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Tutoring Service Business Plan

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Bryan's Tutoring Service

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

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

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

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

Competition

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

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

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

Expectations

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

Financial Highlights by Year

Financing needed.

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

Problem & Solution

Problem worth solving, our solution.

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

Target Market

Market size & segments.

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

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

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

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

Current alternatives

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

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

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

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

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

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

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

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

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

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

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

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

Our advantages

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

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

Keys To Success

Keys to success.

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

Marketing & Sales

Marketing plan.

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

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

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

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

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

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

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

Milestones & Metrics

Milestones table, key metrics.

Our Key Metrics are: 

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

Ownership & Structure

Bryan’s Tutoring Service is a sole proprietorship. The company is owned and operated by Bryan Thomas. As the company continues to grow, it is foreseen that it will be transitioned into a Limited Liability Company (LLC). An LLC structure will soon be favored to offer liability protection.

Company history

Bryan’s Tutoring Service came into being by accident. The founder, Bryan Thomas, was a graduate student at the Willamette University Graduate School of Management. During the first year of the program, a fellow student approached him and asked for assistance in understanding the concepts from one of the courses that was going to be tested on an upcoming exam. They got together for what was to be the first of many study sessions and a long-term friendship. For the remainder of the year, the two met regularly to discuss course topics and would frequently include other students as well.

With previous teaching experience in a large language school, Bryan discovered that he was able to connect with students and help them understand concepts in ways that their professors were unable to – interestingly, to many students the concepts in the quantitative courses were as foreign as Portuguese or Korean. As the year progressed, the size of the study sessions grew to include other students – with Bryan spending much of the time at the front of the group explaining concepts and leading the discussion.

At the end of the first year, a position became available for the following year to work for the school as a tutor. The position paid poorly, and was limited to only a few hours per week. The "tutoring" sessions were open to all students in the program and often had as many as 30 students in the room. It was at this point that several students approached Bryan seeking private tutoring and were willing to pay for these sessions. From this was born Bryan’s Tutoring Service. For the remainder of the year, Bryan provided tutoring both in large review sessions and in private sessions with paying students. Since that time, the business has continued to grow as new students have entered the program and tutoring has expanded to undergraduate courses.

Management team

Bryan’s Tutoring Service will be lead by Bryan Thomas. Bryan brings a wealth of academic excellence as well as a proven record of tutoring. Bryan first began tutoring at a large language school. It was this experience that provided Bryan with the insight that he enjoyed and excelled at tutoring. While Bryan attending Willamette University’s Atkinson Graduate School of Management he informally began tutoring students. During Bryan’s second year in the business program, the school hired him to be a tutor for the first year students. This provided Bryan with incredible insight into the specific course work at Atkinson as he worked hand in hand with the professors preparing the students for the course work and exams.

Bryan’s Tutoring Service is a home-based tutoring business that offers a wide range of tutoring services. Due to Bryan’s expertise, professor networking connections, and low overhead, Bryan’s Tutoring Service will realize good revenue and profits the years of this plan

Bryan is quite skilled at surveying people and determining what is the most effective way that individuals learn. This skill is key for Bryan and for the tutoring service. Most teachers have a set way of teaching the material, from years of teaching the same curriculum, year in and year out. Bryan has always searched for the best way to teach the individual. When the person does not respond well to one methods he immediately changes methods looking for a more effective way.

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Key assumptions.

Our key assumptions are: 

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

Revenue by Month

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

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

Sources of Funds

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

Projected Profit and Loss

Projected balance sheet, projected cash flow statement.

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Tutor Business Plan Template

Written by Dave Lavinsky

Over the past 20+ years, we have helped over 8,000 entrepreneurs and business owners create business plans to start and grow their tutoring service. On this page, we will first give you some background information with regards to the importance of business planning. We will then go through a tutoring business plan template step-by-step so you can create your plan today.

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How To Write a Business Plan For a Tutoring Service

Your business plan should include 10 sections as follows:

Executive Summary

Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.

The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of tutoring service business you are operating and the status; for example, are you a startup, do you have a tutoring service that you would like to grow, or are you operating a network of tutoring businesses?

Next, provide an overview of each of the subsequent sections of your plan. For example, give a brief overview of the tutoring industry. Discuss the type of tutoring you are offering. Detail your direct competitors. Give an overview of your target market. Provide a snapshot of your marketing plan. Identify the key members of your team. And offer an overview of your financial plan.

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Company Analysis

In your company analysis, you will detail the type of tutoring you are offering.

For example, you might operate one of the following types:

• Exam preparation : this type of tutoring company provides exam preparation and training materials for high school students, undergraduate students, and recent college graduates preparing for college entrance exams such as the SAT, ACT, GRE, etc.
• Primary school tutoring : this type of tutoring specializes in helping students in K-12. This type of tutoring is typically subject-specific – math, literature, history, etc.
• Occupational and advanced academics tutoring : agencies may sometimes specialize in occupational certification for those entering the workforce as engineers, mechanics, technicians, etc.

In addition to explaining the type of tutoring you provide, the Company Analysis section of your business plan needs to provide background on the business.

Include answers to questions such as:

• When and why did you start the business?
• What milestones have you achieved to date? Milestones could include placement goals you’ve reached, the number of new contracts, etc.
• Your legal structure. Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.

Tutoring Business Company Overview Example

Academic Advantage Tutoring is a new business serving students and families in Durham, North Carolina. We are a local tutoring business to help students achieve grade-level success and beyond. There are no high-quality local tutoring businesses in the area, which positions us uniquely to fill this gap and support our community’s educational needs.

At Academic Advantage Tutoring, we offer a comprehensive range of tutoring services tailored to meet the needs of our students. Our offerings include Homework Tutoring Services, where we assist students in understanding and completing their homework assignments effectively. We also provide Standardized Testing Tutoring Services to help students prepare for key exams with confidence. Additionally, our General Academic Tutoring Services cover a wide array of subjects, ensuring students can receive support in any area where they might need assistance. Our goal is to make quality education support accessible to all students in Durham, North Carolina.

Located in the heart of Durham, North Carolina, Academic Advantage Tutoring is perfectly positioned to serve our local community. We are committed to offering our services to all students within this region, striving to make a significant difference in their academic journeys.

Academic Advantage Tutoring is uniquely qualified to succeed for several reasons. Firstly, our founder brings invaluable experience as a former teacher and has successfully run a tutoring business. This background provides us with a deep understanding of the educational needs of our students and the expertise to meet those needs effectively. Furthermore, we pride ourselves on offering higher-quality tutoring services than our competitors, along with a more diverse range of services. This comprehensive approach allows us to serve a broader population of students, addressing various academic challenges they may face.

Since our founding on June 13, 2024, Academic Advantage Tutoring has made significant strides as a Sole Proprietorship. We have accomplished several key milestones that lay a solid foundation for our future success. These include designing our unique logo, developing our company name, and securing a great location for our operations. Each of these steps marks significant progress in establishing our presence in the community and positioning us to become a leading provider of tutoring services in Durham, North Carolina.

Industry Analysis

In your industry analysis, you need to provide an overview of the tutoring industry.

While this may seem unnecessary, it serves multiple purposes.

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

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

The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.

The following questions should be answered in the industry analysis section:

• How big is the tutoring industry (in dollars)?
• Is the market declining or increasing?
• Who are the key competitors in the market?
• Who are the key suppliers in the market?
• What trends are affecting the industry?
• What is the industry’s growth forecast over the next 5-10 years?
• What is the relevant market size? That is, how big is the potential market for your tutoring service? You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.

Tutoring Business Industry Analysis Example

The tutoring industry in the United States is a thriving market with a current size of approximately $7 billion. With an increasing emphasis on academic achievement and the need for personalized education, the demand for tutoring services is expected to continue to grow in the coming years.

One of the key trends driving growth in the tutoring industry is the rise of online learning platforms and virtual tutoring services. This trend has opened up new opportunities for tutoring companies like Academic Advantage Tutoring to reach a wider audience and provide convenient and flexible learning options for students in Durham, North Carolina.

Additionally, with the growing competition in the education sector and the increasing pressure on students to excel academically, the demand for supplementary education services such as tutoring is expected to remain strong. This bodes well for Academic Advantage Tutoring as they enter the market and position themselves as a reliable and effective tutoring service provider in Durham.

Customer Analysis

The customer analysis section must detail the customers you serve and/or expect to serve.

The following are examples of customer segments: elementary students, middle school students, high school students, etc.

As you can imagine, the customer segment(s) you choose will have a great impact on the type of tutoring you offer. Clearly, high school students would want different subject tutoring and would respond to different marketing promotions than professional certification clients.

Try to break out your target market in terms of their demographic and psychographic profiles. With regards to demographics, include a discussion of the ages, genders, locations and income levels of the customers you seek to serve. Because most tutors primarily serve customers living in the same city or town, such demographic information is easy to find on government websites.

Psychographic profiles explain the wants and needs of your target market. The more you can understand and define these needs, the better you will do in attracting and retaining your customers.

Tutoring Business Customer Analysis Example

Target Customers

We will target local students who are in need of academic assistance. These students will range from elementary to high school levels, encompassing those who require help in core subjects such as mathematics, science, and language arts. Our services will also be aimed at students preparing for standardized tests like the SAT and ACT, ensuring they have the skills and confidence needed to excel.

We will also focus on reaching out to parents who are seeking additional learning support for their children. Parents will often look for tutoring services that offer flexible scheduling and personalized learning plans, which we will provide to accommodate their busy lives. By offering both in-person and online tutoring options, we will cater to diverse family needs and preferences.

Furthermore, we will target college-bound students who may need specialized tutoring in advanced subjects and college entrance exams. Our services will include providing tutoring for Advanced Placement (AP) courses and college application assistance. This will help us capture a segment of ambitious students who are aiming to enhance their academic profiles.

Additionally, we will tailor our services to include adult learners who wish to further their education or acquire new skills. This segment will often include individuals pursuing GED certifications or professional development courses. By offering tutoring services that cater to a broad range of academic and professional needs, we will establish ourselves as a versatile educational resource in the community.

Customer Needs

Academic Advantage Tutoring provides high-quality tutoring services tailored to meet the diverse academic needs of students in Durham. Families can expect personalized learning plans that cater to the unique strengths and weaknesses of each student, ensuring effective learning outcomes. By offering one-on-one and small group sessions, the tutoring service ensures that students receive the attention and support necessary to excel academically.

In addition to enhancing academic performance, the tutoring service addresses the growing demand for flexible scheduling to accommodate busy family lifestyles. Sessions are available during after-school hours, weekends, and even online, providing convenience and accessibility. This flexibility is particularly beneficial for parents seeking to balance their children’s extracurricular activities with their educational needs.

Another critical need that Academic Advantage Tutoring fulfills is the provision of specialized support for students preparing for standardized tests and college entrance exams. The tutors are equipped with the knowledge and resources to guide students through test-taking strategies and subject-specific content. This preparation helps students build confidence and achieve higher scores, which can significantly impact their educational and career opportunities.

Furthermore, the tutoring service is committed to fostering a supportive and encouraging learning environment that motivates students to develop a lifelong love of learning. By focusing on building self-esteem and promoting independent thinking, students are empowered to take ownership of their educational journey. Academic Advantage Tutoring is dedicated to creating a positive impact on the academic success and personal growth of each student.

Competitive Analysis

Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.

Direct competitors are other tutoring services.

Indirect competitors are other options customers may use that aren’t direct competitors. This includes peers, teachers, or graduate students. You need to mention such competition to show you understand that not everyone who needs help with grade improvement and test preparation will hire a tutoring company.

• What types of customers do they serve?
• What types of tutoring services do they offer?
• What is their pricing structure (premium, low, tiered, etc.)?
• What are they good at?
• What are their weaknesses?

With regard to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to ask your competitors’ customers what they like most and least about them.

The final part of your competitive analysis section is to document your areas of competitive advantage. For example:

• Will you provide superior services?
• Will you provide services that your competitors don’t offer?
• Will you make it easier or faster for customers to engage your services?
• Will you provide better customer service?
• Will you offer better pricing?

Think about ways you will outperform your competition and document them in this section of your plan.

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Marketing Plan

Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a tutoring service, your marketing plan should include the following:

Product: in the product section you should reiterate the type of tutoring that you documented in your Company Analysis. Then, detail the specific courses or subject help you will be offering. For example, in addition to high school level math tutoring, will you provide GED preparation, or will you be specializing in certification preparation for a specific occupation?

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

Place: Place refers to the location of your tutoring services. Document your location and mention how the location will impact your success. For example, is your tutoring office located next to a high school or near a retail district, etc.? Discuss how your location might provide a steady stream of customers.

Promotions: the final part of your tutoring marketing plan is the promotions section. Here you will document how you will drive customers to your location(s). The following are some promotional methods you might consider:

• Advertising in local papers and magazines
• Reaching out to schools and teachers
• Reaching out to local websites
• Social media marketing
• Local radio advertising

Operations Plan

While the earlier sections of your business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.

Everyday short-term processes include all of the tasks involved in running your tutoring service, such as serving customers, attracting future applications, processing paperwork, etc.

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect your 100 th student to successfully improve their grades, or when you hope to reach $X in sales. It could also be when you expect your Xth student to excel at a specific exam, or when you expect to launch a new location.

Tutoring Business Operations Plan Example

Key Operational Processes

To ensure the success of Academic Advantage Tutoring, there are several key day-to-day operational processes that we will perform:

• Conduct initial assessments to understand each student’s strengths and areas for improvement, tailoring tutoring plans accordingly.
• Schedule and coordinate tutoring sessions, ensuring flexibility to accommodate students’ varying needs and availability.
• Develop personalized lesson plans that align with curriculum standards and students’ individual learning goals.
• Engage in regular communication with students and parents to provide progress updates and gather feedback for continuous improvement.
• Maintain accurate records of student attendance, progress, and feedback to monitor and evaluate the effectiveness of tutoring services.
• Recruit, train, and support qualified tutors, ensuring they are equipped with the necessary resources and skills to deliver high-quality instruction.
• Implement quality assurance measures, including observing tutoring sessions and reviewing lesson plans, to maintain high educational standards.
• Manage administrative tasks such as invoicing, payroll, and supply inventory to ensure smooth business operations.
• Utilize educational technology and tools to enhance learning experiences and provide engaging, interactive tutoring sessions.
• Stay informed about educational trends and curriculum changes to adapt services and maintain relevance in the competitive market.
• Foster partnerships with local schools and educational organizations to expand reach and create collaborative opportunities.
• Develop marketing strategies to attract new clients and retain existing ones through promotions, referrals, and community engagement.
• Address any customer concerns or issues promptly to ensure client satisfaction and maintain a positive reputation.

Academic Advantage Tutoring expects to complete the following milestones in the coming months to ensure its success:

• Secure Initial Capital: Obtain necessary funding to cover startup costs, including marketing, operational expenses, and initial overheads.
• Hire Qualified Tutors: Recruit and onboard a team of skilled and experienced tutors to ensure high-quality educational support for students.
• Establish a Strong Online Presence: Develop a professional website and engage in digital marketing strategies, including social media and SEO, to increase visibility and attract potential clients.
• Launch the Tutoring Business: Officially open doors to clients with a well-organized launch event or promotional offers to generate initial interest and engagement.
• Build Strategic Partnerships: Form partnerships with local schools, educational institutions, and community organizations to enhance credibility and expand reach.
• Implement a Feedback and Improvement System: Develop a process for collecting and analyzing client feedback to continuously improve services and ensure high satisfaction levels.
• Achieve $15,000/Month in Revenue: Focus on client acquisition and retention strategies to reach the target revenue, ensuring financial stability and profitability.
• Develop a Referral Program: Encourage satisfied clients to refer others by offering incentives, thus increasing customer base and revenue streams.
• Expand Service Offerings: Introduce additional tutoring services or educational programs based on market demand, enhancing value proposition and competitive advantage.

Management Team

To demonstrate your tutoring business’ ability to succeed as a business, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company.

Ideally, you and/or your team members have direct experience in teaching or tutoring. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.

If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act like mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in education and/or successfully running small businesses.  

Financial Plan

Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet and cash flow statements.

Balance Sheets : Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $50,000 on building out your tutoring office, this will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a bank writes you a check for $100,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.

Cash Flow Statement : Your cash flow statement will help determine how much money you need to start or grow your business, and make sure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt. For example, let’s say a company approached you with a $100,000 contract for helping employees achieve certification, that would cost you $50,000 to fulfill. Well, in most cases, you would have to pay that $50,000 now for curriculum, employee salaries, etc. But let’s say the company didn’t pay you for 180 days. During that 180-day period, you could run out of money.

In developing your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing your tutoring service:

• Location build-out including design fees, construction, etc.
• Cost of equipment like software, office equipment, etc.
• Payroll or salaries paid to staff
• Business insurance
• Taxes and permits
• Legal expenses

Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your office design blueprint or location lease.

  Putting together a business plan for your tutoring company is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will really understand the tutoring industry, your competition and your customers. You will have developed a marketing plan and will really understand what it takes to launch and grow a successful tutoring service.

What is a Tutoring Business Plan?

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

Why You Need a Business Plan for a Tutoring Business

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

Sources of Funding for Tutoring Businesses

With regards to funding, the main sources of funding for a tutoring service are personal savings, credit cards, bank loans and angel investors. With regards to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable. But they will want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business.

The second most common form of funding for a tutoring service is angel investors. Angel investors are wealthy individuals who will write you a check. They will either take equity in return for their funding, or, like a bank, they will give you a loan. Venture capitalists will not fund a tutoring service. They might consider funding a tutoring company with a national presence, but never an individual location. This is because most venture capitalists are looking for millions of dollars in return when they make an investment, and an individual location could never achieve such results.

Free Tutoring Business Plan PDF

You can download our tutoring business plan PDF to help you get started on your own business plan.

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Other Helpful Business Plan Articles & Templates

• Sample Business Plans
• Education & Training

Tutoring Business Plan

A tutoring business is one of the few businesses which requires a very limited budget in the beginning and has no limits in terms of growing the business.

People or students always need tutors to pass some important examinations or prepare for higher studies. A tutoring business is a highly demanding business and can be started with limited resources.

In the beginning, you can start a business alone yourself and can hire more tutors to expand your business anytime in the future.

Moreover, you do not always require a college degree to start a tutoring business . Many clients are willing to hire professionals with significant experience and skills regarding the subject.

If you want to be a solo tutor it’s okay to work without a business plan. But if you want to expand and grow your business, you will need a business plan.

To write a business plan, you can use our sample ABC – Tutoring Business Plan created using upmetrics business plan software and start writing your business plan in no time.

Before you start writing your business plan for your new tutoring business, spend as much time as you can reading through some sample business plans written for the education and training industry .

Reading sample business plans will give you a good idea of what you’re aiming for and also it will show you the different sections that different entrepreneurs include and the language they use to write about themselves and their business goals.

We have created this sample tutoring business plan for you to get a good idea about what a perfect tutoring business plan should look like and what details you will need to include in your stunning business plan.

Tutoring Business Plan Outline

This is the standard tutoring business plan outline which will cover all important sections that you should include in your business plan.

• Business Summary
• Market Research Summary
• Marketing Summary
• Business Description
• Compelling Value
• Product/Service Description
• Company History
• Legal Structure
• Vision & Mission
• Professional Advisors(optional)
• Goals & Objectives
• Industry Profile & Outlook
• Local Market
• ABC Tutoring
• Target Market
• Keys to Success
• Customer Survey Summary
• Pricing Strategy
• Marketing Strategy
• Marketing Activities
• Marketing Objectives
• Positioning Statement
• Sales Process
• Strategic Alliances
• Physical Location
• Virtual Location
• Legal Issues
• Insurance Issues
• Human Resources
• Process/Production
• Risk Assessment
• Past Purchases
• Start-up Costs Sheet
• Sales Forecast Assumptions
• Projected Profit and Loss
• Projected Balance Sheet

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After getting started with upmetrics , you can copy this tutoring business plan example into your business plan and modify the required information and download your  tutoring business plan pdf and doc file. It’s the fastest and easiest way to start writing your business plan.

Download a sample tutoring business plan

Need help writing your business plan from scratch? Here you go;  download our free tutoring business plan pdf  to start.

It’s a modern business plan template specifically designed for your tutoring business. Use the example business plan as a guide for writing your own.

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About the Author

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

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