Does having a franchise gym insurance Australia all you need to start rolling a new fitness venture? Of course, it is a wise decision to have an insurance handy knowing the risks and hazards involved in running a gym. However, opening a franchise gym may not be as simple as that. There are so many important aspects in running a franchise business that some fitness enthusiasts turn entrepreneurs often neglect. Here, let’s dissect one by one the common pitfalls in starting a franchise gym:
- Believing that a franchise gym will work on its own. It’s proven to work in different cities, so why shouldn’t it work in yours? Wrong. Don’t feel successful in managing a new gym just because others have proven to be effective. Like other businesses, franchise gyms require marketing and relationship-building strategies to grow.
- A franchise can be patterned to suit their interest. It’s a franchise and, if you’re familiar with the word, it means conformity and uniformity. You may be the owner and technically, the boss, orders, policies, and guidelines as well as training program within must get the signal from the main franchiser. Do not expect to be “your own boss.”
- Relying too much on press clippings and online reviews. Franchise businesses thrive on powerful marketing tactics. Do not be fooled by mere press clippings or online reviews. Some fitness industry awards or even rankings are made up. Learn to observe actual franchise gyms and see what made them different from the rest. Then, pick out the best one.
- Not reading the fine print on a franchise agreement. Being too trusting can have its implications. Ignorance, particularly when done wilfully, is a magnet for disaster. Be reminded that some of you will be committing hundreds of thousands of hard-earnt moneys. Some may even be putting their homes as collateral. Only to find themselves duped in the end. If you must, hire a lawyer or a financial adviser to explain legal nonsenses before signing those voluminous franchise agreement.
- Blanket insurance coverage. Some franchisees believe that they are also covered by the main franchisor’s insurance. Not happening. When it comes to franchise gym insurance Australia franchisees must have its own physical and liability coverage to ensure protection.
- Deciding right there and then, without due observation period. Some fitness enthusiasts who want to shift to being entrepreneurs are often driven by the so-called adrenaline rush. Excitement is revved up by emotions. Your feelings will be immaterial in a gym’s failure or success. Be wise and take time to weigh the pros and cons in opening a franchise or opening your own brand of gym business.
- Too much optimism. Driving one’s desire to own a gym can sometimes twerk the mind’s objectivity. It is commendable to always look at the positive side of things but to totally ignore signs of failure is also a bad thing. Always keep your views balanced. You’ll be investing hundreds of thousands and unless you have unlimited financial backing, taking failure into consideration will allow you to craft mitigating actions in preparation for the unthinkable.