There are typically three options for fitness businesses looking for a cash injection:
1. Finance Companies Who Specialise In Servicing The Fitness Industry.
2. Fitness equipment suppliers.
3. Traditional Financial Institutions (e.g., banks).
Option 1.
Finance Companies Who Specialise In Servicing The Fitness Industry.
GoGetta Equipment Funding (www.gogetta.com.au) funds
commercial fitness equipment for both new and existing gyms,
as well as for personal training studios.
GoGetta has been helping businesses to fund their commercial
equipment needs for over two decades, through the Rent.Grow.
Own® rental solution model.
The GoGetta Rent.Grow.Own® Solution is unique to the
marketplace and is perfect for businesses who want to keep
their options open. With no long term liabilities and fixed regular
payments, they offer a 12-month rental agreement, so that your
business has the flexibility to:
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Purchase the commercial equipment at any time during
the first 12 months and receive a 75% net rental rebate.
Return the equipment at the end of the 12-month
agreement if it is no longer needed.
Continue to rent (and continue to reduce the final
purchase price).
The benefits of renting your equipment include:
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It frees up your working capital
Low, weekly and consistent payment amounts
You can try before you commit to buying
Minimal paperwork.
Rent is an ‘off-balance’ sheet item (like salaries or electricity),
which means that equipment rental contracts have no impact
on your equity, or on your ability to borrow.
Adam Westwick runs a private three-site studio chain in
WHAT’S NEW IN FITNESS - SPRING 2012
Queensland called Exclusively You (www.exclusivelyou.com.
au). He received funding through GoGetta to kit out his studio.
‘As a small business, finding funding can be quite hard but
GoGetta provided us with a flexible solution that allowed us to
keep hold of our capital. Opening a new business is a stressful
time and having this funding option to limit our risk meant we
could focus our money and efforts on growing our business.’
Visit the website www.gogetta.com.au for more information.
You can even try out the GoGetta rental calculator to see what
your payments might look like.
Commercial Finance (www.cfcorp.com.au) is another example
of an industry-specific finance company. The key benefit of
working with Commercial Finance is that it gives you the option
to choose from any equipment supplier that you prefer. This is
especially helpful if, for example, there is one brand of treadmill
you want, a different bike brand and a separate rower brand;
you might even use some of the borrowed funds to purchase a
bigger car to accommodate all the necessary equipment for
your outdoor sessions.
When you choose a finance company like Commercial Finance
you are gaining the benefits of years of industry knowledge and
financial relationships. In fact, Commercial Finance will even
help you collate your figures so they are ready to present to a
financial institution (on your behalf). They can even help select
which institution is most likely to approve your application. On
average, approval through Commercial Finance takes one to
five days, so you aren’t left waiting for too long to find out if you
have been successful.
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