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Martial Arts Business Plan Template

Written by Dave Lavinsky

business plan for martial art

Martial Arts Business Plan

Over the past 20+ years, we have helped over 500 entrepreneurs and business owners create business plans to start and grow their martial arts companies.

If you’re unfamiliar with creating a martial arts business plan, you may think creating one will be a time-consuming and frustrating process. For most entrepreneurs it is, but for you, it won’t be since we’re here to help. We have the experience, resources, and knowledge to help you create a great business plan.

In this article, you will learn some background information on why business planning is important. Then, you will learn how to write a martial arts business plan step-by-step so you can create your plan today.

Download our Ultimate Business Plan Template here >

What is a Martial Arts Business Plan?

A business plan provides a snapshot of your martial arts business as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategies for reaching them. It also includes market research to support your plans.

Why You Need a Business Plan for a Martial Arts Dojo

If you’re looking to start a martial arts business or grow your existing martial arts company, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your martial arts business to improve your chances of success. Your martial arts business plan is a living document that should be updated annually as your company grows and changes.

Sources of Funding for Martial Arts Businesses

With regards to funding, the main sources of funding for a martial arts business are personal savings, credit cards, bank loans, and angel investors. When it comes 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 ensure that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business. Personal savings and bank loans are the most common funding paths for martial arts companies.

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How to write a business plan for a martial arts business.

If you want to start a martial arts business or expand your current one, you need a business plan. The business plan outline below details the necessary information for how to write each essential component of your martial arts business plan.

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 kind of martial arts business you are running and the status. For example, are you a startup, do you have a martial arts business that you would like to grow, or are you operating a chain of martial arts businesses?

Next, provide an overview of each of the subsequent sections of your plan.

  • Give a brief overview of the martial arts industry.
  • Discuss the type of martial arts business you are operating.
  • Detail your direct competitors. Give an overview of your target customers.
  • Provide a snapshot of your marketing strategy. Identify the key members of your team.
  • Offer an overview of your financial plan.

Company Overview

In your company overview, you will detail the type of martial arts business you are operating.

For example, you might specialize in one of the following types of martial arts businesses:

  • Boutique-Boxing: This type of fitness studio focuses on practicing boxing techniques as a way to stay in shape.
  • Japanese Martial Arts: This type of martial arts studio may teach one or more Japanese styles such as Aikido, Jiu-Jitsu, or Judo.
  • Chinese Martial Arts: This type of martial arts studio may specialize in teaching one or more Chinese styles such as Tai Chi or Karate.
  • Korean Martial Arts: This type of martial arts studio may focus on one or more Korean styles such as Tae Kwon Do or Hapkido.
  • Mixed Martial Arts (MMA): This type of martial arts studio combines full-contact techniques from a variety of different kinds of martial arts and combat sports.

In addition to explaining the type of martial arts business you will operate, the company overview 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 the number of clients served, the number of classes offered, reaching $X amount in revenue, etc.
  • Your legal business Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.

Industry Analysis

In your industry or market analysis, you need to provide an overview of the martial arts industry.

While this may seem unnecessary, it serves multiple purposes.

First, researching the martial arts industry educates you. It helps you understand the market in which you are operating.

Secondly, market research can improve your marketing strategy, particularly if your analysis identifies market trends.

The third reason 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 of your martial arts business plan:

  • How big is the martial arts 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 target market for your martial arts business? 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 of your martial arts business plan must detail the customers you serve and/or expect to serve.

The following are examples of customer segments: individuals, schools, families, and corporations.

As you can imagine, the customer segment(s) you choose will have a great impact on the type of martial arts business you operate. Clearly, individuals would respond to different marketing promotions than corporations, for example.

Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, including a discussion of the ages, genders, locations, and income levels of the potential customers you seek to serve.

Psychographic profiles explain the wants and needs of your target customers. The more you can recognize 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 martial arts businesses.

Indirect competitors are other options that customers have to purchase from that aren’t directly competing with your product or service. This includes other types of sports studios, recreation centers, and fitness clubs. You need to mention such competition as well.

For each such competitor, provide an overview of their business and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as

  • What types of customers do they serve?
  • What type of martial arts business are they?
  • What is their pricing (premium, low, etc.)?
  • What are they good at?
  • What are their weaknesses?

With regards 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 make it easier for customers to acquire your services?
  • Will you offer products or services that your competition doesn’t?
  • 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 martial arts business plan, your marketing strategy should include the following:

Product : In the product section, you should reiterate the type of martial arts company that you documented in your company overview. Then, detail the specific products or services you will be offering. For example, will you provide MMA, boxing, or Karate classes?

Price : Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of your plan, you are presenting the services you offer and their prices.

Place : Place refers to the site of your martial arts company. Document where your company is situated and mention how the site will impact your success. For example, is your martial arts business located in a busy retail district, a business district, a standalone studio, or purely online? Discuss how your site might be the ideal location for your customers.

Promotions : The final part of your martial arts marketing plan is where you will document how you will drive potential customers to your location(s). The following are some promotional methods you might consider:

  • Advertise in local papers, radio stations and/or magazines
  • Reach out to websites
  • Distribute flyers
  • Engage in email marketing
  • Advertise on social media platforms
  • Improve the SEO (search engine optimization) on your website for targeted keywords

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 martial arts business, including answering calls, planning and providing classes, billing customers and collecting payments, etc.

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to acquire your Xth customer, or when you hope to reach $X in revenue. It could also be when you expect to expand your martial arts business to a new city.  

Management Team

To demonstrate your martial arts business’ potential to succeed, 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 managing martial arts businesses. 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 as mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing a martial arts business or successfully running a small sports club.  

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.

Income Statement

An income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenue and then subtracts your costs to show whether you turned a profit or not.

In developing your income statement, you need to devise assumptions. For example, will you employ 5 instructors, and will each instructor teach 3 classes of 30 students per day? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.

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 martial arts business, 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 lender writes you a check for $50,000, 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 ensure 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.

When creating your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a martial arts business:

  • Cost of equipment and studio supplies
  • Payroll or salaries paid to staff
  • Business insurance
  • Other start-up expenses (if you’re a new business) like legal expenses, permits, computer software, and equipment

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 studio location lease or testimonials from happy customers.  

Writing a business plan for your martial arts business is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will understand the martial arts industry, your competition, and your customers. You will develop a marketing strategy and will understand what it takes to launch and grow a successful martial arts business.  

Martial Arts Business Plan FAQs

What is the easiest way to complete my martial arts business plan.

Growthink's Ultimate Business Plan Template allows you to quickly and easily write your martial arts business plan.

How Do You Start a Martial Arts Business?

Starting a martial arts business is easy with these 14 steps:

  • Choose the Name for Your Martial Arts Business
  • Create Your Martial Arts Business Plan
  • Choose the Legal Structure for Your Martial Arts Business
  • Secure Startup Funding for Your Martial Arts Business (If Needed)
  • Secure a Location for Your Business
  • Register Your Martial Arts Business with the IRS
  • Open a Business Bank Account
  • Get a Business Credit Card
  • Get the Required Business Licenses and Permits
  • Get Business Insurance for Your Martial Arts Business
  • Buy or Lease the Right Martial Arts Business Equipment
  • Develop Your Martial Arts Business Marketing Materials
  • Purchase and Setup the Software Needed to Run Your Martial Arts Business
  • Open for Business

Don’t you wish there was a faster, easier way to finish your Martial Arts business plan?

OR, Let Us Develop Your Plan For You

Since 1999, Growthink has developed business plans for thousands of companies who have gone on to achieve tremendous success.   Click here to hire someone to write a business plan for you from Growthink’s team.

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Martial Arts Business Plan Template

Written by Dave Lavinsky

Martial Arts Business Plan

You’ve come to the right place to create your Martial Arts 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 Martial Arts businesses.

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

Executive Summary

Business overview.

Master Mike’s Martial Arts is a new martial art academy located in Spokane, Washington. We teach students of all ages a wide range of martial arts, including judo, karate, and taekwondo. We split our lessons based on skill level, so we have classes for beginners, intermediate learners, and advanced learners. We also divide our classes by age range, offering separate classes for learners ages 9 to 12 and adults 13 and up.

Master Mike’s is founded and run by Mike Conway. Mike has been a martial artist since childhood, having won several tournaments and earning black belts in taekwondo, judo, and karate. He is passionate about teaching martial arts and has already trained dozens of students while working for another local martial arts studio. Mike has the skills, experience, and knowledge to make Master Mike’s the most successful martial arts studio in the Spokane area.

Product Offering

Master Mike’s Martial Arts will provide martial arts lessons for children and adults. The children’s classes will be for young students ages 9-12, and the adult classes will be for anyone 13 and older. We will offer lessons in multiple forms of martial arts, including taekwondo, karate, judo, krav maga, and general self-defense. For each martial art, we will offer separate courses for beginners, intermediate students, and advanced students.

Customer Focus

Master Mike’s Martial Arts offers martial arts lessons to anyone age 9 and older. We have classes designed specifically for kids ages 9 to 12 and adults (anyone 13 and older). Everyone in these age ranges is welcome to try out our martial arts studio, but we expect our customers will primarily consist of adolescents, families, and young adults.

Management Team

Master Mike’s Martial Arts is run by Mike Conway. Mike has been a martial artist for most of his life, having begun his lessons at a very young age. He has a black belt in several martial arts and has won several championships. Though he has never run his own martial arts studio, he has worked at one for several years. Therefore, he understands how to run the general operations of such a business and has extensive experience teaching students martial arts.

Success Factors

Master Mike’s Martial Arts will be able to achieve success by offering the following competitive advantages:

  • Welcoming and family-friendly environment.
  • Knowledgeable and friendly staff of martial arts instructors.
  • Affordable rates and membership pricing.
  • Convenient hours of operation.

Financial Highlights

Master Mike’s Martial Arts is seeking $350,000 in debt financing to launch the business. The funding will be dedicated to securing the studio space, build-out, and purchase of the equipment. Funding will also be dedicated towards three months of overhead costs to include the payroll of the staff, rent, and working capital. The breakout of the funding is below:

  • Securing studio space, build-out, and design: $200,000
  • Equipment and supplies: $50,000
  • Three months of overhead expenses (payroll, rent, utilities): $50,000
  • Marketing & advertising: $25,000
  • Working capital: $25,000

The following graph below outlines the pro forma financial projections for Master Mike’s Martial Arts.

Master Mike's Martial Arts Pro Forma Financial Projections

Company Overview

Who is master mike’s martial arts.

Master Mike’s Martial Arts is a new martial arts studio located in the heart of Spokane, Washington. Our mission is to become the #1 martial arts academy in the area by providing a diverse selection of classes that are trained by fun, compassionate, and highly skilled instructors. We will offer lessons in several forms of martial arts (including taekwondo, judo, and karate) and offer lessons geared towards children (ages 9 to 12) as well as adults (13 and older). Classes will be further divided by skill level (beginner, intermediate, and advanced) so that all students get plenty of experience training with others at their skill level.

  Master Mike’s Martial Arts is owned and operated by Mike Conway, an experienced martial arts champion and master. Mike is a dedicated leader with the ability to effectively manage a team of instructors, build rapport with students, and maintain a fun, safe, and profitable operation. These skills will help him quickly attract customers and employees to the studio.

Master Mike’s Martial Arts History

Mike incorporated Master Mike’s as an S Corporation on July 1st, 2023. Since incorporation, the company has achieved the following milestones:

  • Found a studio space and signed a Letter of Intent to lease it
  • Developed the company’s name, logo, social media accounts, and website
  • Determined equipment and fixture requirements
  • Began recruiting key employees

Master Mike’s Martial Arts Services

Master Mike’s Martial Arts offers a wide variety of martial arts lessons, including the following:

  • Mixed Martial Arts
  • General Self Defense

Our lessons will be divided by age and skill level. We will have lessons for students who are ages 9 to 12 as well as adults who are 13 or older. After that, lessons are divided by skill level depending on if they are a beginner, intermediate, or advanced student.

Industry Analysis

Revenue for the martial arts industry is expected to increase substantially over the next several years. According to Gitnux, the martial arts industry was valued at about $90.25 billion in 2020 and is expected to reach a value of $171.14 billion by 2028.

This growth is affected by multiple factors. First, the increasing popularity of health trends is encouraging millions of people to find new ways to stay active and fit. Martial arts provide a fun way for people to get healthy and make friends.

Second, post-pandemic, many people were eager to find fun ways to interact with others, get fit, and get out of their homes. The martial arts industry suffered during the pandemic years but is seeing a resurgence now that it is safe for people to partake in group indoor activities again.

Finally, the increase in per capita disposable income will help the industry. Many people will use their income increase on sports and similar activities. We expect many people will choose to spend their money on martial arts lessons.

Martial arts studios fare better when they offer lessons to both students and adults. About 50% of martial arts students are under the age of 18, so offering lessons that appeal to all age groups helps martial arts studios stand out against the competition.

Customer Analysis

Demographic profile of target market, customer segmentation.

Master Mike’s Martial Arts will primarily target the following customer profiles:

  • Adolescents
  • Young Adults

Competitive Analysis

Direct and indirect competitors.

Master Mike’s Martial Arts will face competition from other companies with similar business profiles. A description of each competitor company is below.

Spokane Taekwondo

Spokane Taekwondo is the city’s largest taekwondo academy. It is run by a master taekwondo artist who has been perfecting his skills for several decades. Spokane Taekwondo offers affordable rates, compassionate staff, and a fun setting for students of all ages to learn Taekwondo. Though Spokane Taekwondo will continue to thrive, the studio will only be a minor competitor as it only offers taekwondo lessons, while Master Mike’s will offer lessons in several martial arts.

Lilac City Kids Martial Arts School

Lilac City Kids Martial Arts School is the most popular martial arts studio for children ages 4 to 12. The studio offers classes in several martial arts (judo, karate, taekwondo, etc.) and divides classes into several age ranges. The school is designed for those who want to be lifelong students of martial arts, helping them learn the basics in early childhood and as well as hone their skills as they grow into adolescence and adulthood. We expect Lilac City to be our biggest competitor for young martial artists.

Spokane Martial Arts Academy

Spokane Martial Arts Academy is the largest martial arts studio in the city. It offers lessons in multiple forms of martial arts, including krav maga, judo, jujitsu, karate, and mixed martial arts. They target a wide demographic base, offering lessons for children 4 and up as well as adults. Since Spokane Martial Arts Academy is the most popular studio in the city, we expect that it will be our biggest overall competitor.

Competitive Advantage

Master Mike’s Martial Arts will be able to offer the following advantages over their competition:

  • Affordable pricing : Master Mike’s Martial Arts will offer its services for a more affordable rate than the competition.
  • Friendly staff : Master Mike’s Martial Arts will only hire martial arts instructors who are friendly and compassionate. All of our instructors will positively encourage our customers to train harder and improve their skills.
  • Management : Master Mike’s Martial Arts is run by a professional martial artist who is famous in the industry. Mike’s presence and popularity will entice many novice and professional martial artists to visit Master Mike’s Martial Arts.

Marketing Plan

Brand & value proposition.

Master Mike’s Martial Arts will offer a unique value proposition to its clientele:

  • Large, clean, spacious, and well-equipped studio.
  • Family-friendly atmosphere.
  • Dedicated team of martial arts instructors.
  • Affordable membership pricing plans.

Promotions Strategy

The promotions strategy for Master Mike’s Martial Arts is as follows:

Social Media Marketing Strategy

Master Mike’s Martial Arts will invest in advertising the martial arts studio on social media platforms such as Facebook and Instagram. By using targeted social media marketing, Master Mike’s Martial Arts will be able to reach the appropriate target audience in Spokane. Before opening, Mike will hire a marketing manager to develop the branding and photography needed to create captivating social media posts.

Mike will invest in two billboards strategically located at busy intersections that receive thousands of traffic daily. The Marketing Manager will develop the print for the billboard design.

Website/SEO Marketing Strategy

Master Mike’s Martial Arts will invest in a strong SEO presence so that when someone enters “Spokane martial arts” or “local martial arts near me” in their Google or Bing search bar, Master Mike’s Martial Arts will show up at the top of the list. The website will list Master Mike’s Martial Arts’ services, location, pricing, and contact information.

Word of Mouth

Word quickly spreads around town, and once a few people experience the fun lessons and professional staff at Master Mike’s Martial Arts, more people will come in to experience our lessons for themselves and sign up for a membership plan.

The pricing of Master Mike’s Martial Arts will be moderate and on par with competitors so customers feel they receive value when attending classes and purchasing memberships.

Operations Plan

The following will be the operations plan for Master Mike’s Martial Arts. Operation Functions:

  • Mike Conway will be the sole owner of Master Mike’s Martial Arts. He will oversee the general operations of the studio and teach several martial arts lessons. Mike will spend the next several months hiring the following:
  • An Accountant who will provide all budgeting, accounting, tax payments, and financial reporting.
  • A Marketing Manager who will provide all sales, marketing, and PR campaigns.
  • Several instructors who will teach martial arts to students of all ages.

Milestones:

Master Mike’s Martial Arts will have the following milestones completed in the next six months.

  • 8/1/2023 – Finalize contract to lease studio space.
  • 8/15/2023 – Begin build-out and studio design.
  • 9/1/2023 – Order all equipment and supplies.
  • 9/15/2023 – Hire staff and martial arts instructors.
  • 10/1/2023 – Begin marketing campaign.
  • 10/15/2023 – Grand opening of Master Mike’s Martial Arts.

Financial Plan

Key revenue & costs.

The revenue drivers for Master Mike’s Martial Arts are the rates charged to students to sign up for our classes and the membership fees we will charge to each student who wants to become a member. Memberships can either be paid monthly or annually.

The cost drivers will include the payroll for the staff, rent, utilities, supplies, and equipment. In the initial years, the company’s marketing spending will be high as it establishes itself in the market.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required to achieve the revenue and cost numbers in the financials and pay off the startup business loan.

  • Number of students per month: 100
  • Average monthly membership fee: $150
  • Average class drop-in rate: $30
  • Annual lease: $50,000

Financial Projections

Income statement.

FY 1FY 2FY 3FY 4FY 5
Revenues
Total Revenues$360,000$793,728$875,006$964,606$1,063,382
Expenses & Costs
Cost of goods sold$64,800$142,871$157,501$173,629$191,409
Lease$50,000$51,250$52,531$53,845$55,191
Marketing$10,000$8,000$8,000$8,000$8,000
Salaries$157,015$214,030$235,968$247,766$260,155
Initial expenditure$10,000$0$0$0$0
Total Expenses & Costs$291,815$416,151$454,000$483,240$514,754
EBITDA$68,185 $377,577 $421,005 $481,366 $548,628
Depreciation$27,160$27,160 $27,160 $27,160 $27,160
EBIT$41,025 $350,417 $393,845$454,206$521,468
Interest$23,462$20,529 $17,596 $14,664 $11,731
PRETAX INCOME$17,563 $329,888 $376,249 $439,543 $509,737
Net Operating Loss$0$0$0$0$0
Use of Net Operating Loss$0$0$0$0$0
Taxable Income$17,563$329,888$376,249$439,543$509,737
Income Tax Expense$6,147$115,461$131,687$153,840$178,408
NET INCOME$11,416 $214,427 $244,562 $285,703 $331,329

Balance Sheet

FY 1FY 2FY 3FY 4FY 5
ASSETS
Cash$154,257$348,760$573,195$838,550$1,149,286
Accounts receivable$0$0$0$0$0
Inventory$30,000$33,072$36,459$40,192$44,308
Total Current Assets$184,257$381,832$609,654$878,742$1,193,594
Fixed assets$180,950$180,950$180,950$180,950$180,950
Depreciation$27,160$54,320$81,480$108,640 $135,800
Net fixed assets$153,790 $126,630 $99,470 $72,310 $45,150
TOTAL ASSETS$338,047$508,462$709,124$951,052$1,238,744
LIABILITIES & EQUITY
Debt$315,831$270,713$225,594$180,475 $135,356
Accounts payable$10,800$11,906$13,125$14,469 $15,951
Total Liability$326,631 $282,618 $238,719 $194,944 $151,307
Share Capital$0$0$0$0$0
Retained earnings$11,416 $225,843 $470,405 $756,108$1,087,437
Total Equity$11,416$225,843$470,405$756,108$1,087,437
TOTAL LIABILITIES & EQUITY$338,047$508,462$709,124$951,052$1,238,744

Cash Flow Statement

FY 1FY 2FY 3FY 4FY 5
CASH FLOW FROM OPERATIONS
Net Income (Loss)$11,416 $214,427 $244,562 $285,703$331,329
Change in working capital($19,200)($1,966)($2,167)($2,389)($2,634)
Depreciation$27,160 $27,160 $27,160 $27,160 $27,160
Net Cash Flow from Operations$19,376 $239,621 $269,554 $310,473 $355,855
CASH FLOW FROM INVESTMENTS
Investment($180,950)$0$0$0$0
Net Cash Flow from Investments($180,950)$0$0$0$0
CASH FLOW FROM FINANCING
Cash from equity$0$0$0$0$0
Cash from debt$315,831 ($45,119)($45,119)($45,119)($45,119)
Net Cash Flow from Financing$315,831 ($45,119)($45,119)($45,119)($45,119)
Net Cash Flow$154,257$194,502 $224,436 $265,355$310,736
Cash at Beginning of Period$0$154,257$348,760$573,195$838,550
Cash at End of Period$154,257$348,760$573,195$838,550$1,149,286

Martial Arts Business Plan FAQs

What is a martial arts business plan.

A martial arts business plan is a plan to start and/or grow your martial arts 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 Martial Arts business plan using our Martial Arts Business Plan Template here .

What are the Main Types of Martial Arts Businesses? 

There are a number of different kinds of martial arts businesses , some examples include: Boutique-Boxing, Japanese Martial Arts, Chinese Martial Arts, Korean Martial Arts, and Mixed Martial Arts (MMA).

How Do You Get Funding for Your Martial Arts Business Plan?

Martial Arts 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 Martial Arts Business?

Starting a martial arts 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 Martial Arts Business Plan - The first step in starting a business is to create a detailed martial arts 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 martial arts 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 martial arts business is in compliance with local laws.

3. Register Your Martial Arts Business - Once you have chosen a legal structure, the next step is to register your martial arts 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 martial arts 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 Martial Arts Equipment & Supplies - In order to start your martial arts 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 martial arts 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. 

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How to write a martial arts business plan in 10 steps

Find out what you need to include when you write a martial arts school business plan with our easy-to-follow 10-step guide.

Starting any new business is an exciting time. The prospect of working for yourself, building something new and original, and the journey of taking something that started as merely an idea and turning it into a success can be incredibly rewarding.

As a martial arts instructor looking to become a martial arts business owner, it's no different. You should be excited and rearing to go. But before you go racing off, hold your horses for just a bit and make sure you have all the tools you need in place before you head out on your martial arts adventure.

In this guide, you'll learn the different steps you need to take to easily write an effective martial arts school business plan. From conducting market research and setting your goals, to nailing down your financials and putting together a marketing plan, you'll be well on your way to martial arts success.

A martial arts class in a martial arts school

What is a business plan?

Put simply, a business plan is a document that anyone who wishes to start their own company puts together in order to plan and organise their business idea. This could be anything from a martial arts school, to a cafe, to a tech startup.

The point of having a business plan is to give you focus and direction for your martial arts business so that you can map out what needs to be done in order to achieve your martial arts business goals. It's also a great way to track your progress and keep on top of things as your martial arts school grows.

Why you need to write a martial arts business plan

For many martial arts instructors, opening a martial arts school , dojo, or martial arts studio comes from wanting to have more control over the style and curriculum they teach. It also gives them the opportunity to hone their own skills in the martial arts style they prefer.

But this and this alone is not enough to guide you through the different paths of turning your martial arts school from a concept into reality. A martial arts business plan serves more than one purpose.

As with any business, there are countless reasons why you should have a business plan before you start a martial arts school . Here are just a few:

  • To give you a clear idea of what needs to be done to ensure martial arts business success.
  • To give your martial arts business focus and direction.
  • To track your business progress as it grows.
  • To get business funding from banks or investors.
  • To act as a business roadmap.

By having a martial arts business plan in place, you can be better equipped for the challenges and opportunities that come with owning a martial arts school. A martial arts business plan will allow you to focus on your goals, both long and short-term, for your new martial arts school.

Writing your martial arts school business plan

When you start to write your martial arts business plan, it can seem daunting, but by following an uncomplicated business plan template, you'll have all the sections that are vital properly planning your martial arts school.

The sections that you should include in your martial arts business plan include:

  • An executive summary.
  • A company overview.
  • Management and staff.
  • Market analysis.
  • Primary market.
  • Marketing strategy.
  • Services and amenities.
  • Financial projections.

Each section plays its role in helping you prioritise the tasks needed to get your martial arts school up and running. So without further ado, let's take a look at what each section entails.

1. Executive summary

Your executive summary is essentially the introduction to your business plan. And the key here is, "summary". Keep it focused, keep it brief. The real detail will come later, but at the moment you're explaining to potential investors or bank managers the overall vision you have for your business. It'll also help you keep your goals clear in your mind.

Your executive summary needs to make certain points about your business as clear as possible. These can include subjects such as:

What is your business idea?

Let your reader know what your business idea is. Explain briefly the type of martial arts school you want to start. Is it going to be a school specifically for one type of martial art, such as a Brazilian Jiu-Jitsu school or a Taekwondo school? Or do you intend to offer a variety of classes for different martial arts?

TeamUp's Tom Fischer competing in a BJJ bout

Why are you setting up a martial arts school?

Explain your motivations for setting up a martial arts school. Give a short background of your own career teaching martial arts. Why have you decided that now is the time to start your own martial arts school? Have you taught in many martial arts schools? Do you have a strong martial arts following that you can rely on to come to your new school?

What do you hope to achieve with your martial arts school?

Be clear about what you hope to achieve. Do you want your martial arts school to be a one-location business, or do you envisage your school becoming a franchise in the future? Do you want to instruct a certain age group? It’s important to demonstrate you’ve considered these

2. Company overview

The company overview section of your martial arts business plan should provide the reader with greater detail about your proposed martial arts studio and your business goals. You can now go into greater detail about the style or different styles that you intend to teach at your martial arts school. You should also include:

The martial arts school's mission statement

This is a short paragraph that summarises what your martial arts school is all about. It should be more personal than your brief explanation in the previous section, and your initial mission statement should be succinct. For example, TeamUp's mission statement is:

"To provide the best management software for fitness studios, boxes, and gyms."

It's clear what the goal of the company is. It's direct with obvious intent. Before you go into greater detail about your business, make sure you have a mission statement that clearly states your goal and philosophy for your martial arts studio or school.

Your martial arts school's vision statement

Similar to the mission statement, your vision statement is about what you hope to achieve with your martial arts school. But it should be more future-focused than the mission statement. It's what you hope martial arts will look like in five, 10, or 20 years time thanks to your efforts.

3. Management and staff

If you're the only one running the martial arts school, then this section can be quite brief. You've already shown your credentials and that you have the necessary experience in the martial arts industry.

However, if you have plans to hire staff or instructors, you need to go into more detail about who will be helping you to run your martial arts school. This includes martial arts instructors, receptionists, and any other support staff you plan on hiring.

Show you know how to hire the right person

Make it clear that you know the kind of people you want to hire. Demonstrate you know how to hire the right person by doing your research and writing a detailed job description.

A martial arts instructor is the most important part of any martial arts school. They are the ones who will be teaching the classes and interacting with the students on a daily basis. You want to hire should be experienced and qualified in the martial arts discipline they will be teaching.

But more than that, you want to make sure they share the same values and philosophy as you. It's even worth saying that you're prepared to help train the right person up and help them get certified as they work rather than hiring the wrong person just because they have the right certifications.

Include your plan for training up your staff

You should also include a section on employee training, as it's important that your staff are well-versed in your martial arts school's philosophy and methods. You need to make sure they know how to teach the martial arts style you're offering and encourage them to keep developing their own techniques and credentials. It’s also important that they understand your business goals and want to be a part of achieving them.

4. Market analysis

Your market analysis is when you start to show that you've really done your homework. You want to demonstrate that you've considered the chances of success for your martial arts studio. You need to establish that you've thought about potential blockers as well as identifying a gap in the market.

Who are your main competitors?

This is where you start to really show that you know the martial arts landscape. You need to identify who your main competitors are and what their business does well or where they are lacking. This will help you to learn from them and avoid making the same mistakes.

It's also worth mentioning any potential new entrants into the market. These could be other martial arts studios looking to set up in your area or a new gym that's starting to offer martial arts classes. What will you do differently? How will you stand out from the growing crowd?

What are the trends in the martial arts industry?

The martial arts industry is always changing. There are new styles and disciplines emerging all the time. You need to be on top of these trends so you can make sure your martial arts studio is offering the latest and greatest.

You should also be aware of any shifts in the market. For example, more people might be looking for martial arts classes that focus on self-defense techniques rather than competition. If you can identify these trends early, you can make sure your martial arts studio is ahead of the curve.

5. Primary market

This is when you tell your investors your target clientele. Martial arts studios can be quite niche, so it's important to be as specific as possible about who you're targeting. Are you focused on kids' martial arts classes? Are you catering to adults who want to learn self-defense? Is your martial arts studio aimed at those who want to compete?

The more specific you can be about your target market, the better. This will help you to craft your marketing messages and make sure you're attracting the right kind of students.

A martial arts student enjoying a class at a martial arts school.

6. Marketing strategy

Once you have a thorough marketing analysis and explained your target market, you now need to show that you've thought about your marketing strategy. Prove that you've thought about different avenues for marketing and that the marketing materials you intend to use are appropriate for your target clientele.

Define an online marketing strategy

Online marketing doesn't have to be overly complex. There are a few things you need to have in place to really get your online marketing campaign live and kicking. For example, make sure you know how to build a website or that you have a website developer creating one for you. Your website will become the hub of your operations.

Create social media pages. Engaging social media posts will not only help you in the early stages of launching your martial arts studio. They will be a vital part of your marketing plan as your business grows.

Have a local marketing plan

Having a marketing plan that concentrates on your local area is especially important when you're just about to open your business. Your initial customer base is more than likely to be comprised of people in and close to your local area, so make sure they know you're there.

Local marketing ideas can actually be a lot of fun for your and the community in general. From holding events or competitions at your school or studio to sponsoring local events, there are plenty of ways to get your martial arts studio name out there.

7. Location

The location of your martial arts studio is important for a number of reasons. First, it's important to make sure you're in a safe area with good foot traffic. You don't want your martial arts studio to be hidden away where no one will find it.

Second, you need to think about the demographics of the area you're in. Are there a lot of families? What is the income level? Knowing this will help you to target your marketing messages appropriately.

8. Services and amenities

This is where you'll get to show off everything your martial arts studio will have to offer. Is your facility state-of-the-art? Do you have a wide range of classes and programs available?

Give a thorough rundown of the services and classes you will be offering

Make sure you list all of the services your martial arts studio will offer so potential students know exactly what they'll get when they enrol. Show off all the class types you'll be offering, and consider how you’ll motivate your martial arts students .

Highlight classes for adults or classes for people working their way up through the different belts. If you're going to offer kids' classes , make an effort to sell that after-school spot. Offering after-school classes will be a great way to keep your studio full while most adults will still be working.

A kids' class in a martial arts school.

Highlight additional services you'll be offering. Whether you're intending to offer one-to-one appointments or online classes and on-demand content , let potential investors know that you've got a thorough plan.

Explain what amenities your martial arts studio will have

Your martial arts studio should have all the amenities that students need to be comfortable and safe while they're at your facility. Making sure that your school or studio is a fun, clean, and enjoyable place to be is one of the primary ways to retain members and students . You can't expect them to return to classes if they're put off as soon as they walk through the door.

Show investors that you've considered the amenities you'll need to install in your martial arts studio, including things like changing rooms, lockers, showers, and a waiting area for those who are accompanying students to their classes. You should also list any other unique selling points that you intend your martial arts studio to offer.

9. Financial projections

Your martial arts studio business plan isn't complete without financial projections. This part of your plan is essential for potential investors who want to know whether or not your martial arts studio will be a viable investment.

Include a break-even analysis in your martial arts school business plan

Your break-even point (BEP) analysis is a crucial part of your martial arts studio business plan. This is where you'll need to learn how to calculate a BEP analysis and do some serious maths to figure out how long it will take for your martial arts studio to start making a profit.

To do this, you'll need to list all of your fixed and variable costs. Your fixed costs are things such as:

Your variable costs are things that include

  • Staff salaries.
  • Marketing expenses.
  • Martial arts equipment.
  • Martial arts studio software .

Once you've got all of your costs listed, you can start to figure out how much revenue you'll need to bring in each month to cover those costs. This will give you a good idea of how long it will take for your martial arts studio to start making a

10. Appendix

The appendix of your business plan is where you keep a full rundown of your financial projections, alongside any other supporting documents you may have. The appendix is important because it's where you can provide potential investors with additional information that they may find useful when making their decision.

This could include things like your martial arts resume, letters of recommendation, or even a copy of your black belt certificate if you have one. Don't discount anything in this section. If you feel that adding a relevant document or certification to your business plan will help to enhance your proposal, then include it.

A martial arts business plan is an essential part of planning your martial arts school. It's an important document to take to banks and investors to show you've thought about each part of starting your new business venture. 

But more than that it is a vital roadmap for you as a new business owner. It'll give you the step-by-step instructions you need to follow and keep you on the right track to getting your martial arts school up and running.

Remember to ensure that your martial arts school business plan is well-researched, concise, and easy to understand. Include all the essential information potential investors need to understand your goals. With a thorough martial arts business plan, you're one step closer to fulling your goal of running your own martial arts school.

Start collecting vital information about how to run a martial arts business with management software and find how TeamUp's scalable pricing and intuitive software can help you by booking a call with one of our team today.

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How to Write a Martial Arts Business Plan With Examples

Executive summary image

Are you a martial artist dreaming of starting your school with control over the curriculum? The profitability in this industry ranges from $50,000 to $250,000 , making it a rewarding venture.

However, not every martial arts school succeeds; careful planning is the key. And by careful planning, we mean a comprehensive business plan with a 5-year financial and operational forecast.

Crafting a business plan may seem time-consuming, but fear not – with our martial arts business plan guide with examples, the process becomes easy and smooth.

Let us explore the vital elements of a martial arts business plan together.

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How to Write a Martial Arts Business Plan?

Writing a martial arts business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:

1. Executive Summary

An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and summarizes each section of your plan.

Here are a few key components to include in your executive summary:

Introduce your Business

Start your executive summary by briefly introducing your business to your readers.

This section may include the name of your martial arts business, its location when it was founded, the type of martial arts business, etc.

Market Opportunity

Summarize your market research, including market size, growth potential, and marketing trends. Highlight the opportunities in the market and how your business will fit in to fill the gap.

Martial Arts Training

Highlight the martial arts training you offer your clients. The USPs and differentiators you offer are always a plus.

Marketing & Sales Strategies

Outline your sales and marketing strategies—what marketing platforms you will use, how you plan on acquiring customers, etc.

Financial Highlights

Briefly summarize your financial projections for the initial years of business operations. Include capital or investment requirements, associated startup costs, projected revenues, and profit forecasts.

Call to Action

Summarize your executive summary section with a clear CTA, for example, inviting angel investors to discuss the potential business investment.

Ensure your executive summary is clear, concise, easy to understand, and jargon-free.

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2. Business Overview

The business overview section of your business plan offers detailed information about your business. The details you add will depend on how important they are to your business. Yet, business name, location, business history, and future goals are some of the foundational elements you must consider adding to this section:

Business Description

Describe what kind of martial arts business you run and the name of it. You may specialize in one of the following martial arts businesses:

  • Traditional martial arts
  • Mix martial arts (MMA)
  • Kickboxing studios
  • Self-defense classes

Describe the legal structure of your martial arts business, whether it is a sole proprietorship, LLC, partnership, or others.

Explain where your business is located and why you selected the place. Because location plays a vital role in the success of the business. For example,

Business description of ZenFit Studios

Welcome to ZenFit Studios, your premier destination for holistic well-being and fitness. Nestled in the vibrant heart of Los Angeles, ZenFit Studios has chosen Silver Lake as its home. Silver Lake, renowned for its artistic spirit, cultural diversity, and health-conscious community, aligns seamlessly with the ethos of ZenFit.

At ZenFit, we believe in the transformative power of a balanced mind and body, and our mission is to provide a sanctuary where individuals can embark on their wellness journey.

Our state-of-the-art studio is not just a mixed martial arts fitness facility; it’s a haven for those seeking harmony in their lives. Whether you’re a seasoned fitness enthusiast or a beginner, ZenFit Studios welcomes you with open arms.

We understand that each person’s wellness path is unique, and our inclusive environment encourages individuals of all fitness levels to thrive.

Beyond fitness classes, ZenFit Studios is a hub for wellness events, nutritional guidance, and personalized training.

List the names of your martial arts business’s founders or owners. Describe what shares they own and their responsibilities for efficiently managing the business.

Mission Statement

Summarize your business’ objective, core principles, and values in your mission statement. This statement needs to be memorable, clear, and brief.

Business History

If you’re an established martial arts business, briefly describe your business history, like—when it was founded, how it evolved over time, etc.

Additionally, If you have received any awards or recognition for excellent work, describe them.

Future Goals

It’s crucial to convey your aspirations and vision. Mention your short-term and long-term goals; they can be specific targets for revenue, market share, or expanding your services.

This section should provide a thorough understanding of your business, its history, and its plans. Keep this section engaging, precise, and to the point.

3. Market Analysis

The market analysis section of your business plan should offer a thorough understanding of the industry with the target market, competitors, and growth opportunities. You should include the following components in this section.

Target market

Start this section by describing your target market. Define your ideal customer and explain what types of services they prefer. Creating a buyer persona will help you easily define your target market to your readers.

Market size and growth potential

Describe your market size and growth potential and whether you will target a niche or a much broader market.

For example, the market size in terms of revenue of the martial arts studios industry in the United States was $16.1 billion in 2022.

Competitive Analysis

Identify and analyze your direct and indirect competitors. Identify their strengths and weaknesses, and describe what differentiates your martial arts business from them. Point out how you have a competitive edge in the market.

Market Trends

Analyze emerging trends in the industry, such as changes in customer behavior or preferences or something else. Explain how your business will cope with all the trends.

For instance, boutique experience has a booming market; explain how you plan on dealing with this potential growth opportunity.

Regulatory Environment

List regulations and licensing requirements that may affect your martial arts business, such as business licensing, health & safety regulations, insurance requirements, employee regulations, etc.

Here are a few tips for writing the market analysis section of your martial arts business plan:

  • Conduct market research, industry reports, and surveys to gather data.
  • Provide specific and detailed information whenever possible.
  • Illustrate your points with charts and graphs.
  • Write your business plan keeping your target audience in mind.

4. Products And Services

The product and services section should describe the training that will be offered to customers. To write this section should include the following:

Describe all available training

Mention the martial arts training your business will offer. This list may include:

  • Basic martial arts
  • Advanced classes
  • Children’s Classes
  • Self-defense courses
  • Weapons training
  • Sparring and combat training
  • Competitive training

Quality measures

This section should explain how you maintain quality standards and consistently provide the highest quality services.

This may include maintaining safety protocols, clean & safe facilities, student progress tracking, student-to-instructor ratio, etc.

In short, this section of your martial arts plan must be informative, precise, and client-focused. By providing a clear and compelling description of your offerings, you can help potential investors and readers understand the value of your business.

5. Sales And Marketing Strategies

Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:

Unique Selling Proposition (USP)

Define your business’s USPs depending on the market you serve, the equipment you use, and the unique services you provide. Identifying USPs will help you plan your marketing strategies.

Pricing Strategy

Describe your pricing strategy—how you plan to price your training and stay competitive in the local market. You can mention any discounts you plan on offering to attract new customers to your business.

Sales and Marketing Strategies

Outline the strategies to market your training facilities and maximize your sales. Some of the helpful strategies can be:

  • Trial class promotions
  • Referral incentive
  • Strong digital presence
  • Local community partnership
  • Free workshops
  • Local advertising
  • Print marketing

Customer Retention

Describe your customer retention strategies and how you plan to execute them. For instance, introducing loyalty programs, discounts on annual payments, personalized service, etc.

Overall, this section of your martial arts business plan should focus on customer acquisition and retention.

Have a specific, realistic, and data-driven approach while planning sales and marketing strategies for your martial arts business, and be prepared to adapt or make strategic changes in your strategies based on feedback and results.

6. Operations Plan

The operations plan section of your business plan should outline the processes and procedures involved in your business operations, such as staffing requirements and operational processes. Here are a few components to add to your operations plan:

Staffing & Training

Mention your business’s staffing requirements, including the number of employees or trainers needed. Include their qualifications, the training required, and the duties they will perform.

Operational Process

Outline the processes and procedures you will use to run your martial arts business. Your operational processes may include enrollment, class scheduling, training sessions, facility maintenance, member communication, etc.

Equipment Needed

Include the list of equipment required for martial arts, such as punching bags, mats, training weapons, protective gear, training dummies, etc.

Adding these components to your operations plan will help you lay out your business operations, which will eventually help you manage your business effectively.

7. Management Team

The management team section provides an overview of your martial arts business’s management team. This section should provide a detailed description of each manager’s experience and qualifications, as well as their responsibilities and roles.

Founders/CEO

Mention the founders and CEO of your martial arts business, and describe their roles and responsibilities in successfully running the business. For example,

Founder/CEO of ZenFit Studios

Alexandra Tran – Head Instructor and Founder Alexandra, a black belt holder with over 15 years of experience in martial arts, is the driving force behind ZenFit Studios. As the head instructor and founder, she brings a deep understanding of various martial arts disciplines and a passion for teaching. Alexandra is committed to creating a positive and inclusive training environment.

Key managers

Introduce your management and key members of your team, and explain their roles and responsibilities.

Compensation Plan

Describe your compensation plan for the management and staff. Include their salaries, incentives, and other benefits.

Advisors/Consultants

Mentioning advisors or consultants in your business plans adds credibility to your business idea.

So, if you have any advisors or consultants, include them with their names and brief information consisting of roles and years of experience.

This section should describe the key personnel for your martial arts business, highlighting how you have the perfect team to succeed.

8. Financial Plan

Your financial plan section should provide a summary of your business’s financial projections for the first few years. Here are some key elements to include in your financial plan:

Profit & loss statement

Describe details such as projected revenue, operational costs, and service costs in your projected profit and loss statement. Make sure to include your business’s expected net profit or loss.

Cash flow statement

The cash flow for the first few years of your operation should be estimated and described in this section. This may include billing invoices, payment receipts, loan payments, and any other cash flow statements.

Balance Sheet

Create a projected balance sheet documenting your martial arts business’s assets, liabilities, and equity.

Break-even point

Determine and mention your business’s break-even point—the point at which your business costs and revenue will be equal.

This exercise will help you understand how much revenue you need to generate to sustain or be profitable.

Financing Needs

Calculate costs associated with starting a martial arts business, and estimate your financing needs and how much capital you need to raise to operate your business. Be specific about your short-term and long-term financing requirements, such as investment capital or loans.

Be realistic with your financial projections, and make sure you offer relevant information and evidence to support your estimates.

9. Appendix

The appendix section of your plan should include any additional information supporting your business plan’s main content, such as market research, legal documentation, financial statements, and other relevant information.

  • Add a table of contents for the appendix section to help readers easily find specific information or sections.
  • In addition to your financial statements, provide additional financial documents like tax returns, a list of assets within the business, credit history, and more. These statements must be the latest and offer financial projections for at least the first three or five years of business operations.
  • Provide data derived from market research, including stats about the industry, user demographics, and industry trends.
  • Include any legal documents such as permits, licenses, and contracts.
  • Include any additional documentation related to your business plan, such as product brochures, marketing materials, operational procedures, etc.

Use clear headings and labels for each section of the appendix so that readers can easily find the necessary information.

Remember, the appendix section of your martial arts business plan should only include relevant and important information supporting your plan’s main content.

This martial arts business plan sample will provide an idea for writing a successful martial arts plan, including all the essential components of your business.

After this, if you still need clarification about writing an investment-ready business plan to impress your audience, download our martial arts business plan pdf .

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Frequently asked questions, why do you need a martial arts business plan.

A business plan is an essential tool for anyone looking to start or run a successful martial arts business. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your business.

Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your martial arts business.

How to get funding for your martial arts business?

There are several ways to get funding for your martial arts business, but self-funding is one of the most efficient and speedy funding options. Other options for funding are:

  • Bank loan – You may apply for a loan in government or private banks.
  • Small Business Administration (SBA) loan – SBA loans and schemes are available at affordable interest rates, so check the eligibility criteria before applying for it.
  • Crowdfunding – The process of supporting a project or business by getting a lot of people to invest in your business, usually online.
  • Angel investors – Getting funds from angel investors is one of the most sought-after startup options.

Apart from all these options, there are small business grants available, check for the same in your location and you can apply for it.

Where to find business plan writers for your martial arts business?

There are many business plan writers available, but no one knows your business and ideas better than you, so we recommend you write your martial arts business plan and outline your vision as you have in mind.

What is the easiest way to write your martial arts business plan?

A lot of research is necessary for writing a business plan, but you can write your plan most efficiently with the help of any martial arts business plan example and edit it as per your need. You can also quickly finish your plan in just a few hours or less with the help of our advanced business plan software .

How do I write a good market analysis in a martial arts business plan?

Market analysis is one of the key components of your business plan that requires deep research and a thorough understanding of your industry.

We can categorize the process of writing a good market analysis section into the following steps:

  • Stating the objective of your market analysis—e.g., investor funding.
  • Industry study—market size, growth potential, market trends, etc.
  • Identifying target market—based on user behavior and demographics.
  • Analyzing direct and indirect competitors.
  • Calculating market share—understanding TAM, SAM, and SOM.
  • Knowing regulations and restrictions
  • Organizing data and writing the first draft.

Writing a marketing analysis section can be overwhelming, but using ChatGPT for market research can make things easier.

About the Author

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Vinay Kevadiya

Vinay Kevadiya is the founder and CEO of Upmetrics, the #1 business planning software. His ultimate goal with Upmetrics is to revolutionize how entrepreneurs create, manage, and execute their business plans. He enjoys sharing his insights on business planning and other relevant topics through his articles and blog posts. Read more

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8 Steps to Creating a Winning Martial Arts Business Plan

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Your martial arts business plan is your roadmap to success. It guides you on your journey, helps you make better decisions, and increases your chances of securing funding for your business.

Creating a business plan for your gym is a process. It’s easy to think of a business plan as something you build once and then you’re done. But your business plan evolves and changes with your business; it’s not a static checklist. 

So whether you’re starting a new martial arts business or expanding an existing studio, a business plan sets the foundation for success. 

In this article, we break down the core elements of a martial arts business plan and how to build a winning document to attract investment for your martial arts business.

What is a business plan and why do you need one?

So, what is a business plan for your gym? It’s a document that tells the reader—investors, the bank, etc.—what your business is and a realistic idea of where the business is heading. At a basic level, your business plan should answer the following questions: 

  • How does your martial arts business work?
  • What are your business goals?
  • What steps do you need to take to reach your goals?

Research shows that entrepreneurs who write formal business plans are more likely to succeed . With a new business, it’s beneficial to pull your ideas into focus by putting pen to paper. However, even established businesses can leverage a business plan when planning growth and expansion efforts.

The main reason to create a thorough business plan is to obtain startup capital and funding. Potential investors and financial institutions will need concrete numbers with facts and figures to move forward with your business. Without a business plan, there is little to no chance of winning their confidence—or their money.

What to include in your martial arts business plan? 

Ready to create a solid business plan for your martial arts school? Follow these eight steps to cover all your necessary bases. Prefer to work from a template? We recommend this one or this one.

Executive summary 

The executive summary is always at the top of a business plan. It should be an attention-grabbing pitch that’s concise yet interesting. You’ll continue to flesh out the points from your executive summary throughout the document. 

Although the executive summary is the first piece of your business plan, it can be easier to write it at the end. Keep in mind what it should include so that you answer your own questions as you build out your plan. 

The executive summary should explain: 

  • WHO – who your business is and what it offers 
  • WHY – what you hope to accomplish through your business
  • HOW – how you are going to get there

Company overview

The company overview is a more detailed description of your martial arts business. It goes beyond talking about who you are and delves into the specific clientele you plan on serving, how your business stands out from the competition, and the goals for your business. 

Because martial arts business models can differ, now is a good time to explain how you will run your business in more detail. 

Your company overview can include: 

  • Expand on the purpose of your business 
  • Business model and structure
  • Products and services you offer 
  • Target market research  
  • Founding story 
  • Legal structure

Industry analysis

The industry or market analysis is where you investigate your local market. Think about your niche, current trends in martial arts , and how your business aligns with market demand. 

Essentially, this section evaluates the fit of your business in today’s market. Try to include some facts and statistics about the martial arts industry and where the market is headed. 

For example, a martial arts school looking to obtain funding for expansion into new locations would include trends and statistics on target demographics and where to reach them — e.g. how many youth are signing up for martial arts classes and the proximity of existing studios to elementary schools, plus any gaps that exist. 

Customer analysis 

Within the martial arts industry, there are various niches and audience segments. Even within one business, you can have multiple target audience personas. The customer base you choose to target will have a big impact on your business, the types of services you offer, and how you market yourself. 

Start by breaking your target customers down by the following: 

The Top 10 Barriers Slowing Your Fitness Business Growth

DEMOGRAPHICS

AgeGenderLocationIncome LevelOccupation

PSYCHOGRAPHICS

NeedsInterestsOpinionsBeliefsValues

Competitive analysis 

A competitor analysis investigates businesses that are in direct competition to you. These are martial arts schools that offer a similar service within your niche. 

Although you can mention indirect competitors, this section is mainly for a detailed analysis of your direct competitors. It may be impossible to find out everything about a competitor, but you can usually get a clear idea from your research. 

Break down each of your competitors into the following: 

  • Services and products they offer 
  • Target audience
  • Pricing and business model 
  • Strengths and weaknesses

Marketing plan

Martial arts are unique in nature. A successful marketing strategy has to be reflective of the distinctive character of classes you offer. 

The marketing section of your business plan is the place to explain everything you plan to do to get your services in front of your target audience. Be sure to include your strategy, projected startup costs, and who will handle your marketing efforts. 

Your marketing strategy can include: 

  • Social media marketing 
  • Advertising 
  • Email marketing 
  • Referral program
  • Sponsorships
  • Partnerships 

Leadership team 

This section is a great place to highlight the skills, experience, and expertise of your team. In doing so, you’ll demonstrate how specific team members will help you to achieve success

Start by laying out key members of your team. This doesn’t need to be limited to martial arts experts, but other experts who will drive your business — e.g. marketing and sales managers, customer service leaders, and maintenance personnel. 

How you structure your business and the type of compensation and benefits you offer will help to attract and retain high-quality talent over time. Make mention of your plans for compensation in this section of your business plan. 

Financial projections

Depending on where you’re with your business, your financial plan can include current financials for the most recent year in addition to future projections. Your projected revenue should be based on facts and research with supporting numbers. 

Include a five-year projection with detailed breakdowns of monthly and annual earnings. Think about your income, cash flow, costs, and outgoing expenses. 

Your finances are the backbone of your business, so it’s important to be as thorough as possible.

Taking your business further

In order to set up your martial arts business for long-term success, you need a business plan. Doing so also increases your chances of securing external funding, whether from private investors or financial institutions. From here, you need trusted tools to help you manage and grow your business.

Enter ABC Glofox : a software that matches your growth ambitions. 

We’re the #1 fitness management software for a reason. 

  • Easily manage all your bookings & payments online
  • Build a loyal following with your custom branded app
  • Use cutting-edge sales & marketing tools to engage with your customers

Ready to boost your fitness business? Book a demo today!

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How to Write a Martial Arts Business Plan

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Josh Peacock

Martial Arts Business Plan

First and foremost, martial artists open martial arts schools to spread their arts to their communities. But they also, often, open their own schools as a way to gain more control over their curriculum and enhance their own training. While both of these are good things, they do not form the best roadmap for building that school into a profitable, sustainable business. For this reason, it’s important that future martial arts school owners write out legitimate business plans to guide their efforts.

One of the big pitfalls of running any business is to have a vague idea of who your customers are and the direction that the business is headed in. Another major pitfall is to neglect your numbers; to have little to no idea of what you’ll be spending and what milestones you need to hit in order to begin making profit. 

Putting pen to paper, so to speak, is a proven way to get your brain thinking in more realistic terms about your new martial arts business. It helps you iron out what martial arts services you offer, who you offer them to, and how you’re going to reach them with that offer.

It’s for that reason that you should strongly consider writing a business plan for your martial arts school. In this article, we’ll be exploring two different ways to write a good business plan: the traditional way and the “lean” way.

Traditional Martial Arts School Business Plan

Traditional business plans are extremely thorough and very clear. They offer exceptionally concrete guidance to the opening and running of a new business, which can often be a messy affair full of distractions that threaten its profitability.

A typical business plan should include these elements:

Executive & Company Summary

Market analysis.

  • Marketing Plan

Operations & Management Plan

Financial projections.

Below, we’ll summarize what each of these business plan sections entails.

The Executive Summary should summarize all the information and insights from the rest of your business plan. It shouldn’t be several pages long, but it also shouldn’t only be a few sentences long. It should give a clear picture of your martial arts school and the business opportunity it is capitalizing on.

Your company summary defines the structure, values, and purpose of your martial arts school. Overall, you should answer these questions:

  • Who does my school serve?
  • What problems of theirs does it solve?
  • What competitive advantages does my company have?

Be clear about who you serve, and then make the case for why you, uniquely, will be successful.

Take a look at the demographics in the town that your school is opening in. Then analyze all the martial arts and related businesses in that area. You want to prove that there is room for your business; and more than that, you want to find, define, and map out what particular market you’re going to target with your martial arts services. If it’s an underserved market, you’ve definitely got a great business opportunity.

Marketing & Sales Plan

Martial arts marketing is a cinch if you have the right knowledge and some budget. The key is to have a plan for how to approach it, adjusting as you gain data, and not burning money on sporadic efforts.

This section should detail all the marketing channels you will be using, a tentative estimate of which you will be your dominant channels, and how you leverage those channels (ads, articles, posts, etc.). Estimate how you will allocate marketing budget between the different channels and if any contractors, consultants, or agencies will be needed to execute these campaigns.

Talk about the legal business structure your martial arts school will have, such as an LLC or a corporation. Clarify who will manage the business, his or her responsibilities, and how other potential employees or contractors will relate to that manager.

For a martial arts school, this shouldn’t be as complicated or lengthy as it would be for more complex business, but it could also cover onboarding new students, supporting current students through customer service, and procedures on hiring help.

Understanding the financial feasibility of your new dojo is one of the main and most important reasons why any school owner should write a business plan. 

Take your fees, your member targets, and your estimates for other income streams (e.g., merchandise sales, events) and place them into a nice graph or tables to show income and profit potentials. Be sure to include estimated expenses, accounting for overhead and emergency expenses. This should all err on the side of cautious conservativeness: be sure to inflate your expense numbers to account for unexpected expenses.

To do all this, you first need to estimate all of your expenses – from one-time startup costs to your projected ongoing costs. Those costs include but are not necessarily limited to:

  • CAM/leasing costs
  • General liability insurance
  • Management software/CRM
  • Phone & internet cost
  • Electric & utilities
  • Marketing budget
  • Equipment & gear orders
  • Point-of-Sale hardware
  • Initial equipment expenses
  • Cleaning & maintenance supplies
  • Furnishments for the dojo
  • Office supplies
  • Technology (computer, phone, tablet, etc.)

To learn more, read our article about the cost of opening a martial arts school . Now, moving on the next step, list out your planned income stream and how much money each brings in per unit. We want to calculate how many memberships and product sales you need to make in order to break even. 

Since it’s hard to calculate pro shop sales and event profits, we can simplify this by dividing the projected overhead costs + startup costs with the 12 month dollar value of a membership. So if a membership is $130 a month, the 12 month value will be $1,560. The number you get from this will be the number of active students you need to break even. Growing beyond that is all profit.

To learn more about how to set your prices and design your business in a way that allows you to pay yourself a handsome salary, check out our martial arts pricing article .

Lean Business Plan for Martial Arts Schools

Also known as a “one page business plan,” lean business plans cover more topics than traditional ones, with the key difference being that each is addressed with drastically greater brevity. The plan is divided into four major sections: “strategy,” “tactics,” “business model,” and “milestones.” Overall, it’s a less time-intensive, more agile way to put together a plan for your martial arts school.

Below is a breakdown of the proposed subsection each main section should contain. Since this all should fit on one page, only a sentence or two is used to describe what should be found in each subsection.

  • Identity . Write down what your company is all about, including your company values. This is your branding and your culture.
  • Service(s) . What services do you offer to the community? One martial art, several, classes for adults and/or kids?
  • Target Market . What is the specific group of people you are targeting? As a taekwondo school, your primary market might be children ages 6-12 from homes with a median income of $70,000 a year or more. As a Brazilian Jiu Jitsu school, your target market might be adults ages 25-50 with a similar financial situation.
  • Competition . Analyze the other dojos in town. What do their services look like? What audience do they seem to appeal to? Figure out what your niche is.
  • Marketing activities . Map out all the most important marketing methods you will use, like website SEO, PPC, social ads, and any traditional marketing materials. Our martial arts software can help to streamline this process.
  • Partners and resources . Most school owners don’t have business partners; but if you do, be sure to write them down here. Moreover, list out the resources available to you, be it advice from business connections, loans, investments, or anything else.
  • Team . If you have help with your school, who’s on staff, and what are their duties?
  • Put together an action list of all the most important tasks that need to be completed to open the school and get it operational, including who owns each task (if you have help).
  • Plan a schedule to revisit and revise your lean business plan at a later date, as appropriate.
  • Map out what the major achievement milestones will be for your business (first 10 students, first 50 students, first belt promotion, etc.).
  • Revenue . List all the ways your dojo will bring in money. The main way will usually be monthly tuition, but also incorporate seminars, paid trials (if you plan on using them), and merchandise sales.
  • Expenses . List all your projected overhead expenses, including marketing your budget.
  • Financial Projections . Project income and profit based on your revenue, expenses, and milestones. Show what your income and profit will look like at different stages of growth of your student body.

While most martial arts school owners are the sole proprietors of their businesses, many still sometimes have business partners or investors. In this case, the sparseness of the one page business plan might not be enough. But for single-operated martial arts schools, it’s sufficient (and much more practical).

Business plans are an indispensable part of planning a martial arts school. While it might seem like a martial arts school doesn’t warrant one, the truth is that you are in danger of wasting money if you don’t have one.

If you’re starting a school with a partner or investors, or you plan on starting a chain of schools, a traditional, full business plan is the right move. If you’re opening one school by yourself, the lean business plan is the most practical and a huge time-saver.

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How To Write a Business Plan for Martial Arts in 9 Steps: Checklist

By henry sheykin, resources on martial arts.

  • Financial Model
  • Business Plan
  • Value Proposition
  • One-Page Business Plan
  • SWOT Analysis
  • Business Model
  • Marketing Plan
  • Bundle Business Plan & Fin Model

Welcome to our blog post on How To Write a Business Plan for Martial Arts in 9 Steps: Checklist. If you've ever considered starting a martial arts business, you're in good company. The martial arts industry in the US has experienced steady growth over the past decade, with an annual revenue of over $4 billion dollars and a 3% increase in the number of businesses. This demonstrates the growing popularity of martial arts as a fitness and self-defense choice. Whether you're an experienced martial artist looking to share your passion or an entrepreneur exploring new business opportunities, this step-by-step guide will provide you with a solid foundation to start your own martial arts business.

Identify target market and potential customers

Conduct market research and analyze competition, define the type of martial arts offered and outline class schedules, determine the location and space requirements for the martial arts studio, research legal and licensing requirements for operating a martial arts business, create a budget and secure funding sources, develop a pricing structure for classes and services, outline marketing and advertising strategies to attract customers, evaluate potential risks and establish risk management strategies.

Starting a martial arts business requires careful planning and consideration. By following these nine steps, you'll be well-equipped to write a comprehensive business plan for your martial arts venture. Remember, every successful business starts with a solid plan. Now, let's dive into the first step: identifying your target market and potential customers.

Identify Target Market and Potential Customers

Before starting any business, it is crucial to identify the target market and potential customers for your martial arts studio. Understanding your audience will help you tailor your offerings and marketing strategies to effectively reach and engage them. Here are some steps to help you identify your target market and potential customers:

  • Research demographics: Begin by researching the demographics of your area to gain insights into the age, gender, income levels, and other relevant characteristics of potential customers. This data will provide a foundation for understanding who your target market may be.
  • Consider martial arts interests: Determine the level of interest in martial arts within your community. Analyze whether there are existing martial arts studios or competitors in the area, and assess their popularity and customer base. This will help you gauge the demand and competition in the market.
  • Identify specific customer needs: Seek to understand the needs and preferences of potential customers. Are they looking for a specific style of martial arts, self-defense training, or fitness-oriented classes? By identifying the unique requirements of your target market, you can differentiate your offerings and stand out from the competition.
  • Survey potential customers: Conduct surveys or interviews to gather feedback directly from individuals who may be interested in joining your martial arts studio. This will provide valuable insights into their motivations, preferences, and willingness to pay for your services.
  • Consider target market size: Evaluate the size and growth potential of your target market. This analysis will help you assess the viability and long-term prospects of your business.

Tips for Identifying Your Target Market and Potential Customers:

  • Use online tools and resources, such as market research reports and databases, to gain insights into your target market and potential customers.
  • Observe and engage with local communities and organizations that have an interest in martial arts to better understand their needs and preferences.
  • Segment your target market based on specific criteria, such as age groups, skill levels, or fitness goals, to tailor your offerings and marketing messages.

By identifying your target market and potential customers, you can develop a comprehensive business plan that addresses their needs and positions your martial arts studio for success.

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Conduct Market Research And Analyze Competition

Conducting thorough market research and analyzing the competition is crucial for the success of your martial arts business. This step will provide you with valuable insights into your target market, industry trends, and the competitive landscape.

Market Research: Begin by identifying your target market and potential customers. Determine who your ideal customers are based on demographics, interests, and preferences. Research their needs, preferences, and the factors that influence their decision-making process when choosing a martial arts studio. This information will help you tailor your offerings to meet their specific needs and preferences, giving you a competitive edge.

Next, analyze the market size and growth potential of the martial arts industry in your area. Determine if there is a demand for your services and if the market is saturated with existing competitors. Understanding the market dynamics will help you identify opportunities for differentiation and business growth.

Competitive Analysis: Analyze your competition to identify their strengths, weaknesses, and unique selling propositions. Visit their websites, attend their classes, and evaluate their offerings. Pay attention to their pricing, class schedules, instructor qualifications, facilities, and customer reviews. Understanding what your competitors offer and how they position themselves in the market will help you develop strategies to differentiate your business and attract customers.

  • Differentiate your business by offering unique classes or specialized training programs that are not readily available in the market.
  • Consider conducting surveys or interviews with potential customers to gather valuable feedback and insights on their preferences and expectations.
  • Stay updated on industry trends and best practices to ensure your business remains competitive and relevant.

By conducting thorough market research and analyzing the competition, you will gain a comprehensive understanding of your target market and the competitive landscape. This knowledge will guide your business decisions, help you identify strategies for differentiation, and position your martial arts business for long-term success.

Define The Type Of Martial Arts Offered And Outline Class Schedules

When establishing a martial arts business, it is crucial to define the type of martial arts you will offer and outline your class schedules. This will help potential customers understand what to expect and make informed decisions about which classes to attend. Here are some important factors to consider:

  • Choose the Martial Art Style: Start by deciding which martial art styles you will focus on in your classes. Will you offer Brazilian Jiu-Jitsu, Muay Thai, Taekwondo, Karate, or a combination of different styles? Research the popularity and demand for various martial arts in your area to make an informed decision.
  • Assess Instructors' Expertise: It is essential to ensure that your instructors have the necessary expertise and qualifications in the chosen martial art style. Their skills and experience will directly impact the quality of instruction your customers receive.
  • Create a Class Schedule: Once you have defined the types of martial arts you will offer, it is important to create a well-designed class schedule. Consider offering classes at different times of the day to accommodate various customer schedules. Make sure to include classes for different skill levels, from beginners to advanced practitioners.

Tips for Defining Martial Arts Offered and Class Schedules:

  • Research the local market to identify any gaps in martial arts offerings and consider specializing in those areas.
  • Offer introductory classes or trial periods to allow potential customers to experience the training style before committing to a long-term membership.
  • Consider offering specialized classes for different age groups, such as children's classes, adult classes, or classes specifically tailored for senior citizens.

By defining the type of martial arts you will offer and outlining your class schedules, you provide clarity to potential customers and establish a solid foundation for your business. This step is vital in attracting and retaining customers who align with your offerings and scheduling options.

Determine The Location And Space Requirements For The Martial Arts Studio

When it comes to starting a martial arts business, finding the right location and determining the space requirements for your studio is crucial. The location should be easily accessible to your target market and have enough space to accommodate your training needs. Here are the key steps to consider:

  • Identify your target market's preferred location: Research and analyze your target market to understand their preferences and demographics. This will help you determine the ideal location for your martial arts studio. Consider factors such as proximity to schools, workplaces, and residential areas.
  • Evaluate space requirements: Assess the specific space requirements for your martial arts classes. Consider factors such as the number of students you plan to accommodate per class, the type of martial arts you will offer, and the equipment you will need. It's important to have enough space for students to comfortably practice their techniques.
  • Consider zoning laws and regulations: Before finalizing a location, research the zoning laws and regulations in the area. Ensure that the space you choose is zoned for commercial use and martial arts activities. Contact the local authorities or consult an attorney to understand any specific requirements or restrictions.
  • Assess parking and accessibility: It's crucial to have ample parking space for your students. Evaluate the availability of parking options near your chosen location. Also, consider the accessibility of the studio for students with disabilities. A ground-level location or the availability of an elevator may be necessary.
  • Budget for rent and utilities: Determine your budget for rent and utilities based on the location and space requirements. Research the rental prices in your desired area and consider negotiating a lease that fits your financial goals. Factor in the cost of utilities, such as electricity, water, and heating/cooling.
  • Visit potential locations in person to assess their layout and suitability for a martial arts studio.
  • Consider the availability of nearby amenities, such as restaurants, shops, and public transportation, which can attract more students.
  • Think long-term and consider expansion possibilities. Choose a location that allows for potential growth and additional training areas if your business expands.

By carefully considering the location and space requirements for your martial arts studio, you can create a comfortable and accessible environment for your students while maximizing your business's potential for success.

Research Legal And Licensing Requirements For Operating A Martial Arts Business

Before launching your martial arts business, it is crucial to thoroughly research the legal and licensing requirements that apply to your specific location. Compliance with these requirements will ensure that you operate your business legally and help you avoid any potential legal issues in the future.

Here are some important steps to consider:

  • Check with your local government authorities to understand the specific permits and licenses needed to open and run a martial arts studio in your area. These may include a business license, zoning permits, and health permits.
  • Research any additional regulations or certifications that may be required for operating a martial arts business, such as liability insurance or child safety certifications.
  • Consult an attorney who specializes in business law to ensure you fully understand and comply with all legal requirements.
  • Visit your local small business administration office or chamber of commerce for guidance on the legal and licensing requirements specific to your area.
  • Check with martial arts industry associations or organizations for additional resources or guidelines on legal and licensing requirements.
  • Keep a record of all necessary permits, licenses, and certifications to ensure they are up to date and easily accessible for any inspections or audits.

By conducting thorough research and ensuring compliance with legal and licensing requirements, you can establish a solid foundation for your martial arts business and operate with confidence. Remember, it is always better to be proactive and informed when it comes to legal matters to avoid any potential obstacles down the road.

Create A Budget And Secure Funding Sources

Creating a budget and securing funding sources are crucial steps in starting a martial arts business. It is essential to have a clear understanding of your financial requirements and to explore different options to secure the necessary funds.

1. Create a comprehensive budget: Start by analyzing all the costs involved in starting and running your martial arts business. This should include expenses such as rent, equipment, utilities, insurance, marketing, licenses, and staff salaries. Consider both one-time costs and ongoing monthly expenses. A detailed budget will help you determine how much funding you need to secure.

2. Explore funding options: Once you have a clear understanding of your financial needs, it is time to explore funding sources. Here are a few options to consider:

  • Personal savings: If possible, consider using your personal savings to fund your martial arts business. This eliminates the need for external funding sources and allows you to retain full ownership and control.
  • Loans: Approach banks and financial institutions to inquire about small business loans. Prepare a solid business plan and present your budget to increase your chances of securing a loan. Remember to compare interest rates and terms to find the most suitable option.
  • Investors: Consider seeking investments from individuals or organizations interested in your martial arts business. Pitch your business idea and potential return on investment to attract investors. Be prepared to negotiate ownership stakes and profit-sharing arrangements.
  • Grants and sponsorships: Research if there are any grants or sponsorships available for martial arts businesses. Many organizations and foundations offer funds to support small businesses in specific industries. Prepare compelling grant proposals or sponsorship pitches to increase your chances of receiving financial support.

Securing funding is a critical step, so be sure to explore all available options and choose the one that aligns with your business goals and financial capabilities. Keep in mind that having a solid budget in place will help potential lenders or investors see the viability and potential success of your martial arts business.

Develop A Pricing Structure For Classes And Services

One of the critical aspects of running a successful martial arts business is establishing a clear and competitive pricing structure for your classes and services.

1. Determine your expenses: Begin by calculating all your expenses, including rent, utilities, equipment, staff wages, insurance, and any other overhead costs. This will help you understand your financial commitments and set a baseline for covering your expenses.

2. Research the market: Analyze the pricing strategies of your competitors to gain insights into what customers are willing to pay. Look for gaps in the market where you can provide value and distinguish your offerings.

  • Consider offering different pricing options to cater to different customer needs, such as discounted rates for students or families.
  • Provide incentives for customers to purchase larger class packages, such as offering a free introductory class or discounted rates for bulk purchases.

3. Define class pricing: Determine the cost per class for your pay-per-class model. Strike a balance between covering your expenses while remaining competitive in the market. Consider offering discounts for customers who purchase package deals or commit to attending classes on a regular basis.

4. Set prices for additional services: If you plan to offer private lessons, equipment sales, or other supplementary services, establish pricing structures for these offerings. Ensure that these prices are attractive to customers while still allowing your business to generate a profit.

5. Consider trial offers: Offering discounted or free trial classes can be an effective way to attract new customers and showcase the value of your martial arts instruction. Determine the duration and conditions for trial offers and consider the potential impact on your revenue.

  • Monitor the performance of trial offers to assess their impact on customer acquisition and conversion rates. Adjust your pricing structure accordingly to optimize results.
  • Regularly review and reassess your pricing structure to ensure it remains competitive and aligned with the market.

6. Communicate your pricing: Clearly communicate your pricing structure to potential customers through your website, social media channels, and any other marketing materials. Ensure that the value proposition of your classes and services is evident, and the pricing is transparent.

Developing a comprehensive and competitive pricing structure for your martial arts business is essential for attracting and retaining customers. Regularly assess and adapt your pricing to stay relevant in the market and meet the evolving needs of your target audience.

Outline Marketing And Advertising Strategies To Attract Customers

Marketing and advertising are essential components of any business, and your martial arts studio is no exception. By implementing effective strategies, you can attract new customers, increase awareness of your business, and generate interest in your classes and services. Here are some key strategies to outline when creating your marketing and advertising plan:

  • Identify your target market: Understanding your target market is crucial for tailoring your marketing efforts. Determine the demographics, interests, and needs of your potential customers, and use this information to create targeted messaging.
  • Create a strong online presence: In today's digital age, having a strong online presence is vital. Build a professional website that showcases your classes, instructors, and facility. Utilize social media platforms to engage with customers, share updates, and promote special offers.
  • Offer introductory packages: Attract new customers by offering discounted introductory packages or trial classes. This allows individuals to experience your classes and can encourage them to join as regular members.
  • Utilize word-of-mouth marketing: Encourage your current students to spread the word about your martial arts studio. Offer referral incentives and create a positive atmosphere that inspires your students to share their experiences with others.
  • Collaborate with local businesses: Partnering with local businesses, such as gyms, schools, or sports clubs, can help you reach a wider audience. Offer cross-promotions or joint events to attract their customers to your studio.
  • Host open houses or community events: Organize open houses or community events to showcase your studio and allow potential customers to try out your classes. Offer demonstrations, free trials, or special promotions during these events to incentivize attendance.
  • Develop a consistent brand identity that reflects the values and unique offerings of your martial arts studio.
  • Invest in professional photography and videography to visually showcase your classes and facilities on your website and social media platforms.
  • Monitor the performance of your marketing efforts using analytics tools, and adjust your strategies accordingly based on the data.
  • Consider offering incentives or rewards programs for loyal customers to encourage repeat business and referrals.

Evaluate Potential Risks And Establish Risk Management Strategies

Identifying and assessing potential risks is crucial for any business, including a martial arts studio. By evaluating these risks early on, you can develop effective risk management strategies to minimize their impact and ensure the continued success of your business.

1. Physical Injuries: Martial arts training involves physical contact and poses a risk of injury to both students and instructors. To mitigate this risk, you must implement strict safety protocols, provide adequate protective gear, and ensure that all instructors are properly trained in first aid and emergency procedures.

  • Regularly inspect and maintain all training equipment to prevent accidents or injuries.
  • Require all students to sign liability waivers and inform them about the risks associated with martial arts training.
  • Invest in liability insurance to protect your business in the event of an accident or lawsuit.

2. Property Damage: Your martial arts studio may be at risk of fire, flood, or other natural disasters, as well as theft or vandalism. It is important to have proper insurance coverage for your premises and equipment to safeguard against these risks.

  • Install fire extinguishers, smoke detectors, and security systems to minimize the risk of property damage.
  • Regularly backup important documents and data to protect against potential loss.
  • Review and update your insurance policy regularly to ensure adequate coverage.

3. Financial Risks: Running a martial arts business comes with various financial risks, such as unexpected expenses, fluctuations in demand, or economic downturns. It is important to develop a comprehensive budget, regularly monitor your financial performance, and have contingency plans in place.

  • Establish an emergency fund to cover unforeseen expenses or dips in revenue.
  • Diversify your revenue streams by offering additional services or merchandise to mitigate the impact of fluctuations in class attendance.
  • Regularly review and update your budget to ensure it aligns with your financial goals and projections.

4. Legal Compliance: Ensure that your martial arts business complies with all legal and licensing requirements. Failure to do so can result in fines, penalties, or even the closure of your studio. Familiarize yourself with local and state regulations and consult with legal professionals if needed.

  • Keep all necessary permits and licenses up-to-date and prominently displayed at your studio.
  • Regularly review and update your policies and procedures to ensure compliance with changing laws.
  • Develop a good working relationship with local authorities and maintain open lines of communication.

By evaluating potential risks and establishing robust risk management strategies, you can protect your martial arts business and provide a safe, enjoyable experience for your students. Remember, risk management is an ongoing process, so regularly reassess and update your strategies to adapt to new challenges and opportunities.

In conclusion, writing a business plan for a martial arts studio requires careful consideration of the target market, competition, and pricing structure. It is important to conduct thorough market research and understand the legal requirements for operating a martial arts business. Developing a comprehensive budget and securing funding sources is essential, as is outlining effective marketing and advertising strategies to attract customers. Evaluating potential risks and establishing risk management strategies is also crucial. By following these nine steps, entrepreneurs can create a solid business plan that sets them up for success in the martial arts industry.

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How to Start a Martial Arts Business in 2024

To start a martial arts business, begin by planning and researching your niche within the martial arts community, whether online or in-person, or both.

How to Start a Martial Arts Business

This initial step is crucial for setting the foundation of a successful martial arts studio or online martial arts training service. Exercise.com is an ideal platform to manage and grow a martial arts business, offering features tailored to both physical studios and online training environments. Its robust suite of the best martial arts business software tools supports class scheduling, membership management, and marketing, making it the top choice for martial arts entrepreneurs.

Launching a martial arts business requires careful planning and attention to detail, especially in selecting the right location, understanding your target market, and establishing a strong business model. Whether you’re opening a dojo, starting a fitness studio, or offering online martial arts classes, Exercise.com provides the necessary tools to manage bookings, process payments, and engage with clients effectively. This platform supports various types of martial arts businesses, from traditional dojos to modern mixed martial arts studios, offering flexibility and scalability.

Fitness Income Ideas

Before diving into the detailed steps to start your martial arts business, consider how Exercise.com can streamline your operations and help turn your martial arts business ideas into action. This software allows for easy management of class schedules, instructor assignments, and client communications—all through a custom-branded gym app designed for your business. By choosing Exercise.com, you’ll learn how to create a martial arts app , choose the best gym software , and be well-equipped to manage a growing martial arts studio or expand into online training, making it the best choice for martial arts entrepreneurs looking to make a mark in the industry.

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Step #1 – Develop a Business Plan

Start by creating a comprehensive martial arts business plan for your martial arts studio.

  • Market Analysis: Research the local market to understand the demand for martial arts training. Identify your target audience and competitors.
  • Services Offered: Decide the types of martial arts classes you will offer. Consider including specialized classes such as self-defense, fitness kickboxing, or children’s martial arts.
  • Financial Projections: Outline your initial costs, ongoing expenses, and expected revenue. Plan your pricing strategy for memberships and private sessions.

A solid martial arts business plan is your roadmap to success. It will guide your decisions and help you secure financing if required. Exercise.com can assist in modeling various financial scenarios with its detailed reporting and analytics features, giving you insights into the most profitable paths for your martial arts studio.

  • Martial Arts Business Ideas
  • Ways to Make Money with Martial Arts
  • How much does it cost to open a martial arts school?

Step #2 – Choose a Suitable Location

Selecting the right location is critical for the visibility and accessibility of your martial arts studio (or, of course, deciding that your location is online if you start an online martial arts business).

  • Visibility: Choose a location that is easily visible and accessible to your target market.
  • Size and Layout: Ensure the space is large enough to accommodate your classes and has a layout conducive to martial arts training.
  • Compliance: Check zoning laws and compliance issues, including adequate parking and accessibility features.

The location of your studio will significantly impact its success. Exercise.com’s software includes tools to manage facility scheduling and optimize the use of your space, whether you’re conducting classes or hosting special events.

Keep in mind you can also choose to start an online martial arts training business if your goal is to start a martial arts school for no money required for leases, buildings, etc. Of course, starting an online martial arts school is a whole different business model, but that is an option!

Step #3 – Obtain Necessary Licenses and Insurance

Secure all necessary martial arts business licenses and martial arts studio insurance policies.

  • Business License: Check local regulations to obtain any required business licenses or permits.
  • Insurance: Obtain liability insurance to protect against potential lawsuits and accidents. Consider property insurance if you own the building.
  • Instructor Certifications: Ensure all instructors are certified and insured, enhancing credibility and safety.

Managing compliance and documentation can be streamlined with Exercise.com, which offers features for storing and tracking important documents like certifications and insurance policies, ensuring easy access and up-to-date records.

Step #4 – Market Your Martial Arts Studio

Effective marketing is essential to attract and retain clients.

  • Branding: Develop a strong brand identity, including a logo, color scheme, and a consistent message.
  • Online Presence: Create a professional website and active social media accounts. Utilize SEO strategies to improve your visibility online.
  • Community Engagement: Host open houses, workshops, and participate in community events to increase visibility.

Exercise.com supports your marketing efforts with customizable email campaigns, social media integration, and targeted promotions, making it easier to reach potential clients and grow your martial arts community.

Step #5 – Launch and Operate Your Studio

With preparation complete, open your martial arts studio to the public.

  • Grand Opening: Plan a grand opening event to generate interest and attract initial members.
  • Ongoing Management: Use Exercise.com to schedule classes, track memberships, and manage payments efficiently.
  • Client Retention: Focus on excellent customer service and continually adapt your offerings based on client feedback and industry trends.

As you operate your studio, rely on Exercise.com’s comprehensive software to handle the day-to-day management, allowing you to focus on teaching and growing your business.

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Starting a martial arts business can be a rewarding venture with the right tools and planning. By leveraging Exercise.com’s software solutions, you ensure your martial arts studio is well-equipped to succeed in a competitive market. Book a demo with Exercise.com today to discover how it can transform your martial arts business operations and help you achieve your entrepreneurial goals.

Tony Gentilcore

How do I start a martial art business with no money?

Starting a martial art business with no money involves leveraging low-cost resources and creative strategies. Begin by offering classes in public or shared spaces to save on rent, and use social media to market your services. Partner with local community centers or gyms to gain access to facilities in exchange for a share of class fees or a mutual promotion agreement. Focus on building a strong community presence and network to attract students through word of mouth.

Can you make money as a martial artist?

Yes, you can make money as a martial artist by teaching classes, hosting workshops, and running seminars. Additionally, you can create online courses, instructional videos, and write books or articles on martial arts techniques and philosophies. Participating in competitions or performing demonstrations can also provide income through prizes and appearance fees.

How to set up a martial arts club for students?

To set up a martial arts club for students, secure a suitable location, such as a community center, school gym, or a rented space. Obtain the necessary equipment like mats, protective gear, and training aids. Develop a curriculum that caters to different skill levels and promote your club through local schools, community boards, and social media to attract members.

How do I market my martial arts business?

Market your martial arts business by creating a strong online presence with a professional website and active social media accounts. Here are some martial arts marketing ideas you can try: offer introductory classes or workshops to attract new students, and engage in community events to increase visibility. Utilize customer testimonials and referral programs to build trust and encourage word-of-mouth advertising.

What is a martial arts licence?

A martial arts license is a certification that allows you to teach martial arts legally. It often involves completing specific training programs and passing examinations to prove your competency in the martial art you wish to teach. Depending on your location, you may also need a business license to operate your martial arts school legally. Learning how to get a martial arts business license is important and varies by discipline, location, and business model.

Is an MMA gym profitable?

An MMA gym can be profitable if managed effectively. Key factors include a prime location, skilled instructors, and a strong membership base. Offering diversified services such as personal training, fitness classes, and retailing martial arts equipment can also enhance profitability.

How to make a career out of martial arts?

Making a career out of martial arts can include teaching, competing professionally, or working in related fields such as fitness training or physical therapy. Building a personal brand, gaining certifications, and continuous learning are essential steps to advancing your career in martial arts.

Can you make a living out of MMA?

Yes, you can make a living out of MMA by competing in professional fights, coaching at MMA gyms, or through sponsorships and endorsements if you reach a high level of recognition. Developing a following and competing in well-known leagues can significantly increase your earning potential.

How to make money in fighting?

Making money in fighting involves competing in tournaments and matches where prize money is offered, securing sponsorships, and offering paid training sessions for fighters. Building a reputation and a professional record can attract higher earnings and more lucrative opportunities.

How to run a successful martial arts school?

Running a successful martial arts school involves providing high-quality training, maintaining a clean and safe facility, and creating a supportive community environment. Implementing effective marketing strategies, offering diverse programs, and consistently evaluating and improving your business practices are crucial for success.

Can you become a martial artist at home?

Yes, you can become a martial artist at home by following online tutorials, enrolling in virtual classes, and practicing regularly with the aid of instructional videos and books. Commitment and discipline are key to making progress in learning martial arts independently.

How to learn martial arts on a budget?

Learning martial arts on a budget can be achieved by attending community classes, joining clubs at schools or universities which often offer reduced rates, and utilizing free online resources. Purchasing used equipment and training at home can also help reduce costs.

How do you become a master martial artist?

Becoming a master martial artist requires years of dedicated practice, studying under experienced instructors, and continuously refining techniques and knowledge. Achieving mastery often involves earning advanced black belts, teaching others, and contributing to the martial arts community.

How to promote a self-defense class?

Promote a self-defense class by highlighting the benefits of self-defense skills, such as increased confidence and personal safety. Offer free introductory sessions, distribute flyers in local businesses and schools, and use social media platforms to reach a wider audience. Collaborating with community organizations can also help increase visibility and credibility.

How do I start an online martial arts training business?

Starting an online martial arts training business involves creating a series of instructional videos or live classes that can be accessed remotely. Develop a website or platform where students can subscribe or purchase courses, and market your online business through social media, martial arts forums, and email marketing.

Read More: How to Start an Online Martial Arts Training Business

What are some creative ways to make money with martial arts?

Creative ways to make money with martial arts include hosting martial arts camps or retreats, offering specialized workshops like self-defense for women, creating instructional content for sale, and starting a martial arts blog or YouTube channel. Merchandising branded apparel and equipment can also be a lucrative avenue.

What are the best martial arts business ideas?

The best martial arts business ideas extend beyond traditional teaching. They include starting a martial arts equipment shop, creating a fitness program that integrates martial arts techniques, organizing competitive events or leagues, and offering corporate self-defense workshops.

What is the best martial arts software?

The best martial arts software is one that offers comprehensive features tailored to manage classes, track student progress, handle payments, and facilitate communication. Exercise.com is highly recommended as it provides a versatile platform that not only manages these tasks efficiently but also offers tools for marketing, customer engagement, and business analytics, making it ideal for any martial arts business.

Jimmy Myers Relentless Sports Performance

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business plan for martial art

business plan for martial art

How To Write A Martial Arts School Business Plan

How To Write A Martial Arts School Business Plan

“Discipline is not a mystery,” says Sensei Leader Movement Founder and Jim Bouchard . “It’s the simple and dedicated practice of aligning your vision and your actions.”

If you’re starting your own martial arts school, you’ve clearly taken the time to perfect the discipline of your practice. You’ve harnessed the drive to make your passion your full-time profession. Great work! But in order to run a successful dojo, you also need to establish and maintain a disciplined business plan.

This plan needs to clearly align your vision and goals with how you intend to achieve them. It’s what you’ll present to your bank to secure loans, to your investors and to your future managers. It’s what proves to friends, family, clients and colleagues that you’re serious – that there’s no going back on your dreams.

Also, when you lay it out for yourself, it’s easier to visualise the next steps and hold yourself accountable to make them happen.

Put simply, you can’t succeed without a kickass business plan. You can find some good fitness business templates online , but to give you the edge beyond the average, we recommend our hot tips for success. 

Start with a clear and succinct overview

What’s your business name, and positioning statement? How will you stand out from the competition? The overview, or Executive Summary as it’s sometimes called, is your opportunity to define who you are and what you stand for. 

It’s also the time to craft you offering. Open strong. Establish your specialty and make it clear what products and services you offer. For example, “We’re a dojo that focuses on Japanese martial arts only – karate, judo and aikido.” 

In your overview you can also outline desired class levels, schedules and times as well as proposed venue(s).

Olivia Rhye

Conduct an industry analysis

It’s crucial your martial arts business plan demonstrates an understanding of the existing market, both in your locally and further afield.

Make sure your business plan explains the perceived demand for martial arts in your area. Perhaps a successful studio isn’t accepting more students or doesn’t provide the particular specialisation you’re offering.

It’s also a smart idea to profile a dojo or martial arts brand you admire and highlight some examples of what they do well in this section. How will you adapt your inspiration to fit within your business model?

Define your target market

It’s absolutely crucial to have a clear idea of who you’re targeting.

Will your martial arts school mainly target young people? Do you have specialist teachers for advanced level classes, or for those who want to start from scratch? Perhaps it’s a combination of all the above.

A great way to highlight this in your martial arts business plan is to attempt some profiling of target clients. Give details on their age, gender, level of martial arts expertise, predicted duration as a client, and so on.

The more detail you can give on your desired clients, the easier it will be to identify their wants and needs to both yourself and potential investors.

Forecast for the years ahead

When you’re writing a business plan, you don’t just want to look at immediate gains, but to work towards a bigger picture. This business is intended to be something strong and to hopefully stand the test of time – not something you’re running for a few months. 

A solid martial arts business plan will forecast predicted growth over the years, based on estimated sign-up figures. Not sure what they’ll be? You can get a picture from your competitor and industry analysis, and target market profiling.

Statements like this are just what investors want to see: “We’re setting up our new martial arts school ‘Ninja Kids’ next to a primary school that’s currently under construction. We wish to capitalise on our close proximity to our desired target market of beginners aged 6-12.”

Outline your proposed operations

In this section, you need to shape your proposed operating schedules and costs for your dojo. 

Here are some things you need to think of:

  • Venue cost and contract
  • Timetabling
  • COVID-safe plan
  • OHS and safety
  • Council permits

Develop your marketing approach

There’s no point launching a martial arts school if nobody knows about it. This part of your business plan is a chance for your promotional prowess to shine.

So, how are you going to get the word out?

There are free options, such as social media. You could:

  • Start a Facebook group
  • Show off your shiny new studio on Insta
  • Launch some teaser sparring videos on Tiktok.

A local radio station or newspaper might be interested in coverage, or advertising.

If you can tap into existing networks of local martial arts interest areas, or call on the trusted connections of your teachers, a round robin SMS text out can be great to get the initial word out.

The options are endless. Just make sure that whether it’s mail drops in letterboxes or adverts in glossy magazines, your marketing intentions are outlined clearly in your business plan.

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Know your finances inside and out

Crunching the numbers for a new martial arts business can be intimidating. But you need to be realistic. Total up all costs and be honest. 

If you’re seeking financial assistance you need to be as transparent as possible – and this means also making sure all your personal debts are in order. There’s no room for skeletons in the closet.

Make your venue hire more budget friendly by sharing a venue with another fitness business to begin with. And start small. You can always grow, but it’s not as easy to go backwards. 

With the right plans in place, your steps to dojo success are well within reach!

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How to Write a Martial Arts School Business Plan [Free Template to Edit]

Ashley Mann

October 4, 2023

Title Text next to picture of a notebook with the words Business Plan written on it

So you’ve decided to open a new BJJ gym or other martial arts school in your town, and you’re needing a business plan to present to your business partners, bank, or other investors.  How to go about writing one?  You’ve come to the right place!

In this article, we’ll go over the key elements a Judo, Karate, or Jiu Jitsu business plan needs to have, and I’ll also provide a free sample martial arts school business plan template that you can edit and download to create your own business proposal.

Section 1: The Executive Summary

This section should give a high level overview of your business and its goals.  The first paragraph should include the name of your martial arts school, your mission statement, and a brief description of what services you plan to offer, and to whom.

In the second paragraph, you might go into a bit more detail about what unique value your business offers and how you are differentiated from any competitors. Finally, summarize your business strategy and goals, including revenue projections and any funding requirements.

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Section 2: Company Overview

In this section, provide a detailed description of your business model, including its legal structure (for example, LLC or Sole Proprietorship), location, history, and ownership.

Explain the reasons behind starting (or expanding) your martial arts academy, and what experiences or credentials make the owner(s) qualified to run the business.  In this case of a BJJ gym, this could be the head instructor’s rank of black belt, or it could be experience owning or managing a completely different type of business – anything that will help show that the martial arts business is likely to succeed.

Also be sure to mention any significant achievements of the business so far.  For example, maybe you’ve been training with a group of friends in your garage.  In this case, you could mention that the gym already has X number of students who have been training under the instructor for X number of years.

Customer Analysis

This section needs to detail thorough research you’ve done to understand your customers and the demand for martial arts in your area.

Start by outlining the categories of students you hope to have at your martial arts school, and what your business will offer to each of these types of students.

At first you might be thinking that you’ll be offering the same thing to all your students: martial arts classes.

But beyond the obvious service students will be paying for, think about the unique ways in which you will make training at your school attractive to different types of students.  For example:

  • Kids – What will make your kids classes so much fun that kids look forward to coming and beg their parents to keep paying for classes?  What will make parents value these classes as something they want for their kids?  How will you make it easy for parents to involve their kids in your classes?
  • Professional Adults – People with jobs and families may not have the same amount of time to devote to training as single young adults, but they are more likely have something that younger students may not have: money to pay for classes.  How will you make training convenient for them?  For example, will you offer showers so that they can go directly from class to work?  Will you offer classes at multiple times per day?
  • Women – Brazilian Jiu Jitsu especially is a sport where men still outnumber the women who train, but this martial art is becoming increasingly popular with women, and gyms that go out of their way to make sure they offer an environment that is welcoming to women will have an advantage in an untapped area of any market.  What can you offer that would make women more likely to train at your gym?  Maybe it’s a woman-led self-defense class, or even childcare during adult classes to make it easier for couples with kids to train together.

Competitor Analysis

In this section, you’ll want to address any competitors in your area, including gyms offering the same type of martial art as you, as well as alternative martial arts and activities that people could choose instead of training at your academy.  For each competitor or competing activity you list:

  • Detail their success (including numbers if possible) to show how that means that a market exists for what you are offering.
  • Will you offer more affordable pricing?
  • Will you offer a no-contract option?
  • Will you have nicer facilities?
  • Are your classes safer or more welcoming?
  • Are your classes more accessible to a wide variety of people?
  • How will what students gain from your academy impact their lives outside of class?

Marketing Strategy

In this section, outline in detail your plan for marketing your business, including how you will make your target audience aware of your business, including advertising channels (including Google and Facebook as well as local marketing opportunities) and how you will use them to attract new students.

Include detailed estimates of how much you plan to spend on marketing, how fast you plan to grow, and how much revenue new students will generate for the business.

If you need help creating and implementing a martial arts marketing strategy, get in touch with us to learn how we can help!

Operations & Management

This section explains the day-to-day operations of your business.  Introduce the members of your team and their qualifications.  (If you are the only staff member, you could mention professionals you hire for services such as a bookkeeper or marketing agency.)  Explain who will teach classes, who will clean the gym, who will answer phone calls and emails, who will handle finances and bookkeeping, and who will be in charge of marketing (such as running advertising campaigns and promotions, nurturing leads, and maintaining an email newsletter).

Financial Plan & Projections

This is part that requires math.  The goal of this section is to demonstrate when and how your business will be profitable, and, if you are applying for a loan, that the business will produce enough income to sustain itself and repay the loan.

The first section should list All sources of revenue, how much income these generate per month, and how much income you predict they will generate by the end of Year 1, 2, 3, 4, and 5.  In addition to class tuition, think about other ways you might generate revenue for your gym, such as offering private lessons, hosting special events, or selling uniforms and gear with your logo.

The second section should list ALL forecasted expenses, including:

  • Construction and renovation costs
  • Signage / branding
  • Website design
  • Gym equipment
  • Gym furnishings and decor
  • Technology and office supplies
  • Building lease
  • Loan repayment
  • Utilities, phone, and internet
  • Liability insurance
  • Building cleaning and property maintenance
  • Website hosting
  • Staff salaries

Forecast when your gym’s income will be able to pay for its monthly expenses (and explain the reasoning behind your forecast).  Then detail your plan to cover startup costs, including personal investment and/or the funding you’re requesting.

Finally, provide a calculation of the number of students you’ll need to break even, and how much profit you’ll make in Year 1, 2, or 3 (with funding) if your gym grows at the projected rate.  Include an explanation of your assumptions about the rate of growth, for example, using data from other martial arts schools in cities of a similar size to yours.

Funding Request

In this final section, be very clear about your request for funding,  Include:

  • How much money you are requesting.
  • How the funds will be used.
  • When the loan will be repaid.

The appendix to your business plan would be any supporting documents you can provide that help explain or detail your martial arts business plan, such as market research data, legal documents, staff resumes, and financial projection tables.

  • Be sure to proofread your business plan carefully.
  • Ask a trusted friend, colleague, or service professional to read your business plan and provide feedback on its clarity, as well as any concerns they might anticipate.
  • Download our free Martial Arts Business Plan Template as a guide to help you with writing and formatting yours.

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How to Write a Martial Arts Business Plan (Step-by-Step Guide + Free Template)

business plan for martial art

  • posted on 2024-05-23 2024-05-23

business plan for martial art

Opening a martial arts studio can be very promising and profitable in a longer perspective. Yet, it requires a well-thought-out business plan. Creating this document will help you understand what you need to make your martial arts studio successful. Stay with us! In this article we describe a BP for a martial art business from the scratch. It’s a solid foundation for writing your own detailed business plan. Doesn’t matter if you are creating a new studio or improving an existing one.

An inspiring quotation, connected with writing a business plan for a martial arts studio but also with martial arts discipline and emotions.

Download: Free Martial Arts School Business Plan Template

What is a martial arts school business plan?

This is a document that describes planned activities, goals, and strategies for a new or existing martial arts school. It is an important set of papers for:

  • martial arts school owners,
  • anyone who wants to open a new martial arts business.

An empty notebook and a pencil - place where a martial arts school business plan will be written.

How to write a martial arts school business plan (Step-by-Step)?

  • Step 1: Gather answers to important questions from the list below before writing your plan.
  • Step 2: Are you opening a martial arts school with an innovative business model? It is better to wait to start writing a business plan immediately to verify whether this model can succeed. 
  • Does the martial arts school have a traditional business model (e.g., hour-scheduled group training sessions) already existing in the market? You can skip this step and create a business plan immediately.
  • Step 3: Create a martial arts school business plan using the ready-made template (pattern) described below.
  • Step 4: Review the business plan regularly, every month in the first months of running the martial arts school, and at least once a year in subsequent years. A BP is a living document that will help your place grow.

What to remember when creating a martial arts school BP?

  • Write short and concisely. Be specific.
  • Use numbers for calculations.
  • Assume black scenarios. The blacker you assume, the more positive the surprise 🙂
  • In the first months of the martial arts school’s operation, work with the BP daily and update calculations and assumptions.
  • Once the martial arts school is stable and has reached the so-called break-even point, return to the business plan at least once a year.
  • Discuss the business plan with your team. You will build a unique commitment this way.
  • The business plan is for years. The document should be updated regularly. Assume that it’s never good enough and complete the content.

“Am I good enough?” written in a notebook, could be a question asked by a martial arts BP 🙂

10+ questions to start with when writing a business plan

Start writing your document by answering a few important questions. The questions help you create a good business plan for opening a martial arts school and, above all, help you design a business that perfectly suits your needs:

  • Why do you want to start this martial arts place?
  • How much would you like to earn per month? 
  • How many clients do you plan to serve per month? 

What kind of studio do you want to run? (e.g., group training place, specialized one- martial-art-style -studio, or for one kind of clientele).

Special kind of martial arts offer - classes for children.

  • What kind of service will you offer? (on-site, online, mixed).
  • What area will you operate in?
  • Who will be your client? 
  • How many direct competitors are there where you want to operate?
  • How will your studio stand out?
  • Who do you need to hire to start a martial arts school?
  • What metrics will you keep track of? (e.g. retention rate, customers opinions, contest prizes).
  • What will your place look like inside?
  • What will the atmosphere of your studio be like?
  • What will your martial arts offer look like? 

A PC is all your customer needs when they want to meet martial arts online.

Recommendation

Remember that a sample of your martial arts classes can attract potential customers. A well-performed meeting will help you sell your idea. The teacher’s performance and place’s image are your #1 sales tools.

What is a business plan for?

  • A business plan is an action plan. You will stop dreaming and start turning your idea into a real gym business plan.
  • Running a business is working in a company. Creating a plan is working “on the company,” i.e. its design and improvement.
  • A gym business plan will allow you to verify your assumptions. You will observe it in a year, two, or five years. It’s super satisfying to watch how your knowledge grows every year.
  • Writing this document allows you to translate your vision into a specific project and action plan. It also allows you to rethink to what extent your business idea is a recipe for success and what you still need to refine.
  • Creating a business plan for a gym will help you assess the reality of your dream. You’ll check the possibilities of its implementation, as well as check the chances of its success. It’s also important to assess the risk you have to take.
  • A business plan forces you to be specific. If you don’t know the answer to a question in our guide, you may be blind in this area, which is very risky.
  • If you already run a gym and don’t have a plan, fix this mistake. Every gym should have some sort of ideas for the present and future actions.

When is it worth writing a business plan?

Definitely! 🙂 You plan to open a successful martial arts school, right? Not having the basic elements of your business written down and calculated… dooms you to failure. Remember to verify them regularly too. 

Only an analysis of the studio’s results and planning the next moves (in the form of a business plan) allows you to have full control over the martial arts school. Of course, the external motivation is looking for an investor or support (then you are forced to create this document).

Helpful resources when creating a martial arts school business plan

  • Martial Arts Styles

Free Martial Arts School Business Plan Template

A typical martial arts place business plan example includes:

  • Executive summary for the studio
  • Martial arts school description
  • Market analysis
  • Competition analysis
  • SWOT analysis
  • Investment costs (one-off to start)
  • Operating costs (fixed monthly costs) Financial Projections
  • Profit and Loss Account

Break-even analysis

Sensitivity analysis

  • Martial arts school marketing plan
  • Company description of the vision for further development of the studio

Two men practicing martial arts.

1. Executive Summary

The summary of the martial arts place business plan should include:

  • Mission statement, vision, and values.
  • Description of the studio concept.
  • Why will this idea be a success?
  • How do you want to implement this plan?
  • Profits and return on investment.

The executive summary should be written at the end, after you have written your entire martial arts school business plan. The executive summary wraps the business plan up. It provides the reader with the most important information in a very concise form (max. 600 words, i.e., about 1-2 pages). Say only about the key aspects of your business idea. Use points!

2. Description of the martial arts school

This section aims to show you the details of your studio. It should not lack the following elements:

  • Mission: why do we exist?
  • Vision: what we want to achieve in 1, 2, and 5 years.
  • Business Type: Is your studio a sole proprietorship, partnership, or other business?
  • Martial arts school name (get inspired by our list of gym names ).
  • Studio type: specify the type of martial arts school, e.g. individual meetings studio, group martial arts classes, online training studio, contest preparation only, etc.
  • Specific location: write exactly where your new studio is (or could be) and why you chose this place.
  • The style of the place: what will be the colors, atmosphere, decorations, music, etc.
  • Ways to serve the customer: only on-site, only remotely, both ways.
  • Hours of operation: What hours will the place be open? Why are these?
  • Your offer is surely connected with your experience and skills. But remember to be creative and have 1-3 differentiators from the competition (Unique Selling Points)

An ascetic training interior matching with martial art discipline.

3. Market research and competition analysis

You should thoroughly analyze the space to create your premises. Oh, unless you are introducing real innovation to the market – or maybe especially then 🙂 What needs to be observed? Analyze the market and competition, focusing on the following: Industry analysis. Customers are the key to any martial arts school’s success. Knowing their demographic structure, preferences, and training habits is critical to a business plan.

  • Target market for a martial arts school: Think about who your customers will be. Consider their age, interests, expectations, and how to reach them.
  • Needs in the market: Describe the market’s needs and how your martial arts school will meet them.
  • Target Group Size: Determine the number of potential customers in the market you intend to target.
  • Market trends: Use credible information to show that people will be interested in your martial arts school idea. Find out current trends and how the martial arts business is developing.

Competitive analysis Check out other martial arts schools that are or could be your competition.

  • Are there any other martial arts studios in your area? Make a list of them.
  • Revenue and number of customers they can achieve: Estimate how much such martial arts schools can earn.
  • Offer and prices: Analyze what these places offer and what is their pricing. Try to calculate their revenue cost (it is how much you need to spend before you start earning).
  • Competitor marketing activities: See what makes them successful and be aware of their weaknesses.
  • Competitive advantages: What will be your advantage?

SWOT analysis The abbreviation comes from the words: S for Strengths, W for Weaknesses, O for Opportunities, and T for Threats. Fields S and W are related to the martial arts school’s launch situation. While the O and T fields are related to the success of your project in the future. It is worth conducting such an analysis in the form of a table:

PositiveNegative
InsideStrengths


Weaknesses


OutsideOpportunities


Threats


4. Investment plan (cost analysis)

In this section, you will present the costs associated with the initial investment and the spending plan for the first year of operation.

List the costs, dividing them into two groups:

  • Investment costs (one-off to start).
  • Operating costs (fixed monthly costs). 

After opening a martial arts school, verify the costs regularly, preferably once a month.

Creating a martial arts business plan consists of predicting the income-outcome issues.

Investment costs include, among others:

  • Rental or purchase of the real estate.
  • Renovation and adaptation of the martial arts facilities.
  • Purchase of exercise equipment: mats, kettlebells, dumbbells, other special equipment, like poles for a pole sport studio, etc.
  • Reception Desk.
  • Unified Work Clothes for the staff (if you plan it)
  • POS software.
  • Payment terminals.
  • Computer hardware for the POS system.
  • A website with online booking.

Regarding point 5 and 6, take into account a very important monthly purchase, which will however save your time and money finally. It’s a martial arts school management software. You can compare some of the software providers  dodać link gdy artykuł będzie opublikowany on the market. Yet, what we recommend is WodGuru . With its reasonable price, many useful features, amazingly helpful support and nice cartoon visual identity.

  • Insurance of the premises and equipment.
  • Organizational and legal costs (e.g., regulations, documentation).
  • Costs related to permits and licenses (e.g. license to conduct exercises according to a patented pattern and name).
  • External training costs.
  • Operating costs.
  • Rental of real estate (if the premises are rented).
  • Electricity.
  • Staff wages: main martial arts instructor, receptionist, additional workshop teachers, etc.
  • Purchase of additional items like finger food and drinks.
  • Equipment maintenance and servicing costs.
  • POS system support.
  • Online booking system.
  • Employee insurance.
  • Online and offline advertising.
  • Printed materials.
  • Running social media.
  • Website positioning (SEO).
  • Taxes and fees.

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How to finance the opening of a martial arts school?

How Much does it cost to open a martial arts school in 2024? Opening a martial arts school with no money can be challenging, but it’s not impossible. Here are some ways to open a studio without enough funds:

  • Look for martial arts school investors or alternative funding sources.
  • Start your online business to get first customers.
  • Consider co-working with other companies.
  • Start a smaller business by offering training sessions on demand and develop your brand.

Assess, which costs at the beginning of a martial arts business are inevitable. Think about:

  • taking out bank loans,
  • receiving subsidies — a business plan will even be necessary to receive them
  • loans from friends or family.

5. Financial forecast

  • Projected profit and Loss Statement: Shows what turnover and profits you will generate. 
  • Break-even analysis: Shows when a martial arts school will become profitable.
  • Sensitivity analysis: Shows what happens to turnover and profit in negative scenarios. E.g. 50% decrease in turnover for three months.

Profit and Loss Account You will need to estimate the value of the sale considering the size of your martial arts school, target market, sales volume, and revenue cost. 

You will get a profit and loss forecast, comparing this with the costs. The easiest way to prepare a profit and loss account is in the form of a table:

Months of running a businessMonth 1Month 2Month 3e.t.c.
Number of fitness classes per month
Average class value
Monthly income (turnover)
Variable costs per month
Fixed costs per month
Profit per month
Profit margin (in percentages)

Investors will want to know how much revenue you need to generate each month to break even after all fixed and operating costs are considered. In the analysis, you should show how you intend to generate the necessary revenue, even in difficult months with lower sales.

A young girl training martial arts on a dollar banknotes background.

It is worth doing it to assess the negative scenarios. When will the other martial arts schools be stronger, and you will have to lower prices? When do you lose key employees? When is there a decrease in sales by 10 or 20% compared to what you assume?

This will allow us to be better prepared for different financial crises and reduce stress when it happens.

Make a sensitivity analysis in the form of a table:









Business is people. Describe what your team will look like, dividing it into two groups:

Three people working on one PC, discussing their martial arts business.

If you are looking for investors, this area can be critical for them.

Describe the founders:

  • List of founders.
  • Experience.

Which positions are necessary for the daily functioning of the premises? Is it the receptionist, a martial arts instructor, an additional teacher, social media platforms specialist, etc.? Who will suffice as emergency help?

Think about which people you already know with the necessary competencies. Which ones will you have to look for or train as your employees from the beginning? The cost of necessary training should also be included in the martial arts school business plan.

Describe the team you need to build:

  • List of job titles.
  • Remuneration.
  • Type of contract.

The instructor congratulating his students in a martial arts school.

7. Marketing plan

Ideally, your marketing strategy should include the items we listed. Below we describe how to do effective marketing. You may also take into consideration some of the fitness marketing ideas we wrote about in our previous articles.

A person holding a camera pointing at you, recording a marketing spot which promotes your martial arts business.

  • Brand building (logo, colors, martial arts school name , martial arts school slogans)
  • Building your own website or app (Here you can check how to create a fitness app )
  • Selling training sessions or booking online from your own website (as the main way of selling online)
  • Launching a loyalty program
  • Will you run social media?
  • Will you be implementing martial arts school SEO (Search Engine Optimization)?
  • Will you add a business listing on Google Maps?
  • Will you run email and SMS campaigns, and if so, how often? How will you build your subscriber base? 
  • Will you be blogging?
  • Will you be running a martial arts school newsletter ?
  • Will you be doing paid Google Ads and Facebook Ads?
  • Will you be offering promotions? If so, what types?

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8. A vision of further development

Awareness of your development’s direction is very important at the beginning of the martial arts business. When setting school goals you want to achieve in a certain time, you should start with the ones possible to get at the everyday level. It is also worth considering how you want to reach the bigger ones.

A young boy wearing martial arts clothes, watching older competitors and feeling this is his life goal.

During project execution you need to observe and adapt initial goals. It enables effective management and reduces losses in marketing, service, and other areas. Your martial arts school’s written plan should clearly outline the vision and strategies to achieve desired objectives.

Sample martial arts school business plan

We created a sample martial arts school business plan to help you write your own business plan. Click below to download an example of a business plan for a martial arts school.

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Key Takeaways

  • The business plan describes what your martial arts school will look like.
  • Create a business plan even if you already run a martial arts school.
  • Do not outsource writing a business plan to external companies. It is better to ask experienced martial arts school owners or an external company as a consultant for your ideas.
  • Go back to the business plan once a month if you are starting and once a year if you have been operating for several years.
  • A business plan is not an artificial document you write once and forget. It is a living document that teaches you how to run a business.
  • Complete the content of your business plan. It is “never good enough”.

Frequently Asked Questions (FAQ)

How to write small martial arts school business plans.

Regardless of the size of the martial arts school, the steps of business planning remain the same. Creating a document for a small martial arts school consists of writing: 

  • Executive summary, 
  • Martial arts school description, 
  • Market analysis, 
  • Investment plan, 
  • Financial projections, 
  • Team, 
  • Marketing plan,
  • Company development description

Does every martial arts school need a business plan?

In our opinion, it does. If you are serious about putting your own martial arts school in the whole martial arts industry, you must implement a repetitive method of working “on the company”. A BP that is updated every month and year is a way to run a better and better business.

How to promote martial arts schools?

Promoting a martial arts school is key to attracting new guests, increasing sales and retaining regular customers. A few steps to help you promote your martial arts school:

  • Create a professional website with an online booking system .
  • Take care of social media by posting regularly and encouraging interaction.
  • Add your martial arts school to popular sites.
  • Collaborate with influencers.
  • Organize events such as health promoting, self defense promotion, competitions.
  • Use paid ads such as Google Ads or Facebook Ads.
  • Collect your martial arts school feedback from satisfied customers.

How much profit does the martial arts school make?

A martial arts school’s profit depends on many factors, such as location, offer, prices, service quality, and business size. The average martial arts school profit margin is between 20 and 30% per year, but it can vary significantly depending on the factors mentioned above. 

What makes a martial arts school business plan important?

A martial arts school business plan is important for several reasons:

  • It helps clarify the vision and goals of the martial arts school.
  • It provides a roadmap for the business.
  • It includes financial projections, budgeting, and funding strategies for securing investors or loans.
  • It identifies potential risks and challenges, allowing the business to address them proactively.
  • It serves as a reference point for decision-making, helping the management team focus on the business’s objectives.
  • It can be used to communicate the business idea effectively to stakeholders, including investors, partners, and employees.

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  • How to Write a Gym Business Plan (Step-by-Step Guide + Free Template + Examples)
  • How to Write a Pilates Studio Business Plan (Step-by-Step Guide + Free Template + Examples)

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Creating a winning martial arts business plan, today's society is seeing an increase in the popularity of martial arts businesses, and with good reason..

Martial arts can be a great way to maintain good health, boost self-esteem, and cultivate a sense of community. However launching a martial arts company is challenging and needs careful preparation and execution. A martial arts business plan can help with that.

Gym owners who want to launch or grow their businesses need a martial arts business plan. It defines the processes required for success, such as marketing strategy, financial projections, and operating schedules. So how can you even begin? Here are a few key tactics for constructing a successful martial arts business plan.

Define Your Vision

The first step in creating a martial arts business plan is to define your vision. What is your gym’s mission statement? What objectives do you have for the company? What sort of atmosphere do you hope to establish for your members? You should develop a strong vision for your company that will influence all future decisions by adhering to the company wide vision.

Identify Your Target Market

The next step is to determine who your target market is. Who is it that you want to draw to your gym? Are you aiming for adults, kids, or both? What motivates them to desire to learn martial arts? What are their interests? Identifying your target market will help you to better concentrate your marketing efforts and services to cater to their demands.

Develop a Marketing Plan

It's time to create a marketing strategy now that you are aware of your target market. How are you going to reach potential clients? Which media channels will you employ to promote your gym? Are you going to concentrate on print ads, social media, or something else entirely? You will increase membership and expand your company with the aid of a well-designed marketing strategy.

Create a Financial Plan

Of course, no martial arts business plan is complete without a financial plan. This should include your projected income and expenses, as well as any financing you may need to start or expand your gym. A detailed financial plan can help you stay on track and make informed decisions about your business’s growth.

Focus on Operational Efficiency

Ultimately, it's vital to concentrate on efficiency. This entails simplifying your operations to increase efficacy while decreasing waste. This can involve things like refining your schedule to appeal to the most popular class times, automating secretarial work, and lowering overhead expenses. You may free up more time and resources by concentrating on operational efficiency so that you can concentrate on expanding your company.

Gym owners who want to launch or grow their businesses must develop a strong martial arts business strategy.

You can position yourself for success by establishing your vision, identifying your target market, constructing a marketing plan, creating a financial plan, and concentrating on operational efficiency. Hence, if you own a martial arts business, consider asking yourself if you have a plan.

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Cents and Senseibility Value-Priced Martial Arts School

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.">.

The Can-Am Taekwondo Instructors and Schools Confederation has been active in the United States for the past 30 years.  Being part of this organization will benefit Cents and Senseibility Martial Arts School owned and operated by Rolly BonTemps, 5th Degree Black Belt. 

The Can-Am Taekwondo Instructors and Schools Confederation (CATISC) is the premier North American organization dedicated to the martial arts discipline of taekwondo, and is the founding organization of other international affiliates, overseeing over 1,500 schools and clubs, registering  over 300,000 members.

The focus of this program is to provide students the highest quality martial arts instruction available, in a safe and positive learning environment that people of all ages can enjoy.  Rolly BonTemps, a high ranking instructor, will combine excellent student instructor ratios with state of the art training facilities.  Instructor Rolly BonTemps, is a graduate of an instructor program that represents more than thirty years of research and development.  He will be with students every step of the way to help them reach their individual goals (and maybe even reach some new goals they’ve never before thought possible).

Cents and Senseibility will be value-priced taekwondo martial arts school serving its customers in our community by providing several programs for a variety of purposes, ranging from basic martial arts, to self defense, to esteem and life skills building, and more.  Cents and Senseibility Martial Arts School plans to enhance its programs as it expands, developing new programs to ensure the students have as much access to the different aspects of Songahm Taekwondo as possible. 

The art of self defense is becoming more and more popular with the young people of this country as the terrorist threats to this country have become reality.  Cents and Senseibility Martial Arts School will also offer self-defense techniques to local Law Enforcement in the area.

Cents and Senseibility will offer what we believe is the best martial art in the world.  Taekwondo is an exciting and powerful martial art known for its dynamic kicking and hand techniques.  Although these martial art techniques are centuries old, the planned programs being offered are always evolving to keep pace with the rapidly changing world. 

Cents and Senseibility Martial Arts School realizes that each student possesses different physical abilities.  Size and strength vary with each individual.  Once a student has acquired a strong foundation in the basics, Rolly BonTemps’ outlined program will enhance the student’s physical capabilities and maximize his/her self-defense skills. 

Cents and Senseibility Martial Arts School, is not interested in just teaching self-defense. Rolly BonTemps, as a certified instructor remains interested in the complete personal development of each student.  Individual attention is a feature of each and every class, allowing all students to progress quickly and confidently toward their personal goals.  Rolly BonTemps takes his responsibility as a role model for younger students seriously, teaching them the importance of strong character, leadership and good values. 

The teaching curriculum at the Cents and Senseibility Martial Arts School is based on two concepts: “positive mental attitude” and “high goal setting.” Rolly BonTemps is so positive about this program that he promises to give students and their families the most professional, well supervised, and  highest quality classes available in any sport or art. 

Future plans call for Cents and Senseibility to expand into Cardio Kick Boxing Classes for the young adults.  Pilates (fitness exercise) Classes will also be offered to young and older adults. 

Enrollment for the Cents and Senseibility Martial Arts School is projected at 120-125 students as the break-even point for profitability.  Under the value-priced structure being planned, based on past experience in marketing and selling the different plans, Cents and Senseibility Martial Arts School is projecting 100-120 student enrollments within the first 6-8 months after opening.  Student enrollment in the Cardio Kick Boxing classes is projected at 45-50,  and the Pilates Exercising Classes are projected at 30-45 enrollments within the first six months after opening. 

Our financial plan is based on reaching our target sales goals while maintaining a reasonable cost base.  We plan to reach break-even sales volume in only four months after our opening and maintain a healthy 30+% bottom line profitability.  If we reach our financial goals, we plan to acquire a stand-alone building for the Cents and Senseibility Martial Arts School, which may better suit our growing needs.

Martial arts school business plan, executive summary chart image

1.1 Objectives

  • Identify an area within the community that is centrally located to local Elementary, Middle and High Schools by mid-summer 2003. 
  • Enter into lease agreement for 2,500-3,000 square foot (minimum) premises to establish Cents and Senseibility Martial Arts School.  This area will include store front and visitor seating area, dressing/rest rooms for male and female students. 
  • Actively recruit membership.  The marketing plan to be adopted has been extremely successful at other taekwondo schools across the country.  The success of this plan depends upon arranging with school administrations to visit local classrooms, especially at the Elementary School Level and provide a show and tell.  Here it is demonstrated to the children what the martial art can teach them.  Concentrating on discipline, self respect and self control, Rolly BonTemps works with the children for approximately one hour in the classroom setting.  The success of this program over the past four years has been remarkable.  As a result of this marketing plan, the membership for Cents and Senseibility Martial Arts School is expected to grow by 8-10 children a week.  The martial arts school, in which Rolly BonTemps is currently employed as lead instructor, has the highest membership for a single CATISC member Taekwondo school in the country.  This was largely due to this marketing plan, which Cents and Senseibility will be following.   
  • Cents and Senseibility Martial Arts School will actively seek out membership by marketing and handing out fliers, business cards, and advertisements at the local shopping centers, malls, and grocery stores in the area.  This is expected to generate 8-10 members a week. 
  • Cents and Senseibility Martial Arts School will offer Cardio Kick Boxing Classes for both the young and older adults.  This will actively be marketed through handing out fliers, business cards, and advertisements.  This is expected to generate 10-15 members for each of the first three months.  Maintaining a class of 45-50 students by end of year one. 
  • Cents and Senseibility will offer Pilates Classes for young and older adults.  Pilates is an aerobic exercise through stretching that is sweeping the country.  The plan is to have a certified instructor by month one.  Classes are expected to be enrolled at 10-15 members for each of the first three months.  Maintaining a class of 45-50 students by the end of the first year. 
  • Cents and Senseibility plans to increase paid membership to 180-200 by the end of the first year (equivalent to 80% of school capacity).
  • Develop a cash flow that allows for an investment build-up to support expansion, with plans to construct and own a stand-alone structure to support the functions of the Cents and Senseibility Martial Arts School in the future.

1.2 Mission

Pro Tip:

1.3 Keys to Success

  • Implement a solid budget and business plan.
  • Establish a unique, modern, safe and clean martial arts school and environment.
  • Focus on a good marketing plan to actively recruit students.
  • Keep the students and family members happy and part of the Cents and Senseibility family.
  • Plan on expanding to multiple locations.

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Cents and Senseibility Martial Arts School is associated with the Can-Am Taekwondo Instructors and Schools Confederation, a nationally recognized martial arts organization with over 1,500 active member schools across the United States.  CATISC is one of the most successful martial arts organizations in the world. 

Cents and Senseibility will serve a large community area.  It will offer group and individual classes in the art of Taekwondo and self defense.  Classes will also be provided in Cardio Kick Boxing and Pilates exercising.  As Cents and Senseibility grows, future plans include to expand and accommodate a health club exercise gym to be offered for parents to enjoy while the children are in classes.

The initial Cents and Senseibility Martial Arts School store front will be located on a major street within a shopping center, with ample parking.

2.1 Company Ownership

Cents and Senseibility Martial Arts School will be operated as a sole proprietorship by owner Rolly BonTemps, Fifth Degree Black Belt.  All proceeds from membership, programs, tournaments, merchandise and other school activities are that of the owner. 

Cents and Senseibility will be affiliated with the Can-Am Taekwondo Instructors and Schools Confederation.  Cents and Senseibility Martial Arts School will be obligated to pay the Can-Am Taekwondo Instructors and Schools Confederation approximately 15% of all testing fees.  All other income will be that of the owner.

2.1.1 Fulfillment

Trained black belt instructors are the #1 resource.  These instructors are well versed in the training of Taekwondo and are selected based upon their knowledge and ability to work with students.  Instructors are not paid, rather they are members of the inner circle of the do-jahng, a club of top students.  Instructors are given free membership and access to the do-jahng and receive payment for private lessons they perform on a contract basis.  Instructor materials (i.e., belts, weapons) are provided free for their participation in training of students. 

As the Cents and Senseibility Martial Arts School opens its doors, it will be actively seeking members with experience in the martial art of Songahm Taekwondo.  Often times students are moving into the area and are looking for the nearest Can-Am Taekwondo Instructors and Schools Confederation affiliated school. 

In the eventuality that no experienced instructors are available, the CATISC has several schools in nearby cities that could make instructors available should the owner become injured or disabled. 

Also, within the first year of operation, students will progress through the belt ranks to achieve senior student status.  Under the watchful eye of the instructor these students will be trained to assist with lower rank classes and be given the opportunity to join the inner circle of instructor ranks. 

The Can-Am Taekwondo Instructors and Schools Confederation is very large and if immediate assistance is required due to some unforeseen circumstance, the organization would assist in all ways possible to assist the school owner. 

2.2 Start-up Summary

The start-up funding requirements are estimated below.  This amount ear-marked for start-up expenses, includes carpeting the floor, installing mirrors, restrooms and and office area, front desk sales counter and store front sign.  The remaining funds will be applied to rent of the commercial property until profits are generated.  In addition, the company will require some initial cash reserves and additional assets.  The start-up costs are to be financed by the equity contributions of the owner, Rolly BonTemps, and his parents, as well as by a three-year commercial loan.  These start-up expenses and funding requirements are summarized in the tables below.

The initial start-up for Cents and Senseibility will be relatively inexpensive.  Martial arts schools do not require a substantial buildout to open their doors with a large overhead.  The insurance needed to operate the Cents and Senseibility Martial Arts School will be offered by the Can-Am Taekwondo Instructors and Schools Confederation.  The school will open with a one million dollar liability policy being offered. 

CATISC will also provide the Cents and Senseibility Martial Arts School with a school number to open under the Can-Am Taekwondo Instructors and Schools Confederation organizational umbrella.  All other required licenses to own and operate a small business will be obtained through the local community in which the do-jahng is located. 

CATISC offers future martial arts school owners with a Business Clinic, outlining all the requirements needed to open a successful Taekwondo school. 

Martial arts school business plan, company summary chart image

Start-up Funding
Start-up Expenses to Fund $36,000
Start-up Assets to Fund $59,000
Total Funding Required $95,000
Assets
Non-cash Assets from Start-up $15,000
Cash Requirements from Start-up $44,000
Additional Cash Raised $0
Cash Balance on Starting Date $44,000
Total Assets $59,000
Liabilities and Capital
Liabilities
Current Borrowing $0
Long-term Liabilities $60,000
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-free) $0
Total Liabilities $60,000
Capital
Planned Investment
Rolly BonTemps $25,000
Parents $10,000
Other $0
Additional Investment Requirement $0
Total Planned Investment $35,000
Loss at Start-up (Start-up Expenses) ($36,000)
Total Capital ($1,000)
Total Capital and Liabilities $59,000
Total Funding $95,000
Start-up
Requirements
Start-up Expenses
Legal $800
Stationery etc. $500
Brochures $300
Consultants $0
Insurance $900
Rent $3,500
Expensed Equipment $5,000
Facility Renovations $25,000
Total Start-up Expenses $36,000
Start-up Assets
Cash Required $44,000
Start-up Inventory $5,000
Other Current Assets $0
Long-term Assets $10,000
Total Assets $59,000
Total Requirements $95,000

2.3 Company Location

Cents and Senseibility Martial Arts School will be located in a major shopping center.  Plans are to open a Taekwondo Center in a 3,000 square foot facility with a 1,800 square foot training area, 300 square foot viewing area (lobby) with a receptionist desk, large men’s and women’s dressing areas, showers and rest room facilities.  There will be two offices, one will be used for storage and the other for the main office. 

Plans are to have the building face a major street and have considerable foot and drive-by traffic.  Parking will be available in the shopping center.  The facility will be leased yearly, with plans for constructing or purchasing an independent building in future years. 

Cents and Senseibility Martial Arts School provides services to improve fitness and the capacity for self-defense, the Songahm Taekwondo is not just a physical activity.  Taekwondo “is the martial art that trains people physically and mentally.” In addition to physical fitness, Taekwondo classes promote discipline, honor, self-control, respect, courtesy, perseverance and loyalty.  Cents and Senseibility specializes in teaching ages 3-63. When students join they will not only be improving their fitness and learning to defend themselves, they will be embarking on a path to improve many important aspects of their lives. And the truly wonderful thing is they get to have fun while doing it! 

Here are some benefits you can expect from training in Taekwondo:

  • Fitness – The principles of Taekwondo techniques are based on the design of the human body.  For power the body develops the larger, powerful muscles of the torso.  The speed of the techniques comes from the fast, agile muscles of the arms and legs.  As students progress in Taekwondo, they learn to coordinate this speed and power, and develop a concentration to focus all of their body’s strength into a small, hard striking surface like the edge of the hand or the heel of a foot. 
  • Self-defense – When the speed and power developed through Taekwondo is used in a self-defense situation against the vulnerable parts of an attacker’s body, the results can be incredible.  Taekwondo allows a woman to emphasize many of her natural physical strengths, such as power in the legs, while learning a method of self-defense efficient against a much larger opponent.  Knowing they can defend themselves, the student’s confidence will grow.  And confidence alone is usually enough to deter potential attackers. 
  • Self-confidence – This does not come naturally for many people, but self-confidence can be developed over a period of time.  Through Taekwondo, as students accomplish new goals, their confidence level increases.  Taekwondo instils a sense of discipline and self confidence that can carry over to all aspects of life.

3.1 Tiny Tots Taekwondo Program

Cents and Senseibility Martial Arts School will offer Tiny Tots Taekwondo program.  The 3T program was developed specifically for preschool children ages 3 through 6.  This program offers children a strong foundation in essential character qualities such as courtesy, respect, and discipline.  In addition, the program is designed to improve children’s motor skills and enhance their ability to pay attention and follow directions.  All classes are taught using the most safe, fun, and exciting instruction methods available for this age group. 

  • Class will be held in the early evening and on Saturday
  • Classes will be taught by Rolly BonTemps (5th Degree Black Belt) or experienced Certified Black Belt Instructor.

3Ts have their own unique achievement patch and “Starbursts.”  Starbursts are earned with slight modifications in recognition of the preschool age of the child.  Four different colored achievement patches are available to accommodate all the stars that can be earned by a high achieving 3T.  The rank and testing system used by the 3Ts is slightly different  from that of our regular programs.  3Ts can earn six collectable animal patches to display on the belts as follows: Lynx for orange belt; Jaguar for yellow; Badger for camo; Bear for green; Kestrel for purple; Falcon for blue.  All six patches, as earned, can be displayed on the child’s belt. 

Upon graduation from the 3T program students will be afforded the Basic, Black Belt Club, or Masters Club Program. 

3.2 Basic Program

The Basic Program is for children and adults of all ages.  Under this program the student will receive, upon membership, two times a week instruction in the basic core skills of Taekwondo.  Classes will be divided by age groups. 

  • Classes will be held in the early and late evening and also on Saturdays. 
  • Classes will be taught by Rolly BonTemps (5th Degree Black Belt) or experienced black belt instructor.

3.3 Black Belt Club Program

The Black Belt Program is for children and adults of all ages.  Students in this program will receive instructions three times weekly.  This program also features free sparring, board breaking and street self-defense.  Classes will be divided according to age group and rank. 

  • Classes will be taught by Rolly BonTemps (5th Degree Black Belt) or experienced black belt instructor.

3.4 Master Club Program

The Masters Club Program is for children and adults of all ages.  All students will be encouraged to graduate into this program as they progress and experience the art of Taekwondo.  This program provides unlimited weekly instruction.  This program also features free sparring, board breaking, street self-defense and weapons training.  This program offers the complete package for Self-Defense Classes and will hold the largest portion of the Cents and Senseibility Martial Arts School enrollment.  Class instruction will be divided according to age group and rank. 

  • Classes will be held in the early and evening hours and also on Saturdays. 

WEAPON TRAINING

  • Single Ssahng Jeol Bong
  • Double Ssahng Jeol Bong (Level I, II)
  • Single Bahng Mahng Ee
  • Double Bahng Mahng Ee (Level I, II)
  • Jee Pahng Ee
  • Jahng Bong (Level I, II)
  • 3-Sectional Staff
  • Knife Throwing

SELF-DEFENSE TRAINING

  • Joint Manipulation (Level I, II)
  • Ground Fighting (Level I, II, III)
  • Breathing Exercises
  • Olympic Style Gyeoroogi
  • Modern Tai Chi (Level I, II, III, IV, V, VI)
  • PPCT Defensive Tactics
  • PPCT Spontaneous Knife Defense
  • PPCT Pressure Point Control Tactics
  • PPCT Sexual Harassment / Rape Prevention

3.5 Belts And Rank

The concept of belts and rank is probably one that most people associate with Taekwondo and martial arts in general, even if they only have a passing interest in the subject. 

In Songahm Taekwondo, our belts reflect a member’s proven level of competence and (just as importantly) the progression of colors reflects an inner journey that never truly ends.  Each belt achieved is truly an accomplishment worthy of respect.  It is also worth noting that achieving a belt isn’t just a matter of “spending enough time” in a previous belt.  In order to achieve their next rank, a student must demonstrate their proficiency in their current belt’s techniques, to include Basic Moves, Sparring and Forms. 

CATISC SONGAHM TAEKWONDO BELTS (RANKS)

White Belt “Pure and without the knowledge of Songahm Taekwondo.  As with the Pine Tree, the seed must now be planted and nourished to develop strong roots.”  The student has no knowledge of Songahm Taekwondo and begins with a clean (pure) slate.  Purity is often signified by the color white.

Orange Belt “The sun is beginning to rise.  As with the morning’s dawn, only the beauty of the sunrise is seen rather than the immense power.”  The beginner student sees the beauty of the art of Taekwondo but has not yet experienced the power of the technique.  Orange is found among the many colors of the sunrise.

Yellow Belt “The seed is beginning to see the sunlight.”  The student begins to understand the basics of Taekwondo.  The sun appears to be yellow.

Camouflage (Camo) Belt “The sapling is hidden amongst the taller pines and must now fight its way upward.”  The student begins to realize his/her place in the world’s largest martial art.  The student must now begin to spar in order to promote in rank.  Camouflage (greens) is used to hide among the trees in the forest.

Green Belt “The pine tree is beginning to develop and grow in strength.”  The student’s technique is developing power.  The components of the basic techniques are beginning to work in unison.  As the pine tree develops, it sprouts green pine needles.

Purple Belt “Coming to the mountain.  The tree is in the mid-growth and now the path becomes steep.”  The student has crossed over into a higher level of Songahm Taekwondo.  The techniques, poom-sae (forms), and level of gyeo-roo-gi (sparring) becomes more difficult, creating a “mountain” that must be overcome.  Mountains are often depicted as being purple.

Blue Belt “The tree reaches for the sky toward new heights.”  Having passed the mid-way point, the student focuses his/her energy upward toward black belt.  The sky appears as blue.

Brown Belt “The tree is firmly rooted in the earth.”  At this point the student has mastered the basics and developed deep roots in Taekwondo.  Brown is known as an earthy color, such as dirt.

Red/Black Belt “The dawn of a new day.  The sun breaks through the darkness.”  The previous day has ended, giving way to a new dawn.  The student must begin a new phase of training; that of being a black belt.  The red is the sun (in a sunrise) as it breaks through the black of night.

Black Belt “The tree has reached maturity and has overcome the darkness…  it must now ‘plant seeds for the future.'”  The color black is created when all the colors of the light spectrum have been absorbed into an object.  That object has “taken control” of the colors and retained them.  If one color was to “escape”, the object would no longer be black but would appear as that color.  The student has mastered the nine geup (grades) of Taekwondo.  He/she has “absorbed” all the knowledge of the color ranks and overcome or “mastered” that level or training.  The colors of the spectrum are bound together and are not reflected off an object, resulting in the absence of color, which we call black.

Market Analysis Summary how to do a market analysis for your business plan.">

Cents and Senseibility Martial Arts School will be owned and operated by Rolly BonTemps, 5th Degree Black Belt of the Can-Am Taekwondo Instructors and Schools Confederation.  Rolly BonTemps has been a Martial Arts Instructor for 10 years and has been studying the art of Taekwondo for 17 years. 

Currently positioned as Lead Instructor in Metroburb, Rolly BonTemps has been actively involved with all aspects of the business and is now ready to own and operate Cents and Senseibility Martial Arts School.  Since working in the Metroburb school, Rolly has developed a marketing plan that reaches out and actively seeks out membership.  Through this plan the Metroburb school has nearly doubled in membership over the past two years.  This school is now one of the top three single schools in the nation for membership. 

Rolly BonTemps has devoted himself to the teaching of Taekwondo because he believes it makes a difference in our young children’s lives.  Through the instruction of martial arts the parents can visually see the difference in their child’s daily behavior, attention span and their courtesy towards one another and the adult community.  Seeing children develop and fine tune their skills as they progress through the belt levels to Black Belt is not only a joy for the instructors, but also for the parents as they watch their child mature into a fine young adult.  An adult that walks with pride and gleam with self confidence. 

The Can-Am Taekwondo Instructors and Schools Confederation is one of the largest martial arts organizations in North America today.  Rolly BonTemps believes in it, is devoted to it, and plans to have the number one single school in the country.  By achieving this goal, the Cents and Senseibility Martial Arts School will have helped hundreds of adults and children achieve their goal of becoming  more confident in their actions and themselves.  This will also develop the future leaders and Black Belts of tomorrow.   

The demographic research has shown opportunity exists in our local marketplace.  There are no CATISC affiliated Taekwondo martial arts schools in the area.  A tremendous opportunity for growth exists in this market and Cents and Senseibility believes that our position as the potential leader in our marketplace is not an impossible task. 

4.1 Market Segmentation

National sources relating to sports in general and martial arts specifically, it is estimated that 15% of the U.S.  population have participated in some form of martial arts training during their lifetime.

It is estimated that 3% to 5% of the U.S. population are currently active in some form of martial arts training (the variation in numbers is a result of some surveys using Tai Chi, Kick boxing and Yoga as a martial art form, and some include school programs, where others do not).

Cents and Senseibility Martial Arts School will be located in a county with a population of 251,377 (Our County 2000 census).  The population of Our County broken down by gender is 50.1% male and 49.9% female; broken by race; 87.4% White, 19.6% Hispanic (Latino), 5.5% African American and 0.8% Asian.  The median age in the city is 44.1.  The Neighboring County has a population of 440,888 (Lee County 2000 census).  The population of Neighboring County broken by down by gender is 48.9% male and 51.1% female; broken by race – 87.7% White, 9.5% Hispanic (Latino), 6.6% African American and .08% Asian.  The median age in the county is 45.2. 

For purposes of this plan, we are going to address Our County (pop. 251,377, average age 44.1) with plans to expand to Neighboring County as we grow and prosper.  The Census results  indicate the following breakdown related to age groups for this area:

Our County Population   251,377      Neighboring County Population  440,888

Under 5 years old

13,441

5.3%

22,970

5.2%

5 to 9 years old

14,444

5.7%

24,224

5.5%

10 to 14 years old

13,677

5.4%

25,034

5.7%

15 to 19 years old

3,382

5.3%

22,501

5.1%

20 to 24 years old

11,708

4.7%

18,816

4.3%

25 to 34 years old

28,262

11.2%

46,491

10.5%

35 to 44 years old

33,458

13.3%

59,232

13.4%

45 to 54 years old

29,515

11.7%

54,833 

12.4%

55 to 59 years old

15,518

6.2%

26,820

6.1%

60 to 64 years old

16,459

6.5%

27,856

6.3%

65 to 74 years old

35,088

14.0%

60,563

13.7%

75 to 84 years old

21,060

8.4%

40,630

9.2%

85 and older

5,365

2.1%

10,918

2.5%

Results from a national survey on martial arts schools indicated on average, kids ages 4-14 account for 70% of the individuals participating in martial arts training.  Age groups 15-25, 26-49, and 50+ each account for approximately 10% of students enrolled in martial arts training.  (In comparison to the CATISC School where Rolly BonTemps has instructed the membership was as follows: ages 4-14 (53%), 15-29 (12%), 30-49 (28%) and 50+ (7%)).  Applying the national survey’s age segment enrollment statistics to the Census data on the age groups of Our County, we estimate our target market to be around 51,000 potential students. 

The table below outlines our estimated breakdown of the potential market by the age groups.

Martial arts school business plan, market analysis summary chart image

Market Analysis
Year 1 Year 2 Year 3 Year 4 Year 5
Potential Customers Growth CAGR
Kids under 14 years 2% 29,093 29,675 30,268 30,874 31,491 2.00%
Young adults 15-25 2% 3,960 4,039 4,120 4,202 4,286 2.00%
Adults 26-49 2% 9,133 9,316 9,502 9,692 9,886 2.00%
Adults over 50 2% 9,349 9,536 9,727 9,921 10,120 2.00%
Total 2.00% 51,535 52,566 53,617 54,689 55,783 2.00%

4.2 Target Market Segment Strategy

The target market has been broken into four age segments, all within the city limits and surrounding area.  The strategy is based on the research confirmed by the statistics of the Can-Am Taekwondo Instructors and Schools Confederation and data collected as Lead Instructor from affiliated CATISC Schools. Parents want their children to learn karate to build confidence and to learn self defense, adults take karate for exercise and self-defense, and seniors take karate for social aspects and exercise.

While not specifically addressed, Cents and Senseibility Martial Arts School will be placing emphasis on the Hispanic (Latino) market as their population continues to increase in this area.  Cents and Senseibility will also be targeting addresses with ZIP codes in medium and higher income brackets within our market, but not specifically in this plan.

Target market breakdown is as follows:

  • Parents of kids ages 3-14: This market, is projected to provide the largest  potential of students and offers the most potential for new members.  In accordance with the Can-Am Taekwondo Instructors and Schools Confederation statistics this group accounts for 70% of our membership of which 67% are male and 33% female. 
  • Young Adults 15 -25: This market is projected to provide 10% of the market in accordance with the CATISC statistics.  This group of the market will be targeted to increase the membership.  The Cardio Kick boxing being offered is targeted to young adults as a fitness program. 
  • Adults 26-49: This market is projected to provide 10% of membership in accordance with the CATISC statistics.  Cents and Senseibility will target this group to increase by 20% through Pilates Classes.  This generally attracts adult population.  Targeting this group will be to offer an alterative to health clubs and/or fitness centers.  In addition, this group “controls” the number one market, their kids.
  • Adults over 50: This is our unknown market.  This group only accounts for 10% of the membership in accordance with the CATISC statistics.  It is felt that our traditional martial arts services may be too rigorous and may not meet their “social” and “exercise” needs.  However with the introduction of Pilates Classes this market may increase in participation and provide additional membership.

4.2.1 Market Needs

Based on a needs analysis taken at Rolly BonTemps’ current location in Metroburb, it was found that our survey was comparable to that of the national survey, reflecting similar results.  Our marketing efforts will be addressing the needs of these groups in the order given:

  • Kids 3-14 ( as outlined by both the kids and their parents): self-confidence, fun, exercise, discipline, self-defense and socialization. 
  • Ages 15-25: exercise, self-defense, self control, concentration.
  • Ages 25-35: exercise, self-defense, stress reduction and weight control and participation with their children.
  • Ages 35 +: exercise, stress reduction and socialization. 

4.2.2 Market Trends

In the mid-1960s there was a boom in martial arts studios, partially brought on by the success of Bruce Lee movies and the TV show ‘Kung Fu’.  In the mid-1980s, interest in martial arts moved towards offering children’s programs.  In the mid-1990s it was estimated that 5 to 10 million Americans were active in some form of martial arts training.

Recent trends such as the popularity of the movie “Crouching Tiger, Hidden Dragon” not so suprisingly caused a mini-surge in the number of new applicants.  In addition, martial arts for kids has shown a trend towards more activities and less “traditional” training.  It has been noted that today’s kids have a lower level of patience, want to be involved in “movie” type karate styles (i.e., “Matrix”, “Shanghai Noon”, “Karate Kid” and “Power Rangers”) and are more demanding of their time. 

Another trend is that larger health/fitness organizations are moving into the martial arts field and a general consolidation is occuring.  Companies such as Bally Total Fitness and Gold’s Gym are offering kick-boxing, teabo and other forms of group “soft” martial arts training such as yoga. 

Finally, there is a push in the health/fitness industry to attract the ‘over 50’ crowd.  Fitness clubs have a difficult time applying their muscle building, fast-paced fitness programs into this market.  However, the ‘over 50’ group is expected to be marketed to more aggressively, as fitness/health clubs realize the potential of the “baby boomers” and the fact that baby boomers have both the time and money to pursue outside recreational activities. 

4.2.3 Market Growth

The U.S. Census (2000) shows that our region is experiencing tremendous growth.  More families are moving into the our community area than ever before.  Our region is experiencing a boom in adults ages 30 to 50 with young children, who can afford the ever increasing cost of homes in the area. 

A national survey taken indicated there are approximately six million Americans actively involved in martial arts training.  The survey indicated that a 14% growth rate was expected in the upcoming years as Americans move towards a more healthy lifestyle. 

As our area was once known for elderly retirement communities, the trend is turning towards the younger families and children moving into the area.  This could be a result of the cost of living, causing many seniors on retirement income to move to more affordable locations. 

4.3 Service Business Analysis

The business of owning and operating the Cents and Senseibility Martial Arts School is similar to that of running a health/fitness club—membership is everything.  The ‘do-jahng’ (Taekwondo facility) is the teacher and place of learning, and can be looked at as a place of experience, an elder.  The word ‘do’ (way) ‘jahng’ (area) means “the area in which we learn the way.” Respect is given to the place where this training takes place.  This respect is not to the do-jahng as an object, but to remind students to keep their minds right, attitudes proper, and take care of the facility in which they train. 

Martial arts falls under the SIC (Standard Industrial Code) 7999 – Amusement and Recreational Services.  Under this heading we find groupings from Astrologers to Card Rooms, from Carnival Operations to Yoga.  In other words the code is too broad to provide solid analysis benefit, but it will be addressed in our comparative ratios analysis at the end of this plan. 

The martial arts industry consists primarily of thousands of small independent schools, most belong to one of hundreds of loosely organized martial arts associations (usually divided by style type).  The Cents and Senseibility Martial Arts School is proud to be affiliated with one of, if not the largest, martial arts organizations in the United States today, with over 1,500 Taekwondo Centers and 300,000 active students and growing. 

Other industries should be considered in any competitive analysis.  The health and fitness club industry (Bally Total Fitness, Gold’s Gym) and the non-profit (YMCA, YWCA and local schools) are in competition for the same group of potential customers. 

4.3.1 Competition and Buying Patterns

The nature of the business of a Taekwondo Center is to offer a facility with martial arts training.  Membership is everything and turnover (attrition) in the industry can be high.  Several reports place the average turnover of a do-jahng at 40 to 60%.  Selection of a do-jahng by a potential member is, in-part, done by the style of martial art (taekwondo, karate, judo, kung-fu or kick-boxing) the member wishes to participate. 

However, selection of a do-jahng by a new student is more basic in nature.  Based on past experience, generally a do-jahng selection is based on the following (most popular first):

  • Friends/family attending
  • Facility environment
  • Class schedule (times)
  • Friendliness of instructors (personal attention)

However, the marketing plan developed by the Can-Am Taekwondo Instructors and Schools Confederation and perfected by the owner of Cents and Senseibility Martial Arts School, Rolly BonTemps (5th Degree Black Belt), has generated more memberships for the school he has been affiliated with than all the advertisements and word-of-mouth put together.  This marketing plan actively recruits and goes out after membership and does not wait for the membership to walk into the do-jahng.  This marketing plan will be discussed within this Business Plan. 

Potential members are most aware of a do-jahng’s physical existence because:

  • The marketing activities (50%)
  • Friends and family (25%);
  • Drive/walk by storefront (15%);
  • Yellow Page/media advertising (10%)

4.3.2 Competing Martial Arts School’s and Health Clubs

Two martial arts schools have been identified as being the most competitive with our location.  All have a physical facility (dojo), both offer traditional martial arts training.  Both offer competitive pricing and are open Monday thru Saturday (closed Sunday).  In addition, each head instructor is well versed in his/her field.  Both facilities are located approximately 7-10 miles from locations being sought after for the Cents and Senseibility Martial Arts School.

At this time there are no major health clubs in the immediate vicinity of our proposed location. 

Strategy and Implementation Summary

In this somewhat competitive field, Cents and Senseibility Martial Arts School will focus on a broad market.  Special focus will be placed on recruiting students from the four Elementary Schools, two Middle Schools, and two High Schools in the immediate area. 

Special emphasis will be placed on these age groups:

  • Age 3-5, the Tiny Tots Taekwondo Program is expected to make up 10% of the membership.
  • Age 6 -12, is projected to make up 60% of the membership.  This group tends to establish the largest student base in most CATISC Taekwondo schools across the nation. 
  • Age 13-18, is projected to make up 10% of the membership.
  • Age 19-30, is projected to make up 10% of the membership.
  • Age 30 and older, is projected to make up 10% of the membership. 

5.1 Competitive Strengths and Weaknesses

  • Can-Am Taekwondo Instructors and Schools Confederation has been established for over 30 years and is one of the largest martial arts organizations, if not the largest, in the United States. 
  • Cents and Senseibility Martial Arts School location will be located in a major shopping center with easy access and ample lighted parking.
  • Mr. Rolly BonTemps (5th degree black belt) is very knowledgeable and is nationally recognized as one of the CATISC’s leading instructors.
  • Mr. BonTemps is an experienced Instructor with over 10 years as a certified Instructor with CATISC.  He has a strong desire and patience to teach the youth of today. 
  • Mr. BonTemps has been recognized by leading instructors in CATISC as one of the organization’s leading marketing specialists in recruitment. 
  • Mr. BonTemps has been recognized by the teachers in Metroburb, for his participation in “Show and Tell” activities at the Elementary Schools and is continuously being sought after to return to the classrooms for further presentations.  This results in the largest recruitment of students and has proven to be a highly effective marketing plan. 
  • Competitive pricing and hours of operation.
  • Solid untapped database from which to market.
  • Lead Instructor for over 300 active students.

Weaknesses:

  • New School. 
  • Lack of Instructors during start up.
  • Student attrition.
  • No website at this time but it is planned for the future.

5.2 Marketing Strategy

In the Marketing Strategy the target is very broad, kids 3 to 14, young adults 15 to 25, and adults 26 to 49.  To address this market one must understand that Cents and Senseibility Martial Arts School will be a “showplace” and in marketing efforts we want potential members to judge our “book by its cover.”

The first strategy will be to open a fully decorated and functional Taekwondo School (Cents and Senseibility Martial Arts School).  This school will be a fun and exciting place where members will want to train.  The school will be neat, clean and offer a variety of functions and state of the art training facility. 

Show and Tell

The first marketing initiative is to meet with the local School Administrators and introduce ourself to the community.  The “Show and Tell” plan is introduced and when accepted lends the approach to meet the children in the classroom.  The “Show and Tell” is organized in different segments.  The first time the instructor addresses the children he/she will be in full Martial Art Uniform.  Most children are thoroughly impressed and fascinated as they enter the room.  Upon asking them if they would like to have a uniform and take Taekwondo, it immediately attracts their attention.  This is where the instructor immediately reaches out and begins to teach the students the meaning of discipline.  Discipline meaning how we act in the presence of adults and teachers and what is expected of students in the Taekwondo School.  The students are rewarded for their behavior during the “Show and Tell” by letting them break styrofoam (simulated wood boards) as they do in the Taekwondo School.  By the time the instructors leave the class room, the children are so fascinated by the instructor and his/her teaching application, all students are sitting straight up in their seats and answering the teacher and instructor with phrases like “Yes Sir, Yes Ma’am”. 

Because of the success of the first visit, the teachers are so astonished at the children’s behavior change in the classroom that the Instructor(s) are invited back for a second and third and often a forth time during the school year.  Each time the instructor is invited back he/she concentrates on a different element of the martial arts such as self control, concentration, respect.  Each “Show and Tell” reflects the topic the teacher would like demonstrated to the children.  This has been such a success that the word spreads quickly and the Instructors visit every classroom and address entire schools putting on demonstrations during the recalls in the Auditorium.  

During each of these visits at the end of the session, each child is given a card for a free 30 days of instruction.  On average 10 children will attend the free lessons.  Getting the parents and child into the Taekwondo School will usually sell itself.  However, once they enter the School, the instructor interviews the parents to see just what they would like their child to receive out of the Taekwondo Class.  Depending on the parents’ answer—discipline, self-control, respect, etc.—the instructor gears his focus for that student to the parents’ wish.  The child is then taken onto the do-jahng with the instructor for a one-hour introduction in Taekwondo.  The instructor is gearing his one-hour orientation toward what the parent has requested (e.g., discipline, self-control, respect, etc.). Once the instructor returns with the child, the parent sees the immediate change in their child’s behavior after only a one-hour session.  At this time, six to eight of the 10 students that enter that day enroll under contract to begin their Taekwondo lessons. 

V.I.P. Program

The second marketing initiative is a V.I.P. program.  Here we take to the parking lots of the local shopping and strip malls dressed in full uniform.  We actively hand out flyers and business cards to all parents we see with children, or any interested adult that approaches.  Again we offer 30 days of free lessons, to get the people in the door of the school.  Once they enter the do-jahng, the same process as above is used.  Through experience in exercising these methods, six to eight out of the 10 people that enter will sign a contract for lessons.  

As the students begin to enroll, Cents and Senseibility Martial Arts School plans to participate in “Martial Arts” demonstrations at the local malls, Wal-Mart and grocery store location parking lots, public parks, etc., with the students participating in the demonstration.

Yellow Pages

The third marketing initiative is to advertise in the “Yellow Pages”, local newspaper, radio, websites and, as we become more profitable, on local television.  

5.2.1 Positioning Statement

For adults in the city who want to learn and/or have their children learn the art of Taekwondo and to build self-confidence, we offer competitive pricing, convenient hours, and quality instruction, under the leadership of a 5th degree black belt, nationally recognized instructor.

Unlike the competition, Cents and Senseibility Martial Arts School plans to offer the most modern of facilities, in a convenient location with ample parking, and programs that are entertaining, adventuresome, with the tradition of Korean style Taekwondo.

5.2.2 Pricing Strategy

We must offer our services at a pricing structure that will both meet our financial needs and the needs of our members.  Our value-priced fee structure of $80 per month membership for the Tiny Tots Taekwondo (3T) Program, $85 per month for the Basic Program and $90 per month for the Black Belt Club is competitive for schools that own their own facility.  We will keep this fee but offer promotional discounts to members for bringing in new students.

There are as many introductory promotional pricing packages as there are do-jahngs.  All the programs are designed to draw or introduce the potential member to the do-jahng without requiring them to sign a long-term contract.  All offer the same basic package which includes anywhere from 1-6 months training, 1-3 private classes with gi (uniform), and prices varying from $50 to $99.

Our value-pricing strategy is to offer a very short introductory package of two personal training sessions and a gi for $29.  If the potential member wants to continue, we will offer a six month introductory package at $299.  After six months, if the potential member wants to continue we will offer the annual contract at $1,000 (with discounts for payment up front).  Monthly or quarterly billing options will be offered.

In addition, we will be working to identify other pricing structures which address families and lower income students.

5.2.3 Promotion Strategy

Based on buying pattern research, we determined marketing in local schools and public places is the most successful  marketing strategy, followed by “word-of-mouth” for promoting our do-jahng, followed by the “storefront” and finally advertising.” With this in mind we have established the following promotional strategies:

  • Our members (students) must like who we are and what we do, in order for us to succeed.
  • To assist in promotion, we will offer an incentive to members who bring in new members.  We want potential members to judge our “book by its cover.”
  • Our storefront (external and internal) will be redesigned to sell itself.  People will want to go in just to see what a do-jahng looks like.
  • We will be holding an annual Taekwondo Tournament as we grow in numbers.  This will be held in the local community at a location that will handle several thousand participants, such as a school gym or civic center, etc. 
  • Cents and Senseibility will be holding Taekwondo demonstrations locally at the mall, shopping centers and at events around the city.
  • Cents and Senseibility Martial Arts School will continue to offer free self-defense seminars to local grade schools and retirement communities.
  • Cents and Senseibility will offer self-defense and weapon techniques to local law enforcement agencies.
  • We will offer self-defense training for women.
  • The Cents and Senseibility Martial Arts School Web page will be designed to reflect our image and be very informative. 
  • Cents and Senseibility will advertise in “The Yellow Pages”,  the #1 source of new recruitment in media.  We will purchase “competitive” ad space.
  • We also will advertise in the local “entertainment and news” paper, which will also provide good advertisement opportunities.

5.2.4 Marketing Programs

In our Marketing Strategy the primary market will be kids 3 to 14 and young adults from 15 to 25 and adults 30 to 49.  The senior adults (50+) market will be addressed separately.

  • To address the largest market one must understand that the do-jahng is a “showplace” and in the marketing efforts we want potential customers to judge our “book by its cover.”
  • Another key marketing program is to introduce simple methods of training to the instructors to reinforce students, i.e., “want to train, not have to train” concepts.  This program is intended to reduce high level of membership attrition.
  • The final program is to advertise in the Yellow Pages and weekly newspaper.  Both programs will be tracked, but the weekly newspaper appears to offer more clearly defined (short-term) success to specific advertising promotions and plans can be adjusted accordingly.
  • Cents and Senseibility Martial Arts School will create a very professional brochure on what the facility has to offer.  Mr. BonTemps will head up this program.

5.2.5 Strategic Alliances

There are a number of establishments surrounding the do-jahng.  We will contact select establishments for an agreed brochure trade, with emphasis on a positive, well-designed showcase that will benefit both parties with possible discounts being made available.

5.3 Sales Strategy

The overall strategy is to increase membership to 300 by year-end 2004, which is 80% of the do-jahng capacity and an aggressive two year growth.  Through effective marketing efforts Cents and Senseibility Martial Arts School will make potential customers aware of the do-jahng.  From this awareness Cents and Senseibility will increase the number of potential members that walk in the front door. 

These new potential members will be met by either the Instructor or a well-trained sales associate/receptionist who will have all sales materials, promotions and a computer for data entry.  The sales associate will be empowered to offer select promotions, however, if the potential member is interested in joining, an instructor will be made available for immediate consultation.

5.3.1 Sales Forecast

The following chart and table reflects the aggressive, but obtainable sales forecast.  Membership is projected to grow at a steady pace.  Introductory membership fees will be adjusted accordingly after the three month grand opening. 

Special classes will be conducted upon demand.  Weekend activities such as birthday parties and special events will also be conducted for a minimal price. 

Private lessons will also be made available by Rolly BonTemps, 5th Degree Black Belt, upon the students request for lessons. 

Belt testing will be conducted every 8 weeks and fees will be according to rank and group membership. 

Self-defense seminars for women will be held periodically throughout the year, teaching females the basic self-defense techniques in case of emergencies.

Special Law Enforcement self-defense seminars will be held periodically throughout the year, teaching Law Enforcement Officers basic and advanced self-defense techniques. 

Martial arts school business plan, strategy and implementation summary chart image

Sales Forecast
Year 1 Year 2 Year 3
Sales
3T Membership $38,000 $54,000 $63,000
Basic Club Membership $49,300 $118,830 $93,500
Black Belt Club Membership $30,960 $61,920 $92,880
Masters Club Membership $28,900 $57,800 $86,700
Testing $50,900 $68,715 $92,765
Private Lessons $1,950 $2,048 $2,150
Weekend Specials $2,375 $2,494 $2,618
Merchandise $14,700 $17,640 $21,168
Pilates Membership $21,000 $23,100 $25,410
Cardio Kick Boxing Membership $21,000 $23,100 $25,410
Total Sales $259,085 $429,646 $505,602
Direct Cost of Sales Year 1 Year 2 Year 3
Merchandise $7,350 $8,820 $10,584
Testing – CATISC fees $7,635 $10,307 $13,915
Testing (inventory, etc.) $15,270 $20,615 $27,830
Subtotal Direct Cost of Sales $30,255 $39,742 $52,328

5.4 Milestones

The following table lists important program milestones, with dates and managers in charge, and budgets for each.  The milestone schedule indicates the emphasis on planning for implementation.  The most important programs are the sales and marketing programs listed in detail in the previous topics.

Martial arts school business plan, strategy and implementation summary chart image

Milestones
Milestone Start Date End Date Budget Manager Department
Business Plan 6/15/2003 8/30/2003 $150 Fiorello & Rolly Marketing
Marketing Plan 6/30/2003 9/30/2003 $250 Rolly Marketing
Find School Location 7/1/2003 10/30/2003 $0 Fiorello & Rolly Marketing
Secure Financing 8/30/2003 10/30/2003 $0 Fiorello & Rolly Marketing
Store Front Sign 10/30/2003 12/30/2003 $10,000 Fiorello & Rolly Marketing
Open School 12/1/2003 1/3/2004 $25,000 Rolly Marketing
Marketing program – first 25 students 12/1/2003 1/3/2004 $2,000 Rolly Marketing
Marketing program – first 50 students 1/4/2004 1/31/2004 $1,000 Rolly Web
Marketing program – Cardio Kick Boxing 50 students 12/1/2003 1/31/2004 $500 Rolly Marketing
Marketing program – Pilates First 50 students 12/1/2003 1/31/2004 $500 Meg Marketing
Marketing program – first 100 students 2/2/2004 2/29/2004 $1,000 Rolly Web
Marketing program – first 200 students 5/2/2004 7/31/2004 $2,000 Rolly Marketing
Marketing program – first 250 students 8/2/2004 10/16/2004 $1,500 Rolly Marketing
Marketing program – first 300 students 10/18/2004 1/1/2005 $1,500 Rolly Marketing
Marketing program – VIP Schools 12/1/2003 12/31/2004 $100/month Rolly Marketing
Totals $45,400

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

Rolly BonTemps is the owner of Cents and Senseibility Martial Arts School.  Mr. BonTemps (5th degree black belt) is an experienced Taekwondo instructor with over 10 years as a certified Instructor with the Can-Am Taekwondo Instructors and Schools Confederation.  He has also recognized by leading instructors in the Can-Am Taekwondo Instructors and Schools Confederation as one of the organization’s leading Marketing Specialists in recruitment. 

Upon opening the School he will contract an accountant.  At this time there are no other employees.  The Taekwondo School will be a self-running establishment.  The owner will oversee operations and provide all of the instruction at this time. 

6.1 Personnel Plan

The do-jahng itself is a small business.  However, the company is putting together a quality management team (Board of Advisors) to assist in business matters.  Gaps in legal, tax, marketing and personnel will be covered by the Board of Advisors.  Our strength will be in the technical and management fields.  Computer graphic designing and software programs is expected to assist with the advertising and marketing for Cents and Senseibility Martial Arts School.  While currently the Black Belt Academy has no employees, as soon as the school opens the owner’s father and mother will be assisting part-time as sales associate/receptionist to handle the expected increase in new membership and serve on the Board of Advisors for business issues.  The Board of Advisors will consist of a three member team, each with experience in general business (insurance), accounting, small business, legal issues and human resources. 

Cents and Senseibility Martial Arts School will have the below listed employees:

  • Rolly BonTemps , Owner and Instructor.  Rolly BonTemps has been actively involved in the Can-Am Taekwondo Instructors and Schools Confederation since he was 9 years old.  Rolly achieved Black Belt status in June 1990.  Since then he has progressed through the ranks achieving his Instructor Certification and in June 2003 received his 5th Degree Black Belt.  Rolly has worked at the Taekwondo School in Metroburb as the Lead Instructor for the past five years.  Mr. Pivayoke, 7th Degree Black Belt has been Rolly’s Instructor over this period.  Mr. Pivayoke has entrusted Rolly with the full running and the operation of the Taekwondo School.  Over this period, Rolly has learned all aspects needed to fully run his own establishment.  He has mastered a marketing plan that has made the Metroburb School one of the top three single owned CATISC Taekwondo Schools in the United States.  The membership at this location is actively operating at 450 to 500 students.
  • Meg LeFevre , is the fiancee of Rolly BonTemps. Meg actively participates in several health club fitness programs.  Meg is working on receiving her certification as a  Pilates Instructor.  Once this certification is achieved, the Cents and Senseibility Martial Arts School will also expand into the fitness program for young and and older adults.
  • Fiorello BonTemps , father of the owner will serve as consultant, financial advisor, and manage the maintenance and any construction needs for the building.  Mr. BonTemps will enter into this business retired from the United States Department of Justice, where he served for 23 years.  Mr. BonTemps retired as Facility Administrator for our region of the United States.  His knowledge in business management, construction industry, business finances, legal issues, human resources and computer programs, will assist Rolly BonTemps, owner and operator with business decisions and expansions.  Mr. BonTemps will serve as a Board of Advisors Member for the Cents and Senseibility Martial Arts School.
  • Merry BonTemps , mother of the owner will serve as consultant and financial advisor and manage the bookkeeping and financial affairs for the business.  Mrs. BonTemps has worked in the medical field for 25 years and has managed office finances and has worked for ten years in human resources.  Mrs. BonTemps will serve as a Board of Advisors Member for the Cents and Senseibility Martial Arts School.

The owner will actively seek advice from SCORE “Counselors to America’s Small Business”, a national non-profit organization with an office in our community.  This is a group of retired executives and business owners who donate their time to serve as counselors and advisors to aspiring entrepreneurs and business owners.

These experienced counselors provide FREE small business counseling for business owners in the region from their office in downtown. 

In calendar year 2002, our SCORE Chapter handled 824 new cases, 341 follow-up cases (of which 335 were new e-mail cases and 181 were follow-on e-mail cases).  Also, SCORE counselors put in a total of 1,748 volunteer hours.  Currently, there are five counselors approved by National SCORE to handle U.S.-wide e-mail cases.

Personnel Plan
Year 1 Year 2 Year 3
Rolly BonTemps (Owner) $33,000 $45,000 $65,000
Meg LeFevre (Instructor) $7,000 $10,000 $15,000
Fiorello BonTemps (Board of Directors) $6,000 $8,000 $10,000
Merry BonTemps (Board of Directors) $6,000 $8,000 $10,000
Total People 4 4 4
Total Payroll $52,000 $71,000 $100,000

Financial Plan investor-ready personnel plan .">

The initial investment in the Cents and Senseibility Martial Arts School will be provided by Rolly BonTemps and his parents.  The owner will also seek a 3-year bank loan to provide the remainder of the required initial funding. 

Our financial plan is built on the assumption that Cents and Senseibility will be able to recruit the required amount of students on a rolling basis.  The owner strongly believes that his previous successful experience as one of the industry’s most distinguished marketing specialists will allow him to become successful with the enrollment for his own Taekwondo school. 

The break-even point of + or – 70 students should be achieved in just three months.  The goal of 300 students in 12-18 months is very obtainable.  When this goal is met, Cents and Senseibility Martial Arts School will be a very profitable business.  The long-term goal is to have enough cash on-hand and a solid credit history to pursue the ultimate goal of owning our own building.  This facility will include the Cents and Senseibility Martial Arts School and a fitness center for young and older adults to participate in several fitness programs, as well as a universal gym. 

7.1 Important Assumptions

It was necessary to make certain broad-based assumptions in planning for the future.  The financial assumptions are listed below in the table.  In addition, several other important assumptions have been made:

  • The economy will grow at a steady pace, without a major recession.  Our network of local communities is among the fastest growing areas in the country.  The Cents and Senseibility Martial Arts School is expected to grow with the growth of the local communities.
  • There will be no major change in the martial arts industry, other then those discussed in the trends section earlier in this document.
  • The State will not enact “impact” legislation on the unregulated martial arts industry.
General Assumptions
Year 1 Year 2 Year 3
Plan Month 1 2 3
Current Interest Rate 7.00% 7.00% 7.00%
Long-term Interest Rate 9.00% 9.00% 9.00%
Tax Rate 30.00% 30.00% 30.00%
Other 0 0 0

7.2 Break-even Analysis

For the break-even analysis, the assumed running costs will include full payroll, rent, and utilities, and an estimation of other running costs.  Based on our assumed variable cost, we show below our estimated break-even sales volume per month.  We expect to reach that sales volume by our fourth month of operations.

Martial arts school business plan, financial plan chart image

Break-even Analysis
Monthly Revenue Break-even $10,605
Assumptions:
Average Percent Variable Cost 12%
Estimated Monthly Fixed Cost $9,367

7.3 Projected Profit and Loss

Cents and Senseibility’s monthly profit for the first year varies considerably, as we aggressively seek improvements and begin marketing the business.  However, after the first six months, profitability should take hold, which will allow a modest increase to the owner’s salary.

Martial arts school business plan, financial plan chart image

Pro Forma Profit and Loss
Year 1 Year 2 Year 3
Sales $259,085 $429,646 $505,602
Direct Cost of Sales $30,255 $39,742 $52,328
Other costs $0 $0 $0
Total Cost of Sales $30,255 $39,742 $52,328
Gross Margin $228,830 $389,905 $453,273
Gross Margin % 88.32% 90.75% 89.65%
Expenses
Payroll $52,000 $71,000 $100,000
Sales and Marketing and Other Expenses $15,000 $25,000 $40,000
Depreciation $1,000 $1,000 $1,000
Rent $30,000 $30,000 $30,000
Utilities $4,200 $4,500 $4,600
Janitorial services $3,000 $3,500 $4,000
Insurance $1,200 $1,200 $1,200
Payroll Taxes $0 $0 $0
Miscellaneous $6,000 $10,000 $15,000
Total Operating Expenses $112,400 $146,200 $195,800
Profit Before Interest and Taxes $116,430 $243,705 $257,473
EBITDA $117,430 $244,705 $258,473
Interest Expense $4,523 $2,861 $982
Taxes Incurred $33,572 $72,253 $76,947
Net Profit $78,335 $168,590 $179,544
Net Profit/Sales 30.24% 39.24% 35.51%

7.4 Projected Cash Flow

Like profit, the first year’s monthly cash flows will vary.  Since we will mostly deal with private customers, we expect that most of our sales will be done in cash or by credit card, which will positively affect our planned cash flow, especially during the most crucial first year of operations.  A 3-year commercial loan sought by the owner will be required to cover working capital requirement. 

Our projected cash flow, as summarized in the table below, is expected to meet the needs.  In the following years, excess cash will be used to finance more aggressive service plans.

Martial arts school business plan, financial plan chart image

Pro Forma Cash Flow
Year 1 Year 2 Year 3
Cash Received
Cash from Operations
Cash Sales $207,268 $343,717 $404,481
Cash from Receivables $37,428 $76,457 $96,902
Subtotal Cash from Operations $244,697 $420,174 $501,383
Additional Cash Received
Sales Tax, VAT, HST/GST Received $0 $0 $0
New Current Borrowing $0 $0 $0
New Other Liabilities (interest-free) $0 $0 $0
New Long-term Liabilities $0 $0 $0
Sales of Other Current Assets $0 $0 $0
Sales of Long-term Assets $0 $0 $0
New Investment Received $0 $0 $0
Subtotal Cash Received $244,697 $420,174 $501,383
Expenditures Year 1 Year 2 Year 3
Expenditures from Operations
Cash Spending $52,000 $71,000 $100,000
Bill Payments $115,234 $193,364 $226,001
Subtotal Spent on Operations $167,234 $264,364 $326,001
Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out $0 $0 $0
Principal Repayment of Current Borrowing $0 $0 $0
Other Liabilities Principal Repayment $0 $0 $0
Long-term Liabilities Principal Repayment $18,236 $19,947 $21,817
Purchase Other Current Assets $0 $0 $0
Purchase Long-term Assets $0 $0 $0
Dividends $0 $0 $0
Subtotal Cash Spent $185,470 $284,311 $347,818
Net Cash Flow $59,227 $135,863 $153,565
Cash Balance $103,227 $239,090 $392,655

7.5 Projected Balance Sheet

The balance sheet is quite solid.  Cents and Senseibility Martial Arts School does not project any real trouble meeting its debt obligations—as long as it can achieve the specific objectives. We are very confident we will meet all objectives in the Business Plan, if not exceed them. 

Pro Forma Balance Sheet
Year 1 Year 2 Year 3
Assets
Current Assets
Cash $103,227 $239,090 $392,655
Accounts Receivable $14,388 $23,861 $28,079
Inventory $9,575 $12,577 $16,561
Other Current Assets $0 $0 $0
Total Current Assets $127,190 $275,528 $437,295
Long-term Assets
Long-term Assets $10,000 $10,000 $10,000
Accumulated Depreciation $1,000 $2,000 $3,000
Total Long-term Assets $9,000 $8,000 $7,000
Total Assets $136,190 $283,528 $444,295
Liabilities and Capital Year 1 Year 2 Year 3
Current Liabilities
Accounts Payable $17,091 $15,786 $18,825
Current Borrowing $0 $0 $0
Other Current Liabilities $0 $0 $0
Subtotal Current Liabilities $17,091 $15,786 $18,825
Long-term Liabilities $41,764 $21,817 $0
Total Liabilities $58,855 $37,603 $18,825
Paid-in Capital $35,000 $35,000 $35,000
Retained Earnings ($36,000) $42,335 $210,925
Earnings $78,335 $168,590 $179,544
Total Capital $77,335 $245,925 $425,469
Total Liabilities and Capital $136,190 $283,528 $444,295
Net Worth $77,335 $245,925 $425,469

7.6 Business Ratios

As indicated in the “Service Business Analysis” the martial arts industry is not properly reflected in the SIC Code provided (7999).  However, with this said, we have made some preliminary business ratio comparisons using the SIC (2000 figures).  The results are very favorable. 

We have much lower long-term assets than the industry standard because we are beginning our business with a rented space, rather than buying one. If Cents and Senseibility sees sufficient growth over the first three yeears, we may buy a suitable location for permanent space.

Ratio Analysis
Year 1 Year 2 Year 3 Industry Profile
Sales Growth 0.00% 65.83% 17.68% 2.76%
Percent of Total Assets
Accounts Receivable 10.57% 8.42% 6.32% 4.27%
Inventory 7.03% 4.44% 3.73% 4.31%
Other Current Assets 0.00% 0.00% 0.00% 31.38%
Total Current Assets 93.39% 97.18% 98.42% 39.96%
Long-term Assets 6.61% 2.82% 1.58% 60.04%
Total Assets 100.00% 100.00% 100.00% 100.00%
Current Liabilities 12.55% 5.57% 4.24% 23.98%
Long-term Liabilities 30.67% 7.69% 0.00% 24.53%
Total Liabilities 43.22% 13.26% 4.24% 48.51%
Net Worth 56.78% 86.74% 95.76% 51.49%
Percent of Sales
Sales 100.00% 100.00% 100.00% 100.00%
Gross Margin 88.32% 90.75% 89.65% 100.00%
Selling, General & Administrative Expenses 30.44% 23.59% 23.82% 75.54%
Advertising Expenses 0.39% 0.23% 0.20% 3.11%
Profit Before Interest and Taxes 44.94% 56.72% 50.92% 1.52%
Main Ratios
Current 7.44 17.45 23.23 1.04
Quick 6.88 16.66 22.35 0.68
Total Debt to Total Assets 43.22% 13.26% 4.24% 64.79%
Pre-tax Return on Net Worth 144.70% 97.93% 60.28% 2.30%
Pre-tax Return on Assets 82.17% 84.95% 57.73% 6.54%
Additional Ratios Year 1 Year 2 Year 3
Net Profit Margin 30.24% 39.24% 35.51% n.a
Return on Equity 101.29% 68.55% 42.20% n.a
Activity Ratios
Accounts Receivable Turnover 3.60 3.60 3.60 n.a
Collection Days 56 81 94 n.a
Inventory Turnover 5.12 3.59 3.59 n.a
Accounts Payable Turnover 7.74 12.17 12.17 n.a
Payment Days 27 31 28 n.a
Total Asset Turnover 1.90 1.52 1.14 n.a
Debt Ratios
Debt to Net Worth 0.76 0.15 0.04 n.a
Current Liab. to Liab. 0.29 0.42 1.00 n.a
Liquidity Ratios
Net Working Capital $110,099 $259,742 $418,469 n.a
Interest Coverage 25.74 85.18 262.25 n.a
Additional Ratios
Assets to Sales 0.53 0.66 0.88 n.a
Current Debt/Total Assets 13% 6% 4% n.a
Acid Test 6.04 15.15 20.86 n.a
Sales/Net Worth 3.35 1.75 1.19 n.a
Dividend Payout 0.00 0.00 0.00 n.a
Sales Forecast
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Sales
3T Membership 8000% $400 $1,200 $2,000 $2,800 $3,600 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000 $4,000
Basic Club Membership 8500% $425 $1,275 $2,125 $2,975 $3,825 $4,250 $4,675 $5,100 $5,525 $5,950 $6,375 $6,800
Black Belt Club Membership 9000% $450 $630 $900 $1,350 $1,530 $1,800 $2,250 $3,150 $4,050 $4,950 $4,950 $4,950
Masters Club Membership 10000% $0 $500 $700 $1,000 $1,200 $1,500 $2,000 $2,500 $3,500 $4,500 $5,500 $6,000
Testing 0% $0 $0 $1,150 $2,300 $3,200 $4,500 $5,050 $5,600 $6,150 $6,700 $7,500 $8,750
Private Lessons 0% $0 $0 $150 $200 $200 $200 $200 $200 $200 $200 $200 $200
Weekend Specials 0% $0 $150 $150 $200 $200 $225 $225 $225 $250 $250 $250 $250
Merchandise 0% $0 $800 $1,000 $1,250 $1,250 $1,250 $1,250 $1,500 $1,500 $1,500 $1,700 $1,700
Pilates Membership 0% $0 $0 $750 $1,250 $1,750 $2,250 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500
Cardio Kick Boxing Membership 0% $0 $0 $750 $1,250 $1,750 $2,250 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500
Total Sales $1,275 $4,555 $9,675 $14,575 $18,505 $22,225 $24,650 $27,275 $30,175 $33,050 $35,475 $37,650
Direct Cost of Sales Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Merchandise 50% $0 $400 $500 $625 $625 $625 $625 $750 $750 $750 $850 $850
Testing – CATISC fees 15% $0 $0 $173 $345 $480 $675 $758 $840 $923 $1,005 $1,125 $1,313
Testing (inventory, etc.) 30% $0 $0 $345 $690 $960 $1,350 $1,515 $1,680 $1,845 $2,010 $2,250 $2,625
Subtotal Direct Cost of Sales $0 $400 $1,018 $1,660 $2,065 $2,650 $2,898 $3,270 $3,518 $3,765 $4,225 $4,788
Personnel Plan
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Rolly BonTemps (Owner) 0% $2,000 $2,000 $2,000 $2,500 $2,500 $2,500 $3,000 $3,000 $3,000 $3,500 $3,500 $3,500
Meg LeFevre (Instructor) 0% $500 $500 $500 $500 $500 $500 $500 $500 $750 $750 $750 $750
Fiorello BonTemps (Board of Directors) 0% $500 $500 $500 $500 $500 $500 $500 $500 $500 $500 $500 $500
Merry BonTemps (Board of Directors) 0% $500 $500 $500 $500 $500 $500 $500 $500 $500 $500 $500 $500
Total People 4 4 4 4 4 4 4 4 4 4 4 4
Total Payroll $3,500 $3,500 $3,500 $4,000 $4,000 $4,000 $4,500 $4,500 $4,750 $5,250 $5,250 $5,250
General Assumptions
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Plan Month 1 2 3 4 5 6 7 8 9 10 11 12
Current Interest Rate 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00% 7.00%
Long-term Interest Rate 9.00% 9.00% 9.00% 9.00% 9.00% 9.00% 9.00% 9.00% 9.00% 9.00% 9.00% 9.00%
Tax Rate 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00%
Other 0 0 0 0 0 0 0 0 0 0 0 0
Pro Forma Profit and Loss
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Sales $1,275 $4,555 $9,675 $14,575 $18,505 $22,225 $24,650 $27,275 $30,175 $33,050 $35,475 $37,650
Direct Cost of Sales $0 $400 $1,018 $1,660 $2,065 $2,650 $2,898 $3,270 $3,518 $3,765 $4,225 $4,788
Other costs 0% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Cost of Sales $0 $400 $1,018 $1,660 $2,065 $2,650 $2,898 $3,270 $3,518 $3,765 $4,225 $4,788
Gross Margin $1,275 $4,155 $8,658 $12,915 $16,440 $19,575 $21,753 $24,005 $26,658 $29,285 $31,250 $32,863
Gross Margin % 100.00% 91.22% 89.48% 88.61% 88.84% 88.08% 88.25% 88.01% 88.34% 88.61% 88.09% 87.28%
Expenses
Payroll $3,500 $3,500 $3,500 $4,000 $4,000 $4,000 $4,500 $4,500 $4,750 $5,250 $5,250 $5,250
Sales and Marketing and Other Expenses $4,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000
Depreciation $83 $83 $83 $83 $83 $83 $83 $83 $83 $83 $83 $83
Rent $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500 $2,500
Utilities $350 $350 $350 $350 $350 $350 $350 $350 $350 $350 $350 $350
Janitorial services $250 $250 $250 $250 $250 $250 $250 $250 $250 $250 $250 $250
Insurance $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100
Payroll Taxes 15% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Miscellaneous $500 $500 $500 $500 $500 $500 $500 $500 $500 $500 $500 $500
Total Operating Expenses $11,283 $8,283 $8,283 $8,783 $8,783 $8,783 $9,283 $9,283 $9,533 $10,033 $10,033 $10,033
Profit Before Interest and Taxes ($10,008) ($4,128) $374 $4,132 $7,657 $10,792 $12,469 $14,722 $17,124 $19,252 $21,217 $22,829
EBITDA ($9,925) ($4,045) $458 $4,215 $7,740 $10,875 $12,553 $14,805 $17,208 $19,335 $21,300 $22,913
Interest Expense $439 $428 $417 $406 $394 $383 $372 $360 $349 $337 $325 $313
Taxes Incurred ($3,134) ($1,367) ($13) $1,118 $2,179 $3,123 $3,629 $4,308 $5,033 $5,674 $6,267 $6,755
Net Profit ($7,313) ($3,189) ($30) $2,608 $5,084 $7,286 $8,468 $10,053 $11,743 $13,240 $14,624 $15,761
Net Profit/Sales -573.58% -70.02% -0.31% 17.89% 27.47% 32.78% 34.35% 36.86% 38.92% 40.06% 41.22% 41.86%
Pro Forma Cash Flow
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Cash Received
Cash from Operations
Cash Sales $1,020 $3,644 $7,740 $11,660 $14,804 $17,780 $19,720 $21,820 $24,140 $26,440 $28,380 $30,120
Cash from Receivables $0 $9 $277 $945 $1,968 $2,941 $3,726 $4,461 $4,948 $5,474 $6,054 $6,626
Subtotal Cash from Operations $1,020 $3,653 $8,017 $12,605 $16,772 $20,721 $23,446 $26,281 $29,088 $31,914 $34,434 $36,746
Additional Cash Received
Sales Tax, VAT, HST/GST Received 0.00% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Current Borrowing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Other Liabilities (interest-free) $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Long-term Liabilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales of Other Current Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales of Long-term Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Investment Received $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Cash Received $1,020 $3,653 $8,017 $12,605 $16,772 $20,721 $23,446 $26,281 $29,088 $31,914 $34,434 $36,746
Expenditures Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Expenditures from Operations
Cash Spending $3,500 $3,500 $3,500 $4,000 $4,000 $4,000 $4,500 $4,500 $4,750 $5,250 $5,250 $5,250
Bill Payments $167 $4,963 $3,806 $5,188 $7,705 $10,211 $12,028 $12,136 $13,407 $14,123 $15,020 $16,479
Subtotal Spent on Operations $3,667 $8,463 $7,306 $9,188 $11,705 $14,211 $16,528 $16,636 $18,157 $19,373 $20,270 $21,729
Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Principal Repayment of Current Borrowing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Other Liabilities Principal Repayment $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Long-term Liabilities Principal Repayment $1,458 $1,469 $1,480 $1,491 $1,502 $1,513 $1,525 $1,536 $1,548 $1,559 $1,571 $1,583
Purchase Other Current Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Purchase Long-term Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Dividends $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Cash Spent $5,125 $9,932 $8,786 $10,679 $13,207 $15,724 $18,053 $18,173 $19,705 $20,932 $21,841 $23,312
Net Cash Flow ($4,105) ($6,280) ($769) $1,926 $3,564 $4,997 $5,393 $8,108 $9,382 $10,982 $12,593 $13,434
Cash Balance $39,895 $33,615 $32,846 $34,772 $38,337 $43,334 $48,727 $56,835 $66,217 $77,199 $89,792 $103,227
Pro Forma Balance Sheet
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Assets Starting Balances
Current Assets
Cash $44,000 $39,895 $33,615 $32,846 $34,772 $38,337 $43,334 $48,727 $56,835 $66,217 $77,199 $89,792 $103,227
Accounts Receivable $0 $255 $1,158 $2,816 $4,786 $6,519 $8,023 $9,227 $10,221 $11,308 $12,444 $13,485 $14,388
Inventory $5,000 $5,000 $4,600 $3,583 $3,320 $4,130 $5,300 $5,795 $6,540 $7,035 $7,530 $8,450 $9,575
Other Current Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Current Assets $49,000 $45,150 $39,373 $39,245 $42,878 $48,986 $56,656 $63,748 $73,596 $84,561 $97,173 $111,727 $127,190
Long-term Assets
Long-term Assets $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 $10,000
Accumulated Depreciation $0 $83 $167 $250 $333 $417 $500 $583 $667 $750 $833 $917 $1,000
Total Long-term Assets $10,000 $9,917 $9,833 $9,750 $9,667 $9,583 $9,500 $9,417 $9,333 $9,250 $9,167 $9,083 $9,000
Total Assets $59,000 $55,067 $49,206 $48,995 $52,545 $58,569 $66,156 $73,165 $82,929 $93,811 $106,340 $120,810 $136,190
Liabilities and Capital Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Current Liabilities
Accounts Payable $0 $4,838 $3,636 $4,934 $7,367 $9,810 $11,625 $11,690 $12,938 $13,624 $14,472 $15,890 $17,091
Current Borrowing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Other Current Liabilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Current Liabilities $0 $4,838 $3,636 $4,934 $7,367 $9,810 $11,625 $11,690 $12,938 $13,624 $14,472 $15,890 $17,091
Long-term Liabilities $60,000 $58,542 $57,073 $55,593 $54,102 $52,600 $51,086 $49,562 $48,025 $46,478 $44,918 $43,347 $41,764
Total Liabilities $60,000 $63,380 $60,709 $60,527 $61,469 $62,410 $62,711 $61,252 $60,963 $60,101 $59,390 $59,237 $58,855
Paid-in Capital $35,000 $35,000 $35,000 $35,000 $35,000 $35,000 $35,000 $35,000 $35,000 $35,000 $35,000 $35,000 $35,000
Retained Earnings ($36,000) ($36,000) ($36,000) ($36,000) ($36,000) ($36,000) ($36,000) ($36,000) ($36,000) ($36,000) ($36,000) ($36,000) ($36,000)
Earnings $0 ($7,313) ($10,503) ($10,533) ($7,924) ($2,841) $4,445 $12,913 $22,966 $34,709 $47,950 $62,574 $78,335
Total Capital ($1,000) ($8,313) ($11,503) ($11,533) ($8,924) ($3,841) $3,445 $11,913 $21,966 $33,709 $46,950 $61,574 $77,335
Total Liabilities and Capital $59,000 $55,067 $49,206 $48,995 $52,545 $58,569 $66,156 $73,165 $82,929 $93,811 $106,340 $120,810 $136,190
Net Worth ($1,000) ($8,313) ($11,503) ($11,533) ($8,924) ($3,841) $3,445 $11,913 $21,966 $33,709 $46,950 $61,574 $77,335

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Business Funding and Market Research

Martial Arts Business Plan

Written by Elma Steven | Updated on April, 2024

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How to Write a Martial Arts Business Plan?

Martial Arts Business Plan is an outline of your overall martial arts business. The business plan should include a 5 year financial projection, marketing plan, industry analysis, organizational overview, operational overview and finally an executive summary. Remember to write your executive summary at the end as it is considered as a snapshot of the overall business plan. You need to be careful while writing the plan as you need to consider various factors that can impact the business’s success.

You can spend 3 to 4 weeks trying to write your own Business Plan by browsing through free online resources or hire a professional writer for $2,000. There is a better way to do this-  Download our Martial Arts Business Pla n to write a plan in just 2 days .

This depends on your expected revenue and cost. Also, we need to consider the startup cost. Find out the answer- Is Candle Business Profitable?

Table of Contents

Executive summary, how to write an executive summary.

An executive summary should include four sections: an overview, a mission, a vision and an industry overview. The overview section should include details such as the business name, founder details and primary services and products. You can also include any USPs to highlight your competitive advantage. Click on this box to read the details of executive summary writing process. The executive summary should be written at the end and it should inspire the reader to go through the entire business plan.

Located in the middle of Miami’s varied population, the world-class martial arts school Miami Warrior Dojo was established by Carlos Rodriguez. Martial arts instruction, self-defense courses, fitness regimens, and personal growth programs are our main offerings. Carlos Rodriguez is an asset to the studio due to his extensive background in martial arts, which spans more than ten years. Our knowledgeable teachers, wide range of martial arts techniques, and welcoming atmosphere are what set Miami Warrior Dojo apart from the competition.

Mission: Through the practice of martial arts, we want to inspire people of all ages to become physically healthy, mentally strong, and spiritually mature. In addition to providing excellent martial arts instruction, our mission is to encourage mutual regard, perseverance, and community building.

Vision: We want to be a pillar of the Miami martial arts community, known for our diverse student body, top-notch instructors, and the cultivation of complete martial artists. Our vision is to become the go-to place for locals in need of self-improvement and martial arts instruction.

Industry Overview

With an estimated market size of $16.8 billion in 2023 and expected to keep expanding, the martial arts business in the USA is doing quite well. Mixed martial arts (MMA), fitness, and self-defense training are all on the rise, especially among women and millennials, which is driving this expansion. A growing number of families are enrolling their children in martial arts programs as a means to instill discipline, teach them self-defense skills, and encourage physical activity.

Check out this guide on  how to write an executive summary?  If you don’t have the time to write on then you can use this  custom Executive Summary Writer  to save Hrs. of your precious time.

Financial Highlights

Earnings & profitability.

Screenshot 2023 12 28 at 1.00.49 PM

Break-Even Analysis

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Fund Usage & CapEx

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Business Description

Business Name: Miami Warrior Dojo

Founders: Carlos Rodriguez

Management Team: [You can ignore this/ delete this but its better to provide it]

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Legal Structure: LLC

Location: Miami

Goals & Objectives:

  • Sustainability and Social Responsibility: Give back to the community by doing community service and adopting eco-friendly behaviors.
  • Steady Growth : Slow and steady expansion, with an emphasis on quality rather than quantity, should be your goal.
  • Community Engagement: Build a solid reputation in the neighborhood by promoting your business locally.
  • Membership Sustainability: In order to have a steady and dedicated student body, member retention should take precedence over ambitious enrollment goals.
  • Online Presence: Create a website and engage in light social media activity to connect with existing members and build an online presence.
  • Instructor Development: Invest in professional development opportunities for teachers on an as-needed basis to keep up a high level of instruction.
  • Gradual Enrollment: Get a reasonable amount of people enrolled in the first year, and then try to steadily raise that number every year after that.
  • Diverse Class Offering: Start with a small selection of martial arts lessons and grow as needed.
  • Consistent Student Retention: Keep the student retention rate at a fair level, making sure that members who commit to the studio stay enrolled.
  • Occasional Community Events: Every year, host a few of seminars or community events to promote the business and get to know the locals.
  • Basic Online Presence: Build a basic website and keep up a low-key social media presence to stay in touch with current members.
  • Safety and Compliance: Focus on keeping essential insurance coverage in place while making sure safety practices are current and teachers have the proper credentials.

Services: 

  • Martial Arts Classes: Various martial arts lessons will be offered by Miami Warrior Dojo to accommodate students of all ages and abilities. Martial arts training will cover a wide range of disciplines, from taekwondo and Brazilian jiu-jitsu to karate and more.
  • Self-Defense Workshops: The studio will provide self-defense seminars in addition to its normal martial arts lessons to educate students in effective methods of protecting themselves.
  • Fitness Programs: In order to supplement martial arts instruction, the Miami Warrior Dojo will provide fitness and conditioning programs that aim to improve health, stamina, and general physical fitness.
  • Character Development and Leadership Training: Character development classes will be available at the studio for kids of all ages, with an emphasis on self-control, self-respect, self-assurance, and leadership.
  • Family-Oriented Programs: The martial arts school will provide programs designed for families so that kids of all ages may practice side by side, strengthening family ties and fostering a feeling of belonging.
  • Community Events: In an effort to bring the neighborhood together and encourage participation, Miami Warrior Dojo will host seminars and activities from time to time.
  • Online Resources: A website with class schedules, contact details, and the ability to register online will be available as basic online tools from the studio. In order to keep members up-to-date on studio happenings and news, we will maintain social media accounts.
  • Safety and Well-Being: Ensuring that all teachers at Miami Warrior Dojo have the proper certification and training is one of our top priorities. We also strive to provide a welcoming and safe training atmosphere for all students.

Financial Overview

Startup cost, revenue & cost projection, profitability & cash flow projection, business model, tips on business model canvas.

The Business Model Canvas is a high-level overview of the business model. It can also be considered as the business model map in the overall plan. The important partners, key activities, value proposition and cost & revenue sections are only some of the nine vital components. A company idea’s complexities may be mapped out, analyzed and communicated with the use of the canvas. It shows the whole picture of a company’s value creation, delivery and capture processes. It helps new business owners hone their ideas, encourage creative thinking and make sound strategic decisions. It’s a helpful resource for coming up with ideas, organizing plans and presenting business models to key players. Check out  the 100 samples of business model canvas.

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Tips on SWOT Analysis

It offers a clear lens into a company’s strengths, weaknesses, opportunities and threats. This self-awareness enables effective resource allocation and strategic positioning against competitors. Businesses can mitigate risks, make informed decisions and set realistic goals. In addition, presenting a SWOT analysis in a business plan communicates to stakeholders that the company possesses a deep understanding of its market environment. In essence, SWOT ensures a business’s strategy is grounded in reality enhancing its chances of success. Check out the 100 SWOT Samples

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Marketing Plan

How to write your marketing plan.

The marketing plan concisely focuses on customer engagement & competitive strategies, incorporating a marketing budget, promotional channels, brand management and a go-to-market approach. It requires understanding the target audience and competition, setting defined marketing goals and developing a strategy that blends these elements. This approach ensures efficient budget use, leverages appropriate channels for promotion, maintains brand integrity and executes a solid market entry strategy.

Promotional Channels

Social Media Marketing – $10,000 (25%)

  • Platform Focus: Concentrate on visually engaging platforms like Instagram, Facebook, and YouTube, where you can share training videos, student achievements, and testimonials.
  • Content Strategy: Regularly post content showcasing martial arts techniques, instructor profiles, and success stories to engage with your audience.
  • Paid Ads: Utilize targeted ads to reach potential students based on their interests and demographics.

 Website and SEO – $7,000 (17.5%)

  • Website Revamp: Ensure your website is user-friendly, mobile-responsive, and optimized for conversions, providing information on class schedules, pricing, and instructor profiles.
  • Blog Content: Publish informative blog articles about martial arts benefits, training tips, and success stories to enhance SEO and provide value to visitors.
  • SEO: Optimize your website for keywords related to martial arts training, self-defense, and fitness to improve search engine rankings.

Email Marketing – $4,000 (10%)

  • Newsletter: Develop a monthly newsletter featuring training updates, student achievements, and special promotions to engage with current and potential students.
  • Segmentation: Segment your email list to send targeted messages to different groups, such as beginners, advanced students, and parents.

Local Partnerships and Community Engagement – $6,000 (15%)

  • Local Schools and Youth Organizations: Partner with local schools and youth organizations to offer martial arts programs or self-defense workshops for children and teenagers.
  • Community Events: Organize or participate in community events, fairs, or health expos to showcase your studio and engage with the local community.

Referral Program – $3,000 (7.5%)

  • Referral Incentives: Implement a referral program where current students receive discounts or other perks for referring new students to your dojo.

Open Houses and Trial Classes – $5,000 (12.5%)

  • Open Houses: Host open house events where potential students and their families can visit your studio, meet instructors, and watch demonstrations.
  • Trial Classes: Offer free or discounted trial classes to encourage newcomers to experience your training firsthand.

Local Advertising and Direct Mail – $2,000 (5%)

  • Local Media: Invest in local advertising through newspapers, radio, and magazines to reach potential students.
  • Direct Mail: Send postcards or brochures to local households to raise awareness about your martial arts studio.Social Media Marketing – $10,000 (25%)

Brand Management

Social Media Marketing:

  • Brand Voice and Visual Identity: Develop a brand voice that resonates with martial arts enthusiasts, emphasizing discipline, personal growth, and community.
  • User-Generated Content: Encourage students to share their experiences and achievements on social media, featuring their testimonials and progress.
  • Live Sessions: Host live streaming sessions showcasing martial arts techniques, self-defense demonstrations, and Q&A sessions with instructors.

Search Engine Marketing (SEM) and Local SEO:

  • Ad Copy: Highlight your dojo’s unique services, emphasizing the benefits of martial arts training, self-defense, and character development.
  • Website Optimization: Ensure your website is visually appealing, easy to navigate, and optimized for search engines with relevant keywords like “martial arts classes”, “self-defense training”, and “fitness programs”.
  • Google My Business: Keep your listing updated with photos, services, and contact information to improve local search visibility.

Email Marketing:

  • Newsletter: Send regular newsletters featuring training updates, success stories, special promotions, and self-defense tips.
  • Segmentation: Tailor emails for different groups such as children, teens, adults, and families to provide relevant content.

Local Partnerships and Community Engagement:

  • Local Schools and Youth Organizations: Partner with local schools and youth organizations to offer martial arts programs, anti-bullying workshops, and character development sessions.
  • Community Events: Organize or participate in local events, health expos, and safety workshops to showcase your studio and engage with the community.

Referral Program:

  • Incentivize Referrals: Implement a referral program where current students receive discounts or special offers for referring new students to your dojo.

Content Marketing:

  • Educational Content: Create blog posts, videos, and infographics about martial arts benefits, training techniques, and self-defense principles.
  • Behind-the-Scenes: Share behind-the-scenes stories and photos from training sessions, belt tests, and tournaments to provide insight into the dojo experience.

In-Person Advertising:

  • Local Media and Print: Advertise in local magazines, community newsletters, and schools’ event programs.
  • Community Boards and Local Businesses: Post flyers and business cards at community centers, local businesses, and health clubs.

Go To Market Strategy

Online Presence and Community Engagement:

  • Professional Website: Launch a user-friendly website showcasing your dojo’s facilities, class schedules, pricing, and instructor profiles.
  • Content Marketing: Publish regular blog posts or articles on martial arts benefits, training tips, and self-defense techniques to enhance search engine rankings.
  • Local Directory Listings: Ensure your dojo is listed on relevant online directories and local business listings for improved local search visibility.
  • Partnerships: Collaborate with local schools, community centers, and youth organizations to offer martial arts programs and workshops, building connections within the community.

Studio Launch Event and Promotional Offers:

  • Grand Opening Event: Host a grand opening event to introduce your dojo to the community. Invite local residents, families, and potential students to experience your studio, meet instructors, and watch martial arts demonstrations.
  • Introductory Discounts: Offer special rates or trial class packages to entice new students and encourage them to experience your martial arts training.

Digital Marketing and Customer Relations:

  • Social Media Campaigns: Use platforms like Facebook, Instagram, and YouTube to showcase your dojo’s classes, student achievements, and self-defense demonstrations. Engage with your audience through behind-the-scenes content and interactive posts.
  • Email Marketing: Send regular newsletters featuring updates, special offers, and self-defense tips to keep your audience engaged and informed.
  • Loyalty Program: Implement a loyalty program to reward long-term students with discounts or additional training opportunities.

Brand Awareness and Public Relations:

  • Local Media Outreach: Engage with local media outlets for interviews, features, or stories about your dojo’s mission, instructors, and success stories.
  • Community Involvement: Participate in local events, health expos, and safety workshops to increase brand visibility and contribute positively to your community.
  • Influencer Partnerships: Collaborate with local fitness influencers, martial artists, or community leaders for joint promotions and endorsement, expanding your reach.

Performance Tracking:

  • Analytics and Feedback: Regularly analyze the effectiveness of your marketing strategies using tools like Google Analytics, social media insights, and client feedback.
  • Adaptation: Stay flexible and ready to adjust your marketing strategies based on performance data and evolving market trends to optimize your outreach efforts.

Organizational Overview

How to write your organizational overview.

Organizational overview provides a snapshot of how a company is structured and operates. It outlines the ownership structure, roles, responsibilities of key management personnel and the reporting hierarchy within the organization. This section offers stakeholders, investors and other readers a clear understanding of the company’s leadership and its chain of command. Additionally, it may give insight into the company’s culture, values and operational philosophy.

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The founder of Miami Warrior Dojo, Carlos Rodriguez, is a lifelong martial arts fan with a wealth of knowledge and expertise in a variety of styles. A lifetime dedication to the fundamentals of martial arts developed from his first pursuit of physical health and self-defense abilities.

Carlos has trained diligently for many years, achieved black belts in many martial arts, and has honed his teaching abilities by working with pupils of all ages and walks of life. In addition to improving one’s physical condition, he sees martial arts as a vehicle for introspection, self-control, and empowerment.

Motivated by a strong desire to share the advantages of martial arts with the Miami community, Carlos set up Miami Warrior Dojo, a martial arts facility, reflecting his profound enthusiasm for the art and his business drive. In addition to providing martial arts instruction, his business concept centers on establishing a welcoming community where all members may feel safe enough to express themselves, grow in self-confidence, and form lasting bonds with one another.

There is no Miami Warrior Dojo principle that is more fundamental than Carlos’s dedication to perfection. He stresses the need of safe practices, high-quality education, and the transformative power of martial arts for both people and society at large.

Carlos is also very involved in the neighborhood, taking part in outreach projects, teaching self-defense training, and hosting events to encourage people to get in shape and be safe. His unwavering commitment to ensuring that martial arts are available to people of all ages and walks of life is evidence of his faith in the transformative power of this discipline.

Known for its dedication to inclusiveness, excellent training, and the overall growth of its students, Miami Warrior Dojo is set to become a prestigious institution in Miami’s martial arts community under Carlos Rodriguez’s guidance. In addition to his professional success, Carlos’s narrative exemplifies his dedication to martial arts and his desire to help others in the dynamic city of Miami find personal strength and confidence via training.

Positions and Responsibilities

Chief Instructor/Head Sensei – Carlos Rodriguez

Carlos is the go-to guy when it comes to martial arts training as he’s the chief instructor.

Developed the martial arts training program and oversaw its quality.

Offers direction and support to other educators.

Acts as a representative of the dojo at events and within the martial arts community.

Assistant Instructors

Help out with martial arts class instruction and making sure everyone stays safe.

Assist the Head Teacher in carrying out the course of study.

Assist students one-on-one as they learn.

Studio Manager

Manage the dojo on a daily basis.

Handle administrative duties, student registration, and class scheduling.

Everyone who comes to the school, including pupils, should feel secure and welcome.

Manage client interactions, student enrollment, and general queries.

Youth Program Coordinator

Organize and lead martial arts courses for young people.

Create lessons tailored to the needs of different age groups.

Communicate with guardians and parents to inform them on your progress.

Adult Program Coordinator

Arrange and instruct adult martial arts courses.

Develop training programs that cater to the unique requirements and aspirations of adult learners.

Create a training atmosphere that is inspiring and upbeat.

Marketing and Outreach Coordinator

Create and execute promotional plans to get the word out about the dojo.

Oversee the dojo’s website and social media accounts.

Workshops and community outreach activities may be planned and coordinated.

Work together with nearby companies to promote each other.

Front Desk Administrator

Take care of front desk tasks, such as greeting guests and pupils.

Ensure smooth registration, payment, and inquiry processes for students.

The reception area should be kept clean and organized at all times.

Safety and Equipment Manager

Make sure that pupils are safe while they are in training.

Make sure all training facilities and equipment are safe and in good working order by managing and maintaining them.

Direct the execution of safety measures.

Financial Controller

Budgeting and accounting are part of managing the dojo’s finances.

Organize and manage financial reporting, billing, and payroll.

Offer valuable financial information to assist with decision-making for businesses.

Community Engagement and Events Coordinator

Arrange and manage one-off gatherings, conferences, and workshops.

Collaborate with neighborhood institutions, businesses, and organizations.

Raise the profile of the dojo and encourage more participation from the neighborhood.

Operational Overview

Martial Arts Classes

  • Traditional Martial Arts Training: Karate, Taekwondo, Judo, and Brazilian Jiu-Jitsu are just a few of the classic martial arts that we teach. Anyone, regardless of age or ability level, is welcome in these courses.
  • Self-Defense Workshops: We provide targeted self-defense classes that teach participants how to be more aware of their surroundings and how to protect themselves from harm.
  • Fitness and Conditioning: Our fitness and conditioning programs help members become more physically fit, stronger, and more resilient, and they also include martial arts instruction.

Instructor Training

  • In order to keep up with the ever-changing world of martial arts and their teaching methods, our veteran teachers participate in ongoing training.
  • The well-being and growth of our pupils are their top priorities, and they have certifications in their fields.

Youth Programs

  • Young people may learn self-control, self-assurance, and respect via our age-appropriate youth programs.
  • Character education, anti-bullying tactics, and leadership development are the main focuses of our programs.

Adult Programs

  • Classes in adult martial arts are ideal for those who want to learn how to defend themselves, get in shape, reduce stress, and develop themselves.
  • So that we can meet your hectic schedule, we offer sessions at a variety of hours.

Private Lessons:

  • Anyone looking for specialized instruction may take advantage of our professional teachers’ availability for private or small group sessions.

Weapons Training

  • Our advanced students have the opportunity to learn with traditional weapons like the bo staff, nunchaku, and sai in a variety of martial arts styles, including Kobudo.

Competitions and Tournaments

  • When our students compete in martial arts events and competitions on a local, national, or even worldwide level, we fully endorse and back their efforts.

Belt Testing and Graduations

  • Graduation ceremonies and frequent belt tests let us to celebrate our pupils’ growth and accomplishments.

Community Engagement:

  • Events, seminars, and demonstrations are just a few ways that Miami Warrior Dojo gets involved with the neighborhood.
  • We work together with local institutions to spread awareness about the importance of self-defense, martial arts, and personal safety.

Industry Analysis

Tips on industry analysis.

The industry analysis section offers a detailed exploration of the market environment. It identifies current challenges and potential opportunities within the industry, segments the target market to pinpoint specific consumer demographics, assesses the market’s overall size for growth potential and examines influential industry forces. This thorough analysis is essential for developing strategic business approaches, aligning objectives with market trends and positioning the company for competitive success.

Approximately $3 million is the market size of the Miami martial arts studio sector as of 2022. By the end of 2027, it is anticipated to have grown moderately but steadily over the following five years, with a projected CAGR of around 3%, reaching an estimated value of $3.45 million.

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Source: ibisworld

Due to the city’s high demand for fitness, self-defense, and martial arts classes, Miami’s martial arts studio business is booming. Its projected value in 2022 is at $3 million. By the end of 2027, it is anticipated to have grown steadily over the following five years, with a projected CAGR of around 3%, rising to an estimated value of $3.45 million.

Other key trends and stats:

  • Miami’s diverse population, interested in fitness, self-defense, and cultural appreciation, provides a rich customer base for martial arts.
  • The city’s health-conscious residents drive demand for martial arts as a means of physical activity, stress relief, and improved well-being.
  • MMA and BJJ are increasingly popular in Miami, creating opportunities for specialized studios in these disciplines.
  • Miami’s strong community and cultural ties foster a supportive environment for martial arts studios.
  • Despite existing competition, there is room for growth and differentiation by offering unique classes and exceptional customer experiences.
  • A strong online presence through websites and social media is crucial for marketing and reaching potential clients.

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Source: mystudio

Industry Problems 

  • Competition for Space: Finding suitable and affordable training space can be competitive, especially in urban areas like Miami.
  • Instructor Qualifications: Ensuring that instructors have the necessary qualifications and certifications can be challenging.
  • Retention of Students: Maintaining long-term student engagement and retention is essential for sustainable growth.
  • Safety and Liability: Ensuring a safe training environment and managing liability concerns are critical.
  • Marketing and Visibility: Standing out and attracting new students in a competitive market can be difficult.
  • Diversity of Offerings: Meeting the diverse preferences of students for various martial arts styles and fitness levels requires planning.
  • Equipment and Facilities: Keeping martial arts equipment and facilities well-maintained can be costly and time-consuming.
  • Scheduling and Class Coordination: Managing class schedules to accommodate students’ availability can be challenging.
  • Instructor Availability: Coordinating instructors’ schedules with class times can be complex.
  • Pricing and Affordability: Setting pricing that balances studio costs with affordability for students is a constant consideration..

Industry Opportunities

  • Flexible Membership Plans: Offer a variety of membership options, such as monthly, quarterly, or pay-per-class, to accommodate different budgets and commitment levels.
  • Online Booking and Class Scheduling: Implement an online booking system that allows students to reserve classes and check availability easily, improving scheduling convenience.
  • Instructor Development: Invest in ongoing instructor training and certification to ensure high-quality teaching and expertise in various martial arts disciplines.
  • Student Engagement Programs: Develop programs to enhance student retention, such as rewards for long-term commitment, progress tracking, and special events.
  • Safety Protocols and Insurance: Prioritize student safety by implementing rigorous safety protocols and securing liability insurance to protect both students and the studio.
  • Effective Marketing and Branding: Develop a strong online presence through a professional website and active social media engagement to attract new students and stand out in the market.
  • Diverse Martial Arts Offerings: Offer a range of martial arts styles and class levels to cater to different interests and skill levels, ensuring inclusivity.
  • Facility Maintenance: Regularly maintain and upgrade training equipment and facilities to create a safe and appealing training environment.
  • Class Scheduling Optimization: Efficiently schedule classes to accommodate students’ varying availability, including early morning, evening, and weekend options.
  • Instructor Availability: Coordinate instructor schedules to align with class times and provide flexibility for students.
  • Pricing Strategy: Set competitive pricing that balances studio costs with affordability for students, considering package deals or discounts for long-term commitments.

Target Market Segmentation

Geographic segmentation.

  • Miami-Dade County Residents: Market to people in Miami-Dade County by highlighting the health, fitness, and self-defense advantages of martial arts. Make sure to showcase the accomplishments and good experiences of local students who have attended your class.
  • Miami Neighborhoods: Find out which areas in Miami are particularly health-conscious and fitness-oriented. Wynwood, Downtown Miami, South Beach, and other locations with active and health-conscious populations are great places to promote your studio.

Demographic Segmentation

  • Age Groups: Create a variety of martial arts programs for kids, teens, adults, and the elderly. Training needs and objectives may vary from one group to another.
  • Income Levels: Make your prices adjustable so that people of different economic levels may afford them. You may think of creating beginner’s packages, student and family discounts, and premium packages with extra benefits for those looking for specialized instruction.
  • Cultural Diversity: Recognize and celebrate the many different martial arts techniques practiced at your facility as a way to connect with the multicultural community of Miami. Special training sessions might be organized to commemorate cultural occasions or festivals and to shed light on the cultural roots and importance of each subject.

Psychographic Segmentation

  • Aspiring and Hobbyist Martial Artists: Create courses and programs tailored to those who are just starting out in martial arts or who are interested in it as a pastime. Encourage their path into martial arts by focusing on establishing a warm and supportive atmosphere.
  • Professional Martial Artists and Athletes: Provide elite athletes and martial artists with individualized training plans and state-of-the-art facilities so they may reach their full potential.
  • Unique Training Experiences: In order to entice folks seeking martial arts experiences that are different from the norm, you could organize themed seminars, outdoor sessions, or special events.

Behavioral Segmentation

  • Local Martial Arts Enthusiasts: Target locals who are looking to improve themselves physically, mentally, or spiritually via martial arts training. Martial arts may improve one’s physical and emotional health, thus it’s important to provide lessons that are suitable for beginners.
  • Professional Athletes and Fighters: Get the attention of elite athletes and combatants looking for top-tier training and personalized instruction. Make sure they know about your studio’s martial arts and fitness programs and how they may help them improve.
  • Creative Workshops and Team Building: Businesses and groups interested in providing their staff with one-of-a-kind martial arts experiences may take advantage of your innovative seminars and team-building programs. Spread the word about martial arts as a way to relieve stress and work together as a team.

Technological Segmentation

  • Tech-Savvy Martial Artists: Allure martial artists who value cutting-edge tech and digital resources by providing them with state-of-the-art training equipment, online learning environments, and digital coaching materials. Promote your martial arts school as a leader in the use of technology in training.
  • Traditional Martial Arts Enthusiasts: People who want more conventional forms of martial arts should be catered to. Give people the opportunity to learn martial arts in a way that honors their heritage while also fostering discipline, respect, and expertise in time-honored methods.

Market Size

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  • Total Addressable Market (TAM) for Martial Arts Studio: Your martial arts studio’s Total Addressable Market (TAM) includes every possible customer in the Miami, Florida, and neighboring locations who might be interested in your martial arts classes and services. This encompasses people of all ages who are enthusiastic about martial arts for a variety of reasons, such as physical health, psychological well-being, and self-defense. A number of elements, including population demographics, fitness trends, and the demand for martial arts instruction, are taken into consideration by the TAM, which offers an overview of the whole market potential in your geographic area.
  • Serviceable Addressable Market (SAM) for Martial Arts Studio: The SAM for your martial arts school is a subset of the TAM that is more narrowly focused. Factors like your studio’s location, the martial arts forms you offer, your pricing strategy, and your target demographics determine the amount of the market that your studio can realistically service. To illustrate the point, a martial arts facility that mostly trains adults in Brazilian Jiu-Jitsu (BJJ) would have a different SAM than one that teaches kids’ martial arts or provides a diverse curriculum. If you want to know who your ideal client is for your studio’s services, finding your SAM is the first step.
  • Serviceable Obtainable Market (SOM) for Martial Arts Studio: Your martial arts school may reasonably aim to acquire and service the Serviceable Obtainable Market (SOM), which is a subset of the SAM. Think about your studio’s present capacity, marketing, teacher knowledge, and where you stand in the market. Strategic choices and growth goals are guided by your SOM, which reflects the attainable market share within your unique market segment. Knowing your SOM allows you to focus your marketing, operations, and growth strategies on the market segment that best fits your studio’s capabilities and objectives.

Industry Forces

Market Demand and Martial Arts Trends: Martial arts classes in Miami are in high demand due to current fitness fads, increased interest in self-defense, and individuals looking to better themselves. The martial arts business in Miami is booming because people there are always looking for new ways to be in shape, feel better about themselves, and learn how to defend themselves. Moreover, the need for specialized training programs is greatly affected by certain trends within the martial arts, such as the popularity of traditional martial arts disciplines, mixed martial arts (MMA), and Brazilian Jiu-Jitsu (BJJ). You may adapt to these changing trends and take advantage of the increasing demand for martial arts instruction by providing a wide variety of styles to your clients.

Competition: With so many different types of martial arts schools, studios, and fitness centers in the Miami area, competition is fierce for new students. There is a lot of competition in the martial arts industry, so your studio needs to find a way to stand out. Bring attention to your instructors’ qualifications and experience, showcasing their mastery of different martial arts styles. Display one-of-a-kind training programs that cater to various interests, such as self-defense, competition, or personal growth. Train your students to be supportive of one another and to feel like they belong by making the classroom a warm and inviting place. A passionate and loyal customer might be yours if you can make your studio stand out.

Technological Advances: Delivering a contemporary and successful martial arts training experience requires being up-to-date with technical innovations. Your students’ learning experience may be greatly improved with the latest innovations in training gear, safety gear, and instructional technologies. To raise the bar for both training quality and safety, equip your studio with cutting-edge training materials. To make things easier, more accessible, and more engaging, use digital platforms for things like online class registration, student communication, and marketing.

Regulatory Environment: To run a successful martial arts school, you must master the regulatory landscape. The safety of your students and the credibility of your studio depend on your adherence to local rules, which include requirements for teacher certificates and safety standards. Furthermore, in order to maintain professional standards and trust within the martial arts community, it is essential to keep knowledgeable about and adhere to the rules and regulations set out by martial arts organizations. The reputation and integrity of your studio may be preserved by always doing what is legally required and by following all industry standards.

Economic Factors: The ability of people to spend money on martial arts instruction is greatly affected by the current economic situation. The amount of money that prospective students have to spend on martial arts classes might change depending on economic conditions, such as booms and busts. Give customers the opportunity to pay more or less depending on their budgets. In times of economic hardship, they may take the form of special sales, family packages, or student discounts. No matter the state of the economy, you can keep your doors open to a diverse group of students by adjusting your price plan.

Customer Preferences and Expectations: In order to provide your students a rewarding martial arts experience, you must first understand and then meet their expectations and preferences. Schedules, training intensities, and martial arts forms are all personal preferences that should be considered by each student. Make it a priority to teach your students not just the ropes of martial arts, but also the importance of self-control, kindness, and respect. Make sure everyone is comfortable, inspired, and able to contribute to a training environment that encourages growth. You can build client loyalty and keep your martial arts school reputable by always going above and beyond for your clients.

Social and Environmental Responsibility: In today’s sensitive world, your studio may stand out by incorporating social and environmental responsibility into its ethos. Embrace the social responsibility that comes with martial arts by spreading the principles of self-control, respect, and involvement in one’s society. Inspire your students to use these concepts in all aspects of their life, not just in the studio. Sustainable training equipment, energy-efficient lighting, and recycling programs are just a few examples of the eco-friendly activities you may introduce to your studio. These actions show that you care about doing the right thing by your consumers and the environment.

Workforce Availability and Skills: The success of your martial arts school depends on your ability to recruit and keep a talented and dedicated staff. Instructors are crucial in providing high-quality teaching and keeping the training atmosphere pleasant because of their knowledge and experience in the many martial arts disciplines. In order to ensure that martial arts teachers are well-versed in the most recent techniques, safety regulations, and pedagogical trends, ongoing professional development programs are essential. If you want your staff to be enthusiastic, dedicated, and focused on giving your pupils the best service possible, you need to find ways to keep them happy and employed. The future of your martial arts school depends on having a happy and competent staff.

You may successfully navigate the competitive market, fulfill your students’ increasing requirements, and position your martial arts studio as a trusted and successful training facility in Miami, Florida, by addressing these industry drivers.

Tips on Financial Modeling & Analysis

It includes essential elements such as an Investment and Capital Expenditure Summary that details the necessary funds, a Revenue Summary that estimates profits, a Cost of Goods Sold (COGS) Summary that details the expenses of manufacturing or services and an Operating Expenses (OpEx) Summary that presents the costs of everyday operations. An Income Statement that shows how profitable the business is, a Cash Flow Statement that shows how liquid the funds are and a Balance Sheet that shows the overall financial health of the organization round out the part. For stakeholders to make educated decisions it is crucial to have a comprehensive picture of the company’s financial health and development possibilities.

Investment & Capital Expenditure

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Revenue Summary

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Cost of Goods Sold Summary

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OpEX Summary

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Income Statement

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Cash Flow Statement

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Balance Sheet

Screenshot 2023 12 28 at 12.54.16 PM

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How to Write a Martial Arts School Business Plan [Sample Template]

Are you about starting a martial arts school? If YES, here is a complete sample martial arts school business plan template & feasibility study you can use for FREE . If you are a professional and a warrior in martial arts, you can generate huge profits from your passion by simply establishing a martial arts school to teach people on martial arts.

In recent times, it has become highly necessary for children and young adults to learn martial arts , not just for the fun of it, but for the fact that one is able to participate in sports  competition,  as well as  a skill needed for self-defense.

Why Start a Martial Arts School?

With the growing rate of all sorts of crimes like kidnapping, rape, and so on in our society, it has become needful for the skill of martial arts to be learnt from an early age.

It is important to state at this juncture that starting martial art skills requires someone who has practiced the art for at least 10 years, someone who understands the industry, hardworking, posses’ business skills and someone who has enough money saved up.

If you live in countries like the united states, Canada, United Kingdom, Japan and China, you would realize that there are loads of martial arts schools all around the neighborhood. This is to indicate that it is indeed a profitable business if properly planned and managed.

As a matter of fact, parents look for standard martial schools to enroll their children so that they can be well trained to defend themselves when the need arises. Women also go out of their ways to enroll themselves in martial art class so that they will be well equipped to defend themselves as well.

No doubt starting a martial arts school is a profitable venture and this business plan can help you start your own martial arts school from the very scratch and build it to profitability within record time;

A Sample Martial Arts School Business Plan Template

1. industry overview.

Martial arts are organized systems and traditions of combat practices, which are practiced for various reasons. Some people practice martial arts for self-defense, military and law enforcement applications; some practice it as sports – competition, physical fitness, mental and spiritual development; and in countries in the far orient – Japan, Chinese and South Korea et al, they practice it as entertainment and the preservation of a nation’s intangible cultural heritage.

The Martial arts industry is indeed a large industry and it includes studios or schools that offer instruction in martial arts. The classes that are offered by martial arts schools / studios include karate, kendo, judo, jiu jitsu, krav maga, tae kwon do, muay thai and mixed martial arts, among others.

This industry does not include self-defense instruction. The practice of martial arts has become a significant industry of its own, although still a subset of the wider sport industry.

Millions of people all over the globe practice some form of martial art. Web Japan (sponsored by the Japanese Ministry of Foreign Affairs) claims there are 50 million karate practitioners all over the world. The South Korean government in 2009 also published an estimate that taekwondo is practiced by 70 million people in 190 countries of the world.

Statistics has it that, the wholesale value of martial arts related sporting equipment that was shipped in the United States of America was estimated at 314 million USD in 2007. So also, active practitioners of martial arts in the same year was estimated at 6.9 million and the range from ages 6 or older – this roughly 2 percent of The US population).

An authority in the industry – R. A. Court, CEO of Martial Arts Channel, stated the total revenue of the US martial arts industry at USD 40 billion and the number of US practitioners at 30 million in 2003

Statistics has it that the Martial Arts industry in the United States of America, is worth $40bn, with an estimated growth rate of 1.2 percent. There are about 8,588 registered and licensed martial arts schools / studios in the United States and they are responsible for employing about 56,839 people. No company can boast of dominating the market; every player in the industry can comfortably compete in the industry.

Beyond every reasonable doubt, the multibillion-dollar martial arts industry in the United States of America has benefited greatly from the promotion of self – defense inspired television shows and the rising interest in health and fitness related activities.

Over and above, any entrepreneur who is certified martial arts instructor can successfully launch his or her martial arts Studios or school and make great gains from the industry simply because the industry is still growing and more people are becoming aware of the immense benefits they stand to gain when the enroll in a martial arts class.

2. Executive Summary

Chaka Lee® Martial Arts School, LLC is a standard, licensed and well equipped martial arts school with state of the art facility and space large enough to contain about 50 people per – time. We run a martial arts school where kids, teens, and adults learn and practice martial arts in a fun – fulfilled and relaxing atmosphere.

Our martial arts school will be located in – between a well – populated residential estate and a business district in New York City – New York, United States of America. We hope to open branches of our martial arts school in other key cities in the United States and Canada and also to sell franchise in the nearest future.

Chaka Lee® Martial Arts School, LLC is a client-focused and result driven martial arts school that provides ease to learn and fully practice martial arts and experience at an affordable fee that won’t in any way put a hole in the pocket of our clients (students and organizations alike who would hire our services).

We will offer a standard and professional martial arts training in a highly secured and conducive learning environment to all our students. We will ensure that we work hard to meet and surpass all our students’ expectations as it relates to their goals of enrolling in our martial arts school or engaging our services.

No doubt, our martial arts facility will be well – equipped with wood-sprung floors, a comfortable lobby with flat screen TVs, and different locker room for change over equipped with showers for both kids and adults alike. We will also run a one – stop martial arts store in same facility where our customers can purchase authentic martial arts kits and other related accessories.

At Chaka Lee® Martial Arts School, LLC, our students’ overall best interest would always come first, and everything we do is guided by our values and professional ethics. We will ensure that we hire professional and licensed martial arts coaches, and instructors to work with our students.

Chaka Lee® Martial Arts School, LLC will at all times demonstrate her commitment to sustainability, both individually and as a dance related training organization, by actively participating in our communities and integrating sustainable business practices wherever possible.

We will ensure that we hold ourselves accountable to the highest standards by meeting our students’ needs precisely and completely. We will cultivate a working environment that provides a human, sustainable approach to earning a living, and living in our world, for our partners, employees and for our clients (students and corporate organization).

Our overall business goal is to position Chaka Lee® Martial Arts School, LLC to become the leading brand in the martial arts industry in the whole of New York City – New York, United States of America, and also to be amongst the top 10 martial arts school brand in the United States of America within the first 5 years of operations.

This might look too tall a dream but we are optimistic that this will surely come to pass because we have done our research and feasibility studies and we are enthusiastic and confident that New York City is the right place to launch our martial arts school.

Chaka Lee® Martial Arts School, LLC is founded by Dr. Chaka Lee and He will run the business with his business partners for many years Mr. Su Park and Mr. Xi Ping. Dr. Chaka Lee is a renowned Chinese – American Martial Arts Instructor who has successfully accumulated high – level training and experience with excellent certifications and recommendations from Japan, China, South Korea and The United States of America.

3. Our Products and Services

Chaka Lee® Martial Arts School, LLC is going to offer varieties of martial arts trainings and related services within the scope of the martial arts industry in the United States of America. Our intention of starting our martial arts school is to help in individual and organization learn and practice martial arts in a conducive and relaxing environment.

Lastly we are also in the martial arts industry to make profits and we will do all that is permitted by the law in the US to achieve our aim and business goal. Our service offerings are listed below;

  • Providing instruction in mixed martial arts
  • Providing instruction in karate
  • Providing instruction in taekwondo
  • Providing instruction in judo
  • Providing instruction in jiu-jitsu
  • Providing instruction in other forms of martial arts, including muay thai, kung fu and capoeira
  • Merchandise sales ( Martial arts related shoes, clothes, punching bags, dummies, boxing gloves and headgear and other accessories )

4. Our Mission and Vision Statement

  • Our vision is to build a highly competitive and effective martial arts school that will become the number one choice for both individuals and corporate organizations in New York City, New York and in other cities in the United States of America and Canada where we intend opening our branches or selling our franchise.
  • Our mission is to provide affordable professional and highly effective martial arts trainings and services to a wide range of clients that cuts across different divides.
  • Our overall business goal is to position Chaka Lee® Martial Arts School, LLC to become one of the leading martial arts school – brand in the industry in the whole of New York City – New York, and also to be amongst the top 10 martial arts brand in the United States of America and Canada within the first 5 years of fully running the business.

Our Business Structure

Chaka Lee® Martial Arts School, LLC will build a solid business structure that can support the growth of our martial arts school. We will ensure that we hire competent hands to help us build the business of our dream. The fact that we want to become one of the leading brand in the martial arts industry in the whole of the United States of America and Canada makes it highly necessary for our organization to deliberately build a well – structured business from the very scratch.

Below is the business structure that we will build The Orient – American® Yoga Studio on;

  • Principal Partner / Chief Executive Officer

School Administrator

Martial Arts Instructors / Coaches

Accountant / Bursar

Client Service Executive

  • Front Desk Officer

5. Job Roles and Responsibilities

Principal Partner / Chief Executive Officer:

  • Responsible for providing direction for Chaka Lee® Martial Arts School, LLC
  • Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for handling high profile clients and deals (clients such as Top Government Officials, Sports Clubs, Superstars, and Celebrities et al)
  • Responsible for fixing fees and signing business deals (partnership)
  • Responsible for signing checks and documents on behalf of Chaka Lee® Martial Arts School, LLC
  • Coordinate all arms of the business and develop curriculum for Chaka Lee® Martial Arts School, LLC
  • Evaluates the success of the business
  • Reports to the board of Chaka Lee® Martial Arts School, LLC
  • Responsible for overseeing the smooth running of HR and administrative tasks for Chaka Lee® Martial Arts School, LLC
  • Design job descriptions with KPI to drive performance management for martial arts instructors / coaches
  • Regularly hold meetings with key stakeholders (clients and member of the board) to review the effectiveness of the business Policies, Procedures and Processes
  • Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
  • Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
  • Defining job positions for recruitment and managing interviewing process
  • Carries out staff induction for new team members
  • Responsible for training, evaluation and assessment of employees
  • Responsible for arranging travel, meetings and appointments
  • Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
  • Oversee the smooth running of the daily activities of Chaka Lee® Martial Arts School, LLC.
  • Responsible for training clients on all aspect or martial arts practice
  • Provides instruction in mixed martial arts
  • Provides instruction in karate
  • Provides instruction in taekwondo
  • Provides instruction in judo
  • Provides instruction in jiu-jitsu
  • Provides instruction in other forms of martial arts, including muay thai, kung fu and capoeira
  • Guide students during martial arts sessions
  • Works closely with instructors or other dancers to interpret or modify choreography
  • Rehearses for several hours a day
  • Attends promotional events and competitions.

Marketing and Sales Executive

  • Identifies, prioritizes, and reaches out to new clients, and business opportunities et al
  • Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of projects.
  • Writes winning proposal documents, negotiate fees and rates in line with organizations’ policy
  • Responsible for handling business research, market surveys and feasibility studies for clients
  • Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
  • Develops, executes and evaluates new plans for expanding increase sales
  • Documents all customer contact and information
  • Represents Chaka Lee® Martial Arts School, LLC in strategic meetings
  • Helps to increase sales and growth for Chaka Lee® Martial Arts School, LLC.
  • Responsible for preparing financial reports, budgets, and financial statements for the organization
  • Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
  • Responsible for financial forecasting and risks analysis.
  • Performs cash management, general ledger accounting, and financial reporting for one or more properties.
  • Responsible for developing and managing financial systems and policies
  • Responsible for administering payrolls
  • Ensures compliance with taxation legislation
  • Handles all financial transactions for Chaka Lee® Martial Arts School, LLC
  • Serves as internal auditor for Chaka Lee® Martial Arts School, LLC.
  • Welcomes students and visitors by greeting them in person or on the telephone; answering or directing inquiries.
  • Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
  • Through interaction with students on the phone, uses every opportunity to build client’s interest in the company’s products and services
  • Manages administrative duties assigned by the studio coordinator in an effective and timely manner
  • Consistently stays abreast of any new information on the schools’ products, promotional campaigns etc. to ensure accurate and helpful information is supplied to students when they make enquiries

6. SWOT Analysis

Chaka Lee® Martial Arts School, LLC engaged the services of a core professional in the area of business consulting and structuring to assist our organization in building a well – structured martial arts school that can favorably compete in the highly competitive martial arts industry in the United States and the world at large.

Part of what the team of business consultant did was to work with the management of our organization in conducting a SWOT analysis for Chaka Lee® Martial Arts School, LLC. Here is a summary from the result of the SWOT analysis that was conducted on behalf of Chaka Lee® Martial Arts School, LLC;

Our core strength lies in the power of our team; our workforce. We have a team that is considered experts in the martial arts industry, a team with excellent qualifications and robust experience in professional martial arts trainings and practices.

Aside from the synergy that exist in our carefully selected faculty members and our strong online presence, Chaka Lee® Martial Arts School, LLC is well positioned in a community with the right demography and we know we will attract loads of individual and corporate clients from the first day we open our doors for business.

As a new martial art school in New York City – New York, it might take some time for our organization to break into the market and gain acceptance especially from top profile clients in the already saturated martial arts industry; that is perhaps our major weakness. Another weakness could be that we might not have the required capital to pump into publicity of our business the way we intend going about it.

  • Opportunities:

No doubt, the opportunities in the martial arts industry is massive considering the number of individuals and corporate organizations who would want to learn and practice martial arts for various reasons. As a standard and well equipped martial arts school that is centrally located, we are ready to take advantage of any opportunity that comes our way.

Every business faces a threat or challenge at any point of the life cycle of the business. These threats can be external or internal. This shows the importance of a business plan, because most threats or challenges are to be anticipated and plans put in place to cushion what effect they might bring to the business.

Some of the threats that we are likely going to face as a martial arts school operating in the United States of America are unfavorable government policies that might affect business such as ours, the arrival of a competitor within our location of operations and global economic downturn which usually affects spending / purchasing power.

There is hardly anything we can do as regards these threats other than to be optimistic that things will continue to work for our good.

7. MARKET ANALYSIS

  • Market Trends

One thing is certain, the trend in the martial arts industry is such that if you want to be ahead of your competitors, you should be able to make your martial arts classes easy for students to adapt to and you should be able to have loads of testimonies from your students. The truth is that, if your student experienced huge difference in their life as a result of enrolling in your martial arts school, then they will be compelled to help promote your organization.

The Martial Arts industry growth was hindered early in recent time as the recession set in and the economy slumped. On the other hand, as the economic recovery took hold, rising per capita disposable income drove consumers to increase spending on sport and fitness activities which including martial arts instruction, supporting revenue growth in the industry.

Going forward, the industry is expected to grow at an even faster rate. A robust economic recovery is expected to endow consumers with higher disposable income levels, enabling them to spend more money on martial arts instruction, particularly costly private lessons. In addition, the popularity of mixed martial arts will continue to drive demand for the industry.

Beyond every reasonable doubt, it is a known fact that martial arts have crossed over into mainstream sports when forms of sparring become competitive, becoming a sport in its own right that is dissociated from the original combative origin, such as with western fencing. This is why The Summer Olympic Games now includes sporting events like judo, taekwondo, western archery, boxing, javelin, wrestling and fencing as events.

8. Our Target Market

The target market for martial arts is broad and of course all encompassing. Chaka Lee® Martial Arts School, LLC is positioned to offer a wide range of martial arts related trainings and practice to a wide range of clients ranging from kids to adults and to people who want to actively compete in sporting competitions.

As a standard and well equipped martial arts school, Chaka Lee® Martial Arts School, LLC offers a wide range of martial arts trainings and practice hence we are well trained and equipped to services a wide range of clients (both individual clients and corporate clients alike).

We are coming into the martial arts industry with a business concept and company’s profile that will enable us work with the clients at different learning stages and different status. Below is a list of the clients that we have specifically design our services for;

  • Military and Para – Military formations
  • Security Agencies
  • Working Class Adults / Corporate Executives
  • Sport Clubs
  • Business People / Entrepreneurs
  • Government Officials
  • Celebrities
  • Public Figures
  • Sports Men and Women
  • College Students

Our Competitive Advantage

No doubt, the martial arts industry is indeed a very prolific and highly competitive industry. Clients will only enroll in your martial arts school or hire your services if they know that you can successfully help them learn and practice martial arts effectively. It is the practice for yoga instructors, and coaches to acquire as much certifications as it relates to their area of specialization; it is part of what will make them stay competitive in the industry

We are quite aware that to be highly competitive in the martial arts industry means that you should be able to deliver consistent quality service, your students / clients should be able to experience remarkable difference and improvement and you should be able to meet the expectations of your clients at all times.

Chaka Lee® Martial Arts School, LLC might be a new martial arts school in New York City – New York, but we have a team that are considered experts in the martial arts industry, a team with excellent qualifications and experience in professional martial arts training and practice.

Lastly, our employees ( martial arts instructors and coaches ) will be well taken care of, and their welfare package will be among the best within our category ( startups martial arts schools in the United States ) in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and achieve all our business aims and objectives.

9. SALES AND MARKETING STRATEGY

  • Sources of Income

Chaka Lee® Martial Arts School, LLC is established with the aim of maximizing profits in the Yoga and Pilate studio industry and we are going to go all the way to ensure that we do all it takes to attract both individual clients and corporate clients on a regular basis.

Chaka Lee® Martial Arts School, LLC will generate income by offering the following services;

  • We will Provides instruction in mixed martial arts
  • We will Provides instruction in karate
  • We will Provide instruction in taekwondo
  • We will Provide instruction in judo
  • We will Provide instruction in jiu-jitsu
  • We will Provide instruction in other forms of martial arts, including muay thai, kung fu and capoeira
  • Merchandise sales (Martial arts related shoes, clothes, punching bags, dummies, boxing gloves and headgear and other accessories)

10. Sales Forecast

One thing is certain, there would always be corporate organization and individual clients who would need that extra coaching or push in other to acquire the required martial arts training that will enable them effectively practice martial arts and live their life the way they wanted to live it. This is the major reason why the services of martial arts schools i.e. martial arts instructors, and martial arts coaches’ et a, l will always be needed.

We are well positioned to take on the available market in New York City – New York and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow our martial arts school and our clientele base.

We have been able to critically examine the martial arts industry – market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projection is based on information gathered on the field and some assumptions that are peculiar to similar startups in New York City – New York.

Below is the sales projection for Chaka Lee® Martial Arts School, LLC, it is based on the location of our martial arts school and of course the wide range of martial arts classes and related services that we will be offering;

  • First Year-: $150,000
  • Second Year-: $450,000
  • Third Year-: $850,000

N.B : This projection is done based on what is obtainable in the martial arts industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same additional services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.

  • Marketing Strategy and Sales Strategy

We are mindful of the fact that there is stiffer competition amongst martial school businesses in the United States of America; hence we have been able to hire some of the best marketing experts to handle our sales and marketing.

Our sales and marketing team will be recruited based on their vast experience in the industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of Chaka Lee® Martial Arts School, LLC.

We will also ensure that our students’ becomes experts when it comes to practicing martial arts; we want to build a standard and well – equipped martial arts school brand that will leverage on word of mouth advertisement from satisfied clients (both individuals and corporate organizations).

Our goal is to grow Chaka Lee® Martial Arts School, LLC to become one of the top 10 martial arts school brand in the United States of America and Canada which is why we have mapped out strategy that will help us take advantage of the available market and grow to become a major force to reckon with not only in New York City – New York, but also in other cities in the United States of America and Canada where we intend opening branches of martial arts school.

Chaka Lee® Martial Arts School, LLC is set to make use of the following marketing and sales strategies to attract clients;

  • Introduce our martial arts school by sending introductory letters alongside our brochure to corporate organizations, schools, households and key stake holders in New York City – New York.
  • Print out fliers and business cards and strategically drop them in offices, libraries, public facilities and train stations et al.
  • Use friends and family to spread word about our martial arts school
  • Post information about our martial arts school and the services we offer on bulletin boards in places like schools, libraries, and local coffee shops et al
  • Placing a small or classified advertisement in the newspaper, or local publication about our martial arts school and the services we offer
  • Using referral networks such as agencies that will help match students and corporate clients with our martial arts school
  • Advertise our martial arts school in relevant entertainment magazines, newspapers, TV stations, and radio station.
  • Attend sports related  expos, seminars, and business fairs et al
  • Engage direct marketing approach
  • Encourage word of mouth marketing from loyal and satisfied students

11. Publicity and Advertising Strategy

We have been able to work with our branding and publicity consultants to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market. We are set to become the number one choice for both corporate clients and private students in the whole of New York City – New York which is why we have made provisions for effective publicity and advertisement of our martial arts school.

Below are the platforms we intend to leverage on to promote and advertise Chaka Lee® Martial Arts School, LLC;

  • Place adverts on both print (community based newspapers and magazines) and electronic media platforms
  • Sponsor relevant community based events / programs
  • Leverage on the internet and social media platforms like; Instagram, Facebook , twitter, YouTube, Google + et al to promote our brand
  • Install our Bill Boards on strategic locations all around New York City – New York
  • Engage in road show from time to time in targeted neighborhoods
  • Distribute our fliers and handbills in target areas
  • Contact corporate organizations by calling them up and informing them of Chaka Lee® Martial Arts School, LLC and the services we offer
  • List Chaka Lee® Martial Arts School, LLC on local directories / yellow pages
  • Advertise our martial arts school in our official website and employ strategies that will help us pull traffic to the site.
  • Ensure that all our martial arts instructors, martial arts coaches, and other staff members wear our branded shirts and all our vehicles are well branded with our corporate logo et al.

12. Our Pricing Strategy

Generally for martial arts classes, both per hour billing and flat fees on a weekly, monthly basis and contract applies. As a result of this, Chaka Lee® Martial Arts School, LLC will charge our clients flat fees except for few occasions where there will be need for us to charge special clients on hourly basis mostly during martial arts related consultancy and advisory services.

At Chaka Lee® Martial Arts School, LLC we will keep our fees below the average market rate for all of our students by keeping our overhead low and by collecting payment in advance.  In addition, we will also offer special discounted rates to all our individual clients at regular intervals.

We are aware that there are some clients that would need special assistance, we will offer flat rate for such services that will be tailored to take care of such clients’ needs.

  • Payment Options

At Chaka Lee® Martial Arts School, LLC, our payment policy will be all inclusive because we are quite aware that different clients would prefer different payment options as it suits them. Here are the payment options that we will make available to our clients;

  • Payment by via bank transfer
  • Payment via online bank transfer
  • Payment via check
  • Payment via bank draft
  • Payment via mobile money
  • Payment with cash

In view of the above, we have chosen banking platforms that will help us achieve our plans with little or no itches.

13. Startup Expenditure (Budget)

In setting up a martial arts school, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a higher amount of capital as you would need to ensure that your employees are well taken care of, and that your martial arts school environment is conducive enough for the students to learn and to effectively practice martial arts.

This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business. The materials and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked.

As for the detailed cost analysis for starting a martial arts school; it might differ in other countries due to the value of their money. However, this is what it would cost us to start a martial arts school in the United of America;

  • Business incorporating fees in the United States of America will cost – $750.
  • The budget for Liability insurance, permits and license will cost – $3,500
  • Acquiring a space or warehouse that will be converted into the martial arts studio and that can accommodate the number of students that will come to learn for at least 6 months (Re – Construction of the facility inclusive) will cost – $150,000.
  • Equipping the martial arts studio (studio floor, sound system, Flat Screen TVs, computers, printers, projectors, dummies, punching bags, furniture, telephones, filing cabinets, and electronics) will cost – $100,000
  • Launching an official Website will cost – $500
  • Amount need to pay bills and staff members for at least 2 to 3 months – $70,000
  • Additional Expenditure such as Business cards, Signage, Adverts and Promotions will cost – $5,000

We would need an estimate of $350,000 to successfully launch a standard and well – equipped martial arts school / studio in New York City – New York.

Generating Funding / Startup Capital for Chaka Lee® Martial Arts School, LLC

Chaka Lee® Martial Arts School, LLC is a business that will be owned by Dr. Chaka Lee and He will run the business with his business partners for many years Mr. Su Park and Mr. Xi Ping. They are the sole financial of the business which is why they decided to restrict the sourcing of the start – up capital for the business to just three major sources.

These are the areas we intend generating our start – up capital;

  • Generate part of the start – up capital from personal savings and sale of his stocks
  • Generate part of the start – up capital from friends and other extended family members
  • Generate a larger chunk of the startup capital from the bank (loan facility).

N.B: We have been able to generate about $150,000 (Personal savings $100,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $200,000 from our bank. All the papers and document has been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

14. Sustainability and Expansion Strategy

The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure. If all of these factors are missing from a business (company), then it won’t be too long before the business close shop.

One of our major goals of starting Chaka Lee® Martial Arts School, LLC is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.

We know that one of the ways of gaining approval and winning customers over to pick up membership in our martial arts school is to equip our facility with state of the equipment and make the martial arts studio environment welcoming and conducive enough for people to effectively learn and practice martial arts.

Chaka Lee® Martial Arts School, LLC will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re – training of our workforce is at the top burner.

As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of three years or more. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List / Milestone

  • Business Name Availability Check: Completed
  • Business Incorporation: Completed
  • Opening of Corporate Bank Accounts various banks in the United States: Completed
  • Opening Online Payment Platforms: Completed
  • Application and Obtaining Tax Payer’s ID: In Progress
  • Application for business license and permit: Completed
  • Purchase of All form of Insurance for the Business: Completed
  • Lease a standard facility for the martial arts studios: Completed
  • Conducting Feasibility Studies: Completed
  • Generating part of the start – up capital from the founders: Completed
  • Writing of Business Plan: Completed
  • Drafting of Employee’s Handbook: Completed
  • Drafting of Contract Documents: In Progress
  • Design of Logo for the martial arts school: Completed
  • Graphic Designs and Printing of Packaging Marketing / Promotional Materials: Completed
  • Recruitment of employees: In Progress
  • Purchase of the Needed furniture, office equipment, electronic appliances and facility facelift: In Progress
  • Creating Official Website for the business: In Progress
  • Creating Awareness for the dance studio in New York City – New York: In Progress
  • Health and Safety and Fire Safety Arrangement: In Progress
  • Establishing business relationship with vendors and key players in various industries: In Progress

More on Sports

Martial Arts Studio Business Plan Template & Guidebook

How to write a martial arts studio business plan in 7 steps:, 1. describe the purpose of your martial arts studio business..

It also helps to include a vision statement so that readers can understand what type of company you want to build.

Our mission at [Name of Martial Arts Studio] is to create an inclusive and welcoming environment for people of all ages and abilities to develop their physical fitness, gain self-confidence and learn martial arts techniques for self-defense, health and well-being. We strive to provide accessible, quality instruction in a safe, clean and supportive atmosphere.

2. Products & Services Offered by Your Martial Arts Studio Business.

You may want to do a comparison of your business plan against those of other competitors in the area, or even with online reviews. This way, you can find out what people like about them and what they don’t like, so that you can either improve upon their offerings or avoid doing so altogether.

3. Build a Creative Marketing Stratgey.

Target market, customer base , product or service description, competitive analysis, marketing channels, form an llc in your state, 4. write your operational plan..

Next, you'll need to build your operational plan. This section describes the type of business you'll be running, and includes the steps involved in your operations. 

What equipment, supplies, or permits are needed to run a martial arts studio business?

5. management & organization of your martial arts studio business., 6. martial arts studio business startup expenses & captial needed..

Startup costs are typically the first expenses you will incur when beginning an enterprise. These include legal fees, accounting expenses, and other costs associated with getting your business off the ground. The amount of money needed to start a martial arts studio business varies based on many different variables, but below are a few different types of startup costs for a martial arts studio business.

7. Financial Plan & Projections

A financial plan is an important part of any business plan, as it outlines how the business will generate revenue and profit, and how it will use that profit to grow and sustain itself. To devise a financial plan for your martial arts studio business, you will need to consider a number of factors, including your start-up costs, operating costs, projected revenue, and expenses. 

Frequently Asked Questions About Martial Arts Studio Business Plans:

Why do you need a business plan for a martial arts studio business, who should you ask for help with your martial arts studio business plan.

You should ask an experienced business consultant or accountant to help you develop your martial arts studio business plan. You may also want to research local government resources that can provide assistance, such as Small Business Development Centers or SCORE, which matches entrepreneurs with mentors who have experience in entrepreneurship and business planning.

Can you write a martial arts studio business plan yourself?

Related business plans, home inventory business plan template & guidebook, home inspection business plan template & guidebook, home decor business plan template & guidebook, health and wellness business plan template & guidebook, hauling business plan template & guidebook, hardware business plan template & guidebook, handyman business plan template & guidebook, hair extension business plan template & guidebook, handbag business plan template & guidebook.

I'm Nick, co-founder of newfoundr.com, dedicated to helping aspiring entrepreneurs succeed. As a small business owner with over five years of experience, I have garnered valuable knowledge and insights across a diverse range of industries. My passion for entrepreneurship drives me to share my expertise with aspiring entrepreneurs, empowering them to turn their business dreams into reality.

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Martial arts studio remains open for business after owner’s arrest in child sex case, joseph rene caballero, 40, accused of sexually assaulting girl, 14.

Katrina Webber , Crime Fighters Reporter

Eddie Latigo , Photojournalist

Ken Huizar , Photojournalist

SAN ANTONIO – The doors of a local martial arts studio opened for business Tuesday morning in the wake of news about the arrest of the owner on a charge of sexual assault of a child.

Joseph Rene Caballero, 40, was released on bond after his arrest Saturday.

Caballero is accused of sexually assaulting a 14-year-old girl who was a student at his jiujitsu school, The Exception Squad.

In a news conference Monday afternoon, Bexar County Sheriff Javier Salazar said Caballero started by sending notes to the girl after she broke up with another student she was dating.

“It appeared that the notes were from an anonymous, secret admirer, things of that nature, trying to establish a relationship with the young lady,” Salazar said.

Eventually, the sheriff said, it culminated with Caballero sexually assaulting the girl on several occasions.

She spoke out about it to authorities recently, although it appeared it had been going on as far back as last fall, Salazar said.

Court records show Caballero has since been ordered to cease contact with all children other than his own.

On Tuesday morning, employees could be seen unlocking the doors to the business, located in the 7600 block of Culebra Road. A social media post showed The Exception Squad is running a summer program for children.

Parents who arrived at the business quickly hurried inside, refusing to speak with news crews.

One man who spoke with KSAT 12 News off-camera said, despite the allegations, he has no plans to remove his daughters from what he called, “the best jiujitsu studio in the city.”

He initially dismissed the claims made about Caballero during the sheriff’s news conference, saying that the business owner would not harm any children.

Later, he relented somewhat and said that whatever Caballero may have done should not reflect negatively on the studio and its employees.

However, Melissa Karengera, who works at a nearby business, said the arrest has changed her mind about the martial arts school.

At one point, she was planning to enroll her sons there.

“I don’t know now because, you know, you never know what can happen. I don’t think I would,” Karengera said. “It’s hard to trust nowadays.”

Karengera said she feels for the teenage girl in this case, who the sheriff applauded for coming forward and speaking out.

“That hurts me,” Karengera said. “Deep inside, it hurts me more than anything because even though that’s not my daughter, that affects me as a parent.”

Sheriff’s investigators are concerned there could be more children who may have been affected by Caballero.

They’re encouraging parents of students at the school to speak with their children and report anything unusual.

The number for the Bexar County Sheriff’s Office is 210-335-6000.

Copyright 2024 by KSAT - All rights reserved.

About the Authors

Katrina webber.

Katrina Webber joined KSAT 12 in December 2009. She reports for Good Morning San Antonio. Katrina was born and raised in Queens, NY, but after living in Gulf Coast states for the past decade, she feels right at home in Texas. It's not unusual to find her singing karaoke or leading a song with her church choir when she's not on-air.

Eddie Latigo

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Ralph Gracie Academy to teach Brazilian jiujitsu in Georgetown

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By Parks Kugle

By Parks Kugle | 10:21 AM Jun 27, 2024 CDT Updated 10:21 AM Jun 27, 2024 CDT

business plan for martial art

Ralph Gracie Georgetown will offer group and individual classes. (Courtesy Ralph Gracie Georgetown)

  • Opening in late August or early September
  • 275 SE Inner Loop, Ste. 170, Georgetown
  • www.ralphgracie.com

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