For those who are hoping to enter the fitness industry and own their own business, buying an existing small to mid-sized California gym operation is the best way to minimize risk and improve your chances of finding success when buying a fitness center, yoga or pilates studio.
Gym Broker & Consultant Jim Thomas shares 4 reasons (Established Gyms Have A Lower Risk Of Failing, Established Membership Base, Branding And Reputation, Existing Location And Lease) why buying an existing gym is smarter than starting a gym from scratch.
Established Gyms Have A Lower Risk Of Failing:
Having to locate an unproven location, engineer your own fitness concept, develop relationships with vendors and acquire new equipment, build and market a new brand, hire and train staff, and attract new members are all hurdles that you need to overcome when starting your own gym, requiring time, energy, and money, without guaranteeing future success or earnings.
By purchasing an existing gym, you can bi-pass these hurdles and begin making money from day one.
Established Membership Base:
One of the biggest reasons gym start-ups fail is because it can take too long to build a sustainable membership base that produces profitable margins. Buying an existing gym with a loyal membership base will allow you to focus on membership retention and maintaining the status quo before needing to introduce incremental changes to help you increase membership sales. This is a luxury that fitness start-up owners can’t afford because their business doesn’t have a proven track record.
Branding And Reputation:
The community will already be familiar with your gym’s brand, name and logo, and reputation, which will allow you to build on the prior success of the previous owner, instead of having to spend your time and resources introducing your products and services to the public.
With new gyms, fitness studios, and fitness concepts popping up every day, acquiring a gym that is both familiar and popular will allow you to stand out and remain ahead of your competition, therefore, the gym’s name, logo, and reputation play an integral role in the value of the gym.
Existing Location And Lease:
Another benefit of buying an existing gym for sale is that members and potential members will already be familiar with your business and know where it’s located. Finding a gym that has been established for many years in the same location with a favorable lease in place, as well as having the ability to locate a gym that is in an easily accessible, high traffic location, is crucial for your long-term success as a gym new owner.
Those who are hoping to invest in a gym operation can save themselves from numerous headaches and protect their investment by purchasing an established gym business with a proven track record.
|Helpful Resources To Assist In Selling And Buying California Businesses|
|Ryan Clark, Business Broker: Southern California
The Veld Group provides a refreshing approach to Business Brokerage, Mergers & Acquisitions and Business Consulting and Valuations. From Your Street to Wall Street, we cater to Main Street Businesses as well as more complex Strategic Firms and Start-Ups. Phone Ryan, Business Broker at 310-652-8353.
|Randall Barondess CBB, Business Brokerage Services - Central Coast
Experts at: Preparing Businesses For Sale, No-Cost Valuations and Lease Modifications. MaxOne Business, a REMAX ONE Company prepares small, mid-sized and large businesses for sale by confidentially packaging the business and providing guidance throughout the sales process.
|Peter Siegel MBA, BizBen Founder, ProBuy, ProSell, ProIntermediary Programs
Founder Of BizBen.com (since 1994). I am the Lead Advisor for the ProSell, ProBuy, & ProIntermediary Programs. I consult daily with buyers, sellers, and brokers daily about buying and selling California small to mid-sized businesses. Call 925-785-3118.
|Janet Carrera: Escrow & Bulk Sale Service - SF Bay Area
Redwood Escrow Services, Inc. is a full service, licensed independent escrow company. We are EAFC Fidelity bonded, fully insured & licensed with the Department of Corporations. Committed to offering our clients the most comprehensive variety of escrow services available. Phone Janet at 510-247-0741.
|Timothy Cunha JD, Business Broker: SF Bay Area
SF Bay Area experienced attorney, & business broker. I & my EvergreenGold team offer owners sound advice & expertise to build business value & achieve profitable sales. For a FREE business evaluation & SWOT analysis for your business call me direct at 650-600-3751, 650-866-5393 Text.
|Harry Sidhu, CBB, Broker: SF Bay Area, Central Valley, SAC Region
Assisting both sellers and buyers of businesses - dealing mainly with Liquor Stores, Grocery Markets, Gas Stations, Smoke Shops, Restaurant Related, Retail Related, Service Related. Serving SF Bay Area, North Bay, Sacramento area. Call Harry Sidhu, CBB for assistance at 510-366-6130.
|Brad Steinberg, Business Broker: Laundromat Specialist
PWS is the leading laundromat broker in California. Since 1968 PWS has brokered over 2,500 laundromat sales. With over 90 employees dedicated to the coin laundry industry, PWS has 18 licensed agents, a 3 person in-house finance department, 10 service technicians and a 20 person parts department.
|William Park, Business Broker: Southern California
Highest Volume Broker in California, Simply Check our HUNDREDS of Listings! Over 25 Associates, Speaking Dozen Languages, Helping Buyers and Sellers of Small Business since 1982, Centrally Located between Los Angeles and Orange Counties, while Riverside & San Bernardino Counties are Very Accessible.
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