Square $12-20 $12-17
________________________________
Mattapan Square $16-23 $12-20


Lets say it is $20, for a 35,000 sq. ft. building (decent size) That's $58,333 every month of the year, if something breaks, you fix it, it's not like an apartment building where the lease agent fixes shit

$25 rate $72,916 per month and btw you still have personal property tax and insurance to run a gym= omg high as hell

advertising at least $10,000 a month to do just a half ass job

[goodcents]

Bump

[gixxerboy1]

I hate to bust some guys dreams. But I dont want to see anyone lose their ass either.

[IIIIIIIIIIII]

Rental rates in commercial areas:
The following figures show the average lease rates for retail and office space in various commercial areas in the Heart of the City in mid-2001 and mid-2002. In general, the lease rates have fallen slightly except for in Roslindale Square. This information is taken from Commercial Trends Boston 2001 Issue 4, and Commercial Trends Boston 1st half of 2002 Issue 6.

Retail Space 2001 2002
_______________________________
Centre Street $20-27 $19-27
_______________________________
Roslindale Square $14-18 $16-18
________________________________
Egleston Square $12-20 $12-17
________________________________
Mattapan Square $16-23 $12-20


Lets say it is $20, for a 35,000 sq. ft. building (decent size) That's $58,333 every month of the year, if something breaks, you fix it, it's not like an apartment building where the lease agent fixes shit

$25 rate $72,916 per month and btw you still have personal property tax and insurance to run a gym= omg high as hell

advertising at least $10,000 a month to do just a half ass job

\



these are the ghettos where all the shootings and shit go on... in downtown boston its much higher.. this gym is siting on the same 3 ft away from Boston City hall and a bunch of federal buildings.. 2 streets up from the northend where 1100 a month will barely get you a crack shack studio and on the other side of the block is the financial district where its all skyscrpaers and insurance/credit card/banks... expensive ass area.. i wouldnt be surprised if it was atleast 35-40 a sq ft. I know a 1 bedroom luxury conedo is around 700k in this area

[Morpheaus]

if you run your own gym, you're working for yourself? no boss telling you what to do, employ the people YOU want to work with, if you are working for yourself making money for YOU then you are gong to be far more motivated to do well for yourself than if it was for someone else?

train when you want, chill out when you want, sauna or sunbed when you want?

the positive's outweight the negative's, just make sure you open it in the right place.

[goodcents]

if you run your own gym, you're working for yourself? no boss telling you what to do, employ the people YOU want to work with, if you are working for yourself making money for YOU then you are gong to be far more motivated to do well for yourself than if it was for someone else?

train when you want, chill out when you want, sauna or sunbed when you want?

the positive's outweight the negative's, just make sure you open it in the right place.

Yeah run a few business' have you People tell me that shlt all the time. Imagine 7 days a week every waking hour is spent thinking about your business Every fuking day something "pops" up to try and fuk up your day, a good businessman knows to just deal with it before it blows up.

[Foskamink]

well yes.. maybe thats why some people do it,... because not everyone and their mother is successful at it.... therefore less competetion and more $$$$


plus u put 500k into a gym (leased equiptment not ur issue if they break and cheap to lease)

charge 20 bucks a month.. get 6000 members... = 120k a month.. and not all of them use the gymm...

so after a year 1.44 million...

making sense yet???

my gym is 650 a year.. 450 i think 6 months and 150 a month

[gixxerboy1]

if you run your own gym, you're working for yourself? no boss telling you what to do, employ the people YOU want to work with, if you are working for yourself making money for YOU then you are gong to be far more motivated to do well for yourself than if it was for someone else?

train when you want, chill out when you want, sauna or sunbed when you want?

the positives out weight the negatives, just make sure you open it in the right place.

Lol you really think running a business is that much freedom. Its 10x worse then working for someone. Also a gym is open what 17hrs a day. Plan on not getting any sleep or having a life outside that for i would guess a good 5 years or more. And IF its successful maybe you will be actually turning a profit by then

[goodcents]

I'm paying about $12 sq. ft. for the salon, it's actually a nice strip mall in a suburb of a major area. The shopping mall, that one is high as hell (I get alot more traffic their though so it makes up for it) but that's outside of this topic

[goodcents]

ps I pay $10.73 a month at 24 hr. fitness for my dues (not even a family plan any longer) new memberships run about $20-$35 a month here and even then they always run some special every freaking day. My advice if you think about opening a gym is to take half your money and throw it out the window, that way at least you end up with half your money when it's over

[crazyhorse666]

me and my wife own a small gym, and belive it or not we make most of are money off the tanning beds and my training.

[crazyhorse666]

its all location. get a place right next to a college and a huge fatory, in a large town. you got it made then

[Panzerfaust]

If i ever won the lottery i would open up a MMA complex with a weight room, cardio room, Octagon, Ring etc...

It would be a dream of mine and of course it would be a hell of alot of work but i love it so it would be cool.

[IBdmfkr]

I own a gym, 12000sq ft.. fixing to expand to 15000sq ft.
Lease is less than 10K/month with electricity.. We have 24hrs/LA fitness/Lifetime within 10miles of us, approx 1500 members.

You see what people don't understand is the memberbase simply pays the bills and allows for extra money to upgrade equipment and maintain the club.. The smart clubs know the money is made off of the members while they are there:
Personal Training - big one!
Smoothies - guaranteed to turn atleast 5-10/month off each active member on average.
Supplements - ditto
Pro-shop clothing - extra income, they pay you to advertise
Tanning - perk to membership and walk-in's pay per tan
Prepackaged meals - something 24hr and bigger chains don't offer, extra income/month

So add these things up and you can make quite a bit, keep your club up to date, very personable, clean, friendly staff and cheaper start-up and monthly fees than surrounding gyms. Many people don't like the big commercial gym atmosphere, therefore we really don't compete with those big guys, we have plenty more to offer that they don't and vice-versa, obviously you'd want to open up in a growing area or where you have a large population that either lives or works in the area.. Did I mention Personal training is the major income?
Ex: 5 in-house trainers that train 30sessions/wk. Club makes 25$ off each session.
150 x $25 = 3750/wk. Avg. $15000/month

Oh yea almost forgot, there isn't any money in a gym .. what was I thinking.

[gixxerboy1]

Oh yea almost forgot, there isn't any money in a gym .. what was I thinking.

I'm glad to hear you are doing well. I really believe you are the exception.
But being in the industry i see it the failure rate for gyms is high. If you have that much money to open a business i just think the is less risk options out there with a greater return.

[goodcents]

I own a gym, 12000sq ft.. fixing to expand to 15000sq ft.
Lease is less than 10K/month with electricity.. We have 24hrs/LA fitness/Lifetime within 10miles of us, approx 1500 members.

You see what people don't understand is the memberbase simply pays the bills and allows for extra money to upgrade equipment and maintain the club.. The smart clubs know the money is made off of the members while they are there:
Personal Training - big one!
Smoothies - guaranteed to turn atleast 5-10/month off each active member on average.
Supplements - ditto
Pro-shop clothing - extra income, they pay you to advertise
Tanning - perk to membership and walk-in's pay per tan
Prepackaged meals - something 24hr and bigger chains don't offer, extra income/month

So add these things up and you can make quite a bit, keep your club up to date, very personable, clean, friendly staff and cheaper start-up and monthly fees than surrounding gyms. Many people don't like the big commercial gym atmosphere, therefore we really don't compete with those big guys, we have plenty more to offer that they don't and vice-versa, obviously you'd want to open up in a growing area or where you have a large population that either lives or works in the area.. Did I mention Personal training is the major income?
Ex: 5 in-house trainers that train 30sessions/wk. Club makes 25$ off each session.
150 x $25 = 3750/wk. Avg. $15000/month

Oh yea almost forgot, there isn't any money in a gym what was I thinking.

Good to hear from another business owner. I own a tanning salon and a body jewelry store. The comments about don't open one are directed at people that think you open one, get rich and workout all day Do you sell tanning lotion too, lots of money in that and they usually buy where they tan I'm sending you a pm.

[IBdmfkr]

Thanks for the tips/info Goodcents.. much appreciated.

For the ones saying if you had the money you'd invest elsewhere etc.. Owning a business is a lot of hardwork and dedication, if you simply go into business to try and get rich then more times than not you will end up waking up to a job that you despise and it will quickly fail or consume your life because you have no interest in it.. I chose something I'm passionate about and something that I enjoy doing whether I make 10million off of it or just pay the bills isn't my greatest concern, then again you can always use the equity from a business like this for larger loans for things like realestate and other investments that tend to turn more revenue. You just have to be smart and play your cards right, most importantly is choosing a career that you can look back on 20yrs from now and have no regrets.. Money is nice but will not buy you happiness, your family/friends/and what you spend your time doing each day will.

JMO.
Goodluck to all of you guys, some people just aren't cut out to take risks therefore they may never know if they would succeed or not.. that's not a life I choose to live.

Besides, I'm 25yrs old if I happen to fail I'll just pick myself up and try it again.. that's life.

[CoreyTampa09]

Coming from a 19 year old you can take this or throw it away but heres my little thought on a gym..As the common thought is opening up the large grand gym isnt very wise, financially and mentally I think there are better options. Woman dont like working out around meatheads like us therefore they stray away from gyms. By opening up something solely for woman (I know its been done) you would create a smaller group of people your selling to but at the same time it would be a lot cheaper. Create something off your own knowledge(15 machine circuit training, with integrated cardio). 15 machines tops, 15 cardio machines...wouldnt need much space...and woman like one on one training becuase alot of it is way to complex and they get frustrated. In gym nutrition would be huge and try getting them on a monthly meal plan...if its a local gym you can even have delivery. Supplements such as overprices vitamins and minerals that all woman think they need to combat this cancer and that symptom you can make pretty decent bank off that. Consider having a smal day care area in the gym...as alot of stay at home moms cant workout becuase nobody can watch their kids. Im not talking about a center..but somebody who is licenced and can watch and entertain babys. Your not going to get rich off this idea but it would give woman alot more options to stay in shape as well as keep them coming back from more. Think of it as more of a social thing for woman to come from 7am-10pm.

[space.ghost]

My uncle started a Mom and Pops place about ten years ago. Yep! It crashed out when the big names moved into the once small city. Also it's very Hard to compete when your bigger GYMs have really great training areas for aerobics, step stuff, cycles workouts, etc... that allows none body builder types to enjoy their stuff in a seperate room while the rest of the gym is mostly weights and machines. Hard to compete....Gotta go chain I would say.