Grow a Bigger Business By Keeping It Small
Understanding Business Growth
Growing a bigger business typically means increasing student numbers, which often requires significant management. Martial arts school owners with “super” schools serve 800 to 1,000+ students, requiring a large staff and substantial financial management. This model demands aggressive marketing and a consistent cash flow to manage high operational costs.
Duplication vs. Super Schools
An alternative approach is to duplicate your current school model. Instead of creating one large school, you open multiple smaller schools with 150-250 students each. This method leverages your existing experience, making it easier to manage and maintain quality.
Key Advantages of Duplication
- Cost Management: Smaller schools have predictable costs, reducing financial risks.
- Staffing: It’s easier to find and train staff for smaller schools.
- Customer Service: Smaller schools can maintain a high level of personal interaction.
- Marketing Efficiency: Proximity allows for shared marketing efforts and resource optimization.
Steps to Successful Duplication
Assignment One: Make Your Plan
- Utilize your current school’s data to project costs and revenue for the new school.
- Review your plan with an attorney or accountant to ensure feasibility.
Assignment Two: Find a Facility
- Choose a location that slightly overlaps with your current market area.
- Use your existing school as a feeder, directing prospects to the new location.
- Market both schools together to optimize your reach.
Assignment Three: Hire a Staff
- Train staff at your current school to prepare them for the new location.
- Ensure they understand your teaching and operational systems to maintain consistency.
Assignment Four: Open Your Duplicated School
- Promote with a grand opening event and direct mail.
- Use media and other marketing tools to generate buzz and attract students.
Long-Term Benefits
- Manageability: Easier to control operations and maintain quality.
- Financial Growth: Increases revenue potential without significantly increasing overhead.
- Flexibility: Allows for continued personal teaching and direct involvement in both schools.
By focusing on duplicating your successful small school model, you can expand your business efficiently while maintaining high standards of teaching and customer service. This strategy offers a sustainable path to growth and financial success.