Built To Grow Fitness Business

The $30k Ceiling


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There's a common financial roadblock that many gym owners face - the $30,000-a-month revenue mark.

It's like hitting a ceiling that's hard to break through. In fact, many of them remain stuck just below that magic number for years, and it’s a pattern more common than you might think. 

This might be connected to the Dunbar number, which is about 150. This number represents the amount of personal relationships you can realistically manage in a business setting. 

If you consider an average gym membership fee for larger group training sessions at around $200, and you multiply that by 150 members, you land right at that $30,000 monthly revenue mark. 

Of course, gym models vary - some might charge more than $200, others less, but most gyms find themselves averaging about $200 per member. Even when gyms sell extra things like merchandise or run special programs, it often doesn't help them make much more than $50,000 to $60,000 a month.

So, the big question for gym owners is: what can you do differently? What strategies or changes can you implement in your gym to not just break the $30,000 ceiling but leap forward to, say, $50,000 or more?

That’s exactly the topic that Tim and Randy are discussing in this week’s episode. 

Join them as they talk about the psychological aspect of the Dunbar number, the importance of adaptability in business models, and the benefits of shifting from a large group training model to a semi-private model. 

They also share success stories of gyms that shifted to a semi-private model and the strategies they use to break through the common $30,000 monthly revenue barrier.

This is an episode you won't want to miss - tune in now!

Key Takeaways:

  • Intro (00:00)
  • $30,000 revenue ceiling (00:41)
  • The Dunbar number and its impact on membership (01:47)
  • The large group model limitations (06:41)
  • Pros and cons of raising rates (10:53)
  • The shift to the semi-private model (16:02)
  • Recap (17:31)

Additional Resources:

- Business Accelerator Program winninggym.com/call

- Learn more about The Iron Circle 

- Business Talk with Fitness Professionals Facebook group 

- Jump on a call with Randy

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Built To Grow Fitness BusinessBy Tim Lyons and Randy Angsten

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