When it comes to buying property, Singapore is one of the most expensive countries in the world.
In 2018 alone, it was the second most expensive right after Hong Kong, with property prices inching up again by 1.1 percent in the following year.
And much like property, renting out an entire space is expensive as well in the Republic, and quite out of reach for most amateur entrepreneurs.
So, it’s not all that surprising why co-working spaces and special rental studios have become so very popular.
Entrepreneurs can now either rent studios hourly from companies like GoSpaces or share their space with other companies at the same time.
This practice cuts down expenses by almost half, and companies now have an easier time concentrating on expanding their business.
The fitness industry is one of the many businesses which greatly benefit from this model in Singapore. And in our guide today, we will show you why that is the case.
The Concept of the Co-working Spaces
It’s no surprise why Singapore’s expensive housing market has thwarted so many promising startups and businesses.
And as a reply to the ever-growing need for a cheaper space, co-working spaces have been on the rise ever since their conception.
The concept of the co-working spaces is rather simple, really. These models make sure that individuals or companies can rent an office or desk space by the year, months, days, or even on an hourly basis.
Not only does this help growing businesses avoid expensive rents on entire offices, but they also find themselves on a shared ecosystem with other start-ups just like them.
However, these rental studios were more in use by the small business which just requires a desk and an electric socket to power their entire business.
It was only recently that other industries, like fitness, yoga and fashion businesses, started using them.
The Rise of Rental Studios
Fashion and fitness businesses heavily rely on expensive equipment, like cross trainers and industrial-grade sewing machines.
So, these businesses are often left high and dry when it comes to their overall capital and revenue, as the renting charges alone never left any space for employing cost-effective ways to run a business.
Co-working spaces and specialized rental studios soon became the perfect solution for these businesses to help them grow and expand.
One great example of such a rental space in Singapore would be the GuavaLabs at OUE Downtown and the Mox at Katong Point.
Both of them have used the same concept of the co-working spaces to create niche offshoots, which catered to the needs of specialized facilities.
They primarily focus on helping out the fitness and creative industries and providing them with budget-friendly ways of running their businesses.
The GuavaLabs, launched earlier this year, has a lot of studios that can be rented out by star-ups or even freelance instructors at either a flat rate or through a profit-sharing model.
At Mox, too, any professional can pay a monthly membership and gain access to specialized workshop rooms.
Some of the rooms will include a 3D printing studio, as well as a sewing machine, which are aimed at helping out the fashion businesses.
Both of these wellness spaces rent out their rooms to the public at extremely nominal rates.
The Benefits of Rental Studios for Fitness Startups
1. Saving on Space
For a fitness start-up like a gym, yoga, or even pilates, renting an entire building is going to be a lot more expensive than renting a single specialized studio.
As a fitness studio caters to the needs of a specific niche, there is really no need to invest in a huge space and fill it with every kind of equipment.
A smaller but well-managed space will significantly cut down expenses and lead to a much higher profit margin.
A lower setup cost of a studio will allow the entrepreneur a lot of flexibility while expanding their business. And opening a fitness studio in an area with a lot of high-foot traffic, especially near offices and work areas, can help out the business a lot.
Co-sharing the studio with like-minded start-ups and entrepreneurs often contributes to a sense of community. Businesses often thrive on such communities getting together and sharing ideas.
This sense of community will also help encourage newer members to keep coming back and motivate the older ones to remain engaged with their fitness goals.
2. Benefits of Tracking Tech
Fitness models and schemes are very reliant on progress tracking.
The customers need to know if the time that they are spending on training is paying out and leading to some measure of progress.
And this is precisely why fitness rental studios in Singapore have been able to help the industry boom in recent years.
Most of the studios today are equipped with the latest in tracking technology, which keeps a measure of everyone’s fitness activity.
They also provide customers with reliable access to their personal health information at a nominal fee.
This will not only boost the profit margin for the start-up but motivate the clients as well, as they are provided with a daily update on their level of fitness.
Fitness studios which have a sense of community and provide a personal touch make it easier for members to get advice and tips to reach their goals sooner.
3. Fitness Studios Will Keep Booming in the Future
A fast-paced and busy life will ultimately push many into bad eating habits, leading to diseases like obesity and diabetes.
However, as people are becoming more and more health-conscious, they are looking towards fitness studios as a viable solution.
And the current business model, with the benefits that rental studios bring with it, will help the industry grow much more profitable in the near future.
Final Thoughts
If you’re thinking about where or when to start looking for a rental space in Singapore, you can always check out the studios which come at a nominal fee.
They will help you to manage your finances better and allow you to concentrate on expanding your start-up by creating a sense of community.
We hope you enjoyed our guide today.
Till next time!
