Fitness & Health Club - A love coming to work situation for Fitness, Health, Athletics Pro’s
Location: Wisconsin > Dane County
Industry: Health and Medical > Health Clubs and Spas
Financials
Asking Price: $95,000
Gross Revenue Comments: Will post 07 annual shortly -
Cash Flow Comments: Will post 07 annual shortly -
Inventory: $1,000 (Included in Asking Price)
FF&E: $75,000 (Included in Asking Price)
Seller Financing: Seller will discuss providing some financing or earn-out
Business Summary
Broker’s Summary: Your chance to be in fitness industry/acquire a Club at a real bargain price - below replacement cost - & use your business & selling skills to take it to next level. Long ago our Mentor said 3 steps in young company life - Survive, Profit, Grow. Company is safely above break even. Seller’s offering club with going-concern momentum & branding & community mind-share ownership. At asking price seller is absorbing the start-up costs which created it. Here’s why: Seller comes from entrepreneurial family. She saw community need for full service health & fitness club & grew Company to meet that need. Seller now has two small children. Husband owns fast-growing business. Seller now simply elects personal priority of motherhood & family. She’s selling Company to meet that priority. Company is just above break-even & safely so. We encouraged her to keep it / grow it one more year & markedly increase its value / selling price; She correctly pointed out young children grow & don’t wait. She can afford to move on. Outlined in the Offering Memorandum are concrete steps to grow the business based on our several decades of operating management & consulting experience which we will review with interested Buyers. Email Kris@Broadbridgeinc.com for NDA & 33pg OM. Company is in secondary population center - mind set is “belonging” to the community & desire to interact with neighbors & local friends. Competition is 10 & 20 miles away respectively. Several professional demographic forecasters project Company’s market region population will triple in size over next 5 years. Company forecasts it can double in size to 650+ members over this time period as a result. The club’s present size &equipment inventory could handle this membership level without significant added capital expenditures. Final important point - Seller acknowledges she’s a heart person vs. business driven & Buyer with good business skills will surpass her accomplishments.
About the Business
Year Established: 2006
Employees: 3 full time - 57 part time
Facilities: Company operates in 7,000 square foot facility located prominently on Main Street downtown. Seller completely remodeled building to serve company’s purpose & it looks top shelf! Company has a 7-year assumable lease w/6 yrs remaining. Fully-equipped gym can accommodate at least 600 members without material equipment additions. Complete equipment list presented in Offering Memorandum. Landlord will sell building which has 4 other tenants at price which will positively cash flow. Ask Kris, Broker for details if interested.
Market Outlook and Competition: Company owns mind share in community & surroundings. 4 competitors are 10/10/20/20+mi away. 2 are small, clean, good equip. but limited services. 2 @ 20 mi. are huge full-offering but “far away” in general local populace mindset + very costly comparatively. Membership presently approx 350. Seller has big heart for health / fitness but acknowledges lack of marketing & SELLING skill & ability. Making Company’s presence & offerings known, creating need and selling it are the real issues & keys for success here.
Community & surrounding area is at beginning of period of significant population growth. Is projected to triple in size over next 5 years. Seller has hired marketing company / professional forecasters who project it can double in size to 650 members or more over this time period as a result. Seller acknowledges buyer with stronger business orientation would likely “see” line extensions / increased service offerings to attract other sub-sets of member prospects company may be missing.
About the Sale
Management Training and Support: Seller will be 1) Available on or off-site for 30 total hours during first two weeks after purchase closing as part of purchase price. 2) Available on or off site, or by teleconference for up to 4 hours per month for next 3 months at a To Be Determined hourly rate for specific purpose of consultation regarding business knowledge transfer or operational issues.
Reason For Selling: Seller saw community need for full service health & fitness club & grew Company to meet that need. Seller now has two small children. Husband is owner of fast-growing business. Seller simply elects personal priority of full time motherhood + investing time in family. Is selling Company to create time for that priority.
Attached Files - Attachment Disclaimer
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The information on this listing has been provided by either the seller or a business broker representing the seller. BizQuest has no interest or stake in the sale of this business and has not verified any of the information and assumes no responsibility for its accuracy, veracity, or completeness. Please review the full Disclaimer here.
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