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Funding
Bootstrapped $1M+
Hydrogen Fitness has been bootstrapped by its founder for $1.28M+ since inception.
COVID-19 has produced excellent gym location options. We are looking to add two additional locations in high-end markets before we start franchising our concept. To accomplish this, we are seeking $1M for our 2nd location at a $5M valuation.
Vision and strategy
Franchising after 3 locations
Hydrogen Fitness plans to open two new locations in New Jersey and Southwest Connecticut. Once 3 locations are active, we plan to begin franchising in January 2023. This should allow us to get to 100 units by 2026 and should generate significant franchising revenue, overshadowing corporate location revenue.
Problem
Gyms aren’t delivering what people need
Gyms aren’t delivering what people need when it comes to lifestyle and exercise, particularly during COVID-19. More and more people are looking for an alternative fitness center that delivers in all areas—quality, cleanliness, dynamic classes, childcare, and options for fitness at all levels—without the high-end prices of most luxury gyms.
Solution
A new fitness concept
Hydrogen Fitness is a new fitness concept designed for a COVID-19 environment in the Hartsdale/Scarsdale area as well as Lower Westchester, NY. We offer the premium aspects of an Equinox environment—including classes, towel services, and childcare—for 1/3 of the cost.
Each gym is equipped with state-of-the-art equipment, as well as experienced instructors and personal trainers that are available to members.
Product
Hydrogen Fitness offers 40+ classes, personal training, and other benefits
Hydrogen Fitness allows clients to get back into their fitness routine with brand new equipment, 11K square feet of hygienic gym space, and immediate staff on hand. Whether clients are after a clean gym with brand new equipment or amenities like childcare and towel service, Hydrogen Fitness accommodates a wide spectrum of possibilities.
Our gym offers a full range of fitness options for all levels. We'll offer 80+ classes a week in the near future, including Zumba, Yoga, Spin, Boxing Bootcamp, TRX, and more. All of this is available 24 hours a day, every day of the year, including holidays!
We also offer an app that provides class schedules, social media interaction, fitness goals, and in-club challenges. The app even syncs with many of the popular fitness tracking devices and fitness apps on the market.
Traction
First location saw 775 members during COVID
Hydrogen Fitness's first location in Hartsdale, NY opened on August 24th, 2020, and within 11 months we grew to 750 members—all during COVID! We targeted Hartsdale due to the close proximity to the Metro North Train Station and Manhattan, plus its position in a high-income location with an HHI of $250K.
Customers
From fitness enthusiasts to beginners, you’ll find a class you love
Our location is perfect for commuters. We are located across the street from the Metro North Train Station, which shuttles passengers to Midtown Manhattan in just 30 minutes or less. We also serve the retired population that surrounds our facility in the dense multi-family buildings that line the street.
One of our core tenets is making fitness accessible to people of all ages, levels, and interests. To facilitate this goal, we've hired experienced instructors who lead classes across virtually all types of fitness.
Our clients have praised our cleanliness and thorough approach— not only to their personal health, but also their personal safety. We have a rating of 4.8/5 on Google and 75+ reviews.
Business model
Annual or monthly memberships
Members can choose between monthly or annual memberships, and select one of the two plans listed below. All new membership agreements have a $59.99 yearly maintenance fee and a $99.99 initiation fee. There's a $10 additional fee for month-to-month memberships that can be canceled at any time. 
Market
Gyms generated $96.7B+ in 2020
The global gym industry serves more than 184M gym members. In 2020, the global market grew to $96.7B+.
In the US, membership fees comprise 60%+ of the overall health and fitness industry revenue.
Competition
Offering premier gym luxuries at a lower cost
Hydrogen Fitness is competing with corporate gyms within the area on both ends of the expense spectrum—from Equinox at $180/month, to Planet Fitness at $9.99/month. Our competitive advantage is the combination of premier luxuries like a plethora of class offerings, childcare, towel service, and extreme cleanliness, at a much lower cost than any other club with similar amenities.
Founder
Entrepreneur & real estate investor with successful dietary supplement company
Jon Gutwein
Founder
My passion to improve people's health started with my supplement & vitamin company, and has now expanded to the fitness world with the successful launch of Hydrogen Fitness.
COVID 19 has reminded us how important it is to lead a healthy lifestyle. The vast majority of what ails us (and makes us more susceptible to worsened cases of COVID 19 and other illnesses) can be averted by diet and exercise, so I am pleased to be involved in businesses in both of these worlds.
