Maximize value by working less

We’ve been there….the early days of studio ownership are exhilarating! From the thrill of creating something of your very own from the ground up, to helping your new community create transformation in their lives, watching your dreams turn into reality is an incredible journey, and no doubt one you should be proud of and embrace wholeheartedly.

Amid the whirlwind of excitement, there's one piece of advice that may be surprising but is critical to your future success: work towards removing yourself from the business from Day 1.

Sounds crazy, right? Why would you want to STOP working in the business that you JUST started?

Here’s the truth…you are going to have to exit your business one day, promise. You might as well have some control over what that looks like, right? Ideally, it looks like selling your business for a profit when the time is right, so that you can retire, or move on to your next great adventure. Selling your business is so much more than just handing over the keys to the door and the login to your software; it's about handing over a thriving, self-sustaining studio that has value and future potential well beyond your personal involvement. This is where the idea of working ON your business instead of IN your business becomes such an important concept to understand and to work towards each and every day.

In our world of helping entrepreneurs sell their businesses, we see all the time that the business owners who have made the transition from being hands-on and in the weeds day-to-day, to being the strategic leaders and visionaries that their businesses need reap significant financial benefits when it comes time to sell. When you focus on building a strong foundation that doesn't solely rely on your individual efforts, you're positioning yourself for a smoother, more profitable exit. Guaranteed.

So, where do you start? Here are three actionable steps you can take to enhance the value of your fitness studio while gradually distancing yourself from the everyday operations:

- Build a Strong, Empowered Team with You as the Visionary Leader

There is no doubt that your team is the lifeblood of your fitness business. As you begin to grow and establish your studio in the community, focus on assembling a team that aligns with your vision and values. When your team shares your passion and is deeply committed to the success of the business, it creates an environment that's ripe for growth, for you, your team and your customers.

Empower your team members to take ownership of their roles. Encourage them to bring their unique expertise to the table and foster an environment where collaboration is key and all ideas are welcomed. As the visionary leader, you need to have the confidence to allow your role to shift from micromanagement to guiding the overarching strategy, setting long-term goals, and inspiring your team to achieve them.

Your studio team is so much more than your instructors. From the studio manager, to customer service, to marketing, bookkeeping, and special events, don’t be shy about getting the right folks in the right seats as soon as possible so that your studio business can operate successfully without you when the time is right.

- Document All Studio Processes

Documentation might not sound glamorous, but it's an important step towards stepping away from day-to-day operations. Take the time to thoroughly document all the processes and procedures that keep your studio running smoothly. From member onboarding to class scheduling, from marketing campaigns to inventory management—everything should be clearly outlined.

This documentation serves a few purposes. First, it ensures that your operations can continue seamlessly even when you're not around. (Yes, you deserve a vacation!). Second, it makes it easier to train new employees or managers, reducing the learning curve and maintaining consistency. And third, a business with well-documented systems and processes is more attractive to potential buyers, as it minimizes the risk associated with a change in leadership. People want to buy a thriving business that they can easily step into, instead of having to re-invent the wheel as they learn every step from the beginning.

And if using pen and paper means you won’t do it, document in a way that is easy for you to get it done! Create a library of videos using your phone, or Loom. Hire someone to trace your systems for a few weeks to document what you and your staff are doing. Make it easy, but get it done! Your bottom line will thank you later.

- Periodically Remove Yourself from the Studio and Trust Others

It's a paradox: the more you step away, the stronger your business can become. As the owner, it's natural to feel a strong attachment and sense of responsibility, (and the sense that no one else will do it “right”), but periodic detachment is essential for your growth, and the growth of your business. Block off time in your schedule to deliberately remove yourself from the studio. This can be a day, a week, or longer, depending on the circumstances.

During these periods, have the courage to trust your team with the reins. Turn off your phone. Don’t check email. Stay off social media! When you spend time Out-Of-Office, it helps your team gain confidence in their abilities, identifies areas that might need improvement or adjustment, and demonstrates to potential buyers that the business can function smoothly without your constant presence.

In the fast-paced and ever-changing world of boutique fitness entrepreneurship, it's easy to get caught up in the hamster wheel of day-to-day tasks. But keeping your eye on the bigger picture and focusing on creating a business that thrives independently of your constant involvement, can be a game-changer when it is time to exit your business. So, to all the brand-new fitness business owners out there, and those of you still slugging it out in the trenches, remember: the road to success is paved with building strong teams, strategic delegation, empowerment, and the courage to gradually let go.

What can you do today to make it easier for your business to operate without you?

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