What records help a lender understand a martial arts school’s monthly memberships?

Start with a clean roster that lists each member, their plan, start date and current status. Add the billing history so a lender can see payments arriving on schedule, and note any failed payments and how they were resolved. Records like these turn a claim about steady income into something checkable.

Next, pull together the signed agreements. They show the terms members accepted, including notice periods and what happens when someone pauses. Ask your lawyer whether the agreements can be assigned to a buyer, since a lender will care about that. Keep records of cancellations and freezes too. Lenders often look at how many members leave and how quickly new ones replace them.

Reconcile everything with the bank. Membership totals from the roster should line up with deposits and with the financial statements. If a number does not match, find out why before the lender does. Include the lease summary, since the space is usually the largest fixed cost, and a one-page explanation of how classes are scheduled and staffed, so the whole picture is clear. A short cover note can tie it together, explaining what the records show and where you plan to improve.

Key takeaways

• Prepare a roster showing plan, start date, status and payment history for each member.
• Reconcile membership totals against bank deposits and the financial statements.
• Include signed agreements, cancellation records and a summary of the lease.