From dream to reality: 5 plans

Five baby boomers, five cherished lifetime goals. And five smart game plans from Money Magazine for making them come true.

Bobbi McAlonen, 49
Camas, Washington
"I want to open a personal-training studio."
The dream: A typical week for this former aerobics teacher involves three five-mile runs, two weight-lifting sessions and a Pilates or yoga class. Now that her two children are in college, she wants to turn that passion into a personal-training studio for the over-40 crowd.

"My husband has been successful with several businesses," explains McAlonen. "Now it's my turn."

Her idea: Open a personal training studio that focuses on the over-40 crowd. McAlonen is about to earn certification as a personal trainer from the National Academy of Sports Medicine; she then plans to land a job as a trainer part-time at a local fitness club and also build up a stable of clients on her own. She hopes to open the studio, Body by Bobbi, in two years.

The reality: McAlonen's husband Jay, an entrepreneur who runs an investment company, plans to put $25,000 into the studio. But they both agree that this is no vanity business; it must become self-sustaining.

Luckily, the couple are in good financial shape: They have no debt, and they downsized to a condo after their children left home. They already have a comfortable retirement nest egg set aside.

The Plan: McAlonen is wise to build a customer base before committing to a retail space, says David Morganstern, a financial planner in Portland, Ore. His tips:
  • Get credentials. Personal-trainer certification is essential, as is staying up to date with continuing education courses.
  • Research the competition. She should join a fitness trade association and quiz successful studio owners in nearby cities like Seattle, where she isn't a competitive threat.
  • Invest more money. Total start-up costs for a personal-training studio run from $20,000 to $40,000, says John Spencer Ellis, CEO of the National Exercise & Sports Trainer Association. McAlonen should put together a simple business plan (sba.gov offers a primer) to project her revenue and costs.
  • Economize where possible. McAlonen should rent equipment rather than buy it, sign up her trainers as contract workers rather than staffers and lease space in a low-cost location such as a light industrial park instead of a retail storefront.

Kris McKinney

Bobbi McAlonen

Susan Skogg

Scott Berkowitz

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Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.