Why £120 an hour really is the magic number

Why £120 an hour really is the magic number

November 14, 20251 min read

We’re not talking about charging £120 an hour…

We’re talking about your business earning £120 an hour

That’s the figure a fitness business needs to hit to run properly, pay staff, cover costs, and still make a healthy profit, without you being trapped on the gym floor every day

Here’s how it actually breaks down 👇

You make £120/hour

Then…

* £12 goes straight to VAT

* £15 pays your coach

* £13 covers rent and running costs

* Facebook Ads £600/month (£3.50/hr)

* 2 full-time staff (£23/hr)

* LeadDec £147 (£0.85/hr)

* Music licence £120 (£0.70/hr)

* MyZone £120 (£0.70/hr)

* Bin collection £40 (£0.25/hr)

* TeamUp £97 (£0.60/hr)

* Other overheads (insurance, cleaning, utilities, accounting, Stripe fees, software, equipment wear) around £10–£12/hr

After all that, you’re left with roughly £35/hour profit

Then from that, take 8% business tax, leaving you around £32/hour in true profit

And here’s the key point 👇

You don’t want to be earning £120/hour only when you’re at 100% capacity

That leaves you no space for quiet weeks, cancellations, holidays, or slower seasons

You want your business set up so it’s earning £120/hour at 60–70% capacity

That gives you breathing room, security, and freedom to make smart decisions without panic

If you want the full breakdown of how to actually make this happen

I wrote a full guide for the FitPro Incubator clients on The 4 Pillars to Growing a Profitable Fitness Business, let me know if you want it

You got this 💪

David :)

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