How much do we need to prepare to be a training institution?

This question must be something that many newcomers who are about to enter the industry want to know. Here I will share it with you.

We are currently opening institutions in second- and third-tier cities. Our market positioning is very simple. We are a high-end children's art institution in the local area.，

We started with Grandpa Mao's words: the strategy of ”encircling the city in the countryside".

This way we are very clear what we are going to do

What kind of shop is it?，

What kind of service products are provided，

Including the decoration style and the details of the organization, etc., because only you can determine your market positioning, then you don't need to be disturbed by other outside firms.

Our organization currently has one campus in the urban areas of second-tier cities, and the rest of the campus is in county-level cities.

First of all, this store in the city is opened in a shopping mall. I will roughly introduce the upfront cost of this store to you. The rent for a square meter in a shopping mall is 1.8/day. We rented 200 square meters. The rent is 130,000 yuan. The utility bill is 4 yuan per square meter for one month. Then there is the decoration. A total of 180,000 yuan was invested, including equipment, tables and chairs and everything. This is our basic investment in the early stage.

Everyone thinks it's over? No.

Before the official class, we need to do an audition class, and at this time we need to purchase some materials and gifts for drainage. In the mall, we are actually grabbing students from other institutions instead of directly absorbing new students, so we must prepare a certain marketing cost, the total cost is 6,000.

Then another big head came.

Labor + teacher salary，

Why should I say it separately, because when I set up this store, I made it clear that the teacher's salary is different from the academic staff, but the two of them make up the labor salary.

Then we prepared the personnel salary in advance, which is expected to be 3 months. In fact, the expenses in this place are very terrifying. It takes at least 18 months for a normal offline store to stop loss and turn a profit. This is what we have counted through the past 5 years of operation.

A shop needs to arrange 3 teachers in the early stage. An academic affairs. A total of 4 people. The organization had no operating income in the first 3-6 months. So according to our basic salary. We need to prepare 60,000 in advance.

So in summary, we need to prepare 376,000 in the early stage.

Insiders in the industry said that it only costs tens of thousands of yuan or less to run a small and medium-sized training course. Its cost composition is nothing more than renting one or two large houses as classrooms, recruiting one or two professional teachers, and starting classes at any time as long as students are recruited. Calculated according to the recruitment of 50 students per semester for a training course, the tuition fee is 3,500 yuan per person per semester, and the gross income is about 175,000 yuan. Excluding the teacher's salary, classroom rental and other expenses, there is still more than 80,000-100,000 yuan left.

Case sharing：

Taking Tier 2 cities as an example, the annual tuition fee for a student is 4200-6000 yuan/year, and the tuition fee for a single student is between 85-120. The price difference is not small, because institutions will have class gift activities every quarter, which triggers parents to sign up (take the size of a 200-300-square-meter institution as an example)., Personal studios are not included, the cost is slightly different in different regions, and the pricing is slightly different)

Rent: 2.3-5 yuan/meter/day, the annual rent ranges from 170,000 to 50 (the difference is large, depending on your own positioning and capital investment). Excluding property fees and utility bills, 300 square meters, for example, generally the annual property fees are more than 10,000.

Teacher cost: Based on 3 full-time teachers, the annual salary is about 180,000, excluding five risks. What I'm talking about here is a teacher with 2 years or more of work experience. If you recruit a small white teacher or a part-time teacher, the salary may be lowered a lot. Generally, institutions will set up a 3-month probation period. (It's a big deal. There are some common gameplay methods in large and medium-sized institutions. The main teachers are stable.Some teachers just try, try, and try again in a cycle, and the teachers change and change to complete the teaching tasks and enrollment tasks of the institution at a very low labor cost! 。 。 。 No numbers are omitted here)

Taking it all together, everyone can calculate how much cash flow the organization needs throughout the year to maintain the survival of the organization. If the above-mentioned annual tuition, rent, teacher costs, etc. are included, for example, the annual operating cost is 550,000 yuan, and the annual tuition fee for a student is 5,000 yuan. Then you need the tuition fees of 110 full-year students as cash flow to survive. It is important that the cash flow here must be completely consumed by the course, that is, after the income is carried forward, the capital can be paid. You can search for the carry-over income here to see what it is, and if this carry-over income is to be in a benign state, it must be combined with the positioning of the institution and the curriculum. Think about it. To do a good job in an organization, it must be a business or project that tests the overall operating ability. Let's share living cases with you in the future!

Other material costs: The materials of children's art institutions are mainly consumed by painting materials, mainly theme activities, festival activities, indoor activities, supermarket activities, sketching activities, etc. This part is easy to calculate, because of the fast turnover of funds, you can charge per time, and participate in activities for an additional fee, ranging from tens to hundreds, activitiesIn my opinion, it is still a way to maintain the adhesion between students and parents, increase trust, and enhance professionalism. Now that the competition in the industry is fierce, you need to create your own differences and have your own characteristics, so in addition to regular classes, there must be at least 2 or more activities of various types every month! (Important) Some people say that being an organization is mainly due to the high cost of enrollment in the early stage of the market, because the development of a new customer is much larger than the renewal fee of the old one. You can refer to the insurance industry. Basically, I have purchased insurance. In the next few years, I will wait for the customer to continue to pay. It's okay, can't it be broken. Although the organization has signed up new students, it does not mean that the renewal rate is 100%. Therefore, it is necessary to combine extracurricular and extracurricular activities, cooperate with various activities, and increase the trust and stickiness of parents and students in order to do a good job of renewal. This is a systematic project. Every student has a "life cycle”, from experience, transformation, class, renewal, and introduction., This is a benign circulatory system. All aspects must be considered thoroughly! ！ Indispensable.

As the founder of an organization, you must have a global thinking! From the first day of the opening of the training course, we have been nurturing a child like a child, watching him grow up day by day, and thinking about how to make him survive and grow stronger every day! Yes, this is a way of life, if you have such a passion to devote yourself, find yourself suitable for innovation, find problems, solve problems, and feel very enjoyable! Congratulations, you are suitable for starting a business. Yes, it must be said here that for any entrepreneurial project, before and after you start, you must always observe your changes, whether you are suitable for this way of life, and if you are suitable, just continue to fight. Not suitable, stop quickly, because the future is unknown, you need to expand your territory, and you need to cultivate and integrate various social resources in order for your organization to develop slowly.