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Tutoring Service Business Plan

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Bryan's Tutoring Service

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">, opportunity.

Schools are underfunded, kids need schooling, some kids need more help than others; some parents want to help more than others do. Tutoring helps kids learn.

Bryan’s Tutoring Service offers a wide range of academic subjects. Sessions can be set up as private or students may form groups for tutoring. Private sessions offer intense individual assistance, but groups sessions can also be beneficial with decreased economic costs and the use of team-based approach that the business program encourages. For The Atkinson-based courses, Bryan’s Tutoring Service offers an extensive collection of past exams which are invaluable for teaching the material and for exam preparation. For all students, Bryan’s Tutoring Service uses the Systematic Analysis Framework (SAF). This unique problem solving approach taught to students provides a system to approach all topics that they encounter in school. This system seeks to provide the student with a way in which they can better solve their own queries. This system differs from most tutors who are primarily concerned with answering the student’s immediate questions and not concerned with providing the students with basic problem solving skills for future applications.

Bryan’s Tutoring Service has identified several target market segments that will be pursued. The largest segment is the Willamette business students. Bryan has close relationships with most of the professors of the business program, allowing Bryan to tailor the tutoring to the specific course material as well as receive referrals from said professors. Within this market segment there will be three subgroups: quantitative clients, non-quantitative clients, and international students. Bryan’s Tutoring Service will also serve undergraduate students from Willamette and the surrounding colleges.

Competition

Tutoring has been around as long as students. And as long as students get in over their head, they will need tutors to help them catch up and keep up with their classmates. Some materials just need to be explained in different ways for them to make sense.

However, while the need for tutoring exists, the bulk of tutoring taking place in the market is very limited and unorganized. What sets this company apart is its experience and the attention paid to individual needs of students.

Bryan’s Tutoring Service exists to help students. We take a unique and innovative approach to teaching that helps students connect with the subject matter they need to master. Through personalized and focussed teaching processes, our students develop the tools they need for ongoing success in their fields of study. Our success depends on our attention to the needs of our clients and truly helping them achieve – we don’t succeed unless our clients succeed.

Expectations

This is a personal tutoring business. Bryan will be able to make enough during the school year to sustain his needs when June July and august come around and students are fewer.  The rent and expenses listed are for him to pay his rent and to eat etc. between group sessions. 

Financial Highlights by Year

Financing needed.

Bryan will use his savings for this venture. He does not need much just enough to get him through the first month’s rent 

Problem & Solution

Problem worth solving, our solution.

Bryan’s Tutoring Service offers a wide range of academic subjects. Sessions can be set up as private or students may form groups for tutoring. Private sessions offer intense individual assistance, but groups sessions can also be beneficial with decreased economic costs and the use of team-based approach that the business program encourages. For The Atkinson-based courses, Bryan’s Tutoring Service offers an extensive collection of past exams which are invaluable for teaching the material and for exam preparation. For all students, Bryan’s Tutoring Service uses the Systematic Analysis Framework (SAF). This unique problem solving approach taught to students provides a system to approach all topics that they encounter in school. This system seeks to provide the student with a way in which they can better solve their own queries. This system differs from most tutors who are primarily concerned with answering the students immediate questions and not concerned with providing the students with basic problem solving skills for future applications.

Target Market

Market size & segments.

The company was founded tutoring students in the graduate school of management in their quantitative subjects. This remains the core segment, although other segments have been developing and show potential to provide the bulk of future income. Graduate students can be divided into three groups: quantitative subjects/students, non-quantitative, and international students.

Undergraduate students will also be served, however Bryan’s Tutoring has a less intimate relationship with the various undergraduate schools and professors. There are several colleges, public, private, and community-based that will provide Bryan’s Tutoring with a steady flow of students. Bryan’s Tutoring will offer tutoring in the courses offered to graduate and undergraduate students. Please review the following section which provides additional detail regarding the different target segments.

Graduate Students The company was founded tutoring students in the graduate school of management in their quantitative subjects. This remains the core segment, although other segments have been developing and show potential to provide the bulk of future income. Graduate students can be divided into three groups:

• Quantitative : These are students who are at the graduate school level and enrolled in quantitative course such as: accounting, finance, business algebra, calculus, and statistics. While this remains the backbone of the company’s business, other areas have been growing quickly and are poised to take off.
• Non-quantitative : These are students who are requesting tutoring for other subjects that are not quantitative. For example, marketing, international management, organizational behavior, and economics. While this was traditionally not as demanded as the quantitative reviews, the experience that the company has developed in tutoring quantitative courses lends itself well to this segment. The ability to prepare students for upcoming exams and to give them practice tests has been a popular service that should only continue to grow in the future.
• International students : Because of the large percentage of students in the program from foreign countries, a specialized service is provided to them. The same courses are tutored, but the focus is less on explaining the complicated math and more on helping them understand the English explanations of the math. From the beginning, a sizeable percentage of students requesting tutoring were from foreign countries. It didn’t take long to figure out that most of these students were quite bright and really did understand the math concepts behind the different subjects being taught. They were just struggling to keep up with the lectures and understand the difficult examples given in class. The same is true of the non-quantitative courses. Tutoring and review courses taught for international students focus less on the math or subject of discussion and more on helping them develop the language skills necessary or simply reviewing the subjects their professors covered. Originally the students who sought these services were quite desperate. Bright individuals who had always been at the head of their class back home, they found themselves struggling to keep up in the classes being taught in English. However, more and more students have been taking advantage of these services to give them the edge they need to compete with their American colleagues. The stigma and embarrassment of having to seek out help have been replaced with a view toward the services as the price of being able to compete in the foreign language (English) at their true capacity. Growth is expected to continue as more and more students use the services and their stigma diminishes.

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Current alternatives

Tutors tend to be individuals with a little extra time and specific expertise in a given topic. However, few have the resources to provide a comprehensive tutoring program covering every possible aspect of a course from understanding the material, to getting the best grade possible from a given professor. The majority of competition comes from one-on-one tutoring conducted by friends of the student. There is no organized tutoring service available to students that really covers their specific course from soup to nuts.

As the company looks to expand beyond the walls of Willamette University to cover community colleges and potentially franchise out to other colleges in other states, there appear to be few organized competitors. Companies like Sylvan Learning Center are mostly geared for handling the needs of younger students, K-12.

Now, while one-on-one tutoring from a friend may be a cheaper way for a student to go, there really is an advantage to paying for tutoring. The tutoring sessions include examples that have been tried and tested previously with prior students. Over time, Bryan has developed a repertoire of examples and approaches to help students with nearly all of the challenges that prevent them from getting the most out of the experience.

As an example, in accounting and finance classes the professors like to use examples that are complicated for some students to grasp. Often the principle is shown using a huge corporation with millions of dollars in revenue, multiple divisions, and decades of history. The principle being taught may be quite simple, but having to wade through the complicated organizational structure and many other accounting principles can be very confusing to some students.

Bryan’s approach is different. Students are better able to see these principles when isolated temporarily in a very simplified manner before placing them back into context. So, students are introduced to a very simplistic business model – Billy Bob’s Lemonade stand. It is shown that each of the accounting or finance principles being taught can apply to a lemonade stand. The advantages of this approach are:

• Many of the North American students had their own lemonade stand at some point in their childhood and so they can relate to the business.
• Even the international students can pick up the concept quickly and see how it would work.
• Using the same business throughout the tutoring relationship provides a safe place for students to learn where they are already familiar with what the business is and how it works.
• Accounting and finance principles work the same whether revenue is in the hundred of dollars or hundreds of millions of dollars and whether the calculations are round numbers or not – for purposes of discussion it is easier to work with smaller numbers to teach the principle before applying the principle to complicated situations with large numbers. Too often students are confused not because the principle being taught is confusing, but because they are daunted by the large numbers being used. Once they become familiar with the principle, the numbers are easy to figure out.
• By using the same business to introduce each principle, students don’t need to spend time learning everything about a new business each time they learn a new principle. This means that more time can be spent discussing the principle and less discussing the business.
• Having already seen other principles applied to the same business (before simplifying it back down to its core), students are better able to see the principle inside a complicated business structure.

This is just one technique that has been developed successfully over several years that sets Bryan’s tutoring sessions apart from other options.

After each exam, students are encouraged to bring in their exams to be reviewed. The collection of exams over the years provides the tutoring service with a number of examples for use in tutoring session and to better prepare students for upcoming tests.

Similarly, over the years, certain handouts have been prepared to help teach students particular principles. These are accumulated and updated occassionally as needed. Students who are enrolled in tutoring sessions have full access to several years worth of materials. The cost to the company to provide these materials is very low because they have been developed from time to time over the years when a need arose. Although some investment of time was required to produce them, it is an overhead cost and can be spread out over several years for as long as the handout remains current or useful.

One challenge that the tutoring company faces is the cyclical nature of demand. Students tend to seek tutoring more when an exam is looming. Because of its experience in the school and its understanding of when exams will be coming up, topics of discussion for tutoring classes can be planned and students can be encouraged to keep their studies on a more even track. The focus is on prevention of problems so that last-minute cramming is kept to a minimum.

Finally, the services offered by the company are differentiated from competitors by the quality of Bryan’s teaching. He is fun, energetic, and has a certain stage presence that makes it interesting to attend his tutoring sessions. Moreover, his personalized attention focuses on the specific needs of individual students.

Bryan understands that different people learn in different ways, so classes are taught on various levels. Board displays and other visual aids are employed whenever possible to reach those who learn visually. Explanations are thorough for the audio learners. A training model is employed that gives students a good deal of hands-on time during the session so they can learn by doing. And an analysis of each student helps determine which of these approaches will be the most useful for each individual.

Our advantages

There are no other companies providing specialized and targeted services to the target market. This gives the company an edge that will help it to survive for some time to come. The experience with and knowledge about each of the professors and their courses gives the company an ability to provide specialized services that no one else can compete with on anywhere near the same level. Moreover, the service is further differentiated by the following items:

• Individualized service, based on personalized evaluation of each client and his or her specific needs and strengths. This takes into account the recognition that students learn in various ways, some students learn visually, others orally. Bryan’s Tutoring first evaluates each student and their best way of learning and tailors the tutoring to most effective serve each student.
• The option of one-on-one tutoring or review sessions offered to small groups (enough students so they can learn from each other, but not so many that it becomes confusing and distracting in the session).
• Specialized handouts prepared over several years of tutoring.
• Experience explaining difficult concepts and knowledge of what works best with certain types of students. Sessions can be focussed to better meet the needs of individual students.
• Systematic Analysis Framework (SAF) will be applied to all tutoring. SAF is a system where each student is taught to properly approach any type of problem with a systematic method that provides them with the tools of handling problems with a formal problem solving technique, empowering the student to be able to learn more on their own. This is in contrast with most other tutors who assist the student with specific problems or questions. This is short sighted as it only addresses the difficulty at hand, it does not assist the student with problem solving techniques that provide students with tools to assist them in the future with unforseen problems.

Keys To Success

Keys to success.

• Developing methods of approaching subjects that helps students get their minds around challenging concepts.
• Creating excellent word of mouth promotion of services – clients sell services to other students.
• Truly listening to clients’ needs and diagnosing where their understanding of concepts is breaking down.

Marketing & Sales

Marketing plan.

The real key to this business is staying ahead of the changing student roster. It is important to get out and get seen by all of the incoming students. Testimonials by prior clients are very helpful. A barbecue or party at the beginning of the year would give students a chance to meet and mingle with tutors and get to know who to turn to for help when they feel they need that extra little edge.

The marketing strategy will also incorporate a networking focus where the Bryan’s Tutoring is in close contact with the professors. This allows the company to be quite familiar with the material the various professors are teaching. It also provides the professors with an opportunity to offer referrals to Bryan’s Tutoring for students that need additional assistance that the school cannot provide.

While Bryan’s Tutoring primarily serves Willamette University’s graduate programs, it will also serve the undergraduate departments and other local colleges. Bryan’s Tutoring will place advertisements in the different student newspapers. These advertisements will be effective due to their low cost and targeted readership. Students are the almost exclusive readers of the newspapers so Bryan’s Tutoring receives considerable visibility.

Lastly, upon permission from the various schools, Bryan’s Tutoring will disperse flyers into students mailboxes, communicating to the students the various services Bryan’s Tutoring offers and why it stands out in terms of effectiveness relative to the competition. These flyers will also be posted on various bulletin boards within the student areas.

The bulk of sales come from word of mouth. When new students come into the school, the upperclassmen tell them about the resources available. So past clients provide most of the advertising for the company. Getting seen and getting the word out to new students is always important. One important message to convey is that the tutoring services are not just for slow students who are having a hard time keeping up, but for anyone who wants an edge and to get the most out of their learning experience.

Bryan’s Tutoring will develop and maintain testimonials of past student clients for a sales pitch indicating just how helpful Bryan’s Tutoring has been to the students. Bryan’s Tutoring will periodically offer a free session, typically in the beginning of the school term. The goal of this session is to provide qualified leads with an opportunity to experience Bryan’s Tutoring and view for themselves how effective the service can be. This sales event will be able to convert many possible customers into paying customers, people that possibly would not have even considered a tutoring service, not previously recognizing their own need for such a service. After the free session many "doubters" will be converted into customers.

The sales strategy will also emphasize the ability for students to create private groups for tutoring. By forming a group, the students pay less per person, Bryan’s Tutoring makes more per hour, and it promotes group work, a fundamental educational and real world tool.

Milestones & Metrics

Milestones table, key metrics.

Our Key Metrics are: 

• student grades and achieving goals 
• students tutored
• student retention
• parent satisfaction
• word of mouth
• # of tweets and retweets 
• # of reviews on yelp and google 
• # of facebook views and likes 

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.

Company history

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.

Management team

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 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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Key assumptions.

Our key assumptions are: 

• In this education based society people to get degrees to get ahead. 
• Not everyone learns the same. 
• Different tools help different people ace the tests 

Revenue by Month

Expenses by month, net profit (or loss) by year, use of funds.

The tutoring business will need about $5,000 to start. Costs include gas and transportation to meet with students away from his home and occasional handouts. Bryan has reserved a room in his house and an office/meeting room for his business. Additionally, Bryan incurs Internet service provider fees, and every two years a new computer. 

Sources of Funds

Bryan will use the money he made in his side job to make the tutoring his only source of income. 

Projected Profit and Loss

Projected balance sheet, projected cash flow statement.

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Tutoring Business Plan Template

Written by Dave Lavinsky

Tutoring Business Plan

You’ve come to the right place to create your Tutoring business plan.

We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Tutoring businesses.

Below is a template to help you create each section of your Tutoring business plan.

Executive Summary

Business overview.

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.

Product Offering

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

Customer Focus

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.

Management Team

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

Success Factors

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.

Financial Highlights

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.

Company Overview

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:

Industry Analysis

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.

Customer Analysis

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.

Customer Segmentation

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

Competitive Analysis

Direct and indirect competitors.

LearnWell Tutoring will face competition from other companies with similar business profiles. A description of each competitor company is below.

AceTutors Academy

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

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.

Competitive Advantage

LearnWell Tutoring will be able to offer the following advantages over their competition:

Marketing Plan

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

Promotions Strategy

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.

Print Advertising

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.

Website/SEO Marketing

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.

Operations Plan

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.

Milestones:

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

Financial Plan

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:

Key Assumptions

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

Financial Projections

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. 

Learn more about how to start a successful tutoring business:

• How to Start a Tutoring Business

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 Tutoring 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 for a Tutoring Business

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.

Finish Your Business Plan Today!

How to write a business plan for a tutoring service.

Your business plan should include 10 sections as follows:

Executive Summary

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.

Company Analysis

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.

Industry Analysis

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.

Customer Analysis

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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Competitive Analysis

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.

Marketing 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

Operations Plan

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.

Management Team

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.

Financial Plan

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.

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 an Online Tutoring Business Plan PDF?

You can download our Online Tutoring business plan PDF  here. This is a business plan template you can use in PDF format.

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Click here to see how Growthink’s professional business plan consulting services can create your business plan for you.

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How to Start a Tutoring Business

Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money .

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.

ZenBusiness

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.

How much do you need?

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We’ll start with a brief questionnaire to better understand the unique needs of your business.

Once we uncover your personalized matches, our team will consult you on the process moving forward.

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...

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

Executive summary

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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Tutoring Business Plan Sample

MAY.02, 2018

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’.

Executive Summary

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.

2.2 Management

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 .

2.3 Customers

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:

Company Summary

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

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.

Financial Plan

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.

Download Tutoring Business Plan Sample in pdf

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BUSINESS STRATEGIES

How to start a tutoring business

• Annabelle Amery
• Aug 3, 2023
• 10 min read

Whether you have a passion for teaching, a desire to make a positive impact on students' lives or an expertise in a particular subject, tutoring can be a rewarding and profitable venture. In this guide, we'll take you through everything from creating your own business website to invaluable insights, practical tips and step-by-step guidance to help you turn your passion for education into a thriving tutoring business.

What is a tutoring business?

In the realm of education, tutoring businesses play a crucial role in providing personalized academic instruction and support to students. Whether it's one-on-one sessions or group lessons, these businesses offer tailored guidance to help students thrive in their studies.

The tutoring market has experienced remarkable growth and as the demand for tutoring services keeps rising, driven by factors like the competitive nature of education, standardized testing requirements and the pursuit of academic excellence, there is clearly a need for more tutors. The global private tutoring market size was $98.15 billion in 2021 and is projected to grow to $171.93 billion by 2028, at a CAGR of 15.38% between 2022 and 2027.

This noticeable growth was strongly impulsed by COVID-19, during which virtual learning options became a necessity and more students and parents turned to online tutoring for academic support. This shift highlights the growing significance of tutoring businesses in the educational landscape. Now, more than ever, students are seeking out tutors to receive that extra boost and achieve their learning goals.

As we delve into the world of starting a tutoring business, we'll explore the ins and outs of this thriving industry, providing you with reliable insights and practical tips to embark on your journey and make a meaningful impact on students' lives.

Is a tutoring business a profitable idea?

A tutoring business can be profitable as far as online business ideas go, but success depends on factors such as your expertise, the demand for tutoring services in your area, the subjects you offer, your marketing efforts and your ability to provide high-quality instruction. Here are some considerations to keep in mind when evaluating the profitability of a tutoring business:

Expertise and qualifications: Your expertise in the subjects you offer and your ability to effectively teach and communicate concepts are crucial for attracting and retaining students.

Demand for tutoring: Assess the demand for tutoring services in your area. Subjects like math, science, languages and standardized test preparation often have a strong demand.

Niche specialization: Offering tutoring in specialized or in-demand areas (such as SAT/ACT prep, coding, or specific subjects) can allow you to command higher rates.

Pricing strategy: Set competitive pricing based on the market rates for tutoring services in your area. Consider factors like your qualifications, experience and the level of instruction you're providing.

Make sure to take all your expenses into account to calculate your potential net profit .

Starting a tutoring business requires careful planning and execution to ensure long-term success and profitability. By following these steps, you can establish a solid foundation for your tutoring business:

Create a viable business plan

Select the right business structure

Obtain financing or capital

Set up accounting and bookkeeping systems

Choose an appropriate location

Source necessary equipment

Registering and licensing

01. Create a viable business plan

Developing a comprehensive business plan is essential for mapping out your tutoring business's goals, strategies, target market and financial projections. It should include how to name a business , market research, marketing plans, competitive analysis and operational details. A well-crafted tutoring business plan will guide your decisions and attract potential investors or lenders. If you’re struggling to find a name for your business you could always use a business name generator to give you some catchy ideas.

Once you've written your business plan, write a concept statement to outline your vision.

02. Select the right business structure

Choosing the appropriate business entity and structure is crucial for legal and operational purposes. Common options include sole proprietorship , partnership , limited liability company (LLC) or corporation . Each structure has different legal requirements, tax implications and personal liability considerations. Consult with a business attorney or accountant to determine the best fit for your tutoring business.

03. Obtain financing or capital

If you want to raise money for your business , there are a few financing options to consider, such as bootstrapping from personal savings, loans, grants or seeking investors. Small business loans from banks or credit unions, microfinance , micro loans from nonprofit organizations or government-backed loans can be viable options. Prepare a detailed financial plan and documentation to present to potential lenders or investors.

04. Set up accounting and bookkeeping systems

Implementing efficient accounting and bookkeeping systems is crucial for managing finances, tracking income and operating expenses and ensuring compliance with tax regulations. Consider using accounting software or hiring a professional bookkeeper to maintain accurate records and facilitate financial analysis.

05. Choose an appropriate location

The location of your tutoring business can significantly impact its success. Evaluate factors such as accessibility, proximity to schools or residential areas, competition and potential target market. If you plan to provide in-person tutoring, consider a location that offers a conducive learning environment and ample parking.

06. Source necessary equipment

Equipment requirements for a tutoring business may vary depending on your specific services and delivery methods. Common items may include computers, printers, educational materials, whiteboards, seating and storage solutions. Determine the essential equipment needed and research suppliers to estimate costs.

07. Registering and licensing

If you plan to open a tutoring business in the U.S., you must comply with state and local regulations. Here are specific licensing and insurance requirements to consider:

Business license: Register your business with the Secretary of State and obtain a business license from the city or county where you operate.

Tutoring license: If you offer specialized services or employ certified teachers, ensure compliance with applicable professional requirements.

Insurance: Obtain liability insurance to protect your tutoring business from potential claims or accidents. General liability insurance and professional liability (errors and omissions) insurance are commonly recommended for tutoring businesses.

Remember to consult legal and financial professionals to navigate the specific regulations and requirements in your area.

Thinking of starting another type of business? Check out some of these creative service business ideas  to help get you started.

Managing a tutoring business: what to keep in mind

Operating and managing a tutoring business effectively requires careful planning, efficient systems and a focus on delivering quality educational services. Here are five steps to help you navigate this process:

Establishing systems for inventory and supplies: While tutoring businesses may not require extensive inventory management, it's essential to have organized systems for educational materials, resources and supplies. Some examples of supplies for a tutoring business include textbooks, workbooks, writing materials, teaching aids, laptops or tablets, projectors and reference books. Set up an inventory tracking system to monitor and restock supplies as needed.

Utilizing technology for efficiency: Incorporating technology into your tutoring business can streamline operations and enhance efficiency. Utilize online scheduling systems to manage appointments, digital platforms for communication and file sharing with students and parents and educational software or online resources for lesson planning and delivery. Additionally, consider implementing an online payment processing system or using apps to simplify billing and invoicing processes.

Developing processes for quality assurance: To ensure the quality of your tutoring services, establish processes for assessing student progress, gathering feedback and continuously improving your teaching methods. Regularly evaluate student performance through assessments, progress reports and parent-teacher conferences. Encourage open communication with students and parents to address any concerns or challenges promptly.

Training employees on proper procedures: If you have employees or tutors working in your tutoring business, it's crucial to provide comprehensive training on your specific procedures and expectations. Train them on lesson planning, teaching techniques, communication with students and parents and maintaining a positive learning environment. Foster a culture of professional development by encouraging ongoing training and sharing best practices among your team.

Common pitfalls to avoid making

Managing a tutoring business can come with various challenges. Here are three common pitfalls to avoid:

Inadequate marketing: Failure to develop a solid marketing strategy can hinder the growth of your tutoring business. Invest time and resources in building brand awareness, establishing a strong online presence and targeting your ideal customer base through effective marketing channels.

Overextending yourself: Taking on too many students or offering a wide range of subjects without proper planning and resources can lead to burnout and compromise the quality of your services. Assess your capacity and set realistic goals to ensure that you can meet the needs of your students effectively.

Lack of communication : Communication breakdowns with students, parents or staff can negatively impact the reputation and success of your tutoring business. Establish clear communication channels, promptly address inquiries or concerns and maintain open lines of communication with all stakeholders involved.

Promoting your tutoring business: essential tips

Promoting a tutoring business is crucial for attracting students and building a strong customer base. You’ll want to start promoting once you’re happy with your brand, including your business’s name, look and logo. If you need help with the logo, you could always use a free logo maker or check out these tech logo ideas for inspiration to give to a designer. Once you’ve created a strong brand identity you’re ready to start promoting. Here are five tips to effectively promote your tutoring business:

Network to build your customer base: Networking plays a vital role in expanding your tutoring business. Connect with local schools, educational organizations and community centers to establish partnerships and referral programs. Attend education-related events, such as parent-teacher meetings or educational conferences, to network with parents, teachers and potential students. Building relationships with these stakeholders can lead to valuable word-of-mouth referrals.

Invest in marketing strategies: Develop a comprehensive marketing strategy to raise awareness of your tutoring services. Utilize both online and offline advertising channels to reach your target audience. Examples of online advertising include creating targeted ads on platforms like Google Ads or Facebook Ads, optimizing your website for search engines and leveraging social media platforms to engage with potential customers. Offline advertising can involve distributing flyers or brochures in local schools or community centers, placing ads in local newspapers or magazines or even partnering with complementary businesses to cross-promote services.

Attend industry events: While attending coffee and food and beverage industry events may not directly relate to tutoring, it's important to participate in educational events or workshops where you can network with other professionals in the field. These events provide opportunities to meet potential partners, gain industry insights and collaborate with other businesses that share a similar target audience.

Build a professional website: Making a website is essential for running and marketing your tutoring business. A well-designed website acts as a central hub for information about your services, tutors, testimonials and contact details. Use a website builder like Wix to easily build and customize your site without requiring extensive technical knowledge. Ensure your website is user-friendly, mobile-responsive and optimized for search engines to attract organic traffic.

Utilize social media platforms: Social media platforms offer a powerful tool for building a community around your tutoring business and engaging with your target audience. Consider using platforms like Facebook, Instagram or LinkedIn to share educational content, student success stories and helpful tips for parents and students. Run targeted ad campaigns to reach potential customers based on demographics, interests or location. Encourage engagement by organizing contests, offering exclusive promotions or hosting live Q&A sessions. For example, on Facebook, you can create a Facebook page for your tutoring business and share posts about educational resources, study tips and updates about your services. You can also run targeted Facebook ads to reach parents or students in your local area.

Tutoring businesses on Wix

Looking for some inspiration? Check out these tutoring businesses who've built their sites on Wix.

Astute Tutors

Astute Tutors encourages its students to “think insightfully” and offers one-to-one tutoring in a wide range of subjects: language, mathematics, chemistry and beyond. Site visitors are encouraged to reach out with any questions and to schedule their first tutoring session.

St. George Tutoring

St. George Tutoring offers free tutoring and course guides, made especially for those impacted by the COVID-19 pandemic. “During the COVID-19 outbreak, many students have been left to fend for themselves in online classes,” states its homepage. “St. George Tutoring's mission is to provide students with the extra support they need through free, accessible tutoring.”

It’s Tutoring Time

It’s Tutoring Time caters to students from kindergarten through 12th grade, as well as adults. Its mission is not only to get students test-ready, but to also instill confidence and appreciation for the topics they study.

For more inspiration, you can check out these service business examples to help you get your creative juices flowing.

Benefits of starting a tutoring business

There are many benefits for those who want to start a business in tutoring, be it private or online. Here are some of the most significant ones:

Be your own boss: As a tutoring business owner, you have the freedom to set your own schedule, choose the subjects you want to teach and determine your rates. This autonomy allows you to work on your terms and pursue your teaching approach.

Create a supplemental income: Tutoring can be a lucrative venture, providing you with a flexible way to generate additional income. With the demand for academic support growing, you can leverage your expertise and knowledge to help students while earning a profit.

Make a difference: Running a tutoring business allows you to have a direct impact on students' academic progress and personal development. By providing individualized attention, tailored lessons and ongoing support, you can contribute to their success and help them reach their full potential.

Flexible work-life balance: Tutoring offers flexibility in terms of work hours and location. You can choose to conduct sessions in-person or online, enabling you to adapt your schedule to personal commitments and maintain a healthy work-life balance.

Personal fulfillment: Witnessing your students' progress, seeing their confidence grow and knowing that you played a part in their academic achievements can be incredibly fulfilling and gratifying.

Challenges of starting a tutoring business

As with any new business ventures, it's worth understanding the challenges of this specific line of work:

Finding clients: Attracting and retaining students can be a challenge, especially in a competitive market. Establishing a strong marketing strategy and building a positive reputation are crucial for attracting a steady stream of clients.

Setting competitive rates: Determining appropriate pricing for your services can be tricky. It requires balancing market rates, your qualifications, experience and the local demand for tutoring services.

Adapting to different learning needs: Each student has unique learning styles, preferences and challenges. Adapting your teaching methods and approaches to cater to diverse student needs can be demanding but essential for effective tutoring.

Managing time and resources: Balancing multiple students, scheduling sessions, tracking progress and managing administrative tasks can be time-consuming. Efficient time management and organizational skills are essential for running a successful tutoring business.

Starting a business in a specific state

If you're eager to launch your tutoring business in a particular state, check out these resources to make sure you navigate the waters of state-specific regulations with care and get all the essential information tailored to your specific location.

Start a business in South Carolina

Start a business in Pennsylvania

Start a business in Oregon

Start a business in Georgia

Start a business in Wisconsin

Start a business in California

Exploring other business types ? Check out these how-to guides:

How to start an online business

How to start a service business

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How to start a fitness clothing line

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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:

Executive Summary

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.

Company Description

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.

Industry Analysis

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.

Customer Analysis

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.

Competitive Analysis

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

Marketing Plan

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.

Operations Plan

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.

Management Team

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.

Financial Plan

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:

Income Statement

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

Balance sheet.

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.  

Finish Your Tutoring Business Plan in 1 Day!

Start Your Tutoring Business Plan Using SWOT Analysis

November 25, 2020 Driving Schools , General , Language Schools , Management , Marketing , Music Schools & Studios , Tutoring & Test Preparation

A plan is required for business growth, and you’ll need a clearly defined business plan whether you own a successful tutoring business, or you’re planning to start a new business from scratch. A good place to start with any tutoring business plan is performing a SWOT analysis, which will help you get a perspective on your business and the market it exists in.

Why Your Tutoring Business Needs a Plan

A tutoring business plan is important to have regardless of your business’ current or past success. It’s equally important to have a business plan whether your business is brand new or many years old.

You need a tutoring business plan because your business needs a method of setting and reaching its goals. Goals are essential because they provide your business with direction. If goals are your destination, your plan is the directions you follow to get there.

It can be challenging to create a business plan, which is why we’re going to discuss a classic method of getting started: a SWOT analysis. SWOT stands for Strengths, Weakness, Opportunities, and Threats. Below we discuss each of these areas and some questions you can ask yourself when analyzing your teaching business. You can then use the results as a jumping off point for developing a more detailed tutoring business plan.

The first part of your SWOT analysis will be figuring out the areas in which your education business stands out . This part of your analysis is dedicated to analyzing your business and its assets, as well as anything that makes your business unique in your market.

Some examples of strengths that you can highlight are quality of tutors, services, facilities, teaching methods/philosophy, competitive pricing, etc.

Try asking yourself some of these questions if you need some help figuring out what your business’ strengths are:

• What does my business do better than others?
• Why would customers choose my business over my competitors?
• What compliments do customers frequently give my business (ask your customers for feedback if you don’t know)?
• What are the unique aspects of my business that I can use as a foundation for future growth?

Make a list of your business’ strengths. These are the areas of your business that you can be confident will contribute to growth, or remain stable during challenging periods.

Next, you’ll want to make a list of your business’ weaknesses. It’s important to be honest during this analysis. Weaknesses that are accounted for can be fixed, but if you intentionally ignore weaknesses they’ll just end up hurting you more later.

Ask yourself which parts of your business could be improved – do you need to create standardized lesson plans? Perhaps you need to improve your business’ marketing strategy, or spend more time building relationships with customers. This area should also include anything that might be perceived as a weakness by outsiders, especially customers and prospective customers.

If you’re in the process of starting your tutoring business you can modify these questions so they’re focused more on your areas of expected weakness. Think about the areas of operating your tutoring business that you may not have much experience with. What areas can you personally improve upon that will make your business stronger?

Make another list with all of your business’ weakness. Don’t worry if it seems long. That just means there is more room for improvement.

Opportunities

The next part of your SWOT analysis will be to highlight any opportunities that are currently or soon-to-be available to your business.

Some questions you can ask yourself include:

• What opportunities are currently available in my market? Are any opportunities coming up soon?
• Do any of my strengths present opportunities for growth? Will correcting any of the listed weaknesses create new opportunities for my business?
• Are there any new trends developing regarding tutoring or the services that I offer that I can take advantage of?

Try and find 2-3 key opportunities that could be impactful for your business if you capitalize on them. Examples of opportunities include hiring more qualified tutors, expanding into online services, or adding group lessons to your service list. The opportunities you identify in this stage will help you set future goals that your business can strive to reach.

The final part of your SWOT analysis includes evaluating any threats your business is facing. Threats can be anything that has the potential to negatively impact your business in the future, or anything that is impacting your business right now.

Some useful strategies for brainstorming potential threats are to look at ongoing trends in your tutoring business’ market and the activity of your competition. You can also evaluate each of the weaknesses you’ve previously listed to check if any of them have the potential to develop into threats to your business’ stability. Another good idea is to evaluate each of your strengths to see if your competitors can do anything to negate them.

Once you start developing a more detailed business plan for your tutoring business you’ll want to make sure that you have options for dealing with each threat listed on your list. That can include creating contingency plans, taking proactive steps to minimize threats, and further developing your business’ strengths so your business is no longer vulnerable to the threats on your list.

Using Your SWOT Analysis to Develop a Tutoring Business Plan

Once completed your SWOT analysis is an excellent jumping off point for creating a more in-depth business plan. You and your team can take the high-level brainstorming you’ve done and use it to create actionable goals, plans, and strategies that are designed to improve your business.

You can also perform a SWOT analysis for each of your competitors to try and get a more detailed perspective on their strengths, weaknesses, opportunities, and threats. You can then use that information to help develop your own plans, design marketing content of your own, and find untapped markets to which you can market your tutoring services.

Improve Your Business With Teachworks

Teachworks offers tutor management software that is optimized to streamline and automate the administrative functions of your tutoring business. If you don’t yet have an account and would like to learn more, you can visit our website for more information .

You can also click the button below to get started with your Free 3 Week Trial of the software so you can start optimizing your business today!

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Tutoring Business Plan Template [Updated 2024]

Tutoring Business Plan Template

If you want to start a Tutoring business or expand your current Tutoring business, you need a business plan.

The following Tutoring business plan template gives you the key elements to include in a winning Tutoring Company business plan.

You can download our Business Plan Template (including a full, customizable financial model) to your computer here.

Below are links to each of the key sections of a Tutoring business plan example: 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

Click below to see each section of our free tutoring business plan template. You can also click here to get our tutoring business plan pdf.

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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

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The Operational Services Division Does Not Have a Business Continuity Plan or a Disaster Recovery Plan.

Table of contents.

OSD does not have a business continuity plan or a disaster recovery plan to ensure the continuity of operations in the case of an interruption or disaster.

Without a business continuity plan or disaster recovery plan, OSD cannot ensure that it has established procedures for the continuation of critical business processes in the event of any organizational or information technology infrastructure failure. An interruption or disaster may result in lost or incorrectly processed data, creating financial losses, expensive recovery effects, and inaccurate or incomplete data. Additionally, if OSD is inoperable, statewide procurement may cease.

Authoritative Guidance

EOTSS’s Business Continuity and Disaster Recovery Standard IS.005 states,

             6.1.1.4  Develop business continuity plans (BCP): Each agency shall develop BCPs for critical business processes based on prioritization of likely disruptive events in light of their probability, severity and consequences for information security identified through the [Business Impact Analysis] and risk assessment processes. . . . 6.2.1     Commonwealth Executive Offices and Agencies must develop and maintain processes for disaster recovery plans at both onsite primary Commonwealth locations and at alternate offsite locations. [Disaster recovery] plans shall include step-by-step emergency procedures.

Reasons for Issue

OSD management was unaware that they should develop and maintain business continuity and disaster recovery plans separate from the Executive Office for Administration and Finance’s plan and EOTSS policies, procedures, and standards.

Recommendations

1.    OSD should develop, document, and test a business continuity plan.

2.    OSD should develop, document, and test a disaster recovery plan for both onsite and offsite recovery locations.

Auditee’s Response

OSD acknowledges that it did not have a written plan that was fully compliant with EOTSS’s Business Continuity and Disaster Recovery Standard IS.005. OSD did have an obsolete plan that has been reviewed and updated to comply with the EOTSS standards since the audit took place. OSD will make a copy available to the audit team upon request. OSD would like to note that it has always had procedures and systems in place to ensure that its operations continue in the case of infrastructure failures or disaster. OSD has demonstrated the ability to maintain operations during challenging circumstances. For example, OSD core functions continued with little to no disruption during the transition to remote work during the COVID-19 emergency. OSD also monitors the COMMBUYS website/application and is in constant communication with the vendor that maintains that system to ensure that it remains functioning and accessible to the user community.

Auditor’s Reply

Based on its response, OSD has taken measures to address our concerns on this matter.

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Emergency preparedness plans for businesses should Include financial records

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IRS Tax Tip 2024-44, May 3, 2024

When business owners put together an emergency preparedness plan, it should include copies of vital records and financial information.

Here are some things everyone can do to help protect their financial records.

Update emergency preparedness plan annually

Personal and business situations are constantly evolving, so taxpayers should review their emergency preparedness plan annually. The U.S. Department of Homeland Security's Ready.gov website has resources and checklists to help people put together their emergency preparedness plan.

Create electronic copies of documents

Taxpayers should keep important documents in a safe place. This includes bank statements, tax returns and insurance policies. This is especially easy now since many financial institutions provide statements and documents electronically. If original documents are available only on paper, taxpayers can use a scanner and save them on a USB flash drive or in the cloud.

Document valuables

Documenting valuables by taking pictures or videoing them before disaster strikes makes it easier to claim insurance and tax benefits. IRS.gov has a disaster loss workbook that can help taxpayers compile a room-by-room list of belongings.

Tax relief available for disaster situations

Information on Disaster Assistance and Emergency Relief for Individuals and Businesses is available at IRS.gov. Taxpayers should also review Publication 547, Casualties, Disasters and Thefts .

Taxpayers who live in a federally declared disaster area can visit Around the Nation on IRS.gov and click on their state to review the available disaster tax relief. Those who live in counties qualifying for disaster relief receive automatic filing and payment postponements for many currently due tax returns and don't need to contact the agency to get relief.

People with disaster-related questions can call the IRS Special Services Hotline at 866-562-5227 to speak with an IRS specialist trained to handle disaster issues.

If people have lost their tax documents, they can order tax transcripts or request copies of previously filed tax returns and attachments through Get Transcript on IRS.gov, by filing Form 4506, Request for Copy of Tax Return or by calling 800-908-9946 .

More information:

• Publication 584-B, Business Casualty, Disaster, and Theft Loss Workbook

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Biden's new student-loan forgiveness plan just began its 30-day public comment period — and anyone can tell the administration what they think of the relief

• The public now has 30 days to comment on Biden's new student-loan forgiveness plan.
• It's the next step in implementing a broader version of debt relief for borrowers.
• The proposals include relief for those with unpaid interest, along with those in repayment for 20 years.

The public has one month to tell President Joe Biden what they think of his new student-loan forgiveness plan .

After announcing details of Biden's second attempt at student-debt relief last week, the Education Department formally published the draft text of the new rules on the Federal Register on Wednesday. The publication of the rules officially kicked off the 30-day public comment, set to end on May 17. Comments can be submitted to the Federal Register here , which the Education Department will then review.

The draft text currently consists of nine rules "that permit separate and distinct types of waivers using the Secretary of Education's longstanding authority under the Higher Education Act," the Education Department said in a Tuesday press release.

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The rules address distinct types of borrowers that would qualify for relief under this new plan: those whose balances have grown due to unpaid interest, those who would be eligible for relief under certain repayment plans but have not yet enrolled, those who have been in repayment for at least 20 years, and those who have attended programs that left them with too much debt compared to post-graduation earnings.

The Education Department also said a separate rule to address relief for borrowers experiencing financial hardship will be released in the coming months.

"These historic steps reflect President Biden's determination that we cannot allow student debt to leave students worse off than before they went to college," Undersecretary of Education James Kvaal said in a Tuesday statement. "The President directed us to complete these programs as quickly as possible, and we are going to do just that."

The department aims to begin implementing relief as early as this fall. Still, as Business Insider previously reported , legal threats to the relief could imperil the department's timeline. While lawsuits have yet to be formally filed against Biden's administration, Missouri's Attorney General Andrew Bailey wrote on X in response to Biden's relief proposals: "See you in court."

And some experts said a conservative Supreme Court could likely rule like they did with Biden's first debt relief plan, striking it down .

"The administration is certainly still facing a very skeptical Supreme Court," Cary Coglianese, an administrative law professor at the University of Pennsylvania, told BI. "Even though it's a different statute, it's still a skeptical Supreme Court. It's still a pretty big program even though it's a smaller one."

Following the public comment period, the Education Department will review comments and could choose to adjust their proposals based on the feedback they receive. It will then finalize the rule and move toward implementation.

Watch: Why student loans aren't canceled, and what Biden's going to do about it

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ByteDance Denies Media Report of Plan to Sell TikTok

FILE PHOTO: A view shows the office of TikTok in Culver City, California, March 13, 2024. REUTERS/Mike Blake/File Photo

BEIJING (Reuters) - ByteDance has no plan to sell TikTok, the company's official account said in a statement posted on Toutiao, a media platform owned by the China-based firm.

The Information earlier reported that ByteDance is exploring scenarios for selling TikTok's U.S. business without the algorithm that recommends videos to TikTok users.

U.S. President Joe Biden on Wednesday signed into law a bill that bans TikTok in the country if its owner, ByteDance, fails to divest the popular short video app over the next nine months to a year.

(Reporting by Ethan Wang, Ella Cao and Ryan Woo)

Copyright 2024 Thomson Reuters .

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