IHRSA Releases Health Club Business Handbook
Posted: January 28, 2016 in IHRSA
2015 Health Club Business Handbook
BOSTON, MA – The International Health, Racquet & Sportsclub Association released the IHRSA Health Club Business Handbook: The Ultimate Investor and Operator Guide to Gyms, Studios and Fitness Centers. The primary goal of the Handbook is to help existing and potential club owners, managers and investors understand the key factors that affect the success of a health club company. Authored by John McCarthy, retired former executive director of IHRSA, The Handbook is the long-awaited update to The Guide to the Health Club Industry for Lenders and Investors, also by McCarthy.
“The IHRSA Health Club Business Handbook provides club owners with critical information needed to understand the operational considerations and market conditions that can make or break their businesses,” said Jay Ablondi, IHRSA’s executive vice president of global products. “It also provides lenders, investors, venture capitalists, and others with the financial performance indicators, consumer demographics data, and industry overview that will help them properly evaluate a club investment.”
Since publication of the second edition of The Lender’s Guide in 2004, the health club industry has grown considerably. In 2015, more than 63 million consumers utilized 34,000 health and fitness centers in the U.S. In the past decade, the industry has endured challenging economic times and has emerged stable and strong. The Handbook guides stakeholders in understanding how external forces, favorable demographics, and experienced club professionals all bode well for the future of the industry.
This publication is organized into 11 sections, each featuring charts and graphics from industry research or from the private collection that the author, a 44-year veteran of the industry, has gathered over the course of his career. Sections include:
- The Health Club Industry at a Glance – a summary of industry growth, consumer demographics, public companies, and the largest franchises in the U.S.;
- Facilitating Industry Growth – an exploration of demand and supply drivers, market readiness, and financing options;
- Evaluating a Loan or Investment Proposal – an examination of factors to consider when developing or investing in a health club, including start-up costs and operating capital, success factors, and return on invested capital;
- Formula and Measures – an analysis of key performance indicators and recommended guidelines;
- Industry Prognosis: The Next 10 Years – an in-depth overview of economic, legislative, consumer, and related factors that impact the future of the industry.
“This is the best updated guide the club industry has had since before the recession, and is a wonderful example of IHRSA making effective use of relevant industry research findings,” said Rick Caro, the president of Management Vision, Inc., a Manhattan-based consultancy. “It’s the ideal resource for a developer, someone who’s thinking about buying or investing in a club, or a current owner who may be considering selling. It can also serve as a tool to help owners evaluate future options, such as new clubs, refinancing, or introducing a minority investor into the business.”
The IHRSA Health Club Business Handbook is available in PDF format at ihrsa.org/health-club-business-handbook at a cost of $99.95 for association members, or $199.95 for non-members.
