The capacity of the market for educational and developmental services is 853.6 billion rubles. At the same time, the share of additional and preschool children's education accounts for about 54% of the amount. The segment is actively developing. The lack of budgetary institutions and the desire to give their children the best force parents to turn to private organizations. Today there are over 2,000 private children's clubs and kindergartens in the Russian Federation. Their number continues to grow. The service remains in high demand. You can make good money by opening a children's club. However, approach the launch of your business carefully. It is important to take into account all the nuances of opening an organization.
1. Prospects for the development of the field of additional education for children 2. Description of the industry and services 3. How to open a children's club 4. What documents to fill out 5. Requirements for the premises 6. Necessary personnel 7. Organizational plan of the children's center 8. Selection of equipment 9. Advertising and sale of services 10. Profitability and payback 11. Possible risks 12. Conclusion
Prospects for the development of the field of additional education for children
Children's centers remain one of the most promising types of business. Parents use the organization’s services to achieve the following goals:
- preparation for school;
- learning foreign languages;
- music training;
- development of artistic skills;
- observation by a psychologist;
- for the overall development of the child.
The industry is actively developing. Parents use the services of private organizations if for some reason they are unable to get a place in a public educational institution. Children's clubs provide leisure and child development.
Experts predict that the number of organizations will continue to grow. The development of the industry was observed even during the crisis. This is due to the following reasons:
- the state is taking measures to improve the demographic situation, and the birth rate is increasing;
- There are few budget places, and getting into municipal kindergartens is problematic;
- parents strive to give their child the best.
Children's development centers do not compete with kindergartens. The industries complement each other. The fact is that organizations are radically different. When sending a child to a children's development center, parents themselves choose the form of visit. Temporary stay or stay in the organization throughout the day is acceptable. Development centers use modern techniques. As a result, the child perceives and assimilates the material better. The work is carried out by teachers with higher education. An individual approach is applied to each child. Organizations offer a variety of activities. Parents themselves decide which club their child will attend.
Relevance of the investment project
Your main goal is to open a children's development club to provide the population with a list of services in the segment of additional education for children under 7 years of age. The main source of income for the enterprise will be payment for attending classes.
Why is this type of business relevant? Several factors have an impact:
- the focus of government policy on increasing the birth rate;
- stable increase in the birth rate among the population;
- significant popularization of preschool education;
- government support for business;
- social significance of the activity.
All the reasons listed above make the investment project attractive for investment. In addition, with positive implementation of the project, it is possible to quickly achieve a high level of profitability and a quick return on the initial investment.
Potential clients of the child development center will be a variety of consumer categories. First of all, these are parents who are interested in the development of their children. These are mainly parents of preschool children: from 3 to 7 years old. The advantage of the children's club will be the availability of programs for different age groups, as well as the middle price segment. You will be able to reach the widest audience.
The main task of such a preschool institution as a children's club is to help each child develop the necessary skills, personal qualities and talents - in the future they will make him successful. When creating a business plan for a children's development club, you need to immediately understand in which direction you will move. That is, you must immediately determine the list of services provided. Below is an approximate list of courses offered by the preschool:
- early development for children from 2 to 4 years old;
- preparation for school for children from 4 to 7 years old;
- learning a foreign language for children from 4 to 7 years old;
- development of various creative skills for children from 3 to 7 years old.
The success of a preschool educational institution will primarily depend on the teachers working in it. When hiring, it is very important to pay attention not only to the level of qualifications of teachers, but also to how a person can win over children. Very often, young graduates of pedagogical universities turn out to be very good teachers who can find an approach to both children and their parents. Another advantage of such specialists is that they do not inflate prices for their services.
If you want a children's development center to be in great demand, it is very important to choose a room with a convenient location. Another significant point is a comfortable class schedule. In the first half of the day, classes will be held for the younger age group. They will be carried out before lunch and afternoon nap. Older children can come to study in the afternoon, after visiting kindergarten. To ensure that the period from lunch to evening hours does not fall out of your schedule, you can organize individual classes at the center.
Description of the industry and services
Children's development clubs provide classes for preschool children. The organization is engaged in the development and development of specific skills in a child, helping to gain knowledge that will later be useful when entering school. Typically centers have several directions. As a result, the organization's client base expands significantly. There are several types of development centers:
- Leisure. The organization operates on the same principle as clubs or sections. Such centers are usually visited for general development. Children who go to such institutions do not attend kindergartens. They are raised independently by their parents. The business model requires strict requirements for teachers and the learning process.
- Educational. The purpose of the work of children's centers coincides with the nuances of the functioning of government institutions. However, groups in organizations are much smaller. There are no more than 10 people per teacher. As a result, the teacher works more with each child individually, assesses his abilities and devotes a lot of time.
- Professional. The centers are focused on in-depth study of any subject. Classes are organized and conducted accordingly. Typically such centers are multidisciplinary. Foreign languages, music, physical education, etc. are taught here. All teachers have specialized education and are professionals in their field.
Additionally, centers are divided by visiting time. There are evening or full-day organizations. In the first case, the so-called circle-sectional format is used. Parents bring their child to the center for 1-2 hours in the evening. In the second case, children remain in the center for a longer period of time. However, it does not exceed 4-5 hours. During this time, they conduct up to 3 lessons, feed the child and play with him. The method is convenient for mothers who work part-time or need a few hours of free time to resolve personal issues and do housework. Typically, centers use a complex type of work.
Finance
In each specific case, start-up costs will be different.
But if we look at the averages, we can summarize the main cost items as follows:
Expense item | Amount, rub. |
Registration of individual entrepreneur (without intermediaries) | 800 |
Rent of premises for the first month | 50 thousand |
Repair, purchase of furniture, equipment and appliances | 100 000 |
Purchase of teaching aids, consumables | 25 thousand |
Advertising campaign, website creation | 60 thousand |
Thus, already at the start, taking into account additional expenses, to open a business you will need from 250 to 300 thousand rubles (4 - 4.9 thousand dollars).
This list does not include expenses that will be relevant after the opening of the center. So, in addition to the monthly rent of premises, you will have to pay utilities (about 15 thousand rubles), pay for staff (with a staff of 10 people - within 300 thousand rubles), update and improve teaching materials (approximately 35 thousand monthly). In order for the business to generate more income, it is imperative to constantly engage in an advertising campaign and website development, which requires about 25 thousand rubles monthly. According to preliminary calculations, you will have to spend from 400 thousand rubles (approximately $6,500) on current expenses every month.
Resolution of the Chief State Sanitary Doctor of the Russian Federation
After calculating all the expense items, it is worth making a forecast of the income that the children's center will bring at the initial stage and after a few months. To make such calculations, you need to draw up a specific work plan for the company, think about the number of working hours, employees and students. Including, having worked 120 hours in groups of approximately 9 people and costing 250 rubles per hour, you can receive an income of 540 thousand rubles. At the same time, by subtracting tax deductions and other monthly expenses from this amount, you can get a net income of 113 thousand rubles. Thus, it turns out that the profitability of a business of this scale will be about 21%, and the expected payback period is 1 - 2 months. The specific period during which the company will be able to recoup all costs and begin to generate a stable profit depends on the level of attendance at the development center, the literacy of the marketing campaign, the cost of rent and some other factors.
On video: Tips for aspiring businessmen in the field of children's business
Negative factors that can slow down the development of an enterprise and reduce its income can be the following:
incorrectly chosen territorial location;- insufficiently qualified or responsible personnel;
- changes in legislation that may lead to stricter registration and licensing rules.
All these features need to be included in the business plan, taking into account possible risks and thinking through options for resolving them.
Resolution on licensing of educational activities
How to open a children's club
To ensure that the opening of a children's club or center goes smoothly, adhere to the following scheme:
- Study the market and choose the appropriate organization model. Pay special attention to offers from other companies and conduct a consumer survey.
- Draw up a business plan for a children's development center with calculations. In the document, provide as much detail as possible about the specifics of starting a business. Determine the possible profitability and payback period.
- Deal with organizational and legal issues. To do this, select the appropriate form of activity and register the company by contacting the Federal Tax Service.
- Select and rent a room. Consider the location of the property. The building must comply with SES requirements and fire safety standards.
- Hire staff. Its list depends on the list of services provided and the form of the children's educational center.
- Purchase equipment and teaching aids.
- Obtain the necessary permissions.
A careful approach to starting a business will make opening a children's club easier.
Features of personnel selection
Another important point on where to start opening a children's development center is the selection of qualified personnel. In order for the right atmosphere to reign in your establishment, it is necessary to hire nannies and educators who really love their work, have some experience in their profession, and have not only theoretical, but also practical knowledge. Be sure to check the references of applicants for vacant positions and their portfolio of achievements. We recommend recruiting the following specialists:
- Psychologist;
- Speech therapist;
- Teachers of early childhood development;
- Teachers preparing children for school;
- Choreographer;
- Vocal and music teachers;
- Acting teacher;
- Fine arts teacher;
- Educators;
- Accountant;
- Administrator;
- Health worker.
What documents should I submit?
To operate officially, register your business. To do this, prepare a package of documents and contact the authorized body. First of all, you need to choose a suitable organizational and legal form. Registration as an individual entrepreneur or creation of an LLC is suitable. Becoming an individual entrepreneur is easier. All you have to do is fill out an application and pay a state fee of 800 rubles. Select OKVED codes. Suitable:
- 85.11 - preschool education;
- 85. 12 - general primary education;
- 85.41 - additional education for parents and children;
- 92.51 - organization of club-type institutions;
- 93.05 - personal services.
Choose a suitable tax system. UTII or simplified tax system is suitable.
Resolve the issue with the license. The need for a document is present if the name of the center contains the words “training” and “educational”. If you conduct one-time classes without carrying out final certification and without issuing educational documents, you do not need to undergo licensing. If a document is required, collect the following papers:
- completed application;
- constituent documentation;
- permission from the SES and fire service;
- documents for employees of the organization;
- title papers or lease document.
The list changes depending on the personal characteristics of the situation.
Develop an agreement that you will conclude with parents and staff.
Stages of creating a training center
If we briefly describe the process of creating a center for conducting training and professional courses, we can name several main stages:
- — drawing up a strategy for future activities and developing a plan;
- — obtaining a certificate of an individual entrepreneur or establishing an LLC;
- — rent of premises;
- — purchase of equipment, machinery and consumables;
- — drawing up a work schedule for the center;
- — search and recruitment of personnel;
- - advertising campaign;
- — recruitment of clients into groups;
- — start of trainings according to the schedule.
You can consider each stage in more detail, taking into account the terms and conditions of implementation, using the following systematization:
Stages | Execution conditions | Deadlines |
Launch of the project | 1 – 2 year | |
Signing an investment agreement | 1 month | First 30 banking days |
Obtaining loans for business development | Preparation and submission of the required package of documents | 1 month |
Entry into the state register, registration with the tax authority | Conclusion of an investment agreement | From 1 to 30 calendar days |
Selecting a location, preparing documents for the premises | Carrying out preliminary work | 1 month |
Purchasing specialized equipment | Availability of an investment agreement | Up to 30 calendar days |
Equipment installation | Obtaining investment funds for project development | Up to 30 calendar days |
Recruitment | Start of main activity | Up to 30 calendar days |
Training | Completion of the process of organizing the company's activities | Up to 30 days |
Marketing campaign, promotion and advertising work | 30 calendar days | Up to 360 calendar days |
End of the project | 12 – 24 months |
On video: How to open a training center?
Premises requirements
Opening a children's development center is impossible without suitable premises. The main thing is that all communications are present in it, and there are no rodents or parasites. The area depends on the number of children and the list of services provided. Usually you need 80 - 120 sq. m. Place a children's development center in residential areas or in the city center. The presence of nearby sports facilities and kindergartens will be a plus. The classic children's center includes the following premises:
- reception area for visitors;
- a game room where classes are held;
- toilet;
- bedroom, if the organization provides full-time services;
- specialists' offices.
Renovate and sterilize the children's center. Create a bright, colorful interior.
Basements and semi-basements are not suitable. The SES will not allow work to be carried out. Parents won't be happy either. Choose a building with large windows and high ceilings. They look great.
Comply with SanPin requirements. Only non-residential premises allocated as a separate block are suitable for work. Make sure it has at least two exits. The height of the ceilings cannot be less than 3 m. Whitewash the ceilings or coat them with emulsion paint. Create children's locker rooms with lockers or hangers. Organize daily wet cleaning, which includes washing floors and walls. Place outlets no lower than 1.8 m from the floor. Check the presence of sewerage and ventilation. Pay attention to the floors. It is important that they are smooth and not slippery. The presence of cracks and defects is unacceptable.
Competitor analysis
Before planning to open a children's development center, you need to assume the number of children who can come to you. To do this, it is very important to analyze the number of other institutions for preschoolers that are located nearby. It is best to choose a location where there are no direct competitors.
Competitor analysis should be conducted throughout the city. It is best to do this before you start choosing a room. A detailed study of the market will help you decide on the most profitable locations, as well as the concept of the establishment.
Conduct analytics, paying attention to those parameters that are most important to the end consumer:
- locations;
- types and effectiveness of advertising campaign;
- area, number of rooms, number of children the center is ready to accept;
- list of programs and classes included in them;
- price range;
- qualifications of employees.
Comparative analytics of other institutions allows you to see the shortcomings in their work, as well as the advantages that are worth focusing on when opening your own center. Among the competitive advantages that your establishment may have are the following:
- Highly qualified personnel.
- Wide range of programs and activities.
- Convenient location, constant availability of nearby parking spaces.
- Individual approach to each child.
- Conduct of the promotion in the form of free master classes.
- Organizing leisure time for children, including holding various events, such as birthdays.
- Availability of discounts, flexible pricing system.
The most important competitive advantage that will appear only over time is a favorable business reputation. It is this factor that will allow parents to independently recommend your center to their acquaintances and friends.
Required Personnel
For a company to start operating, staff are needed. The minimum list of employees is as follows:
- reception worker;
- 2 - 3 teachers depending on the program;
- 4 - 5 teachers;
- cleaning woman;
- cook;
- 2 assistant cooks;
- medical worker.
Check that staff have medical records. Experience and education requirements depend on the position for which candidates are applying. If children are in the center for less than 3 hours, nannies and cooks are not needed. When an organization positions itself as a replacement for a kindergarten with additional development, it cannot do without the above specialists. Agree on payment with your employees in advance. It is acceptable to use the following forms of providing funds:
- piecework wages;
- performing a standardized task;
- salary.
Develop a remuneration system taking into account personal characteristics, work schedule and territorial specifics.
Trap number two - meters
I started with a minus, my husband had an antique store on Rubinstein, and I fenced off half of his premises. Our half didn’t even have windows, and the entrance was just crazy. By the fall, we all moved into a separate room, I already saw the prospect and was not afraid to invest. There was no point in working in a small space - we spent everything we earned and could not grow.
For a children's business, the specifics of choosing premises are very important, and they are different everywhere - both in the center and on the outskirts. Area requirements are very important; a minimum of 150-200 square meters is needed to start. We have a second site in the north of the city, now 260 sq. m. meters and we can hardly fit in in the evenings. As for new buildings and new areas, there is always the prospect of opening there, but the rent there is simply crazy. I know many examples when businessmen took 400 square meters for sports sections, but were forced to close, unable to withstand the monthly financial burden.
Organizational plan of the children's center
When drawing up a business plan, describe the features of managing a children's development club. In the first stages, take on the position of director yourself. This way you will save on hiring an additional employee. Describe in detail the rules for providing wages and the nuances of interaction between structural divisions. Pay attention to the company's hierarchical system. When drawing up an organizational plan, clearly reflect the structure of the company. Diagrams can be used.
Describe the staff in detail. The children's center must employ educators, teachers and cooks. Additionally you can hire:
- choreographer;
- psychologist;
- speech therapist;
- accountant;
- art teachers;
- acting teachers.
Analyze in detail the list of services provided and include in the list of employees you cannot do without.
After filling out the organizational plan, write down job descriptions and adapt the staff for further coordinated and effective work. Subsequently, expand your staff by hiring additional teachers and a PR manager. Outsource bookkeeping. As a result, the time for calculating salaries and preparing reports will be reduced.
Business plan for a training center
The training center aims to conduct training and educational programs to provide additional education or advanced training for specialists at various levels. Due to this specificity, the main consumers will be individuals or organizations interested in receiving various educational services.
Most modern companies introduce international corporate standards into the basis of their activities. This allows you to increase the level of professionalism of employees, improve the microclimate within the team and increase productivity, while increasing the quality of the company as a whole. Meeting certain standards helps motivate and retain employees, preventing turnover.
The main reason why new market participants should engage in this type of activity is a significant increase in demand, as well as the lack of modern training centers that meet the requirements of modern society. At the same time, an increasing number of companies, especially international ones, are striving to comply with existing standards.
The range of the future training center[/anchor] should include areas that are in the highest demand. First of all, these will be:
- — holding seminars;
- — business trainings;
- — group trainings;
- - individual trainings.
Since this industry is quite special and has a certain specialization, entering the market requires preliminary preparation and identification of the target audience. There are several ways to enter the required market segment:
— development of an intermediary platform. Companies that actually perform the function of an intermediary in the market are very budget-friendly at the start. They offer for sale an assortment of trainings or courses in certain areas of activity, and then, when a buyer is found, they select a specific performer - a trainer who will directly conduct the training. This method is the most cost-effective, since intermediary companies usually do not have permanent teachers and trainers on staff. Each such organization has its own base of trainers who are contacted when selling specific training on a given topic. Despite the significant advantages, the main one being low cost, centers of this kind are often uncompetitive in the market. This is due to the fact that many modern enterprises are trying to find a teacher or trainer directly, without resorting to intermediaries;
— opening of a professional center, which will include a permanent service for the provision of educational services and maintain a permanent staff of its own trainers. For medium-sized activities, it is worth choosing several main areas of training (for example, management, project management and some others), as well as recruiting up to 20 highly qualified trainers. The costs of opening and further development and maintenance of the project will be many times higher, however, such a company, provided it provides high-quality services, will eventually be able to gain brand status in the market;
- a so-called star agency, in which successful entrepreneurs in their field will act as speakers. Such premium trainers can work with regular customers, training mainly top managers and entrepreneurs who have reached a certain level and want to improve it;
— development of a network company. Unlike the previous two types of projects, which belong to the premium class in terms of cost, a network of training companies usually belongs to the middle price category. However, there may be some standardization in the provision of services. The main target audience for such an organization will be large customers. It is better to promote services in several regions at once.
According to experts, a more promising format would be a so-called training boutique, designed for elite clients, or a network company. A standard agency, despite its budget, may turn out to be unprofitable due to its lack of competitiveness.
High competition is characteristic primarily of large and prestigious companies that have a limited potential audience. At the same time, small centers practically do not feel competition, since this niche is quite free.
In the process of drawing up a plan, it is necessary to study the features and dynamics of the educational services market. According to statistics, the greatest decline in the field of educational services was observed in 2008; after 2013, the industry began to rise, which continues to this day. Due to the popularization of European trends in corporate culture, training centers are becoming increasingly in demand, especially in large corporations.
One of the important advantages of training activities is that there is no need for licensing. To open such an organization in Russia, certification is not required for trainers and other center specialists.
On video: How to open a training center from scratch
Equipment selection
To ensure that staff can solve daily tasks, purchase equipment for the children's center. Equip a locker room, a room for activities and games, and a bathroom. Required:
- benches, mirrors, cabinets;
- chairs, sofas, armchairs;
- notice board, cooler;
- reception desk, shelves for toys and educational materials;
- computer, projector, screen;
- chalkboard, carpets.
The room should not be empty. However, don't buy too many things. They look like junk and take up a lot of space. Monitor the quality of equipment and furniture. Buy only safe products. Children actively interact with toys and break them. The item must not cause damage to the child. If the center offers physical training classes, purchase additional sports equipment. The exact list of equipment depends on the list of services provided. Talk to the staff and clarify the programs the teacher plans to study. Then purchase supplies and teaching aids. You will need:
- copybooks;
- albums and paints;
- plasticine, colored paper;
- pens, pencils, brushes, markers.
Include the cost of office supplies in the cost of your monthly visit.
Market and industry analysis
Institutions of additional education for preschool children in the Russian Federation have been gaining great popularity in recent years. The presented trend is associated, firstly, with a significant increase in the birth rate in the country, and secondly, with an insufficient number of places in state and municipal institutions. The low quality of education and service in such institutions also plays an important role.
The global development of the industry began in the mid-2000s. The main factor that caused this surge is the active growth in the birth rate. Over time, many investors appreciated the prospects of this market segment: it began to fill with players who began to win consumers with different levels of profit. If before 2000, the services of private children's clubs and kindergartens, as well as similar institutions, could only be regarded as expensive for the wealthy segment of the population, then the modern market can allow and reach a wider audience. Today, almost everyone can find an option to suit their budget.
Advertising and sale of services
Promotion is the most important part of starting a business. It is necessary that potential clients learn about the opening of a new children's center.
Do the promotion yourself or hire a professional manager. He does not have to be hired. Initially, start collaborating with an outsourcing specialist. If you don’t have enough money, start promoting the company yourself. The most effective ways are:
- Internet promotion. Create a group on social networks and start promoting. Publish the latest information on the site, talk about the techniques used, and share pictures. Additionally, create your own website and fill it with information on the topic. It is necessary to constantly publish news and other information that is important to parents.
- Posting information in educational institutions that are not competitors. Agree with the management of kindergartens, clubs and other organizations to publish information on bulletin boards.
- Posting advertisements. Post information on nearby houses. Parents prefer to take their children to institutions that are located close to home.
- Publication of information in local media. Publish not only advertising, but also information about working teachers, results achieved and methods used. It is not necessary to post videos on television and radio. Such advertising is expensive, but usually does not bring much results.
- Publishing on forums and message boards. Find out where the children's parents communicate and publish the information. The forum must be urban. If there are practically no local parents on the resource, the publications will not be useful.
- Word of mouth plays a huge role. Women actively talk about new development centers. It is important that information is shared in a positive way. Therefore, monitor the quality of services, take into account customer opinions, and modernize your offer.
- Distribution of leaflets and outdoor advertising. Leave advertising brochures in children's stores, at supermarket checkouts, and deliver them to doorways.
- Conduct promotions and master classes. To do this, rent a place in a shopping center.
- Large-scale opening. Organize a party, provide discounts to people who come. Find animators, organize master classes.
Profitability of a business project
Project profitability is the ratio of net income to dirty income multiplied by 100%.
150 000/800 000*100=19%
The payback period for the children's center will be 8–10 months.
When planning to open a development center, an entrepreneur must think not only about the potential benefits, but also about the fact that his future activities are connected with children. This imposes great responsibility in terms of business organization and the quality of services provided. The development and strict implementation of a business plan, as well as adherence to moral principles in work without an insatiable thirst for profit will lead to the success of the project and children obtaining the necessary knowledge.
Profitability and payback
Possible costs of starting a business depend on the size of the company. About 800,000 rubles are needed for the purchase of equipment, business registration, repairs and other initial expenses. Additionally, include 1 month's expenses into your starting capital. Their size will be about 500,000 - 600,000 rubles. The amount includes promoting the business, paying wages, preparing cash for rent and purchasing additional supplies.
The organization's profitability consists of a monthly fee for visiting a children's development center. The average bill is 15,000-20,000 rubles. The amount is relevant if children stay full-time. When a child comes in the evening for a few hours, the cost of a monthly visit drops to 8,000-10,000 rubles.
An average children's center with an area of 100 sq. m. is visited by about 80 people. Usually there are 3 - 4 groups of 10 children who are in the organization full time. Additionally, there are students who come to the center for individual lessons three times a week. On average, in a month you will be able to earn from 800,000 to 1,500,000 rubles. The profit of the organization depends on the number of students, the success of movement and the right choice of location. Keep in mind that at first you will not be able to achieve maximum profit. At the initial stage, the percentage of attendance is 30 - 35 percent of the maximum load. On average, the costs of launching a children's center will pay off within 1 year.
Index | Meaning |
Initial investment amount | 1.4 million rubles. |
Monthly expenses | 500-600 thousand rubles. |
Monthly income | 800 - 1500 thousand rubles. |
Net profit per month | 300 - 900 thousand rubles. |
Payback period | From 12 months. |
Financial plan
When developing a business plan for a development center with all the calculations, it is important to take into account all cost items and ultimately determine at least the approximate amount of starting capital. Based on this figure, you can look for investments and plan the return on business. It is important to understand that the amount of investment will depend on many factors and will be different for everyone, but we will give an approximate calculation of investments that you can adjust to your conditions for starting a business.
Starting investments:
- indoor renovation – from $8000
- purchase of furniture, equipment and inventory – $5500 – $7000
- paperwork – $250
- advertising products (website, logo, leaflets, business cards) – from $400
Monthly payments:
- premises rental – from $18 per 1 sq.m. + utility bills
- taxes – $200
- advertising – from $150 at the initial stage.
- purchase of consumables for conducting classes - depending on the volume of sales of the service.
- Salary is negotiable with each teacher. You can work according to the scheme of % of the profit from group activities.
The lion's share of your monthly budget will be consumed by the salary fund, so try to optimize these expenses. In addition, to save money, you can look for profitable premises to rent. You can find out how much it costs to launch such a center in your city only after recalculating all the cost items and assessing the situation on organizational issues.
Profitability and level of earnings
Your earnings will directly depend on the number of subscriptions sold. Therefore, it is quite difficult to assess the profitability of this business in the first year of operation, because you will be building a client base and building a reputation in the market of educational programs for children. The return on investment usually occurs within 12 months of the center's operation. Profitability in the second year of operation can reach the level of 20% - 30%. This figure will largely depend on the cost of rental space and the wage fund.
On average, one lesson will cost about $6.5. If this is an individual format of working with a child, then the cost will increase to $9.5 - $10. In such centers, groups of 4–10 children are formed. The lesson lasts about 1 hour + work on weekends. On average, one child attends courses 8 – 12 times a month.
Risks in this business and ways to solve them
There are several main problems that owners of educational clubs for children face.
- The problem is finding qualified teachers who will not only convey information well, but also be very attentive to the educational process. This problem can be solved by tracking the resumes of music school teachers, choreographers, and artists on an ongoing basis. In the case of selecting a qualified employee, you can offer good working conditions, for example, a % of the profit received from the course.
- Child safety. In the event of an unpleasant incident, it is important to resolve the issue competently, otherwise the center’s reputation may suffer greatly and it will be very difficult to clear it. The solution to the problem is detailed instruction (including parents) on the rules of behavior for children and teachers during classes.
- Poor customer service. Directly affects the promotion of your business. This could be an unprofessional manager taking calls, or a teacher who does not want to help the child understand the issue that interests him in more detail. In this case, word of mouth may not work in your favor. To avoid such a problem, constantly monitor customer service, ask for feedback and what could be improved in the training process.
- Unfilled groups in classes. The solution to the problem is to increase the effectiveness of advertising, or introduce new sources of attracting customers.
- Increase in rental value. To avoid this, enter into a lease agreement for a long period.
- Care of teachers. Can be a major blow to business, especially if it's midway through the course. You can constantly look for new qualified personnel and enter into an agreement with the teacher, which excludes his departure before completing the curriculum.
In addition, you need to carefully monitor the actions of your competitors.
Conclusions . To find out whether it is profitable to do business in the format of developmental education for children, you need to take into account all the initial factors with which you are ready to start in this business: location, competition, target audience, advertising campaign and much more. In most cases, such courses bring a stable profit if you are willing to constantly resolve issues with the teaching staff and expanding your client base.
Possible risks
However, launching a children's development center is associated with a number of risks. The following can increase the payback period or lead to a lack of profit:
- Bad location. The fact affects attendance. You can minimize the risk by choosing your location carefully.
- Changes have been made to the legislation. Unexpected groups paralyze the work of the center for an indefinite period. It is difficult to avoid risk, however, the probability of its occurrence is low.
- Not enough staff. If there are no teachers, work will stop. Therefore, start looking for employees in advance. Develop an internal motivation policy for employees.
- There was an accident. Injuries and mutilation of children will negatively affect the reputation of the center. Therefore, the presence of accidents is unacceptable. Provide training to parents, children and staff in advance.
- The level of customer solvency has decreased. The services of the children's center are not considered vital. Therefore, parents will refuse to visit the organization if there is a need to save the family budget. To reduce risk, hold promotions and implement customer loyalty programs.
- Low level of demand. Engage in promotion, increase advertising costs, hire a competent PR manager.
- The level of business reputation has decreased. Receive feedback from customers, conduct events aimed at increasing loyalty. Monitor the level of service and correct the indicated shortcomings.
What is a "Children's Development Center"?
A developmental club for preschoolers is an organization staffed by professional teachers and educators who have special knowledge and skills that help young children develop from the first year of life. In addition, in such an institution, people with a pedagogical education have the opportunity to realize their potential. Considering that the work of a teacher is not included in the list of the highest paid professions in Moscow in 2021, although this also applies to any other cities, every teacher wants to find a job in a private company involved in the early development of children.
It is clear that few professional educators have the opportunity to open a children's development center that would work according to the author's methodology or any other system popular today (Montessori, Nikitins, etc.). Teachers who have a certain amount of money to open a personal children's development center for children should understand that this is a great way to become a wealthy person, because the field of early childhood development, although a relatively new business in Russia in 2021, is very promising.