Scaling and Exiting: Success Strategies for Boutique Studios, with Mitch McGinley
Most studio owners focus on growth, retention, and scaling—but how often do we think about an exit strategy? The truth is, whether you’re planning to sell in the next year or the next decade, building your business with an exit strategy in mind is just smart business.
And as Mitch McGinley—a former studio owner turned Boutique Fitness Broker—put it in our recent episode of Multi-Studio Mastery, the best exit strategies aren’t just about selling. They’re about creating a studio that thrives with or without you.
The Reality of Selling a Studio
Many studio owners don’t realize this until it’s too late: buyers don’t just look at how much revenue you’re bringing in—they look at how well your business runs without you. If your studio only works because you’re doing everything, it’s not an asset. It’s a job. And convincing someone to pay for a job they have to step into? That’s a tough sell.
What Makes a Studio Sellable?
So what makes a studio attractive to buyers? According to Mitch, there are three key factors:
- Profitability – Your financials need to be clean and show real, sustainable profit. The reality is, buyers want to invest in a business that generates income—not one where they’ll be scrambling to break even.
- Owner Independence – The less your studio depends on you to operate, the more valuable it becomes. A strong team and solid systems allow a new owner to step in seamlessly.
- Lease & Location – Your rent and lease terms matter. If you’re locked into an expensive, inflexible lease, it can deter buyers. On the flip side, a well-negotiated lease in a prime location can make your studio more attractive.
Always Be Ready (Even If You’re Not Selling Yet)
Even if selling isn’t on your radar, preparing your studio as if it could be sold at any time forces you to make better business decisions. Streamlining operations, building a reliable team, and ensuring profitability aren’t just good for a potential buyer—they’re good for you, your members, and your peace of mind.
And for those eyeing serious expansion? Growth through acquisition may be your best bet. Instead of building from scratch, buying an existing business with cash flow, a client base, and infrastructure already in place can accelerate your scaling efforts without the heavy lift of starting new locations from zero.
Your Business, Your Terms
Ultimately, your exit strategy should align with your goals. Maybe it’s selling to a private buyer, passing ownership to a trusted manager, or even scaling up to attract a bigger investor. But the sooner you start thinking about your options, the more control you’ll have when the time comes.
Because as Mitch said, “Manifesting your exit is just a matter of putting a plan into motion.”
If you want to hear more insights from Mitch on what makes a boutique studio valuable (and sellable), catch the full episode here.
