Fitness Entrepreneur Hits Payday with Snap Purchase
When did entrepreneur Steele Smiley know he’d made it? “About two months ago, when Peter bought the company,” Smiley said when interviewed for a story in the January issue of Franchise Times.
He’s referring to Peter Taunton, the founder of Snap Fitness of suburban Minneapolis, who bought Smiley’s company with cash in the fall, and brought Smiley on board to oversee the rollout of Steele 365, as the new high-end, 24-hour fitness clubs will be called. Smiley will also oversee the design and branding of all the brands under Snap’s umbrella.
The prototype store, with $79 a month promotional membership fees in the beginning, just opened, and will be perfected and tested in other markets before a national rollout.
Taunton is the unusual franchisor executive who is acting like a private equity firm, only one who buys brands with cash generated from the 10-year-old Snap Fitness. Taunton’s vision is to buy or create many brands in the fitness space, each with a different niche. 9Round, Kosama and now Steele 365 all are part of the pattern.
See the full article in the January print edition.