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Gym equipment rentals

Gym equipment rentals business plan

Arena Systems Inc.

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Opportunity overview�Opportunity cost�Minimal viable product�Minimal viable marketing plan

Tracking & KPIs

Bonus resources

01

02030405�06

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Opportunity overview

01

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Opportunity overview�Setting the stage

What we do

Provide a flexible and cost-effective solution for individuals and businesses looking to access fitness equipment without the long-term commitment of purchasing.

How we do it

By offering a variety of equipment options, delivering & installing them. A white glove solution for individuals looking to enhance their health & wellness.

Why we’re doing it

Because a major segment of the population is interested in exercising in a convenient & private location without needing to commit long term.

Gym equipment rental business plan

What

Why

How

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Buying, transporting, and assembling cumbersome fitness equipment is a reality that high net worth individuals don't want to be inconvenienced with. Additionally, high-ticket prospects are the kind that care about their health & wellness.

Since the COVID-19 pandemic, there has been widespread sanitation/health considerations that further justify the need for private fitness centers.

Instead of being inconvenienced by long drives, crowded parking lots, and busy gyms filled with dirty equipment, some are more interested in a bespoke, personal experience in the convenience of their own private homes.

Opportunity overview

Running a gym equipment rental business

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Cross-sell opportunities

Gym equipment rentals

Some of the potential services available for cross-selling.

  • Additional equipment (cardio, strength, etc.)
  • Personal training
  • Rent-to-own arrangements
  • Pre-owned equipment for sale
  • And more

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02 Opportunity cost

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Opportunity cost: The value of one alternative relative to the value of the next best alternative.

This cost is not always financial. It makes consideration of market competition, penetrability, startup costs, time to validate the idea, and more.

At Arena, we don’t explore high opportunity cost ventures; gym equipment rentals aren’t one of them.

Opportunity cost

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Opportunity cost�Arena opportunity Venn

Trash Valet

High-ticket

prospects

Negligible operating costs

Unconventional

Gym equipment rental business plan

The gym equipment rental business is unconventional and operates in an industry containing ample high-net worth prospects. Once a client is acquired, labor & operating costs are negligent, since equipment requires little-to-no maintenance, since gym staffing isn’t required.

Pairing gym rentals with minimum rental commitments make this a penetrable opportunity ripe for disruption, despite it’s relatively high startup costs to validate.

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Opportunity cost, notable consideration��Despite the opportunity’s relatively high startup costs, fitness equipment costs are considerably stable, meaning that they don’t meaningfully appreciate or depreciate.��If the opportunity no longer interest you, it’s easy to recoup costs by selling equipment at the cost it took to acquire it.

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03 Minimal viable product plan

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Minimal viable product plan

Plan

Do

Act

Check

Gym equipment rental business plan

Disclaimer: None of these blueprints are complete. Rather, they are intended to reduce friction as you start your business. Meaningful refinement can only happen through continuous effort & ideation.

Plan, Do, Check, Act: Also known as the PDCA cycle, this project management framework helps businesses drive continuous improvement across their products & services.

We strongly recommend that you pair our product plan with the PDCA framework in your workstreams to help identify efficiencies in the opportunity as they arise.

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Core lifts: Barbell + weight plates

Cardio: Treadmill

Minimal viable product plan: Equipment

Strength: Power rack

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Transportation method: Utility trailer

General training: Bench

Minimal viable product plan: Equipment

General: Fitness accessories

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Good artist copy,�great artists steal.��Don’t reinvent the wheel.��Copy your competition’s homework (see bonus section) by acquiring the exact equipment they rent to their clients.��There’s no need to have their entire inventory on day 1. Start with the essentials, and use rental income to expand your offerings.

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Sourcing equipment

Keep it simple. Use Facebook marketplace & groups to source fitness equipment that you’ve identified needing.

The cheaper you can acquire the equipment, the better return you can yield during it’s rental history.

That said, don’t focus on purchasing cheap. Instead, focus on value.

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Startup costs: $2,600

It’s in our estimation that the startup costs are in the ~$2,600 range.

This cost cover the power rack, adjustable bench, weight plates, standard barbell and commercial treadmill you’ll need to complete a home gym. It also makes consideration of marketing costs slated to be discussed shortly. It does not consider transportation equipment.

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Instructions are self-explanatory for gym equipment rentals.��01. Source fitness equipment at bargain prices.�02. Find potential renters.�03. Rent at the highest reasonable price.

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Target a 60-70% dollar utilization rate for your rental equipment. Meaning that after a year, your rental equipment should earn you 60-70% of it's total acquisition cost.

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04 Minimal viable marketing plan

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Minimal viable marketing plan

In the spirit of retaining modularity, we’ll host most in-depth marketing plans outside of this deck. This plan only contains the essentials to get started.

More marketing resources available @ arena.xyz

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Phases�Going from 0 to 1

Minimal viable marketing plan

Follow this blueprint to build the marketing & sales plan you’ll need to acquire your first customer.

01 Create front door

Look like someone worth doing business with. Take a day to build a website (with basic pages) and a logo, fast. Done beats perfect.

02 Craft your offer

Use our available marketing & sales resources to craft an offer that your leads can’t refuse.

03 Source your leads

Use our marketing resources to create a list of places you can use to source high-propensity leads

04 Close your leads

Use your offer to close prospects that your lead generation provides. Repeat the process. While looking for ways to drive efficiencies in the business.

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01 Create front door��This step is self explanatory. Register your domain, create your website, email etc.

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02 Craft your offer��Copy your competition’s homework by calling or emailing as a cost-conscious prospect interested in becoming a customer.���Take any meaningful learnings, and use them to your benefit within your sales process.

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03 Source leads

Use Facebook Marketplace & Groups to promote your services. Join local buy/sell/trade communities and post/engage relevant content.

For post inspiration, look at the content that competitors are posting.

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04 Closing leads��As previously stated; Good artists copy, great artists steal. F*ck political correctness, don’t reinvent the wheel. ��Copy your competition’s homework (see bonus section) by calling as a prospect and repurposing their sales pitch.

Use their sales pitches as your own personal money printer until you have resources to experiment.

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No process is perfect on day 1. Remember to refine your workflows each week.��Improve your offer�Improve your prospect sourcing�Improve your close rates

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For a step-by-step marketing plan, follow this four week calendar. →

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Marketing plan

First four weeks

Use this four week marketing plan to kickstart your business & get your first ticket customer. Apply the PDCA framework along the way to drive efficiencies along the way.

Week 1

  • Build website & brand basics. Only essential pages (home, about, contact, etc.)

Note: Recommended website builders, themes, business names & domains available in bonus resources.

Week 4

  • Look for opportunities to enhance your workstreams, and repeat the process.

Week 2

  • Purchase fitness equipment based on competitive research findings.
  • Craft an undeniable offer using our sales resources.

Minimal viable business plan

Week 3

  • Source high propensity leads using our recommended method. In this case, joining & posting inside relevant Facebook groups in your local & surrounding metro areas.
  • Close qualifying leads (those that reach out showing interest in renting your equipment).

NOTE: Additional resources @ arena.xyz

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Disclaimer

Plan

Do

Act

Check

Gym equipment rental business plan

Remember: As previously stated. None of these blueprints are a one-size-fits-all solution, and neither are they complete. Meaningful refinement can only happen through continuous effort & ideation.

As you develop your business, remember to apply the PDCA framework:

  • Plan: Set goals and determine what changes are needed to achieve them
  • Do: Implement the changes
  • Check: Evaluate the results to determine performance
  • Act: Standardize the change or start the cycle again based on the results

TDLR: Continuously look for leaks in the business, and fix them.

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05 Tracking & KPIs

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You’ll struggle to identify opportunities & track growth if you don’t measure what matters.

Use Arena’s free dashboard to:

  • Set KPIs
  • Set targets
  • Set actuals
  • Measure performance

Tracking & KPIs

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Setting KPIs

The following set of instructions require our dashboard, available @ arena.xyz

You can complete this process using other business dashboards following similar steps.

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Identify KPIs

Identify the KPIs that are most suitable for the opportunity (provided on the following slide).

Set Targets

Set recurring growth targets that you would like to achieve based on your personal level of commitment.

Set Actuals

As you progress, make sure you update your “actuals” table to reflect your performance.

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Gym equipment KPIs

Revenue per rental

Average rental duration

Customer acquisition cost

Maintenance costs

Dollar utilization

Monetary?

Y

Y

Y

Y

N

Description

Income generated from each transaction, helping you identify the most profitable equipment.

How long your rental equipment is rented for, on average.

How long equipment is typically rented for.

How much it costs you to maintain the equipment.

The annual rental revenue relative to the total acquisition cost of the equipment you’re renting.

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KPIs

Measure your performance

Use the Dashboard, Tracker, and Summary tabs to track your performance over time.

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06 Bonus resources

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Bonus resources

Recommended digital tools

Tools & resources

Domain names

Website builder

Website themes

Stock photos

Email newsletter software

Meetings

Business phone number

Email accounts

We’ve extensively researched the best digital marketing resources & tools. These are our recommended resources.

For the ultimate toolkit: https://arena.xyz/the-toolkit

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Bonus resources

Business names & available domain names

Available business & domain names

At Home Gear

At Home Strength

Lend Gym

Gym Renter

The Barbell Rental

Get Fit Rentals

Rent a Home Gym

Rented Racks

Rentable Rigs

athomegear.com ✅

athomestrength.com ✅

lendgym.com ✅

gymrenter.com ✅

thebarbellrental.com ✅

getfitrentals.com ✅

Rentahomegym.com ✅

rentedracks.com ✅

rentablerigs.com ✅

Note: These domain names are available at a first come, first serve basis.

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New York, NY

Austin, TX

Pawtucket, RI

Denver, CO

Exemplary gym equipment rental companies

Competitive research

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Questions?

Contact

hello@arena.xyz

arena.xyz