Starting a Gym Business, Permission, License, Loan

Introduction to steps involved in starting a Gym business, permission, license, and loan : The rising enthusiasm of fitness amongst millennial has encouraged many people to way-out their passion into business possession. Government surveys show that strong business growth openings for developing your own gym trade in India. A perfect list of steps should be made well before for planning and properly capitalising your venture in order to increase your probabilities of establishing your trade in this competitive market.

A guide to starting a Gym business, license and permission

Here is a list that must be followed if one is planning to foray into gym business.

  1. Selecting the strategic location for starting a Gym business

Success or disaster of a gym is very much depends on the area you select. In case it is located near a residential or commercial space which is having visibility rate of consumers, the business will be a hit in the duration of a month of its inception itself. However, if the place of your gym is not identical to client’s reach, this may turn into a big risk factor, and might lead to the disappointment of the project as well. Before searching for an apt location for your gym, you should consider essentials like street access, visibility and parking area.

  1. Get certified trainers ONLY

Ensure that the trainers you appoint for your gym possess proficient certification from a well-known institute like Gold’s Gym Fitness Institute (GFFI), Indian Academy of Fitness Training (IAFT) or Certified Bodybuilding & Gym/Personal Trainer (CBT). Currently, several top gym brands (national or international) are proposing high-intensity gym training courses with globally affiliated certifications. Though India is missing on the Gym’s Accreditation part in contrast with global nations, trainers’ certification is a mandatory check to ensure the success of your gym. Trainer’s certification is your business experience that reflects your competency in the fitness market.

  1. Consumer friendly services

Often gym proprietors offer huge number of services to their customers from rehabilitation to weight loss. It may end-up leaving the target clients in a fix about what to try or what not to. Thus, it is vital to determine your client base factors into the type of facilities and lessons your gym will offer. For example, a gym set up to older adults must provide rehabilitation services and milder disciplines of exercise like Pilates, Yoga and low-effect Aerobics while a women-only gym needs to offer intense cardiac workouts, weight loss services and body firming weight-training sessions together with fun exercises like Zumba and circuit training.

  1. Right fitness equipment

After choosing your gym’s services, it’s crucial to determine the protection of your consumers by installing correct fitness equipments in the gym. Certain vital factors like hi-tech innovation, cost and equipment maintenance, play a primary role in choosing the right kind of fitness devices. Weight machines, free weights, treadmills, mats and weight benches are some of the greatest essential possessions of a gym that should be of utmost high grade. You may consider hiring and purchasing options as per your budget constraints while estimating the price of fitness equipment.

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Fitness Equipement for GYM.
Fitness Equipement for GYM.
  1. Go for a franchise

In case, you are not in a position to take risk or want a hassle free gym centre, you can ignore the first four steps mentioned above, by taking a franchise of a famous brand which will perform the initials for you. Another option is that you can avail the franchise of an average gym chain and acquire the above four steps with reduced chances of let-down. Thus franchising will save you from experiencing unwanted losses and you could skip the sufferings.

  1. Right business plan

To ensure suitable backing of finance for your gym, it is very essential that you make a fool-proof business plan and start off with a loan (if you don’t have adequate funds in hand). The survey about the gym in market shows that an average price of opening a gym is Rs. 5,00,000 to Rs. 10,00,000 depending upon the size of the Gym. Financers will not think through your loan application in case you don’t have a sound business plan to satisfy them. Thus, a sound planning will aid the business and navigate you through unseen challenges smoothly.

  1. Registration of the Gym

It is mandatory to register your gym as a Private Limited Company or a Limited Liability Partnership. By selecting any of these options, you can handover all the shares or sell off the gym, if in case you are unable to operate it effortlessly. In the initial stages, a provisional registration certificate will be provided to you. It is valid for a small duration and after getting all clearances, one can apply for permanent registration.

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how to Register a Gym.
how to Register a Gym.
  • SSI registration

You must register your gym as a small-scale industry in your proximity Taluka level.

  • Shops and Establishment Registration

While developing a gym business in India, it is vital to obtain Shops and Establishment registration. This registration is intended to regulate the situations of work, rights of the employees and employers in an un-organized sector of employment.

  • Service Tax Registration

The Indian government has made it obligatory for gyms to pay a service tax if their yearly turnover is greater than 10 lakhs. In case gym charges periodic membership fee like monthly, the service tax should be charged monthly membership fee or periodically.

  • Clearance from the police department

It is compulsory to receive permission from the police department in your area before working on a gym or fitness point.

  1. Adequate promotions and discount campaign

Before the launching of the gym, it is essential to strategize and advertise your venture with multiple fitness drives like marathon, drills, rain Zumba or cycling and ensure a massive participation from the nearby inhabitants, shop owners or other potential users. One can also give away reductions or customised suite to the winners of the campaign and attract them with special costs on the referring of fellow gym members.

Starting a fitness centre or a gym seems cooler and best for those who have the passion or special inclination towards maintaining a great health or physique. Definitely by following these 7 steps, your gym centre will be without hassles while staring this business as a new venture and leading you in a right path.

Services offered

The services and amenities can be offered to the customers or clients that include:

  • Personal Training
  • Group Fitness Classes
  • Yoga Classes
  • Pilates (full body workout)
  • Spinning Classes
  • Weight Management
  • Kinesis Station
  • Nutrition Counselling
  • Childcare / Day-care
  • Spa
  • Full Locker Room Services
  • Physical Therapy
  • Juice Bar
  • Internet Cafe
  • Comprehensive fitness assessment
  • Full gym membership
  • Sport merchandize (Fitness wrist-wear with sensors, work out trackers that measure and analyse the physical activity and body functions, Smart attire or Eyewear that measure body functions, Fitness and health/fitness apps for tracking/ detecting/ analysing and sharing vitality and fitness achievements)

Loan availability for starting a Gym business in India

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Loan for Starting a GYM in India.
Loan for Starting a GYM in India.

If you need a personal or business loan, apply for one in various banks or financial organizations, by preparing a solid business plan before approaching them. Though this business requires a huge capital, it is still money making as more and more people now are inkling to physical fitness and seeking for gym centres for fitness and are willing to invest on gym membership. One can make a decent share of money out of this gym centre if it is developed in a proper way.

Frequently asked questions about starting a gym business in India

The frequently asked questions regarding the gym business to make it a successful one. These are mentioned below-

  • How much does it cost for starting a gym business in India?

The costs involved to start a gym business varies depending upon the size, location, facility and the type of gym you are planning to launch. The basic start-up costs to start up the gym includes Rs. 5 to 10 lakhs on average, it might also exceed in few cases.

  • How to start a gym business at small scale?

Starting a gym with yoga, pilates and HIIT classes does not require any high costs to start. You can also choose a small business model to minimize your expenses.

  • How much does gym equipment cost?

It is better to take lease of the gym equipments as they are too costly to make the whole set up. If you go for taking lease, the costs go around Rs. 10,000 to Rs. 15,000 depending upon the size of the gym. If not the single piece of equipment costs more than Rs. 25,000 and the total set-up costs may go high.

  • Is gym a profitable business?

Starting a gym requires huge investment and can be profitable if it is a hi-tech gym, based on the trainers you hire, making popular advertisements, providing different offers which are affordable like memberships, etc. It is based on the unique offers and popularity you create in the public.

  • Do you need a business license to open a gym?

    It is better to obtain a legal license to open a gym, but it differs in different states ass each state has different set of rules to start a gym.

  • What equipment do I need to start a gym?

Gym at a small scale requires the following items listed below-

Training Bench,

Dumbbell Set,

Barbell Set,

Kettlebell Set,

Pull-up Frame and Bar,


Stationary Bicycle,

Fitness Ball or excercise ball,

Rowing Machine, and

Other accessories.

  • How much space is required for a gym?

Any space having an area of 2000 sq. feet is good for starting a commercial gym. You can also plan for a smaller scale within 1000 – 1500 sq. feet, but the space will not be enough to roam freely especially while lifting up the weights.

  • What does a gym include?

According to few people, gym is a place where you can focus on weight lifting and similar activities which include for both men and women work outs at the gym. You can also find a great variety of machines, including cardiovascular machines. You need to make a note that, gyms don’t offer many group classes as a fitness centre offer.

  • What is the checklist to start a gym business?
  1. Before starting the gym you need to prepare a checklist as mentioned below-
  2. Prepare a business plan.
  3. Every business needs a thoroughly researched business plan.
  4. Provide facilities like location, less costs, different memberships, etc.
  5. Make sure to arrange the funds required.
  6. Hire the appropriate and the right team.
  7. Market yourself to attract the customers.
  8. Add the finishing touches
  • How to open a gym without any investment?

It is not possible to do that because if you are going to start your own business you need to invest some or the either amount which is mandatory. But the either way is that you can minimize the expenses for the gym by acting and planning in a smart way like low investment plans or free publicity through online etc. You may be interested in Profitable Hydroponic Crops.


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