Episode
Wealthy Gym Owners - 67 - Know These 3 Numbers Before Scaling Your Gym
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- Mar 4, 2026
- Duration seconds
- 639
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Summary
Get more at www.WealthyGymOwners.com 3 Numbers That Decide If Your Gym Can Scale Doug and Pat discuss the three key numbers that determine whether a gym can scale: profitability using the 40/30/30 framework, retention, and average revenue per client (ARPC). Doug explains 40/30/30 as allocating 40% of gross revenue to payroll (including the owner's replacement-value pay), 30% to base operating expenses, and aiming for 30% profit before expanding to multiple locations. They emphasize that retention, typically around 4–6% monthly attrition in competitive markets, is a critical indicator of client experience and avoiding a "leaky bucket." Finally, they highlight pricing and ARPC, noting many gyms start underpriced and end up with wide pricing gaps among members, lowering the average. They recommend tracking all three numbers and focusing on improving the one most off track. 00:00 Intro Three Scaling Numbers 00:28 Profit Framework 40 30 30 01:51 Owner Pay Replacement Value 04:47 Retention The Leaky Bucket 06:41 Pricing Average Revenue Per Client 08:16 Track Focus One Metric 09:36 Wrap Up Key Takeaways