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Saturday, September 4, 2010

What To Do When You Are Starting A Martial Art School From Scratch

Posted by Mike Massie on July 29, 2010

Q&A On Starting and Running A Martial Art School When You’re Flat Busted

Starting a martial art school with no money

Starting a martial art school with no money is tough but not impossible. Here's how I did it...

Q: Starting a martial art school from scratch when you’re flat broke is tough, but not impossible. I know because I did it facing incredible odds.

Still, I know how easy it is to become discouraged when facing such a difficult proposition. If you’re in this boat, you’re not alone. Recently, “FC” posted the following on the Starting A Martial Art School member forums:

“Lately I’ve been getting really discouraged and it’s taken a toll on my motivation. Today I sat down and wrote out why I felt I was struggling, instead of just ignoring it and fighting against the current. There were two major points of frustration for me–places where I feel very unsure of where to go and so I remain stuck–and I’m hoping that I can get some feedback as to how others might handle them.

The first point is that everything seems so daunting. I read about things like Mike’s ‘10-12 Rule’ of always having 10-12 marketing methods running at all times and about putting in 40-60 hours per week into starting up. It’s not that I’m not dedicated. It has more to do with that I have a full-time job that doesn’t pay a whole lot. So another 40-60 hours per week is tough to find, and when I do have time I’m not sure how to spend it because I don’t have much money. Instead, I find myself stressed because I don’t feel I can keep up.

My second point is that my (work) schedule fluctuates week to week. This makes it hard to maintain a routine. I also never know what I’ll make week to week… This makes it hard to budget and I feel hesitant about dropping money into different marketing methods that I’m not 100% confident in.

So my question to you guys is, how would you plan for success if you were in my shoes? Where would you start? What kind of routine would you set up? What kind of “rules” would you give yourself? What kind of goals would you feel able to realistically set?”

A: Here’s my reply:

Your main concern is money – you need more of it, right?

I was in a similar situation when I started out, so here’s what I did when I started my first school:

- First, I simplified. I cut out everything in my life that was extraneous. Social life, dating, eating out, entertainment, etc. I moved into a very small, spare garage apartment, and lived extremely frugally. This served two purposes – 1) it allowed me to pay my bills and have enough extra money from working four days a week to have some left over for a few ads and fliers each month, and 2) it kept my focus completely on my business.

- Second, regarding my jobs at the time… I purposely gravitated toward jobs that didn’t interfere with my business. I found that working as a supervisor for a security company nights and weekends (11 PM – 7 AM… yes, it sucked but it didn’t interfere with my teaching schedule) and in later in health care served my purposes (I took a job as a private care assistant, which paid as well as any other job and allowed me to work 6 AM to 4 PM four days a week, then rush off to teach classes after). You may find it tougher to do this now, since the job market sucks… but I really hustled to get those jobs, and kept my eyes open for positions I might apply for that better suited my teaching schedule. I had once canceled my classes in another town in order to take a well-paying job, and regretted that decision. So, I resolved to only take jobs that worked around my class schedule… even if it meant working two part-time jobs at times.

- Third, I prioritized, which is reflected in what I’ve already written. I put my business and goal of owning a school first before anything else. Granted, this later caused some balance issues in my life but initially it served the purpose of keeping me on track to reaching my goals.

- Finally, I made time to work on my business every day. If I went in to work late, I took time beforehand to make fliers and distribute them (I didn’t even own a computer, so I had to go to Kinko’s and rent their computers, learning on the fly). Or, I spent time working on my curriculum and planning classes. Or, I called up my students to check on them, especially making sure I called my leads first, then my MIAs and no-shows. Or, I spent time looking for new places to teach in alternate locations so I could get more students and make more money (incidentally, by the time I really got my school up and running, I was teaching in my own school, at the rec center, for the local university, at a local daycare, and for the after-school enrichment program in the local ISD – in short, I was hustling 24/7).

Yes, it’s easy to get overwhelmed… but remember, I didn’t do this all at once. I ate the elephant one bite at a time.

And good Lord, if I’d have had the internet and social media back then… well, let’s just say I would have gone from zero to one-hundred-fifty in less than a year instead of in three years (after a year of stops and starts, it took me less than a year to get my school open once I got serious, and that was all from getting focused and hustling).

You’re roughly the same age I was when I did this. I was a high school drop out, I had no local contacts, moved to Austin with $50 and dream (literally, I had $50 in my pocket and the name of a friend of a friend when I came to town), I had no money, no credit, and no one to turn to for help with any real substantial financing. Trust me, if I could do it you can as well.

The bottom line is, you need to set a definite, long-term goal and then break that down into incremental smaller steps that bring you closer to that goal. And, you need to take some sort of action every day to bring you closer to your goal.

I find that feeling a sense of helplessness comes from having no direction, no plan, and therefore from feeling like you aren’t working toward your goal. Simply having written goals and a written plan with daily, weekly, and monthly action steps and benchmarks and taking small daily actions toward your goal will improve your mental and emotional state immensely. It’s hard to be discouraged when you’re so focused on your goal that you don’t even notice setbacks and sidetracks.

So, get focused and make small, daily, incremental steps toward achieving your goal of owning a school. Small steps add up over time. That’s my advice. And, if you want to know how I did this, step-by-step, then read Small Dojo Big Profits.

I’d say good luck, but luck has nothing to do with it… :)

Do any of you experienced school owners out there have any additional advice for FC? If so, post your comments below!

Thinking Of Starting A Martial Art School?

Posted by Mike Massie on April 28, 2010

Thinking of starting a martial art school?

Wondering what it’s going to be like during those first few months (or years)?

Then you’ll want to read this (slightly humorous) look at starting and running your own martial art school:

http://martialartschoolalliance.com/what-its-like-to-start-a-martial-art-school/

Why You Should Be Running A Small School In This Economy

Posted by Mike Massie on April 9, 2010

If you’re still stuck in that old martial arts business paradigm that involves borrowing a ton of money to cover your start up costs, then gambling it all on getting enough students to cover the massive overhead on your super-sized school in under six months…

Then you should read this article:

http://small-dojo-big-profits.com/articles/run-a-small-dojo-big-profits-school-in-down-economy/

What Do I Charge?

Posted by Mike Massie on February 2, 2010

“But I Can’t Do That In My School Because Of…”

martial-arts-tuition-pricing

Your services are likely worth much more than you think they are. So long as you set your prices lower than your value, you will never experience the true potential of your success.

Last week I sent out an email that listed actual enrollment numbers for three members of the Martial Art School Alliance website.

These are three instructors who are kicking tail despite the down economy. And, one of them actually lives in an area where the unemployment level is 15%.

It just goes to show you can succeed in this economy, and that most of the things we think are holding us back from being successful are internal and self-imposed.

Which bring me to today’s topic…

What To Charge, What To Charge

Earlier today, I received the following question from a reader regarding that email:

“Even with their below average facilities, do you recommend them charging $99 a month?”

People quote me on that $99 a month figure all the time (and the 10% of your gross for marketing – it’s a guideline, people, not an unbreakable rule) and I have to remind them that was the absolute lowest I thought a school should charge…

Back in 2003.

Seven years later, your cost of doing business has increased significantly. You need to be charging at least 20 – 30 % more today than you were seven years ago. That is, you should if you want to have something left over after overhead, taxes, inflation, and the sinking value of the dollar are done with your revenues.

They Are Doing What With What?

For the record, two of those guys have nice schools. Jim is the one teaching out of a warehouse facility, and he is doing phenomenal at it due to having the right mindset and being an awesome teacher and coach. (And actually, I kind of like his school… it takes me back to when I first started training. Who needs heat and AC, anyway?)

But here’s the kickerall three of these guys charge about $150 a month average in tuition.

Now, I know for some of you out there this isn’t a shocker. You’re already charging that much or more.

But for many of you, you’re thinking that’s an impossible figure to charge your students for lessons.

Some of you are outraged, thinking these guys are ripping their students off (baloney – every one of them is worth that and more). Others of you think they must have something you don’t in order to demand those rates. Still others of you are wondering if I’m even telling the truth.

And that’s why you’re always broke.

You Can Lead A Horse To Water…

I’ve argued and argued this point for years. Well, I’m finally sick of arguing and fighting with instructors about how much to charge.

For those of you who are willing to believe your value merits charging a premium for your services, outstanding. You deserve to be successful and well-respected. Just keep adding value to your services and bringing value to your communities and you’ll continue to be rewarded for it.

But for those of you who don’t want to believe you can charge a premium for your services, for whatever reason, that’s fine by me as well. You can stay broke, while instructors who know their value will have nicer schools, better equipment, higher salaries, and a better quality of living.

Not because they have something you don’t.

No, it’s because they have the proper mindset for success.

Until next time,

Michael D. Massie

P.S.: I am inundated with requests for “free” advice these days. I am simply too busy to give away my valuable time and knowledge for free, as it’s a disservice to my paying clients.

Remember, if you are a MASAI member you can almost always get your questions answered at no additional cost in the member forums. However, if you need to correspond with me by phone or email for help with a pressing business issue, please visit the MASAI online store and order phone or email coaching with me.

Thanks for your understanding!

How To Teach Martial Arts in a YMCA or Rec Center

Posted by Mike Massie on June 29, 2009

Starting-A-Martial-Arts-School.com and MASAInetwork.com member Don O’Neal posted an excellent article on his MASAInetwork.com blog explaining how you can get your program into a YMCA or rec center:

http://www.masainetwork.com/profiles/blogs/getting-in-a-ymca-or-rec

(Hint: Be sure to register when you hit the site – it’s free!)

The martial arts social networking site for instructors.

The martial arts social networking site for instructors.

This is an excellent primer on how to get your foot in the door by presenting yourself in a professional manner.

I’d have to say that the #1 reason instructors aren’t offered spots at YMCAs and rec centers has to do with not being taken seriously due to not presenting their program in a professional manner.

Check out the article – it’ll help you avoid making that mistake. Oh, and be sure to message Don to thank him for contributing the article on the MASAInetwork.com site.

Until next time,

Michael D. Massie
Blog: http://martialartsbusinessdaily.com/
Social Network: http://www.masainetwork.com/
Business Manual: http://www.small-dojo-big-profits.com/
Resources: http://www.starting-a-martial-arts-school.com/
Summer Camp Manual: http://startingasummerdaycamp.com/
Facebook: http://www.facebook.com/michael.massie1
Twitter: http://twitter.com/mabizdaily
Performance Nutrition: http://truth.mymaxsystem.com/athletes.php

P.S.: Here’s some recent feedback on our business materials…

“I think your stuff is great, it is almost to good to share
but I am going to anyway. Thanks.”

Sensei Robert Taylor
Sidekick Karate
China Grove, NC

P.S.S: Still a few spots left for the August seminar:

http://martialartsbusinessdaily.com/event-registration