Al Tracy, a martial arts studio owner, is warning other martial arts studio owners of the difficulties they will be facing in a worsening economy. I found the article interesting in light of having recently joined a dual CrossFit/Jiu Jitsu gym.
Fortunately for this gym, I think CrossFit is really taking off and most of the participants are adults. Nonetheless, I found Tracy’s warning worth sharing. It is unfortunate, but I can only assume that the effects of a deteriorating economy will grow in the days to come.
July 6, 2008
For too many studios my advice will be too late
3,200++ Martial Arts Studios went out of business in the month of May alone.
In the history of Martial Arts in the United States – nothing like this has ever happened. In one month about 20% of all studios closed their door. Most will never reopen! Most should never been in business to start with.
Fact: Starbucks is closing 600 locations this year because people cannot afford to pay $3 for a cup of coffee.
How do studio owners – especially those with 90% kids expect parents to pay $100 per month plus testing fee’s? Now they have the added expense of $4 a gallon gas.
This is a no brainier for parents: Cut out the kids Karate and Dance lessons.
Hat tip to Mish.
In other unfortunate economic developments, not only is copper wiring being ripped out of homes (both foreclosed or still being built), but reports have emerged that catalytic converters are being sawed off of vehicles for the platinum they contain.
I don’t plan on blogging economics much on this site, but all of this is sad and I only see it getting worse in the coming months. I implore readers to save what they can, get out of debt, and (while hoping for the best) prepare for the worst.
Also, it probably wouldn’t hurt to invest in a bit of gold and silver (if this sounds crazy to you, just do some research — diversifying your savings away from financial assets and real estate by getting into commodities, particularly precious metals, is pretty basic advice).