It started with a comment – one word, blunt and honestly offensive: “retarded.”

Tim had posted an ad comparing two gyms, both with 100 members. One gym was generating $500,000 a month, while the other barely made $200,000. Same headcount, completely different results – why is that?

A CrossFit gym owner jumped in, did the math, and lost it. He said, “That’s retarded.” Because to him, $417 per member per month sounded astronomical – like there’s just no way a gym could ever charge that.

Well… he was speaking from his own experience.

That reaction sparked a bigger conversation. In models like CrossFit or large-group training, numbers like that do seem impossible. Those models cap revenue potential, no matter how hard the owner works or how good the marketing is.

In this episode, Tim and Randy break down how it’s actually possible. It’s not about working harder – it’s about the business model. Semi-private training gyms routinely charge $400 to $600 per month because the model allows for it. It’s scalable, profitable, and designed to grow.

They share examples, hard numbers, and everything you need to know about switching the model to break through revenue ceilings.

Tune in for the full conversation.

Key Takeaways: 

• Intro (00:00)
• $417/month is normal, not crazy (00:46)
• The real problem is always your model (02:54)
• Hard work won’t fix a bad model (05:53)
• People justify paying for experiences (07:18)
• CrossFit model struggles financially (09:02)
• Stop taking advice from broke owners (12:17)
• Jay Abraham’s “best use of time/capital” rule (15:12)
• Recap (17:24)

Additional Resources:

- A tool for deciding on new gym services – 5-Question Matrix 

- Get 30 days of Semi-Private Pro on us! 

- Check out our Switch to Semi-Private course 

- Apply to join the Iron Circle 

- Get your early bird ticket for the 2025 Growth Summit in Nashville 

- Get access to the 2024 Growth Summit recordings

- Tim's new book - Built to Win by Tim Lyons 

- ProFit Accelerator: Helping Training Gyms Grow to 30K/month and Beyond Facebook group

- SOP in a Day Workshop 

- Business Accelerator Program   

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