No more Excel nightmares at Basic-Fit

Case Study Basic-Fit International B.V.

In 2016, the success of the Basic-Fit fitness chain resulted in the enterprise going public. Read in this story how LucaNet helped Basic-Fit to present uniform, consistent data to all the parties who needed information during this process.

Project

  • Implementing LucaNet for financial and business controlling

Basic-Fit International B.V.

Industry:
Leisure and tourism
Core Business:
Fitness
Headquarter city:
Hoofddorp (Netherlands)
Employees:
1.500
https://corporate.basic-fit.com/
logo basic-fit

About the company

Basic-Fit is not an enterprise short on confidence. After starting 2014 with around 200 fitness clubs, the chain quickly grew even further: "Today, at the end of March 2017, we have 440 branches, with 80 more openings planned by the end of the year. Everything is running more or less to schedule," said Tino Bijlemeer, International Manager for Reporting and Tax.

basic fit gym

Six-pack

We are active in the Netherlands, Belgium, France, Luxembourg and Spain. "We are currently focusing primarily on France, where we see great potential for growth due to relatively low market penetration in the fitness sector." From a financial perspective, fitness chains are actually relatively uncomplicated, Tino explains. The majority of the costs for each studio are fixed, and income can be forecast fairly accurately based on changes in membership numbers.

"Most of our members have an annual contract, and our turnover develops more or less in line with the number of customers we have. There are three peak times for registrations: In January, when many people aim to get fit as a New Year's resolution; in September once the summer holidays are over; and in May/June, when there's a rush to tone that beach body or six-pack."

Transparent

The enterprise's financial structure is kept as transparent as possible. "We try to keep the number of organization units we work with to a minimum. At the moment we have twelve. The Basic-Fit Nederland BV brand currently brings together around 150 fitness studios in a single company." Since 2011, all of the figures have been consolidated using LucaNet.

For Basic-Fit, the added value of LucaNet takes many shapes and forms, but one of its main benefits is the way it links financial data with non-financial income. "We can analyze performance right down to the individual studio level, and the software also gives us an insight into other aspects, such as how many full-time equivalents (FTEs) we employ, which contract models are popular in which areas, and which (and how many) additional subscriptions (add-ons) are bought per studio."
 

Big data

"Big data has been a buzzword for many years now. But data are only useful if they tell us something. LucaNet helps us to convert data into information. The combination of financial and non-financial data is something we can monitor well on many levels: for each country, region, cluster and even studio." 

LucaNet also proved its value to the enterprise in the run-up to its flotation. Basic-Fit went public in 2016, though preparations actually began several years earlier.

THREE EXAMPLES OF THE VALUE ADDED FOR BASIC-FIT:
  • Transparent figures, available immediately
  • Linking of financial data with non-financial information
  • User-friendliness

New vs. established

"Before you float a company on the stock market, you need to make sure that every aspect of its organization is in order – starting with the Finance department, of course. For example, the world of finance wants to know how the turnover of new Basic-Fit studios grows compared to the established clubs. Thanks to LucaNet, we can generate these kinds of analyses quickly and easily."

LucaNet has also proven valuable for other tasks. "There's a lot to deal with when you're planning on floating a company on the stock market. In order to be listed, you need to follow international regulations (IFRS). The first annual financial statements you generate in accordance with the IFRS need to comply with both the national accounting regulations and those of the IFRS. LucaNet offers excellent tools for this exact purpose."

The world of finance wants to know how the turnover of new Basic-Fit studios grows compared to the established clubs. Thanks to LucaNet, we can generate these kinds of analyses quickly and easily.

Tino Bijlemeer

International Manager Reporting and Tax

The Big Four

"The most important thing when you're floating your company on the stock market is to ensure that all your financial data are consistent. There is only one truth, and it needs to be the same for everyone involved. You can't give your banks and lawyers one set of figures in January and then hand out a brochure with different numbers in it in March. Everyone involved needs to be presented with the same figures as everyone else."

Satisfaction with LucaNet goes beyond the walls of Basic-Fit itself, Tino tells us. "During the first phase following our flotation, we dealt with two of the "Big Four" auditing companies. And I can tell you, they were pretty impressed with the insights LucaNet offered into our figures. That's precisely why reliable, accessible source data are so important."

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