Information MemorandumRef YS-0416Bondi · Health & Wellness
Full memorandum · unlocked
Full memorandum · unlocked
Information Memorandum
What you're acquiring, why it's for sale, and the numbers that anchor the price — before you read the detail.
Prana & Tide is a boutique yoga studio operating from the same Bondi premises since 2016. It runs two studios — one heated, one ambient — across a timetable of roughly 55 classes a week, supported by a program of weekend workshops, twice-yearly retreats and an accredited 200-hour teacher training.
The business earns 65% of its revenue from recurring memberships that auto-renew monthly, giving predictable cash flow that most lifestyle businesses can't offer. Around 410 members are active at any time, with 12-month retention of 68% and no single member representing more than half a percent of income.
The owner-founder is selling to relocate interstate. They currently teach around a fifth of the timetable and manage the studio across a ~30-hour week — the memorandum sets out exactly which relationships and knowledge transfer, and the handover plan designed to de-risk that.
At $395,000 — 2.2× normalised SDE — the studio is priced below the range comparable boutique studios command, with stock and fit-out included and the doors open from day one.
Where the $720K comes from. Memberships carry the business; workshops, retreats and teacher training layer higher-margin income on top of it. Hover or tap each stream for detail.
Unlimited monthly and 10-class auto-renew packs. ~410 active members at an average $95/month. Bills automatically, so revenue recurs without re-selling — the single biggest reason a studio like this holds its value.
Turnover and seller's discretionary earnings (SDE) across FY21–FY25, then the normalisation that bridges reported profit to the $182K the price is built on. Post-COVID recovery is visible and complete.
SDE (seller's discretionary earnings) reflects the total financial benefit to a working owner. A buyer employing a full-time manager in the owner's place should model the manager's cost against this figure — see the acquisition calculator.
A studio is only worth its multiple if members stay. Here's the retention curve, the churn rate, the tier split, and how concentrated the book is. 68% of members are still active a year later — strong for boutique fitness.
Steepest drop-off is in the first 60 days — the industry norm. Members past the 3-month mark are highly sticky, and the curve flattens to a durable core of long-tenured members.
The pricing ladder gives the next owner a clear lever: an off-peak tier priced to fill quiet morning classes, and headroom to nudge unlimited pricing (unchanged for two years) toward the Eastern Suburbs market.
A walk-in operation: fit-out, equipment, brand, systems and community all convey with the sale. Stock is included at valuation.
220m² over two rooms — a heated studio and an ambient studio — reception, retail nook, change rooms and showers. Recently refreshed; nothing deferred.
Full prop inventory (mats, bolsters, blocks, straps), sound and heating systems, POS and retail stock at valuation. Trade from day one.
The Prana & Tide name and marks, website and booking domain, ~14K Instagram following, mailing list of ~3,800, and the full member database.
Established booking/CRM platform with automated billing, timetable, class-pass integrations and reporting. Documented SOPs for the front desk.
Six contract instructors and a part-time studio manager, all willing to stay. Relationships and timetable continuity transfer with the business.
Registered 200-hour teacher-training program with Yoga Alliance recognition — a defensible, higher-margin income stream that's hard to replicate.
Location is the moat for a boutique studio. This one sits in the Bondi catchment with a lease long enough to give a buyer certainty and finance comfort.
Rent at 12.8% of turnover is comfortable for a wellness venue in this catchment — many Eastern Suburbs studios run higher. Three years remaining plus three renewal options gives a purchaser up to twelve years of tenure, which supports both trading confidence and lending.
The premises photograph and floor plan sit in the data room. A landlord consent-to-assign process applies on transfer; the current terms and landlord relationship are strong.
The most important question in a lifestyle business. Here's who does what, how much the owner teaches, and the handover built to transfer it. We name the dependency rather than bury it.
The owner teaches ~12 of ~55 weekly classes. Those classes have loyal followings — the real dependency isn't the hours, it's the member relationships attached to them. The handover plan addresses exactly this.
Owner co-teaches their classes with retained instructors over the handover so member relationships transfer, not walk.
Structured handover of operations, supplier and landlord relationships, and the teacher-training program.
Owner available for paid consulting beyond the initial period by agreement — including the next TT cohort.
The current owner runs a full life and a lean business — real upside sits untouched. Four levers a buyer can pull without reinventing the studio. Indicative only; the business trades profitably as-is.
Off-peak 9–11am classes run at ~40% capacity. An off-peak membership push and corporate morning sessions convert existing empty seats to revenue at almost no added cost.
No B2B income today despite a dense commercial catchment. Retainer classes for local employers and hotels are a warm, under-tapped channel for a boutique brand with this reputation.
A loyal 3,800-strong list and 14K following, but no monetised online offer. A recorded/on-demand tier adds high-margin recurring revenue and reaches members who move away.
Teacher training runs twice yearly and sells out. Demand supports a third — and potentially a specialty module — at strong margins, using capacity that already exists.
Adjust your deposit, lending and — critically for a lifestyle business — whether you'll owner-operate or employ a manager. Every figure recalculates live from the published price and SDE. Indicative only, not financial advice.
Indicative only, for demonstration. Amortised repayment on financed amount; excludes tax, working capital, stock purchase and transaction fees. Manager model assumes a $78K all-in manager cost against SDE. Not financial advice — verified figures sit in the data room.
Where this asking multiple lands against recent SDE multiples for comparable boutique studios and wellness businesses. The data room benchmarks against Core's own transaction history.
At 2.2× SDE, this listing is priced at or below the floor of the ranges comparable operations command — despite recurring revenue of 65%, which normally pushes the multiple to the top of the band. Indicative ranges shown; verified comparables sit in the data room.
A serious buyer weighs both. The upside is real; so are the questions to ask. The detail behind each sits in the data room.
65% recurring revenue. Auto-renewing memberships give predictable cash flow rare in lifestyle businesses — the foundation of the valuation.
Diversified member book. ~410 members, none over 0.5% of revenue. Losing any single member is immaterial.
Strong retention. 68% at twelve months and 3.1% monthly churn, both better than boutique-fitness benchmarks.
Priced below market. 2.2× SDE sits under the range comparable membership-led studios command.
Each strength is substantiated with figures in the data room.
Owner teaches 22% of classes. Loyal followings attach to those classes — the handover plan is built to transfer them, but it's the first question to work through.
Lease has options, not certainty. Three years remaining with 3×3 options; renewal and landlord consent-to-assign should be understood up front.
Local competition. The Eastern Suburbs is a busy wellness market — brand, location and retention are the defences, and they're holding.
SDE assumes a working owner. A fully hands-off buyer must model a manager's cost — the calculator lets you toggle exactly that.
Naming the questions up front is how Core qualifies serious buyers faster — the answers are in the data room.
You're viewing the full memorandum under your executed NDA. The data room holds audited financials, BAS, member reports, the lease and floor plan. Book a call or studio inspection whenever you're ready.
