Cost Of Starting A Gym Business In Kenya – (Full Guide & Plan)
The cost of starting a gym business in Kenya is SH.100,000-SH.1,000,000 on average. The cost of leasing a space for a gym business is Sh.10,000-Sh.100,000 on average.
The prices vary depending on a couple of factors as we will show you below. Starting a gym business in a small town costs Sh.10,000-Sh.50,000 on average due to the low cost of living in small towns. The cost of starting a gym business in a large town is Sh.75,000-Sh.250,000 on average.
The cost of starting a gym business on your own land is relatively cheaper compared to renting a space. The initial cost of constructing a gym business is high. When the gym business is established, the costs will go down due to the lack of rent charges. We will show you how this and more factors that affect the cost of starting a gym business in Kenya.
Below, is a detailed explanation of how you will make a budget plan for a gym business considering every possible factor.
Making A Budget Plan For Starting A Gym Business
When drawing a budget for starting a gym business, there are some necessary considerations. The gym location, gym equipment, and labor costs among others. Below is a detailed explanation of the costs you will incur when setting up a gym business.
Cost Of Setting Up A Gym Business In Kenya
1. Rent And Building Cost
The cost of buying land in Kenya is Sh.200,000-Sh.10,000,000 per plot on average. The cost of buying land to start a gym business in Kenya will depend on the location you wish to buy. The closer you are to an urban center, the more you will be charged. In addition to the costs of buying land, you will incur construction costs.
The cost of building a gym is Sh.40,000-Sh.80,000 per square meter on average. You need a large amount of capital to build a gym business. When your gym construction is done, it will be easier because of zero rent charges.
The cost of renting a space for starting a gym business in a small/rural area is Sh.10,000-Sh.50,000 on average. The cost of renting a space for your gym business in an urban center is Sh.75,000-Sh.200,000 on average. When making a budget, consider where you are most comfortable renting a space.
The cost of starting a gym business is highly affected by the location whether you plan to build or rent.
2. Gym Size
The larger your gym, the more it will cost you to set up your business. A small gym will need less equipment and a small labor force, and the rental costs will be low. The cost of maintaining a small gym is lower compared to a large gym. When starting a gym business in an urban center, you should opt for a small space due to the high costs of rent.
3. Gym Location
The cost of starting a gym business in urban centers is Sh.500,000-Sh.1,000,000 on average. The rent is higher in cities compared to small towns. Hiring gym instructors in urban centers costs more. Workers will ask for higher salaries, naturally, due to the high cost of living in cities. The cost of getting a license is much higher than in rural areas. The biggest advantage of starting a gym business in large towns is consistent traffic.
4. Gym Equipment
The cost of buying gym equipment will depend on the quality of equipment you want to purchase. The basic equipment you will need is a workout mirror, weights, workout mats, workout bench, and workout ropes. All of these will be of great use to you but at the moment, customers are looking for more. Treadmills, stationary bicycles, roller wheels, and heavy bags are some of the expensive gym equipment that will work well with your business. We have prepared a table of equipment and their prices.
Gym Equipment And Prices
|Workout Mirror||Sh.200-Sh.400 per square meter|
5. Gym Charges
The cost of getting a membership card in a gym business is Sh.1,000-Sh.10,000 per month on average. The pricing depends on which equipment you have in your gym, the location of your gym, and extra services like washrooms among others. An Sh.10,000 membership gym has a spacious workout space, spacious bathrooms and toilets, high-end equipment, and is located in a safe area. To charge your clients a higher price, ensure you have the following:
- Quality gym equipment.
- Consistent water supply for showering and drinking.
- Security for your client’s personal belongings.
- An ample space for working out.
- Clean equipment at all times.
- Professional gym instructors.
6. Gym Design
The cost of a high-end gym design will cost more than a simple design. A high-end gym design consists of:
- Specialized working out spaces. It has a separate space for heavy workouts and light workouts.
- A locker room. This is where the customers keep their personal belongings.
- Washrooms. Two washrooms, one for women and another one for men. This is where clients shower after breaking a sweat.
- A cafe. Clients will buy food here.
- Full wall workout mirror. A mirror serves as motivation for a client to know the progress they have made,
The capital cost of starting a gym business is Sh.500,000-Sh.5,000,000 on average. This will cover equipment, initial rent money, customization costs, and certification costs among others. The capital cost will be lower when you already own a building. When buying equipment, do it in bulk to get discounts.
Starting a gym business in a location with other gyms will affect your income greatly. If you are to do this, make sure your gym is of the best quality among all the gyms. This will mean spending a lot more in areas with high competition. When the demand is low, you can start a sub-standard gym business and improve as you grow. It is, therefore, more economical to start a gym business where there is a gap in the venture.
Starting a gym in towns is advisable. People in towns will be open to the idea. They also earn enough to set some money aside for fitness. How you charge your clients depends on the economical situation of your area. If people don’t earn much around your business area, you should charge them lower prices. You should also use a small budget when establishing to match your returns.
The single business permit license cost of starting a gym business is Sh.15,000 with an additional cost of Sh.200 application fees in urban centers. The cost of getting a single business permit in small towns is Sh.10,000 plus an Sh.200 application fee. A business permit should be renewed after every year. The construction cost is Sh.22,000 per square meter if you will construct your own building. When building, you should also add all construction costs which are:
- Transportation of building material.
- Cost of building material
- Cost of labor
10. Labor Cost
The cost of labor for a gym instructor is Sh.20,000-Sh.120,000 per month on average. This depends on the level of expertise. A big gym will need more labor force compared to a smaller one. You will need janitors to clean up your washrooms. Janitors charge Sh.7,000-Sh.15,000 on average.
11. Electricity And Water Bills
The cost of electricity in a gym business will be high due to electrical gym equipment. Treadmills use electricity and in a gym, they are always running. A gym is also well-lit at all times. The cost of lighting your business has to be included in your budget.
The cost of water bills is a really important consideration when making a budget for your gym business. The consumption of water is really high in a gym. Clients need water for cooling down their body system and also for freshening up after a workout. A consistent supply of water is mandatory in a small or large gym business.
FAQs About Starting A Gymn Business In Kenya
The gym business is profitable. Kenyans are looking for ways to live a healthy lifestyle. In urban centers, there is a high demand for gyms than ever.
Sh.20,000-Sh.120,000 per month. The more qualified a gym instructor is, the more they charge. There are independent gym instructors who are hired to help you through workouts at home. Most gym instructors are situated in gyms. High-end gym instructors charge more than gym instructors in small gyms.
– Assess the target market
– Research on gym equipment
– Look for a favorable location
– Asses rent/construction costs
– Be well-versed in business license acquisition
20-40 square meters per person and 40-70 square meters per equipment. The large spacing is to allow the free movement of clients when exercising. A large space also prevents accidents. A gym deals with heavy objects and this is a precautionary measure to safeguard clients.
Expensive equipment and expensive electricity and water bills. Gym equipment is very expensive. A treadmill costs up to Sh.200,000 on average. A treadmill also uses a lot of electricity to run. The consumption of water in a gym is extremely high. In most gyms, clients shower on the premises. Clients drink a lot of water too when training.
Clients pay a daily fee or get a monthly gym membership card. The cost of a gym membership card is Sh.1,000-Sh.10,000 per month. When the period expires, a client chooses to renew or not. Daily gym charges are Sh.100-Sh.2500 on average.
Yes. The number of people who are adopting healthy lifestyles is rising every day. Most gyms are packed. The demand is really high, especially among the youth in towns.
– Rent an affordable space
– Purchase basic gym equipment
– Hire one or two gym instructors
– Get a business permit
Sh.100,000-Sh.1,500,000. A home gym costs slightly lower. With a ready space, you only need to buy gym equipment. A workout mat is the only necessary equipment. Once you have a workout mat, you can buy other gym equipment which is to your preference. Private gym instructors can be hired for a stipulated time. A private gym instructor will cost Sh.20,000-Sh.100,000 per month on average.