The 2 Hardest Businesses to Start

Summary

• Gyms and restaurants are very challenging businesses to run successfully.
• People often enter the gym and restaurant industries due to their passion for food or fitness.
• The market for gyms and restaurants is highly competitive, often priced at break-even or less.
• Many people are willing to run these businesses without making a significant profit.
• Unlike gyms and restaurants, industries like mortgage sales and investment banking attract people who aim to make money, not just follow a passion.

Video

How To Take Action

I would suggest implementing a few key strategies to ensure success in highly competitive industries like restaurants and gyms, especially because these areas can often break even or less due to high passion and low-profit margins.

First, focus on differentiating your business. Find what makes your gym or restaurant stand out. Is it a unique fitness program or a special menu item? Make sure that whatever your unique selling proposition is, it's clear to your customers. This helps you draw in clients who are specifically looking for what you offer.

A good way of doing this is by providing exceptional customer service. Train your staff to offer friendly and helpful interactions every time. Happy customers are more likely to return and recommend you to others, which is invaluable in a competitive market.

Next, manage your costs meticulously. Track your expenses and look for areas where you can cut costs without sacrificing quality. For example, negotiating better rates with suppliers or reducing waste can save a lot of money. This way, even if you're operating in a break-even market, you can at least maximize your margins.

Another valuable strategy is to utilize low-cost marketing techniques. Social media is a powerful tool that can help you reach a broader audience without spending much money. Regularly post engaging content that highlights what makes your business special. This keeps your business in the minds of potential customers.

Lastly, don't be afraid to ask for feedback. Regularly survey your patrons to find out what they like and what they think could be improved. This not only helps you get better but also shows your customers that you care about their experience.

By focusing on these strategies, you'll maximize your chances of turning a passion-led business into a profitable venture.

Full Transcript

gyms and restaurants are two businesses that are just very very hard businesses restaurants and gyms are two businesses that people get into because they love food or they love cooking or they love Fitness so basically because of that the market is priced at break even or less because people are willing to do it and not make money no one stays in mortgage sales and doesn't make money no one stays in Investment Banking and just does it for passion