Starting A Personal Training Business

1. Starting A Personal Training Business

2. Step 1: Interview Yourself For The Job • Answer the following questions: • Do I get along well with people? • Am I outgoing and willing to talk to people? • Am I flexible? • Am I patient? • Do I recognize that it takes time to get my business running? • Will my family/spouse/partner be behind me and my decision?

3. Step 1: Interview Yourself For the Job • Am I able and willing to run my business without any assistance in the beginning? • Am I willing to put in long hours? • 49% of business owners averaged more than 46 hours a week in their first year • 34% of owners average more than 56 hours a week • 1,500 hours (37.5 workweeks) is the average time it takes to plan a business

4. Step 1: Interview Yourself For The Job • Am I willing to be the person making all the decisions and shouldering all the responsibility? • Do I want to operate independently? • Can I handle setbacks? • Do I have self confidence and self discipline? • Do I understand the financial side of running a business? • Do I have expertise that would set my business apart?

5. Step 2: Have A Cushion • Do not leave your current job while you are researching your business idea • Continue to earn a paycheck • Buy yourself time to save money (the less you have to borrow to start up, the better) • You want to save a minimum of six months of living expenses and six months of operating expenses for when you are ready to quit (www.Smallbiztrends.com)

6. Step 3: Money • The right financing depends on your situation-and what you can get • These are the most common options, from cheapest to most expensive: • Cash/Savings • Friends and Family Loans • Home Equity Line of Credit: A FICO score above 700 and at least 20% equity is key to getting approved • Bank Loan: With a FICO score above 700, expect a fixed rate of 5% to 10% • Credit Card

7. Step 4: Write A Business Plan • In order to minimize risk and increase the chances of success, a business needs to start with a clear plan. • According to research conducted by AT&T, only 42 percent of all small business owners ever create a formal business plan. Of those who do, 69 percent credit the plan as being significantly related to their success

8. Step 4: Write A Business Plan • Absolutely necessary! • It forces you to research all the vital elements of a successful business • A document that summarizes the operational and financial objectives of a business and contains the detailed plans and budgets showing how the objectives are to be realized • It serves as your business resume

9. Writing The Business Plan 1. Business Description: • Give a detailed description of the personal training business and its goals • What is your business name? • What is your product or service? • What is your niche (e.g., older adults, athletes, adolescents, pregnancy, rehabilitation…)?

10. Writing The Business Plan 2. Market Analysis: • Who-and how big is your target audience? • Who are your competitors? • How will you differentiate yourself from your competitors? (extremely important!) (How is Lifestyle Family Fitness different from Lifetime Fitness?) • How will you get competitors client’s to switch to you?

11. Writing The Business Plan 3. Price Analysis: • What do your services and products cost? • What does your research show about what clients are willing to pay? • Can you sell enough at that price to give you a sufficient profit margin?

12. Writing the Business Plan 4. Marketing Plan • How will you reach potential clients? • How will your services and products be advertised? • How much will it cost? • Where will you be located?

13. Writing the Business Plan 5. Funding and Financials: • How much funding do you need to get started (use the business plan calculator at www.bplans.com to estimate this)? • How will you use it? • What are you projecting in terms of sales for the first year? • How much profit will that give you?

14. Step 5: Pick Your Advisers • Get these people onboard before you start your business • A C.P.A. • If you have a simple business with limited expenses you might be fine with small business software from Turbo Tax or TaxCut • If you have a payroll, hire a certified public accountant, who can help you time purchases, set up billing systems, and file taxes • Get references from other business owners or do a search at www.cpadirectory.com

15. Step 5: Pick Your Advisers • A Lawyer • Helps to structure your business • You will need one if there are licenses involved or if you will be signing or writing complicated contracts • Get references from other small business owners

16. Step 5: Pick Your Advisers • A Mentor • Someone to bounce ideas off of • Make contacts via your local Small Business Development Center (SBDC) • SBDC’s offer classes and counseling • Go to www.sba.gov and search “SBDC Locator” or try SCORE (www.score.org), a nonprofit staffed by small business owners

17. Step 6: Make It Official • In the eyes of the law and the IRS settle on a structure for your business: • Sole Proprietorship • Partnership • Corporation: • Limited Liability Corporation (LLC) • S Corporation • C Corporation

18. Sole Proprietor • Easiest and least expensive form of business to organize • Sole proprietors are in complete control, and within the parameters of the law, may make decisions as they see fit. • Sole proprietors receive all income generated by the business to keep or reinvest. • Profits from the business flow-through directly to the owner's personal tax return. • The business is easy to dissolve, if desired

19. Sole Proprietor • Sole proprietors have unlimited liability and are legally responsible for all debts against the business • Their business and personal assets are at risk • May be at a disadvantage in raising funds and are often limited to using funds from personal savings or consumer loans • Some employee benefits such as owner's medical insurance premiums are not directly deductible from business income (only partially deductible as an adjustment to income).

20. Partnership • Two or more people share ownership of a single business • Like sole proprietorships, the law does not distinguish between the business and its owners • Relatively easy to establish; however time should be invested in developing the partnership agreement • With more than one owner, the ability to raise funds may be increased • Partners are jointly and individually liable for the actions of the other partners. • Profits must be shared with others • Since decisions are shared, disagreements can occur

21. Partnership • A Partnership Agreement should include the following: • How decisions will be made • How profits will be shared • How disputes will be resolved • How future partners will be admitted to the partnership

22. Partnership • A Partnership Agreement should include the following: • How partners can be bought out • What steps will be taken to dissolve the partnership when needed • Settlement in case of death or incapacitation. 

23. Corporation • C-Corp and S-Corp designations are meant for companies that have multiple investors or that plan to go public • Talk to your lawyer on how to set up your business (Sole Proprietor, Partnership, LLC…)

24. Step 7: How to Get Clients 1. Start with people you know: • Word of mouth • Ask friends to spread news of your business • Use social networking sites like Facebook and sign up for Twitter, which lets you broadcast your doings; and remind people about your business

25. Step 7: How to Get Clients 2. Website: • Absolutely Necessary!!! • Look up your competitors online; if they have a website so should you! • You do not need a flashy site • State clearly and concisely on the home page the benefits of your services and products • Use testimonials and before and after pictures of your clients

26. Step 7: How to Get Clients • Website builders: • www.godaddy.com • http://www.intuit.com/ • http://www.homestead.com/ • Yahoo.com/buildwebsite

27. Step 7: How to Get Clients • Linkedin.com • Social networking for your business • You can establish a network in the online business community and create business relationships in the fitness field • Anytime you create a page in a social networking site such as this and include a link to your personal training business webpage, you increase your ranking in search engines

28. Step 7: How to Get Clients • fitfiend.com • An online health and fitness community • Fitfiend allows you to be a “Fitpro” or “Fitfiend” • It provides a venue for fitness professionals to connect with individuals who are specifically seeking out fitness advice • You can upload articles, videos or favorite links and attract a community of fans who follow and comment on your posts

29. Step 7: How to Get Clients • Groupon.com (group + coupon) • Local businesses offer a daily Groupon special • In order for the deal to become “active” a certain number of users must join and pledge to buy the special offered on Groupon • Once the deal reaches the tipping point, the deal is done and each consumer gets the special. If the tipping point is not reached, the company gets free advertising on www.GetYourGroupon.com for 24 hours.

30. Step 7: How to Get Clients • Groupon.com is completely risk free for businesses • They get exposure, potentially a number of new customers, and only owe Groupon a marketing fee if the deal tips and product is sold • Compared to traditional advertising that costs businesses regardless if the marketing campaign is successful or not, Groupon is a great alternative.

31. The Do’s of Starting A Business • Learn your business by working for someone else in the same business first • Talk to lots of people for advice • Live frugally and begin saving up money for operating your business • Do your research • Write a business plan

32. The Do’s of Starting A Business • Get professional help (C.P.A. and Attorney) • Consider the advantages of starting a business • Objectively measure your skills and training against potential competition • Test market your services and products before starting • Make a "for" and "against" list describing the business you are in or considering

33. The Do-Nots of Starting A Business • Don't think about leaving your job before you have completed your business plan • Don't consider operating a business in a field you do not enjoy • Don't risk all of your assets • Limit your liabilities to a predetermined amount

34. The Do-Nots of Starting A Business • Don't be in a hurry to start your business • Don't be afraid to seek out and learn the negative aspects of your intended business • Don't let entrepreneurial self-confidence outweigh careful diligence

35. Resources • All Business: www.allbusiness.com • A web site devoted to starting and expanding a small business • America’s Small Business Development Center Network: www.asbdc-us.org • Business.Gov: www.business.gov • Provides resources, forms, and contacts

36. Resources • Center for Creative Leadership: www.ccl.org • A nonprofit institution dedicated to leadership through training and coaching • The Fast Company: www.fastcompany.com • Management and leadership advice • United States Small Business Administration: www.sba.gov • Provides links and advice on many topics including starting, financing, and managing a business. Provides free online courses.