Fitness finance
Absolutely! You can get a business loan to start a gym. Common options include secured and unsecured business finance, which are often paired with equipment loans to fund your full fitness lineup.
Lenders will want to see that you’ve done your homework, including a business plan, cash flow forecasts, and some evidence you can run the business. Remember, the stronger your plan is, the more likely you are to get approved, even as a first-time gym owner.
Leasing fitness equipment comes with lower upfront costs, included maintenance, and flexibility to upgrade to the latest models when your lease is up. However, you don't own the equipment, and it can be more expensive over time.
Financing gives you full ownership, more control, and the ability to sell the assets later, often lowering the total cost in the long run. The trade-off is it requires a higher initial investment, and you’re responsible for maintenance and repairs.
So, which option's best? It all comes down to your cash flow, business stage, and growth plans.
Yes, you can finance a fitness franchise, often with more favourable terms than a completely new gym since you have financial reports to show the lender.
As usual, having paperwork ready to go is key. Lenders usually ask for the franchise agreement, proof of income, a credit check, and recent financial statements.
Lenders look at things like:
- Business performance and financial situation
- Time in business
- Credit score
- Loan purpose
- Collateral and assets
- Business plan
- Franchise agreement, if applicable
Yes, but it can be trickier to get approval, especially from traditional banks. For gyms just starting out, options like low-doc loans, secured finance, or alternative lenders are often more accessible.
The key is showing how you’ll generate income with a clear business plan, cash flow projections, and startup cost estimates.
You may need collateral for a gym loan, depending on the type you go for. With equipment finance, the machines serve as security, and to access lower rates or bigger amounts, lenders may require extra collateral.
But don't worry, there are also unsecured options available, especially for quick, short-term, or smaller funding needs.
