One of the greatest challenges for gym owners is the trap of working too much in the business instead of on the business. It’s the difference between being a fitness operator and being a true entrepreneur. Many owners start their gym journey because they love training, coaching, and helping people. But what often happens is they become bogged down in day-to-day tasks, leaving little energy for the high-level strategy that actually grows the business.
This distinction can make or break your gym. Let’s explore how to know where your time is going, how to step into the CEO role of your business, and why working on your business is the path to long-term success.
What It Means to Work In the Business
Working in the business means you’re caught in the weeds of daily operations. It’s necessary at times—especially in the early days—but it’s not where your energy should stay. Examples include:
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Running the front desk or covering shifts.
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Teaching every class yourself because “no one else does it like me.”
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Handling member complaints directly instead of having a system for resolution.
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Doing all sales tours and follow-up calls personally.
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Cleaning equipment, folding towels, or ordering supplies.
These tasks are important, but they’re not strategic. They keep the business running but don’t move it forward. Over time, living in this mode leads to burnout, missed opportunities, and stalled growth.
What It Means to Work On the Business
Working on the business means you’re focused on growth, leadership, and creating systems that allow your gym to operate successfully without you in the trenches every day. Examples include:
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Developing a 90-day sales and marketing plan.
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Training and empowering staff to run operations, sales, and service.
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Building partnerships with local businesses to drive referrals.
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Reviewing financial reports, KPIs, and cash flow projections.
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Creating scalable systems for sales, marketing, and operations.
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Working with mentors, consultants, or mastermind groups to refine your strategy.
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Innovating—launching new services, programs, or revenue streams.
When you’re working on your business, you’re building an asset that grows in value, runs efficiently, and eventually gives you freedom.
How to Tell the Difference
The simplest way to know where you stand is to ask yourself one question every day:
“If I step away for a week, will my gym continue to run and grow without me?”
If the answer is no, you’re still too deep in the business.
Here are some signals:
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You’re indispensable for daily operations. If every decision, approval, or solution must come from you, you’re working in the business.
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Your revenue depends on your presence. If your absence equals lost sales or service, you haven’t built systems that work without you.
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You spend little time on strategy. If you rarely set aside time for planning, innovation, or leadership, you’re not working on the business.
Shifting From In to On
Here’s how to start making the shift:
Document and Delegate
Create standard operating procedures (SOPs) for sales, service, and operations. Train your team to handle them, and hold them accountable.
Hire or Outsource Key Roles
Sales managers, operations managers, marketing agencies—these roles allow you to step back from tactical execution.
Schedule CEO Time
Block off weekly “CEO hours” to review KPIs, assess strategy, and make decisions that move the business forward.
Focus on High-Leverage Activities
Partnerships, brand building, strategic marketing, and staff development produce outsized results. Spend your energy here.
Measure Success by Growth, Not Busyness
Being busy is not the same as being effective. Measure success by increased memberships, revenue, retention, and profitability.
Why This Matters
The ultimate goal of your gym business should be freedom and scalability. A gym that relies solely on your sweat equity is a job, not a business. A gym that runs on systems, leadership, and vision is an asset. That’s what attracts investors, creates long-term wealth, and gives you the ability to step away without everything collapsing.
Final Thought
Every successful gym owner eventually learns this: the more you work on your business, the less you’ll have to work in it. Your role is not just to keep the lights on—it’s to build a machine that grows, adapts, and thrives. Step into the CEO role of your fitness business, and you’ll discover freedom, scalability, and true ownership.
Need help building systems, improving your facility, or turning around your gym business? Contact Jim here.
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Meet Jim Thomas
Jim Thomas is the Founder and President of Fitness Management USA, Inc., a premier management consulting, turnaround, financing, and brokerage firm specializing in the leisure services industry. With over 25 years of hands-on experience owning, operating, and managing fitness facilities of all sizes, Jim is an outsourced CEO, turnaround expert, and author who delivers actionable strategies that drive results. Whether it’s improving gym sales, fostering teamwork, or refining marketing approaches, Jim has the expertise to help your business thrive. Learn more by visiting his website or YouTube channel
