Somewhere in your early learning days you experienced  a studio that was fun, that had energy, that you looked forward to going as often as possible. Ten, twenty years later you are done with your competitive days and thinking I’m paying too much in floor fees and I have no control. Although I cover all the expenses, and planning that you have to do to open a studio in another page, this page is about the vision you had when you planned everything. The goal is NOT to talk you out of owning a studio. It’s a reality check. Alright here we go…

You were going to tell a contractor what you wanted, file a few permits and licenses and open a few months later to a full house and lots of media in attendance. I chuckle as I write this because I’ve seen lots of owners make this mistake in my past 40 years. If you wanted a small 2000 sq. ft. studio so you could teach privates and rehearse at your convenience, the first thing you’ll find is that between rent, utilities,  insurance, music licenses, advertising, etc., you would have to teach 72- $100 privates to just open the doors each month. Now if your personal housing and expenses run around $5000 per month, you would have to teach 122 lessons before you even put anything towards your taxes, social security AND the loan you took to do all your construction, purchase you floor and mirrors and all sorts of other expenses. So in other words you would have to teach 30 hours per week (or 6 lessons/day) just to cover you expenses. Now if  there are other teachers who rent space from you would need 30 lessons per day with a floor fee of $20. Ask any independent studio owner what their typical daily income is. Most typical studio owners never realize this until they are drowning in debt. 

Along the way you had envisioned big parties, large classes and studio showcases. First thing you find out is that independent teachers are not going to support your parties, so you now have 20 ladies who will get 2 whole dances with you in a 2 hour party. Oh, and you are having to continuously make play lists so that everyone doesn’t get bored by the same music. Ooops, somebody clogged the only toilet and it’s overflowing. “Hey boss, we’re out of cookies and coffee creamer” Three clients paid for the party with hundred dollar bills and now you are out of change. Did I say it’s 20 ladies and 4 gentlemen? Oh and there was a setup of tables and chairs before and after and payroll for the door person collecting the money. Those two hours you use to live for as a student are now 4 hours of hell that just drag on. 

That’s ok, we have group classes to bring in income. Because most of your private students are competitors, they won’t take your beginner level classes so your classes are dependent on new customers. Therefore your classes will be 45 minutes to an hour and will have all the energy of a funeral wake. If you can manage to have 10 students in class, between the receptionist and your time,  you are making less than you make in a private and now, that shows on your face. Oh, and because you wanted to save money, you didn’t build separate rooms for classes. And because a privates in the same room with a group class are distracting, either you teachers can’t teach during prime hours or your classes are going to suck.