Solidcore's Premium Expansion

Anne Mahlum shares her experience building Solidcore, a premium Pilates studio chain that she discovered, analyzed, and scaled into a $350M business. The core insight came from seeing a successful Pilates studio model that could be replicated and scaled.

Key Points:

• Initial Market Analysis:

  • 10 reformer machines per studio
  • $30 per class pricing
  • Classes consistently full/sold out
  • Simple math: $3,000 per day potential ($90,000/month) at full capacity

• Startup Requirements:

  • Initial investment around $150,000 for buildout
  • $25,000 licensing fee
  • $7,000 per reformer machine (financed)
  • $7,000 monthly rent

• First Location Performance:

  • Generated over $100,000 in first month
  • Achieved through aggressive marketing and word-of-mouth
  • Strong customer referrals due to workout effectiveness

• Growth Strategy:

  • Opened 5 locations in first year
  • Reinvested profits into new locations
  • Negotiated favorable terms with landlords (no security deposits)
  • Created brand momentum through rapid expansion

• Exit Strategy Success:

  • Year 4: Minority deal at $60M valuation
  • Year 9: Final exit at ~$350M valuation
  • 75+ studios at time of exit
  • Revenue sharing model with instructors ($300+ per class possible)