Posted by Mike Massie on August 25, 2010
Quitting, or (L)earning the Power to Execute
The power to execute comes from practice.
“It didn’t work for me. So, I quit doing it.”
How many times have I heard that from martial art school owners? Let me just say, I’m not busting anyone’s chops in particular.
But, I hear this from school owners so often, I feel I need to make an important point about giving up easy in business.
Let’s think back to the first time you learned how to do a certain combination in sparring… maybe a set-up for a strike or submission. You learned it in class, drilled it, memorized the movements, and then you tried it out in sparring for the first time. How did it go?
That’s right, it failed… or, rather, YOU failed to execute it effectively. Let’s be honest – you’d seen your instructor and the senior students in the school pull it off a million times. Yet, it didn’t work for you the first time out.
So what did you do? Of course, you kept at it.
Then one day, BINGO! It clicked and you were able to pull it off. You scored, it felt good, and so you kept trying it. Maybe you didn’t score every time, but pretty soon you were succeeding more than failing, and you may have even developed a strategy around that technique… heck, it may even be one of your “go-to” techniques now.
So, knowing what you know now, how silly would it have been for you to have tried that move or technique once, and then said, “Well, it didn’t work for me, so I quit doing it.”
Yet, those are the exact words I hear from instructors, all the darned time. Typically, it’s with regards to some marketing method or another, but it could also be in relation to any number of common practices that successful schools use.
And the fact is, you’d never let a student give up like that. Ever.
So, why do we do it? And I do say “we” purposely, because I did the same thing many times when I was starting out, and to this day I still have to resist the initial urge to give up when I fail at something new.
I’ll tell you why – because, when you become an instructor, you get used to being “right” all the time. And, when you do something “wrong”, it busts your ego up something terrible.
I know. I’ve felt the sting of getting my ego bruised too. Yet, the winners’ circle only admits the persistent. It’s true in martial arts, it’s true in all manner of sports, it’s true in business, and it’s true in life.
Now, if you’re reading this and going, “Cripes, Mike is right. But how do I keep trying something when it’s not working?” The answer is so obvious, it’s painful. You don’t.
Because, if you do something that works for someone else and it doesn’t work for you, that means you did it wrong. So, instead of taking an ineffective action over and over again, you need to observe how the people who are getting results do that thing. Compare their methods with yours, eliminate the differences in execution, and then try again.
That’s what you did when you first learned martial arts… you watched the best people in your school, and copied them, repetition after repetition. Over time, you got good, maybe even better than the people you modeled your own practice after.
And that’s how you’re going to succeed in running your school as well.
Is it difficult? Obviously, but let me tell you – it’s a lot easier than figuring things out through sheer independent trial and error.
So…
LEARN -> IMPLEMENT -> EVALUATE -> REVISE -> REFINE…
Then IMPLEMENT better.
Rinse, repeat.
That’s the path to success.
Posted by Mike Massie on August 4, 2010
Many martial arts school owners would like to accept electronic payments so they can do their own martial arts billing at their school, but either don’t know how or think they have to hire a billing company to do it.
You can do a better job collecting your own tuition than a billing company, for a fraction of the cost, using the services listed in this article.
In fact, you DON’T need a billing company to accept electronic payments at your school… and you can even do your own monthly billing very easily (and save money on billing too) by using one or a combination of the following services.
There are several ways to do this… some methods are more “DIY” and require you to perform a few steps to set things up yourself. Others are more “hands off” and require a minimum of technical knowledge to set up.
I have listed various in-house billing solutions below from the “easiest” to the most technical, along with links to their sign-up pages.
Method #1: Getting a Merchant Credit Card Account for Electronic Billing In-House
Description: This method involves billing your clients directly through the credit card companies by using your own merchant credit card processing account and some sort of online payment gateway system. Online payment gateways work like a credit card processing machine, except that you enter the client’s information by hand through a secure online system. Typically, they allow you to process payments in a multitude of ways.
Ease of set-up: Relatively easy as the merchant credit card company will set you up and walk you through it.
Expense: Can be much lower than other methods listed below if you have good credit and ask for a “card present” account (that means you only run credit cards when the customer is in front of you with their credit card or debit card in hand).
Types of payments you can accept: Credit cards, debit cards, electronic checks (bill checking accounts).
Automated recurring billing available: Yes. What many school owners don’t realize is that, when you sign up with a martial arts billing company, they simply run your accounts through their own merchant account and then charge you a percentage on top of the discount rate they are getting from Visa, Mastercard, AMEX, Discover, and their own bank. Doing this yourself allows you to cut out the middle man and save a ton of money over the long haul.
Set-up fees: None.
Rate: As low as 1.26% and .05 cents a transaction for electronic checks. Definitely the lowest on the list overall.
Speed of Payment: Fast. Money is transferred to your checking account in 48-72 hours.
Drawbacks: If your credit rating is extremely poor, you may not be accepted, or you might have to pay a slightly higher rate. This is rare though, so don’t be afraid to apply.
Best for: Established business owners and those with a decent credit history who want the absolute best rates.
Link to Apply: Click here to apply
Method #2: Using Your Own Merchant Account In Conjunction With A Web-Based Billing Application
Description: This method involves using an online billing application in conjunction with a merchant credit card processing account or a third-party service like PayPal to manage, track, and process your payments.
Ease of set-up: Typically it’s fairly easy to set up your account. The whole concept of using web-based billing applications is to make it easier to setup, process, and track your billing accounts. With contemporary services like Freshbooks, user interfaces are much more intuitive and feature-rich than solutions provided by most payment processing companies.
Expense: Typically these services offer free trial accounts that allow you to test their service with a small number of clients (3 or less). You can then upgrade your account based on the number of client accounts you need to bill each month using the software. Rates start as low as $10 a month up to $80 a month for an unlimited number of client billing accounts. (Note: Some services may charge an additional fee for automatic recurring billing capabilities.)
Types of payments you can accept: Credit cards, debit cards, electronic checks (bill checking accounts), depending on your payment processor.
Automated recurring billing available: Yes. The most popular applications are actually designed to make it easy to schedule and process recurring billing payments for your clients. You can also bill your clients via email invoicing.
Set-up fees: None, just a monthly subscription fee.
Rate: Whatever your payment processor charges.
Speed of Payment: Depends on the payment processor.
Drawbacks: A monthly fee on top of your processing fees. However, for the ease of use and advanced bookkeeping and tracking advantages, it is worth it to be organized and to automate your billing and bookkeeping tasks each month.
Best for: Business owners who want convenience and don’t mind paying a little extra for it.
Links to Providers: Freshbooks – Invoicera
Method #3: Using A Third-Party Merchant Services Provider
Description: This method involves using a third party provider, such as PayPal or 2-Checkout, to process your payments.
Ease of set-up: Typically requires a bit more technical know-how, as you will need to navigate their account administration panel and set up various payment methods according to your needs and preferences. In addition, you may have to know some HTML and have basic web design skills, as you’ll need to place the code for payment buttons on your websites. (Note: PayPal now has a recurring billing function you can sign up for which allows you to enter and process your client’s payments online, but it requires a monthly fee for access.)
Expense: Higher than if you get your own merchant credit card account, with processing fees averaging about 3.5%. However, if you want to get up to speed quickly, or if you have spotty credit or don’t have a business bank account set up, this may be the best option for new instructors.
Types of payments you can accept: Credit cards, debit cards, electronic checks (bill checking accounts).
Automated recurring billing available: Yes. (Note: Automated recurring billing comes standard with a 2Checkout account, but with PayPal you have to apply for it).
Set-up fees: Between $15 and $50, depending on the service and plan you choose.
Rate: As low as 2.2% with a .30 cent per transaction fee for PayPal. 2Checkout charges 5.5% with a .45 cents per transaction fee.
Speed of Payment: Fast with PayPal – with the exception of e-checks, your money is transferred to your PayPal account immediately, and you can withdraw it by transferring it to your checking account which typically takes 48-72 hours. 2Checkout transfers money to their vendors weekly via electronic deposit of funds.
Drawbacks: Higher processing rates, and you’ll need someone with a little technical know-how to set it up. Also, 2Checkout requires that you have a website setup with all your purchase information online before you apply.
Best for: Someone who wants to get up and running fast with no hoops to jump through to qualify; the technically inclined; those with less than sterling credit; and, new instructors who are just starting out.
Links to Enroll: PayPal – 2Checkout
- Have questions or comments about doing your own martial arts billing? Post them below!
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 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!
Posted by Mike Massie on July 6, 2010
I rarely post links to any other blogs or sites, simply because most of what is written on martial arts business topics online is derivative or it doesn’t match my personal philosophy of business.
However, Stephen Kesting posts some really good information on his site and in his newsletter, and this article by Krista Scott-Dixon is no exception. In it, Krista provides a female perspective on why more women aren’t interested in grappling, why they get involved and don’t stick around, and what instructors can do to entice more women into their classes… and keep them there.
While it was written specifically regarding grappling and BJJ, Krista’s advice obviously applies to ANY martial art or martial art school.
Incidentally, my only real beef with her article is her suggestion to offer free or discounted classes for women. I totally disagree with that, as I feel it promotes a double-standard that ultimately is disadvantageous for the school owner, insulting to women, and unfair to the men who pay full-price for the same classes.
Also, it goes against good business principles (businesses are called businesses because they are created for the purposes of making money). But other than that one little suggestion she makes about charging women less, I believe that it’s a great article that I think every instructor and school owner should read.
Go check it out now:
How To Get More Women Into Grappling
Posted by Mike Massie on June 29, 2010
The Only Job Security For Martial Art School Owners
Even the youngest students expect a level of professionalism from their instructors. Remember, children will express their views and opinions to their parents, and such conversations often influence parent's buying decisions.
Here’s a question for you…
How professional is your school?
This is an area that is typically ignored or taken for granted in martial arts schools, yet I have observed it to be a pivotal factor in the success of many, many schools.
So, here are some areas where you may consider evaluating and improving the level of professionalism in your school.
Doing so could very well pay off for you in increased enrollments and word-of-mouth referrals.
Facilities
The next time you walk into your school, make a point of looking at it with fresh eyes. Look at it from the perspective of someone who is walking in for the first time evaluating the facility as a potential customer. What would they think?
In my experience, few school owners pay particular attention to the cleanliness and orderliness of their schools. This is a huge mistake. The way your school looks (and smells) is a big part of how people perceive your facility.
In my first school, it was admittedly not in the best location. We had no external doors or windows, it was at the end of a long hallway, and the space was more or less a warehouse facility. Also, I had fixed the place up using a lot of secondhand and bargain basement building materials, which resulted in mismatched floor tiles, and a “DIY” appearance on the fit and finish of the interior.
So, we took great pains to keep the place as clean as possible. I’ll never forget the time when we had a female guest instructor teaching, and she walked out of the restroom with a surprised look on her face. “That’s the cleanest bathroom I have ever seen in a martial arts school,” she stated.
The point here is that, even if you don’t have the best facilities, you can still make a good impression by keeping them as clean as possible. Also, a fresh coat of paint on the walls once or twice a year and replacing old and worn equipment is a must. If it’s dirty, clean it. If it’s old and worn, replace it. Look at everything in your school with fresh eyes at least once a week, make a list of what needs cleaned, repaired, and replaced, and knock it out immediately.
Procedures
Do you answer the phone professionally… every time you answer? Are visitors promptly welcomed as they walk in the door? Do you return phone calls promptly the same day you receive a voice message? Do you even have a list of procedures to follow that outline how to take a new student from their first contact with the school through the entire enrollment process?
Having protocols and procedures in place are what make the difference between amateurs and professionals. Amateurs wing it, while professionals know exactly what to do at every step of the way, because they have a procedure, protocols, and contingency plans in place that they’ve memorized and practiced until they become second nature.
Customers can tell when you’re winging it. Over the last few weeks, I’ve been calling martial arts schools in my area while performing a competitive analysis in certain areas of my city. And, I’m amazed at the fact that 50% of the schools I call don’t answer their phones, while the other 50% do not have any basic phone sales training at all. That’s right – NONE of the schools I have called knew a thing about setting appointments and selling over the phone.
So, imagine what would happen if just one of them put professional protocols and procedures in place. I can assure you, they’d quickly outdistance their competition and increase their market share dramatically.
Be professional. Have professional procedures and protocols in place that cover everything from answering the phones to handling students professionally who are withdrawing from classes. All other things being equal, what separates you from your competitors is how professionally your clients are treated. Over time, this WILL make a huge difference in the volume of your referrals in your community.
Policies
How well do you treat your clients? Do you have posted policies regarding membership agreements, late fees, cancellations, and attendance? Are you of your word when it comes to enforcing those policies equally across the board? Do you treat every student fairly and without bias or preference based on your posted company policies?
Your company’s policies are part of the agreement you make with your customers that says, “I’ll provide ‘x’ service for you, you’ll pay me ‘y’ in return, and if ‘z’ comes up this is how you can expect us to handle it.” Having such policies in place assures the client that you intend to treat them fairly should things go awry, and it also lets them know what they can expect when the unexpected occurs.
Ask yourself, for instance:
- Is it fair to make someone pay the balance on their membership if they move to another town due to a change of employment?
- Would you want to continue paying for martial arts lessons if you were permanently disabled due to illness or injury?
- If you were the student, would you like to have the option to make up classes missed due to illness or vacation by attending extra classes during the weeks following the missed classes?
- Were you the student, would you appreciate having a three-day grace period before late fees were incurred on late tuition payments?
- If you were the student, would you appreciate having the NSF fees waived on the first occurrence of a check or EFT payment being returned or rejected for non-sufficient funds?
Such policies give the student the benefit of the doubt. In addition, having policies such as these posted in your school conveys the message that, while you do have policies in place to prevent unethical customers taking advantage of the school, you also have the customer’s well-being in mind. “Firm but fair” is a good attitude to have when it comes to drafting and implementing your company’s policies.
In Closing
Professionalism is the result of expertise, experience, competence, caring, and consistency in action.
And while any amateur can hang out a shingle and start a school, the professional instructor is one who emphasizes excellence in every aspect of their school’s operations. Elevating your school to the level of such excellence will take you a long way toward securing your financial future as an instructor.
Be excellent at what you do, because professionalism is job security for martial art school owners.
