Health & Wellness

Laura Madeley - Menzies Accountant

Laura Madeley – Director and Health & Wellness Specialist

The Wellness industry was valued at $4.2 trillion in 2017, having grown at around 6.4% per annum since 2015 (The Global Wellness Institute). This is reflective of changing consumer habits and preferences as the population increasingly pursues choices and activities conducive to a healthier lifestyle. There is increasing consumer demand for an integrative approach that recognises the biopsychosocial health model and the impact of our daily environments on our physical and mental wellbeing.

With this enhanced awareness and consumer interest, it is not surprising to see a surge in businesses entering the market, especially in fitness, mind-body practices, wellness tourism, nutrition and complementary medicine.

This guide provides an overview of the key strategic areas you may want to consider in order to help you reach the next level of your business vision. We can support you every step of the way and provide ongoing support, coaching and mentoring.


As Covid restrictions lift how are gyms likely to fair?

With gyms set to reopen from 12 April, will we all be rushing to renew our memberships or will we continue our new found love affair with online fitness, outdoor activities and home workouts?

In an internal poll, 45% said that outdoor exercise would be the focus of their fitness regime going forward, 28% said the gym and 22% favoured home workouts, the remainder opting for none of the above.

There is no doubt that gyms have had a challenging 12 months. With the CEO of Puregym claiming lockdowns have cost them around £150 million, how will gyms recoup lost revenues and meet the pressures on profitability arising from COVID proofing venues and the reduced numbers necessary to accommodate social distancing? The impact of being closed through January will also be felt, as gyms are unable to use this seasonal surge in member numbers and cashflow to support them throughout the rest of the year. It is not going to be easy and financial modelling and cash flow will need to be carefully considered. However, on the other hand, health and wellbeing is forefront in our minds and perhaps one of 2020’s biggest lessons as we re-evaluate what is important. With physical and mental health suffering as a result of the pandemic, opportunities exist for fitness and other wellbeing businesses to meet a consumer demand which may become as unprecedented as the circumstances driving it.


Health & Wellness Sector Challenges

Growing any business can be a challenge, but when your business is in the health and wellness sector, it is likely to require larger amounts of time and energy as well as substantial investment.

Financial Investment

Challenges

  • Building a compelling case
  • Budgets and forecasts
  • Finance options

Solutions

  • Develop a financial business plan
  • Collect and organise important information
  • Assess the key variables that will impact the business

HR Risk / Compliance

Challenges

  • Employment law
  • People issues
  • HR Admin

Solutions

  • Access pragmatic advice to get the job done legally but effectively
  • Maintain up to date policies and procedures
  • Train line managers in the essentials of people management
  • Use slick IT to streamline your HR admin

Brand / Product Development

Challenges

  • Market positioning
  • USP
  • R&D Tax credits
  • Patent Box

Solutions

  • Understand your product life cycle and working capital requirements to help manage cashflow, determine promotion development and pricing strategies
  • Keep track of your products value and impact to remain focused
  • Make use of R&D tax credits and Patent Box

People Strategy

Challenges

  • Skills shortages
  • Attracting the right people
  • Motivating and retaining staff
  • Developing management teams
  • Vision and strategy

Solutions

  • Understand and develop the candidate experience
  • Build employer reputation as great place to work
  • Utilise web and social media potential to reach candidates
  • Use tech to streamline the hiring process
  • Survey staff to find out their satisfactions and drivers
  • Identify positive changes that will help staff to deliver the vision

HR Risk / Compliance

Challenges

  • Employment law
  • People issues
  • HR Admin

Solutions

  • Access pragmatic advice to get the job done legally but effectively
  • Maintain up to date policies and procedures
  • Train line managers in the essentials of people management
  • Use slick IT to streamline your HR admin

“I have worked with Menzies in relation to a number of R&D claims for our company. We found Menzies to be very professional, timely and knowledgeable in the field and a pleasure to communicate with and learn from. Highly recommended.”

Rannesh Jansari, Managing Director, Fushi Wellbeing Ltd

Useful further reading

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Contact Menzies Health & Wellness team.

Our Health and Wellness team work alongside of our wider Hospitality & Leisure sector team to inspire growth and overcome the challenges of operate a business in this crowded and fast-paced market. Find out more about our Hospitality & Leisure advisory services or contact us to discussion your SME business needs.
















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Laura Madeley - ACA

Director

Laura Madeley is a Director at Menzies in Leatherhead specialising in business accounting, audit and compliance advisory services for SME businesses.