Renting Vs. Owning- No Contest for this Gym Owner
As a business owner, how do you double the size of your building while paying less? Talk to the owner of Body Works Gym in Dry Ridge, Ky.
“We were paying $4,800 to lease 5,000 sq ft of space and now I’m paying less to own my building and it is twice the size,” said Justin Baker, owner of Body Works Gym.
Baker’s successful gym had outgrown its leased location when he was introduced to HCDC’s SBA 504 Loan Program.
“The benefit is huge because you have an ability to create an asset,” said Baker. “The two things I love the most the SBA 504 Loan Program is the set interest rate and you can put down as little as 10% out of pocket.”
The SBA 504 loan provides small and medium-size businesses with long-term, low fixed-rate financing for owner-occupied commercial real estate and heavy machinery projects.
Baker bought and renovated his building on 1130 Fashion Ridge Road. Not only was he paying less to own than rent, Baker’s membership sky rocketed from 1,100 members to 1,500 members just by moving into a new building.
By doubling his space, Baker now offers more services to his members. He added physical therapy, supplements and nutrition, gym-related merchandise, and has doubled his workout space.
All this growth means job creation. Baker also added about 20 additional staff members, having grown from 10 to 30 employees.
“For small businesses, this is the answer,” said Baker.