Even though finding more info here will help you in your quest for a good boxing bag, would-be boxing gym owners need to do so much more than that. Other than boxing experience, good knowledge in management, good social skills as well as a pretty deep pocket are all requirements to start out in this business.
Boxing as a passion
Boxing is one of those activities that require the individual to be completely and 100% involved in it. This is true regardless if we’re talking about being a boxer or managing a boxing club. Usually, former boxers who have done nothing else their entire lives will look for a way to remain in the business and that is how a number of clubs and gyms have sprung up.
However, while being a fighter is very hard and requires constant preparation, managing a club is another thing entirely and a successful fighting career does not mean, by any means, that one will be great as a boss or manager.
Therefore, we thought we’d give you a guide that covers all the essential information you will require to help you decide if boxing is a good match for you business-wise and if it’s worth investing in. We’ll tell you about the day-to-day activities of a boxing club owner, what your target market is, how much you can grow, costs, legal consideration, and many more things!
If you think about people who should be coming to your gym, remember that boxing is great for those who are looking for a way to work out their aggression and blow off some steam while still increasing their personal strength. You can even offer workshops for people of all skill levels to inspire the birth of a natural love for the sport, even if they’re not natural fighters.
What you should know
As we said, this business is mainly for those who eat, sleep and breathe boxing all day, every day. However, any potential manager with an inkling about how to organize classes, teach them and enforce some basic safety standards in their boxing club has the potential to do a good job.
In any typical day, boxing gym owners will face regular challenges like teaching classes, creating schedules for those classes, inspecting the equipment to make sure everything is in good form, and other administrative duties as well as actively advertising the business to make sure it draws more people to it.
When it comes to your target market, you’ve got to be smart with your choices. Remember, boxing is a noble sport with set rules and regulations so you’re not necessarily looking for people who want to brutally hurt their opponents. Instead, you should aim for that segment of people who want to be stronger, healthier, and leaner by practicing a sport.
Money and potential
When it comes to making money, boxing clubs are pretty straightforward. You will be able to make money by charging the customers for your classes or for a general membership which allows them to freely use the facilities and equipment.
It’s pretty obvious that the prices you set have to be proportional not just with the skill level of your trainer but also with the price of the equipment that is being used and the rental costs of the gym so you’re not burning a hole in your pocket and the end of the month. At the same time, too large a fee will likely scare away potential customers who are not yet into boxing.
The growth potential for a boxing gym will pretty much always be there because no matter how low the economy dips, people will always want to escape their daily frustrations by hitting something and will be looking for a place where they can do this in an organized fashion. Not only is this an outlet for their stress but participants also feel empowered and safer after training.
If you’re planning on being both owner and trainer, it’s kinda natural that you will have to possess some boxing talent and prior experience. Business-wise, an owner who is able to connect with customers will have an easier time drawing more and more people to his gym, which is important considering most clients come by themselves.
Since many adults today want their child to get into a sport at an early age, designing classes for both kids and adults and at varying skill levels can be a great way to get even more people to come through your door. You’ll need a fun and professional trainer though because taking the basic boxing moves and turning them into a fun class is an art form in itself.
If you’re thinking money, the costs to open a boxing club will be highly dependent on the area you choose to start it in. The minimum amount of things required will be gym space, gloves, and at least two boxing rings so your customers do not have to stand in line constantly waiting for their sparring turn.
Depending on how much money you’re willing to spend on your equipment and how good you want it to be, a ring can run you up to $5,000 or more while a single pair of gloves, of which you’ll need at least twenty to be professional, will cost about $100.
A variety of workout gear such as weights, punching bags, headgear, and jump ropes will also be required to provide a complete and satisfying training environment and avoid your customers leaving the gym after the first session.
Furthermore, keep in mind that you might end up having to allocate much of your planned budget to get that much-needed insurance for both customers and employees. While difficult to do, this might save you a ton of problems down the road as lawsuits with gyms due to injuries suffered in training are some of the most common things in the amateur part of the industry.
Steps to success
Once you’ve thought about all this and you’re ready to get the ball rolling, let’s take a look at the steps you need to take to ensure your venture does not end up fruitless.
Plan your business
Any entrepreneur will tell you that having a clear plan laid out before starting anything is crucial for success. A few important topics to consider here are the initial costs, target market, the approximate required time to break even, as well as the name of the business. Don’t laugh at the last one as it can be very important for drawing new clientele to your door.
Since we live in the Internet era, we recommend checking if the business name you want is taken as a web domain and, if not, go ahead and buy it so you can protect it against anyone who might take it from you. Setting up a professional e-mail will also show that you’re set on doing good and lasting things.
Form a legal entity
Alas, not even boxing aficionados can escape the rigors of the law because these are the ways of the democratic world we live in. Therefore, as passionate as you may be, you’ll still have to establish a legal business entity such as a Limited Liability Company (LLC) which will prevent you as an owner from being personally liable if your boxing gym is sued for damages.
Using a registered agent to do this will not only help you stay compliant but will also protect your privacy against anybody who might wish to do you harm.
Register for taxes
It is said that there are only two certain things in this world and, unfortunately, taxes are one of them. Before you can open your business and start teaching, you’ll need to register for a wide variety of state and federal taxes because the authorities always have to take their cut.
A business bank account
Recording your expenses and your sources of income in a clear and methodical way is not only crucial to understand the financial aspect and performance of your business but it will also be a lifesaver come tax time. Trust us, you want that annual tax filing to be as simple as it can get in order to get it over with as fast as possible.
It’s also much more professional to offer a business account where people can pay your fee rather than your personal PayPal.
Having a dedicated professional available to help you understand your strengths and your money-hemorrhaging weaknesses at practically any given time is invaluable to a business, especially one which is just starting out.
Necessary permits and licenses
This is quite an important step and you would be well advised to not skip it since failure to acquire the paper you need can result in significant fines or even the complete shut down of your business.
Get business insurance
Remember when we talked about customer and employee insurance? Getting one for your business is not only highly recommended but, depending on the state you live in, it may also be a legal requirement.