A gym needs more than great equipment, talented coaches and workout space to succeed — although those things are crucial. To build a business, you need to manage your gym’s finances. Keeping these accounting and finance best practices in mind can help you manage your gym effectively. talented
Make projections for your gym’s revenue to set realistic prices. For example, a monthly unlimited plan may be appropriate for a larger gym with more members but may not bode well for a smaller facility.
You should also minimize discounts when your gym launches because some might balk at paying a higher price after raising them to a normal level.
Buying a gym membership should be easy, regardless of whether you sell them at the front desk or on your website. In addition to streamlining your sales cycle, you should keep contracts and paperwork simple for new members. The right gym software can help you manage your gym’s contracts, sales and finances.
Your team should always be thinking of bringing in new business, so keep them motivated with referral programs and incentives. When leveraged correctly, bonuses can be a win-win for both your gym and staff.
What’s the most efficient way to lay out your gym? Are its locker rooms, lounges and storage areas the right size? If they’re too big, could you add a retail shop or personal training room? Maximizing your space and the resources you have is key to managing your gym’s financial health.
You should also invest in efficient lighting to reduce utilities costs. For example, LED lights cost more upfront but last longer than their predecessors.
Gym memberships will be your bread and butter. But to make the most out of your gym’s finances, you should consider selling items like energy drinks, supplements or clothing with your gym’s name and logo.
In terms of services, take the time to brainstorm new ideas for classes or specialized personal training. Variety keeps members coming back, brings new customers through the door and increases sales.
You can have the coolest space, top-notch equipment and the best trainers in town. But if you don’t build processes around managing your gym’s finances, succeeding in the long term will be difficult. Use these tips and and you’ll be on your way to building a successful and financially stable gym.
When it comes to finance and accounting, gym management software is one of the most important tools you can invest in. Wodify Core is software for gyms that can help you streamline business operations, stay on top of the books and take your gym to the next level.
Book a call with a product specialist to learn how Wodify Core can help you manage your gym’s finances and grow your business.