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Average Gym Business Model
Sq Ft Space
3000Charge Per Member $ 50.00 Personal Training
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Per MonthMembers83Charge per personal training $ 75.00 Members12
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Revenue $ 14,343.44 Sessions/month127
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Membership Fees 4,166.67
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Personal Training 9,493.75 Fill in Yellow Fields Only
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Merchandise Sales 683.02
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Cost of Goods Sold $ 3,775.77
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Trainer Salaries 3,502.56
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Merchandise Costs 273.21
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Gross Profit $ 10,567.67
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Operating Expenses $ 6,234.25
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Rent 3,750.00
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Utilities 207.73
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Marketing 1,434.34
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Administrative Expenses 717.17
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Insurance 125.00
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Earning Before Interest and Taxes (EBIT)
$ 4,333.42
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Equipment Loan Repayment $ 1,573.15
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SFE Equipment 1,573.15
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Net Income per month $ 2,760.27 Cash Flow when you purchase with SFE!
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Profit Margin19%
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Equipment Loan Repayment $ 3,425.00
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Competitor Equipment 3,425.00
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Net Income per month $ 908.42 Cash Flow when you purchase with competitors.
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Profit Margin6%
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The amount of space you need for a commercial gym is at least 1,000 square feet, because experts recommend having 36 square feet per member and 45-75 square feet per piece of equipment.
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The average gym in the United States is 3,000 square feet. Depending on where you are, you can expect to pay an annual lease of $15-30 per square foot per year. That comes to an annual lease of $45,000 to $90,000.
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The personal training penetration rate is about 3 percent to 5 percent of members, according to statistics from IHRSA. Mayo says most clubs should be able to reach 10 percent penetration with personal training programs.
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It's reasonable for gyms to expect retail shops to contribute approximately 5% to their total revenue
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As of January 26, 2024, the average salary for a personal trainer in the United States is $67,141, with a range of $48,446–$82,489
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Personal Training: About 14% of gym-goers make use of personal training services
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Many sources recommend 2–3 personal training sessions per week for a period of 6–12 weeks
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Average Electric Bill by Home Size
500 sq. ft. 3000 sq. ft.
Arizona $34.62 $207.73
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On average, gyms typically allocate around 5-12% of their total revenue towards marketing efforts.
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https://www.exercise.com/grow/what-is-the-monthly-cost-of-running-a-gym/
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