Snap Fitness - Anyone ever been in one?

[BELLC]

I was looking at possible small-scale gym franchises and came across Anytime Fitness and Snap Fitness. I also ask this question in here because I value the Over 35 opinion.

I've been to the snapfitness.com website but there are no pics of their facilities or the equipment they use. Appararently there are no contracts required either.

The Anytime Fitness website doesn't show showers, and I'm guessing that Snap also offers no wet areas in their generally under-4000' franchises.

A Louisiana chain has also just opened an express-type operation (also no wet areas/showers) about 10 miles away but it really isn't convenient for folks in my rural area who workout before work and need to shower before going to work in town. It also has a 1-year agreement.

Has anyone here ever been to a Snap Fitness facility and can answer about what equipment they have, whether they have wet areas/showers, and a general opinion about Snap Fitness?

[joed]

I'm not near you but I've never heard of either name. Have you ruled out starting your own operation instead of spending $$$ to buy into a franchise chain?

[Stenn]

I'm not near you but I've never heard of either name. Have you ruled out starting your own operation instead of spending $$$ to buy into a franchise chain?

There are plenty of good reasons to buy into a franchise. You pretty much get a successful business model handed to you and all you have to do is not mess it up. That's good stuff for someone who's not that familiar with owning and running their own buisness.

[joed]

Maybe, but it's often not that simple. It depends on lots of factors like the asking price of the franchise, location (location location), if it IS successful, etc., etc., etc. Sounds like neither of these places have showers which automatically eliminates a certain (potentially large) group of customers who need to clean up before going to work, as Bell mentioned in the OP. Sometimes people buy a piece of 'blue sky'.

[egoatdoor]

There are plenty of good reasons to buy into a franchise. You pretty much get a successful business model handed to you and all you have to do is not mess it up. That's good stuff for someone who's not that familiar with owning and running their own buisness.

There was an excellent article in last Monday's Wall Street Journal ( " Why Franchisees Fail", April 30, page R9) that spoke to how to evaluate franchisers.

Don't assume that is automatically a "successful business model". How long have they been around? Anyone can become a franchiser. The article quotes a source in saying that 25% of franchisers never make it past the first year.

Find out how many franchises are open and for how long. They should be able to also put you in touch with other franchisees. Talk to those people and get the real lowdown.

Name recognition and advertising support are important factors in going the franchise route rather than starting a club under your own name ( McDonalds and Golds Gym are two examples), so franchising could be the way to go, but you have to have the right franchiser.

Lastly, pay attention to the section on Management skills in the article. Running a business, whether it is franchised or not, is hard work, will need a ton of time, will probably present many unforeseen aggravations and you need the proper people skills. Not everyone is cut out to be a business owner ( including yours truly).

[Stenn]

Maybe, but it's often not that simple. It depends on lots of factors like the asking price of the franchise, location (location location), if it IS successful, etc., etc., etc. Sounds like neither of these places have showers which automatically eliminates a certain (potentially large) group of customers who need to clean up before going to work, as Bell mentioned in the OP. Sometimes people buy a piece of 'blue sky'.

Yup. It's important to do your due dilligence before purchasing any investment, particularly when it's a business. It would actually be less risky to purchase a gym that's already operating. That way, you can view their financial records and know what kind of cash flow you're getting for your money.

I don't see the lack of showers as that big of a problem. There's one fairly successul gym near my house that lacks showers. Also, I rarely take showers at my own gym since I prefer to simply drive home and take a shower there. That way, I don't have to lug a change of cloths and toiletries with me to the gym.

BELLC, sorry, but I've never been in a Snap Fitness facility and can't help you evaluate the product. But I'd be interested in hearing more about the business of purchasing and owning a gym.

One of the neatest gyms I worked out in while in college was Clean-and-Lean, which I'm fairly certain was a franchise. The idea was to combine a gym with a landromat. You could get in a good workout while your cloths got washed and dried. The owners were personal trainers and they kept client cards at the desk so folks could track their progress. It was brilliant. It also had no showers.

[BELLC]

I've studied franchises many times in many industries. Some make more sense than others and there are reasons to support remaining independent as well as the offerings of a franchise. One thing is true, regardless, and that is that gyms are capital intensive and in a small, rural area like mine that cannot be overlooked.

I thought the shower thing would be the biggest problem but if the gym is within a couple miles of home, many would take a shower at home instead of the gym. What I would not like is to join the gym 10 miles away already in the city. Without showers, it would force me to return 10 miles, get a shower, than back 10 miles to work. So I've lost 20 minutes in travel time alone.

Of these so-called "express gyms" with few amenities, the reason for skipping showers is cost. Bathrooms are very expensive, they must meet ADA standards, they require extra cleanliness (staff), and they take up a significant amount of space when showers are added. For the cost of one male and one female bathroom with a single ADA-compliant shower, commode and lavatory, you've used up 800-1000 square feet and a lot of dollars that could be used for gym equipment.

If you want someone else to be able to use the commode and lavatory while another is taking a shower, add another 200-400 sq feet to each room. Plus you now have to heat and cool 1200-1600 square feet as well as provide constant hot water by electrical or gas power. You have now taken up enough space for a group exercise room or nearly a dozen machines.

Point is, I can see the logic either way, especially in a small town with a limited number of potential memberships. If 92% of a population will never step inside a gym, and there are 1000 people in the area, that means a maximum of 80 members with no turnover. At $40 per month x $80, assuming they will all pay, that's only $3200 revenue per month to pay for rent or taxes, electrical, gas, lights, security, and all gym equipment. Since this is a no-staff, 24-hour gym there is no FICA. And did I mention insurance and other admin expenses? Still, I doubt there is any money left over to sock away for improvements and new equipment as needs dictate.

If what I read at clubbusiness.com is correct, that for every 1 express gym that opens, two will close, then I need to make sure I have the best chance from the outset.

Yet I'm an optimist so I'm exploring my options. If there is no way to make a profit, then I'll need to back off and walk away from the idea. I've had two retail businesses, both of which got sunk by the big boys coming to town. Having a niche and good service isn't always enough.

[Stenn]

If 92% of a population will never step inside a gym, and there are 1000 people in the area, that means a maximum of 80 members with no turnover. At $40 per month x $80, assuming they will all pay, that's only $3200 revenue per month to pay for rent or taxes, electrical, gas, lights, security, and all gym equipment. Since this is a no-staff, 24-hour gym there is no FICA. And did I mention insurance and other admin expenses?

$3,200 per month before expenses? That's pretty slim pickings. Now I know why so many gyms sell other stuff like training and supplements. What would your cash flow be after expenses? Also, what's the initial capital cost and will you finance the purchase?

I'm into purchasing apartment complexes myself. My partners and I just closed on one earlier this week. We partly base our purchase decisions on how much cash flow we can purchase with our money. If we can only get a 5% return on our money, we may be better off sticking our capital in a money market or CD. But, if we can get 10% or better, the deal starts to look sweeter and we look for other financial opportunites that the property might posses.

In the case of your $3,200 per month business, if your expenses eat up 2/3 of your income leaving you with about $1,000 in cash flow, that's just $12,000 per year. If you only paid $120,000 for the business, that wouldn't be too bad, but I doubt that gyms come that cheap.

By the way, I love the analysis that you're applying to this decision.

[BELLC]

$3,200 per month before expenses? That's pretty slim pickings. Now I know why so many gyms sell other stuff like training and supplements....

Exactly my concern. There is an awful lot of lost opportunity cost with the investment in a gym. From what I've read in all the Fitness Mgmt books by the industry's experts, at least four profit centers yielding 20% should be in place or discontinued. I'm still looking for those as well. And never, ever give away free coffee!

Most folks in our now-closed gym never brought more than their keys and a bottle of water in with them. Wallets or purses are left in the car. And in a Walmart/Academy area like we have, they won't be buying much in a gym.

As much as I'd like to have a local place to work out every day, as a business it has to pay for itself and I'm not seeing that potential yet. Hence my original question. I hope there is a good model out there but putting a gym in at home in my shop and investing my money elsewhere is still on the table.

btw, I've also considered putting 2 duplexes on the land I've had reserved for the gym. The land isn't making any money right now just sitting there.

[IronBar66]

Here in the Portland, OR metro area, there are several of these types of places that have popped up, and were gone in six months or less.

There are still a lot of folks out there who still believe that if they build it, they will come. That only happens in the movies baby. In order to get them to come you've got to do ten times more than just hang out an "OPEN" sign.

[Stenn]

Exactly my concern. There is an awful lot of lost opportunity cost with the investment in a gym. From what I've read in all the Fitness Mgmt books by the industry's experts, at least four profit centers yielding 20% should be in place or discontinued. I'm still looking for those as well. And never, ever give away free coffee!

Most folks in our now-closed gym never brought more than their keys and a bottle of water in with them. Wallets or purses are left in the car. And in a Walmart/Academy area like we have, they won't be buying much in a gym.

Stuff I've seen offered at gyms include:
Supplements
Personal Training
Tanning
Massage
Deli case
Frozen healthy meals to go
Classes (yoga, martial arts, pilates, etc)
Snacks (smoothies, sport drinks, meal bars, etc.)
Clothing
Gym accesories (bags, drink bottles, towels, etc.)
Personal evaluation (body fat measurement, BMR masurement, diet evaluation, etc.)
Guest/Temporary passes
Locker Rental
Towel Rental
Child Care
"Executive" dressing room privlages

I guess the trick is not so much to offer something that Wallmart doesn't have, but to offer stuff that people might want in-the-moment while they're at your gym. Folks are often willing to pay a premium for convenience. Just ask any convenience store owner. Hmmm... Maybe you could sell 40-oz malt liquor, cigarettes, and lottery tickets.

As much as I'd like to have a local place to work out every day, as a business it has to pay for itself and I'm not seeing that potential yet. Hence my original question. I hope there is a good model out there but putting a gym in at home in my shop and investing my money elsewhere is still on the table.

If all you're looking for is a local place to work out (as opposed to a profitable business) you might consider a co-op model. Find people who are willing to pool their resources to build the gym and then charge dues sufficient to pay expenses. Just a thought...

btw, I've also considered putting 2 duplexes on the land I've had reserved for the gym. The land isn't making any money right now just sitting there.

I'd say either build mini-storage units on the land or sell the land and buy rent houses with the proceeds.

Some things are worth doing even if they lose money. Heck, people throw away money all the time on cars they don't need, houses that are too big, elaborate vacations, etc. If owning a gym is a dream of yours, it might be worth-while for your personal happiness to go ahead and build the thing even if it doesn't make a dime. That is, assuming such a move won't land you in the poor house.

[egoatdoor]

Most folks in our now-closed gym never brought more than their keys and a bottle of water in with them. Wallets or purses are left in the car.

Must be a really safe town. Suburban Richmond Virginia is not a crime capital of the world, but my Golds Gym has had at least three "smash and grab" car break ins during the last two months. Two were in broad daylight during lunch hour. They are telling our members now NOT to leave things like purses in their car.

[BELLC]

Stuff I've seen offered at gyms include....I'd say either build mini-storage units on the land or sell the land and buy rent houses with the proceeds....If owning a gym is a dream of yours, it might be worth-while for your personal happiness to go ahead and build the thing even if it doesn't make a dime.

Finding items to sell wouldn't be hard but that means a manned facility. Due to the low profit potential, a part-time cleaning person is about all that is available in the budget....I would not say it was a dream of mine but it is the only option for me if I want to continue full workouts. The problem with not making a dime is that I'm married to a CPA, one that cries a lot when money isn't coming in.

The metal storage buildings idea never really took off here. There are tons of spaces that have never been filled because we're so rural people build their own barns.

[TheLBM]

I have belonged to 2 snap fitnesses. One was very small and the other was the biggest in my state. Both were small and cramped. Now i belong to Anytime fitness. I believe Snap uses Cybex machines and Anytime uses Hammer strength.
The Anytime has way more floor space. But that could just be the location of the gyms and may not hold true as a general rule. Anytime is 10.00$ cheeper a month. I prefer the Anytime to snap. Not that i would not go back to snap if i needed to.

[jude-o]

I believe the statistic is that only about one in ten startup small businesses will survive their first year.

Undercapitalization is the most common fatal mistake. To really maximize your chances, you should have enough operating capital to pay all your predicted expenses for a year even if you don't get a single customer. It can take a long time to build up a customer base, even if you're offering something that people genuinely like and want.

Is this something you genuinely have a passion for? Even the things you like can become distasteful after enough long thankless hours. Running a small business can be deeply rewarding, but it's always hard work and most people don't make it.

[dreambig73]

A Snap Fitness just opened near me. I checked it out. 5 treadmill, 5 elliptical (sp.), one each of circuit training machines (pec deck, leg machines, etc.), 2 adjustable benches, 1 Smith, dumbbells up to 50 lbs (i think), one straight olympic bar, leg lift machine. Very small, the only place to change is the one-person-at-a-time restroom. No lockers, you put your stuff in these little boxes at the door. Only $10/month. I can't imagine how packed it might be once they really get going.

[BELLC]

First off, let me thank everyone for their replies. As always, this forum is fantastic for information!

LBM, can you tell me what your Snap charged as compared to Anytime? You said Anytime was $10 cheaper per month, right?

DreamBig, you said Snap cost $10 which is the lowest I've ever heard. Do you think that was a promo to help build the membership list faster? (I'd hate to be the owner of that Snap one year down the road!)

[dreambig73]

First off, let me thank everyone for their replies. As always, this forum is fantastic for information!

LBM, can you tell me what your Snap charged as compared to Anytime? You said Anytime was $10 cheaper per month, right?

DreamBig, you said Snap cost $10 which is the lowest I've ever heard. Do you think that was a promo to help build the membership list faster? (I'd hate to be the owner of that Snap one year down the road!)

It may have been a promo price. They kind of danced around most of my questions, so needless to say I passed. Even so, with the lack of facilities in the place I can't imagine they could charge too much. Of course the people I talked to had just started working there and maybe they didn't know for sure.

[phikappa]

Sorry, but when I see the term "Snap Fitness", nothing positive comes to mind (and I'm a pretty frugal person). I either get a mental image of some guy saying, "Oh, Snap!" or I get a mental image of something breaking, as in "I just snapped my femur!"


Anyway, good luck!

[greg199631]

Currently I own 1 operating Snap Fitness and am about to open my 2nd one in about 45 days pm me for an educated opinion on this franchise, many of the conclusions you have come to on your own are very accurate.

[JRT6]

I can only attest to this: There is a gym called "Anytime Fitness" down the street from me. They only really have machines and very little if any free weights. Due to this they are really limited in the demographic they attract and seem to be struggling for members. They are offering almost too good to be true membership deals which tends to validate that. On the other hand I have some friends going there who say the gym is doing fine.

That being said if you have the demographic for the gym you want you may hit a market ready to be tapped.

A guy I know is opening a Crossfit gym in the Cleveland area. I'm not confindent he will make it. People really into Crossfit type training seem to be self motivated enough to go to places like Rossfitness and get their own set ups at home. I hope he does well.

[bigt405]

I checked out a Snap fitness that just opened up the other day. It had plenty of cardio equipment, dumbells up to 100s, mostly machines, and no free weight bench.It also had no showers. The owner told me that because it was a 24 hour key entry gym that the insurance made it impossible to have a shower and free weight bench or squat racks.The dues are 35 a month with no contract.

[BELLC]

....It also had no showers. The owner told me that because it was a 24 hour key entry gym that the insurance made it impossible to have a shower and free weight bench or squat racks.

Do you think he was trying to say that insurace wouldn't let him because it was basically unattended? Possibly on the weight bench, but the shower??? Well, maybe someone thought a customer would slip, knock himself out, drown in the water, then get flood damage to the place...

[bigt405]

Do you think he was trying to say that insurace wouldn't let him because it was basically unattended? Possibly on the weight bench, but the shower??? Well, maybe someone thought a customer would slip, knock himself out, drown in the water, then get flood damage to the place...

Basically that is the reason he gave me. The liability for someone getting stuck under the bench or slipping in the shower with no one else there was more than he could afford.

[Shannon Dey]

Hey! My husband and I have owned health clubs for 10 years....

The chains you are talking about like Anytime Fitness, etc. can make you a living if you are able to open multiple locations and are committed to doing the work yourself.

The health club/gym business is tough...I know several people who are EXTREMELY successful in other indiustries that don't make it in the gym business. The number one thing to remember is "If you build it....they WON'T come unless you market!!"

I absolutely love the industry and wouldn't want to do anything else, I am a true workaholic and love the excitement of it all...follow your dreams, but you have to know what you are getting into!! It's not all about working out...in fact if you like to work out, forget about it for at least the first year!!! Feel free to shoot me a message with any questions and good luck!!

-Shannon Dey

[kodlawnman]

Dont Buy A Franchise, They Charge Too Much Royalties Etc,overcharge For Everything,even If You Think The Name Will Sell For You,its Not Worth It

It Will Take Some Work But You Can Set Up Your Own Vendors And Yes Marketing Is Numero Uno!

I Would Talk To These Other Folks That Have Gyms

[ShanesGain]

I see that this is a old post, very old, but I'd like to shine some light on it. Snap Fitness facilities cannot have lockers rooms, rooms in which people undress with other people in it. They can have locker in the open facility, individual changing rooms, and individual showers. Depending on the Snap they will or will not have these. I've been to a few that have 6 individual showers. Also, a Snap Fitness can have tanning. The current Snap that I run has 1 shower/bathroom, 3 bathrooms, 4 tanners, power racks, free weights and all. We cannot have a normal free weight bench though. We can have a bench with a sort of safety bars, like a half rack will usually have. If a Snap Fitness says they cannot have these, then they are just lying. A Snap Fitness tend to have bad reviews because of rude staff. Many owners seem to think they should just allow their employees to run the whole business with no insight from Managers and or owners. That would be a big mistake. Employees tend to feel too comfortable at their position and start abusing it. Anytime is much iike Snap Fitness, however it is more know on the west side of United States rather than the East side like Snap is.

[egoatdoor]

I checked out a Snap fitness that just opened up the other day. It had plenty of cardio equipment, dumbells up to 100s, mostly machines, and no free weight bench.It also had no showers. The owner told me that because it was a 24 hour key entry gym that the insurance made it impossible to have a shower and free weight bench or squat racks.The dues are 35 a month with no contract.

Its seven years later and maybe the insurance situation has changed, but if not, this is a bunch of schlock. From 2012 to a couple of months ago, I belonged to a key entry 365/24/7 Golds that had a full set of equipment including bench presses, inclines and a power rack. It also had a shower in each bathroom ( mens and women's). I visited but decided not to join an Anytime Fitness that was also fully equipped and showered. I just moved to another city and I belong now to a Workout Anytime that has everything too. It sounds to me that the gym owners were just being cheap and used the insurance as an excuse.

[61customrebuild]

I was looking at possible small-scale gym franchises and came across Anytime Fitness and Snap Fitness. I also ask this question in here because I value the Over 35 opinion.

I've been to the snapfitness.com website but there are no pics of their facilities or the equipment they use. Appararently there are no contracts required either.

The Anytime Fitness website doesn't show showers, and I'm guessing that Snap also offers no wet areas in their generally under-4000' franchises.

A Louisiana chain has also just opened an express-type operation (also no wet areas/showers) about 10 miles away but it really isn't convenient for folks in my rural area who workout before work and need to shower before going to work in town. It also has a 1-year agreement.

Has anyone here ever been to a Snap Fitness facility and can answer about what equipment they have, whether they have wet areas/showers, and a general opinion about Snap Fitness?

Just my opinion, but all things the same, I would always favor the larger square foot facility. People need space.

[crupiea]

Just do an image search on google. Tons of images of the inside of the places, some with floor plans and everything.