LONDON, United Kingdom — Online fitness market PayAsUGym has raised £6.5 million in funding to grow the platform’s gym network and overall user base.
Led by Albion Capital, the investment round also featured participation from existing co-investor Concentric and individual angels.
Launched in 2010 by British entrepreneurs Jamie Ward and Neil Harmsworth, PayAsUGym enables gym users to access a national network of thousands of health and fitness clubs, pools, classes and spas, on a flexible pay-as-you-go, short-term pass or unlimited membership basis.
The company has rapidly expanded its range of venues since launch and now provides access to more than 2,700 venues — including Bannatyne, Soho Gyms and Nuffield Health — representing 32% of the UK market with at least one venue in 96% of all UK postcodes.
Capitalising on the changing market dynamics in the fitness market in the last 10 years, PayAsUGym’s growth has largely been driven by an increasing number of consumers who want more flexible access to fitness facilities. The platform currently boasts over 500,000 users.
Speaking about the investment, Will Fraser-Allen, Deputy Managing Partner at Albion Capital, explained: “PayAsUGym has built a formidable position as the market leader in the flexible fitness market. The company has scaled its offering impressively in recent years and is now the largest fitness marketplace in the UK by both revenue and supply.”
Following a strong start to the year, PayAsUGym plans to use the new funding to support the company through its next stage of growth. In addition to growing its network, the business will expand its team and further enhance the product.
“We’re passionate about connecting people with fitness venues in the easiest and most flexible possible way,” commented Jamie Ward, CEO and Co-Founder of PayAsUGym,
“PayAsUGym’s technology is driving increased gym participation by delivering for those of us that need that extra bit of flexibility in our lives and love using our smartphones to get the services we need. This funding allows us to not only grow the facilities we offer our members but to improve our product to ensure the ultimate experience.”
With the number of gyms operating in the UK now overtaking the 7,000 mark, the scope for PayAsUGym to expand is significant, especially as it continues to target broader consumer adoption outside of the London market.