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When to Open a Second Gym Location: A 13-Point Checklist

Updated: 1 hour ago


Your first gym is humming.

Members are showing up. Cash is coming in. The classes are full. And now there's a voice in your head getting louder every day:

"Let's open another one."

Before you make this call, you have to get that opening a second location before youre ready, can be a game-ending error.

A second location can double your income. It can also double your payroll, your stress, and your problems. Open too early and you don't get two great gyms. You get two struggling ones and a founder who's stretched so thin he can't fix either.

So how do you know when you're actually ready?

Here's the checklist I use. Run yourself through it before you sign a single lease.


when to know how to open a second gym location

First, get the framing right

The checklist below does not show the bare minimums to scrape by and open a second gym on a wing and a prayer.

A novice gym owner COULD open a second location before hitting all the checkpoints below, but it would be quite painful and risky to do so.

These are the markers that tell you that you can expand with a real safety net under you.

The more boxes you check, the smoother the ride. If you're missing several, that's not a no. It's a "not yet." Go build the missing pieces first.

When to Open a Second Gym Location: A 13-Point Checklist

1. You can disappear for 4 months with zero contact. Your first gym should run without you. Completely. If you can leave for four months and come back to a healthy business, your systems and your leaders are strong enough to carry a second location. If you can't, you're the system. And you can't be in two places at once.


2. Each location nets at least $10,000 per month in profit. Not revenue. Profit. And after you pay your central team (coaches, sales, managers), the whole company should still clear a healthy net margin. If your company's net is single digits or negative, a second gym just multiplies the problem. Get the money model working at one location before you copy it. The $10K can include the total benefit to you as the gym owner, so if the gym pays for things like your phone or car, count that towards your $10K.


3. Your prime-time classes are full, with waitlists. This is what "ready" looks like on the schedule. Your best slots (weekday 4 to 7pm, Saturday mornings) sit at 85 to 90% full with a waitlist. Bonus signal: you've raised prices in the last 12 to 18 months and those slots STILL fill. That's a gym that has maxed its current footprint, not one with empty mats to fill first.


4. Your churn has held under 5% for six months straight. Not one good month. Six. High churn is a revolving door. Expand with a leaky gym and you'll spend the new launch patching the old one. Lock retention down first.


5. You have $150K and up in the bank as reserve cash, depending on build-out. Stuff goes wrong. Permits get delayed. Construction runs long. Growth comes slower than the spreadsheet promised. A cash cushion keeps you off risky loans and out of your personal savings when the surprises hit.


6. Your gym grows on 5 hours of your work per week. If your first gym still eats your whole week, your leadership team isn't ready. Expansion should only happen when location one grows with you barely touching it.


7. Your core functions are documented and tracked. Sales, check-in, support, maintenance, hiring, programming. All written down and systemized. Plus a weekly scoreboard per location (leads, shows, closes, active members, churn, attendance) that your GMs review with you every week. And a hiring pipeline with a training plan, so you're not reinventing the wheel each time you grow.


8. You have a respected leader hitting their targets. Usually, a General Manager who owns growth and operations and actually hits the goals. Here's the part owners skip: name the operator for the NEW location before you sign the lease. Don't just borrow one from an existing gym with no backfill plan. And tie their pay to that location's performance, so their wins are your wins. (Pro tip: Motion Mentors has a strong GM job description and a digital training course to help you build one.)


9. You can access capital beyond your emergency fund. You should be able to pull a bank loan if something goes sideways and you need bailout money. That means strong credit and books that are clean and up to date.


10. You're comfortable delegating leadership and real decisions. Expansion means handing over keys. If you struggle with trust or you micromanage, a second location multiplies that struggle by two.


11. You're out of daily coaching and front desk work. Your job is mentoring your leaders, not running classes or answering the phone. If you're still in the trenches, your role hasn't grown enough yet. You need to climb higher on the value ladder.


12. You have a proven marketing strategy ready to launch. Something like a Founders Club pre-sale, where you sign up members before the doors even open. That's how you launch profitable on day one instead of bleeding cash for six months while you "build awareness."


13. (Optional, but it helps a lot) You have a mentor who's expanded before. This one isn't required. But man, does it clear the fog.

Someone who's been through fundraising, financial management, marketing, and building a leadership team will save you from the costly mistakes. I'm biased here. But speaking from experience, this one has handed business owners back multiple nights of good sleep.


One gut-check before we talk numbers: If running 2 or 3 gyms feels stressful today, running 5 or 6 will crush you. A new location doesn't add to your problems. It multiplies them. So here's the rule I live by: wait until your current gym feels boring before you add another. Boring is the goal. Boring means the systems are doing the work, not you.


The 3 numbers people argue with


Some of these numbers make owners flinch. Let me explain where they come from.

The $20K profit number. If your gym isn't anywhere near $20K in monthly profit, there's just no reason to double down. You haven't cracked the model at location one yet. And hitting $20K is hard. It gets way harder across multiple gyms.


This applies in your area too. And anywhere in the US.


And if "profit" feels icky to you, sit with this: profit isn't ripping people off. People only pay for things that give them equal or more value than the dollars they hand over. If you've got limiting beliefs around cash, that's worth working on. Respectfully.


The $150K in the bank. This comes from experience. Plenty of multi-location owners back it up. Alex Hormozi gives the same number when he advises people.

And that cash isn't sitting there for fun. It needs to cover three real things: the full build-out and equipment for the new gym, about 6 months of the new gym's fixed costs while it ramps, and about 3 months of your existing company's overhead so a slow launch doesn't sink the mothership. Depending on your build-out, that math can push the number higher. Run yours.


Run into one problem with city permitting or one bad delay, and you will WISH you had this much sitting in the account.


The 4-month test. Opening another gym takes way more time than you think. The 4-month vacation isn't about taking a vacation. It's a test.


If you've equipped your team well enough, and built a culture and systems strong enough, your first gym keeps running and growing with proper management in place. Strong enough that you can leave and pour your focus into the new one.

The 4-month gap just proves it. I'd argue it's a sign of very good management.


The question almost nobody asks


Here's the part most articles skip.

Say you tick every box. You're ready. The fog is gone.

Before you do anything, ask yourself one honest question:

Why do I actually want a second location?


Because if your company already runs without you, and it's throwing off $250K a year in profit, you're set. Low stress. Financially comfortable. A life most gym owners would trade their gym for.


A second location will change that. At least in the short term. The calm you just built? Gone for a while.

That might be 100% worth it. More impact, more reach, more kids learning parkour. That's a great reason.


But chasing a second gym out of boredom or ego is a different story. Make sure you know which one is driving you.

And model the worst case before you fall in love with the best one. Assume the new gym takes 12 to 18 months just to break even. If that happens, can you survive it? Financially AND emotionally, without resenting the business you built? If the honest answer is no, you're not ready. If it's yes, you're playing with house money.



Open a second parkour gym location checklist


Here's the short version of the article above. When to Open a Second Gym Location: A 13-Point Checklist.


  1. Disappear for 4 months. You can vanish with zero contact, and the gym still runs to standard.

  2. $10K monthly profit per location. Each gym nets at least $10K in net owner benefit, and the whole company still clears a healthy margin after team payroll.

  3. Prime-time full with waitlists. Your best slots sit at 85 to 90% full, even after a recent price raise.

  4. Churn under 5% for 6 months. Retention has held steady, not just one good month.

  5. $150K and up in reserve cash. Enough to cover build-out, 6 months of the new gym, and 3 months of company overhead.

  6. Grows on 5 hours a week. The gym keeps growing while you barely touch it.

  7. Functions documented and tracked. SOPs, a weekly scoreboard, and a hiring pipeline all exist and get used.

  8. A proven leader in place. A GM hits their targets, and you've named the next operator before signing the lease.

  9. Access to outside capital. Strong credit and clean books mean you can pull a loan if things go sideways.

  10. Comfortable delegating. You hand over real decisions without micromanaging.

  11. Out of daily coaching and front desk. Your role is mentoring leaders, not running classes.

  12. Marketing ready to launch. A pre-sale play like a Founders Club fills the new gym before day one.

  13. (Optional) A mentor who's expanded. Someone who's done it before to keep you out of the costly mistakes.



Where to go from here

Run yourself through the checklist this week. Count your boxes.

If you're checking most of them, you're closer than you think. Let's build the rest.

If you're missing the big ones, that's your roadmap. Fix the profit, build the leader, document the systems, stack the cash. Then expand from strength.

Want help getting there? Book a call with us at motionmentors.org/book-a-call, or come hang with other owners working through this exact problem at ParkourGymOwners.com.

One great gym beats two messy ones every single time. Build the foundation first. The second location will still be there when you're ready.

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