AusLeisure

Infinite Cycle, once described as Australia’s largest indoor cycling franchise, is being wound up with liquidators appointed to the master franchise business.

Three years after launching as ‘Australia’s first interactive indoor cycle experience’, Infinite Cycle was placed into liquidation last week, blaming the ongoing impact of the pandemic and rising cost of living pressures as the company falls into liquidation.

Alan Sacharowitz, a founder of the fitness chain, confirmed to Sydney’s North Shore Times that the head office had shut with studios in Canberra and the Sydney suburbs of Bondi, Green Square, Neutral Bay and Waterloo now all closed.

Sacharowitz attributed the company’s downfall to the “slow recovery out of Covid” and inflation pressures impacting the business model, including rising commercial rental costs.

The Balgowlah gym is still trading after studio franchisee Vanessa Spinks bought the rights from Infinite Cycle to continue operating the studio. The gym is still using the Infinite Cycle brand.

Spinks advised “(the company’s management) were in financial distress and were trying to grow during Covid which was tough for them.

“They thought things would go well and then we got an email saying they’ve gone into liquidation.”

Noting that she understood the business was trying to sell off the rights and intellectual rights to a third party who was looking at buying but were unsuccessful, Spinks added “I feel very sad for them - it’s a good, fun product and I think we have something unique to offer the market.

Spinks recognised there were broader challenges facing the fitness sector - highlighted by the by collapse of several F45 franchises over recent weeks.

She went on to say “these days there are so many fitness centres in the market and you can basically do anything because there’s a studio for everything.

“There are pressures - it’s cost of living, it’s mortgage rates, people have to stop spending somewhere. When your mortgage goes up $1000 a month you’ve got to cut somewhere.

“It’s been tough to keep going but things are starting to pick up now and we’re trying to get it to a stage where it’s a viable business.”

Infinite Cycle had a studio in the Melbourne of Armadale which is still trading under the Infinite Cycle brand.

Liquidator Irving Kwek of insolvency firm Worrells will oversee the winding up of Infinite Cycle.

Liquidation is the process of converting a company's assets into cash, and using those funds to repay, as much as possible, the company's debts.

Related Articles

7th March 2023 - IBISWorld sees declining fitness industry revenue and potential saturation of budget 24/7 gyms

3rd March 2023 - Media advises of closing of F45 studios as founder reportedly being chased for $10 million by creditors

21st February 2023 - Mel Tempest announces return of her Ignite Fitness Business event

14th January 2023 - Les Mills identifies three key fitness trends set to shape 2023

2nd January 2023 - ACSM predicts wearable technology as the top fitness trend for 2023

30th December 2022 - AUSactive survey suggests fitness programs for older adults will be key exercise trend in 2023

9th December 2022 - ClassPass and Mindbody look back at fitness and wellness trends for 2022 

19th November 2022 - PureGym analysis of Google search data reveals 2023’s Biggest Fitness Trends

17th March 2022 - Citing ‘prolonged challenges’ of COVID, Evolution Wellness liquidates Fitness First’s Hong Kong operations

22nd February 2022 - Blaming COVID’s impact Result Based Training faces liquidation

4th November 2021 - Changes and arrivals look to drive growth of Australia’s largest indoor cycling franchise

2nd September 2021 - VIC Active’s Tim Schleiger calls on Victoria’s AFL clubs and players to make use of the state’s gyms

12th June 2021 - Fitness business experts share thoughts on the significance of Global Wellness Day

12th April 2021 - Infinite Cycle continues to expand through challenges of the past year

18th December 2020 - Retired Sydney Swans star takes on two Infinite Cycle franchises

16th December 2020 - Challenge marks Bondi Junction Fitness Hub’s first anniversary

16th September 2020 - Infinite Cycle set to launch 15 new studios

3rd December 2019 - Infinite Cycle studio franchise opportunities looks to transform indoor cycling

---

Support our industry news service
We hope that you value the news that we publish so while you're here can we ask for your support?

As an independent publisher, we need reader support for our industry news gathering so ask that - if you don't already do so - you back us by subscribing to the printed Australasian Leisure Management magazine and/or our online news.