Funding your gym fit out can be a daunting journey. Bringing your vision to life and getting the gym doors open requires a significant investment and extensive planning.
As a finance company dedicated to supporting business growth, we understand the financial challenges that come with this endeavour. Here are some essential things to consider to help you successfully fund your gym fit out and set the foundation for long term success, without unnecessary debt or stress.
Determine Your Gym Fit Out Budget and Financial Goals
It’s essential to establish a clear budget for your gym fit-out. The best way to begin is to identifying all potential costs to ensure there are no nasty surprises. This might include things like:
- Equipment Purchases: Consider the costs involved with gaining the assets you need to fill your gym, such as weights machinery, cardio equipment, water stations and TV units.
- Construction and Renovation: Next, thing about the costs associated with the physical building, such as interior design, flooring and any structural changes you need to make the gym operationally sound.
- Licencing and Permits: Don’t forget to look into any licenses you need to comply with the legal requirements necessary to operate your gym. These can often provide a last-minute, unwanted surprise for gym business owners.
- Insurance: You will need a number of different business insurance policies before the doors can open, and these will often be ongoing costs to consider.
- Staff: You’ll need staff to manage and run the gym, think about how this may impact on cash flow and whether you have the available funds to cover this.
Once you understand fully what your costs will be, you are in a great position to look into the funding solutions available to help you get up and running, whilst ensuring you’re not over-committing to any financial burdens.
Explore Your Gym Fit Out Finance Options
- Asset Finance
- Asset Finance is the perfect way to help you to acquire gym equipment and enable you to spread costs over time, avoiding large upfront costs. Hire purchase and leasing are both types of Asset Finance and present viable options. Hire purchase means you are essential hiring the gym equipment from the lender and pay monthly instalments until you own the equipment at the end of the term.
- Leasing means you rent the gym equipment from the finance provider with a regular fee over a set term with interest. At the end of the term, you might be able to pay a lump sum to buy the equipment, continue leasing or cancel the agreement.
- Business Loan
- Many gym owners turn to loans for funding
- This is usually an unsecured loan, which does not require security over assets or property and are great for businesses that do not own many assets.
- Franchise Finance
- Instead of starting a gym from scratch, you could consider investing into a franchise instead. Gym franchises offer a proven business model, but they can come with a few costs that can impact investment costs. The franchise fee is an upfront cost paid to the franchisor for the rights to operate under the brand.
- Build and equipment purchase costs are also costs to consider.
Financing your gym fit out is a critical step towards turning your gym from an ideal into a business. By exploring understanding your budget and exploring different finance options, you can invest efficiently and build a successful gym community.
Ready to bring your gym vision to life? Moorgate Finance can help finance your gym fit-out from start to finish—get in touch today to explore your options and start building your idea! Apply Here!