Free calculator for gym owners
How many members does a gym need to break even?
A gym has high fixed costs and a low cost per member. That makes break-even a members number. Below it you lose money fast. Above it, most of each new membership is profit.
Break-even point
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members a month to cover every cost
Profit at today's level
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per month, before owner pay
Cushion above break-even
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how many you could lose and still cover costs
The starting numbers are an example for a gym. Replace them with yours.
The worked example
Each member brings in $60 a month and costs $4 to serve. That leaves $56 toward fixed costs of $48,000 a month. Divide one by the other and you need 858 members to break even. Every member past that adds $56 to profit.
Ways to lower break-even in a gym
- Cut failed payments. Chase declined cards within a few days.
- Add revenue per member through personal training or classes before adding square footage.
- Renegotiate equipment leases at renewal instead of letting them roll over.
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