Today, let's understand how to start a gym business in India.
The increasing fitness among today's generation of millennials has spurred them to turn their excitement into a profit-making property. The data from the government suggests a high chance of earning if you begin a gym-related business.
Starting a gym business in India can be lucrative! It is guaranteed that this business will earn a consistent income once you've got enough locals signing up for your gym. If you are looking to improve your chances of establishing the market to a large extent, then you must take a few steps aside from planning and the right financial guidelines.
The process of opening a gym isn't simple! You must manage much more than lifting weights and educating individuals on fitness. Your duties will include creating income models, business strategies, marketing your gym, handling issues, and being ready for any problems.
Did you know?
The aggregate fitness sector is roughly worth ₹4580 crores (US$ 0.75 billion), and according to a survey, the sector will be worth ₹7500 crores (US$ 1.19 billion) by the next few years with a development rate of 16-19%.
How to Start a Fitness Center or Gym
1. The Choice of a Location
When an entrepreneur decides on the location of their gym business in India, they must be aware of the results of their study. It is essential to consider those who are already a part of this business and which all spots are there in the city where gyms are not available.
Suppose there's an area where people have to travel to reach the closest gym, then better target that area. Just think about it; you're not just offering your services; you're also solving an issue.
The gym must be located at accessible locations and be easily visible to the public so that people don't have any difficulties getting there. If the owner has provided or set up the gym by the preference of his members and they are satisfied, people will visit the gym.
Gyms require large spaces, which is why gym prices are high. There are chances of business slowing down. Business owners could also get a gym franchise to get started.
Also Read: How To Start Gym Business In India?
2. Choose a Business Model
According to studies conducted by the industry, the expense of operating an exercise facility in India could be anywhere from ₹5,00,000 to ₹10,00,000. Therefore, most investors would be unwilling to give money away without a well-planned business plan implemented.
The business model will impact how well your gym's performance is within the location. The gym business model you choose may differ according to what you're willing to accept:
- Pay-as-you-go Model: This is the ideal choice if you're only starting and want to draw new gym members. If the plan costs ₹1000 for ten visits, members can come to the gym whenever they'd like.
- The Membership Model: For a long time, it's been the norm in business for gyms. Members pay a monthly fee that provides regular income.
- The Integrated Strategy: This approach assists both consumers and gyms by combining membership with pay-as-you-go. Regular members can benefit from this membership model, whereas non-members can choose an alternative.
- Dynamic Pricing Model: Customers are presented with various plans based on their needs and needs. If you can locate your gym close to high-end areas in major cities, it will be the most effective strategy for business.
3. Registration for Accreditation
It is required to register your gym business as Limited liberty or Private Ltd. Company. If you choose to do this, you can sell or transfer shares when the owner is in a position to keep the business. In the beginning, the certificate of temporary registration is given by the owner, and its validity is limited to an immediate period. After obtaining all the necessary clearances, the owner can request a permanent registration.
- The registration of Service Tax: The Government of India declares that the payment of service tax is mandatory for gyms if their annual total turnover exceeds ₹10 lakhs or greater.
- Establishment and Shops Registration: The establishment and shop registration is the most crucial step at the beginning of the gym business in your nation.
- Departmental clearance for police: The most important item is retrieving the clearance certificate from the local police department. Without this verification from the police, it is not possible to continue the process of starting the gym.
- The SSI registration process: The gym must register as a small-scale enterprise at the closest SSI registration office.
4. Employ Personal Trainers
The presence of trainers on-site will determine the fitness center's capabilities. Fitness trainers can help clients with the right training routines and offer individualised suggestions.
Because of these services, trainers will be able to keep members for a lengthy period. Trainers with a licence can not only add legitimacy to your gym business but will increase the quality and reputation of your business through word-of-mouth advertising.
Here are the qualifications you must look up before selecting a fitness coach:
- IAFT (Indian Academy of Fitness Training)
- BFY Sports & Fitness
- GGFI (Gold's Gym Fitness Institute)
- CBT (Certified Bodybuilding and Personal Trainer/Gym)
5. Interiors and Equipment
Installing the right exercise equipment should be on the top of your priority list. It is important to consider the participants' safety and the latest technology and maintenance.
The expense of installing standard equipment can be anywhere between the amount of ₹3,00,000 up to approximately ₹10,00,000. The interiors need to be well-designed, attractive paintings, full of bright light sources and inspiring posters.
If the equipment fails to move, the halls need to have mirrors lined up and be equipped with safety bumpers in the lower part of the hall.
Equipment Required to Begin a Gym Business
- Dumbbell set
- Barbell set
- Fitness Ball
- Training Bench
- Kettlebell Set
- Rowing Machine
- The Bar as well as the Pull-up Frame
- Stationary Bicycle
6. Incentive Programs for Members
Gyms' membership packages are not enough to ensure that gym users will not leave. Members can also be provided with additional benefits and activities like weight-loss programs such as Zumba aerobics, physiotherapy, special training, etc.
7. Gym Business Promotion
People always seek something original, fresh, exciting and affordable priced fitness programs. Your business can promote itself by launching different campaigns. These may include fitness-related activities, attractive discounts, demonstration classes and customised presents (merchandise bags, t-shirts, etc.)
Consider obtaining investors or a loan before deciding on the best way to finance the business. It is necessary to have a solid financial foundation to get you through the initial few months, and it is also possible to have a new bank account opened for your company.
Make sure you hire the right team. The hiring process sometimes takes time, so start by finding faculty members with experience. Do your job listing, establish the hierarchy of other business contacts, look over resumes, interview applicants, complete background checks and the list. Put efforts into building your team for gym business, and your gym will be significantly more functional.
9. Personnel and Maintenance
You'll require receptionists, cleaners workers, housekeeping staff, sales representatives, special trainers, service technicians, and physiotherapists for every gym. The expense of personnel and gym equipment maintenance each month could range from ₹40,000 to ₹80,000.
Make plans based on your needs. If you plan to establish a large gym with many members, you'll require gym management software. Members, along with their routines, the progress of their workouts, special needs such as comments and frequency can be tracked with the application.
Also Read: How To Become a Fitness Instructor in India
10. Finishing Touches
Now, you're prepared! Only minor things are left. Compile employee lists, write membership contracts, determine the best strategies and assistance you need to develop and integrate technology and make pricing proposals. These are all small things that can cause a huge difference.
11. It’s Time to Cut the Ribbon!
You finally know that your gym will become operational after years of effort, time and sleepless nights. Although the process isn't easy, the value of having your health center is worth it.
If you are looking for the answer, read this top guide to starting a gym business in India. Make sure you do the right items as directed by the guideline. Opening a gym or fitness center is the best option and is a lot easier for those who prefer to have a distinct desire to maintain a healthy body and good well-being.
You must put a lot of hard work into building your fitness center starting from scratch. There will be many obstacles you'll have to overcome during your journey. Therefore, you must prepare yourself! Also, make the payment system online to earn faster as it will be even easier to calculate.