Project & Budget Proposal

Gleannloch Fitness Center 9-18-2017

Personal

My name is Ray Bessette, I’ve been a Gleannloch resident for over 9 years. I’m an U.S. Air Force veteran and

the owner of The Firm U, Personal Training and Fitness Center. My passion in health & fitness and the fitness

industry started 40+ years ago. I’m a Master Clinical Fitness Trainer with three nationally recognized

certifications (NASM, ACE, and NSCA) as a Personal Trainer, I’m also a Cancer Exercise Specialist. I’m a

former professional natural bodybuilder and still compete on the national level. My passion extents to my

clients where I have changed lives throughout the years. I’m well respected in the fitness industry as a leader

and an innovator. I have been featured repeatedly in the media for my client’s success stories and my

unmatched clinical, cutting-edge approach to health and fitness.

About Us

The Firm U is an established contractor for Gleannloch Farms. We’ve been in top financial standing with our

banks, landlords, vendors and wholesalers since our establishment in 2009. The Firm U is very active in the

community with frequent donations to Frank Elementary School, Hassler Middle School, GLF Women’s Club,

The PAC, Doerre Warriors PTO, Klien Oak High School, Gator’s and recently the Great Houston Community

Foundation for the Hurricane Harvey Relief Fund, to name a few.

We have an ultimate arrangement of industrial-quality free weights and machines that are in “like new”

condition. Our fitness equipment is professionally and strategically placed in our 3852 sq. ft. gym floor space.

Included in the facility is a specialized fitness studio room dedicated to individual and/or group classes.

Mission, Vision and Structure

The Firm U has an unparalleled, clinical and trendsetting approach to fitness. We provide a highly accredited

professional team dedicated to helping men and women of all shapes, sizes and ages to improve or maintain

their physical health and mental well-being through a healthy lifestyle change and activities specifically

designed for them without resorting to misleading gimmicks or promises.

The Firm U has assembled the utmost skilled and educated Trainers in the fitness industry. They have health & fitness credentials & experience way beyond the typical trainer in the big gyms. The Firm U Trainers have an enormous amount of knowledge of nutrition, physiology, anatomy and kinesiology and are able to relate them together. This is not the case with ordinary healthcare providers. You could search for a credible nutritionist, personal trainer, pharmacist, and find a doctor that thinks outside the traditional treatment protocols. Good luck getting them all to communicate together then get them all on the same page, The Firm U does just that.

Project Description Overview

My project proposal is to add The Firm U, located at the above address, as an additional Gleannloch Fitness

Center. This would be similar to how we have six tennis courts, three pools for GLF residents. With my plan,

we’d have two fitness centers from which to choose and neither would have a membership fee. A community

of this size would benefit from the value of an additional fitness center with the level of the newly proposed

professionalism of The Firm U.

In addition, my proposal will reduce the annual budget and operating cost by at the very least $10,000. This

proposal includes an expert upgrade in the equipment’s physical layout and cleanliness of the existing gym.

The Firm U would add expertise and enthusiasm in employed personnel, customer service will be our priority.

Another focus will be the reduction of any unnecessary monthly maintenance cost of the existing gym.

Project Actions and Performance

Improve the current community gym’s condition and services to the level of professionalism as The Firm U.

All trainers would be current with a Nationally Certified Personal Trainer certification, such as NASM,

ACSM, ACE & NSCA as well as CPR.

Review the current space at the community gym and rearrange the equipment to optimize the workout

environment. I will do this from my own expertise and experience. I would include the input of the GLF

residents utilizing the facility currently.

Sanitary and cleanliness in my facility is important for the health of my clients. I would require this standard

be maintained with the current community gym also. Gyms are notorious for bacteria and germs. My

janitorial cleaning crew understand this. I would have them meticulously disinfect the entire facility and

continue on my level of detailed demand for a healthy and sterile environment.

Personal training & fitness class fees will stay as they are now, nothing would change as far as prices for

residents in both locations.

Hours of operation would stay the same for both facilities. I’m open to extending hours if the demand

presents itself.

The studio room inside my facility is temperature and environment controlled. It’s been designed for classes like HIIT, Pilates, Yoga, Body Pump, Zumba, Boot Camp, & Jazzercise. I would have daily classes throughout weekdays and on weekends. My instructors are certified and insured. The advantage of my studio is residents don’t have to fight the weather elements of the outside. I will also incorporate classes for kids and seniors.

The Firm U also offers nutrition classes, pre-made meals, and medical grade supplements. We have an array of optional services such as hormonal/weight loss blood lab tests performed and reviewed at our facility by our licensed medical physicians and pharmacists.

Monthly and Annually Project Budget

Description Price

Per Month Price

Per Year

Management Fee for Gleannloch Fitness Center* $ 7,235 $ 8,6820

Janitorial Services & Supplies (cleaned twice a week by service) $ 420 $ 5,040

Equipment Cleaning Supplies, Towel Service** $ 320 $ 3,840

Preventative Maintenance Inspections*** $ 0 $ 0

Replacement Maintenance Parts $ 250 $ 3,000

Total $ 8,225 $ 98,700

*For my compensation as an Independent Contractor Agreement, I would reduce the current annual budget set aside for the community gym by $10.000+ per year. The terms of my proposal would be for 5 years upon the signing, 2% increase each year.

**I would add a towel service to cut down on gym wipes and prevent rusty and faulty equipment. They are more

convenient and a nice amenity to our customers, the residents. My trainers wipe down and clean the equipment

when not with a client. My Janitorial Service will do the same as part of their contacted cleaning agreement.

*** This is unnecessary, unless directed to do so. This should be inspected on a daily basis by trainers who work

with the equipment before someone complains or gets hurt. On non-warranty fitness equipment, I would have a

contracted vendor repair larger issues discovered by my expertise or my employed trainer’s experience. We are

trained to look for hazards or inoperative equipment. Most gym equipment parts can bought on-line and fixed by

a trainer.

Final note; I would consider continuing the employment of the existing Personal Trainer(s) if they have the

appropriate credentials as that of The Firm U. Furthermore, The Firm U is a training facility for Personal Trainers

sanction by the National Academy of Sports Medicine (NASM), we would give existing Personal Trainers the

opportunity for us to get them to a higher skill level of expertise and proficiency, if needed.

Presented by:

Ray Bessette, NSCA, ACE, NASM-CPT Founder & Owner, The Firm U Master Clinical Fitness Trainer Cancer Exercise Specialist Phone: 833-FIRMU-Up Cell: 832-755-1949 Email: ray@TheFirmU.com Web Site: www.TheFirmU.com

The FIRM U A CLINICAL FITNESS STUDIO

(833 ) F IRMU-Up 8714 S pr ing Cypress Road, Su i te 100 , Spr ing , TX 77379 #MakeAmer icaF i rmAga in

The FIRM U A CLINICAL FITNESS STUDIO

(833 ) F IRMU-Up 8714 S pr ing Cypress Road, Su i te 100 , Spr ing , TX 77379 #MakeAmer icaF i rmAga in

10-23-2017 Shay, Thank you for allowing me to come before the Board last Thursday. My objective was to update you on services we’ve added in the last few weeks at The Firm U (for example: yoga classes with instructor Jayme Resisler Altemus; other boot camp classes; and our new food/meal prep service, Fit ‘N Firm Foods) and to follow up on last meeting’s proposal and budget that I presented and to provide any needed clarity on the proposition. You mentioned I had a $99 per member fee, which is correct, and you asked a lucid question, “Are you willing to give up revenue on potential or current gym members at The Firm U?” I replied “yes”. I understand why you’d be perplexed about the viability of my proposal if my main source of revenue was gym memberships. Unlike most gyms, The Firm U’s main source of business income does not come from gym memberships. We are a personal training and fitness studio as well as a gym, and most of our revenue is generated through personal training packages and services we provide. The Firm U has been successful with our unique business model for nearly a decade. That business model has not changed since we were established in 2009 at our original location (N. Eldridge Pkwy. between Spring Cypress & Louetta). To keep the doors open in the fitness business, we must be unrivaled. We have been featured on TV in Houston on several occasions. Visit http://thefirmu.com/in-the-media/ for some examples. Most gym owners or franchises rely on selling membership contracts (like Snap Fitness, the gym that was formerly in The Firm U’s current location) with the hope the customer will rarely use it while the franchise continues collecting the customer’s monthly contracted membership fee. That is not the case with The Firm U. We pride ourselves in getting people to their fitness goals by giving them individual attention through personal training. I would continue that customer service to our neighbors, the residents of Gleannloch Farms. The gentleman at the meeting in the orange shirt complained about how his son was being pressured into personal training at the community gym when all his son wanted was to learn how to use the equipment. It is not our practice to pressure people into personal training or our other services. We will operate the Gleannloch Fitness Center and The Firm U as a no-membership-fee gym for all Gleannloch Farms residents. We invite residents to come in and workout and if they need help, we’re there or if we see someone struggling, we’ll offer to help. Often it is the customer that requests our services, not us suggesting it to them. When we see people exercising incorrectly, it is a priority to me and our trainers to ensure they are corrected to prevent injury to themselves, others, or property (this is partly why the maintenance fees on the supplies and equipment are currently so high). I was at the fitness center recently getting my new resident card and saw two people in the weight room performing exercises incorrectly. One woman was lifting a dumbbell above her head that could have been dropped on her face. There was an older man performing lat pull downs behind his neck, which is a major impingement to the rotator cuffs muscles in the shoulders that will cause injury. This was all seen in just one ten-minute visit. You can’t expect GLF residents to complain about these types of complex actions, they are not trained experts to see these sorts of things. I have a suspicion that the front desk staff was not even aware the woman or man were performing the movements incorrectly. I also suspect they wouldn’t know it was an improper use of the equipment, because of lack of expertise and credentials. Also, it should be noted that while I was there, I read the bios of the trainers and I didn’t see one nationally certified Personal Trainer credential. My trainers are not considered a Personal Trainer because of a degree in a related fitness field. They must also have a Certified Personal Trainer certificate. For example, The Firm U minimum credentials for Clinical Fitness Trainers are:

REQUIRED RECOMMENDED

One valid National Commission for Certifying Agencies (NCCA) accredited certification such as; NASM, ACE, NSCA or ACSM.

A four-year degree in Exercise Science or Kinesiology

Minimum of one year experience as a Certified Personal Trainer

Current CPR and AED certifications

Another thought, if I eliminated adding my facility to the proposal, the community would still save close to $30k by changing management companies while receiving an upgrade in the level of fitness service and expertise of The Firm U. Why accept “status quo” when I’m offering to add value to the community at a lower annual cost? I’m sure the swimming pools and swimming services aren’t “status quo”. If I were a resident only and not a vendor presenting this proposal, I would hope the Board would seriously consider a proposal such as this. I’m sure if I conducted a petition, the community would vote overwhelmingly in favor of my proposal and budget. My invitation for you and the rest of the Board to come to The Firm U to see firsthand how we operate on less maintenance and more customer service still stands. We can go through our fitness assessment and workout and any questions can be answered at that time. Prepare to see the difference. I hope you will accept this invitation, so we may move forward with my proposition. Sincerely,

Ray Bessette, NSCA, ACE, NASM-CPT

Founder & Owner, The Firm U Master Clinical Fitness Trainer Cancer Exercise Specialist Ph: 833-FIRMU-Up Cell: 832-755-1949 Email: ray@TheFirmU.com Web Site: www.TheFirmU.com