Like I discussed in my last post, moving forward and constantly improving the gym is not only any necessity for any business but is a passion of mine that I constantly strive for but seldom have the money to accomplish. But let's face it, what gym rate doesn't like to see new equipment rolling through the door, especially when its cool shit like new bars, power racks and strongman implements. But sometimes the new improvements means overhead such as three new toilets (which I had to buy and have installed recently), a new front door (which I personally broke bringing in our new power rack last week), hiring painters to paint the outside of the building, hiring new part time help Etc.
The biggest problems I always have with all financial matters is like any business has and that is budgeting the money that we don't have to pay for all these things. After twenty years of working 60 hours a week or more here and still only drawing a salary of a couple hundred bucks a week and I still fall short of paying our bills here most months. That's why this month I'm taking a huge leap of faith and raising my rates across the board. Some of you will see these increases and say "He should have been charging that all along" and I agree. But since I haven't been these increases will come as sticker shock to some members and they will quit and I'm fully prepared for that. Our regular membership is going from $45 a month to $65. This all goes in effect on March 1st but I will be making the formal announcement to everyone tomorrow via this letter:
If I were to start this gym all over again today I would probably charge $75 a month right off the bat and nobody would blink an eye. Shit, crossfit gyms around us charge three times that amount and those places lack one major component that Iron Sport Gym has . . . an unhealthy dose of STEVEY P! I'm not looking forward to this week at all, I know I'm going to hear a ton of negative feedback via my employees because most people won't tell me things to my face. But I also have a lot of members that love the gym, help me out a lot at the gym, call the gym home, would be willing to pay anything to see the gym thrive and grow.
In posting these changes I'm fully expecting some fall out. There are still a portion of my everyday members that can just as easily train at any of our local chain gyms that will more than likely quit for cheaper pastures. I'm totally prepared for that and bid them no ill will in doing so. But still, this whole thing has me a bit on the anxious side, I've always tried to make everyone happy and be all things to all people. I guess that comes with the territory of owning a business.
So stay tuned in the next coming weeks and I'll let you in on all the positive and negative feedback I receive.
At 65/mo, you can't even get a decent bar and 1000lbs of plates. Much less atlas stones, platforms, specialty bars, racks, etc. Not to mention training with your old pal, Stevey P!
Maybe that's just my opinion, but anyone who thinks your price change is asking too much has been spoiled by your gym at this point. And hey, who could blame them? It's Iron Sport, not LA Fitness.