Fully describe the business's activities?
Income is derived from a small joining fee as well as a monthly membership fee that serves as a recurring income stream for the business owner. The Gym also offers other revenue opportunities with the sale of meal planning programs as well as retail products such as supplements and shakes. More than 200 active members with recurring monthly subscriptions.
How long has the owner had the business?
How does the business operate on a daily basis?
The Gym operates in the mornings and afternoons. The service offering continues to evolve around the convenience and effectiveness of the 30 minute full-body fitness circuit routine for women.
How are the clients attracted to the business?
The Franchisor runs national marketing campaigns that benefits the entire franchise group: - Social and Digital marketing and lead generation; - Radio and print media campaigns; - Once a year television campaigns.
What Advertising/Marketing is carried out?
The Gym owner is able to do his/her own marketing in their area and that can be anything from running open day specials, flyer drops, online advertising or other marketing initiatives. The Franchisor support staff offers marketing support to the business owner in order to achieve the best campaign result.
What competition exists?
What are the seasonal trends?
Spring and Summer is considered peak times, with December's being quieter.
Is the business VAT Registered?
Are there up-to-date Management Accounts available?
Being prepared by Accountant - income statements available.
What is the age analysis of the debtors book?
How could the profitability of the business be improved?
It is a new business, organic growth will see to a natural increase in revenue and profits, all the hard work has been done already.
Is Seller finance available and for what amount?
No Seller Finance Available
What is the total staff complement?
Give a breakdown of staff/ functions/ length of service?
1 x Manageress 2 x Female Trainers
Do any receive special perks or incentives?
They are all incentivised.
Are they on contract?
How involved is the Owner in running the business?
Weekly visits and also conducts training / exercise sessions on a regular basis.
When does the current lease end?
Is there an option of renewal & what period?
Yes, 5 years
What are the trading hours?
Mon to Fri 6am to 11am & 15pm to 19pm and Saturdays 7am to 11am
What is the square meters of the business?
What lease deposit and/or other surety is required?
1 Months rent and personal sureties.
What are the main assets of the business?
- Fixtures, Fittings and Gym Equipment - Intellectual Property - Franchise Protected Territory
How have they been valued ?
Compared to the establishment of a new Gym.
- Well-known and globally recognised brand with an established network in South Africa. - Strong growing industry; - Recurring income for business owner; - Great business model with proven track record.
Continuous marketing required by each Gym to attract new members.
What is the reason for the sale?
Establishing of the Gym now complete, the Gym is trading above breakeven point, ready for new Owner to add a personal touch and take to new heights.
Why is this a good business?
- Proven system aimed at success - Ongoing revenue opportunities - Innovative products and services - Broad market appeal - A proven model
What is the price plus stock and the net profit?
Selling for R935 000, trading above breakeven point.
Annual Turnover Amount between R 500 thousand and R 6 million