How To Buy A Gym Page
: The owner is the primary engine (coaching, sales). You are essentially "buying a job".
How Gym Valuation Works: SDE + Equipment * The most important number in any gym valuation is seller's discretionary earnings (SDE) Two-Brain Business how to buy a gym
: Combine the gym's net profit with the owner’s salary and "add-backs"—personal expenses the business covers, such as health insurance or cell phone plans. The Multiple Ladder : : The owner is the primary engine (coaching, sales)
: Review the last three to five years of federal tax returns and compare them directly against reported internal P&L statements. The Multiple Ladder : : Review the last
: Fully removed ownership with bulletproof systems and low churn (under 4% monthly).
: Include the liquidation value of equipment (roughly 30–50% of its original cost) in your final offer calculation. 2. Financial Due Diligence