I’ve explained to many of our association members that being in the fitness business is like playing hardball, not city league softball, where everything you do counts towards your success.
In this issue we’ll be discussing the foundation of your business, your lease.
Each year across the country, over ten thousand fitness centers make an attempt to negotiate a new lease or exercise a renewal option – with several thousand club owners negotiating a commercial lease for the first time. Think about it. . . you wouldn't golf for money against the clubhouse pro, so why would you negotiate your own lease against a seasoned landlord who negotiates leases every day for a living?
Fact: Our industry experienced over six hundred (600) closures last year. That’s over fifty fitness facilities closing per month! We need to ask ourselves why? What are we as an industry doing wrong?
Every business needs to be built on a solid foundation. When you hear the word "foundation," you probably think of the bottom layer of a building or structure. But a foundation is more than that. It's the layer from which any structure grows upward. Not laying the foundation correctly in the beginning will surely cause you problems down the road.
We know, everyone gets excited in the beginning, wanting to get things started, ready to start making money, serving your clients, and living the dream. But renting space for your business and navigating a commercial lease is serious business.
It has always been my opinion, club owners don’t get what they deserve; they get what they negotiate! Think about that for a minute.
One of the most frequently recurring problems encountered by the Global Fitness Association Team is when a client calls with problems that have arisen from their lease.
1. Signing a lease for the first time. Leases favor the landlord, and your lawyer will check only the legality of the lease, making sure that the legal terms are correct, etc. And that’s what they are supposed to do. But you can do better, a lot better. We will show you how to negotiate the best lease terms. We have been providing this service to club owners for over 35 years. If we don’t save you money and reduce your risk, then you don’t pay us. We have a 100% money-back guarantee! In most cases, we have been able to save our clients thousands of dollars.
2. Lease is up for renewal. Instead of just signing and agreeing 100% to the landlord's terms as written in the original lease, why not try to save money? Once again, we will show you how to negotiate the best lease terms. Don’t forget, times have changed. Let us show you how to capitalize on the changing times. None of us could have even imagined 10 to 20 years ago that rents would be where they are today.
3. Landlord is not performing. Has your landlord or property manager let you down? Have repairs and maintenance been neglected around the building or shopping center? Once again, we’re here to help. While showing you how to successfully negotiate with your landlord to fix roof leaks, parking lights, pot holes, and other items the landlord is most likely responsible for, we’ll put your mind at ease with our proven strategies and techniques that will save you money.
4. Challenging business climate? Has the economy forced you to be late on your payments? Is your landlord growing impatient and preparing to evict you? Once again, we’re here to help. While showing you how to successfully negotiate with your landlord, we’ll put your mind at ease with our proven strategies and techniques.
5. Contemplating closing your business and throwing in the towel! You have a huge liability and exposure on the remaining term of your lease. We’ll show you how to negotiate full closure of your business and limit your risk and exposure. We know of many creative ways to help you come out a winner and, yes, you’ll be left standing on your own two feet. You’ve heard of the nightmare stories, well, don’t be fooled by your landlord; let us put our 35 years of experience to work for you.