Podcast Summary: Pilates Business Podcast - "Profit Isn’t a Dirty Word: The Financial Foundations for Studio Success"

Release Date: July 7, 2025
Host: Seran Glanfield

Introduction: Embracing Financial Accountability

In the episode titled "Profit Isn’t a Dirty Word: The Financial Foundations for Studio Success," Seran Glanfield addresses a critical yet often overlooked aspect of running a successful Pilates studio—financial management. Seran emphasizes that while passion for teaching and community building drives studio owners, overlooking the financial side can impede growth and profitability.

Seran Glanfield [00:00]: "You might be making less than you deserve. Because the truth is that if you're avoiding your finances, you're avoiding looking at numbers."

The Importance of Understanding Your Numbers

Seran begins by acknowledging that many studio owners enter the business to share their love for Pilates, not necessarily to become financial wizards. However, she stresses that understanding financial metrics is essential for sustainable growth and avoiding anxiety related to financial uncertainty.

Seran Glanfield [00:01:30]: "If you want to keep teaching, keep your doors open, and continue to make the impact you want, you do have to know your numbers."

Common Financial Missteps Among Studio Owners

The podcast delves into common mistakes that studio owners make regarding finances, such as:

1. Avoiding Numbers: Treating financial metrics as a "scary closet" leads to reliance on intuition rather than data-driven decisions.
2. Underpricing Services: Without a clear understanding of financial health, studio owners may underprice their offerings, resulting in lower profits.
3. Lack of Financial Systems: Without structured financial systems, growth can lead to chaos and overwhelm, negating the benefits of increased revenue.

Seran Glanfield [00:05:45]: "When you don't know your numbers, you can't make confident decisions."

Key Financial Metrics Every Studio Owner Should Track

Seran outlines the essential financial metrics that studio owners need to monitor:

1. Revenue: The total income generated from classes, memberships, and other services.
2. Expenses: All costs associated with running the studio, including rent, salaries, and utilities.
3. Profit: The net income after subtracting expenses from revenue.

These "core numbers" provide a snapshot of the studio's financial health but don't offer insights into underlying trends or issues.

Seran Glanfield [00:10:15]: "Revenue, expenses, your compensation, profit, don't tell you the whole picture."

Delving Deeper with Key Performance Indicators (KPIs)

To gain a more comprehensive understanding, Seran introduces the concept of KPIs—Key Performance Indicators—that act as "vital signs" for the business. KPIs help in identifying trends, spotting potential problems early, and focusing on activities that drive growth.

Selecting the Right KPIs

Seran advises studio owners to choose KPIs that align with their specific business goals, structure, and model. For instance:

• Client Retention Rate: Ideal for established studios looking to maintain a loyal client base.
• Intro Offer Conversion Rate: Crucial for new studios assessing the effectiveness of promotional offers.
• Average Client Spend: Helps in understanding the revenue generated per client.
• Class Capacity and Utilization: Ensures classes are both profitable and adequately filled.
• Payroll Management: Tracks one of the most significant expenses to ensure sustainability.

Seran Glanfield [00:15:50]: "Your KPIs should be specific to your business goals, your business structure and your business model."

Implementing Financial Systems for Sustainable Growth

Seran emphasizes the necessity of establishing financial systems to manage increased revenue without succumbing to stress or chaos. She introduces the "Profit First" philosophy, which involves allocating profits first before addressing other expenses. This method ensures that studio owners consistently pay themselves and reinvest in their business.

Seran Glanfield [00:22:30]: "Paying yourself first isn't selfish, it's actually really smart. It helps to ensure that you are energized to continue to do what you do."

Mindset Shifts: Redefining Success and Profit

A significant portion of the episode focuses on the psychological aspects of financial management. Seran discusses how studio owners often associate personal worth with business income, leading to anxiety and self-sabotage despite financial success. She advocates for viewing profit as a tool that enables greater impact rather than a measure of self-worth.

Seran Glanfield [00:30:10]: "Profit is not a dirty word. It's actually what allows you to serve more people more powerfully every single week."

Practical Steps to Gain Financial Clarity

To make financial management approachable, Seran recommends:

1. Monthly Financial Reviews: Allocate time each month to assess key financial metrics.
2. Basic Tracking Tools: Utilize simple tools like Google Sheets to monitor essential numbers.
3. Scheduled Money Dates: Set aside time weekly to review financial data, ensuring consistent attention without becoming overwhelmed.

Seran Glanfield [00:28:45]: "You don't need a fancy accounting degree to get comfortable with your numbers."

Recap and Actionable Takeaways

Seran concludes the episode by summarizing the main points:

• Understand Your Core Financial Metrics: Regularly monitor revenue, expenses, and profit.
• Select Relevant KPIs: Choose indicators that align with your business goals and model.
• Implement Financial Systems: Adopt strategies like the Profit First philosophy to ensure consistent profitability and personal compensation.
• Adopt a Healthy Money Mindset: Separate personal worth from business income to reduce stress and prevent self-sabotage.
• Consistent Financial Reviews: Establish a routine for regular financial check-ins to maintain clarity and drive informed decision-making.

Seran Glanfield [00:35:20]: "Avoiding your finances is probably holding you back, and you only need to track a handful of numbers to get clarity around what's happening in your business."

Conclusion: Empowering Studio Owners Through Financial Mastery

Seran wraps up the episode by encouraging studio owners to embrace financial management as a leadership skill. By taking control of their numbers, owners can make confident, data-driven decisions that propel their businesses forward.

Seran Glanfield [00:38:05]: "There is no one way to do what you do, only your way. So whatever it is that you want to do, create or offer, you've got this."

For those seeking further guidance, Seran invites listeners to join "Thrive Inside," a community focused on enhancing financial literacy and business growth for boutique fitness studios.

Notable Quotes with Timestamps

• Understanding the Necessity of Financials:

  "If you're avoiding your finances, you're avoiding looking at numbers." [00:00]

• The Role of KPIs:

  "Your KPIs are your key performance indicators. They are like vital signs for your business." [00:18:40]

• Profit First Philosophy:

  "Paying yourself first isn't selfish, it's actually really smart." [00:26:15]

• Mindset on Success:

  "Profit is not a dirty word. It's actually what allows you to serve more people more powerfully every single week." [00:34:50]

• Final Encouragement:

  "There is no one way to do what you do, only your way. So whatever it is that you want to do, create or offer, you've got this." [00:37:50]

Final Thoughts

"Profit Isn’t a Dirty Word: The Financial Foundations for Studio Success" serves as a crucial reminder that financial literacy is not just for accountants but a fundamental leadership skill for studio owners. Seran Glanfield effectively demystifies financial management, providing actionable strategies and mindset shifts that empower Pilates studio owners to build profitable, sustainable businesses. By embracing their numbers and implementing tailored financial systems, studio owners can reduce stress, avoid burnout, and focus on what they love—transforming lives through Pilates.