: Include the liquidation value of equipment (roughly 30–50% of its original cost) in your final offer calculation. 2. Financial Due Diligence
: Confirm if there are any outstanding equipment leases, loans, or legal liens that you will inherit. 3. Operational & Legal Assessment how to buy a gym
The physical and contractual health of the gym is just as critical as its bank account. How to Buy a Gym: The Complete Step-by-Step Guide : Include the liquidation value of equipment (roughly
: The gym has established staff and systems for retention. : Combine the gym's net profit with the
: Combine the gym's net profit with the owner’s salary and "add-backs"—personal expenses the business covers, such as health insurance or cell phone plans. The Multiple Ladder :
How Gym Valuation Works: SDE + Equipment * The most important number in any gym valuation is seller's discretionary earnings (SDE) Two-Brain Business