| When I first released my "Small Dojo, Big Profits" | | | | that you need to have "X" staff members to |
| martial arts business manual in 2004, it received a | | | | have a successful school, doesn't make it so. |
| lot of criticism. Funny thing about that... almost all | | | | Besides rent, your second greatest expense is |
| of the "critics" hadn't actually read it - they just | | | | going to be payroll... unless you learn to keep |
| didn't like the title. | | | | things small. |
| So, what was it about those four little words that | | | | And, even a martial art school with 200-250 |
| caused such a stir of controversy around the | | | | students can be run with just you, a part-time |
| "Small Dojo, Big Profits" manual? | | | | office person, and a part-time instructor. Get up |
| Think about it... the title makes a bold statement - | | | | past 300 students, though, and it's a whole |
| that "smaller is better" when it comes to starting | | | | different ball game. Repeat after me: "Smaller is |
| and running your own martial arts school. | | | | better, smaller is better, smaller is better..." |
| Now, I'll be the first person to tell you that there | | | | Reason #3: Less Students Equals Less Headaches |
| are a lot of people who do well running larger | | | | One of the reasons you need additional |
| schools. However, none of those guys started big | | | | employees in a larger school is customer service. |
| - every single one of them cut their teeth learning | | | | Consider this... for every student you have under |
| martial arts business methods by starting small | | | | that age of 18, you are servicing two or three |
| and working their way up. | | | | customers, not just one... which includes the |
| Even so, there are some very good reasons why | | | | student, and his or her parents. |
| you should consider running a smaller school... and | | | | Now, I don't know about you, but personally I |
| by "small", I define it as less than 3,000 square | | | | don't want to spend all my free time taking care |
| feet and less than 250 students. | | | | of all the "customer service needs" for several |
| So, here are the top three reasons why "small | | | | hundred people. When your enrollment is smaller |
| dojo" equals "big profits" when starting and running | | | | (150 - 250 students) you can easily maintain |
| your own martial arts school: | | | | customer service between yourself and a |
| Reason #1: Less Square Footage Means Less | | | | part-time staff member, and mostly during |
| Overhead... | | | | class-time hours. |
| And not just when it comes to rent... you also | | | | Get much bigger than that, though, and you're |
| have to consider the cost of heating and cooling a | | | | looking at hiring a person to staff your Pro Shop, |
| large school (which is an even greater concern | | | | someone to answer the phones, someone to |
| now, with the rising cost of energy) and the fact | | | | clean the toilets... I think you get the picture. |
| that someone is going to have to clean the place. | | | | So... Smaller Really Is Better When Starting and |
| I had a good friend who ran a very successful | | | | Running Your Own Martial Arts School |
| school in about 2500 square feet. He decided to | | | | Okay, so there they are - the top three reasons |
| triple his space, and then discovered his electric | | | | why "Small Dojo" really does equal "Big Profits". I |
| bills were outrageously high, and he practically had | | | | think you can see, what this really boils down to is |
| to have a full-time employee just to keep the | | | | keeping things simple, and not over-complicating |
| place clean. | | | | your life and your school by getting bigger than |
| Want to know how long it takes to clean my | | | | you need to be. |
| school? Between 15 and 30 minutes, tops. And, | | | | And, if you'll run the numbers (you can use the |
| even in the dead of summer my electric bill never | | | | worksheets in my business manual, or make up |
| runs over $250... less than my energy bill at home. | | | | your own using a spreadsheet) I think you'll see |
| Smaller really is better... | | | | that you can make a very comfortable living |
| Reason #2: Less Students Means Less Payroll... | | | | starting and running your own martial arts school |
| When I tell new school owners that they can run | | | | with just 150 - 250 students. |
| their school solo until they get to around 100 | | | | Now, it's time for me to go... I'm about to go |
| students, they think I'm crazy. "What do you | | | | spend some quality time with a good book and a |
| mean, Mike... don't I need to hire an assistant | | | | cappuccino at the local coffee shop. See, I can do |
| instructor and an 'enrollment director'?" | | | | that every day, because I have this really neat |
| Whatever the heck that is - in my school, | | | | little business that makes a killer profit with just a |
| everyone is the "enrollment director". Just | | | | minimal amount of effort and time investment. |
| because someone wrote in a book 20 years ago | | | | Ah, I love running a small martial art school... |