Schachter said the 104-club ECP-PF Holdings has yet to see significant changes in prices or supply for materials , but the organization anticipates that will occur as projects are sent out to bid . The CDO added that the company will identify new contractors going forward . “ While many contractors have continued to be busy despite the pandemic , others are less so ; therefore , we expect some will be more aggressive in their bidding than normal given the overall slowdown in the economy .”
PFGP ’ s Beyer recommends franchisees also check local and state restrictions on out-of-state workers , which may hinder progress . “ In Washington , for example , out-of-state workers must quarantine for two weeks before they can start working . We had to ensure our vendors all have local subs who can do the work for them ,” he said .
Although it may be too early to fully realize COVID-19 ’ s effects on each market , Leon expects the impacts will be lasting . “ I believe the pandemic will have a long-term effect on our supply chain . While contractors will be easier to find , material costs will increase ,” he said . “ My job is to try to balance that by bidding out the jobs more diligently .”
Relief efforts from PFHQ on the development front have been crucial as organizations reopen clubs and rethink timelines . The flexibility afforded on development , reequips and remodels allows franchisees to analyze financials going forward .
“ PFHQ ’ s willingness to defer our 2020 reequip and remodel requirements allowed us to evaluate the overall economic impact of the pandemic on our business ,” said PF Michigan Group owner Bryan Rief . “ The extension of dates related to ADA requirements , although not applicable to our franchise group , will certainly help as well .”
ECP-PF Holdings was one of the groups that benefited from the ADA relief . “ Deferral of our ADA opening deadlines has given us the breathing room to manage through some challenging situations with many landlords who are also dealing with unprecedented issues ,” Schachter said .
The assistance has also allowed groups such as PFGP to continue to keep an eye on the development ball . “ Without the PFHQ assistance , development would have been shut down , and we would be six to 12 months behind on all development-related tasks . We now have the time and financing to keep development rolling ,” Beyer said .
What development looks like going forward remains to be seen , but Planet Fitness is still one of the brands best equipped to capitalize on the opportunities stemming from COVID-19 . “ Companies , like Planet Fitness , that were well positioned before the pandemic should be able to take advantage of opportunities created in the fitness and real estate sectors alike ,” said Rief .
Regardless of how long the storm lasts , franchisees take comfort in the PF community . “ I am grateful to be part of a dedicated , experienced team – internally for our franchisee group and externally with our franchisor partners . We are all in this together ,” said Dodd .
Leon agreed . “ We are all in this together ; we must remain strong and work as a family to defeat this situation . I believe that if we take the blows with grace and dignity and all parties commit to our great brand , we will come out the other side stronger .” G
Jessica Loeding is the Elevanta AVP of communications .
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GearedUp | 2020 Issue 3
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