This is a guest post by Kevin Kaiser.
Nationwide, people are hitting the gym to trim their waist lines and fit into their new fall clothes. But subscribing to a gym may end up eliminating your dough instead of doughy fat.
Fitness centers and gyms offer memberships that often require upfront payments from consumers. When these facilities go belly up sooner rather than later, members may lose those initial costs. How can you make sure to avoid this?
The solution is simple: Subscribe to a gym that is bonded and licensed.
Surety bonds are risk-mitigation tools that businesses purchase to protect customers against any financial loss. The three-party agreement ensures that if a gym goes under, it or the third-party surety will reimburse customers after they file a claim against the surety bond.
Just to start the business, some states require gyms and health centers to get bonded via the attorney general’s office. Usually an insurance company sell surety bonds, but some companies specialize in these bonds. By purchasing a surety bond, a gym indicates that customer protection is a No. 1 priority. Consumers can sign up knowing that they cannot be ripped off.
Without a surety bond, getting compensated for prepaid fees means hiring an attorney and paying court fees, which will likely cost more than what you’re owed. Non-bonded fitness clubs can board up the building without ever telling its customers.
Finding out which nearby gym has a bond and license is simple. Attorney Generals’ offices, Consumer protection agencies and Better Business Bureaus are good places to start. The last thing you want to do is agree to a contract with a non-bonded, unlicensed fitness club.
Remember, you want to slip your stomach, not your wallet.
About the Author: Guest Post By Kevin Kaiser, an avid health nut and entrepreneur committed to making sure consumers get the most out of their money.