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KUALA LUMPUR - Over a year into the global pandemic, gyms are facing a significant loss due to the frequent closing of fitness centres and it is about time the government reaches out with some sizeable aid.
The only financial assistance gyms have received to date is a one-off RM3,000.
If this sounds like an insignificant amount compared to what gym owners actually need, you are right. This is what a committee member of the Malaysia Fitness Coalition (MFC) says.
“We are grateful for this aid, but this is just not enough. YB Steven Sim highlighted how the one-off incentive is barely enough to even cover the cost of rent, and this is absolutely true.”
The former Deputy Minister of Youth and Sports recently Tweeted how RM3,000 is just not enough for the fitness industry that has been drowning in debts of more than RM110 million since March 2020.
The MFC have also gathered data on the number of days they were allowed to open throughout these times, while continuing to pay rent and all their workers’ wages.
So, to keep their gyms open, most gym owners have had to resort to taking out a loan, and as undesirable as that sounds, that’s not even the worst of it.
Upon taking up a loan, gym owners are tied to a five-year bond with a 9% interest.
However, a source shared “There is a lack of transparency from banks and it is making people mad.”
Although a special grant has been initiated by the Youth and Sports Ministry (KBS), it serves no great assistance in these trying times.
In fact, a member of the MFC shared the experience after reaching out to TEKUN.
“FYI, when I went to the TEKUN counter at KBS, and gave my details to the person in charge - he gave my number to a loan shark who called me the very next day to offer the exact amount I was looking for. And to be honest, the loan shark's interest rate was better.”
That men and women are exercising together is apparently not to the liking of KBS said this individual.
To date, gym owners are going to great lengths to keep their business alive, with some dipping their toes into food delivery.
“Hi guys! To try to keep my gym alive during this period, I'm trying food delivery ? If you'd like to support, do give us a try or forward our post to your friends and family!”
Sharing similar frustrations with the Sports Industry Coalition, our sources shared how they are left in the dark when it comes to understanding how the government decides which industry is allowed to open.
Despite efforts to reach out for a comprehensive checklist on a proposed industry code of conduct and SOP to the KBS Minister and his Special Officer, the MFC is yet to hear from them. - The Vibes, 1 July, 2021
