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Home » IDEA Answers » Gym Maintenance Fees
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Question asked by Lawrence with Gym Insight 123 days ago

Gym Maintenance Fees

BusinessBusiness: Personal TrainingBusiness Planning/StrategiesMember adherance

I have owned this one particular gym for almost 3 years now. Although I have a gym maintenance fee clause in the membership contract, I have never enforced it...until now. Specifically the clause reads:

MAINTENANCE OF FACILITIES: The Club may be temporarily closed for periods of up to two (2) weeks each year for maintenance purposes. The Club reserves the right to add an annual facility maintenance charge of up to, but no greater than, the equivalent of one (1) month’s membership dues. If a Facility Maintenance Charge is implemented in the future, Member will be given a minimum of a sixty (60) day notice of the amount owed and due date. Member authorizes the Designated Billing Company to automatically draft this amount along with the Member’s regular membership dues.

Now, as I said I have never charged my members for this, however I have kept the gym in absolute superb condition (cleaning crew 2x a day, gym equipment always in great working order, new equipment every few months, fresh paint, new tanning beds, etc...) and I never close my 24 hour access gym!

Now this year with rising tax hikes for small business owners, higher payrolls and taxes for my employee, county taxes, taxes, taxes, taxes...I am thinking about implementing this clause but not in vain. I want to repaint the whole gym and get brand new equipment and overall give the gym a whole new fresh look for the spring time.

Now for the question directed for both gym members and personal trainers... how do you feel about "gym maintenance fees"? Do feel that they are necessary, a scam, or impartial?

Thank you in advance for your Insights!
Happy Friday.

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Answers (7)

Answered by Michael Saiz 122 days ago
Member
968 Questions Answered, 19 Questions Asked
2
Hello Lawrence,
Our facility charges a one time per year fee for that purpose and is stated in the fine print of the membership contract. The fee is based on a flat rate and can change upon discretion.
The rate is not based on the price of one month dues primarily because membership rates can vary for reasons of price/membership promotions/packages.

I Hope This helps!
Michael
1 Comment
Thanks Michael. That would make it more fair to everyone.
Comment by Lawrence with Gym Insight 122 days ago
 
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Answered by Karin Singleton 123 days ago
MemberVerified
1386 Questions Answered, 12 Questions Asked
0
Hi Lawrence,

I have heard of such clauses but have never signed a contract that contained it. If I were a member at a gym where I had signed such clause but it had not been implemented for 3 years, I would be EXTREMELY (could not make it bold) unhappy if I was all of a sudden charged with an extra month's fee plus the closing of the gym for 2 weeks which amounts to a monthly fee and half.

As it so happens, we just have upgraded our personal training studio with new flooring, paint, odds and ends to quite a considerable sum. This is an expense of doing business, and it did not cross our minds to increase charges or roll this over in any way.

Because you have this in the contract, you may be entitled to do so. But if I were your member, you'd have one unhappy person. And as you well know, one unhappy person tells 10 others. Not sure whether I would not leave the gym as soon as I can if there are any viable options.

I'll be curious to see how the others feel on that subject. Obviously, my position is unambiguous.

Else, I like you a lot :-)
Karin Singleton
www.meltnc.com
1 Comment
Karin,

I appreciate your honesty! I definitely want to see if there are others who feel the same before I go forward with this and to see if there were other feasible alternatives for a fresh change!
Comment by Lawrence with Gym Insight 123 days ago
 
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Answered by Harris Sophocleous 123 days ago
MemberVerified
775 Questions Answered, 5 Questions Asked
0
Hi Lawrence,

Thanks for posting this question. As for me, I have never encountered such an issue before. I have been to many gyms around the country and this is the first time I hear something like this. If I had to sign a contract like the one you have mentioned, I wouldn't do it. I would look for a different gym to join. But, if I had signed a membership contract that did have this clause, then I would have to go by it, no matter how unhappy I would have been.

Just like Karin said, it's part of owning a business and all of the headaches that come with it. If you need higher revenue for your gym, then it's best to raise the membership fee, than asking for the members to chip in when you need extra money for whatever the reason.

Best,
Harris
2 Comments
Harris,

Thank you for the honest feedback and an alternative suggestion!
Comment by Lawrence with Gym Insight 123 days ago
No problem Lawrence. I hope it helps :-).
Comment by Harris Sophocleous 122 days ago
 
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Answered by Susan D'Alonzo 122 days ago
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1131 Questions Answered, 19 Questions Asked
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It looks like you're saying that you need to increase revenue so you are going to implement a clause that you have never implemented before to make up the revenue. In other words, you are going to deceitfully collect money from your members?


This is not a good way to do business, in my opinion.
3 Comments
Hi Susan,

I appreciate your viewpoint on this position. It is not my intention to deceive anyone - ever. My only thought process this year (since it is no longer a brand new facility - and in Vegas, everything is practically brand new) was to go far and beyond what my normal refresh look and feel to the gym. Everyone would be put on notice to how that additional month due would be put to use and when they can expect it. This would not be revenue back in my pocket.

Take Care.
Comment by Lawrence with Gym Insight 122 days ago
I guess because you said with rising tax hikes, higher payroll.. my interpretation was as I stated. I am now no longer clear as to your point, although I would like to understand it.

No offense intended.
Comment by Susan D'Alonzo 122 days ago
I guess the tax comments was me just venting. My position is that I wanted to get a general consensus of how other professionals view gym maintenance fees and was just using a scenario at my gym as an example to refer too.

I know my encounters with large gym chains that bind their members into contracts charge this fee sometimes up to 2x a year. My gym does not have a binding time period for which they are billed as a member. Members can leave at anytime.

No worries, no offense taken. That is what this forum is all about! Other fitness professionals giving their advise and opinions - I look to you and other participants for honesty about the issues we face in our industry, not for agreement or flattery.

Have a great weekend!
Comment by Lawrence with Gym Insight 122 days ago
 
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Answered by Natalie Smith 122 days ago
MemberVerified
653 Questions Answered, 4 Questions Asked
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Hello Lawrence with Gym Insight,

This is the hard part of owning a business, plus the taxes. I would try to increase the rate instead of adding a clause, especially since it was not enforced from the beginning.
Therefore, I would eliminate the maintenance clause, which you could advertise to your advantage. Then slowly increase the rates until they are what you need.
Take care and good luck.
1 Comment
Thanks for brainstorming and feedback! I knew this would be a controversial topic for discussion and know people loathe fees. I also know that this is a topic in the fitness industry that is not discussed. It is great to turn to IdeaFit to get honest opinions and advise from other fitness professions.

Have a great day Natalie.
Comment by Lawrence with Gym Insight 121 days ago
 
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Answered by Joanne Duncan-Carnesciali 121 days ago
ExpertMemberVerified
1407 Questions Answered, 58 Questions Asked
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Don't you get write off wear and tear of your facilities when you file your taxes? If you do,why would you try to profit off of something you are already receiving a deduction on?

If that is not the case, you should include the costs of wear and tear in your overall membership price from the outset.

For me it is unacceptable.
1 Comment
Hi Joanne,

Thanks for brainstorming here and your honest feedback. As far as wear and tear there are those normal deductions, yes, but definitely not for additional brand new equipment. There definitely would never be a profit here.
Comment by Lawrence with Gym Insight 121 days ago
 
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Answered by Bryant Seton 98 days ago
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841 Questions Answered, 9 Questions Asked
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Doesn't sound bad at all. Sounds like a solid way to provide the best experience and environment for gym members.

I do think that gym members get incredibly bent over these though. When they sign up you don't mention "once a year we will charge you a little extra", because that'd be a terrible selling point. However, the VAST majority of gym members wont read all the little writing so this comes as a surprise.
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