What-Franchise-Issue-20.1

The gym brand has been creating newmethods of financial accessibility in the franchising industry, with a syndicate programme, bank loans, and asset financing all on the table for those eager to launch their business Gymmemberships are increasing in the UK, with many customers devout in maintaining their fitness. One brand tapping into this demand is Jetts Fitness – a franchise that’s been looking to offer something more premium than budget gyms, while delivering manageable prices in comparison to luxury gyms. “We’re reaping what we’re seeing as a huge growth in the younger market. I see that they’re going to be customers for a long period of time,” confirms James Garner, director at Jetts Fitness UK. Having an established career in franchising, James recognised an underappreciated community of franchisees that had the potential to grow the brand if granted the financial accessibility to do so. “These are people who are very passionate about the investment but don’t have the financial ability.” As a result, Jetts Fitness has built out a business model that acknowledges this challenge. A key focus has been on providing competitive locations that appeal to banks during the loan application process, while also positioning franchisees to stand the best chance of earning big early on. Alongside bank loans, asset finance options are available which helps franchisees navigate funding when bank rates have been particularly inflated. However, perhaps one of the most different approaches within the industry has been its syndicate programme, which aims to offer alternative options of investment into the brand. This is relevant to those who aren’t able to pay traditional investment level fees. “It’s there for individuals to actually invest into rather than become full fledgling franchisees,” says Tom Burke, head of business development at Jetts Fitness UK. “It’s a different option for people to get involved. The other element is that it’s less risk, there’s tax benefits, and people aren’t putting assets on the line.” The syndicate means your investment would be a share within an expansion of a group of Jetts gyms, currently focused on North London due to the trade zone’s strength. This is how the brand has opened itself up to wider interest from individuals and companies. The syndicate has already proven successful in other countries such as New Zealand and the brand is hoping it will be the ammunition needed to break down barriers into fitness franchising – something that reflects a wider ethos within the company. “We’re not transactional.We’re a more community-based franchising option,” explains James. “There’s a lot more hand holding than a turn key operation because it’s just culturally part of how we grow. We’re not setting pins on a map for someone to just be left.” The brand believes this collective support combined with a culture of financial transparency that is spurring Jetts Fitness’ UK growth. F U N D I N G : Jetts Fitness Investment: £600,000+ Established: 2007 Number of outlets: 18 Contact: marketing@jetts.co.uk Jetts Fitness The gym franchise has an established relationship with a finance partner to support franchisees with new club openings. It says a typical finance agreement can cover up to 70% of the total pre-opening costs which is repayable over a five-year period via fixed monthly payments. Beyond this, it is currently rolling out a syndicate initiative to help more people invest in the ownership of its locations. Meanwhile, developments to increase funding opportunities are ongoing, with additional partnerships in the works. 24 WHAT FRANCHISE Issue 20.1 50 Funding Pl ans | PARTNER CONTENT