Merchant Cash Advances » Gym Business Advance

Gym Business Funding

Fitness center showcasing tread machines and various equipment located within gym premises.

By Richard Wilson

Last Updated on

Estimated read time: 7 minutes

If you operate a gym business and need funding to upgrade fitness equipment, enhance health club amenities, or expand specialized workout studios, MCashAdvance gym business advances are the swift solution you’ve been searching for.

We offer gym business advances ranging from $5,000 to $900,000 to help grow your fitness enterprise. We fund all types of gym businesses, including fitness centers, health clubs, and specialized workout studios.

Securing financing from banks for gym businesses can be a lengthy and challenging process, often taking weeks or even months to obtain, with strict approval requirements, extensive paperwork, and a preference for businesses with perfect credit.

An advance from MCashAdvance for gym businesses offers simpler approval, no paperwork or collateral, the possibility of receiving funds within 24 hours or up to 3 days, and accepts poor credit scores with no hard credit check that won’t impact your credit score upon application.

Get a Gym Loan Alternative Now

Advance Amounts:

$5,000 – $900,000

Factor Rate:

1.1– 1.5

Repayment Terms:

3 – 36 months

Funding Time:

1-3 days

Applying is easy, free, and won’t impact your credit score.

Get the gym financing you need today.

What is a Gym Business Advance?

A gym business advance is a type of merchant cash advance (MCA) created for gym businesses, including fitness centers, health clubs, and specialized workout studios.

Your gym business sells a portion of its revenue to MCashAdvance in exchange for an upfront lump sum of funds called a cash advance.

In exchange, we will deduct a small percentage of your daily sales revenue until the advance is fully repaid.

Emergency Funding for Gym Businesses

In the fitness industry, gym owners often face unique financial challenges, ranging from equipment upgrades to program expansions. A cash advance for gym businesses provides quick, adaptable financial support, typically available swiftly, tailored for gym-specific requirements.

Gym Financing for Any Purpose

Here are 17 common ways a cash advance can be utilized in your Gym:

  1. High-End Fitness Equipment: Direct the funds to upgrade with the latest cardio machines and strength training apparatus.
  2. Wearable Fitness Technology: Use the funds to stock wearable fitness gadgets like heart rate monitors for your members.
  3. Gym Space Expansion or Refurbishment: Invest in expanding your gym’s footprint or revamping existing areas for a fresh, modern look.
  4. New Fitness Programs Development: Use the capital to create innovative classes like boot camps or yoga sessions to attract a wider clientele.
  5. Training Staff Certification: Use the advance to get your trainers certified in new fitness disciplines, adding value to your gym’s offerings.
  6. Fitness Challenges and Events: Finance engaging fitness challenges or wellness events to keep your gym community active and involved.
  7. Health and Nutrition Store Setup: Fund the start of a section in your gym for health supplements and fitness gear sales.
  8. Gym Management Software Upgrade: Use the funds to implement advanced software solutions for efficient member and schedule management.
  9. Wellness and Recovery Areas: Invest in adding amenities like saunas or massage rooms for post-workout recovery.
  10. Childcare Facilities: Direct the funds to provide on-site childcare services, making your gym more accessible to parents.
  11. Specialized Workout Flooring: Use the capital for installing high-quality flooring suitable for a variety of workout activities.
  12. Eco-Friendly Upgrades: Finance the transition to green solutions in lighting and HVAC systems to reduce your carbon footprint.
  13. Outdoor Workout Areas Creation: Use the funds to develop outdoor fitness spaces for classes and individual workouts.
  14. Virtual Training Infrastructure Setup: Invest in setting up the necessary technology for online classes and remote personal training services.
  15. Physical Therapy Services Addition: Fund the expansion of your gym’s offerings to include physical therapy and rehabilitation services.
  16. Enhanced Cleaning Protocols: Direct the funds to upgrade your cleaning and sanitation processes for a safer workout environment.
  17. Member Rewards Program Implementation: Use the advance to start a loyalty program to encourage regular gym attendance and long-term memberships.

Fitness Studio Advance Example

Let’s say you need $8,500 of merchant financing to purchase a multi-functional CrossFit training rack for your fitness studio. If you are approved for $8,500 and receive a funding offer with a factor rate of 1.3 and a daily credit card holdback percentage of 10%, your total repayment amount will be $11,050, which means you’ll be paying $2,550 in fees.

DetailsExample
Advance Amount$8,500
Factor Rate1.3
Avg Monthly Credit Card Sales$12,000
Holdback Percentage10% of Daily Credit Card Sales
Daily Credit Card Sales$400 per day (approx.)
Daily Payment Amount$40 per day (approx.)
Repayment Term (in days)Approximately 212.5 days
Repayment Term (in months)Approximately 7.08 months
Total Repaid$8,500 (Advance Amount) + $2,550 (Fees) = $11,050

Workout Facility Funding Eligibility

To be eligible for funding from MCashAdvance you must meet these 5 criteria:

  1. Your workout facility must have been operational for at least 6 months
  2. Your gym or fitness center should be generating a minimum of $100,000 per year in revenue
  3. As the workout facility owner, your personal FICO score needs to be 550 or higher
  4. Your fitness business must utilize a business checking account
  5. You, as the workout facility proprietor, must be over 18 years of age and a U.S. citizen

How to Get a Gym Advance from MCashAdvance

To get an advance for your gym business from MCashAdvance, follow these 5 steps:

Step 1: Begin Online Application: Click Apply for an MCA to begin.

Step 2: Fill in Your Details: Provide information about your gym and some personal details as the owner of the gym.

Step 3: Submit Bank Statements: Upload the last three months’ bank statements of your gym.

Step 4: Await Review Process: Our underwriters will review your cash advance application to determine funding eligibility.

Step 5: Receive Offer and Funding: Once you get a funding offer, review it. If it suits your business needs, accept it, sign the MCA agreement and the funds will be deposited into your business account.

Get a Gym Business Advance Now

or learn more about merchant cash advances

Gym Funding FAQs

Can gyms get an SBA loan?

Gyms can potentially qualify for SBA loans, with options such as the SBA 7(a) Loan and SBA Express Loan available to provide financial assistance tailored to their industry.

Can gyms get invoice financing loans?

Gyms typically don’t issue invoices to their members, as memberships are usually paid upfront or on a subscription basis. Invoice financing is more common in B2B industries.

Do banks lend to gyms?

Banks typically demand that gyms have at least two years in operation, a FICO credit score of 680 or higher, three years of cash flow records, and a well-structured business plan outlining fund usage. Meeting these criteria increases the likelihood of banks approving a loan for your gym. If you can’t meet these standards, alternative lenders like MCashAdvance may offer more accessible eligibility criteria for obtaining financial support for your fitness center.

How does gym equipment financing work?

Gyms can invest in equipment like treadmills and use the treadmills as collateral to secure financing. At MCashAdvance, you can obtain treadmills using our advances without having to use the equipment as collateral.

Can gyms get business lines of credit?

Yes, gyms can obtain a business line of credit from most lenders if they meet specific criteria specific to the gym industry. These typically include maintaining a FICO credit score of 660 or higher, having at least one year of experience as a gym, and consistently generating monthly revenue exceeding $5,000.

How can a fitness center benefit from an MCA?

A fitness center can benefit from an MCA because it provides fast access to funds for covering operational expenses, without the need for a traditional loan application, which often involves stringent requirements and can take weeks or even months for approval.

Is the process of applying for a gym advance easier than a loan?

Yes. MCAs have a simpler application process with fewer stringent requirements, making it easier to apply for than a traditional loan. Additionally, the approval and funding process is faster, providing quick access to funds.

What types of loans are available to fitness centers?

Fitness centers can explore various types of loan options, including traditional bank gym loans, SBA fitness center loans, alternative gym loans, asset-based fitness center financing, gym equipment leasing, and fitness center cash advances.

What is asset-based fitness center financing, and what is used as collateral?

Asset-based fitness center financing allows gym owners to use their commercial real estate or personal real estate with equity as collateral for business financing. This option is suitable if the fitness center has valuable property assets to offer as collateral.

How can gym equipment leasing help fitness centers acquire up-to-date equipment?

Gym equipment leasing offers fitness centers a cost-effective way to acquire up-to-date equipment without the need for a significant upfront investment. Leasing allows fitness centers to access the latest machines and technology while spreading the cost over time. It also provides flexibility to upgrade equipment as needed, keeping the gym competitive and appealing to members.

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