Personal trainer builds 6-figure business with a full-time job, then buys 2nd business, and runs both remotely from interstate
Can you start, run, and grow a business in 6 hrs per week?
Starting and growing a business from scratch is not easy. Doing it alongside your full-time job is something else. Nick did a great job of getting his personal training business running, but after 6 months it became clear that the business was not producing any profit. This was Nick’s first business and he sought help to reach profitability and grow the business to the point where it would pay him an income and possibly allow him to run the business full-time.
Finding the gremlins
When a business appears to be going well but isn’t producing the income or life desired by the owner, it’s my job to help find the hidden gremlins in the business that, unless removed, simply WILL NOT allow the owner to achieve their goals.
Gremlin 1 – Margin. When this business transitioned from a single-trainer business to a team of trainers, pricing was not adjusted correctly. With the business now needing a healthy profit from each session, low pricing meant low margin, and therefore low (or non-existent) overall profits.
Gremlin 2 – Lead Generation. A simple test you can apply to any business is to place your sales forecast and your marketing plan side by side to see if they match. In this case, the planned marketing activity was not capable of delivering the results desired.
52 weeks of execution
1-1 Advisory provided the constant guidance Nick wanted for his first full year in business. To meet the new challenges and opportunities arising on a weekly and sometimes daily basis, he wanted the ability to pick up the phone and work through them as they arose.
- Stage 1 – Profitability. Pricing was adjusted immediately to achieve the correct margin on personal training sessions. As a result margin increased by 2-3x and quickly moved the business from a loss into a break-even position. This milestone ensured all future investments of cash would go towards growth and not just keeping afloat.
- Stage 2 – Lead Generation. A series of ads and direct outreach campaigns were deployed, resulting in an influx of new customers, including a new type of highly profitable group sessions, which further boosted the average margin of sessions.
- Stage 3 – Troubleshooting. Successful growth strategies ALWAYS create new problems. In Nick’s case these included: Need to hire more trainers, quality control of trainers, one trainer stealing clients, need for a way to track financials/profits/clients, and the need for operational and admin support for the growing business.
- Stage 4 – Purchase of Second Business. An unexpected opportunity to purchase a gym (with clients) to expand the business and immediately grow the client base. This was a big move and a first for Nick, who says “Without your support I never would have had the confidence to go ahead with the purchase.” As a bonus, via negotiations we also secured the business for 50% of the asking sale price (this saving alone paid for Nick’s entire year of 1-1 Advisory).
Results: ...
- Doubled revenue. Revenue grew from $48,000 p.a. to $120,000 p.a.
- Achieved profitability. A higher profit margin per session, combined with 2x growth, have made the business profitable for the first time.
- Diversified business model. The business now has a permanent gym location in addition to it’s regular personal training services.
- Remote operation. Nick is now operating the entire business from interstate, thanks to his transition from a trainer to operator to CEO, and hiring support staff to handle daily operations.
Navigation of expected and unexpected hurdles...
“Dave has been amazing! I’ve learned so much from business coaching on all aspects of running and growing my business, including branding, sales, product management, staffing and so much more.
He helped me navigate a huge new business venture for an amazing price which doubled my business size and revenue. Highly recommend Dave for any level of venture!”
NB, Personal Trainer
Want to have a year like Nick?
If you’re interested in going on a similar journey to Nick, he started with a short 5-week review, which led to a 12-month Advisory Partnership. See below for more details on each.
Monster Map
You are 5 weeks away from a dramatic shift in confidence
Nick started where all my clients start. A 5-week business review where you and I together identify the fastest surest path to your goal, and the gremlins and black swans we need to see to get you there.
Advisory
You are 12 months away from your goal if it's non-negotiable
1-1 Business Advisory is essentially the “all-in” version of business coaching, with access to your coach 365 days a year. It’s for when you decide to make your income or lifestyle goal a non-negotiable.