The Gym and Fitness Industry continues to see large growth over the years. Whether people are interested in improved health benefits, weight loss, or the social aspect, the number of gyms and fitness centers across the country has grown significantly over the last decade.

In addition to location and buying/renting equipment, gym and fitness center owners also need to have working capital for advertising, hiring and training staff, maintaining the equipment, and covering the insurance on the gym.

Of the niche small business industries, gym and fitness centers have proven themselves to be quite profitable, so lending institutions are comfortable with working with our PHD Financial clients that are fitness entrepreneurs in financing new fitness centers and franchises.

Some of the loan products available for Gyms and Fitness Centers are:

  • SBA loans
  • Bridge Loans
  • Conventional Bank Loan
  • Equipment Loans

Small Business Administration (SBA) Loans

SBA loans can be difficult to qualify for and require that the borrower submit a lot of extra paperwork. However, the SBA loan program may be an ideal option for financing your fitness center.

PHD Financial may likely look first to an SBA(7a) loan for your business.

This program has features that align well with the needs of the beauty industry professional, including its maximum loan amounts, repayment horizons, interest rates, and flexibility in the use of funds.

What to expect:

  • Loan Amounts: Up to $5 million
  • Repayment Term: 5 to 25 years
  • Interest Rates: Starting at 6.75%
  • Time for Approval: Approximately 6 weeks

Conventional Bank Loans for Gyms and Fitness Centers

Traditional banks are still the leading source of small business loans.

PHD Financial can generally secure favorable rates for financing a salon or spa. Bank terms are not generally as favorable as SBA-backed loans, but here is what you may expect from a bank loan:

  • Loan Amounts: $30,000 to $5 million
  • Repayment Term: Up to 10 years
  • Interest Rates: Starting at 7%
  • Time for Approval: average 4 weeks

Equipment Loans for Gyms and Fitness Centers

Financing your equipment can be one of the simplest elements of financing your overall facility. PHD Financial will find you a loan product with favorable terms. The financed equipment can be used as collateral and, often, you can deduct the entire cost from your taxes in the year you purchase the equipment.

  • Loan Amounts: Depends on the cost of equipment
  • Repayment Term: Six months to 5 years
  • Interest Rates: Starting at 6%
  • Time for Approval: As fast as a few business days