When you decide to start a yoga studio, you’ve decided to share your knowledge, peace, and serenity to the world. But you can keep that peace and serenity even as you’re creating your own space to do so—it doesn’t need to cause you stress and panic as you determine how much you need to spend to start yours.
Depending on your business choices, you could spend anywhere between $15,000 and $100,000 to start your own yoga studio, with the national average being around $50,000. This cost includes the physical space, permits, staffing, insurance, equipment, marketing, and a scheduling system.
How do you start your own studio without too much stress? Read on to find out more what you need before you open your doors, along with the equipment you need for your classes and insight as to what you should do to keep your marketing costs low.
A space to create your yoga studio, whether your home studio or a new business space: between $10,000 and $60,000, depending on your business choices
Having your own space to perform yoga is imperative when creating your own studio. Without that space, you can’t invite others into your classes. It’s important, then, to determine where you’re going to conduct your classes. If you have the room or want to keep your business small, it’s possible to do this out of your home or even through a webcam online. This may be true, but your best option will still be renting or buying your own property.
When it comes to creating your own yoga studio, you don’t need too much space. In many cases, you will need enough room for a two by six foot mat while giving your students some clearance around it. About 21 square feet is typically enough for one person. Estimating it out, a 1,000 square feet space is the typical size for a yoga studio.
Note that this cost can drastically increase based on whether you have to renovate the space. This cost also includes the budget for utilities such as electricity and water. You may have to consider reflooring your studio, as your students will spend a lot of time working on the floor. Make sure it is comfortable, sturdy, and water-resistant.
- Insurance, licensure, and business permits: about $1,500 for business and insurance, while other licenses vary between $200 and $1,000
With the physical space out of the way, now it’s time to make sure your business is legal. With any business, you’re going to need to protect it—meaning you need insurance and the proper business permits. These will protect you in case something happens within your business, but the permits will also make sure that you stay above board with the government—you’ll need a certificate of occupancy, a federal tax number, and a business license at the very least. You may also need a health department license on top of everything.
But it doesn’t end there. For most yoga teachers, you will need to become licensed to teach in your area. Credentials can make your yoga studio that much more authentic, and you could be spending between $200 and $1,000 for that licensure.
- Furniture and equipment: about $5,000
No matter what kind of yoga you decide to teach in your business, you’re going to need the proper equipment. What should you expect to need? The following are what you should include in your basic set up:
- Non-slip yoga mats.
- Yoga Blocks.
- Bolsters and blankets.
- Yoga straps.
- Sound system.
- Office equipment.
Just for the cost of yoga equipment, you could be paying about $3,000. A sound system usually costs about $100, and office equipment costs vary depending on what you want to use.
- Signage and marketing: $250 for a website, all other costs depend on personal decisions
Without people knowing about you, they can’t come in and sign up for your yoga classes. Make sure you’re marketing yourself and showing your students where you are with the proper signage. Marketing can get expensive, so make sure you put each decision in your budget before you make them.
That being said, you can also keep your initial marketing costs low. Social media pages are free if you do not use the advertising functions, and you can create your own website for as low as $250. The more you can do for free, the better your budget will be at the start—and you can always add more marketing to your budget once you receive more profit.
Another important part of your marketing is your branding. While many think they’re the same thing, they’re not—your branding is what you market. Make sure you have a unique business name, a logo, and make sure all your social media and website pages are consistent with color, style, and aesthetic to create a professional look.
- A point-of-sale and scheduling system: between $500 and $2,000
While you may not think of your business as needing a point-of-sale system, it’s important so you can collect money from your students for classes. If you’re doing it on a computer program, too, you can integrate that into your scheduling system. These usually cost about $500 initially, but make sure you budget for a monthly fee, as well.
- Staffing: variable costs
This is something that can change depending on what you’re planning on doing with your yoga studio. If you just intend for the staff to be you, you still need to make sure that you earn a fair wage. Many business owners forget that they need to be paid as well. Down the road if you decide to hire staff, you should include that number in your budget so you know exactly how you want to proceed when you get there.
How to Get Funding
With that budget bringing you to about $50,000 on average, the next question you’ll face is how to get that funding. There are ways to do so without a great risk to you or your business.
- The Small Business Administration helps provide information to new businesses, along with established ones. You can potentially find information on both loans and grants for new businesses at SBA.gov. Additional educational options are also available for you to use.
- Grant funding can be available through most local and even federal organizations. Use the SBA for more information, or contact a local economic development agency or chamber of commerce for information about local grant opportunities.
- Loans are also an option, whether it is from a bank or from a friend or family member. For both, make sure you have a business plan and budget in hand to prove that you’re willing to take the risk to start your business. Regardless of how you ask for a loan, make sure you also have a written contract that both parties sign with the proper information and interest rates, along with the payback period.
- Selling your personal assets is also an idea, but this should be one of your last resorts if one of the earlier options does not work. Selling your house, your car, or your electronics can create an emotional deterrent and may make you resent starting your business in the first place.
- Cutting down on your budget is also a way you can make your funds stretch, but make sure that you still include the items in your budget you will need. Focus on cutting down in your marketing, finding equipment at a lower cost, or eliminating the need for staffing when you just open up your business.
Regardless of whether you have dreams of starting your own line of yoga studios or just want to provide one to your hometown, there are ways to achieve that dream through the right funding and the right planning. Budget yourself and plan ahead, and you too can open your yoga studio, where you can share that peace of mind and gain a profit while doing so.
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Frequently Asked Questions
A yoga studio usually charges somewhere between $9 and $15 per class, while you can offer monthly memberships for about $200 a month, depending on your location and the demand. Calculating from a class that costs $10, if ten people are in the class with three classes a day, and you run classes five days a week, you can stand to make about $1,500 weekly or $78,000 annually.
The cost of your yoga classes should consider three factors: your competition, your budget, and what you’re offering. Research how much other yoga classes cost in your area, determine how much revenue you would need to make to make a profit, and assign a value to your teaching and what your students will get out of the yoga class. Finding the best price means considering all three.
In most cases, you can purchase either a YogaFit Studio, Bikram Yoga, or CorePower Yoga studio franchise for about $100,000.
To learn more about starting your own Yoga Business check out my startup documents here.
Please note: This blog post is for educational purposes only and does not constitute legal advice. Please consult a legal expert to address your specific needs.
Meet Shawn Chun: Entrepreneur and Yoga Fan
I’m a happy individual who happens to be an entrepreneur. I have owned several types of businesses in my life from a coffee shop to an import and export business to an online review business plus a few more and now I create online yoga business resources for those interested in starting new ventures. It’s demanding work but I love it. I do it for those passionate about their business and their goals. That’s why when I meet a yoga business owner in public at a studio or anywhere else I see myself. I know how hard the struggle is to retain clients, find good employees and keep the business growing all while trying to stay competitive.
That’s why I created Yoga Business Boss: I want to help future yoga business owners like you build a thriving business that brings you endless joy and supports your ideal lifestyle.