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Hard Work and “Just 10 More Members” Won’t Save Your Gym

By October 21, 2020Blog, Crossfit

So if hard work and “just 10 more members” won’t save your gym, what will?


Hard work has always been the answer to increased profits, right? Let’s look into that.


What is profit? Profit is what is left over after you receive cash for the services you offer and then send out cash for your expenses. Without cash left over, without profit, you are going to work hard. Really hard.


That happens to be the easiest and most common way for someone to cover up the fact their business is unhealthy.


Take our client Kat, for instance. For years she told herself, “Just 10 more members.” She told herself that at 50 members. Then at 80 members. Even at 100 members. Each time, she said, “Just 10 more members.”


Her microgym was no more profitable at 100 members than it was at 50 members.


Her workload certainly increased!


Fifty more members meant more classes that needed to be coached. Because she didn’t have the cash flow to hire any new coaches, she took on those classes herself.


Twice as many members meant double the customer service time commitment as well.


While it didn’t show up immediately, she accelerated the wear and tear on her equipment. She now has to replace it, but even with twice as many members, there isn’t any more cash available to do that.


But darn it if she didn’t work her tail off the best way she knew how!


And she was able to keep her gym open for years before finding Profit First.


If the momentum of an unhealthy business doesn’t change, eventually bills will come due and quality of life becomes survival mode.


Hard work can only slow down this reality but never prevent it or magically make it disappear.


Combine hard work and profit—now we are getting somewhere.


Without profit, our hard work blends our days together into a jumbled memory where we are only capable of focusing on survival. If we just hold on a little longer, if we work a little harder, if we just stay up a little later something great is going to happen to us.


We have to rewrite that story!


I’m not going to be cliché and say, “Work smarter, not harder.” You are working really hard, and you are going to need to continue to work hard to turn the ship around. And—not but—you can take action.


The story should be “work hard and work smart with a proven cash-flow system.”


With everything taught in “Profit First for Microgyms,” you will find profitability.


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