Costs and profits
Setting up a boxing club will require significant costs at the start, but as the client base grows, they will quickly pay off. Investments in the project - from 841,000 rubles. With a monthly profit of 60,000 rubles, the project will achieve payback in a year and two months.
Start-up costs: approximate calculation for Samara
Expense item | Amount, ₽ |
Business registration | 1’000 |
Repair and equipment | 780’000 |
Advertising expenses | 50’000 |
Unexpected expenses | 10’000 |
Total | 841’000 |
Monthly costs
Renting premises | 50’000 |
Public utilities | 5’000 |
Staff salaries | 55’000 |
Unexpected expenses | 10’000 |
Total | 120’000 |
Efficiency assessment and payback period
The average cost of a monthly subscription to a martial arts gym is 3,000 rubles. The hall is visited by 100 people every month. The number of visitors grows as the business develops.
Additional income - preparing an athlete’s diet and individual training.
Expected monthly earnings – 400,000 rubles. Expenses for rent, utilities, employee salaries and taxes are deducted from this amount.
Net monthly income – 180,000 rubles.
If the hall is visited by 100 people per month, the business will pay for itself in six months.
A martial arts club is a business with high profitability and unlimited expansion possibilities - not only within one city. Demand for the service is increasing, but the market has not been fully developed. These are the main reasons why you should pay attention to this type of business activity. To minimize risks and avoid organizational mistakes, it is recommended to order a business plan from professionals.
Selecting a room
An excellent solution would be to locate a boxing club in the city center or an area with a large number of office and shopping centers. You can also bet on partners in the sports field and agree on cooperation with a gym: your audiences have similar characteristics, but do not overlap in terms of request.
A room of about 200 square meters will suit you, where you can comfortably place a couple of halls for training and master classes, a boxing ring for demonstrations, a wardrobe, a locker room, a bathroom with a shower and a small office for the club administration.
Rental conditions depend on the owner. In any case, budget at least 50,000 rubles monthly for this expense line.
Income business organization
There is an opinion that if a future entrepreneur knows any martial arts, then he should open a club or section specifically for this particular martial arts. In practice, it may turn out that this niche is either occupied, or this martial art is not known to the general public.
For example, you are a master of Slavic-Goritsky wrestling. You invested 300,000 rubles in opening a section or about 1,000,000 rubles in opening a club. For renting premises and paying for energy, you need to spend about 100,000 rubles a month, and there are no people who would like to engage in this struggle! You have 2 ways out of this unpleasant situation - before it’s too late, sell the business in order to return at least 75% of the investment; spend 200,000 rubles a month or more on advertising with an unknown result, because any self-respecting guy or girl goes to karate, kung fu, or, in extreme cases, sambo or judo. It may take more than one month to break the stereotype, but you need to at least pay for the hall!
Therefore, it is better to start organizing this business not by opening a club or section of the desired type of martial arts, but by recruiting a group, especially since in any city there are many halls equipped for most types of martial arts, which are rented at an hourly rate. 1 hour, on average costs 800-1000 rubles. A group of 10 people can receive 1,500 rubles for an hour-long lesson.
If, on average, you study 4 hours a day, then the average monthly net profit will be 60,000-84,000 rubles. In 3-4 months, you can think about opening your own martial arts section. Already having your own client base, which will be replenished day by day, because the young people studying with you will tell all their friends how wonderful you are and how you helped...
This type of starting a business is suitable not only for entrepreneurs who are adepts of exotic martial arts, but also for traditional ones - karate, aikido, etc.
The second stage is the martial arts section. When you have saved up 200,000 rubles, you can rent a room of 80 m2. in a residential area of a large city or in a small town with a population of no more than 250,000 people, you will pay about 60,000 rubles for rent. Then you can equip the premises at your own expense, or you can train the children of construction company owners or those who have the authority to make decisions for free and save 50% or more on repairs and equipment purchases. A few weeks before the move, start informing your pupil about the future move. If the new premises are located no more than 10 minutes’ walk from the old one, you will not lose a single student.
Equipment
The costs of equipping your future club entirely depend on the initial condition of the premises. At best, you will get away with cosmetic repairs, at worst, you will have to equip the club completely from the ventilation system to the plumbing. And this does not include the costs directly for sports equipment.
Here are the estimated costs:
- Boxing ring - 200,000 rubles
- Equipment for training - 80,000 rubles
- Exercise equipment - 100,000 rubles
- Office equipment, laptop - 60,000 rubles
- Furniture for administration - 40,000 rubles
- Plumbing — 50,000 rubles
- Locker room equipment - 25,000 rubles
- Ventilation system - 225'000 rubles
- Total - 780'000 rubles
Registration
A novice entrepreneur has 2 ways to start this business: as part of a federation of any martial arts - registration takes place in accordance with the standard agreements of this federation; running your own business.
Each of the above methods has its pros and cons. As part of the federation, you need to pay monthly fees and prepare a number of athletes for competitions absolutely free of charge. But the federation is responsible for registration, advertising, searching for sponsors for repairs and purchasing equipment in the new premises. If you open it yourself, you don’t owe anyone anything, but you also solve all the problems that inevitably arise when opening a section or martial arts club on your own.
In case of opening on your own, it is better to register as an individual entrepreneur if you are the only owner; “LLC” if there are several owners or you plan to join the federation. The taxation scheme is the simplified tax system until the total profit reaches 1,000,000-1,500,000 rubles per month, depending on the region. Next, you will have to switch to a general tax of about 21% of total profit.
How to choose a supplier
To purchase equipment, contact sports stores. You can save by purchasing used exercise equipment, punching bags and bags. The boxing ring can be ordered directly from the manufacturer or in professional online stores SPARTA, SportSila, Sportstyle.
The cost of a boxing ring depends on its equipment: platform, railings, stairs, steel cables, foam flooring, non-slip coating and others. We recommend purchasing the ring immediately in a complete set from one manufacturer. This way you will reduce the risks when installing it in the hall.
Step-by-step launch instructions
- At the very first stage, you need to obtain LLC registration , because the club’s activities are commercial. If your institution will perform the function of education for children (teaching activities), a license may be required.
- Room. Very often boxing clubs are non-profit; this is done by public health organizations. We are not considering building an entire complex. You need to look for gyms that are for sale. They must have several zones described above. Boxing clubs are based on personal premises, not rented ones, since this business is planned for a long time. After acquiring the hall, it is necessary to do repairs and appearance.
- Purchase of equipment. All equipment can be divided into 3 groups:
- specialized equipment for boxing: ring, punching bags, protection, gloves, etc. In this case, it is recommended to purchase new things in bulk. You can try to get a discount on a large order from sports networks;
- application equipment. This includes exercise equipment, barbells, and weights. Boxing has a direct connection with strength training, this requires exercise equipment. New ones will be quite expensive, so it makes sense to look for used ones; many gyms sell their equipment before closing. Here you should bargain;
- household equipment. Chairs, tables, computers, benches in the hall, medicines in case of first aid, etc. Everything on this list is purchased individually, at retail price.
- Personnel search. As we have already said, we need coaches with skills and their own training system. You can find them quickly by posting an ad on the Internet. But besides them, you should find a doctor who will monitor the safety of athletes. You will also need to hire an administrator who will keep records of subscriptions, training payments, etc. This stage should not take much time.
- Pricing and marketing. The price of services depends on the average salary of citizens of your city. It is worth providing clients with the opportunity to purchase both one-time training sessions and subscriptions for a month, 3 months, six months, a year. Each of them must bring benefits to the client. You can resort to a bonus system for long-term cooperation. Think through your marketing down to the smallest detail, consider different ways to attract customers. There must be a website and groups on social networks. Advertising can be placed on the Internet, look for targeted traffic (boys, men from 18 to 45 years old only in your city). Posters, signs around the city, flyers are all great ways to advertise.
Staff
To start a project, it is enough to hire a trainer, an administrator and a cleaner. But this takes into account that the owner will take on the responsibilities of the club’s manager, will manage paperwork and handle advertising.
There is no separate vacancy for a boxing trainer on the hh.ru website, but in general, sports instructors earn from 30,000 rubles. Despite the fact that your club is not aimed at professionals, you should look for a coach among masters of sports or candidates.
The minimum salary level for other employees according to the website hh.ru:
- Reception administrator - from 18,000 rubles
- Cleaning lady - from 7,000 rubles
In total, put at least 55,000 rubles into the salary fund.
Competition
On average, for one class of 25 people, 5 people are engaged in one or another martial arts. If we take into account that they are taught martial arts from the fourth grade, and in the average school from 4 to 11, in some 12, including “A”, “B” and so on, there are 25 such classes, then from one school alone there will be 125 people, and this is 12.5 groups. Now go check out the local clubs! As a rule, there are not enough trainers. In a group, there are not 8-10, but 15-20 people or more. As a result, the level of general training is quite low.
The fact that a champion of the region or country is training in your microdistrict does not mean anything. Mostly, masters choose a few of the best and provide them with a high level of training, while the rest have to be content with the little attention that everyone in a large group gets. So it turns out that demand significantly exceeds supply.
How to advertise a business
The first rule of a boxing club is tell everyone about the boxing club. During the opening stage, do not miss the opportunity to advertise in local media. Then attract clients via the Internet, create a club website and social media accounts, and set up a target.
Offer discounts to students, arrange preferential promotions and create a subscription system. Look for the club’s corporate partners among large companies and firms in your region. Conduct special seminars, master classes and demonstrations.
Development
As the owner of a martial arts section, you do not need to pay for each hour of rent, and no one else claims your gym. You can increase the number of hours to 6 - no longer recommended, as the effectiveness of the classes decreases. You will have 270,000 rubles in total profit. Taking into account taxes, rent and energy payments, about 150,000 rubles per month. If you want to additionally advertise your martial arts section, then add about 100,000 rubles to your expenses. Or you don’t have to spend money on advertising and don’t create your own website. Create subgroups in several social networks in groups in your region, and if possible, in the neighborhood.
You can stop there, or you can rent a room with an area of 200 m2 or more, make expensive repairs, purchase expensive equipment, find 5 or more assistants from outside or among your students, raise the lesson fee by one and a half times, install an administrator so that the assistants do not pocket revenue and be called a martial arts club.
The advantages are obvious, the main one being the ability to conduct classes in parallel and, accordingly, receive income from a larger number of man-hours.
The salary for trainers is at least 20,000 rubles per month, the salary for the administrator is at least 35,000 rubles per month. What. A lot of? But no one will be tempted to pocket the contributions, because everyone will value such a well-paid job!
A martial arts club with 5 coaches with an average workload of 6 hours a day will bring its owner about 600,000 rubles a month.
Pros and cons of a business idea
✅ The advantages of the project include:
- Novelty of the idea
- Opportunities for growth
- Development of related projects
❌ The disadvantages of the project include:
- Difficulties with personnel selection
- The risk of not reaching your audience
- Seasonal drop in demand