The Economics of Owning a Private Members Club
Most businesses want more customers. A private members club wants fewer.
Soho House built 42 locations, went public at a $2.8 billion valuation — and has never turned an annual profit. Augusta National has 300 members, no application process, and is worth more than most of its members' fortunes combined.
So what exactly happens to the economics when exclusivity is the product?
In this video, we break down the business of private members clubs — from initiation fee structures and F&B margins to the one strategic mistake that kills almost every club that tries to scale.
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