I GOT A QUESTION ABOUT GYM OWNING

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I GOT A QUESTION ABOUT GYM OWNING

Hvywght
Man of Steel

Registered: Jan 2002
Location: Springfield , MO
Posts: 161
I GOT A QUESTION ABOUT GYM OWNING
i know this is not the question for this forum but since there is only one forum I will ask it. Does anybody know how one would go about finding financing for a small gym say 8-12,000 Sq feet. I know the bank is one avenue , but i am just curious as to other ways. Do any of the bros know? My town is in need of a new gym and i was just curious.

hvywght



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03-06-2002 03:26 AM



Paul Bunyan
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Registered: Oct 2001
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Posts: 299
I think RY used to own a gym but I'm not sure. PB



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03-06-2002 04:15 AM



Hvywght
Man of Steel

Registered: Jan 2002
Location: Springfield , MO
Posts: 161
Hey Ry
is it true? Did ya own a gym at one time? PM me and let me know bro.

Hvywght



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03-06-2002 05:35 AM



BigDog
Member

Registered: Jan 2002
Location:
Posts: 71
Maybe some ideas...
I haven't financed a gym, but I have financed a small business. The bank is probably your best avenue... second on your house, cash in any investments, etc. Get a partner who's got $$$, but be carefull, choose well. I'm on my fourth partner in 6 years.

These are guesses based on some folks here I know that purchased an existing powerhouse:

For that size gym, you'll probably need at least $100k - $150k in weights, equipment, cardio, flooring, etc.. maybe more (Assuming it's not a chain gym, then you have franchise fees, etc). Then there's a separate fee for the build out (locker rooms, bath rooms, walls if any, front desk, etc.

It has the potential to get very expensive depending on how nicely equiped you want to get.



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03-06-2002 06:01 AM



LATS
Member

Registered: Jan 2002
Location:
Posts: 56
i own two gyms here in the mid west. there are many things that have to be looked into. the bank is your best venue to get your financing. remember that hardcore facilities do not make enough money. it must be well equiped but, nice enough for the average housewife to come in and feel at home.
the lease of the space will make or break you. always neogotiate your build out. most spaces that are 8 to 10 thousand square feet have been vacant for a while. the owners of the space do not wish to try to lease to many smalll businesses to fill the space. they would always rather have one biz take it all. remember they have to pay taxes ect on the space whether it is used or not. so take advantage of that.
there are so many things to consider in this forum. if you have any questions feel free to ask me. ill do my best to answer. lats



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03-06-2002 08:22 AM



Paul Bunyan
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Registered: Oct 2001
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Posts: 299
Damn, I forgot about you owning the gyms LATS. Thanks for giving your input. PB



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03-06-2002 09:53 AM



LATS
Member

Registered: Jan 2002
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Posts: 56
no problem paul, i sometimes try to forget it myself. lol hard frickin' work but, i am around iron all day and it does not get much better than that.



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03-06-2002 10:43 AM



MAINEVENT
Member

Registered: Jan 2002
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Posts: 32
Lats
How much money can you actually make owning a gym. I am looking into opening up a one-on-one studio with supps, clothes and alternative medicine involved. Whats your take.



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03-09-2002 10:21 AM



LATS
Member

Registered: Jan 2002
Location:
Posts: 56
there is a saying in the gym biz that you either make 100000 or 25000. in other words half the gyms are profitable and the other half barely make it. margins are usually very tight. that being said, it is the same in about every biz. good months and bad months. i have a friend of mine who owns a personal training center and does very well. it is about 2800 square feet and is actually very well equipped for its size. but, it only will work if you open it in a town or city that has a very high average income and women and men with a lot of income that they can "throw away". most personal train facilities charge a pretty hefty sum so , of course, it means the surrounding population must have a high income base. if you have any other questions just pm me and ill be glad to help if i can.



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03-10-2002 11:18 AM



vitor97
Junior Member

Registered: Jan 2002
Location: MARYLAND
Posts: 18
just curios
What is the average cost of startup for a new gym? $400000, 1 million, I was assuming you are leasing a building, and going from there.



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03-10-2002 08:34 PM



Gear101
Junior Member

Registered: Mar 2002
Location: USA
Posts: 10
SBA... Small Buss Admit