Gym Licences and Permits Cost - A Comprehensive Guide
There are few things more satisfying than reaching a fitness goal. Whether it's beating your personal best time on a 5K treadmill run or picking up something you couldn't lift a month ago, exercise and fitness feeds the body as well as the soul.
With this in mind, it's easy to see how fulfilling it can be to be a gym owner. The fitness business is fertile ground for entrepreneurs looking to make a positive impact in their community while also running a successful gym.
Many of the same traits found in frequent gym-goers can be very advantageous to new gym owners. To start a gym, you need to be dedicated, methodical, and be able to push past difficulty. If you're interested in getting into the fitness industry, you can read our recent blog: "How to open a gym guide."
Unfortunately, as with any business, starting a gym or fitness studio isn't as simple as buying gym equipment. There are gym startup costs such as legal fees and maintenance costs to consider and various licenses and permits you'll need to obtain. Depending on what services you're planning to offer and where you start a gym, you'll need everything from a business license to a sales tax permit.
If you're planning to open your own gym but aren't sure what licences and permits you need or how to get them, this is the blog for you. We'll explain the topic in detail, set out exactly what your gym business needs, and how you can obtain relevant licences and permits.
What do we mean by business licences and permits?
In basic terms, when we refer to licences and permits in a business context, we are referring to various certificates, accreditations, and licences granted by the government or a professional body. The most common is the simple business licence, which says to the world: "This business owner is ready to trade!"
As we mentioned above, the specific licences and permits you will need for a gym business vary depending on your location and the services you'll be offering. Different countries have different requirements for example. In some cases staff members, like personal trainers and food workers, will also need relevant licences.
Opening a retail or hospitality business is an admirable but difficult process. Before the doors even open, there are a thousand and one aspects, big and small, that need to be considered and taken care of. Obtaining your licences and permits is one of your most important tasks as you will not be able to trade without them.
Why do I need licenses and permits for my own gym?
Setting up a business is an exciting process, so you may chafe at the idea of waiting around for your licences and permits. It can be understandably frustrating waiting while your lovely new gym equipment gets dusty! However, it's very important you have all the correct documentation.
Think of your licences and permits like a driving licence but for your entire business. A driving licence says that the holder has been properly accessed, has gone through the correct processes, and has the skills and know-how to operate a vehicle safely and responsibly. The proper accreditations will show your gym members and your local government that your fitness centre is operated correctly.
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What licences and permits do I need for my gym business?
Without knowing the specifics of your business, it's difficult to give a definitive answer as to what permits and licences you'll need. Different gyms offer different services, and official rules and laws change depending on location and size.
When you write your business plan, you should talk to your local government and get guidance on what you need to start a gym. Government websites, both local and national, should also have pages dedicated to various permits and licences.
As part of your business plan, ensure that you properly define your business. While "gym" and "fitness centre" are used interchangeably in most contexts, the official legal definition might be very different. Make sure you know exactly what your local government requires. In both the UK and the US, there is no specific license or permit required at the national level.
Below, we've compiled a list of general licences and permits that might apply for your gym. As we mentioned above, it's difficult to make a definite list, so make sure you check with your country's rules.
Building permits
The physical location your business sits in will most likely have to adhere to zoning laws and building regulations. Your local government will most likely set this and will dictate what kind of business can operate in the building, any signage you might have, and how you can alter the building.
If it's an older building that has been previously unoccupied, you may also need to have a surveyor come out and assess the building for any safety hazards or unforeseen damage. While hiring a surveyor adds to your initial costs, it's worth getting done as it concerns the safety of your members and your staff. If your building isn't up to regulation, prepare for some remodelling costs!
Childcare
You may wish to offer short-term childcare to your members so that parents can use your gym without worrying about their kids. Childcare is heavily regulated across the world so it's important that you cover all your bases.
At the most basic level, the staff you hire to watch the children will need to have extensive background checks and prior experience in childcare. Some places will require certificates, which candidates should bring along with them at the job interview.
The childcare facility will also have to be assessed by the government or a professional childcare association. You'll be able to find more information on this online. Be aware that you will most likely have to be assessed on a rolling basis every six months or yearly.
Food and drinks
It's not uncommon for a gym to operate a small cafe or shop. Here, members can pick up a protein bar, a coffee, and sometimes even some pre and post-workouts. If you plan to sell taxable items like food, drink, and supplements, you'll need a sales tax certificate and a food vendor's license.
In addition to these licences and permits, you'll also need to pass a health inspection. All of this can be arranged by contacting your government.
Spa and massage services
If you're opening a luxury gym, you may decide to offer massage, wellbeing or esthetician services. To do this, you and your team may need to obtain spa and massage permits. Masseuses and estheticians are often regulated by professional bodies. Your staff will need to be accredited by these organizations before they can start work.
Health, safety and first aid
Your personal trainers (as well as spa or massage professionals if you are including these services), may also need to take a health and safety course, and a first aid at work course. This is highly location dependent though, so do make sure to check with your local rules. They may also need accreditation from an international sports sciences association.
Music licencing
You may not have considered this, but if you play music in your gym, you will have to licence it. Practically every gym plays music so it's an easy thing to forget. If you are found to be playing music without a licence, you will most likely need to pay some hefty legal fees.
Luckily, this is one of the simplest licences to secure. All you need to do is to pay for a blanket performance licence from a performance rights organization (PRO). In the UK, there are many different PROs that can sell you a performance licence. It's worth doing your research on which one would be best for your business as there are some differences. For instance, some will charge monthly costs while others will charge annually.
Staying on top of your permits and licences with gym management software
It's very important to remember that some permits and licences do expire. It's important to keep track of what licences you have and when you'll need to renew them. With the Epos Now gym point of sale system (POS), you can do just that.
Our gym POS comes with gym management software that is designed with the fitness industry in mind. Our customers can access the Epos Now payment processing service, our award-winning AppStore, and our cutting-edge hardware.
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