If you are interested in selling your gym, leisure centre, or sports business, we can help prepare your company for the sale process and source a buyer through our network of over 10,000 actively searching buyers. Founded over 60 years ago, the Selling My Business team are industry veterans with specialisms across a range of industries, from hospitality, retail and food, to entertainment, technology and media. We have first-hand experience in the sale of gymnasiums, from highly profitable and commercial concerns to expertly fitted leisure centres in ideal trading positions.
There are an estimated 6.7 thousand health and fitness clubs across the country and approximately 9.7 million members. Overall, fitness clubs contribute nearly £2 billion to the UK economy and employ nearly 190,000 individuals. Gym and leisure centres are community cornerstones that are instrumental in maintaining the health of community members. By providing easy access to fitness facilities, a variety of sports and indoor and outdoor venues, gym and leisure centres are essential businesses that contribute to improving mental health and physical wellbeing.
You may consider selling your fitness centre for several reasons, from owner retirement, health concerns, to focus on other business interests or to generate a financial return from your investment. Selling your gym or leisure centre can enable a smooth transition for your business as ownership is transferred to a new owner.
At selling my business, we can also help facilitate the sale of existing gyms and leisure businesses by providing access to seller financing options. By selling your business, you can support the cycle of reusing companies and minimising disruption to the health and leisure business and service users. As a buyer, acquiring an existing gym or leisure centre can offer a low-cost solution to fulfilling a lifelong desire of owning a fitness facility. To kickstart the sale process, you should consider appointing a business transfer agent to formally prepare your business to enter the open market.
When preparing your gym or leisure centre for the sale process, you will need to compile key company information summarising the business sale opportunity. An information memorandum functions as a sales pitch that is distributed to a pool of prospective buyers. The information memorandum or sales memorandum will contain the following information:
This information will invite prospective buyers to submit further enquiries or request a comprehensive information pack, detailing company expenditure, turnover and net profit, if the prospective buyer is considering submitting an offer. When divulging such information, you may look to carry out due diligence checks to erase any uncertainty and verify the prospective buyer. This consists of assessing the financial history of the individual and their commercial position.
The Selling My Business team will help reach buyers and promote your business in the best light to achieve market value. We will help you interact with prospective buyers and negotiate a competitive sale price for your gym or leisure centre.
"As a boxing gym that attracts semi-professionals across the region, it was vital to sell my business to a reputable and experienced party in the professional boxing arena. Selling My Business connected me with a renowned business buyer, securing the sale in record time. "
Carl – Boxing Club and Gym, Bangor
At Selling My Business, we have a team of in-house business valuers that provide tailored support to business buyers, recommending ways to maximise business value and streamline business operations. Valuing a gym or leisure centre consists of taking into consideration more than just company financials. The reputation of your fitness centre or gym will influence how much a buyer will be willing to pay, in addition to the worth of your brand, client base and growth potential.
When calculating how much your gym or leisure centre is worth, the following areas will influence the value of your business.
Does the gym or leisure centre generate reliable income? Company turnover, annual net profit and loss will reflect on the financial health of the business and provide a snapshot of projected turnover. If your business has any outstanding liabilities, such as a loan or asset finance agreement, this will contribute towards company overheads
The location of your gym or leisure club will influence buyers, including whether the property is leasehold or freehold. Property features, such as the size, number of floors and EPC rating will influence the worth of your gym as this will directly impact capacity. Additional areas such as a car park, yoga studios, changing rooms, courts for hire, outdoor training grounds and kitchens will impact revenue potential
Fixtures and fixtures
The value of your business will be influenced by company assets if this is included in the sale, such as gym equipment, cleaning machines and online fitness platform licenses. The quality of gym equipment and machinery, whether this is average or state-of-the-art will contribute towards the market value of your business
If your business has the potential for further growth, such as incorporating a personal trainer offering, virtual sessions, female-only area and additional indoor and outdoor areas, this can increase the appeal of your business. If there is a demand to extend trading hours, this can reflect on the popularity of the business and pave the way for future growth
Franchise – If your gym, sports club or leisure centre is a franchise opportunity, this may attract a class of buyers skilled in operating a franchise model. Is your gym franchise low cost? Due to the strict rules prescribed for a franchise business, you may need to offer business development, training and recruitment guidance
Common questions from prospective buyers may include, is income reliable? How many gym/fitness contracts or subscriptions are currently active? The volume of long-term and new clients will also indicate the recurring income and consumer appeal. The Selling My Business team will require three years’ worth of recent/historic company accounts to begin the valuation of your gym or leisure centre.
We offer a gym and leisure centre business valuation and as part of our service, the Selling My Business team will guide you throughout the process and explain how to value a gym or leisure centre business. Founded in 1956, we have over 60 years of experience in selling sports businesses and have a proven record that demonstrates that we are industry leaders with a vast database of connections, valuable to the sale process.
Enlisting a business transfer agent to sell your business can forge a connection between parties you would otherwise be unable to reach, increasing exposure to your business. As part of our extensive marketing strategy, your gym or leisure centre will be advertised confidentially to prospective buyers across the country. We understand the importance of protecting company information and financial knowledge, which is why we are well versed in the application of Non-Disclosure Agreements (NDA) during the business sale process.
For more information on how to sell your gym or leisure facility, contact the Selling My Business team to arrange a valuation of your business.
As the coronavirus pandemic led to the mass closure of gyms and leisure centres across the country, sports businesses adapted their services by offering virtual classes and home workout training sessions. The government announced a series of grants to support leisure and fitness businesses throughout the series of Covid-19 lockdowns. As this created a gap in the market for virtual gyms, a new breed of sport and fitness businesses were birthed during Covid-19. The coronavirus pandemic encouraged sector growth and contributed to the creation of jobs during a period of economic uncertainty.
For more information on selling your gym or leisure centre or for a business valuation, contact a member of the Selling My Business team. We have over 60 years of experience in the trade of selling businesses and we have a demonstrable track record of successful sales.
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