His first gym went bankrupt. His second makes $28K/month.

Buenos días Gym World,

Scott Drapeau started his first gym in a garage. It didn’t work out, so he tried again.

Today, Alliance Athletics makes $28K a month, has 300 members, and grew from 50 to 300 members in just two years with a 30% profit margin.

My co-host Mateo sat down with Scott to find out what changed.

Here’s what he said 👇

What Went Wrong the First Time

After 8 years in the military, Scott came home ready to build something new. He loved powerlifting and fitness, so in 2018, he opened a strength gym in his garage.

But the gym struggled and never really grew. After 9 months, Scott filed for bankruptcy and shut it down. Looking back, he says a few key things got in the way:

• He didn’t know how to use social media to attract clients

• He didn’t have much experience running a business

• His coaching style was gentle and encouraging

• His branding was intense and aggressive

• The disconnect made it hard to reach the right people

Scott identifies as non-binary and never really felt like he belonged in traditional gyms. Even after closing his first gym, he still wanted to try again. This time, he:

• Joined the Gym Owners United Facebook group to get advice and learn what was working for other gym owners

• Chose a clear audience and built the gym for the queer community in his area

• Made sure the branding reflected who he is: welcoming, supportive, and approachable

• Focused on creating a space where people could feel safe and accepted

• Put systems in place to run the business more smoothly

In 2022, Scott opened Alliance Athletics in an 800 sq ft space. Since then, it has grown to five times its original size.

What Changed the Second Time

Three years after starting over, Alliance Athletics is doing $28,000 a month in revenue, serving 300 members, and running at a 30% profit margin.

So what changed this time?

Better Branding

Powerlifting helped Scott feel stronger and more confident, and he wanted to give that same experience to others in the LGBTQ+ community. Like many in the queer community, he never felt comfortable in traditional gyms. So he built Alliance Athletics as a space where members could look better, feel better, and train in a safe, inclusive atmosphere.

To make that happen, Scott:

• Keeps the space bright, clean, and open

• Stocks feminine products in all bathrooms

• Promotes a non-judgmental, beginner-friendly culture

Unlike the first gym, this brand feels aligned with who Scott is and naturally attracts the people it’s meant for. And while niching down might sound limiting, it’s often a smart strategy.

When you build your brand around a specific group of people, it becomes easier to attract the right members, deliver a great experience, and grow a profitable gym. We’ve seen this time and again on Gym World:

• Lindsey Vanschoyck helps women dealing with hormonal changes in perimenopause and menopause, and makes $100K/month.

• Mark Fisher built a one-of-a-kind gym for Broadway performers and generated $34M over 13 years.

• Brian Sanders created a social club for health-conscious meat eaters and spiritual bros, bringing in $14K/month from events alone.

Each of them picked a niche and leaned into it. The result? A brand people love, and a business that scales faster.

Stronger Systems

At the start of 2023, Alliance Athletics had 50 members. Most were Scott’s massage clients, but that changed when he started working with Kilo.

He launched a new website that was:

• Designed to attract leads and drive conversions

• Built to rank in local searches

• Fast and mobile-optimized

• Branded to reflect his gym’s identity

Then he added Gym Lead Machine (GLM) to automate follow-up. Now he knows exactly when a lead opts in, can respond right away, and track key metrics through a clean, easy-to-use dashboard.

Scott also uses Kilo’s gym management software to handle billing, scheduling, and member accounts. All three tools work together seamlessly, so he spends less time on admin and more time building the business.

Since switching to Kilo, the gym has grown from 50 to 300 members in under two years—and Scott now works just 16 hours a week.

Effective Model

While Alliance Athletics started as a 24/7 access gym at $79/month, Scott added premium services to increase revenue and support different member needs, including:

• 1:1 personal training for $459/month

• Small group personal training for $229/month

• Online programming add-on for $14.99/month

To protect the culture and ensure new members are a good fit, the gym has a simple screening process. New prospects must either:

1. Schedule a tour

2. Do a No Sweat Intro (a 45-minute session to learn the basics like squatting, benching, and deadlifting)

3. Be referred by an existing member

This helps filter out people who aren’t the right match. If they are, the team chats with them about their goals and walks them through the three training options.

Relevant Content

After his first gym closed, Scott spent time learning how to use social media more effectively. And like Gym World guest Joe Strada, Scott doesn’t follow a strict content strategy.

For him, that means using Instagram and TikTok to post whatever feels authentic in the moment.

You’ll notice Scott’s content rarely features clients. That’s intentional. He chooses to keep the focus on himself to protect member privacy, especially since Alliance Athletics is meant to be a safe and inclusive space for the queer community.

He knows this might limit growth because there are fewer testimonials, less social proof, and fewer reshared posts. But protecting the community is more important to him.

TL;DR

Scott’s first gym went bankrupt. But instead of giving up, he learned from the experience and made a few big changes the second time around.

• Created a space exclusively for the queer community

• Built a brand that reflects who he is

• Used tools like Kilo to grow faster and stay organized

• Added premium services on top of a low-cost access model

For more on Alliance Athletics, be sure to watch or listen to Scott’s full interview on Gym World.

adiós,

j

📣 P.S. If you made it this far, tell a fellow gym owner to subscribe to the newsletter.