Why one gym gave up $700K/yr to build a better business

Hey Gym World,

Most gym owners don’t struggle because they don’t work hard enough. They struggle because they’re stretched too thin. One minute you’re coaching, the next you’re cleaning, then you’re chasing leads or doing the books. It wears down even the most passionate owners.

Lane and Payden Montgomery know that feeling well—they spent 13 years running every part of Go Performance & Fitness. And while their gym made $700K a year from large group and other programs, they did it without ads, without systems, and without a sales process—and it was burning them out.

Until eight months ago, when they switched to the semi-private training model and put systems in place. That gave them:

• Higher revenue per client

• More personalized coaching

• A better member experience

• More meaningful work for coaches

• More time and freedom

They did lose 80% of their members, but they came out stronger than ever. Now they make around $58K a month in recurring revenue, run a more sustainable gym, and most importantly, have their spark back.

If you’ve ever worried about losing members or burning out, watch the video below to see how Lane and Payden overcame both and built a better gym in the process.

Don’t have time to watch right now? Here’s the summary:

The Problem

It’s easy to think that offering more services will help more clients. But in reality, it just makes your business more complicated.

When Go Performance & Fitness opened in 2012, they offered large group, 24/7 access, sports performance, and 1-on-1 training, among others. But they didn’t have systems to grow, sell, or even manage the gym.

Without systems and processes, Lane and Payden carried every role in the business. Lane spent up to 30 hours a week coaching on top of programming and operations, while Payden managed everything on the back end.

Do that consistently for 13 years, and it takes a toll. The spark that got you into the business fades when you’re the one dealing with every problem and fixing every issue.

Even Lane’s client-first mindset backfired over time. Members blurred the lines by bringing friends for free, feeling entitled to the gym, and taking advantage of goodwill.

And then there were cracks in the model itself:

• Limited parking that couldn’t handle the member load

• A messy facility from too much traffic

• Clashing cultures from too many services

• High churn in large group training

On the outside, the gym looked successful. But inside, it was exhausting and unsustainable.

Something had to change.

The Solution

Three years ago, Lane and Payden reached out to a business coach and started working through Traction by Gino Wickman.

They also joined a mastermind to learn how to implement systems, automation, and sales processes.

Last fall, at a growth summit, they heard about the semi-private training model and realized that one great service could deliver what five average ones never could: equal or greater revenue with fewer members and far less complexity. For a gym owner, that means:

• Fewer members paying more, making the gym easier to manage

• Personalized programming that delivers better results

• A stronger member experience that keeps people longer

• Coaches focusing on meaningful work

By the end of the summit, Lane and Payden stopped selling memberships to their other programs and started testing semi-private. They hand-picked members who would benefit most (like those recovering from injuries or needing more support) and set aside mornings to run test sessions.

The Tension

By January 2025, the gym ran semi-private alongside large group training, with plans to keep both models until the summer.

But here’s the thing: members don’t always handle change the way you hope. For Lane and Payden, announcing the shift only made things worse:

• Members complained about higher prices

• Some made sarcastic comments like “look at the rich people”

• The negativity hurt the gym’s mission, values, and culture

• Coaches grew tired of the whining and started feeling miserable

With the culture slipping and coaches pushing for change, they pulled the plug in February and switched fully to semi-private, six months ahead of schedule. It triggered a mass exodus, but it was the best move they ever made.

The Results

Today, Go Performance & Fitness runs entirely on semi-private training. One coach works with six clients at a time, and each member pays $399 every 28 days.

Along the way, Lane and Payden tightened up the business. They added contracts, hired more coaches, introduced staff uniforms for a professional look, and brought on a marketing director.

Since switching, they’ve averaged $58K a month in recurring revenue, up from $46K a month the year before.

And beyond the revenue, the model is:

• Simpler to run day to day

• Generating more profit

• Giving coaches meaningful work

• Creating a culture that members want to be part of

TL;DR

Eight months ago, Lane and Payden walked away from a $700K-a-year model that looked successful but was burning them out. The switch to semi-private cost them the majority of their members and brought months of tension. But today, their gym is easier to run, more profitable, and gives them the freedom they didn’t have before.

If you’re a gym owner, their story is a reminder that growth doesn’t come without challenges, but the rewards are worth it if you build the right foundation.

Here are a few lessons you can take from their journey:

• Get help when you need it. Mentorship, masterminds, and proven frameworks can give you the clarity to fix problems you can’t solve alone.

• Put systems in place. Contracts, staff development, and processes protect your time and culture.

• Don’t announce changes too early. Lane and Payden’s biggest pushback came from members resisting a change that wasn’t even fully implemented yet.

• Expect tension. Shifting models, raising prices, or setting boundaries will upset some members, but the right ones will support you.

For more insights, check out their Gym World Worldwide interview on YouTube, Spotify, or Apple Podcasts.

cheers,

j