Yahoo Finance Fitness business hits new heights making $75k a month
Peter Hickey is the co-founder and managing director of Combine Air Training, which he launched in 2020 after five years of running altitude training at Peak Altitude and Fitness. The business now has two clubs in Rozelle and Concord in New South Wales, a team of close to 30 and is exploring franchising. Yahoo Finance caught up with Hickey to hear his plans to franchise and scale the business to seven-figure revenue.
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What does your business do?
PH: We basically provide a fun, diverse and dynamic group training session at equivalent to being 3,500 metres above sea level, which would allow you to burn more calories in the session, have greater after-session calorie burn, develop more lean body mass, and just get a generally up-to-25 per cent more effective workout.
Initially, we started off by having a small section or ’chamber’ where one or two people would exercise in a high-altitude training facility, similar to what athletes have done for many years to gain their competitive advantage to get fitter, faster and stronger. We offered a point of difference that evolved and the benefits of the simulated altitude training became apparent; we then wanted to bring altitude training and its benefits to the mainstream fitness population.
What led you to start the business?
PH: I've always been into sport and did a degree in Exercise and Sports Science at Sydney University. From there, I worked in the fitness industry as a personal trainer in exercise rehab. I was an exercise physiologist and then moved into more management roles. So I then went on to do my MBA at UTS and decided to go more that business direction in between. So, I spent a couple of years over in London working and managing health clubs, which was a great experience. Then I moved back to Sydney to take on my own business and part of that was the move into using simulated altitude training as a point of difference with our health clubs.
You started your business during the COVID-19 outbreak, what was the impact of being a startup in a global pandemic?
PH: The first lockdown was probably one of the catalysts to provide me the time and the opportunity to really focus on the franchising model. Our showroom or flagship site at Rozelle, was doing amazing. Within six months, we hit revenue targets up to $75,000 a month. We obviously engaged our members through online personal training, outdoor training ... those two elements as the sort of health advice changed and what legislation we could work within. We are now in the process of franchising with a number of franchises opening up this year and hopefully it’s a big 2022.
What have been some of your biggest milestones in business?
PH: Certainly, the feedback from our members who we term ‘All Stars’, the results they're getting. It's become a real family and that's what we wanted to create. A lot of people think if it’s simulated altitude training it must just be for the really fit and it’s not at all. We have such a range in our All Stars and they’re shocking themselves in terms of what they're able to achieve after six-eight-12 weeks of training. The success of the two clubs is obviously instrumental and that's really rewarding, and then I think now that we are franchising, just working with like-minded people who want to build a better future for themselves and are looking to take on a franchise.
What have been some of your biggest mistakes in business?
PH: I think, like anything with business, you're learning all the time and it’s key to be able to learn from your mistakes. If you don't push the boundaries and if you're scared of making a mistake, I think you'll limit yourself.
What is your best piece of advice for an aspiring entrepreneur?
PH: Firstly, you’ve got to believe in yourself and back yourself. And then, I think the second part is to surround yourself with a strong team who have a similar long-term vision for the company and who bring skillsets that aren't your strengths and can help you build and work towards that end goal.
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