Fitness Industry Solutions

September 17, 2006
Author: Tom Perkins - Business Development Coach and Certified Personal Trainer

Tired of marching to someone else’s drum? Dream of opening your own fitness club? If so, you are one of many who have been bitten by the “own your own business” bug. When starting your own business, you can either go it alone or choose to operate a franchise. There are pros and cons to each. Here are just a few to consider before choosing the opportunity that works best for you.

Pros: The success of your business is a direct result of your blood, sweat and tears. You are the one making all the business decisions and will actively participate in every aspect of the business. Owning your own business means that you will enjoy more freedom and have more control over your vision and its outcome.

Cons: Plan to spend a lot of time off the floor and buried in your office under mounds of paperwork, or manning the phones as you market your club. Unless you have a well-established reputation or are well-known, developing a brand name will prove challenging. With 83 percent of independent small businesses failing within the first five years, committing all your time, resources and creativity to getting your business off the ground will be a must. You will be taking a huge financial risk.

Pros: Typically, there is a lower risk associated with a franchise because you do not have to reinvent the wheel. Someone else successfully did that and is offering you an opportunity to use their systems, operations, marketing and branding strategies. In short, the whole pizza pie is neatly packaged and ready to roll. With a franchise, you enjoy brand name awareness, the combined spending power of other franchise owners (i.e. discounts on equipment and nutritional supplements), and easier staff recruitment. If you like working in a team environment or possess limited business experience; a franchise can be a great vehicle to use if you have bound and determined to open your own club.

Cons: If you enjoy the freedom and independence to make your own decisions and carve out your own style, then a franchise is not for you. Most franchises require that you share financial information and conform to a preset uniform operating procedure. In other words, if a client walked into a Tom Perkins Health Club in Dallas, Texas, they would expect it to operate in the same way as the club in New York does. Conformity, not individuality, is expected. Finally, a quality franchise, with an established brand name, typically requires a significant capital investment of $20,000 or more.

Whether you go it alone, or opt for a franchise, the decision requires doing your homework. Extensively research the pros and cons, as well as your personal circumstances as they relate to your business experience, personal and professional goals, and time and resources available. Talking to outside consultants, accountants and attorneys can also provide valuable, unbiased insights into pursuing the choice that is right for you.

With a degree in Accounting, certified as a personal trainer, and primary function as a business development coach; Tom Perkins works with personal training departments, fitness professionals, and management of health clubs in the areas of sales, marketing, and promotion; operations and administration, and staffing and human resource management. With 6 startups in 15 years under his belt and over 20 years of working with the fitness industry Tom leads companies to profitability through Fitness Industry Solutions www.fitnessindustrysolutions.com.