Tutoring Business Plan Template
Tutoring business plan.
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LearnWell Tutoring is a startup tutoring company located in Pocatello, Idaho. The company is founded by Carrie Longwood, a former manager of a franchise tutoring business located in a suburb of Pocatello. Carrie’s determination to assist children in learning, no matter what they’re level of capability, earned her the regard and respect of the parents who observed her dedication to their children’s learning needs. The clients have written multiple letters of recommendation and have promised to support her in her startup venture by either enrolling their children in her tutoring services company or spreading the word about her new company.
LearnWell Tutoring will focus on specific age groups in order to maximize efficiency and ensure the students receive the highest level of teaching and tutoring skills. Elementary children, ages 5-12, will receive tutoring commensurate with the course curriculum they study at their individual schools, whether private or public. In addition, they may be taught or tutored in a foreign language or other academic area of interest to them. Middle school students, ages 13-14, will also be tutored in the academic areas that conform to their school curriculum, depending on the individual needs of the student and the expectations set forth by their school and parents. High school students, ages 14-18, will focus on academic studies as needed or set forth by teachers or academic advisors.
The following are the services that LearnWell Tutoring will provide:
- Assigned 7-day-a-week tutoring sessions
- Curriculum specific tutoring as needed
- Advanced course curriculum tutoring as needed
- Parent/tutor weekly conferences
- Focused academic tutoring programs
- Enhanced tutoring featuring digital tutoring pathways
- Monthly online payment portal for ease of clients
LearnWell Tutoring will focus on the parents or caregivers of students, ages 5-18, who will benefit from private tutoring in academic subjects of all kinds. LearnWell Tutoring will focus on the public and private schools within the Pocatello region. LearnWell Tutoring will focus on parents or caregivers who may choose advanced courses or foreign language introductions for their children. LearnWell will focus on citywide associations and collaborative partnerships within the city.
LearnWell Tutoring will be owned and operated by Carrie Longwood. She has recruited three former tutors from her employer’s franchise business to become Academic Expert Tutors within her new tutoring company. Sheri Blackwell will become the Academic Expert Tutor for the elementary students; Greg Thompson will become the Academic Expert Tutor for the middle school students; and Jack Owens will become the Academic Expert Tutor for the high school students.
Carrie Longwood is a former manager of a franchise tutoring business located in a suburb of Pocatello. Carrie’s determination to assist children in learning, no matter what they’re level of capability, earned her the regard and respect of the parents who observed her dedication to their children’s learning needs. The clients have written multiple letters of recommendation and have promised to support her in her startup venture by either enrolling their children in her tutoring services company or spreading the word about her new company.
Sheri Blackwell, formerly a tutor for children ages 5-12, will become the Academic Expert Tutor for the elementary students.
Greg Thompson, formerly a senior tutor for children ages 13-14, will become the Academic Expert Tutor for the junior high students.
Jack Owens, a former full-time, tenured high school teacher will become the Senior Academic Expert Tutor for the high school students
LearnWell Tutoring will be able to achieve success by offering the following competitive advantages:
- Friendly, knowledgeable, and highly-qualified team at LearnWell Tutoring
- LearnWell Tutoring offers the most reasonable pricing for tutoring students of all ages and provides discount packages for families with multiple children in tutoring.
LearnWell Tutoring is seeking $200,000 in debt financing to launch LearnWell Tutoring. The funding will be dedicated toward securing the office space and purchasing office equipment and supplies. Funding will also be dedicated toward three months of overhead costs to include payroll of the staff, rent, and marketing costs for the marketing costs. The breakout of the funding is below:
- Office space build-out: $20,000
- Office equipment, supplies, and materials: $10,000
- Three months of overhead expenses (payroll, rent, utilities): $150,000
- Marketing costs: $10,000
- Working capital: $10,000
The following graph outlines the financial projections for LearnWell Tutoring.
Who is learnwell tutoring.
LearnWell Tutoring is a newly established, full-service tutoring service based in Pocatello, Idaho. LearnWell Tutoring will be the most reliable, cost-effective, and efficient choice for students in Pocatello and the surrounding communities. LearnWell Tutoring will provide a comprehensive menu of tutoring services for all parents or caregivers to utilize. Their full-service approach includes a comprehensive array of curriculum choices and tutoring styles, in addition to a digital platform that is interactive for students.
LearnWell Tutoring will be able to successfully tutor students ages 5-18. The team of teaching and tutoring professionals are highly qualified and experienced in both skillsets. LearnWell Tutoring removes all headaches and issues of the learning process for students and ensure a positive outcome with tutoring professionals who can guide the students to better, more informed learning practices. All issues are removed expeditiously while delivering the best customer service.
LearnWell Tutoring History
Since incorporation, LearnWell Tutoring has achieved the following milestones:
- Registered LearnWell Tutoring, LLC to transact business in the state of Idaho.
- Has a contract in place at one of the office buildings for a 10,000 square foot office and conference room area.
- Reached out to numerous former tutoring clients to refer LearnWell Tutoring to others.
- Began recruiting a staff of 10 and office personnel to work at LearnWell Tutoring.
LearnWell Tutoring Services
The following will be the services LearnWell Tutoring will provide:
The academic tutoring industry is expected to grow over the next five years to over $172 billion. The growth will be driven by a high rate of interest and demand by parents and caregivers. The growth will be driven by technological advancements that make tutoring platforms and tutors easily accessible. The growth will be driven by a growing acceptance of tutors for students who need extra training and cognitive understanding of various subjects. The growth will be driven by students who missed critical learning skills during the global pandemic and now need instructions. Costs will likely be reduced as tutoring services become more available and accessible.
Demographic profile of target market.
LearnWell Tutoring will focus on the parents or caregivers of students, ages 5-18, who will benefit from private tutoring in academic subjects of all kinds. LearnWell Tutoring will focus on the public and private schools within the Pocatello region. LearnWell Tutoring will focus on parents or caregivers who may choose advanced courses or foreign language introductions for their children. LearnWell will focus on citywide associations and collaborative partnerships within the city programs.
LearnWell Tutoring will primarily target the following customer profiles:
- Parents or caregivers of students in need of tutoring
- Public and private schools within the region of Pocatello
- Parents or caregivers who want advanced curriculum teaching for their children
- Citywide associations or collaborative partnerships within the city programs
Direct and indirect competitors.
LearnWell Tutoring will face competition from other companies with similar business profiles. A description of each competitor company is below.
Ace Tutors Academy is an academic tutoring company dedicated to educational support to elementary-aged children. Three goals of the academy are listed on their website: Foster a love for learning, boost confidence, and help children excel in academics”. The tutors focus on ages 5-12 and have a rotating cadre of tutors who instruct online on a part-time basis over the weekly schedule set out by the owner of the company, Nick Demas. As a former online tutor, Nick found that elementary aged children struggle the most with reading skills, math calculations and social studies. As a result, he founded his company in 2015. There are 5 tutors, most of whom have at least one year of tutoring experience, who work on the rotational basis, helping students as needed. There are no monthly contracts for clients; students can jump online at any time for a minimum of one-hour per session to increase or learn a new skill set.
Global English Tutoring
Global English Tutoring is a specialized tutoring company focused on providing comprehensive English language instruction to foreign students of all ages. The goal of the owners, John and Marie Hoover, is to bring English proficiency to students from all countries. The program is designed to help students overcome language barriers, improve their communication skills, and thrive in an English-speaking environment.
The services of Global English Tutoring are similar to the franchised former tutoring company owned by John and Marie Hoover. Their target audience is foreign students, both children and adults, who are seeking to learn or enhance their English language skills. They also target international students, expatriates, and professionals looking to improve their language. Their business was formed in 2019, with the aim to bring these skills to students online around the world and to also, concurrently, bring English-speaking students into diverse backgrounds by teaching and tutoring. The company currently employs three tutors and an administrative assistant and is headquartered in a suburb near Pocatello.
Nihongo Tutoring is a specialized tutoring company dedicated to teaching English-speaking adults the Japanese language. With the expansion of the global market, this online tutoring company has opened the doors to English speakers to the world of the Japanese language, along with the cultural and societal understandings that accompany the language. The owners, Ming and Tsong Hingbo, are expert tutors in the company and have prepared the entire curriculum based on their experience and knowledge of Japanese and Japan. They started the company in 2020 and enrollment has grown since that time.
Tutoring is available for adult learners who take an online immersive learning experience. The 24-month tutoring program is paid for in full before starting and, when completed, signifies through a certification that students are capable of and can converse in Japanese. Multiple global companies utilize the services of Nihongo Tutoring and several place their entire executive board into the 24-month programs to facilitate an understanding of their global partnerships. The tutoring program includes academics, history of Japan, social customs, upcoming trends and new markets, corporate structuring, along with protocols for meetings and meals.
LearnWell Tutoring will be able to offer the following advantages over their competition:
Brand & value proposition.
LearnWell Tutoring will offer the unique value proposition to its clientele:
- Highly-qualified team of skilled employees who are able to provide a comprehensive academic program of tutoring services
- Unbeatable pricing to its clients, with discounts given for multiple students in one family
The promotions strategy for LearnWell Tutoring is as follows:
Word of Mouth/Referrals
LearnWell Tutoring has built up an extensive list of contacts over the years by providing exceptional service and expertise to former students of owner Carrie Longwood. The former clients have agreed to follow Carrie to her new company and help spread the word of LearnWell Tutoring by referrals and word-of-mouth efforts.
Professional Associations and Networking
Carrie Longwood will network among school and community groups to offer services for academic studies to students in need. She will initiate contact with the school district offices throughout Pocatello to offer her services, as well.
All parents of students within the region of Pocatello will receive a brochure from the LearnWell Tutoring company three weeks prior to the launch of the business. Discounts for the first three months of the company will be offered, along with packages for families who have two or more students who need academic tutoring.
LearnWell Tutoring will fully utilize their website. The website will be well organized, informative, and list all the academic services that LearnWell Tutoring provides. The website will also list their contact information and open tutoring schedules for clients to click on and reserve. The LearnWell Tutoring’s website will utilize SEO marketing tactics so that anytime someone types in the Google or Bing search engine “tutoring company” or “tutoring near me”, LearnWell Tutoring will be listed at the top of the search results.
The pricing of LearnWell Tutoring will be moderate and on par with competitors so customers feel they receive excellent value when purchasing their services.
The following will be the operations plan for LearnWell Tutoring. Operation Functions:
- Carrie Longwood will be the Owner and President of the company. She will oversee all staff and manage client relations. Carrie has spent the past year recruiting the following staff:
- Sheri Blackwell, formerly a tutor for children ages, 5-12, who will become the Academic Expert Tutor for elementary students.
- Greg Thompson, formerly a senior tutor for children ages 12-14, who will become the Academic Expert Tutor for the junior high students.
Jack Owens, a former full-time, tenured high school teacher will become the Senior Academic Expert Tutor for the high school students.
LearnWell Tutoring will have the following milestones completed in the next six months.
- 5/1/202X – Finalize contract to lease office space
- 5/15/202X – Finalize personnel and staff employment contracts for LearnWell Tutoring
- 6/1/202X – Finalize contracts for LearnWell Tutoring clients
- 6/15/202X – Begin networking at association and community events
- 6/22/202X – Begin moving into LearnWell Tutoring office
- 7/1/202X – LearnWell Tutoring opens its doors for business
Key revenue & costs.
The revenue drivers for LearnWell Tutoring are the fees they will charge to clients for their academic tutoring services.
The cost drivers will be the overhead costs required in order to staff LearnWell Tutoring. The expenses will be the payroll cost, rent, utilities, office supplies, and marketing materials.
Funding Requirements and Use of Funds
LearnWell Tutoring is seeking $200,000 in debt financing to launch its academic tutoring company. The funding will be dedicated toward securing the office space and purchasing office equipment and supplies. Funding will also be dedicated toward three months of overhead costs to include payroll of the staff, rent, and marketing costs for the print ads and association memberships. The breakout of the funding is below:
The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.
- Number of Clients Per Month: 120
- Average Revenue per Month: $34,000
- Office Lease per Year: $100,000
Income statement, balance sheet, cash flow statement, tutoring business plan faqs, what is a tutoring business plan.
A tutoring business plan is a plan to start and/or grow your tutoring business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.
You can easily complete your Tutoring business plan using our Tutoring Business Plan Template here .
What are the Main Types of Tutoring Businesses?
There are a number of different kinds of tutoring businesses , some examples include: Exam preparation, Primary school tutoring, and Occupational and advanced academics tutoring.
How Do You Get Funding for Your Tutoring Business Plan?
Tutoring businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.
What are the Steps To Start a Tutoring Business?
Starting a tutoring business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.
1. Develop A Tutoring Business Plan - The first step in starting a business is to create a detailed tutoring business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.
2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your tutoring business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your tutoring business is in compliance with local laws.
3. Register Your Tutoring Business - Once you have chosen a legal structure, the next step is to register your tutoring business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.
4. Identify Financing Options - It’s likely that you’ll need some capital to start your tutoring business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.
5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.
6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.
7. Acquire Necessary Tutoring Equipment & Supplies - In order to start your tutoring business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation.
8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your tutoring business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising.
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How to Start a Tutoring Business
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Tutoring can be a lucrative side business that you can grow into full-time income. There are several advantages to starting your own tutoring business, like a flexible work schedule and low upfront costs.
If you want to apply your knowledge to help students achieve their academic goals, consider channeling that passion into learning how to build a business. Here are nine steps you can use if you’re wondering how to start a tutoring business.
1. Identify your client
You should start out by deciding who and what you want to tutor, since deciding who you want to sell your services to influences your entire business plan . Here are some questions you should ask about your ideal target client:
Which grades do you want to tutor? The subject matter and teaching style for a high school sophomore will be different from a college freshman or a middle schooler, for example.
Do you want to tutor for a specific test? Many tutors specialize in a lucrative niche (more on this below).
Do you prefer group tutoring or one-on-one? Depending on your preference, you might want to tutor in mini-classes or work with more one-on-one sessions.
Do you want to tutor locally or online? Decide whether you prefer working only with local clients or if you’re comfortable tutoring online, often via video chat.
2. Build your subject matter knowledge
Your expertise will be your money-maker when starting your tutoring business. After deciding who your ideal client is, your next step is to build your knowledge in a given subject. Here's how to do it:
Find a niche to teach: Starting a tutoring business focused on STEM subjects (science, technology, engineering and math) is great because they are in-demand skills. Within those subjects, you can narrow your niche even further by focusing on trigonometry or how to write a college-level research paper. You could also find a niche in a standardized test, like the SAT (for college admission) or LSAT (for law school). This can be a highly profitable route — an SAT prep course from The Princeton Review can cost up to $899.
Assess your strengths and weaknesses: When you’re starting a tutoring business, you’ll want to know what you have to work on within the subject matter you’re teaching. A great way to do this is to take a practice test in your chosen field. If you decide that tutoring for the LSAT is what you want your niche to be, you’ll want to take several practice tests. Evaluate your performance and identify the gaps in your knowledge.
Put yourself on a study schedule: After learning your weaknesses, it’s time to sharpen your skills. Take note of how you can compensate for your weaknesses. What study tactics are you using? How do you stay productive? This information will come in handy when you’re coaching students through their own practice sessions.
Stay current with the syllabus: You’ll need to be familiar with the required texts and materials in current education standards. During the off-season, like summers or winters, dedicate time to learning what teachers are assigning during the school year to ensure that you’re prepared when student vacations are over.
Learn how to teach effectively: When it comes to how to start a tutoring business, it isn’t enough to just have knowledge. Teaching is another skill you need to build if you want a successful tutoring business. Learning how to communicate complex concepts while you adapt to student learning styles is how you can build a profitable tutoring business with satisfied clients. Brush up on your communication skills by reading books and watching videos on the subject.
Consider getting certified: While the United States does not require any certifications to become a private tutor, it still may be something you want to consider. Getting certified, especially with the National Tutoring Association, can boost the reputability of your services. There are also additional tutoring certifications that may be useful for you to obtain.
3. Choose a tutoring business model
There are a few different business models you can choose from when starting your tutoring business. These include:
Buy a tutoring franchise: If you prefer to operate within an existing business model, you can consider joining a tutoring franchise, like Kumon or Sylvan Learning. However, buying a franchise does have its disadvantages — including startup fees and a lack of freedom — so it’s important to do your research.
Run a home-based tutoring business: This option is great if you are looking to keep startup costs down. You can designate space inside your home to use as your tutoring space — and if that's all the space is used for, some things related to that space could be tax-deductible. Be sure to read the specifics so you don't end up paying more in taxes, or fines, later down the road. As a home-based tutoring business, you can decide whether you'll meet clients in person at your home or whether you'll run an online operation.
Be a traveling tutor: If you don't feel comfortable putting your home address out there, you could decide to travel to your client's home for tutoring sessions. This could also increase your attraction with parents since they won't have to take time out of their busy schedule to drive their children to lessons. Your mileage or other travel expenses could also be another tax deduction.
4. Register your business
If you’re wondering how to start a tutoring business, you’re probably operating as a sole proprietor, especially if tutoring is your side hustle. However, there may come a time when you want to look into selecting another business structure, like an LLC.
With an LLC, you'll have reduced liability and the choice to be taxed as either a sole proprietor or corporation. Also, attaching “LLC” to your business name can boost your professional appearance. Once you've decided on the right business entity for your tutoring business, you're almost ready to register your business. But first, you'll need a business name.
Choosing a business name
Make sure you choose a business name that is both unique and available in your state. A good way to check availability is by doing a quick secretary of state business search.
If you’re operating your tutoring business as a sole proprietorship and choose a business name other than your legal name, you’ll need to file a DBA, or “doing business as,” name when registering your business. Make sure you research your state’s DBA requirements to ensure you’re completing the process properly.
When registering for an LLC, you will usually be required to include the term “limited liability company,” “LLC,” or “L.L.C.” in your business name.
5. Separate your business and personal finances
It’s always a practical idea to separate your business and personal finances, especially if you’ve formed an LLC. When you mix your personal and business finances, you “pierce the corporate veil” which can risk your legal protections. But even if you’re simply operating a sole proprietorship, keeping this divide makes bookkeeping easier, which ultimately makes your job during tax season that much smoother.
Open a business checking account . You can collect cash or invoice payments and deposit them in this account. Try to only use funds from your business account to pay for business expenses, so all your transactions will be limited to one account and one set of statements.
Apply for a dedicated business credit card . Many people don’t realize that you have a business credit score separate from your personal credit score. Building your business credit history boosts your financial health and can grow your business down the line while helping you gain access to reliable funding from banks and other lenders.
6. Create a business budget
After you decide what tutoring services you will offer, it’s time to calculate your startup and operating costs.
Learning how to create a business budget can be intimidating, especially if you’ve never done it before. However, it’s necessary for any small business and will prepare you for success. To avoid costly errors and maximize your profit, create a budget to help you responsibly manage your finances. Business expenses you want to factor into your budget include, but aren't limited to, writing materials, printer and ink, marketing materials and invoice and bookkeeping software.
Seek funding if you need it
If you intend to find a location to rent and employ additional tutors, your startup costs can significantly increase. You may want to consider applying for a business loan or opening a business line of credit to cover your increased expenses. If this is your first business venture and you haven’t built up much business credit, a traditional bank may be hesitant to offer you funding. However, there are alternative lenders who might look at other factors, such as the financial health of your business and your personal score, to make determinations about lending money.
Alternatively, you could try bootstrapping your business and securing loans from friends, families and supporters, or you could try crowdfunding sites to raise any capital you might need to get your tutoring business to the next level.
7. Determine your pricing
If you’re starting a tutoring business, you’ll want to make sure you set competitive rates that cover your costs while appealing to clients. According to Glassdoor, a private tutor with one to two years of experience can expect to earn $14,000 to $42,000 per year, or a national average of $22 per hour, depending on your rates and how much you work. Here are a few ways you can determine a fair pricing point for your tutoring business:
Research the competition: Are there other tutoring services in your area? Even if they’re not specializing in the same niche as you, what hourly rates are they charging their clients? This can provide you a baseline for how to price your service. You can even consider charging more if you offer more value than your competitor.
Consider location: When pricing services for your tutoring business, consider which communities you’re targeting. Can your prospective clients afford to pay premium rates for your tutoring services? For example, when it comes to a standardized test like the SAT, students in certain school districts may not seek out private tutoring at a high enough rate for your business to prosper at the price you desire, but in other school districts, private tutoring may be more of the norm.
Factor in your experience: While a teaching license is not required to become a private tutor, it can boost your credentials. Also, you can use any relevant college degrees or past teaching experience to increase your prices. However, if you don’t have any of these, you may want to consider lowering your price points until you have more experience under your belt.
8. Market yourself
You'll need to get the word out about your new tutoring business, so coming up with a marketing plan that not only is effective but is within your budget is key. Below are a few ways to get started.
Perfect your elevator pitch: Create a brief, catchy elevator speech to help communicate your tutoring services concisely, especially when you’re pitching your services by word-of-mouth. For a tutoring business, some points you want to address in your elevator pitch include who your target client is, their pain points and how your tutoring services solve them.
Offer a discounted rate starting out: Getting your first client can be tough, especially when they ask for past client results and you don't have any. Offering a discounted rate can help you get clients even with little-to-no experience. Since you’re offering a discounted rate, request a positive testimonial from those first clients. These testimonials will boost your marketing potential when seeking new clients.
Build your online portfolio: Creating a small-business website adds another degree of professionalism when starting a tutoring business. Use your online portfolio to list any experiences you have with tutoring or related fields. You also want to list any degrees and tutoring certifications you have. The right portfolio will attract the right client and will land you the job.
Make business cards: While more businesses are going digital, business cards can still advance your branding and marketing strategy. Since many tutoring businesses work with local clients, having a business card to pass around within your community can help spread the word about your services.
Set up a referral system: Never discount the power of word-of-mouth marketing. It's often the bread-and-butter strategy for many tutoring businesses’ marketing success. A satisfied client who owes their passing grade to your tutoring services can skyrocket your value. Start networking with your clients to increase your business.
9. Prepare yourself for tutoring challenges
Starting a tutoring business can be a great way to earn a side income or even replace your day job. However, there are some not-so-great aspects of tutoring that you should be aware of and prepared for.
Your schedule needs to be accommodating: Many of your clients will be school students that are unavailable during the day. If you’re tutoring college students, their availability can be even more limited. Your schedule can often be erratic as you do your best to accommodate each client’s availability. You should be prepared to sacrifice your evenings and weekends for your clients.
Tutoring will test your patience: Some clients will struggle more than others with the subject matter. Coaching your students and being mindful of their learning speeds requires practice and patience. Do your best to learn different teaching styles to better gel with your clients learning styles. It’s your responsibility as the tutor to meet students halfway and figure out what works for them.
You need to appease the parents: As a tutor, you’ll not only be working with students but you’ll also be working with their parents. You’ll likely be selling your services to parents rather than students and it’s important to keep them happy while creating a comfortable learning environment for your students. You might need to build some customer service skills to keep your clients happy.
Zoning issues: If you plan on tutoring in your home, you need to ensure you’re complying with any zoning regulations. Zoning requirements would vary depending on where you live — both your state and county. New York City, for example, allows businesses to be run out of homes but limits the percentage of space in your home you can dedicate to your business. Check with your county clerk's office or consult a business attorney in order to stay compliant.
This article originally appeared on JustBusiness, a subsidiary of NerdWallet.
On a similar note...
Tutor Business Plan Template
Written by Dave Lavinsky
Over the past 20+ years, we have helped over 8,000 entrepreneurs and business owners create business plans to start and grow their tutoring service. On this page, we will first give you some background information with regards to the importance of business planning. We will then go through a tutoring business plan template step-by-step so you can create your plan today.
Download our Ultimate Business Plan Template here >
What Is a Business Plan?
A business plan provides a snapshot of your tutoring service as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategy for reaching them. It also includes market research to support your plans.
Why You Need a Business Plan
If you’re looking to start a tutoring service, or grow your existing tutoring service, you need a business plan. A business plan will help you raise funding, if needed, and plan out how you will grow your business in order to improve your chances of success. Your business plan is a living document that should be updated annually as your company grows and changes.
Sources of Funding for Tutoring Businesses
With regards to funding, the main sources of funding for a tutoring service are personal savings, credit cards, bank loans and angel investors. With regards to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable. But they will want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business.
The second most common form of funding for a tutoring service is angel investors. Angel investors are wealthy individuals who will write you a check. They will either take equity in return for their funding, or, like a bank, they will give you a loan. Venture capitalists will not fund a tutoring service. They might consider funding a tutoring company with a national presence, but never an individual location. This is because most venture capitalists are looking for millions of dollars in return when they make an investment, and an individual location could never achieve such results.
How To Write a Business Plan For a Tutoring Service
Your business plan should include 10 sections as follows:
Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.
The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of tutoring service business you are operating and the status; for example, are you a startup, do you have a tutoring service that you would like to grow, or are you operating a network of tutoring businesses?
Next, provide an overview of each of the subsequent sections of your plan. For example, give a brief overview of the tutoring industry. Discuss the type of tutoring you are offering. Detail your direct competitors. Give an overview of your target market. Provide a snapshot of your marketing plan. Identify the key members of your team. And offer an overview of your financial plan.
In your company analysis, you will detail the type of tutoring you are offering.
For example, you might operate one of the following types:
- Exam preparation : this type of tutoring company provides exam preparation and training materials for high school students, undergraduate students, and recent college graduates preparing for college entrance exams such as the SAT, ACT, GRE, etc.
- Primary school tutoring : this type of tutoring specializes in helping students in K-12. This type of tutoring is typically subject-specific – math, literature, history, etc.
- Occupational and advanced academics tutoring : agencies may sometimes specialize in occupational certification for those entering the workforce as engineers, mechanics, technicians, etc.
In addition to explaining the type of tutoring you provide, the Company Analysis section of your business plan needs to provide background on the business.
Include answers to questions such as:
- When and why did you start the business?
- What milestones have you achieved to date? Milestones could include placement goals you’ve reached, the number of new contracts, etc.
- Your legal structure. Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.
In your industry analysis, you need to provide an overview of the tutoring industry.
While this may seem unnecessary, it serves multiple purposes.
First, researching the tutoring industry educates you. It helps you understand the market in which you are operating.
Secondly, market research can improve your strategy particularly if your research identifies market trends.
The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.
The following questions should be answered in the industry analysis section:
- How big is the tutoring industry (in dollars)?
- Is the market declining or increasing?
- Who are the key competitors in the market?
- Who are the key suppliers in the market?
- What trends are affecting the industry?
- What is the industry’s growth forecast over the next 5-10 years?
- What is the relevant market size? That is, how big is the potential market for your tutoring service? You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.
The customer analysis section must detail the customers you serve and/or expect to serve.
The following are examples of customer segments: elementary students, middle school students, high school students, etc.
As you can imagine, the customer segment(s) you choose will have a great impact on the type of tutoring you offer. Clearly, high school students would want different subject tutoring and would respond to different marketing promotions than professional certification clients.
Try to break out your target market in terms of their demographic and psychographic profiles. With regards to demographics, include a discussion of the ages, genders, locations and income levels of the customers you seek to serve. Because most tutors primarily serve customers living in the same city or town, such demographic information is easy to find on government websites.
Psychographic profiles explain the wants and needs of your target market. The more you can understand and define these needs, the better you will do in attracting and retaining your customers.
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Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.
Direct competitors are other tutoring services.
Indirect competitors are other options customers may use that aren’t direct competitors. This includes peers, teachers, or graduate students. You need to mention such competition to show you understand that not everyone who needs help with grade improvement and test preparation will hire a tutoring company.
- What types of customers do they serve?
- What types of tutoring services do they offer?
- What is their pricing structure (premium, low, tiered, etc.)?
- What are they good at?
- What are their weaknesses?
With regard to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to ask your competitors’ customers what they like most and least about them.
The final part of your competitive analysis section is to document your areas of competitive advantage. For example:
- Will you provide superior services?
- Will you provide services that your competitors don’t offer?
- Will you make it easier or faster for customers to engage your services?
- Will you provide better customer service?
- Will you offer better pricing?
Think about ways you will outperform your competition and document them in this section of your plan.
Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a tutoring service, your marketing plan should include the following:
Product: in the product section you should reiterate the type of tutoring that you documented in your Company Analysis. Then, detail the specific courses or subject help you will be offering. For example, in addition to high school level math tutoring, will you provide GED preparation, or will you be specializing in certification preparation for a specific occupation?
Price: Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of your marketing plan, you are presenting the services you offer and their prices.
Place: Place refers to the location of your tutoring services. Document your location and mention how the location will impact your success. For example, is your tutoring office located next to a high school or near a retail district, etc? Discuss how your location might provide a steady stream of customers.
Promotions: the final part of your tutoring marketing plan is the promotions section. Here you will document how you will drive customers to your location(s). The following are some promotional methods you might consider:
- Advertising in local papers and magazines
- Reaching out to schools and teachers
- Reaching out to local websites
- Social media marketing
- Local radio advertising
While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.
Everyday short-term processes include all of the tasks involved in running your tutoring service, such as serving customers, attracting future applications, processing paperwork, etc.
Long-term goals are the milestones you hope to achieve. These could include the dates when you expect your 100 th student to successfully improve their grades, or when you hope to reach $X in sales. It could also be when you expect your Xth student to excel at a specific exam, or when you expect to launch a new location.
To demonstrate your tutoring business’ ability to succeed as a business, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company.
Ideally, you and/or your team members have direct experience in teaching or tutoring. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.
If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act like mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in education and/or successfully running small businesses.
Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet and cash flow statements.
Balance Sheets : Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $50,000 on building out your tutoring office, this will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a bank writes you a check for $100,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.
Cash Flow Statement : Your cash flow statement will help determine how much money you need to start or grow your business, and make sure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt. For example, let’s say a company approached you with a $100,000 contract for helping employees achieve certification, that would cost you $50,000 to fulfill. Well, in most cases, you would have to pay that $50,000 now for curriculum, employee salaries, etc. But let’s say the company didn’t pay you for 180 days. During that 180 day period, you could run out of money.
In developing your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing your tutoring service:
- Location build-out including design fees, construction, etc.
- Cost of equipment like software, office equipment, etc.
- Payroll or salaries paid to staff
- Business insurance
- Taxes and permits
- Legal expenses
Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your office design blueprint or location lease.
Putting together a business plan for your tutoring company is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will really understand the tutoring industry, your competition and your customers. You will have developed a marketing plan and will really understand what it takes to launch and grow a successful tutoring service.
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Tutor Business Plan FAQs
What is the easiest way to complete my tutoring business plan.
Growthink's Ultimate Business Plan Template allows you to quickly and easily complete your business plan.
Where Can I Download a Free Business Plan Template PDF?
Click here to download the pdf version of our basic business plan template.
Our free business plan template pdf allows you to see the key sections to complete in your plan and the key questions that each must answer. The business plan pdf will definitely get you started in the right direction.
We do offer a premium version of our business plan template. Click here to learn more about it. The premium version includes numerous features allowing you to quickly and easily create a professional business plan. Its most touted feature is its financial projections template which allows you to simply enter your estimated sales and growth rates, and it automatically calculates your complete five-year financial projections including income statements, balance sheets, and cash flow statements. Here’s the link to our Ultimate Business Plan Template.
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Tutoring Business Plan Sample
Tutoring business plan for your own tutoring company
Are you thinking about opening a tutoring business ? Well, if you love to interact with people and have the passion as well as the skill of transferring knowledge then it is definitely the best profession for you. Tutoring may seem like a simple service business where you just have to share your knowledge with a group of individuals in return for a fee but, in order to excel in this tutoring business plan , you must love to teach otherwise you will find it a difficult and stressful task.
The biggest benefit of starting your own tutoring business is that this business can be started on any scale. You can even start it from a small rented house business or your home with a little to no investment. In such cases, all you possess is sound knowledge of what you will be teaching to your students. On the other hand, if you want to start a proper tutoring center where students with different age groups and educational backgrounds will be helped with their education, you will first have to prepare a comprehensive tutoring business plan . The tutoring business plan will not only establish the basis of your company’s future operations and decisions but will also help you with startup. So, if you are wondering how to write an effective tutoring business plan , here we are providing you the tutoring business plan of a startup named ‘Katie’s Tutoring Service’.
2.1 the business.
Katie’s Tutoring Service will be a tutoring center that will provide high school tutoring, college admission test preparation, undergraduate tutoring and individual tutoring to the students. The tutoring business plan will be started in a small rented location in downtown Manhattan.
Katie’s Tutoring Service will be a sole proprietorship owned by Katie Gill who has recently completed her bachelors in Mathematics from Michigan State University. Katie loves tutoring and decided to start a tutoring service only because of her passion to teach. She has been tutoring students for the last 3 years and due to her academic background and the experience gained during these years, Katie knows everything about how to open a tutoring business .
Our customers include high school students, high school graduates, and undergraduate students based in Manhattan. At our tutoring center, we will focus on building skills in our students rather than providing them with knowledge only.
2.4 Target of the Company
Our target is to become the best tutoring center in Manhattan within next five years of startup and to balance the cost of the startup with earned profits within next one year. The company’s three years target is outlined as follows:
3.1 company owner.
Katie’s Tutoring Service will be a sole proprietorship owned by Katie Gill. Katie has recently completed her bachelors in Mathematics from Michigan State University and has been tutoring students for the last 3 years.
3.2 Why the Business is being started
Katie began tutoring when she was in the second year of her studies. At first, she tutored a couple of juniors but in the process, she discovered how well can she convey her knowledge to others. Soon, something which was started just to help a couple of juniors, turned into her passion ultimately leading her to starting a tutoring business .
3.3 How the Business will be started
The first thing to do before you start thinking about how to start your own tutoring business is to develop a detailed tutoring business plan for your startup. After this phase, you can start executing the planned steps. Katie will start her tutoring company in a small rented location in downtown Manhattan. The facility comprises of 6 rooms which will be converted into classrooms. Other than chairs, desks and the usual inventory, the company will procure 6 whiteboards, 6 projectors, and 7 computers. The costs for the startup are as follows:
The detailed startup requirements are given below:
Services for customers
After you have planned how to build a tutoring business , the next step is to plan what types of tutoring services will you provide to your students. This step is extremely important because all the subsequent things will depend on your services so make sure to plan it before starting a tutoring business plan or even before thinking about how to start a tutoring service . Katie’s Tutoring Service will provide following tutoring services to its students:
- High School tutoring: We will provide tutoring services to the high school students who are lagging behind in one or more subjects due to any reason. Our system of tutoring high school students is based on building problem-solving skills in the students for future applications as compared to the usual system of answering the students’ immediate questions.
- Admission tests preparation: Most colleges and universities in the United States require that students applying for admission in them take one or more standardized admission tests like SAT and ACT. We will provide tutoring to high school graduates so as to prepare them for undertaking these entrance tests required for getting admission in their desired college/university.
- Undergrad tutoring: Undergraduate students from different colleges or universities often need help with one or more courses, and at our tutoring center, they will get the guidance they need to go through these courses. Initially, we will only be offering Mathematics related courses including Algebra, Calculus, Statistics, and Finance.
- Individual tutoring: We will also offer individual tutoring services to the students who either join us between our ongoing sessions or are in need of special attention due to their poor academic background.
Marketing Analysis of tutoring business
The most important component of an effective private tutoring business plan is its accurate marketing analysis that’s why Katie acquired the services of marketing experts to help her through this phase. It is only after this stage that a good tutoring business plan could have been developed. If you are going to start a tutoring business on a smaller scale then you can carry out the marketing analysis of your tutoring business plan yourself by taking help from this tutoring business plan sample . On the other hand, if you are planning a large-scale tutoring business model , you should seek help from marketing experts. Doing so, you can get a lot of tutoring business ideas and will also be able to make an effective marketing plan for tutoring business .
In any case, pay special attention to the marketing plan of your tutoring business plan before thinking about how to start a tutoring business .
The four main steps to carry out an accurate marketing analysis of a tutoring center business plan are to identify the current market trends, identify your target audience and potential clients, set out the business targets to achieve, and finally set the prices of your services.
5.1 Market and Industry Trends
According to IBISWorld, US tutoring industry generates around 1 billion dollars in revenue every year. There are more than 3,500 tutoring businesses in the United States responsible for employing nearly 39,000 people. Moreover, the industry is growing steadily at a rate of 3.5% and the number of tutoring and test preparation centers are on the rise in the United States. Considering these stats, it will not be wrong to establish that this industry presents a lot of opportunities. Another important thing that you should consider before you start your own tutoring business is ensuring that you are based in the right location. Location is one of the most important factors that decide the success of this tutoring business plan . Residential areas are ideally the best regions to start a tutoring center because the tutoring center will then be easily accessible to most of the students it will be targeting.
5.2 Marketing Segmentation
Katie’s Tutoring Service is located at a 5 minutes’ walk from the main residential zone of Manhattan and is therefore fairly accessible to the residential community which is our primary target market. The location was also selected because there are no tutoring centers which provide admission test preparation services to the students in a 5 km radius around us. The residential community consists of all types of people from varying backgrounds. As per the financial position, nearly half of the community has a monthly income ranging from £40k to £50k while nearly 10% people have incomes even around £100,000. There are currently more than 738,000 households in Manhattan out of which 17.1% have children under the age of 18 living with them. In addition to that, 59.1% are non-families, out of which 48.0% population comprises of individuals living alone. A successful and efficient marketing strategy can only be developed after we completely know our potential clients. Our experts have identified the following type of target audience which can become our future consumers:
The detailed marketing segmentation of our target audience is as follows:
5.2.1 High School students:
Our first target group comprises of the students who are studying in high schools. Most of the high school students in the United States face difficulty with Mathematics and Sciences like Physics, Chemistry, and Biology. Moreover, sometimes students miss their classes due to absences caused by illnesses, family issues or other engagements. Our tutoring service will be the perfect place for these students to make up their deficiencies in one or more subjects.
5.2.2 High School graduates:
This group comprises of those students who are about to graduate or have recently graduated from high schools and are trying to secure admission to a university/college of good standing. This group will not only be given a conceptual overview of particular courses but will also be subjected to regular practice tests. This group will contribute the biggest chunk of our revenue and hence our marketing business strategy will be specifically built to target them.
5.2.3 Undergrad students:
This group includes the students who are studying in colleges or universities and are finding it difficult to grasp one or more courses. However, initially, we are only offering a limited number of courses to this group since the tutors required for teaching undergrad students must be specialized in their field of study. This group will be directly taught by Katie herself along with one of her friends who is a business graduate from Harvard University. The detailed market analysis of our potential clients is given in the following table:
5.3 Business Target
We aim to become the best tutoring center in Manhattan within next five years of our startup. Our main tutoring business plan targets to be achieved as milestones over the course of next three years are as follows:
- To achieve the net profit margin of £10k per month by the end of the first year, £15k per month by the end of the second year, and £25k per month by the end of the third year
- To balance the initial cost of the startup with earned profits by the end of the first year
- To get all high school and undergrad students cleared up in their respective courses
5.4 Product Pricing
After considering the market demands and the current competition, we have priced our tutoring services in the similar ranges as of our competitors. The fee for individual tutoring will be £20/hour for high school students and £40/hour for undergraduate students.
Like marketing analysis, sales strategy is also an important component of a tutoring business plan so it must be given proper attention before you think about how to start tutoring business .
L-1 Update – RateGain – KOTHARI, Siddharth
Alex has been super quick with his responses to my emails. I needed my business plan very urgently and whether it was Saturday or Sunday, Alex made sure that i had my plan ready in the shortest amount of time possible. My finance team is also very impressed. Well done Alex and keep up the good work!!!!! Sid Kothari Executive Vice President www.rategain.com 470.422.8578 8300 Greensboro Drive, Suite 800, Mclean, VA, 22102
Marketing analysis describes which individuals are you supposed to target and sales strategy describes how you are going to target them. A good sales strategy is based on an accurate competitive analysis which enables you to present yourself to your customers in the best way possible.
6.1 Competitive Analysis
As mentioned earlier, there are more than 3,500 tutoring businesses located across the United States. To survive and excel in such competitive environment, it is essential for a startup to work on its competitive aspects which will give it an advantage over the rest of the similar businesses in the locality. Our biggest competitive advantage will be our high-quality and unparalleled services provided at suitable rates. We will address the issues of every student individually and work with them to improve their problem identification and problem-solving skills.
6.2 Sales Strategy
After carrying out a detailed analysis, our experts came up with the following brilliant ideas to advertise and sell ourselves.
- We will carry out a large-scale social media campaign for our advertisement.
- We will establish a strong online presence by using SEM/SEO techniques.
- We will arrange seminars and sessions for providing information about college admission procedure/tests.
- We will partner with local high schools and will provide our services to them for tutoring their low-performing students.
6.3 Sales Monthly
Our monthly sales, as forecasted by our experts, are as follows:
6.4 Sales Yearly
Our yearly sales, as forecasted by our experts, are as follows:
6.5 Sales Forecast
Considering the quality of our services and our unparalleled client service, our sales pattern is expected to increase with years. By analyzing our market segmentation strategy, our experts have forecasted in detailed the following sales on a yearly basis which are summarized in the column charts.
The detailed information about sales forecast, total unit sales, total sales is given in the following table:
Personnel plan is important since the success of tutoring business plan significantly depends upon its employees. It is never easy to estimate the number and type of staff needed for a company before it is even launched therefore it is better to seek the help of HR experts to get through this phase. However, you can also have a rough idea yourself before you decide on how to start your own tutoring service . Katie has developed the following personnel plan for starting a tutoring company .
7.1 Company Staff
Katie will act as the General Manager of the company and will manage its overall operations while the following people will be hired initially:
- 1 Accountant for maintaining financial records of the center
- 2 Sales Executives responsible for marketing and discovering new ventures
- 10 Tutors for tutoring different subjects and courses
- 4 Assistants for undertaking various day-to-day tasks in the center
- 1 Technical Assistant for managing company’s web pages and social media accounts
- 1 Front Desk Officer for acting as a Receptionist and receiving calls
All the employees needed to start a tutoring company will be hired by following strict testing procedures and will also be trained before onboarding.
7.2 Average Salary of Employees
The following table shows the forecasted data about the salaries of the employees for the next three years. These salaries are just an estimate and are also expected to deviate but the overall expenses will be more or less the same.
Just like the other plans, you must also prepare a detailed financial plan covering all financial aspects of your startup before you move on to starting a tutoring center . The financial plan should craft a detailed map about the costs of startup, inventory, payroll, equipment, rent, utilities and how these costs will be covered by the earned profits. Also, make sure to carry out a detailed profit and loss analysis before getting to think about how to start a tutoring company . The financial plan of Katie’s Tutoring Service outlines the development of the company over the next three years and is specifically developed to achieve the company’s short-term as well as the long-term objectives.
8.1 Important Assumptions
8.2 brake-even analysis, 8.3 projected profit and loss, 8.3.1 profit monthly, 8.3.2 profit yearly, 8.3.3 gross margin monthly, 8.3.4 gross margin yearly, 8.4 projected cash flow, 8.5 projected balance sheet, 8.6 business ratios.
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How to create a tutoring business plan
- Jeremy Greenbaum
Crafting a tutoring business plan isn't just about putting words on paper. It's about designing a blueprint that outlines your aspirations, strategies and financial forecasts for starting your tutoring business.
When starting a business , it’s crucial to take the time to construct a solid business plan. Keep reading for tips on how to develop your own plan for success.
Ready to take your tutoring business online by making a website ? Test drive Wix’s website builder .
Benefits of creating a tutoring business plan
Creating a comprehensive business plan is particularly important in the education sector because of the one-on-one, personalized nature of tutoring services. Your plan can help you articulate your unique teaching methodologies, learning objectives and student engagement strategies. This clarity not only assists in building a strong foundation for your business but also establishes credibility and trust among potential students and parents.
A comprehensive and clear business plan additionally plays a pivotal role in attracting funding or other partners. Potential stakeholders will want to see that your tutoring business is well-thought-out and is positioned for success. The financial projections and growth strategies outlined in your plan provide a realistic overview of your business's profitability and expansion potential.
All in all, a well-crafted plan enhances the chances of being successful in the education space and your ability to meet the needs of various students.
As you build your tutoring business plan, here are the six primary sections to keep in mind:
Business and domain names
Market analysis and research
Marketing and advertising plans
01. executive summary.
The executive summary serves as a concise overview of your tutoring business plan, encapsulating its key components. It outlines the vision, mission, target market, competitive advantage and financial projections for your tutoring business. Writing a clear executive summary for a tutoring business involves succinctly conveying your unique approach to education and demonstrating how your services meet the needs of students and parents.
Example of an executive summary: “Welcome to InspireLearn Tutors, a tutoring service dedicated to empowering students to achieve academic excellence and personal growth. Our mission is to provide personalized and engaging educational experiences that foster a love for learning and equip students with lifelong skills. With a team of passionate and qualified tutors, we offer a range of subjects and study techniques tailored to each student's learning style. At InspireLearn Tutors, we believe in nurturing curiosity and building confidence, ensuring students thrive in their academic journeys.”
02. Business and domain names
Choosing the right business name is essential for brand identity and recognition. The name should reflect your tutoring philosophy, convey professionalism and be easy to remember. Use a business name generator for inspiration, brainstorming names that resonate with your educational values and core audience.
In the same vein, when selecting a domain name , prioritize simplicity and relevance. Avoid complex spellings or excessive hyphens. Verify that your chosen domain name is available and secure it promptly. For instance, if your tutoring business is "InspireLearn Tutors," a suitable domain name could be "inspirelearntutors.com."
Once you’re landed on an appropriate business name and legal structure, make sure to register your business .
03. Market analysis and research
Include a comprehensive market analysis to gain insights into the tutoring industry and your target market. Research local educational needs, competition and trends. Understand students' and parents' preferences, pain points and expectations from tutoring services. This information will guide your business strategy, helping you tailor your services to meet specific demands and to stand out in a competitive market.
04. Operations plan
An operations plan outlines the practical aspects of running your tutoring business effectively.
Location and premises: Choose a convenient and safe location for in-person tutoring sessions or consider offering online options for broader accessibility. Design your tutoring space for comfort and focus, with ample lighting and appropriate resources.
Equipment: Invest in educational materials, technology and tools to enhance the learning experience.
Staffing: Hire qualified tutors who share your educational philosophy and possess excellent communication skills.
05. Marketing and advertising plan
The "marketing and advertising plan" section of your business plan shares how you plan on reaching and engaging students. It outlines concrete strategies, such as the ones listed below, for drumming up attention around your tutoring program:
Online presence: Develop a business website (EduVisionTutors.com) to showcase your services, tutors' profiles and success stories.
Social media platforms: Utilize platforms like Instagram, Facebook and LinkedIn to engage with students and parents, sharing informative content.
Content strategy: Create blog posts, videos and study resources that showcase your expertise and provide valuable insights.
Referral programs: Offer incentives for current students or parents who refer new clients, leveraging word-of-mouth marketing.
Branding: Use a logo maker to generate a logo for your tutoring services, plus flesh out the messaging and other visual components of your brand.
06. Financial plan
The financial plan is a critical component of your tutoring business plan, detailing how your business will generate revenue, manage expenses, achieve profitability—and, if needed, raise money . It provides a comprehensive overview of your business's financial health, including startup costs, revenue projections, expenses, funding sources and more:
Startup costs: Outline the initial investment required to launch your tutoring business. This includes expenses such as curriculum development, tutoring materials, technology, marketing, legal fees, office setup and any other essential expenditures.
Revenue projections: Estimate the potential income your tutoring business can generate. Calculate your projected revenue based on the number of students you anticipate, the services you offer and your pricing structure. Consider offering different packages or services to diversify your revenue streams.
Expenses: Break down your monthly and annual operating expenses. This includes costs for tutor salaries, rent (if applicable), utilities, marketing efforts, technology subscriptions, materials and other ongoing expenditures. Accurate expense estimation is crucial for effective financial planning and ensuring your business remains sustainable.
Funding sources: Detail how your tutoring business will be funded initially. Specify the contributions from personal savings, loans, investors, grants or any other financial sources. Having a clear understanding of your funding sources helps you allocate resources effectively and manage your finances responsibly.
Profitability: Outline the projected timeframe for your tutoring business to become profitable. This timeline depends on factors like student enrollment, pricing strategy, expenses and market demand. A realistic profitability timeline helps you set goals, make informed decisions and measure your business's financial success.
Financial management: Describe how you will manage your business's finances. This includes setting up a dedicated business bank account, tracking income and expenses diligently, using accounting software and implementing financial controls to ensure financial stability and compliance.
Contingency plans: It's essential to include contingency plans in your financial section. Anticipate potential challenges or changes in the market that could impact your financial projections. Having backup strategies in place ensures you're prepared to navigate uncertainties and make necessary adjustments.
Sample tutoring business plan: EduBoost Tutors
EduBoost Tutors is committed to empowering students with personalized learning experiences that foster academic growth and confidence. Our mission is to provide top-notch tutoring services that inspire students to excel in their studies and realize their full potential. With a team of experienced educators and a student-centered approach, we aim to create a positive impact on the educational journeys of our students.
Company and domain names
Company name: EduBoost Tutors
Domain name: www.eduboosttutors.com
Choosing a compelling name is integral to building a strong brand identity. EduBoost Tutors signifies our dedication to enhancing students' learning capacities. The domain name further aligns with our brand and is easy for students and parents to remember.
Our research reveals a growing demand for personalized educational support. Parents and students are seeking tailored tutoring services that address individual learning needs. By understanding the local education landscape, we are well-positioned to offer relevant and effective tutoring solutions.
Location: We will operate from a centrally located tutoring center equipped with comfortable spaces for one-on-one sessions and group workshops.
Premises : Our premises will include dedicated study areas, resource libraries and state-of-the-art technology for interactive learning.
Equipment: We will invest in curriculum materials, digital resources, computers and interactive displays.
Staffing: Our team will consist of qualified tutors with expertise in various subjects, ensuring a well-rounded educational experience.
Marketing and advertising plan
Online presence: Develop a user-friendly website (eduboosttutors.com) that showcases our services, tutor profiles and student success stories.
Social media: Engage with students and parents on platforms like Instagram, Facebook and X, sharing informative content and educational tips.
Content strategy: Provide regular blog posts, videos and study guides to demonstrate our expertise and offer valuable resources to students.
Local partnerships: Collaborate with schools and educational institutions to establish our presence and offer supplementary support.
Tutoring materials: $3,000
Website development: $1,500
Marketing initiatives: $1,000
Staff training: $1,000
Premises setup: $5,000
Total startup costs: $11,500
Revenue projections (year 1)
Number of students: 40
Average monthly fee per student: $250
Total monthly revenue: $10,000
Total annual revenue: $120,000
Tutor salaries: $5,000
Marketing expenses: $500
Premises maintenance: $300
Software subscriptions: $200
Total monthly expenses: $6,200
Initial funding will come from personal savings and a small business loan of $7,000.
We anticipate achieving profitability within the first year, driven by consistent student enrollment and efficient cost management.
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How To Write a Winning Tutoring Business Plan + Template
Creating a business plan is essential for any business, but it can be especially helpful for tutoring businesses that want to improve their strategy and/or raise funding.
A well-crafted business plan not only outlines the vision for your company, but also documents a step-by-step roadmap of how you are going to accomplish it. In order to create an effective business plan, you must first understand the components that are essential to its success.
This article provides an overview of the key elements that every tutoring business owner should include in their business plan.
Download the Ultimate Business Plan Template
What is a Tutoring Business Plan?
A tutoring business plan is a formal written document that describes your company’s business strategy and its feasibility. It documents the reasons you will be successful, your areas of competitive advantage, and it includes information about your team members. Your business plan is a key document that will convince investors and lenders (if needed) that you are positioned to become a successful venture.
Why Write a Tutoring Business Plan?
A tutoring business plan is required for banks and investors. The document is a clear and concise guide of your business idea and the steps you will take to make it profitable.
Entrepreneurs can also use this as a roadmap when starting their new company or venture, especially if they are inexperienced in starting a business.
Writing an Effective Tutoring Business Plan
The following are the key components of a successful tutoring business plan:
The executive summary of a tutoring business plan is a one to two page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.
- Start with a one-line description of your tutoring company
- Provide a short summary of the key points in each section of your business plan, which includes information about your company’s management team, industry analysis, competitive analysis, and financial forecast among others.
This section should include a brief history of your company. Include a short description of how your company started, and provide a timeline of milestones your company has achieved.
If you are just starting your tutoring business, you may not have a long company history. Instead, you can include information about your professional experience in this industry and how and why you conceived your new venture. If you have worked for a similar company before or have been involved in an entrepreneurial venture before starting your tutoring firm, mention this.
You will also include information about your chosen tutoring business model and how, if applicable, it is different from other companies in your industry.
The industry or market analysis is an important component of a tutoring business plan. Conduct thorough market research to determine industry trends and document the size of your market.
Questions to answer include:
- What part of the tutoring industry are you targeting?
- How big is the market?
- What trends are happening in the industry right now (and if applicable, how do these trends support the success of your company)?
You should also include sources for the information you provide, such as published research reports and expert opinions.
This section should include a list of your target audience(s) with demographic and psychographic profiles (e.g., age, gender, income level, profession, job titles, interests). You will need to provide a profile of each customer segment separately, including their needs and wants.
For example, the customers of a tutoring business may include parents of school-aged children and working professionals who want to improve their English language skills.
You can include information about how your customers make the decision to buy from you as well as what keeps them buying from you.
Develop a strategy for targeting those customers who are most likely to buy from you, as well as those that might be influenced to buy your products or tutoring services with the right marketing.
The competitive analysis helps you determine how your product or service will be different from competitors, and what your unique selling proposition (USP) might be that will set you apart in this industry.
For each competitor, list their strengths and weaknesses. Next, determine your areas of competitive differentiation and/or advantage; that is, in what ways are you different from and ideally better than your competitors.
Below are sample competitive advantages your tutoring business may have:
- Proven track record of success
- Extensive tutoring experience
- Highly qualified and experienced staff
- State-of-the-art technology and tools
- Customized programs to meet individual needs
This part of the business plan is where you determine and document your marketing plan. . Your plan should be clearly laid out, including the following 4 Ps.
- Product/Service : Detail your product/service offerings here. Document their features and benefits.
- Price : Document your pricing strategy here. In addition to stating the prices for your products/services, mention how your pricing compares to your competition.
- Place : Where will your customers find you? What channels of distribution (e.g., partnerships) will you use to reach them if applicable?
- Promotion : How will you reach your target customers? For example, you may use social media, write blog posts, create an email marketing campaign, use pay-per-click advertising, launch a direct mail campaign. Or, you may promote your tutoring business via word-of-mouth marketing.
This part of your tutoring business plan should include the following information:
- How will you deliver your product/service to customers? For example, will you do it in person or over the phone only?
- What infrastructure, equipment, and resources are needed to operate successfully? How can you meet those requirements within budget constraints?
The operations plan is where you also need to include your company’s business policies. You will want to establish policies related to everything from customer service to pricing, to the overall brand image you are trying to present.
Finally, and most importantly, in your Operations Plan, you will lay out the milestones your company hopes to achieve within the next five years. Create a chart that shows the key milestone(s) you hope to achieve each quarter for the next four quarters, and then each year for the following four years. Examples of milestones for a tutoring business include reaching $X in sales. Other examples include adding a certain number of new customers or hiring a specific number of new tutors.
List your team members here including their names and titles, as well as their expertise and experience relevant to your specific tutoring industry. Include brief biography sketches for each team member.
Particularly if you are seeking funding, the goal of this section is to convince investors and lenders that your team has the expertise and experience to execute on your plan. If you are missing key team members, document the roles and responsibilities you plan to hire for in the future.
Here you will include a summary of your complete and detailed financial plan (your full financial projections go in the Appendix).
This includes the following three financial statements:
Your income statement should include:
- Revenue : how much revenue you generate.
- Cost of Goods Sold : These are your direct costs associated with generating revenue. This includes labor costs, as well as the cost of any equipment and supplies used to deliver the product/service offering.
- Net Income (or loss) : Once expenses and revenue are totaled and deducted from each other, this is the net income or loss.
Sample Income Statement for a Startup Tutoring Business
Include a balance sheet that shows your assets, liabilities, and equity. Your balance sheet should include:
- Assets : All of the things you own (including cash).
- Liabilities : This is what you owe against your company’s assets, such as accounts payable or loans.
- Equity : The worth of your business after all liabilities and assets are totaled and deducted from each other.
Sample Balance Sheet for a Startup Tutoring Business
Cash flow statement.
Include a cash flow statement showing how much cash comes in, how much cash goes out and a net cash flow for each year. The cash flow statement should include:
- Cash Flow From Operations
- Cash Flow From Investments
- Cash Flow From Financing
Below is a sample of a projected cash flow statement for a startup tutoring business.
Sample Cash Flow Statement for a Startup Tutoring Business
You will also want to include an appendix section which will include:
- Your complete financial projections
- A complete list of your company’s business policies and procedures related to the rest of the business plan (marketing, operations, etc.)
- Any other documentation which supports what you included in the body of your business plan.
Writing a good business plan gives you the advantage of being fully prepared to launch and/or grow your tutoring company. It not only outlines your business vision, but also provides a step-by-step process of how you are going to accomplish it.
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Creating a Tutoring Business Plan - A Step-by-Step Guide
What is a tutoring business plan and do i need one, what makes a good tutoring business plan, how to create an effective tutoring business plan, sample outline, executive summary , business profile, market research.
- Sales & Marketing
Tutoring business plan tips and tricks, when is it good to create a tutoring business plan, when you are just starting, when bringing in partners, when you are embarking on joint ventures, when you need to secure financing, 5 mistakes you should avoid when making a tutoring business plan.
- Wrap Up & Conclusion
Do you have a knack for helping others learn? Are you looking for a way to make some extra money or simply want to be your own boss?
If so, starting your own tutoring business may be the perfect solution for you! In this blog post, we'll discuss how to create a successful tutoring business plan.
We'll cover everything, step by step, from marketing your services to setting prices and more. So, whether you're just getting started or you're looking to take your business to the next level, keep reading for some helpful tips and advice!
If you have stumbled upon this blog then you are likely wondering, do you need a business plan? Does having a business plan come with benefits? Does my already established tutoring business require a business plan? We have compiled all these answers into this article that will help you create your very own tutoring business plan with clear actionable steps and examples.
First things first, having a business plan makes running a business easier. It helps you understand your value proposition, reach potential customers and can even help with financing. In fact, businesses intending to secure a loan and those intending to secure investment capital using a business plan are positively correlated with success rates. And, while some decisions are based on risk, you cannot depend on this for the success of your business. This is where a business plan comes in handy.
Here we will provide you with a comprehensive guide on how to create a business plan for your tutoring business from scratch. Here’s what’s to come:
- What makes a good tutoring business plan?
- How to create an effective tutoring business plan?
- Tutoring business plan tips and tricks
- Tutoring business plan FAQs
Read More: Write a business plan from Gov.uk
The type of business plan you create will depend largely on your specific tutoring business. However, in general, a business plan is a document that clearly defines your milestones and how you plan to achieve them. Having a hard copy of all important details and goals to show potential investors and employees makes it easier to be held accountable while keeping track of these details and improving upon them.
A good business plan will help you to:
- Organise your thoughts in a professional and easy-to-understand way
- Make sound and informed business decisions with solid projections to reach realistic targets
- Communicate your plans to banks, your partners, and even your employees.
The biggest benefit of starting your own tutoring business is that this business can be started on any scale. You can even start it from your home with little to no investment. However, if you want to start a proper tutoring centre where students with different age groups and educational backgrounds will be helped with their education, you will first have to prepare a comprehensive tutoring business plan. The business plan will not only establish the basis of your company’s future operations and decisions but will also help you with funding your startup.
Before you start writing your business plan for your new tutoring business, spend a bit of time doing research and reading through some sample business plans written for the education and training industry. This will give you a good idea of what you’re aiming for and will also show you the various sections that different entrepreneurs include, the language they use to write about themselves and their business goals.
We have created the following sample outline for your tutoring business plan from some popular examples to give you a better idea of how to structure the perfect tutoring business plan. Remember that not all of these need to be included! Pick out the key elements for your tutoring business:
- Include a business summary, market research summary, marketing summary, financial situation summary and net income.
- Include business overview, business description, compelling value, product/service description, company history, management, location, legal structure, vision and mission, professional advisor (optional), goals and objectives.
- Include, industry profile and outlook, local market, key competitors/SWOT analysis, TOP tutors, ABC tutoring, target market, keys to success, and customer survey summary.
Sales & Marketing
- Include pricing strategy, marketing strategy, marketing activities, marketing objectives, positioning statement, sales process and strategic alliances.
- Include physical/virtual location, legal considerations, insurance considerations, human resources, process/production and risk assessment.
- Include past purchases, start-up costs sheet, sales forecast assumptions, cash flow, projected profit and loss and projected balance sheet.
- Include any relevant documentation to support your business plan.
Let's dive a little deeper into each of these categories…
The executive summary consists of your entire business plan summary. It always appears at the beginning of the plan but should be always done last. It is crucial to note that the executive summary is of utmost importance, as it will be one of the first parts of your plan that anyone reads. It should contain a summary of everything your tutoring business is focused on in a maximum of one or two pages.
One of the best pieces of advice we can give is to not oversell your business. Usually, everyone wants to find out what you are focusing on and how you are solving the problems in your industry. Therefore, start by:
- A brief description of your entire business plan.
- Try to summarise each of the sections you’re covering.
- Keep it straight to the point.
- Improve it often.
This section should cover what your tutoring business does, your unique selling point (USP), competitive value, vision, mission and so on. It is important to have clearly defined points, which might be difficult if you’re still in your inception phase. What you need to remember is that as long as you outline your objectives and what you’re hoping to achieve, your profile will look well-polished. Don’t forget to choose and highlight your tutoring method, be it online, in person, or both. If you decide to go the online teaching route, there are a lot of tools and services that can help make scheduling and conducting classes easier.
To write your business profile, follow these steps:
- Start with an elevator pitch: Describe your business in the easiest way possible, so any reader would understand. Stay away from smart words - they might make you sound good, but in reality, they complicate the context. Explain what you do, your service description and your USP. A paragraph should be enough. Later on, move along with your value proposition, mission, vision and your goals and objectives. These points help elevate your business plan and set you apart from the competition.
- Be straight to the point: The more clear and concise you are, the better the reader will understand your business model.
- Keep your points short: Short sentences are key here, but make sure not every sentence is short as it disturbs the reading pace and it might make it quite monotonous. The important thing here is to keep all the essential information short and explain what requires explanation a bit longer.
When you present your market research, you have to demonstrate your understanding of the tutoring industry. You have to mention factors that have an influence on the industry such as local market area, key competitors, target market and your strategy for success. An easy approach would be to start broad and then go towards more specific that applies to your services.
Start your market research with:
- Conduct industry-related interviews with key people.
- Speak to parents and students and record what they feel it’s missing.
- Identify key competitors and analyse their business offerings.
- Determine the cost of tutoring services in your area and check if your costs are competitive.
- Create buyer personas based on your target demographic and the type of students you hoping to attract.
When your offering is defined, it is time for it to be promoted with the goal of selling it. Your sales and marketing section should contain your strategy of how are you planning to market and sell your tutoring services. It is not an easy job to attract the customers you want, so it is crucial to have a thorough think about how you’ll do it and plan ahead.
You won’t be able to attract the customer you want by marketing where your target market isn’t present. You need to focus on making noise and push out your offering through public relations and other relevant marketing channels. This is a good exercise to demonstrate your persuasive skills and think about how can you attract students, parents and teachers to your services. Remember to be genuine and avoid ‘salesy’ language.
Here’s what you need to consider:
- Choose the platform or means of selling your tutoring services, but keep in mind that your target customer has to be on there. Do some research and find out where your target audience can be found and market there.
- Build your brand presence on your platform of choice and fill it with information that a student, parent or teacher in need of tutoring would go to.
- Once all that’s been set in stone, form a relationship with your audience and be as helpful as you can. This will help increase your brand authority and spread the word about it to other platforms.
- Top tip, if you follow most of these steps above, your brand will start getting its own voice and sell itself through loyal customers, which means you won’t have to invest much in marketing.
Your operation portion of your tutoring business plan contains essential information about general operational details that help investors understand the physical details of your vision. Information such as the location of your business, assets, legal matters, insurance and resources. If you’re just started your business, the operations plan can also serve as a checklist for startups as it includes a list of everything that must be done to start turning a profit. To put it simply, you explain how your business operates from all points of view.
And the most stressful part of a business plan as some may say, it’s your finances and how you keep track of them and maximise revenue for your tutoring business. This is where a tutoring business plan comes in handy, as you need to forecast spending and make sure you have the necessary resources to succeed.
Predictions are not always certain, but what you have to do is do as much research as possible in order to be as accurate as you can. Your business will grow over time, therefore the forecasting and budgeting will get more complex. That’s why it is important that not only essential but also relevant financial data is meticulously recorded in your books.
Invoicing is an extremely important part of tracking finances for your tutoring business. Invoices collect the charges that have been placed on your clients from lessons and ad hoc charges. When a company generates invoices, it can review each one before sending them to its clients. Clients that have received lessons will be able to see any sent invoices and pay for them from their accounts. They can be viewed from their own login, or they can be sent to their email address as well as an attachment.
At TutorCruncher, we create and generate those by default. We pretty much already have those templates created based on the company's address, logo and email etc. Here’s an example of a basic layout of the invoices that we generate
Companies can decide if they want to add additional text to those Invoice PDFs that get sent out as well. Sometimes they might want to have their own description of what’s included on the Invoice or to remind clients to double-check them etc. Here is where it’s displayed on the INV (Default Text)
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- ### Be concise
It’s really important that potential investors can understand what your business is all about from a quick glance at your plan. Make sure you include a summary of your business, and how it will make money right from the start using simple language throughout.
- ### Be specific
Being specific is just as important as being concise. The details will help you dive deeper into how you will actually deliver on your plan and promises.
- ### Know your market
A big part of knowing whether your business will be successful is understanding your audience. Make sure your plan is clear about your target market and that you have chosen them based on solid evidence.
- ### Know your finances
If your business isn’t going to make any money, it won’t be successful so you need to be very clear on how you will make a profit. Your tutoring business plan will be incredibly useful when it comes to securing loans and investments if needed.
While starting, a business plan can serve as a plan of action. It is unlikely that you immediately want to secure loans or funding when starting, but creating a business plan can significantly clarify your next steps. Having guesstimates in your forecast can be risky in the long run, which means having experience in predicting your financial future might make forecasting more dependable. To get that experience, you can start with a business plan. Here's more information on setting up a business to check out.
Asking someone to commit to your tutoring business and sharing your passion before knowing the ins and outs is like asking them to buy a house without checking it out in person first. The spontaneity might seem fun at first but it is a huge commitment that needs a thorough evaluation. Using a business plan will help you convey your vision succinctly and show every relevant point to a potential partner.
A joint venture is an agreement between companies to share the work and the profit and have the same or similar goals. As a tutoring business, you could have this agreement with non-profit organisations or aided educational institutions. A business plan is a handy tool in this case to relay not just the vision of your business, but also all required information, like your projected profit and loss, your sales tactics, and anything else you might feel is relevant.
A good and well-written business plan will summarise your business’s history and background, which you will need to successfully communicate to banks and investors and secure financing. It is your opportunity to convince investors that your business will be a high-yield investment for their money. Lenders will want to see the actual potential in your business. Every detail from your marketing strategy to financial projection has to be presented to them to showcase that potential. This will be best done with a business plan.
Now that you have some in-depth knowledge about crafting a tuition business plan, here are 5 mistakes you should avoid to make your business plan foolproof:
- Every statistic and detail in your plan should be based on realistic data. Your plan should not have unrealistic financial projections.
- Do not be inconsistent, your plan should quote consistent stats and have solid, unidirectional strategies.
- Be clear about what your business plan is. A business plan is not a detailed and defined budget. While a budget is part of it, the business plan is more than just your income and expenses.
- Do not include too much information. The purpose of your plan is to be concise and to focus on the key elements of your tutoring business.
- Make sure your plan is proofread multiple times. Include your team in the process.
Wrap Up & Conclusion
Putting together a business plan for your tutoring company is a long but worthwhile endeavour. If you follow the template above, by the time you are done, you will truly be an expert. You will really understand the tutoring industry, your competition and your customers. You will have developed a marketing plan and will really understand what it takes to launch and grow a successful tutoring business. If you have any questions on getting started or setting up your tutoring business get in touch with us here at TutorCruncher, we’re here to help!
We build business management software for tutoring companies. Whether you are a small team or an established company, we can help you give your clients a 5-star service while spending less time on administration.
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Here is in general an outlook of what your Tutorial Business Plan may include.
1. assessment., 3. outline., 4. vision and mission., college academic business plan example.
However, your local bureau may look for the following for legal purposes.
1. executive summary, 2. company description, 3. market analysis, 4. organization and management, 5. service or product, 6. marketing and sales, 7. funding request, 8. financial projections, 9. appendix, online tutoring example.
How to Sell tutoring Services to School Example
And to make it concrete, you may want to follow some steps in doing your business:
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Crafting the Perfect Tutoring Business Plan: All the Whats, Whens, and Hows
Starting a business with no plan is like walking into a classroom with no lesson plan. As a tutoring business owner, you need to have a clear action plan and understanding of what will impact major decisions – which is exactly what a well-written tutoring business plan can help you with.
Not just that, having a business plan can also help you get financing. A study at the University of Oregon says that “businesses intending to secure a loan and those intending to secure investment capital using a business plan are positively correlated with the chance of succeeding at them”.
While some decisions are based on risk, you cannot depend on a stroke of luck for the success of your business. This is why you need a business plan.
In this blog, we have put together a comprehensive guide on how you can create a business plan for your tutoring business from scratch. Here’s what we are going to discuss:
What is a business plan and when do you use it?
- How to make a business plan for your tutoring service?
- What are some common mistakes and best practices?
You can jump to any section directly by clicking on the links. Plus, we also have a handy checklist for you towards the end!
The definition of a business plan will depend on what you need for your tutoring business. Generally, a business plan is a document that clearly defines your milestones and how you plan to achieve them.
We all plan. If you have a gathering with your friends in the evening, you set time aside for them, prepare some food, maybe even choose your outfit for it. It is human nature to plan.
We need to document these plans so there is a hard copy of all important details and goals, making it easier to keep track of these details and improve upon them, which is exactly what a business plan will help you with!
A business plan is a good tool to:
- organize your thoughts.
- make sound decisions with solid projections to reach your targets.
- communicate your plans to banks, your partners, and even your employees.
We now know what a business plan is. Now it’s time to understand its utility. In the next section, we cover a few scenarios in which businesses often need a business plan and how the format of the plan changes according to its utility.
4 situations where having a business plan will help you grow your business
Situation 1: when you are just starting:.
- While starting, a business plan can serve as a plan of action . It is unlikely that you immediately want to secure loans or funding when starting, but creating a business plan can significantly clarify your next steps.
- Having guesstimates in your forecast can be risky in the long run, which means having experience in predicting your financial future might make forecasting more dependable. To get that experience, you can start with a business plan.
Situation 2: When bringing in partners:
- Asking someone to commit to your tutoring business and sharing your passion before knowing the ins and outs is like asking them to buy a house without checking it out in person first.
- The spontaneity might seem fun at first but it is a huge commitment that needs a thorough evaluation. Using a business plan will help you convey your vision succinctly and show every relevant point to a potential partner.
Situation 3: When you are embarking on joint ventures:
- A joint venture is an agreement between two companies to share the work and the profit and have the same or similar goals . As a tutoring business, you could have this agreement with non-profit organizations, or aided educational institutions.
- A business plan would be a handy tool to relay not just the vision of your business, but also all required information, like your projected profit and loss, your sales tactics, and anything else you might feel are relevant.
Situation 4: When you need to secure financing:
- A good and well-written business plan will summarize your business’s history and background, which you will need to successfully communicate to banks and investors and secure financing . It is your opportunity to convince investors that your business will be a high yield investment for their money.
- Lenders will want to see the actual potential in your business. Every detail from your marketing strategy to financial projection has to be presented to them to showcase that potential . This will be best done with a business plan.
As the owner of your business, you know what situation your business is in. Knowing that we can now move forward to define the ways you can create your business plan.
What are the approaches to creating a business plan for your tutoring service?
Creating a business plan may seem like a daunting task, but we are here to help you through the process. The following are 3 different approaches to go about making your tutoring business plan. You can read and decide which approach is most suitable for you:
Use easy-to-download functionality:
You can use templates available at your disposal if you like to fill-in-the-blanks:
- BPlans also offer different types of business plans, traditional, lean, even particular sections, like investor pitch templates, SWOT templates, Sales forecast templates.
- They require a free sign-up for download.
You can also make a business plan for your tutoring center from scratch:
- This might seem labor heavy but it is the most cost-effective way of creating a business plan.
- It is also the way which might even give you the most satisfaction with the result. After all, no one knows your business better than you do.
- You can jump ahead to find an in-depth explanation of how to make your business plan .
Use online tools and resources:
There are multiple resources available on the internet that can help you make a business plan.
You could hire someone online to make the business plan for you. Freelancing platforms like Fiverr or Upwork are available where they charge anywhere from 20$ to 500$ depending on how much you need in your business plan.
There are also services like LivePlan , Enloop , and StratPad that help businesses with planning and writing tutor business plans. Both LivePlan and Enloop offer free trials whereas StratPad does not. The pricing for each service ranges from $8 – $19 for their first-tier paid versions.
Consult a professional business plan consultant:
If you think this is the path you want to take then make sure to check the following metrics:
- Do they have a credible website?
- Are they getting good reviews?
- Do they truly understand your business?
- Do you feel comfortable asking them questions?
If the answer to all these questions is yes, then you can go ahead and pick them as your business plan consultant.
A business plan consultant will charge anywhere between $5000 to $20,000. Sometimes they might also charge up to up $50,000.
How to create your tutoring business plan from scratch?
Things from here might get a little bit confusing, but we are here to guide you through this. We will start with the two different types of business plans:
- Traditional business plan: This is a long-form business plan. This contains every small detail of your business, from the business description to the financial projection. If your business is in Situation 3 or 4, you need a traditional business plan
- Lean business plan: This is a brief and clear way of writing a business plan and is much shorter than the traditional plan. If your business is in Situation 1 or 2, you need a lean business plan.
All the common points in the Venn diagram are explained in the traditional business plan section.
How to create a traditional business plan for tutors?
Akin to detailed notes that you want to share with your students after class, a traditional plan is usually needed when you share it with your investors to secure financing. A traditional plan is usually long-form and very detailed. The following are the components of a traditional business plan:
While the executive summary is usually mentioned at the beginning of the business plan, it is prepared last . This section is usually a make-or-break. It should ideally summarize how your tutoring business is solving students’ problems in one or two pages.
Do not try to use hyperboles and oversell your business. Focus on the problem that you are solving and giving the reader the right feel for your business.
- Start with an overview of the document.
- You can take a small summary section from each section that you will be covering.
- Keep it concise.
- Keep on polishing it. Read it every so often. Read it out loud.
This section of your tutoring service business plan is where you combine the key details of your business, like what you do, what is your unique selling proposition, etc. This section can be tricky, especially if you’re still in your planning stages.
An important decision to make for a tutoring business will be choosing the mode of teaching – either online or in-person.
If you decide to go the online teaching route, there are a lot of services that can help make scheduling and conducting classes easier .
Craft your problem statement, identify your target market, and explain your concept and strategy.
Some best practices are:
- Start with an elevator pitch : Give a short description of your business in a way that the investor will immediately understand in a short time. Identify your goal, explain what it is that you do, explain your USP, and put it together in a concise short paragraph.
- Use specifics : Always use specifics to create understanding. High-level information does not persuade, it creates a superficial comprehension. Conceptual understanding can only take you so far.
- Keep it concise: Explaining in specifics does not mean long drawn explanations of every point. Checking the length is key.
A market analysis is a completely exhaustive assessment of the tutoring market. The main purpose of this section is to understand what factors influence industry behavior and business performance of tutoring services.
Start high-level and then slowly ease into specific research. Once you understand your market in general terms, you can dig deeper into segments more relevant to you.
A few tips to carry out market research are:
- Conduct interviews and face-to-face discussions.
- Research the tutoring community and what are the current pain points that they are targeting.
- Check the pricing that the tutor services or private tutors in your area are charging.
- Create your buyer persona. Who is your target demographic?
- List out your primary competitors. If you’re an offline tuition service, it could be other tutors in your area. You can do this by searching on social media, or downloading a market report using Forrester or Gartner .
- Here is a guide on how to conduct market research properly.
Partners, Organization, and Resources:
This section highlights the key employees or even ideal staff members that you want to hire.
- Who are your critical partners? Who are your staff members?
- What is the hiring procedure like?
- What are the key resources such as licenses and intellectual properties?
The reason behind putting this section in your tutor business plan is two-fold. One is for the investors and lenders. More often than not in service businesses like yours, lenders feel the quality and experience of the management team is important.
The second reason is for you, as a business owner, to be able to evaluate your team’s skills and decide what resources might be needed.
Include details about what your team is offering in terms of the intended results. For example:
Joe Collins, 47, Assistant Professor
- Joe has 19 years of experience in teaching college students and has a doctorate in so and so. They have an undergraduate degree from Oxford University and got their MBA from the University of Pennsylvania. – full resume in the appendix.
Most importantly, when creating this section, make sure to pay attention to skills and what they bring to the table.
Sales and Marketing:
Customers knowing that your services exist is paramount. This is where your marketing plans come into play. It seems obvious when you think about it, but this area is where a lot of businesses miss the mark.
Marketing is not just having pamphlets to share or advertising on a local billboard. It’s public relations, promotional activity. This is where you implement your unique selling proposition (USP) to drive students and teachers to your door.
This section will cover your sales channels and marketing activities.
- How will you sell your services? Will it be online? Will it be through a website? How will you advertise your tutoring business?
- Take guest lectures, seminars, and webinars, and reach out to your audience via these channels.
- Harness the power of online forums and social media. You should be where your customers are. Your aim should be to build a brand presence with your audience. Respond to comments and queries on your posts to increase engagement and build a rapport.
- Here is a complete guide to help with advertising and expanding your tutoring business cost-effectively.
Just hearing the word “budget” might make you feel like it’s such a big task. Don’t worry. We’re here to help.
This section will help you evaluate where your business finances currently stand and what you need to do to hit your financial goals.
The basic process is to list your business’s fixed and variable costs monthly and then decide where to use your funds optimally.
Budgeting for new businesses, especially service businesses can be difficult. Since a budget is decided by your business’s return, make sure to implement your market research with due diligence. You will be offering your services as a product, focusing on your sales forecast and income-expenditure forecast will be a good metric.
Bench promises that “ Budgeting + Book-keeping = a match made in heaven ”. Making a budget is mostly fiction, just like most projections are. But they are based on realistic data.
The longer your business has been operating, the more solid groundwork you will have to make that fictional budget a functional budget. But to do that, you have to make sure that all your financial data is being recorded through bookkeeping.
Here is a handy template that you can use to record all of your existing finances .
Financial Planning and Projections:
If the first thing that comes to your head after reading the heading is “but we don’t have enough sales to project accurately”, don’t worry. It is completely normal for the first few forecasts to be based on rough guesses since initial sales are hard to predict.
This section should ideally forecast your future finances and how you intend to maximise revenue for your tutoring business . Most businesses will include the following in this section:
Depending on how long your business has been around, you can have short-term sales forecasts and long-term sales forecasts.
If you are a new business that has not been in the market for more than a couple of months, you do not have enough historical results, which might make forecasting challenging. But if you have a good understanding of the market you are entering, then it can be done.
Your forecast should be broken down by monthly sales. If you have been taking sessions for a couple of months, how many sessions you took, and the fee for every session.
This is also called the cash-flow projection.
It will outline how much revenue is coming in – which basically going to be how much you charge for your services and how much is going out, monthly, and based on that project the expected inflow and outflow.
Using your sales forecast and your budget forecast, you can estimate approximately what your cash-flow statement will look like.
Every business should strive to achieve its break-even point, which is simpler than it sounds. Break-even is when you are neither losing money nor gaining profits. This means that your profits and expenses are balanced and you have broken even.
If you have predicted your sales and cash flow accurately, then it should be feasible to find the break-even point of your business.
The information that you will need at hand is your costs and expenses. Your variable costs and fixed costs, the costs of paying your employees, etc.
Make a spreadsheet. This spreadsheet should ideally be turned into a graph to plot break-even.
Calculating break-even can be difficult for a service business like tutoring. To say it simply, break-even is:
Fixed Cost per unit / (Sales fees per unit – Variable Cost per unit)
Here, a unit could mean students/hours/courses depending on how you have set your fees.
Balance sheet projection
If you are new to accounting, creating a balance sheet may make you nervous, but it is quite easy to understand.
What is a balance sheet? A balance sheet keeps track of certain elements of your business to determine where you stand financially in your tutoring business.
You can use your current balance sheet to predict your future balance sheet more accurately. Your balance sheet should ideally have:
- Current assets are what your business can expect to convert into cash within a year.
- Noncurrent assets are long-term investments that you do not expect to convert into cash in the near future.
- Liabilities: This would be anything that your business owes to a debtor. It may include utilities, rent, taxes, etc. Just like your assets, your liabilities should also be separated into current and non-current liabilities.
- Equity: This is the difference between your assets and liabilities, what remains when the business sells all its assets and pays off all its debts.
Assets = Liabilities + Equity
Thinking of the balance sheet as a report, you have to decide on the period of reporting. Is it going to be monthly? Quarterly? Annually?
Once you’re done listing everything in your balance sheet, mention a brief of each of these three components.
A more in-depth explanation of how to make a balance sheet can be found here.
Here is an example of a balance sheet.
This section is usually the last thing to appear in the traditional business plan. Although not absolutely necessary, a well-structured appendix can go a long way to convince any plan-reader that the planning is great and well thought out.
Generally, an appendix will include:
- Charts, graphs, or tables that supplement information from other sections.
- Any agreements, contracts, and supporting documents.
- Marketing materials.
- Resumes for each of your staff members.
- Credit history.
- Building permit and equipment lease documentation (for offline tutoring).
How to create a lean business plan for tutors?
Now that we’ve seen what a traditional business plan is, it is time we understand the components of a lean plan and how to go about building each section.
One thing to keep in mind is that the lean plan can always be updated into a traditional plan. Just because you are making a lean plan does not mean you are completely forgoing the traditional business plan.
It is similar to when you make short notes to teach in class and improve as you go, based on requirements. The lean business plan is usually used to manage strategy, tactics, milestones, and activities.
The components of a lean plan are:
Your business strategy should ideally outline who you are and what you are going to do in simple and understandable statements.
- Business identity: Who are you and what is your business? Your identity adds brand value. Especially as a tutor, your identity is your most important asset. You can create a tagline for your tutoring business. For example: Smart and indulgent tutoring, for smart and inquisitive students. Mention the ways you will be defining your business identity. Like “We have created our business logo. -insert picture of the logo- ”
- Problem: What problem are you solving for your students? You should have the ability to define what the problem is in a few points. Eg: It could be that you will be tutoring and helping people with dyslexia.
- Solution: How are you solving the problem that you have identified? This should be a brief description of your service and how your service might benefit your students. Eg: What are the steps you are taking to teach your dyslexic students?
- Market Research and Competition: This section is synonymous with the section “ Market research ” in the traditional business plan.
The tactics section is an outline of how you will make your strategy happen. All parts of tactics are common with other points in the traditional business plan:
- Sales channels and marketing ideas : This section is the same as the “ Sales and marketing ” section in the traditional business plan.
- Partners and resources : As the name suggests, this section is the same as the “ Partners, organizations and resources ” section in the traditional business plan.
You may need to add some additional tactics, such as details of services, locations, and other key aspects.
The schedule is basically a list of tasks, milestones, with dates, responsibilities, and budgets. It’s the promise of commitment, that you will need to have to build your tutoring business successfully.
- Seeing as the lean plan is based on customer needs and iteration, it is paramount to create a plan and schedule tasks to test yourself with some students before launching into your tutoring business journey.
- Make a list of all the steps and tasks that you will need to complete to get your business up and running. This could include getting permits and licenses, dates for registering your business, or even choosing and setting up your tutor scheduling software.
- Finally and most importantly, you need to create a schedule to constantly review and revise your plan. If your plan is not regularly updated and checked, you could easily go off track.
This is your plan to make a profit. A business model will generally include information about your service, your target market, and anticipated expenses in brief.
- For most businesses, this is a straightforward concept. But this section avoids the hassle of financial forecasts as those can be hard to predict accurately.
- Listing out your primary revenue streams and major expenses as a bulleted list is easier and more dependable.
5 common mistakes to avoid while making your business plan
Now that you have some in-depth knowledge about crafting a tuition business plan, here are 5 mistakes you should avoid making to make your business plan foolproof:
- Every statistic and detail in your plan should be based on realistic data . Your plan should not have unrealistic financial projections.
- Do not be inconsistent, your plan should quote consistent stats and have solid, unidirectional strategies.
- Be clear of what your business plan is. A business plan is not a detailed and defined budget. While a budget is part of it, the business plan is more than just your income and expenses.
- Do not include too much information. The purpose of your plan is to be concise and to focus on the key elements of your tutoring business.
- Make sure your plan is proofread multiple times. Include your team in the process.
Choosing the right tutoring business plan is like choosing whether you want to write detailed lesson notes or short-hand notes which can be expanded upon. Both have their own merits and times where they want to be used.
While having a business plan does not guarantee the success of your business, it does reduce the likelihood of failure .
If you’re wondering how you’re supposed to remember all of that, don’t worry! We made a checklist for you, mentioning both the traditional business plan and the lean one , so you don’t have to scavenge through the entire article to find the relevant points. Here’s a sneak peek of the checklist:
Having a plan is not just about being 2 pages or 40 pages long but more about setting the right goals regularly and tracking progress , making changes as you gain more feedback from your students and their parents. Tutor scheduling software , like Appointy, is being used for exactly this reason.
Crafting a business plan is all about knowing what your business is and figuring out how to understand your students and their needs. It can seem intimidating at first, but the one thing you should always keep in mind is that there is no single “right” way .
Do let us know if we succeeded in answering your questions in the comment section below!
About Appointy We at Appointy, help business owners grow and run their businesses with our online scheduling software. This blog was a part of our ‘Manage your Business’ category, where we provide expert tips, and resources, or simply talk about the challenges that small and medium businesses face every day. If you have any thoughts on this blog or would like to chat about your business struggles and achievements, let us know in the comments below. We love a good talk!
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A proper procedural explanation. Very informative.
I’ve bookmarked it in my google bookmarks.
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Tutoring and Volunteering
Developing a Tutoring Program
A tutoring program that will best serve children’s needs should be carefully developed with those needs in mind. Here are eight steps to developing a tutoring program, from setting goals to developing a curriculum.
On this page:
Step 2. define the mission, step 3. set goals and objectives, step 4. create tutoring program partnerships, step 5. design the program, step 6. select or adapt a reading curriculum, step 7. provide support for tutors, step 8. implement the plans.
The following is an eight step process for starting a successful new tutoring program.
Step 1. Assess the need
The first task of a planning group is to assess the need for a tutoring program. The community may already have assessment information such as test scores, retention rates, and anecdotal reports from families and teachers.
The community assessment should include an inventory of current reading initiatives, with an indication of their nature and scope, in order to measure existing services against need, and to pinpoint the gaps to be filled by the new program. This will minimize duplication, build on experience, mobilize resources, and avoid the tensions that can arise when groups who may see themselves as the “real” pioneers are left out of new program initiatives.
This information will help the planners focus on the children who are most in need of tutoring. Research indicates that four out of ten children, on average, are at risk in terms of their literacy development.
The needs assessment should identify target groups of children and areas of the community at greatest risk. Special attention should be given to Title I public schools and to neighborhoods served by Head Start and Even Start. Planners can use the assessment results to design a program that builds on children’s skills and interests and provides activities of direct benefit to children.
The next step is to define the tutoring program’s overall mission. In developing the mission statement, planners should consider the important contributions to supporting children’s literacy development made by families and community institutions such as Head Start, child care, and other preschool programs; the public schools; and libraries, museums, and out-of-school time community programs.
This brief statement should describe what the program intends to do to address the identified needs. The mission statement guides planners as they design, implement, and evaluate the program. For example:
The mission of the Kaleidoscope Tutoring Program is to motivate children to want to read for pleasure and to learn, to help children become engaged readers and writers, and to make sure children have access to high quality books and reading and writing materials.
With a mission statement such as this, planners can proceed with setting goals and objectives that the program expects to achieve.
The goals for the program will be written in general terms. The America Reads Challenge – all children will read well and independently by the end of third grade – is an example of a goal.
Objectives are clear and measurable descriptions of specific outcomes related to the reading and literacy achievements of children. They might address the ages or grade levels to be served, how reading specialists will be involved, how many children will be enrolled, how many volunteer tutors will be recruited, how schools and community groups will be involved, where tutoring will take place, and how success will be measured. For example:
The Kaleidoscope Tutoring program will enroll and offer tutoring services to 25 children in grades 1 through 3 at each of five sites.
All of the program’s services, polices, and practices will be based on the mission statement and the proposed goals and objectives.
The tutoring program partnerships should include two or more organizations with extensive experience in encouraging children’s literacy . One partner should be a school or school district. Other partners might include:
- A Head Start agency or child care center
- An Even Start program
- An AmeriCorps project
- An after-school program
- A Senior Corps project (e.g., a Foster Grandparents Program or a Retired and Senior Volunteer Program)
- Parents’ associations
- The local library
- A community college, college, or university (through academic departments and the work study office)
- A literacy group
- A youth-serving agency
- A Tribal Government
An existing program could add tutoring to the array of services they already provide to children and families. Tutoring activities could operate at the same site or at satellite sites such as a housing complex, library, or religious organization.
The program design describes how the tutoring program will carry out its mission and achieve its goals and objectives.
In designing the program, planners will need to discuss and answer questions such as the following:
- How will children in need of tutoring be identified? Teachers will refer children to the program whose reading skills are below those of their peers (the lowest 50 percent or the lowest 25 percent).
- How and when will the program conduct pre- and post-testing? The program will use the _________ reading skills assessment to measure children’s skills at entry and at one-month intervals.
- How will the program ensure that children who need special education or other services, in addition to or in place of tutoring, will receive such help? Children suspected of having special needs will be referred (with written parental permission) for screening and/or evaluation through the local education agency. The tutoring program will participate in planning and implementing follow-up strategies and services.
- Where and when will tutoring take place? Tutoring will take place at school, two afternoons per week.
- How will the program ensure that tutoring services delivered to school-age children during the regular school day are beneficial and outweigh missing regular classroom activities? Tutors will communicate regularly with families and teachers to track children’s reading progress and net educational gains. In general, tutoring sessions will not be scheduled at times when the child would otherwise be participating in reading activities in the regular classroom.
- How will the program track children’s progress? Tutors, families, and children will work together to create and maintain portfolios that document children’s progress.
- How will the program recruit and screen volunteer tutors? The program will work with __________ University to recruit work-study students who are majoring in education or a related field. The school system will handle screening through its existing agreement with state authorities.
- How will the program support the tutors? All tutors will take part in a three-day initial orientation and attend biweekly workshops conducted by the program’s reading specialist. Tutors will participate in a minimum of 36 hours of training on reading and literacy development. The reading specialist will observe tutoring sessions at least monthly and provide feedback and technical assistance.
Family involvement is another key area to be addressed in the program design. Planners can build in strategies for involving families, establishing partnerships with families, and encouraging family literacy. Other parts of the program design include:
- A communication system for reading specialists, teachers, tutors, families, and program staff
- Initial and ongoing training and supervision for tutors (see Step 7 below)
- Policies and procedures
- Record keeping requirements
- A plan for ongoing monitoring and evaluation of the program’s effectiveness in meeting specified goals and objectives
Useful resources for program developers are Help America Read: A Handbook for Volunteers and the companion Coordinators Guide by Gay Su Pinnell and Irene C. Fountas. The authors are experts in reading development and knowledgeable about how national service programs can partner with community-based literacy programs.
Having designed an overall framework for the program, planners can review the appropriateness of different reading models.
A few questions to ask during an interview with volunteer tutors
- What is there about this position that appeals to you the most?
- What is there about working with children that makes you enjoy it?
- How do you imagine your relationship with your students?
- Tell me about your understanding of the challenges these children face?
- Are there any types of children you feel you may have a hard time working with?
- Can you tell me about any experiences you may have had working with members of ethnic groups?
Chattanooga Family Service Corps in Chattanooga, Tennessee, shared the above interview questions through the America Reads listserv, July 23, 1997.
Planners might develop their own curriculum or, more feasibly, select a specific research-based reading curriculum that has been proven successful with children whose reading skills and needs are similar to those of the children to be targeted through the tutoring program.
A research-based curriculum is one that is consistent with existing knowledge about how children learn to read. Reading One-One, Reading Recovery, and Success for All are widely-used curricula.
Tutoring programs can involve their reading specialists in adapting the chosen reading curriculum to address local needs and circumstances. In the adaptation, it will be essential to ensure that the curriculum is suitable for use by tutors with the level of skills and amount of training that are likely to be characteristic of those participating in the program.
The most effective reading curricula have built-in opportunities for children to:
- Experience incremental successes (e.g., reread a familiar passage independently)
- Reinforce a few skills and concepts (e.g., review sight words )
- Move to the next step (e.g., master new sight words or read a more complex passage)
Since school administrators and reading specialists are among the key stake-holders to be included in the planning team, they can ensure that the reading curriculum supports the school’s reading approach and the program design.
Regardless of the specific model the program will use, it should include a structured, yet flexible, format for tutoring sessions.
A consistent structure helps both children and tutors to stay organized and focused on meeting individual goals. Children feel a sense of competence from being able to predict what comes next in each tutoring session.
A flexible format allows tutors to use strategies that are tailored to address each child’s learning style, skills, interests, and needs. The flexibility ensures that each child will receive individualized and developmentally appropriate support.
The length of each tutoring session should be appropriate for the ages of the children involved and reflect a variety of planned activities. Evaluations of tutoring programs have shown positive results from sessions lasting up to 60 minutes. Longer sessions do not necessarily increase a child’s literacy and reading development.
The READ*WRITE*NOW Reading Partners Tutoring Program suggests 35-minute tutoring sessions that follow this agenda:
- Quick review of last session (3 minutes)
- Rereading of a story (5 minutes)
- Paired Reading of a new story (10 minutes)
- Vocabulary and comprehension exercises (5 minutes)
- Writing activity plus feedback (12 minutes)
A 40-minute tutoring session might include these segments:
- Opening activity and review (7 minutes>
- Instructional Goal 1 (10 minutes)
- Instructional Goal 2 (10 minutes)
- Reading activity (5 minutes)
- Closing activity (5 minutes)
- Follow-up assignment (3 minutes)
The opening activity and review gets the lesson started. It is an opportunity to reinforce the tutoring relationship, help the child focus attention and get ready for the session, review what took place during the previous session, and discuss the follow-up activity.
Instructional goals focus on the child’s needs. Usually one is related to reading and one to writing. Goals might come from the child’s teacher. Completing several short activities helps a child feel a sense of accomplishment and success, which increases the child’s motivation for learning.
A reading activity allows the child to practice reading something of his or her own choice or something the tutor selected. The reading material should be at an appropriate level so the child can read it with ease. Tutors might select a book on a topic of interest to the child or introduce a new book they think the child will enjoy. Many children like to read the same book or passage again and again because it helps them feel a sense of mastery. Tutors can read aloud to non-readers. During the reading activity a child might read alone, take turns reading with the tutor, or engage in paired reading.
The closing activity encourages the child to think about what he or she has learned in this session and previous ones. The activity could involve talking, writing in a journal, or making comments that the tutor writes down.
Follow-up activities are a way to reinforce and build on what took place in the tutoring session. Many tutoring programs ask children to do independent reading or read with their families every day.
Qualified tutors are a critical element in the success of any tutoring program. The stakeholders will need a plan that specifies how the program will ensure that tutors have the knowledge and skills needed to carry out their roles effectively.
Support begins with a comprehensive orientation prior to a tutor’s first meeting with a child. Continued support is provided by a reading specialist through ongoing training and supervision using methods such as workshops, group meetings, and on-site visits.
The orientation gives tutors background information and opportunities to practice using the reading curriculum. The agenda should include plenty of time for discussion and questions. Ideally, orientation takes place at the tutoring site. If this is not possible, tutors can visit the site before their first session with a child. The orientation can address topics such as these:
What children are like:
- An overview of child development
- How most children learn to read
- Strategies for guiding children’s behavior
- Building a trusting relationship with a child
- Learning disabilities that may affect a child’s reading skills
Getting to know families:
- Creating partnerships with families
- Sharing information about children’s progress
- Respecting diversity
The tutoring approach:
- The reading curriculum used by the tutoring program
- The reading approach used by the school system
- Tailoring the curriculum to address individual needs, planning the first session
- Assessing the child’s reading abilities and tracking the child’s progress
Support for tutors:
- Ongoing training and supervision
- Resources (materials, books, workshops, web sites, listservs), the role of the reading specialist
- Strategies for handling problem situations
Working as a team:
- Coordinating with tutoring program partners (e.g., the school; child care or Head Start program; Even Start, HIPPY or other family literacy program; library; community groups)
- Following the tutoring program’s policies and procedures
- Handling problem situations
- Making referrals, as appropriate
Ongoing training and supervision for tutors should acknowledge and build on past experiences, provide information that can be used immediately, and allow for practice and skill development.
The training might address a range of topics; however, all will be tied to effective implementation of the reading curriculum. Training content should cover the reading or emerging literacy approach used by the school, Head Start, or child care program and how to ensure that the tutoring curriculum and format builds on what children are learning in these educational settings. Including the orientation and pre-service training, a minimum of 36 hours of training in literacy and reading development is recommended.
Tutors will need continuing support in addressing children’s unique needs. If the program serves children with severe reading difficulties, training should address the multiple factors that contribute to such reading difficulties and the tutoring strategies and other special services known to be effective in helping children gain the skills needed to learn to read.
With the reading specialist’s assistance, the tutoring program can establish a resource library of professional journals, books, videotapes, and other materials about the teaching of reading. Tutors should be invited to use the resource library to increase their understanding of literacy development.
One of the most effective ways to support tutors is through on-site observation and feedback focused on skill development. The reading specialist can schedule regular visits to the program to observe tutors interacting with children and to give feedback on what he or she saw and heard. As an alternative, tutors can support each other by conducting peer observations or by videotaping each other’s tutoring sessions then meeting to view and discuss the tapes.
Here is how one tutoring program plans to provide ongoing training and supervision for tutors.
Kaleidoscope Tutoring Program – Ongoing training and supervision
Every other Wednesday, 7 to 9 p.m., pizza provided.
- Updates – from last meeting
- Sharing – tutoring successes and challenges
- Special topic – presented by guest speaker, a tutor, or the reading specialist
- New resources – now available in the resource library
- Skill building – e.g., motivating young readers
- Kept by each tutor
- Discussed with reading specialist, at tutor’s request
- Biweekly observation and feedback by reading specialist
- Biweekly observation and feedback with peer (tutor)
- Monthly “catch up” meeting with program director
- Individual meetings, at tutor’s request
In addition to orientation and ongoing training and supervision, programs should provide a handbook that can serve as a ready reference.
As the development process moves from planning to implementation, the key stakeholders can continue to play a role in operating and evaluating the program. They might become program staff or volunteers, serve as members of an advisory group, and continue to provide input related to their areas of expertise.
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Based in part on Beth Herrmann. editor, The Volunteer Tutor’s Toolbox (Newark, DE: International Reading Association, 1994) 6’10 and Marcia Klenbort, Tutoring Questions: Checklist for Planners Intent on Success (Center for School Success, Southern Regional Council, 1996).
Gay Su Pinnell and Irene C. Fountas, Help America Read: A Handbook for Volunteers, and Help America Read: Coordinator’s Guide (Heinemann, Portsmouth, NH, 1997).
Excerpted from: Developing a Tutoring Program. (December, 1997 ). On the Road to Reading: A Guide for Community Partners. America Reads Challenge. A Joint Project of the Corporation for National Service, the U.S. Department of Education, and the U.S. Department of Health and Human Services.
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Tutoring Business Plan
A tutoring business is one of the few businesses which requires a very limited budget in the beginning and has no limits in terms of growing the business.
People or students always need tutors to pass some important examinations or prepare for higher studies. A tutoring business is a highly demanding business and can be started with limited resources.
In the beginning, you can start a business alone yourself and can hire more tutors to expand your business anytime in the future.
Moreover, you do not always require a college degree to start a tutoring business . Many clients are willing to hire professionals with significant experience and skills regarding the subject.
If you want to be a solo tutor it’s okay to work without a business plan. But if you want to expand and grow your business, you will need a business plan.
To write a business plan, you can use our sample ABC – Tutoring Business Plan created using upmetrics business plan software and start writing your business plan in no time.
Before you start writing your business plan for your new tutoring business, spend as much time as you can reading through some sample business plans written for the education and training industry .
Reading sample business plans will give you a good idea of what you’re aiming for and also it will show you the different sections that different entrepreneurs include and the language they use to write about themselves and their business goals.
We have created this sample tutoring business plan for you to get a good idea about what a perfect tutoring business plan should look like and what details you will need to include in your stunning business plan.
Tutoring Business Plan Outline
This is the standard tutoring business plan outline which will cover all important sections that you should include in your business plan.
- Business Summary
- Market Research Summary
- Marketing Summary
- Business Description
- Compelling Value
- Product/Service Description
- Company History
- Legal Structure
- Vision & Mission
- Professional Advisors(optional)
- Goals & Objectives
- Industry Profile & Outlook
- Local Market
- ABC Tutoring
- Target Market
- Keys to Success
- Customer Survey Summary
- Pricing Strategy
- Marketing Strategy
- Marketing Activities
- Marketing Objectives
- Positioning Statement
- Sales Process
- Strategic Alliances
- Physical Location
- Virtual Location
- Legal Issues
- Insurance Issues
- Human Resources
- Risk Assessment
- Past Purchases
- Start-up Costs Sheet
- Sales Forecast Assumptions
- Projected Profit and Loss
- Projected Balance Sheet
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After getting started with upmetrics , you can copy this tutoring business plan example into your business plan and modify the required information and download your tutoring business plan pdf and doc file. It’s the fastest and easiest way to start writing your business plan.
Download a sample tutoring business plan
Need help writing your business plan from scratch? Here you go; download our free tutoring business plan pdf to start.
It’s a modern business plan template specifically designed for your tutoring business. Use the example business plan as a guide for writing your own.
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TUTORING BUSINESS PLAN: Template & All You Need to Know
- by Kenechukwu Muoghalu
- August 13, 2023
- No comments
- 7 minute read
Table of Contents Hide
What is a tutoring business plan, what is the importance of having a tutoring business plan, #1. executive summary , #2. business description, #3. market research, #4. management team, #5. sales and marketing, #6. financial plan and projections, how do i start a tutoring business , how do i succeed in tutoring business, how much should i charge for tutoring, how do tutors get clients, how do private tutors make money, how do i start an online tutor, what makes a successful tutoring program, is creating a business plan too daunting of a process, final thoughts, how do i become a private tutor uk, what is the target market for tutoring, how long should a tutoring session last.
One of the reasons people don’t succeed easily in any business is the failure to own and use a business plan. Your tutoring service might suffer the same fate if you fail to get a business plan for your company. Aside from getting to know how to compose a business plan, this article will also cover more ground on factors you need to know about your tutoring company. You will also get to use our unique template, which can also be accessed as a pdf while creating your tutoring business plan.
If you wish to take a shorter route, you can opt-in to our pre-made tutoring business plan pdf and start working on your company today.
A tutoring business plan is a detailed document that contains laid out plans that would effortlessly build your confidence and expand your tutoring company. What a business plan does for your tutoring service is to explain your goals and strategies for reaching them. As humans, it is in our nature to plan, and that is how it has also affected our choice of business. Just having a plan would help you keep track of all the important details, so it would be easier to keep track of them and improve upon them.
A business plan is what basically makes a business grow, and having it will give you a clear focus on what your business needs. Irrespective of whether you are a starter or not, it is advisable to get a tutoring business plan, either in pdf format or hard copy, using our template below and start organizing your business thoughts.
There are multiple benefits when it comes to having a business plan. As a starter, a business plan can serve as a plan of action for your tutoring service. Instead of having to face difficulties while setting up your new business, a plan can help you clarify your next steps. With a business plan, you will also get to formulate a more detailed financial projection.
A plan can also help you attract more partners because the plan would show them what your tutoring business is about and the great potential it has. It will immediately convey your vision and show relevant points to a potential partner. Having a plan will also give you a fair advantage when securing funds because any lender would want to see the actual potential of a business.
Since you now understand the meaning and benefits of having a business plan, let us analyze this basic template below to help you comprehend how you can easily create a tutoring business plan for your company, either in pdf format or hard copy.
How do I Create a Tutoring Business Plan?
Creating a business plan might come off as a daunting task, but with the help of our unique template, you will understand the different sections and the particular tone and language that are mandatory for the creation of a business plan. Let’s proceed to analyze the components of this tutoring business plan.
This section of your business plan for your tutoring service should be the first to appear but the last to be written. Why? This is because your executive summary is meant to cover a brief section of other elements. Most of the time, your readers will just focus on this section just to get a clear view of the other sections of your business plan. Now that this is the case, you should ensure that you use clear and concise language while writing your executive summary. This section should cover how your tutoring business is solving students’ problems in one way or another. Keep polishing it till you get a nice smooth read.
Your business or company description should also cover your business’s key details. Tell your readers what you do and how unique your products are. You can bring in some history of your brand and the specific type of tutoring service you choose to offer. While writing this section, start with an elevator pitch, and make use of specifics to create a clear understanding. You should always keep your explanations concise.
Before writing about your market research , you must have been well equipped with crucial data on the tutoring market. The main purpose of this section is to show your readers that you understand the factors that influence the industry’s behavior and the business performance of tutoring services. Tell your readers how best you can handle your market. To conduct extensive market research, you can conduct interviews, research the tutoring community, check prices, and research your primary competitors.
This section should have basic details about your key employees or even any ideal staff members that you would wish to hire. Introduce your critical partners, staff members, and what your hiring procedures look like. This is also where you talk about their role and responsibilities in the firm and how they can help your tutoring business grow. Also, pay attention to their skills and what they bring to the table.
This section should cover your marketing plan . It should cover whatever plan you have to promote and create awareness for your tutoring business. It is really not about having prophets and fliers to give people or maybe going to a local billboard to advertise. This section is more about creating a public relations channel and carrying out unique promotional activities that would drive teachers and students to your door.
Your financial projections should ideally forecast your future finances and how you intend to increase revenue for your tutoring business. As a starter, it is quite okay not to have enough sales to be able to project accurately. At least for your first few forecasts, you can pull this section through based on rough guesses. In this section of your business plan, you will need to include your sales forecast, cash-flow statement, balance sheet, and a break-even projection.
Starting a tutoring business does not require a special technique or formula, you will only need to observe some working procedures that can help you scale through. The step-by-step chart below will serve as a guide.
- Know your client
- Have in-depth knowledge of your subject matter
- Choose a tutoring business model.
- Register your business.
- Get a business plan
- Get the necessary qualifications
- Select your pricing method.
- Market your business
To successfully scale your tutoring business, you need to understand your target market and know how to please them. You also need to make sure that you are an expert in any type of tutoring service you offer. Consider getting insurance and having a concise business structure.
The average UK tutoring charge ranges from £15 to £45 per hour. But most of the time, the location of the tutoring brand can either increase or reduce the above estimation.
To get clients for your tutoring services, you can create an online presence, work on it, and reach out to people that need your services. You can, as well, try out other promotional strategies that can help create awareness for your tutoring business.
As a private tutor, you make money either hourly or monthly based on the agreement you have with your client. You get to make your own money whenever you offer your services to a student.
To start an online tutor, you will need to have a constant online presence and commitment in order to create awareness for your brand. You can sign up on popular tutoring sites as a tutor, or you can also open social platforms, run basic ads, and engage your target market.
As a teacher, you can only have a successful tutoring program when you show equity, cohesion, and safety to your students. Your students need to be able to feel comfortable and have a level of assurance that their data is safe.
We got you! It is totally okay to face some level of difficulty while creating your own copy of a tutoring business plan, even after using our template. Creating a business plan from scratch can get tricky.
If that is the case, then you should opt-in for our professional pre-made tutoring business plan and save yourself the stress.
At Businessyield Consult, we have taken up the responsibility of helping entrepreneurs like you compose a unique business plan that can be used conveniently without facing a hard time. Once it gets too tough, it’s better to allow the professionals to handle it. To get your tutoring company up and running, you should grab a copy now !
In as much as a business plan would not solely guarantee the success of your business, it does reduce the likelihood of failure. To put every activity in check, it is better to get ahold of your tutoring business plan and work with it. While you have plans, you should remember that the work does not end there. You will also need to set the right goals regularly and track your progress to ensure that your success is guaranteed. Make changes when due and understand your student’s needs by all means.
When it comes to being a private tutor, there are no special qualifications or activities attributed to it. Some private tutors might not even need to have special teaching experience or qualifications. All you need is to have a basic knowledge and understanding of your subject area and then get clients to patronize what you do.
For a tutor, the main target market should be students. Some also look out for parents or family members that can serve as a channel that would link students to the tutors. But in all, if you have an idea of where your prospective client would be, you should go all in to get their attention.
The average time a normal tutoring session should last is about 30 to 120 minutes. Most of the time, the hours or minutes spent in a session can vary based on a particular student and how easily they can assimilate information.
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Sample Tutoring Service Business Plan PDF [Template]
Tutoring business plan sample.
Do you love tutoring or have been a tutor before or doing it presently? Do you know that starting a tutoring business doesn’t have to be capital intensive? Do you think you can make $50 an hour without even stepping out of your room?
Indeed, all you have to do is let your brain do the walking by setting up an online tutoring business. The idea of tutoring and getting paid is: hatching the eggs of knowledge you possess into the birds of profit.
Tutor clients vary from students preparing for professional exams, international exams, to students who need aids with their assignments. Some tutors earn an average income of about $100 per hour.
The exciting part of starting an online tutor service is the painting of the realization that one can import the process of tutoring from the limited physical classrooms to the virtual and wider cyber classrooms.
This provides the possibility of an expert African mathematics tutor delivering lectures to a Danish student on algebra. Also, the flexibility of conducting tutorials online is one advantage that can hardly be over-emphasized.
The following are necessary considerations, and factors that would have to be addressed to open the business of online tutoring .
I will hammer on the four basic and important points that would constitute the pillars of making money from the venture and they include:
Tutor Your Way to Profits: How to Start Your Own Online Tutoring Business Model
1. Necessary Skills
It is of course grossly important that you have a fairly strong familiarity with the subject you intend to tutor. Your success as a freelance tutor is grossly dictated by this factor as one major promoter of any business are great testimonials.
The enthusiasm to teach must be an avalanche. You must be zealous about your duties as a tutor; your success would depend on your diligence and uniqueness in this profitable education-based business idea .
Bad communication corrupts a good manner but good communication keeps clients wanting to get to know you more.
It is important that as one who intends to venture into an internet-based tutoring company, you should have good communication skills.
You must keep in mind that the advantage that face-to-face tutors have over online tutors is in this area, so you must do well to bridge up lapses in this area. You have to be reasonably responsive.
You should be a good listener, even to the silence of gestures. You should deduce a student’s problem and always attempt to solve them. This you can do by asking questions or giving assignments at the end of a tutorial.
Encouragements must constantly flow from you to your clients to develop them and keep them in line to learn. You know, Einstein once said, “I do not teach my students, I only provide the environment in which they can learn”.
To reasonably personalize your small tutoring business video interaction, it becomes necessary for you to have the teaching tools. One basic tool for doing this is Skype. This application also has other benefits like sharing of files, the use of emoticons to add flavor to the tutorial, and even sharing the screen for smoother conversation.
To replace the usual classroom boards, we use apps like Scribblar as virtual blackboards with equivalent utility. Other apps exist like IDroo, AWW, Realtime Board, and Sketchlot, most of which work in tandem with Skype.
You also need apps tools like TutorPanel that would play administratively the roles of scheduling tutoring sessions, automating billing and payment receipts, as well as session reminders. Another software that performs this duty is Teachworks.
Dropbox is another powerful file hosting tool that plays an important role in loosening the knot of file sharing between you and a client. Some tutor brands adopt the strategy of giving tutorials via a Youtube channel. We have the likes of Fermilab and Khan Academy; as well as Duolingo for language learning .
You could delve into using such an approach.
The platform offers chat and tutor an efficient environment for a tutor to discharge his duties, with aids like information regarding international curriculum and ease to connect with clients who desire your service.
Some renowned platforms include;
• eTutor • MathTutor • Tutor.com • Tutorvista • eTutorworld
So you would have to sign up with any of these platforms to commence your sojourn through the tasking yet the viable business of tutoring online.
4. Target Audience
Online tutoring business ideas need to have a good market strategy and plan. You must put in writing how you intend to reach and maintain your clients in your online tutoring business plan. I’ll highlight some strategies that you could adopt:
• Blog/Websites — This could facilitate your tutoring business in that it can serve an avenue to showcase and
advertise your expertise. Probably you could post links in possible blogs and sites where you could fetch potential clients. Then importantly it should be Search Engine optimized, though this could be reached as you go on.
• A good way is to register with popular online tutoring directories ; they make it possible for potential
students anywhere in the world to locate you, even without much effort. An example of such an establishment is My Private Tutor.
• Use of email marketing software like AWeber and Mailchimp to disburse emails to potential clients whose email directory you can have within your possession.
Hopefully, this article has exposed you to the necessities in starting an online tutoring business ; if you have got the intellectual and extra wits, it’s a powerful shot.
PRIVATE TUTORING BUSINESS PLAN EXAMPLE
Here is a sample business plan for starting a home-based learning center.
It takes more than knowing how to impart knowledge to start a business . As a business owner, knowing how to properly manage an organizational structure is of the essence. Hence managing a business is entirely on a different level when compared with being under the employ of an organization as a tutor.
Being a tutor can be very challenging, as you would have to ensure that the information you are trying to pass across is properly received. A tutor is only as successful as the knowledge passed across. Running a tutoring business will have to combine this attribute in addition to being a manager.
For persons planning to start an online tutoring business , this tutoring business plan sample will come handy as you need to know how to design one of the most important documents for any business venture. This guide will provide you with the needed assistance in drafting your unique plan. As evident in the title, this is only meant for guidance purposes.
The Headline Tutors is a tutoring service based out of San Diego, California. It offers a vast array of instructional services in the woodwork and electronic repairs sector. These services are offered at very affordable rates to clients from different walks of life and we accept clients with no background at all in these fields.
Our students/clients typically range from the total novices to those with an appreciable knowledge of these areas who are a bit rusty and would love to brush off on some memory as well as learn the newest trends.
Our team of experts/professionals are ever ready to commit themselves to impart their vast experience and knowledge in these fields into teaching willing clients about the tricks of the job and professions. These fields, especially woodwork has witnessed a surge in interest from a diverse group of people from different professions with absolutely no link to furniture making or woodwork. This is where the opportunity lies as we offer very practical approaches to learning, as well as a learning-friendly environment where students/clients are comfortable without distractions.
The Headline Tutors is a partnership entered into by childhood friends Jimmy Stuart a professional carpenter with over 30 years of experience in the woodwork industry and Mr. James Miller, an electronic repair expert who has spent 25 years working with electronics giant Philips. These have come together to start a business where they plan on combining their skills to teach people willing to learn.
There is a growing demand for the services of woodwork experts as well as electronic repair engineers. This has largely been driven by the innovations that have characterized these industries.
With the rising costs in electronic gadgets and furniture, people are increasingly tending towards learning to seek the services of experienced technicians and carpenters to fix their furniture and electronic gadgets. This is more so because fixing a faulty electronic product is cost-effective than having to buy a new one.
The only difference here, however, is a newer technology that may attract users to prefer buying new products.
Hence the demand for professional electronic repair and woodwork experts is on the rise. This is good for our business as we seek to provide the needed training, which will be accompanied by the necessary certifications after having been exposed to quality training.
Products and Services
For our woodwork department, the services on offer include tutoring on how to make wooden toys, varieties of bookcases, baby cradles, boxes, fruit bowls, blanket chests, as well as home pieces of furniture such as settee, beds, chair, tables, shelves and many more.
Our electronic department will offer to tutor on the repair of TV sets, radios, gym equipment, hospital equipment and many more, as most of these work on the same principle.
This business will be financed from two main sources that include savings set aside for this purpose by Messers.
Jimmy Stuart and James Miller amounting to the sum of $300,000.00, while the sum of $700,000.00 will be raised from loans obtained from financial institutions where the duo are both clients/customers.
At Headline Tutors, we have a projected sales forecast which has been arrived at by conducting a 3- year quality survey on the forces of demand and supply in the furniture and electronic repair markets. This has revealed a lot of prospects for your business as we will witness a steady rise in our revenues.
The chart below summarizes these findings;
- First Year $380,000.00
- Second-year $700,000.00
- Third Year $1,500,000.00
While several tutoring services are doing a good job, an advantage we have over these are our niche-specific areas of specialization. This allows for greater focus and a streamlined effort channeled into achieving the desired impact.
By choosing the two areas to focus on, we will offer more depth in tutoring and our clients will be the better for it as there are lesser distractions and they will only focus on what they are supposed to focus on.
Our Keys to Success
At Headline tutors, our keys to success include the creation of an excellent learning environment for the student that allows for maximum learning while also providing a work-friendly environment for our instructors to better express difficult concepts for better assimilation.
Also, our crop of instructors will be carefully chosen from the best in their respective fields. These would be persons with a passion to impart knowledge and experiences they have gathered over the years.
This is an outdoor and home tutoring business plan sample you can work with to achieve the best results with your business. The business plan is one of the most important documents necessary for success in business.
Hence you must give it due attention.
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Tutoring Service Business Plan
Start your own tutoring service business plan
Bryan's Tutoring Service
Ownership & structure.
Bryan’s Tutoring Service is a sole proprietorship. The company is owned and operated by Bryan Thomas. As the company continues to grow, it is foreseen that it will be transitioned into a Limited Liability Company (LLC). An LLC structure will soon be favored to offer liability protection.
Bryan’s Tutoring Service came into being by accident. The founder, Bryan Thomas, was a graduate student at the Willamette University Graduate School of Management. During the first year of the program, a fellow student approached him and asked for assistance in understanding the concepts from one of the courses that was going to be tested on an upcoming exam. They got together for what was to be the first of many study sessions and a long-term friendship. For the remainder of the year, the two met regularly to discuss course topics and would frequently include other students as well.
With previous teaching experience in a large language school, Bryan discovered that he was able to connect with students and help them understand concepts in ways that their professors were unable to – interestingly, to many students the concepts in the quantitative courses were as foreign as Portuguese or Korean. As the year progressed, the size of the study sessions grew to include other students – with Bryan spending much of the time at the front of the group explaining concepts and leading the discussion.
At the end of the first year, a position became available for the following year to work for the school as a tutor. The position paid poorly, and was limited to only a few hours per week. The "tutoring" sessions were open to all students in the program and often had as many as 30 students in the room. It was at this point that several students approached Bryan seeking private tutoring and were willing to pay for these sessions. From this was born Bryan’s Tutoring Service. For the remainder of the year, Bryan provided tutoring both in large review sessions and in private sessions with paying students. Since that time, the business has continued to grow as new students have entered the program and tutoring has expanded to undergraduate courses.
Bryan’s Tutoring Service will be lead by Bryan Thomas. Bryan brings a wealth of academic excellence as well as a proven record of tutoring. Bryan first began tutoring at a large language school. It was this experience that provided Bryan with the insight that he enjoyed and excelled at tutoring. While Bryan attending Willamette University’s Atkinson Graduate School of Management he informally began tutoring students. During Bryan’s second year in the business program, the school hired him to be a tutor for the first year students. This provided Bryan with incredible insight into the specific course work at Atkinson as he worked hand in hand with the professors preparing the students for the course work and exams.
Bryan’s Tutoring Service is a home-based tutoring business that offers a wide range of tutoring services. Due to Bryan’s expertise, professor networking connections, and low overhead, Bryan’s Tutoring Service will realize good revenue and profits the years of this plan
Bryan’s background includes an undergraduate degree in business management, and a minor in Portuguese and Communications. He worked previously as a trainer in a large language school with an intensive program where he taught Portuguese for two years. He worked directly with 70 students and indirectly as a substitute and a large group trainer for 100’s more. Initially Bryan started this position teaching classes of 10, however it became obvious quickly that he was gifted at teaching students. He seemed to have the knack for explaining difficult concepts in ways that were easy to understand.
Bryan is quite skilled at surveying people and determining what is the most effective way that individuals learn. This skill is key for Bryan and for the tutoring service. Most teachers have a set way of teaching the material, from years of teaching the same curriculum, year in and year out. Bryan has always searched for the best way to teach the individual. When the person does not respond well to one methods he immediately changes methods looking for a more effective way.
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Tutoring Business Plan Template [Updated 2023]
I. Executive Summary
This Section's Contents
Products served, customer focus, management team, success factors, financial highlights.
[Company Name] is a Tutoring business in [Location]. It offers tutoring services to children ranging from preschool to high school on subjects like Math, Science and English. The company aims to help children explore their true potential and at the same time strengthen their weaknesses in a way that will make learning fun.
[Company Name] is dedicated to teaching the children in [Location] and making a positive impact on their lives. In order to achieve this, we offer many services including the following:
- In-home tutoring
- Online tutoring
- School tutoring
- Small Group tutoring
[Organization Name] primarily serves students within a 5 mile radius of [location]. The demographics of these customers are as follows:
- 55,376 residents
- Average income of $95,500
- 61% married
- Children Under the age of 18: 24,987
- Median age: 30 years
[Founder Name] will act as the overall head and manager of [Company Name]. She graduated with a degree in education from [University]. Along with her is her good friend [Name 1] who will be handling the legalities and accounting part of the business.
Although [Founder] has no experience in managing a business yet, but, she has started taking up business management courses at [University Name] to deepen her business knowledge.
[Company Name] also has an admin staff who takes care of all the administrative tasks including marketing the company’s services and customer care.
[Company Name] is uniquely qualified to succeed due to the following reasons:
- [Location] does not have a lot of tutoring services that offer affordable, quality tutoring services for students.
- Our teachers are passionate and skillful. They can easily adapt to any learning style a child may have.
- Personalized and Student-focused teaching styles
- The management team has a track record of success achieving the goals of our organization and other organizations for which we have worked.
- Members of our community fully support and believe in our mission.
[Company Name] is currently seeking $180,000 in order to hire new staff, expand its program offerings, school materials, and lease costs.
Specifically, these funds will be used as follows:
- Salaries: $50,000
- Educational Materials: $40,000
- Administrative Expenses: $90,000 to pay for lease costs, ongoing operational expenses, marketing.
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Tutoring Business Plan Home I. Executive Summary II. Company Overview III. Industry Analysis IV. Customer Analysis V. Competitive Analysis VI. Marketing Plan VII. Operations Plan VIII. Management Team IX. Financial Plan
Math Tutoring Business Plan [Sample Template]
By: Author Tony Martins Ajaero
Home » Business ideas » Education Industry » Tutoring
Are you about starting a math tutoring business? If YES, here is a complete sample math tutoring business plan template & feasibility report you can use for FREE .
It is common to find students who have a natural phobia for mathematics. This is why certain parents who have wards in schools are willing to go the extra mile to ensure that their wards are sound academically and in some cases in mathematics hence the need for extra coaching.
The demands for private math tutorial services are driven by the fact that most schools cannot meet the required teaching style that will enable students learn and understand mathematics. With private math teachers, it is easier to adopt the most suitable learning style for each student.
A Sample Math Tutoring Business Plan Template
1. industry overview.
Math tutoring is under the tutorial school industry and tutoring is a craft that is as old as man, from when man passed on the knowledge acquired from making fire, preserving cultures, to modern day classroom learning. Tutoring can be informal (from parents to children) or formal (from an instructor to others) and can happen in any setting, the home, office, or school.
Apart from academics, there is skilled based tutoring- this is where an individual or a group is tutored on skills such as dance, singing, sports and so on.
This guide will focus on school-based tutoring. Earlier, the myth had been that only slow learners needed tutoring, but this isn’t true as even bright students still get tutoring that is aimed at helping them further improve on what they know, thereby brightening their grades more.
Math tutoring has become so popular due to the fact that most students naturally develop a dislike for mathematics, and most parents have little or no time to tutor their children. Apart from having no time, parents aren’t equipped to handle new information and knowledge that is the prerogative of a math tutor or teacher.
Due to this fact, there has been a tremendous demand for math tutors therefore creating a thriving tutoring industry. Most math tutors are freelancers, making this industry a good one for entrepreneurs to set up.
Entrepreneurs who want to set up a tutorial school do not need to be professional teachers, but have to know where to source for clients in this case students, and how to give them a quality service so much so that they become a source of reference in bringing other clients.
Tutors are people employed to educate others individually, in small groups or in large groups. The key attributes needed to start math tutorial services are patience, enthusiasm, passion about the specific subjects to be tutored, and constant positivity. Also needed are planning, preparation, and certain other organizational skills.
Entrepreneurs who want to open or start math tutorial services – either online, private, or a large school – will have to know the requirements needed – either for the school itself, or the tutors that would need to be employed – by the locality, city, state, association or trade body where they intend to operate from.
In Hong Kong, the Census and Statistics Department pegs the tutoring industry as being worth HK$400 million, .4 billion in india, and $12 billion in Japan. In California alone, there are over 34,000 registered tutors.
In fact, an educational market research and consulting firm states that revenue from tutoring, test preparation services, and supplemental content industry for kindergarten through 12th grade grew 6 percent in 2004 to 2005, rose and reached $21.9 billion.
For high and middle school students, online tutoring had revenue of $115 million. In Pakistan alone, parents spent an average of $3.40 a month in 2011, while in India it was about $2 per month. In South Korea, 90 percent of students receive extra tutoring from tutorial schools, in Hong Kong; the rate is 85 percent of students.
Even though this might seem like a saturated field, it isn’t as there is always a constant demand for math tutors – especially as traditional schools keep taking in new students’ that might require an upgrade of their grades through taking extra tutoring lessons from tutorial schools.
Math tutoring schools are having an impact on students who are struggling with mathematics, or students who want their grades to remain up. Another thing is the available market for math tutors either home based tutors, online tutors, or large tutorial schools.
2. Executive Summary
DY DX® Math Tutoring Services is a registered private tutorial services business with strong bias in teaching mathematics and related subjects, and it is located in a well – populated residential estate in Boston – Massachusetts, united states of America.
We are a standard math tutoring service provider that is set to handle all high school mathematics related subjects for both teenagers and adults who would want to enroll for adult education. We will also hire out home tutors to go to the homes of our students as demanded by their parents.
DY DX® Math Tutoring Services is a client-focused and result driven math tutoring services that provides broad-based learning approaches at an affordable fee that won’t in any way put a hole in the pocket of our clients. We will offer standard and professional teaching services to all to our students (high school students and those that enroll in adult education classes).
We will ensure that we work hard to meet and surpass all our students’ expectations and educational goals whenever they hire our services.
At DY DX® Math Tutoring Services, our students’ overall best interest would always come first, and everything we do is guided by our values and professional ethics. We will ensure that we hire professional mathematics teachers who are well experienced and passionate in imparting knowledge to students at various learning cadre.
DY DX® Math Tutoring Services will at all times demonstrate her commitment to sustainability, both individually and as an educational organization, by actively participating in our communities and integrating sustainable business practices wherever possible.
We will ensure that we hold ourselves accountable to the highest standards by meeting our students’ needs precisely and completely.
Our overall business goal is to position our math tutoring services to become the leading private math tutorial brand in the educational industry in the whole of Boston – Massachusetts, and also to be amongst the top 5 math tutoring services business in the united states of America within the first 10 years of operation.
This might look too tall a dream but we are optimistic that this will surely come to pass because we have done our research and feasibility studies and we are enthusiastic and confident that Boston – Massachusetts is the right place to launch our math tutoring services business.
DY DX® Math Tutoring Services is founded by Francis Winston, Kimberly Morgan and Jael Kings. All the members of the team can comfortably boast of having a solid education cum mathematics background and have worked with various students at different levels of learning.
All the founding members have equal stake in the business and they will be actively involved in running the math tutoring services business.
3. Our Products and Services
DY DX® Math Tutoring Services is going to teach varieties of mathematics related subjects within the scope of the education board in the United States of America.
Our intention of starting our math tutoring services is to soundly educate people in various mathematics related subjects and of course to make profits from the tutoring cum education industry and we will do all that is permitted by the law in the US to achieve our aim and business goal.
Our service offerings include;
- Home tutoring services (teaching various mathematics related subjects to students at different learning levels)
- Retailing of mathematics and other related educational books and materials
4. Our Mission and Vision Statement
- Our vision is to build a highly competitive math tutoring services business that will become the number one choice for both parents and students in the whole of Boston – Massachusetts.
- Our mission is to provide professional math tutoring services to students. Our overall business goal is to position our math tutoring services to become the leading math tutoring brand in the educational industry in the whole of Boston – Massachusetts, and also to be amongst the top 5 math tutoring services businesses in the United States of America within our first 10 years of operation.
Our Business Structure
We are quite aware that the success of any business lies in the foundation on which the business is built on, which is why we have decided to build our math tutoring services business on the right business foundation. As a matter of fact, we are set out to build a math tutoring services business that will be a standard for the math tutoring services line of business in the United States of America.
We want to build a dedicated workforce who will go all the way to ensure that our students are satisfied and they get value for their money. We aware that it takes a business with the right employees and structure to achieve all what we have set to achieve, which is why will be putting structures and processes in place that will help us deliver excellent math tutoring services.
The success of our math tutoring services business will be anchored on the team not on any individual. With the wide range of math related subjects that we teach and the locations we intend covering, we are only expected to employ more than it is required to run a conventional math tutoring services business.
Definitely, we will have various teachers to man the various math related subjects offered of DY DX® Math Tutoring Services. DY DX® Math Tutoring Services will employ professionals and skilled people to occupy the following position;
- Head of the Math Tutoring Services/School Administrator
Tutors for Various Math Related Subjects
- Client Service Executive/Front Desk Officer
5. Job Roles and Responsibilities
Head of the Math Tutoring Services / School Administrator:
- Accountable for providing direction for the business.
- Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Accountable for fixing prices and signing business deals and payment of salaries.
- Responsible for signing checks and documents on behalf of the company.
- Evaluates the success of the organization.
- Responsible for managing the daily activities in the organization.
- Makes budget and reports for the organization
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization.
- Regularly holds meetings with key stakeholders (clients and member of the board) to review the effectiveness of the business Policies, Procedures and Processes
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Oversees the smooth running of the daily activities of organization.
- Effectively teach math related subjects as assigned by the school coordinator
- Accesses the progress of students under their care
- Ensures that students abide by the rules and regulations of the school
- Contributes his / her quota towards growing the math tutoring service
- Receives complaints from parents and channel it to the appropriate quarters
- Handles any other duty as assigned by the school coordinator.
- Identifies, prioritizes, and reaches out to new students, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of development projects.
- Writes winning proposal documents, negotiate fees and rates in line with organizations’ policy
- Responsible for handling business research, market surveys and feasibility studies for clients
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Develops, executes and evaluates new plans for expanding sales
- Documents all customer contact and information
- Represents the company in strategic meetings
- Helps to increase sales and growth for the business
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting for one or more properties.
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensuring compliance with taxation legislation
- Handles all financial transactions for the tutorial college
- Serves as internal auditor for the tutorial college
Client Service Executive
- Welcomes students and visitors by greeting them in person or on the telephone; answering or directing inquiries.
- Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provide the client with a personalized customer service experience of the highest level.
- Through interaction with students on the phone, uses every opportunity to build client’s interest in the company’s products and services.
- Manages administrative duties assigned by the school coordinator in an effective and timely manner.
- Consistently stays abreast of any new information on the schools’ products, promotional campaigns etc. to ensure accurate and helpful information are supplied to students when they make inquiries.
- Receives parcels/documents for DY DX® Math Tutoring Services and distributes mails in the organization.
- Handles any other duties as assigned by the Manager.
6. SWOT Analysis
We are quite aware that there are several math tutoring services businesses that offer math tutoring services all over Boston and even in the same location where we intend locating ours, which is why we are following the due process of establishing a business.
We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be equipped to confront our threats.
DY DX® Math Tutoring Services engaged the services of a core professional in the area of business consulting and structuring to assist our math tutoring school in building a well – structured educational business that can favorably compete in the highly competitive education industry.
Part of what the team of business consultant did was to work with the management of our organization in conducting a SWOT analysis for DY DX® Math Tutoring Services. Here is a summary from the result of the SWOT analysis that was conducted on behalf of DY DX® Math Tutoring Services.
Our core strength lies in the power of our team. We have a team that has successfully run a standard tutorial college, a team with excellent qualifications and experience in mathematics education. Trust and competence are key factors in this line of business and we can boast of having a healthy dose of both.
We are well positioned in a community with the right demography and we know we will attract loads of students from the first day we open our doors for business.
As a new math tutoring services provider in Boston – Massachusetts, it might take some time for our organization to break into the market and gain acceptance in the already saturated tutorial/education industry; that is perhaps our major weakness.
The opportunities in the tutorial/education industry is massive considering the number of parents who would want their wards to perform excellently well in mathematics and also adults who would want to learn mathematics and obtain high school diplomas. As a standard math tutoring services provider, we are ready to take advantage of any opportunity that comes our way.
Every business faces a threats or challenges once in a while. These threats can be external or internal. This shows the importance of a business plan, because most threats or challenges are to be anticipated and plans put in place to cushion what effect they might bring to the math tutoring school.
Some of the threats that we are likely going to face as a math tutoring services provider operating in the United States of America are unfavorable government policies that might affect tutorial services, the arrival of a competitor within our location of operation and global economic downturn which usually affects spending/purchasing power.
There is hardly anything we can do as regards these threats other than to be optimistic that things will continue to work for our good.
7. MARKET ANALYSIS
- Market Trends
The trend in the math tutorial line of business is that the key to attracting students is the educational performance of their students in exams. Any math tutoring services provider that has good records will always thrive.
The demand for math tutoring services is driven by the fact that most schools cannot meet the educational criteria of all the students, and also the need to ensure that students meet up with national and international educational standards.
The economic downturn hasn’t really affected this industry, especially in countries that believe in the efficacy of math education. The areas you would need to spend heavily on is in ensuring that your teachers are well paid, their teaching style is up to standard, your advertisements, and insurance.
8. Our Target Market
DY DX® Math Tutoring Services will initially serve high school students and those enrolling for adult education but would later grow to accommodate middle school students. Our target market as a math tutoring service provider cuts across people of different class and people from all walks of life.
We are coming into the tutorial industry with a business concept that will enable us work with students at different learning stages. Below is a list of the students we have specifically designed our math tutoring services for;
- High school students
- Adults and Elderly who would want to enroll for adult education
- Middle school students
Our Competitive Advantage
This field is a highly intense one because of the quality service offered by home tutors and tutorial schools, who are more pressured to deliver better services. Due to this pressure, there is a jostling amongst the different math tutors and tutorial schools to get more students, thereby increasing their earnings as well.
Hence, schools are besieged by requests to offer math tutorials to students. It is for that reason that math tutoring services have had to step up on advertisements and publicity to retain an edge over competitors. Home tutors aren’t left out of this competition as well.
We are quite aware that to be highly competitive in the tutorial industry means that you should be able to deliver consistent quality service, your students should be able to experience remarkable difference and improvement and you should be able to meet the expectations of both students and parents alike.
DY DX® Math Tutoring Services might be a new entrant into the tutorial industry in the United States of America, but the management staff and owners of the business are gurus. They are licensed and highly qualified mathematics educationists at various levels of learning in the United States. These are part of what will count as a competitive advantage for us.
Lastly, our employees (mathematics tutors) will be well taken care of, and their welfare package will be among the best within our category in the industry meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our business aims and objectives.
9. SALES AND MARKETING STRATEGY
- Sources of Income
DY DX® Math Tutoring Services is established with the aim of maximizing profits in the tutorial industry and we are going to go all the way to ensure that we do all it takes to attract students on a regular basis. DY DX® Math Tutoring Services will generate income by offering the following tutorial services;
- Offering math tutor services (teaching various mathematics related subjects to students at different learning levels)
- Retailing of mathematics related educational books and materials
10. Sales Forecast
One thing is certain, there would always be parents and students who would need that extra coaching in mathematics to be able to achieve their educational goals and as such the services of math tutorial centers will always be needed.
We are well positioned to take on the available market in Boston – Massachusetts and we are quite optimistic that we will meet our set target of generating enough income from our first six months of operation and grow the math tutoring business and our student base.
We have been able to critically examine the tutorial market, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projections are based on information gathered on the field and some assumptions that are peculiar to similar startups in Boston – Massachusetts.
Below are the sales projections for DY DX® Math Tutoring Services, it is based on the location of our math tutorial business and of course the wide range of mathematics related subjects that we will be offering;
- First Fiscal Year: $125,000
- Second Fiscal Year: $250,000
- Third Fiscal Year: $550,000
N.B : This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown within the period stated above. Also, there won’t be any major competitor offering same services as we do within the same location. Please note that the above projection might be lower and at the same time it might be higher.
- Marketing Strategy and Sales Strategy
We are mindful of the fact that there are stiff competitions amongst math tutoring services in the United States of America, hence we have been able to hire some of the best marketing experts to handle our sales and marketing.
Our sales and marketing team will be recruited base on their vast experience in the industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of DY DX® Math Tutoring Services.
We will also ensure that our students’ excellent results from national exams and other exams speaks for us in the market place; we want to build a standard and first – class math tutorial services business that will leverage on word of mouth advertisement from satisfied clients.
Our goal is to grow our math tutorial services business to become one of the top 5 math tutoring services in the United States of America which is why we have mapped out strategies that will help us take advantage of the available market and grow to become a major force to reckon with not only in Boston – Massachusetts but also in other cities in the United States of America.
DY DX® Math Tutoring Services is set to make use of the following marketing and sales strategies to attract clients;
- Introduce our math tutoring services by sending introductory letters alongside our brochure to schools, parents/household and key stakeholders in Boston – Massachusetts.
- Print out fliers and business cards and strategically drop them in schools, libraries and even student organizations.
- Create a website that allows parents to look us up, and also allows us to post general study tips
- Use friends and family to spread word about our math tutoring business
- Introduce ourselves to learning specialists, school coaches, school administrators, teachers, guidance counselors especially as they are with students everyday
- Call up schools – either private or public – and intimate them of our services
- Post information about our math tutoring services on bulletin boards in places like schools, libraries, and local coffee shops.
- Place a small or classified advertisement in the newspaper, or local publication about our math tutoring services
- Using tutorial referral networks such as agencies that will help match students with our math tutoring service
- Joining relevant associations or bodies that will enable us network and meet others in the same industry.
- Advertising online by using an advertising platform such as Google AdWords, that will allow us place text advertisements alongside on websites with related contents, and along results from search engines.
- Advertise our math tutoring business in relevant educational magazines, newspapers, TV and radio stations.
- Attend relevant educational expos, seminars, and business fairs et al
11. Publicity and Advertising Strategy
We have been able to work with our brand and publicity consultants to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market. We are set to become the number one choice for both parents and students in the whole of Boston Massachusetts which is why we have made provisions for effective publicity and advertisement of our math tutoring services.
Below are the platforms we intend to leverage on to promote and advertise DY DX® Math Tutoring Services;
- Place adverts on both print (community based newspapers and magazines) and electronic media platforms
- Sponsor relevant community based events/programs
- Leverage on the internet and social media platforms like Instagram, Facebook, Twitter, YouTube, Google + et al to promote our brand
- Install our billboards in strategic locations all around Boston – Massachusetts
- Engage in roadshows from time to time in targeted neighborhoods
- Distribute our fliers and handbills in target areas.
- Contact schools by calling them up and informing them of our math tutoring services, and the advantage our math tutors has over others.
- Passing general information via the math tutorial school’s social media handles like twitter, Facebook, Google hangouts etc.
- Ensure that all our tutors wear our branded shirts and all our vehicles are well branded with our schools’ logo et al.
12. Our Pricing Strategy
Generally, for tutorial services (home tutors and tutorials for the physically challenged inclusive), flat fees on a weekly or monthly basis is what is obtainable. As a result of this, DY DX® Math Tutoring Services will charge our students flat fees except for few occasions where there will be need for us to charge special students on hourly basis.
At DY DX® Math Tutoring Services we will keep our fees below the average market rate for all of our students by keeping our overhead low and by collecting payment in advance. In addition, we will also offer special discounted rates to all our students at regular intervals.
We are aware that there are some students that would need special assistance, we will offer flat rate for such services that will be tailored to take care of such students’ needs.
- Payment Options
The payment policy adopted by DY DX® Math Tutoring Services is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that DY DX® Math Tutoring Services will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via credit cards/Point of Sale Machines (POS Machines)
- Payment via online bank transfer
- Payment via check
- Payment via mobile money transfer
- Payment via bank draft
In view of the above, we have chosen banking platforms that will enable our clients make payment for services rendered without any stress on their part. Our bank account numbers will be made available on our website and promotional materials to clients who may want to pay for services rendered.
13. Startup Expenditure (Budget)
In setting up a math tutoring school business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a higher amount of capital as you would need to ensure that your employees are taken care of.
This means that the startup can either be low or high depending on your goals, vision and aspirations for your business. The capital for a home-based tutor might fall between $500 and $2,000, while that of a medium and large scale service would definitely be higher.
The materials and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked. As for the detailed cost analysis for starting a math tutoring school business; it might differ in other countries due to the value of their money.
This is what it would cost us to start DY DX® Math Tutoring Services in the United of America;
- Business incorporating fees in the United States of America will cost – $750.
- The budget for Liability insurance, permits and license will cost – $3,500
- Acquiring an office space or warehouse that will accommodate the number of teaching and non – teaching staff (Re – Construction of the facility inclusive) will cost – $35,000 .
- Equipping the office (computers, printers, projectors, markers, pens and pencils, furniture, telephones, filing cabinets, and electronics) will cost – $10,000
- Launching an official website will cost – $500
- Additional Expenditure such as Business cards, Signage, Adverts and Promotions will cost – $5,000
While a home tutor might not have to incur all these expenses but going by the above report, we will need an average of fifty thousand dollars – $50,000 to start a small scale but standard math tutorial school business in the United States of America.
Generating Startup Capital DY DX® Math Tutoring Services
DY DX® Math Tutoring Services is a partnership business that is owned and managed by Francis Winston, Kimberly Morgan and Jael Kings. They are the financiers of the business which is why they decided to restrict the sourcing of the startup capital for the business to just three major sources.
These are the areas we intend generating our startup capital;
- Generate part of the startup capital from personal savings and sale of his stocks
- Generate part of the startup capital from friends and other extended family members
- Generate a larger chunk of the startup capital from the bank (loan facility).
N.B: We have been able to generate about $10,000 ( Personal savings $8,000 and soft loan from family members $2,000 ) and we are at the final stages of obtaining a loan facility of $40,000 from our bank. All the papers and documents have been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.
14. Sustainability and Expansion Strategy
The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and the business structure. If all of these factors are missing from a business, then it won’t be too long before the business shuts down.
One of our major goals of starting DY DX® Math Tutoring Services is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running. We know that one of the ways of gaining approval and winning customers over is to offer our math tutor services a little bit cheaper than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.
DY DX® Math Tutoring Services will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner.
As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of three years. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
- Business Name Availability Check: Completed
- Business Incorporation: Completed
- Opening of Corporate Bank Accounts various banks in the United States: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Securing a small office facility (Renovation of the facility inclusive): In Progress
- Conducting Feasibility Studies: Completed
- Generating part of the startup capital from the founders: Completed
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents: In Progress
- Design of The Math Tutorial Schools’ Logo: Completed
- Printing of Promotional Materials: Completed
- Recruitment of employees: In Progress
- Purchase of the needed furniture, office equipment, electronic appliances and facility facelift: In progress
- Creating Official Website for the Math Tutorial School: In Progress
- Creating Awareness for the math tutorial school in Boston – Massachusetts: In Progress
- Health and Safety and Fire Safety Arrangement: In Progress
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