“NxLeveL gave us a way to shape our ideas and turn them into reality so we could get them down on paper and formulate a plan and hook us up with the right individuals that we needed in every different aspect of the business world. I'm completely satisfied with NxLeveL and the money was well spent and in my opinion, it was a small price to pay -- an investment. I don't have any idea about finance, I just call you guys and there you have the information... talk to this person and the SBDC has all the right connections for us. I credit a lot of what we did to the SBDC because without it we would have been fishing in the big pond not really knowing where to go."
Joseph Hoey and Bryan Boudreaux
The Fitness Coalition is a personal training center established in January 2012 in the client’s garage. Classes and clients began almost immediately rain or shine. The goal was to expand the business into a larger space and become a CrossFit Affiliate gym. Clients visited many other CrossFit gyms and CrossFit events and sought out advice from successful CrossFit gym owners.
Joey Hoey started dreaming about having a CrossFit Affiliate gym and filed his DBA in late 2011. Initially he only had the basic equipment in his 235 square foot studio accommodating 1-3 athletes safely per session. He wanted to open and operate a full size CrossFit gym within a year or so.
Joey didn’t have gym management experience so he also began interning at a successful CrossFit gym to learn the tools and management of a membership driven business. Both clients, Joey Hoey and Bryan Boudreaux, completed their training and are now CrossFit Level 1 Certified Trainers.
They needed to work on market research, get licensing, look at legal structure and insurance, open a bank account, develop their goals and marketing strategy and do their financial projections.
After meeting with an SBDC Business Advisor, clients decided to enroll in the 11-week NxLeveL Entrepreneurial Training class offered through Solano College and Napa Valley College SBDCs. Through the NxLeveL program, the clients put together their business plan and determined their financial needs for leasing a larger warehouse space.
They began researching warehouse space on the west side of Fairfield, California since a similar gym already existed on the east side of the city. Clients purchased the domain www.TheFitnessCoalition.com and determined that Facebook was an integral part of their marketing strategy. Next to word of mouth, Facebook has been the most effective form of marketing.
Clients determined that they would initially need a loan of $35,000 along with $12,000 of owners’ equity and $10,000 of private capital. Clients were each gifted with $20,000 from each of their supportive families.
Clients negotiated a favorable lease payment for 1,200 square foot warehouse space which includes three offices areas downstairs and one large office or training classroom area upstairs. The Fitness Coalition moved in and started painting and setting up in February 2013. Clients have already increased their membership by 175 percent since moving into the larger space. They expect additional memberships once they host their open house in April 2013.