Montreal’s Silofit is raising $12.75 million in capital as it launches a digital ecosystem for fitness professionals looking to run their business.
The debt financing is coming from Silicon Valley Bank, while Whitecap Venture Partners led the round. Courtside Ventures and Alate Partners are also participating. New investors include hospitality entrepreneur David Grutman and Fitt Ventures, a new venture fund from fitness publisher Fitt Insider.
Zumba Fitness founder Alberto Perlman, and celebrity nutritionist Harley Pasternak have both joined Silofit as strategic advisors. Silofit has now raised $19.4 million.
Silofit turns small office spaces into “high-end, private micro-gyms,” which it brands as “silos”. The company currently has 20 silos across Montreal and Toronto, along with more than 12,000 users and 3,000 trainers who are active on the Silofit app.
The company says it will use the new funds to support its U.S. expansion, which includes opening 50 new Silos across five U.S. cities, beginning with Miami and Chicago.
Moreover, Silofit will also continue investing in the development of its fitness marketplace. The marketplace enables gym-goers to use the Silofit app to book a trainer as they resere a Silo or purchase a workout program. The company is also developing its Silofit Pro platform that enables trainers to create profiles, keep track of their clients, manage their schedule, and sell exercise and nutrition plans.
Company will make big additions to its team
Silofit will add 25 new hires over the next year to its current team of 50 employees based in Montreal and Toronto; and establishing its U.S. headquarters in Miami.
“This is an exciting time for Silofit with three investors returning for this round of funding,” said CEO Wilfred Valenta. “They will play an important role by helping us with real estate and attracting trainers.”
“The team at Fitt insider will also provide us with strategic guidance on navigating the fitness industry as we execute on our plan to become a prominent player in the North American market,” added Valenta.
Silofit partners with Technogym
Along with the funding, Silofit has also signed a commercial agreement with Technogym, a leading fitness and wellness brand. Under the terms of the agreement, Silofit will use Technogym equipment in its silos.
Silofit says it will also leverage Technogym’s Digital Connected Ecosystem to offer members a connected and personalized experience aimed at creating a “smart gym.” Silofit will collects a user’s exercise and health data from all Technogym equipment at each silo. The information will be displayed in real time in the studio space and in the Silofit app, to better understand performance and optimize workouts for both gym-goers and trainers.
“Silofit is very well positioned to become the largest fitness platform in North America,” said Shayn Diamond, Partner at Whitecap Venture Partners. “Their unique approach to this market brings together bricks and mortar micro-gyms with a digital ecosystem that enables fitness trainers to run their business and provide a stellar user experience for their clients.”