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Running a CrossFit Facility Tips and guidance on how to open and operate a CrossFit gym.

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Old 02-16-2014, 09:46 AM   #1
Chad Hancock
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Closing my affiliate. Like-new equipment for sale

I opened a box in Alabama 6 months ago and have not had success growing my membership. I am looking at shutting down and selling my equipment. It has not been heavily used and is in great shape. I would like to sell everything together. If you are interested and would like a list of things I am selling send me an email to CrossFitScottsboro@gmail.com
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Old 02-16-2014, 05:41 PM   #2
Daniel O'Brien
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Re: Closing my affiliate. Like-new equipment for sale

Im sorry to hear of this Chad. Any desire to push on and build it or are you over the thought of owning a facility? Best of luck in the future.
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Old 02-16-2014, 08:42 PM   #3
Mike Doehla
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Re: Closing my affiliate. Like-new equipment for sale

Care to share any info about what you went through during that time? Why you didn't grow? Mistakes made etc. It may help others.
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Old 02-17-2014, 12:03 AM   #4
Steven Thunander
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Re: Closing my affiliate. Like-new equipment for sale

For the equipment sale part, I would suggest posting this over in the equipment thread. You would get more hits that way.

Anyway, we would like to know what happened. Was the area too small for a CF box to thrive? Demographics? Business decisions?


Anyway, best of luck to you.
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Old 02-17-2014, 09:49 AM   #5
Brian Strump
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Re: Closing my affiliate. Like-new equipment for sale

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Originally Posted by Steven Thunander View Post
For the equipment sale part, I would suggest posting this over in the equipment thread. You would get more hits that way.

Anyway, we would like to know what happened. Was the area too small for a CF box to thrive? Demographics? Business decisions?


Anyway, best of luck to you.
No area is too small to survive. Business fail because they either are poorly operated.

If you're in a city with 25,000ppl, and you open too big, with too much expenses, those fail because it's a poor business decision. Not the demographic.

Too many poor decisions, that cost you time and/or money will cause any business to fail.
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Old 02-18-2014, 08:23 AM   #6
Chad Hancock
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Re: Closing my affiliate. Like-new equipment for sale

I'm not sure I have the answer as to why we struggled so much. A large part of it falls on me obviously. I work at my "day job" approximately 45 miles away so I wasn't at the box enough. I hired two trainers and I ran a few classes each week myself. I tore my ACL and had surgery right before Christmas so that made it even harder for me to get down there and see how things were going.

I spent money advertising on the local radio for the first 6 weeks I was open but didn't see much return on investment. I regularly used Facebook and spent money to promote the posts to reach more people with somewhat better results. I passed out fliers and wore my t-shirts regularly as well. I went to the local fire station and talked to some of the guys there in an attempt to reach out to the police/fire/rescue community.

CrossFit is new to this area so I spent much more time explaining what CF is than I expected. I did pretty well when I met with people for a free 1-on-1 session. It was getting people in the doors that I didn't do a good enough job on. Too many people thought it was ridiculous to pay $75-$90 per month when they could go to the 24/7 fitness center for $25. I explained what they were getting with CrossFit but at the end of the day there were too many people who said money was simply too tight for them to do that.

I expected to have more word of mouth advertising than I had. The few people who did join didn't get excited and talk about it on social media like many other places that I've seen. I encouraged it, offered incentives for getting a friend to join, had bring a buddy week, etc. but didn't have good results there either. Maybe I should have spent more money on advertising or sponsoring an event but I reached a point where I didn't feel I had the money to do more. There were better locations but the leases were way out of my price range, and one guy even told me they didn't want people running in the parking lot with other businesses around. I was in the same shopping center as the only movie theater in town so I wasn't in the middle of nowhere. I'm sure I made many more mistakes without even realizing it. I've lurked on threads here looking for ideas and advice. I really want to stay open but I can't afford to do so.

Last edited by Chad Hancock : 02-18-2014 at 08:25 AM.
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Old 02-19-2014, 08:17 AM   #7
Gary Ostroski
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Re: Closing my affiliate. Like-new equipment for sale

I know you are looking to sell off equipment - not advice. But maybe my two cents can help you. I am about 6 months in to operation. We have been in the black from day one (no paycheck for me). My expenses - credit card payment for equipment, lease, utilities, insurance, affiliate fee, $50 per month on facebook/google. That is it. I work 15 hour days with my "bill paying" job and running classes. I run all classes on my own. I have been documenting and recording my days. When I have time I hope to edit everything together and post a video for aspiring box owners. (the ones without trust funds)

If you want to make this your career you have to sacrifice a lot until you get enough members. That means you coaching all classes until you can afford help. You cleaning the bathroom. Having patience until word of mouth starts to work (not pouring money in advertising). I would say, cut your costs to the bare bone and put in the work.
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Old 02-19-2014, 09:27 AM   #8
Brian Strump
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Re: Closing my affiliate. Like-new equipment for sale

Good advice Gary. Some people, not saying that was the OP; but see this as a "get rich quick plan".

I heard Mark Cuban on the radio discussing start ups; "everyone has ideas. It's the hard work, and execution that separates them."

Quote:
Originally Posted by Gary Ostroski View Post
I know you are looking to sell off equipment - not advice. But maybe my two cents can help you. I am about 6 months in to operation. We have been in the black from day one (no paycheck for me). My expenses - credit card payment for equipment, lease, utilities, insurance, affiliate fee, $50 per month on facebook/google. That is it. I work 15 hour days with my "bill paying" job and running classes. I run all classes on my own. I have been documenting and recording my days. When I have time I hope to edit everything together and post a video for aspiring box owners. (the ones without trust funds)

If you want to make this your career you have to sacrifice a lot until you get enough members. That means you coaching all classes until you can afford help. You cleaning the bathroom. Having patience until word of mouth starts to work (not pouring money in advertising). I would say, cut your costs to the bare bone and put in the work.
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Old 02-19-2014, 01:40 PM   #9
Mike Doehla
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Re: Closing my affiliate. Like-new equipment for sale

Quote:
Originally Posted by Gary Ostroski View Post
I know you are looking to sell off equipment - not advice. But maybe my two cents can help you. I am about 6 months in to operation. We have been in the black from day one (no paycheck for me). My expenses - credit card payment for equipment, lease, utilities, insurance, affiliate fee, $50 per month on facebook/google. That is it. I work 15 hour days with my "bill paying" job and running classes. I run all classes on my own. I have been documenting and recording my days. When I have time I hope to edit everything together and post a video for aspiring box owners. (the ones without trust funds)

If you want to make this your career you have to sacrifice a lot until you get enough members. That means you coaching all classes until you can afford help. You cleaning the bathroom. Having patience until word of mouth starts to work (not pouring money in advertising). I would say, cut your costs to the bare bone and put in the work.
So true.

I work a regular 9-5 and do the CF thing on my free time. This doesn't feel like work to me. I am getting money from people and just putting it away. If I ever want to make this my main gig I need to work longer days.
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Old 02-19-2014, 01:40 PM   #10
Mike Doehla
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Re: Closing my affiliate. Like-new equipment for sale

Quote:
Originally Posted by Brian Strump View Post
Good advice Gary. Some people, not saying that was the OP; but see this as a "get rich quick plan".

I heard Mark Cuban on the radio discussing start ups; "everyone has ideas. It's the hard work, and execution that separates them."
Do it because you love to train, not to get rich imo. Yea maybe you can do it but it's like anything, if you do it for the money it will not be enjoyable.
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