Vivafit shuts 4 outlets, to file for bankruptcy
WOMEN'S gym Vivafit has shut four of its outlets, leaving its members worked up and seeking compensation.
Vivafit's management sent members an e-mail message on Thursday, two days before three outlets closed, explaining that they "have no choice but to make the painful and difficult, but also necessary decision to file for bankruptcy".
The branches at Tanjong Pagar, Raffles Place and Marine Parade closed on Saturday while the one in Clementi closed last month. Two other franchise branches in Bukit Merah Central and Beach Road are still open.
Geraldine Lee, 46, a polytechnic adjunct lecturer who frequented Vivafit's Marine Parade outlet, is one of the affected members.
Ms Lee, who bought her package for $1,500, has filed a police report.
Figures from the Consumers Association of Singapore (Case) showed that Vivafit typically attracted fewer than 10 complaints a year.
Meanwhile, fitness clubs accounted for 90 per cent of the more than 600 complaints filed against clubs as a whole last year. This pushed the industry into Case's top 10 most-complained-about category for the first time in 10 years.
Jonas Ogren, who opened Vivafit in Singapore, said it had faced manpower problems.
"As we tried to grow the business, these challenges got bigger.
"It has continued to negatively affect our revenues, and we are now at a point where we have no other choice but to close and wind up the company."
He acknowledged that the closure was abrupt. He added that while there could be no guarantees, the group was exploring possible solutions for members.