The 5 Worst Parts of Owning an MMA Gym | The Reason I Closed My Martial Arts School

Why Mike Closed His Martial Arts School

Mike explains why he closed his martial arts school after seven years. He loved coaching and helping students develop, but the day-to-day responsibilities of running the business—including managing landlords, handling leads, collecting payments, and managing fighters—took too much time away from his family.

Five Biggest Challenges

1. Landlords and lease risk

   • After leaving the premises in good condition, Mike says the landlord withheld his security deposit, claiming the space had not been left properly.
   • His leases ran for 2 years, then 3 years, then 2 years. In hindsight, he might have considered five-year leases to get ahead of rent increases once the business was established.
   • He also describes a nearby black-mold issue that the landlord allegedly left unresolved.

2. Handling prospective customers

   • Mike enjoyed answering students’ martial arts questions but disliked speaking with walk-ins and leads who were not yet customers.
   • He often tried to move prospects directly to a trial class rather than answer their questions or follow a structured sales process. He acknowledges that this likely cost the gym customers and revenue.
   • Mike says nearly 100% of people who attended a trial class enrolled. This refers to trial attendees, not all inquiries or leads.
   • He did little or none of the advertising and sales follow-up he believes a gym needs.

3. Collecting payments

   • Mike was uncomfortable asking people for money and sometimes left failed membership payments unaddressed.
   • He cites $10,047.40 in unpaid bills, mainly from customers whose recurring card payments were declined and whose missed payments he did not follow up on.
   • He also says he failed to pursue payment for some seminars, even when the organizers remained friends.

4. Managing fighters

   • Fighters contributed to the gym’s reputation and earned competition wins, but Mike says they generally did not keep the business financially afloat. Other paying members—such as accountants, restaurant owners, and homemakers—helped cover operating costs.
   • He identifies regional professional fighters as a particular source of stress. Some were late, arrived without equipment, or resisted instruction while contributing relatively little.
   • Mike responded by setting clear standards and having difficult conversations, including removing people whose behavior damaged the gym’s culture.
   • Even with reliable fighters, coaching them meant travel, weekends away, and the emotional strain of preparing someone for competition.

5. Work-life balance and family

   • The gym consumed so much time and attention that Mike missed his children’s sports, performances, birthdays, and vacations.
   • He describes working far beyond a standard workweek and says the business became the focus of nearly all his energy.
   • After seven years, he chose not to move or expand when the lease ended. He wanted to be more present at home and felt the personal cost no longer matched the benefits.
   • He distinguishes between loving the work of teaching and disliking the broader responsibilities of owning a gym.

Operating Lessons and Recommendations

• Plan leases strategically: Consider longer terms when the business is stable, while accounting for the risk of rent increases.
• Use a consistent sales process: Treat lead handling as a core business function. Answer prospects’ questions, guide them toward a trial, and follow up rather than dismissing inquiries.
• Track payment failures: Monitor declined recurring payments and contact customers promptly so missed billing does not accumulate.
• Hire operational support early: Mike says he would have brought in people to handle sales, customer conversations, and payment administration instead of leaving everything to himself.
• Set and enforce fighter expectations: Establish standards for punctuality, equipment, and following coaching. Keep the needs of the broader membership in view.
• Protect personal capacity: Consider the true time and family costs of operating the business before expanding or renewing a lease.

Metrics and Figures

• Time in business: 7 years.
• Lease sequence: 2 years, then 3 years, then 2 years. In hindsight, Mike says he might have chosen successive 5-year terms.
• Unpaid customer balances: $10,047.40.
• Trial-class conversion: Mike reports that about 100% of trial-class attendees enrolled; he also believes his approach lost prospective customers who did not attend.
• Workload: He describes the familiar entrepreneur pattern of working 80 hours instead of 40, as an illustrative comparison rather than a measured weekly average.
• Business outcome: At the end of the lease, he chose not to relocate or expand.

Presenter/source: Mike (“Icy Mike”) of the hard2hurt channel. The video includes a sponsored segment for LMNT.