Military Careers, Second Careers - Army Times

Beef up your career — open a health club

One of the best decisions Jackie Siochi ever made, she says, was joining the Air Force in 1989. Another was opening a Snap Fitness franchise in the Seattle suburb of Redmond, Wash., in April.

“I’ve always worked out since basic training,” said the former air cargo specialist who left the Air Force in 1993 and eventually worked her way up the civilian ranks to become Boeing’s senior manager for internal accounting.

But with two kids and plans for a third, Siochi began to notice a correlation between her six-figure corporate salary and relatively little family time.

Now Siochi spends about two days a week helping customers — and working out — at her own 24-hour fitness center.

The first Snap Fitness location opened in April 2004, said Peter Taunton, founder and chief executive officer. The franchise now has about 1,200 locations and ranks 24th among Entrepreneur magazine’s 2008 fastest-growing franchises, third among fitness franchises behind Anytime Fitness and Jazzercise Inc.

Taunton said the company’s business model has led to its growth.

“I reflected about my industry — what was driving revenue in my big-box clubs,” Taunton said.

He determined the smart way to do business was to build smaller health clubs with only the features “people really use.”

So Snap Fitness doesn’t offer pools, racquetball courts or group classes.

Franchisees like Snap Fitness because most are able to keep their day jobs while they open gyms on the side, Taunton said.

So what drives business to such a degree that about 82 percent of franchisees break even on their $170,000 investment in the first six months?

Two things, Taunton said: the clubs’ convenience — neighborhood locations with 24-hour key-card access — and quality exercise equipment.

Members also like that they don’t have to sign a commitment to join, Siochi said.

Siochi and her husband plan to open a second location in early 2008.

Veteran discounts

Members of the International Franchise Association’s Veteran Transition Franchise Initiative offer discounts to former service members. The following fitness companies participate in the program known as VetFran:

• Gold’s Gym

Start-up cost: $300,000 to $500,000

Discount: 30 percent off the initial franchise fee

• 1-2-3 Fit

Start-up cost: $63,425 to $115,790

Discount: 10 percent off the initial franchise fee

• Athletic Nation — Men’s Personal Training Gym

Start-up cost: $32,815 to $44,980

Discount: $5,000

• Personal Training Institute

Start-up cost: $40,000 to $50,000

Discount: $5,000

Snap Fitness isn’t an official member of VetFran, but Taunton said he’ll give any new veteran franchisee a $1,000 discount off the franchise fee.