Starting A Gym

J

jewfro18

0
Sorry didn't know where else to post this...

Anyway, does anyone have any idea how much it costs to start up a gym in a city? For example, starting a Gold's Gym in Boston (equipment, rent, employees, etc)? Also, what is the average maximum number of members that most gyms allow? (not maximum occupancy, but how many people they will let sign up for a membership).

Thanks for any help, I really appreciate it.
 
Well - a friend of mine was a co owner of a commercial gym and is involved in another gym that is privately owned. You will need to go to Gold's Gym website and contact them - if that's the name you want to go with. There will be a franchise fee that is owed, usually per month. Powerhouse's fee is approx. $6,000 per month - I've very briefly looked into them. Then there is the building's rent or lease, utilities, and leases for equipment. Leases most likely will be through Gold's, if that's the gym name you're going to attempt to get.

Employee's pay, etc., again - go through Gold's. The total monthly bill is up there in price when it is added up. The best bet, if you go through with it, is to collect membership fee's monthly, not yearly. That way you have a steady monthly income to meet your monthly bills, etc.

Food for thought.
 
jewfro18 said:
Sorry didn't know where else to post this...

Anyway, does anyone have any idea how much it costs to start up a gym in a city? For example, starting a Gold's Gym in Boston (equipment, rent, employees, etc)? Also, what is the average maximum number of members that most gyms allow? (not maximum occupancy, but how many people they will let sign up for a membership).

Thanks for any help, I really appreciate it.
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I would seriously consider learning more about running a business if you feel this is a legitimate question. The costs associated with operational overhead are far to varying to ever answer this question accurately.

Bro, I hate to see you lose your ass here. Next to restaurants, gyms fail the most. I have to guess its because people that love to work out, think they can run a business. Running a business is hard work and requires a certain acumen to even hope to turn a profit. Good luck to you.....
 
Littlea said:
I would seriously consider learning more about running a business if you feel this is a legitimate question. The costs associated with operational overhead are far to varying to ever answer this question accurately.

Bro, I hate to see you lose your ass here. Next to restaurants, gyms fail the most. I have to guess its because people that love to work out, think they can run a business. Running a business is hard work and requires a certain acumen to even hope to turn a profit. Good luck to you.....
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Really? I'm a tool? Well seeing as a friend of mine talked to me about finances and running his commercial gym, I was just giving his information in my response. The only cost I gave was a real franchise fee imposed by a commercial gym.
 
tcajim said:
Really? I'm a tool? Well seeing as a friend of mine talked to me about finances and running his commercial gym, I was just giving his information in my response. The only cost I gave was a real franchise fee imposed by a commercial gym.
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? I don't think anyone called you a tool.

Anyway, I think the numbers you put down show just how many memberships you'd need to keep a gym afloat. $6,000 a month, plus rent, equipment, and payroll adds up to a lot of money. With each membership bringing in $30-$40 a month. Geez, you'd need hundreds.

To the OP - if you're serious, contact franchises like Gold's, they probably have franchise information readily available, to include how much you need in liquid assets (cash on hand) and lines of credit. On bit of advice that I'd give is to plan for some failure. A lot of people plan for a successful business. What I mean is, if your business plan consists of turning a profit very early on, you may be kidding yourself. You need to have enough cash on hand to pay expenses in the event that it takes a while for business to get off the ground. Also, to get the necessary loans, the bank will probably want you to personally guarantee the loan. Which means that if the business fails, the bank will come after your personal assets.
 
Hey thanks for the advice everyone...

I should have mentioned that I don't actually plan on opening a gym. This is for a business class I am in at school. We had to think of an idea, and we thought of creating a gym only for people who are medically considered to be overweight or obese.

However, part of the project is determining yearly profits/revenues, break-even points, etc., which is why I needed info on how much it costs to start a gym such as Gold's in a city like Boston. I chose Gold's because I figured we would have more or less the same equipment as them and the same size gym.

In terms of the membership thing, my school gym has a maximum occupancy of around 400 people I think, but obviously there are thousands of members who have access to the gym, so I was wondering what you think the average Gold's Gym membership total is around. I contacted them but got no response.

Thanks again for any help.
 
that makes a lot more sense....

That definately sounds like a student question. Good project.

Regarding: tcajim is a tool

That was really old from a previous disagreement we had. I deleted it. I was just funning you and forgot I put that in there.
 
that makes a lot more sense....

I was hoping you weren't going to sink a bunch of money into a gym if you were asking such vague questions.

tcajim, you are not a tool. You and I were going back forth on something a while ago and I put that as my signature. I was just funning you. Sorry I forgot to delete it. Its gone now.
 
Yea to be honest, I am actually considering this idea now. I'm still in school but it is something that I want to do when I graduate. And it's not just any normal gym, I realize it is very hard to get into that market and be successful. The gym I would open has a very unique idea behind it. It would look like a normal gym, have the same equipment, etc, but there is one aspect of it that is unique and different...
 
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