Predictable cash flow…Would it comfort you to know that your rent is paid before you even put the key in the door on the 1st of the month? By selling memberships, you can count on recurring monthly revenue to cover overhead costs. The more memberships you sell – the more bills you don’t have to worry about paying!
Increase the value of your business, especially if you’re looking to sell. Every time you sell tanning minutes or packages, you are paid in advance for a service which you have not yet provided to the client. This is essentially a liability for your business for as long as you owe these services. When you sell memberships the recurring monthly revenue is an asset. At any time, you owe your clients only 30 days of services. Having an average of $$ in recurring monthly revenue increases the value of your business.