Collections and Cancellations

June 23, 2022

There are many benefits to owning and running a fitness facility but there are some really tough aspects as well, like collections. When many of our members gathered for the 2022 NIHCA Spring Conference and Exhibit Expo we talked to each other about collections. There was concern from some clubs about how long to wait for payment and when to take action. We have gathered that information for you!

The biggest take away that we want to emphasize were the wise words of a facility, “Be Strong and people will adjust”. On average, most facilities wait anywhere from 1-3 months before they cancel the membership due to non-payment. Automatic payments from a bank account are much more reliable than monthly billing or automatic credit card payments. Check with your software because there are some systems that will automatically rebill if payment is not completed after 5 business days!

The most important thing to do is communicate! We recommend Call, Call, Email, Call and this should be repeated 2-3 times. The manager should be reaching out if someone at your facility has not been assigned to this task. There are options to send past due collections to an outside agency, however, many of these will take 30-40% of the recouped funds.

Use which method works best for your facility and circumstances, but if your current practices are not bringing in those collections, we recommend you give another method a try. Do not forget to update your policy and procedures!

 

~”There are three kinds of people: the haves, the have-nots, and the have-not-paid-for-what-they-haves!” – Earl Wilson

Post Pandemic Numbers and Good News

June 16th, 2022

Spring of 2020 brought many of us to breaking points. We were thrown into these so-called learning opportunities that we would’ve preferred never to have experienced. But here we are two years later with our heads held high and pushing to be better than ever before. We have learned from the experience and we are here to tell you that there is “good” in the numbers. We have heard your words, your concerns, and your stories. We listened. We want to highlight the positives because sometimes in life, it isn’t about the answers, but about the opportunities.

  • Many facilities are back to 75-80% pre-COVID memberships. The great news is that with these membership numbers, the facilities daily usage has increased from pre-COVID.
  • Many of the memberships that were cancelled were members who did not use the facility but had continued paying their membership dues prior to 2020. There was a lot of agreement that the current memberships include good, new members and dedicated/active long-term members.
  • Facilities started looking at their membership rates, as some of them had not been updated in over 5 years!
  • Facilities took the down time in 2020/2021, to cut revenue if it was costing them additional staffing issues and wear-and-tear on the facility. Clubs took the opportunity to make some overdue changes and some tough decisions that in the end helped them stay afloat and grow.

Keep your eyes and ears on your market and watch the trends in the fitness industry. What is working today may get you by tomorrow but might hold you back in the years ahead.

 ~”Don’t get stuck in the past, use it to fuel your future” -Unknown

Caffeine and Your Workouts

June 9th, 2022

I love walking into the office after that first pot of coffee is done brewing in the morning. I wasn’t always a coffee drinker, but I have always thought the smell was warming, welcoming, and energizing. Of course, coffee isn’t the only source of caffeine and caffeine is a big topic in the fitness industry. Does caffeine affect your performance? Should we be preloading caffeine before an intense workout? I found this great article from healthline.com on this exact topic! The article breaks down the questions you too may have pondered regarding caffeine. Take a few minutes to review the article and let us know what you think; will you be incorporating caffeine for your fitness benefit or will you be sticking to a cup on your commute or with your morning breakfast?

~Procaffeination (noun) the tendency to not start anything until you’ve had a cup of coffee

Thanks for a great day

2022 NIHCA Spring Conference & Exhibit Expo

Click on the picture below to see the amazing day had by our attendees, sponsors, and hosts! Thank you to all in attendance for making this a great conference full of learning and networking.

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