According to a research report by Smergers, the Indian fitness industry is worth Rs. 4,500 crores with an annual growth rate of 16-18%. With this rising fitness trend, it would be worthwhile to say that setting up a commercial gym is a promising opportunity for people with an entrepreneurial mindset. Here is a checklist that will help you in starting a gym business in India:
1.Registration of the gym
It is compulsory to register your gym as a Private Limited Company or a Limited Liability Partnership. By choosing any of these options, you can transfer all the shares or sell off the gym, if in case you are not able to operate it smoothly. Initially, a provisional registration certificate will be issued to you. It is valid for a short duration and after receiving all clearances, you can apply for permanent registration.
2. SSI registration
You need to register your gym as a small-scale industry at your nearest Taluka level.
3.Shops and Establishment Registration
While starting a gym business in India, it is essential to obtain Shops and Establishment registration. This registration is meant to regulate the conditions of work, rights of the employees and employers in an un-organized sector of employment.
Service Tax Registration
The Indian government has made it mandatory for gyms to pay a service tax if their annual turnover is more than 10 lakhs. If your gym charges a monthly or periodic membership fee, the service tax should be levied on periodic or monthly membership fee.
Clearance from the police department
It is required to receive a clearance from the police department in your locality before operating a gym or fitness centre.
Apply for a loan
If you require a personal or business loan, apply for one in various financial institutions or banking institutions. You need to prepare a solid business plan before approaching them.
Though this business requires a huge startup cost, it is still profitable as more and morepeople are pursuing fitness. They are willing to spend on gym membership. One can make a good deal of money out of this business if it is done the right way. So, what are you waiting for? Come, join this fastest growing industry!