Codie Sanchez walks through how her friend Zach bought a bankrupt Anytime Fitness in a town of 14,000 for cheap, invested $50k in renovations, raised membership from $27.50 to $56 a month, and hit six figures in recurring revenue within months by adding training and nutrition services.
2020
14,000 people
600 members
$27.50 per month
$50,000
Friend Zach bought an Anytime Fitness at bankruptcy for pennies on the dollar. He turned it into six figures and reoccurring revenue in less than 18 months. On 2020, he bought this fitness club in a rural town of 14,000 people. They had 600 members. Those members had to pay $27.50 a month and they had no add on services like training or nutrition. The club was basically a meathead gym and the owner was really never on. No attention, shitty equipment, no guidance. Most people left. But the interesting part was since he was able to buy it for pennies on the dollar, he got a loan, did a 50k renovation and then added on things like training and nutrition. They 50 to like $56 monthly. They also added some new equipment, hired on site management and then added on things that led to their business after setup fees and after all the rest being profitable inside of this month. This is just his first gym. He's doing five more deals like this and thinks that he can start turning around gyms and just as little as 10 months. Tough to get infinite returns like this in public market. Tough to beat the impact of health and wellness in somebody's life. So if you're into gyms, you might want to think about the shitty ones and turning them into the shiny ones.
