A Bookkeeper Can Strengthen the Bottom Line for Your Gym or Fitness Center


Gym and fitness club owners may discover that rarely is there an ‘’active recovery day” or a “rest day” when running a small business.


You have a lot to manage on any given day: Membership growth, staffing and scheduling, equipment maintenance and acquisition, marketing and business development. These are just a few of the many ‘hats’ you may need to wear.


Every day is a very busy day, and more stressful if the financial side of the business is complex or nuanced. Hiring a bookkeeper for your gym is the common sense approach to relieve the weight and pressure of sorting through financial concerns. Many business owners attempt to tackle accounting issues themselves, which can blur the priority focus and take time out from other important business concerns.


Along with other types of small business owners, our focus at ANR Bookkeeping is aimed at gym and fitness clubs as well.


We’ll take care of the accounts, reports and budgets. You take care of membership, marketing and staffing.


Some Examples of Why Bookkeeping Can Make a Difference for Your Gym or Fitness Club


Taxes

Hiring ANR Bookkeeping for your fitness business will not only help you regain some of your valuable time, but will also provide the expertise of a professional who can give you a better understanding of your company’s finances.


For instance, we can provide clarity for understanding the flow and ebb of business expenses and incomes by preparing financial reports. These reports help you know how your business is doing throughout the year. Growing revenue is great, but understanding your revenue as a percentage of your cost is vital to a successful club or gym.


As your bookkeeper, we can give timely access to your financial data and reports, thereby ensuring all of your invoices are paid on time, and will make tax-time less stressful each year.

When small businesses file taxes, there is more to worry about than simply documenting income and expenses. Having accurate and up-to-date books all year means you won’t be scrambling at tax time, and we can keep a sharp eye out for qualifying deductions and help manage quarterly payments.


This protects you from costly errors and added stress. More energy can be focused on customer service and client retention, two factors that bring us to the next example of why bookkeepers make a difference:


Equipment and Maintenance

Fitness business finances can often feel like a roller coaster ride. Monthly updates on your balance sheet, income statement, and statement of cash flow can provide you visibility into your business performance. These updates can influence marketing strategies and expansion schemes, and also asset management, such as equipment decisions; should you rent new or buy used?


According to The IHRSA Health Club Business Handbook, a distinction should be made between “repairs and maintenance,” which is an ongoing, month-in, month- out, operating expense at every facility, and “maintenance cap-ex,” (capital expenditure) which involves essential replacements of physical assets. The former appears on the income statement; the latter appears on the balance sheet. These are nuances we at ANR can clarify for the gym owner.


As a side note: Some fitness club owners adopt a strategy of replacing a few pieces of exercise equipment at a time. This is important to ongoing customer satisfaction and member retention. This approach demonstrates an attitude of goodwill within the members of your gym and sends a consistent message to your clients that “their club” is pro-active regarding reinvesting and truly values their members.


The Bottom Line

Accounting is a very important part of keeping your fitness club business finances in top shape. Trying to sort through detailed accounting principles and its many financial forms while navigating through daily operation obstacles can frustrate and obscure the aim of your business goals. ANR knows your industry and can provide the professional support needed so you can focus on getting your clients in shape.

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