| When most instructors decide to open a | | | | first need to decide how much is it that you |
| martial arts business they have no idea of | | | | want to make from your Martial Arts business? |
| what they should charge in order to run a | | | | - and you can do this by using a simple |
| successful school, stay in business and make | | | | formula: |
| a profit. | | | | |
| | | | 1. Calculate what your monthly expenses will |
| Most instructors will do their calculations | | | | be. Make sure you include ALL expenses, rent, |
| in reverse. They will start with what they | | | | cams, utilities, insurance, maintenance, |
| think they CAN charge rather than what they | | | | staff wage, etc |
| actually need or prefer to charge. | | | | |
| | | | 2. Calculate what your personal expenses are |
| After studying over 1000 school owners, some | | | | right now: Mortgage, rent, utilities, |
| of them multimillionaires I will uncover the | | | | vehicles, insurance, savings |
| formula for exactly what you need to charge | | | | |
| to run and maintain a highly successful and | | | | 3. Decide how much money you need each month |
| profitable martial arts business. | | | | to enjoy the lifestyle you really want. |
| | | | |
| Sadly, when deciding what to charge most | | | | Add the three numbers together. It this point |
| instructors will actually look towards some | | | | you should have come up with a number that |
| of their competitors and base their decision | | | | will probably be in the $10,000 range or |
| on what they are charging (and normally | | | | more! The average Karate school in the United |
| decide on charging a little less!) | | | | States has less than 100 students in it. But |
| | | | I know that you are going to be above |
| Price is actually one of the worst ways in | | | | average, right? So lets say you will have 100 |
| which to determine the sale of your programs | | | | students in your program. You simply then |
| in fact, for that matter in almost any | | | | divide your monthly total by the number of |
| business. Price is only a concern until real | | | | students you think you will have for example: |
| value is established. | | | | |
| | | | Total monthly budget needed to cover costs |
| So how do we establish real value within our | | | | and my lifestyle : $15,000 |
| martial arts business? First of all it's | | | | |
| making it look smart, clean and professional. | | | | Divided by 100 students: $15,000 / 100 = |
| Next it's ensuring that everyone is treated | | | | $150.00 per month. |
| appropriately when they walk in or make that | | | | |
| initial enquiry over the telephone, another | | | | Just for your reference the most successful |
| words being professionally trained and | | | | instructors or Rich instructors as I like to |
| schooled in the business. So how does this | | | | call them charge between $150 and $200 a |
| all work towards uncovering what you should | | | | month for tuitionin their schools. |
| actually charge for your programs? | | | | |
| | | | Good luck in making some more informed |
| Once you have established that you are going | | | | decisions about what to charge for your |
| to run a professional school the next step is | | | | martial arts tuition. |
| to choose how much you should charge, but you | | | | |