Understanding Your Equipment Budget

As a New Gym Specialist, people often come to me in the beginning stages of their pursuit of opening a new gym.  They are excited about the opportunity to own their own gym and it is often a dream of theirs that they can now finally fulfill.  To be sure, done the right way, opening a new gym can be an extremely rewarding and profitable experience.

New, quality built, commercial gym equipment is the most important aspect of any gym.  This is especially true for new gyms because the equipment gives the first impression to everyone who enters the gym for the first time.  This first impression can be the difference between whether or not the person decides to join the gym.  Your cardio machines, selectorized machines, free weight equipment and plate loaded equipment all should act as a showcase that tells the prospective member that they are in a very special training facility and one that they will want to be a part of. 

However, people sometimes don’t understand the cost of commercial gym equipment and are unrealistic about what they should budget for their gym equipment needs.

Here are 3 Key Factors that explain what you should realistically budget for your gym equipment – 

  1. Putting Things In Perspective
    The average price today of a new car for personal use is $45,000.00.  Let me state again that this is a car that is used for personal, daily use – NOT a vehicle that is being used for business purposes. 

    Your gym equipment is being used for business purposes.  It brings in members, (profits to you), and is an essential part of your business operation.  As a business owner, you must recognize that your equipment is something that you are making money with. 
    You can’t expect to spend the same amount of money for equipment that you are making money with as what you would spend on a private car that you are making no money with. 

    This is not to say that you should pay too much for your gym equipment, only that you need to look with the right perspective that will allow you to set a realistic budget for your equipment.  A New Gym Specialist will be able to help you to determine what is the right budget considering your room size, type of gym and other factors that are specific to your situation.

  2. Commercial Equipment is More Expensive than Home Use Equipment
    Home gym equipment is made for residential use by one person or one family.  It’s built for use generally once per day and is made with thinner gauge steel and other features that are appropriate for such use.

    Commercial gym equipment needs to be able to withstand the rigors of a commercial gym environment.  This includes being used by people of various heights and weights and being used sometimes as much as 24 hrs. every day.  All of the equipment’s components are made for heavy use over a long period of time.

    So, naturally, commercial gym equipment costs more than residential equipment.
    You can tell the difference in equipment by using it or by looking at the manufacturer’s warranties for usage. 

  3. Your Equipment is an Investment in Your Success
    Besides making a great first impression by attracting new members, your gym equipment is your investment for a profitable business for years to come.  The right equipment will function properly for years so that you won’t need to spend money on repairs or to replace it entirely.  Equipment with modern styling and functions will stand the test of time.

    This is why you never want to open a new gym with used equipment.  Used equipment doesn’t offer give the same effect or offer the same investment potential for your business as new equipment does. 

    This is also why you do NOT want to open a franchise gym.  With a franchise gym, you are forced to pay a fixed amount, a percentage, or both a fixed amount AND a percentage to the franchisor every month, thereby taking less out of your investment for you.  If your gym is NOT a franchise, you will get 100% payback on your investment because you will not have to pay franchise fees back to the franchisor. 

So, when you are seriously considering opening a new gym, it’s best to look realistically at what you should allocate for your equipment budget.  Speaking with a New Gym Consultant will help you to determine how much you will need for your equipment to do things right.  He can also give you information on financing options and help you navigate the waters so that you are set for success.

Like with any business, the way that you start out often will determine whether or not you will have a successful gym for years to come.  

Written by Bill at BAMPSCO International Inc. / Gymstarters