IHRSA’s Take 5: The Next Round of PPP Loans & Your Club [VIDEO]

Hope is on the horizon even as grim numbers seize headlines.

We have new numbers showing that 17% of clubs closed permanently, making clear COVID-19’s impact on the industry. To soften the blow, the second round of PPP loans are available to businesses that qualify.

In this week’s Take 5, Brent answers some pending questions on the loans and announces IHRSA’s new collaboration with REX Roundtables called “Talks & Takes.” Along with this new talk show and IHRSA’s 2021 webinar series, staying informed on all aspects of the industry will be easier than ever.

In addition, Brent also discusses the goals of the Global Health & Fitness Alliance.

Watch the full video for all of the latest news. You can also read the transcript below.

• 0:31 - New Round of PPP: FAQ
• 1:45 - Latest Data on COVID-19’s Impact on the Industry
• 2:34 - Announcing ‘Talks & Takes’—a Virtual Talk Show
• 3:15 - IHRSA Educational Webinar Series for 2021
• 3:56 - Global Health & Fitness Alliance Goals & the Industry’s Future

Full Transcript

This week, I'm sharing some answers to the biggest questions that we're getting regarding the newest round of PPP, the latest data on U.S. club closures, an announcement about a new great collaboration between IHRSA and REX Roundtables, information about IHRSA's educational webinar series, which is kicking off again for 2021, and a few of the goals and objectives for the Global Health & Fitness Alliance.

It's time for another installment of IHRSA's Take 5, sponsored by Precor.

New Round of PPP Loans: FAQ

We've received a lot of questions regarding the newest round of PPP that the SBA and U.S. Treasury announced recently. We're going to include some helpful links to even more information in the description of this video. But here's just a few quick answers to some of the most frequent questions that we've been getting over the last week or so.

You may be eligible for a second round of PPP if these three things apply to you.

• Number one: You previously received PPP and will or have already used the full amount for authorized uses only.
• Number two: You had no more than 300 employees.
• Number three: You can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020.

Also, just a few other quick tips, the payroll multiplier for the health and fitness industry is 2.5. You should submit your application as soon as possible. You can use community or large banks, preferably working through a specific contact person that you already have a relationship with.

For more information though, be sure to check the links in the description of this video. This is a great program that will be a saving grace for many clubs around the country.

Latest Data on COVID-19’s Impact on the Industry

We have some new insights on how COVID-19 has impacted the fitness industry. The latest data that we've been looking at is from the top 10 companies that process health club membership payments. And what we found is that it shows that 17% of U.S. health clubs have already closed; breaking that number down a little bit further, 14% of those closures have been gyms, and 19% of those closures have been studios that have gone out of business.

This data is based on clubs that were open as of March 2020, but have now permanently closed as of December 31, 2020. As we look forward [to] 2021, there's expected to be some further closures especially in those states where there's the most severe restrictions.

Announcing ‘Talks & Takes’—a Virtual Talk Show

Something that I'm really excited to announce is the upcoming launch of Talks & Takes, which is a collaborative effort between IHRSA and REX Roundtables. Think of this as a monthly virtual talk show. The first of its kind really for the fitness industry where experts discuss current events, industry news, and hot topics, within and about the industry.

These events are going to be free and open to all fitness industry professionals, leaders, and stakeholders. So invite anyone and share this news with anyone you think might like to hear.

Our first Talks & Takes we'll be on January 27 and you can visit the IHRSA website to register for that. I hope you'll join us there.

IHRSA Educational Webinar Series for 2021

If you want to keep your team's skills sharp, be sure to check out IHRSA's educational webinar series, which is now sponsored by VFPNext. VFPNext I know very well they've been a tremendous resource and supporter in our industry for decades. And [they] not only offer a great product, but they're also really great people.

These monthly webinars are going to cover topics like sales and marketing, personal training, technology, operations, leadership, and more. Plus, they're free for IHRSA members, and they're available to non-members for a small fee. You'll find in these webinars that there's something for everyone and our entire library is available on demand on the IHRSA website.

Global Health & Fitness Alliance Goals & the Industry’s Future

And finally, since our first Global Health & Fitness Alliance meeting back in November, over 40 club and industry partners from across North and Latin America, Europe, the Middle East, and Asia-Pacific have volunteered their time and expertise, I want to share just a couple of the goals that they agreed upon, and what the global fitness industry can look forward to in 2021.

• One is promoting the industry's vital contributions to help well-being and the prosperity of different societies around the world.
• Another is promoting policies, standards, and regulations that support health and fitness business operations.

That's it for this week. I hope you'll check out the IHRSA website for much more that I didn't get time to cover today.