Owning a gym is about more than just fitness. It’s also about maintaining financial health. With over 7,200 health and fitness clubs and a combined 10.4 million members (and rising!), it’s easy to see just how competitive this industry is.
To stand out from competitors, you must invest in your business and give your members the best quality equipment, facilities and services.
Raising the necessary capital to achieve this can be a difficult hurdle to overcome. Running a fitness business comes with high overheads due to rent, equipment and staffing costs.
However, a small business loan can be a useful solution – particularly if you’re just starting out, or want to take your business to the next level. In this blog post, we’ll cover how these loans can help you as a gym owner, and what to consider before you apply.
The benefits of small business loans for gyms
Applying for and obtaining a small business loan can provide you with a vital cash injection that significantly contributes to your gym’s prosperity. A loan will allow you to access funds to cover your initial costs. But it can also be used for marketing efforts, staff hires and equipment purchases.
Many gyms rely on business loans each year to help fuel their growth and success. These are the key areas where a loan could aid your business:
Funding expansion projects
Small business loans for gyms can provide you with the capital to expand your facilities, open new locations, or even introduce additional services. All this can help you attract new members, generate more revenue and strengthen your gym’s presence in your community.
Purchasing new equipment
Equipment is a vital part of what makes a gym appealing to members. If you don’t have the equipment people want to use, they’ll go elsewhere. A small business loan can help offset the expense required to fit your gym with state-of-the-art equipment that keeps people coming back.
Hiring more PTs and staff
Membership often goes hand-in-hand with the quality of your gym’s personal trainers. Securing a small business loan can help you hire the staff you need to grow your business and offer the experience and services members expect.
Boosting marketing and advertising
Effective marketing and advertising are crucial for attracting new members and retaining the ones you have already. Small business loans can be used to launch targeted marketing campaigns, develop your online presence and help the gym reach more people.
What to consider before applying for a small business loan
A small business loan could be a huge benefit to your business. But before you apply, there are several factors you need to consider:
Assess your gym’s needs
Determine the exact funding you require, and what you’ll be using the funds for. Make sure this aligns with your short-term and long-term business goals.
Understand the different loans available
There is no shortage of different loans available to you, but make sure you’re applying for the one that will most benefit your business. Familarise yourself with bank loans, online lenders, microloans and government-backed loans.
Evaluate interest rates and terms
Compare interest rates and repayment terms to match your gym’s financial capabilities and growth projections.
Review your credit score
Check your credit score and, if possible, take steps to improve it. A better credit score can lead to better loan terms.
How to apply for a small business loan for your gym
Successfully applying for a small business loan could be the catalyst your gym needs to enjoy a brighter fitness future. And we can help you make it happen.
Funding Triangle specialises in loans for small businesses, ranging from £10,000 to £500,000. We can approve loans on the same day and complete the transaction within 24-48 hours, with no security or assets required.
