I want to open a gym/fitness center. Buy one or build one?
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I want to open a gym/fitness center. Buy one or build one?
Should I buy an existing business or build one in a location of choice?
Re: I want to open a gym/fitness center. Buy one or build one?
You've got issues whatever you do.
Building one in a location of choice may maximise your ability to get clientelle, because you could build one in an area that is rich with people. I.E, slap bang in a middle of a big town or city, as opposed to on the edge out of the way of where the bulk of the public go, so you've got something that gets a lot of initial visual interest, or can be in the public consciousness more, however if you choose a wrong location like that, I.E. in an area rich with public activity, but has a very small car parking area, that could hinder your chances, plus you may have design problems building something, because of having to work with restrictive building codes, planning legislation, etc.
You might find however, you would have more flexibility to build a Gym in the way you want it to be, which a pre-existing one wouldn't give you.
Buying one from scratch poses problems too. I mean altering a bit of decor might be fine, I.E. new paint job, new flooring, but if you try to knock through walls, relocate a staircase etc etc, you could find planning regulations inhibit what you wish to do structurally, meaning you have to rethink your options about space and the ability to fill it with equipment.
This may provide a headache, if you have detailed plans of machines and equipment, that have to be scrapped and started again.
However buying an existing property does allow you to take something on that may already be profitable, if the person wants to retire or move on to other things.
However if it's not very profitable, it might be faults with the owner, which you could correct if you owned it, but then it might be faults with the location, potential to add equipment etc, hindering you from the start and possibly causing you to fail.
Ultimately we could give you a resounding yes to one of the two scenarios, which might influence your decision highly, but if it was the wrong decision in the long-term, you'd have already made an initial management decision, that left a nasty long lasting wound in your life emotionally and financially.
That's why I am highlighting ups and downs with both options, but I won't commit to a definite yes on either.
Ultimately anything we as a community say, which looks like a definite yes to one scenario, that might sway you, would still not be our fault if you chose that option and failed in the long-term, as it would be your choice not ours, but I feel it wouldn't be good if we did sway you and you failed as a result.
I wish you well, because it will be a difficult undertaking.
I would suggest though, that if you choose an option and wish to buy equipment or replace existing equipment, if yoiu cna possibly find some kind of auction to get a few cheap machines / weights from, (I believe such things exist), other Gym owners trying to sell stuff they don't want, because of upgrades, or bankrupt stock from failed Gyms, tne that could save you considerable startup costs.
out of interest what sort of things do you have in mind for this project, which of the two aforementioned solutions right now, sticks out the most for you?
Building one in a location of choice may maximise your ability to get clientelle, because you could build one in an area that is rich with people. I.E, slap bang in a middle of a big town or city, as opposed to on the edge out of the way of where the bulk of the public go, so you've got something that gets a lot of initial visual interest, or can be in the public consciousness more, however if you choose a wrong location like that, I.E. in an area rich with public activity, but has a very small car parking area, that could hinder your chances, plus you may have design problems building something, because of having to work with restrictive building codes, planning legislation, etc.
You might find however, you would have more flexibility to build a Gym in the way you want it to be, which a pre-existing one wouldn't give you.
Buying one from scratch poses problems too. I mean altering a bit of decor might be fine, I.E. new paint job, new flooring, but if you try to knock through walls, relocate a staircase etc etc, you could find planning regulations inhibit what you wish to do structurally, meaning you have to rethink your options about space and the ability to fill it with equipment.
This may provide a headache, if you have detailed plans of machines and equipment, that have to be scrapped and started again.
However buying an existing property does allow you to take something on that may already be profitable, if the person wants to retire or move on to other things.
However if it's not very profitable, it might be faults with the owner, which you could correct if you owned it, but then it might be faults with the location, potential to add equipment etc, hindering you from the start and possibly causing you to fail.
Ultimately we could give you a resounding yes to one of the two scenarios, which might influence your decision highly, but if it was the wrong decision in the long-term, you'd have already made an initial management decision, that left a nasty long lasting wound in your life emotionally and financially.
That's why I am highlighting ups and downs with both options, but I won't commit to a definite yes on either.
Ultimately anything we as a community say, which looks like a definite yes to one scenario, that might sway you, would still not be our fault if you chose that option and failed in the long-term, as it would be your choice not ours, but I feel it wouldn't be good if we did sway you and you failed as a result.
I wish you well, because it will be a difficult undertaking.
I would suggest though, that if you choose an option and wish to buy equipment or replace existing equipment, if yoiu cna possibly find some kind of auction to get a few cheap machines / weights from, (I believe such things exist), other Gym owners trying to sell stuff they don't want, because of upgrades, or bankrupt stock from failed Gyms, tne that could save you considerable startup costs.
out of interest what sort of things do you have in mind for this project, which of the two aforementioned solutions right now, sticks out the most for you?
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ultimatehlth
- ESTABLISHED MEMBER
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Re: I want to open a gym/fitness center. Buy one or build on
As an owner of a personal training and group class facility and former manager for 2 major chains I will say that the number 1 thing to consider is location. Factored into this is does the income in your surrounding area meet your needs, visibility, accessibility, parking, and competition. In starting your own gym you will have start up costs that buying a preexisting location does not have, but you also won't carry any stigma a failed gym might have.
Ask yourself, are you bringing anything new or special to your location to capitalize on for instance I was the first and most visible personal training center in high income area and offered specialized training protocols no one else around was doing at the time. Been here for 20+ years and counting.
Don't open a facility to under cut the price of a competitor in hope of getting their clients you won't last, it's better to raise the bar, charge more and last for the long haul. Be special, be authoritative, be successful.
All the best.
Ask yourself, are you bringing anything new or special to your location to capitalize on for instance I was the first and most visible personal training center in high income area and offered specialized training protocols no one else around was doing at the time. Been here for 20+ years and counting.
Don't open a facility to under cut the price of a competitor in hope of getting their clients you won't last, it's better to raise the bar, charge more and last for the long haul. Be special, be authoritative, be successful.
All the best.
Last edited by ultimatehlth on Mon Apr 28, 2014 7:41 pm, edited 1 time in total.
Re: I want to open a gym/fitness center. Buy one or build one?
Good point about not trying to dick with the competition, so to speak.
if you open a Gym in your local area and find you have a rival suitor for your clientelle, that already has a functioning business, with a good reputation and a good track record for longevity, then you should do things they may not do. Introductory discounts may work, but only for curiosity value, then you need things to hook the curious, like good facilities, for one obviously and a good ambience, I.E. good decor, staff attitude.
Look for little income streams within the main income stream, I.E. can you sell sandwhiches, do you have a drinks vending machine for cans and bottles?
Could you install a small internet cafe facility? Perhaps with 3-4 computers, but enough to get $1.50 an hour, or some sort of rate comparable with actual internet cafe's, (I don't live in America so I don't know about such rates stateside), where maybe having a membership card, would allow people to get 10-20% off the user fee.
Could your gym be used for kids parties at all? Could you have a creche? Will you offer classes, particularly ones others people don't do, like Zumba, or Bodycombat? Though of course sticking to traditional ones too, like Boxercise, Circuit Training, child versions of such classes.. The kind of mainstays you'd expect in a lot of places that do classes. Maybe if you were big enough, you could have something like a climbing wall.
Offer a fee, where people can pay about 30% of the monthly fee to join for a week. Just high enough so it's not worth paying week by week if they like it, but enough of a tempter that clientelle can sample the facilities for 7 days, plus a programme and some basic tuition thrown in, so they don't have to figure stuff out themselves, as certainly some females would be afraid to use most things, without assistance first, because paying $15-$20 non-members fee for a programme, didn't seem worthwhile if they might not stay.
After all, almost nobody would want to join a gym, based on what an Exercise Bike, A Sauna, the decor and the toilets were like
.
Look for little niches, that might help you put one over the opposition once or twice.
if you open a Gym in your local area and find you have a rival suitor for your clientelle, that already has a functioning business, with a good reputation and a good track record for longevity, then you should do things they may not do. Introductory discounts may work, but only for curiosity value, then you need things to hook the curious, like good facilities, for one obviously and a good ambience, I.E. good decor, staff attitude.
Look for little income streams within the main income stream, I.E. can you sell sandwhiches, do you have a drinks vending machine for cans and bottles?
Could you install a small internet cafe facility? Perhaps with 3-4 computers, but enough to get $1.50 an hour, or some sort of rate comparable with actual internet cafe's, (I don't live in America so I don't know about such rates stateside), where maybe having a membership card, would allow people to get 10-20% off the user fee.
Could your gym be used for kids parties at all? Could you have a creche? Will you offer classes, particularly ones others people don't do, like Zumba, or Bodycombat? Though of course sticking to traditional ones too, like Boxercise, Circuit Training, child versions of such classes.. The kind of mainstays you'd expect in a lot of places that do classes. Maybe if you were big enough, you could have something like a climbing wall.
Offer a fee, where people can pay about 30% of the monthly fee to join for a week. Just high enough so it's not worth paying week by week if they like it, but enough of a tempter that clientelle can sample the facilities for 7 days, plus a programme and some basic tuition thrown in, so they don't have to figure stuff out themselves, as certainly some females would be afraid to use most things, without assistance first, because paying $15-$20 non-members fee for a programme, didn't seem worthwhile if they might not stay.
After all, almost nobody would want to join a gym, based on what an Exercise Bike, A Sauna, the decor and the toilets were like
.Look for little niches, that might help you put one over the opposition once or twice.
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ratetrainer
- STARTING OUT
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- Joined: Thu Nov 17, 2011 4:15 am
Re: I want to open a gym/fitness center. Buy one or build one?
As a aboriginal time broker I would shop for a authorization and after body dream gym
Re: I want to open a gym/fitness center. Buy one or build one?
I agree, both might be risky! Especially given our economic times now. Personal opinion I would say build a new one though, if one is for sell most likely because it was not working out, sometimes the owner may just not be very good though. But it's hard to take over a business that is failing. I think starting fresh, given your own ideas and new location might be best.