Private School Business Plan and SWOT Analysis

Private School Business Plan, Marketing Plan, How To Guide, and Funding Directory

The Private School Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start a Private School business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.


Your Business Planning Package will be immediately emailed to you after you make your purchase.

Product Specifications (please see images below):

  • Bank/Investor Ready
  • Complete Industry Research for the Industry
  • 3 Year Excel Financial Model
  • Business Plan (26 to 30 pages)
  • Marketing Plan (24 to 28 pages)
  • 425+ Page Funding Directory
  • PowerPoint Presentation
  • Loan Amortization and ROI Tools
  • Three SWOT Analysis Templates
  • How to Start a Business Guide
  • Easy to Use Instructions
  • All Documents Delivered in Word, Excel, and PowerPoint Format
  • Meets SBA Requirements

For many parents, a private school education is very important for their children. The variance and how much a private school education can cost substantially with smaller independent schools charging a low rate to large-scale private institutions that can charge tens of thousands of dollars per year. Private schools tend to do well in areas that have wealthier individuals given the fact that tuition is paid out-of-pocket. Most private schools are able to remain profitable and cash flow positive if they operate in either a not-for-profit or a for-profit capacity. The startup costs associated these businesses can vary greatly, but usually most private schools cost between $500,000 to $1 million to launch. It should be noted that some private schools specifically focus on much younger children and omit the later grades. For the purposes of this business plan, the private school provide services specifically for students between the ages of preschool through eighth grade. The gross margins generated from tuition are very high and usually carry margins of around 90%. Common costs that are put into the cost of goods sold include bad debt expense, fees relating to accepting credit cards, and other expenses that are associated with rendering educational services.

Most financial institutions are willing to extend a working capital line of credit or small business loan to a private school given the fact that real estate is typically acquired in conjunction with startup operations. Of course, a private school business plan is going to be required and this document should feature a three year profit and loss statement, cash analysis, balance sheet, breakeven analysis, and business ratios page. One of the other key things that needs to be addressed substantially within the business plan is the demographic analysis that will be used when developing the marketing plan. This includes taking a look at annual household income, number of families with children under the age of twelve, and the amount of money that a family is willing to spend on a private school education each year. A very detailed competitive analysis should be developed as well in order to ensure that the private school is not launching operations in a heavily saturated market. The competitive analysis should overview the tuition rates, number of students enrolled, the reputation within the community, and other relevant information.

A private school SWOT analysis should be developed as well. This document outlines the strengths, weaknesses, opportunities, and threats that are normally faced by private school businesses. For strengths, private schools are typically able to remain profitable especially when they’re located in affluent markets. The profits can be substantial once the school reaches 100% capacity.

For weaknesses, most private schools has had very high operating expenses. Expenses include facility expenses, teacher salaries, support staff salaries, school supplies, and meals. As such, an entrepreneur that starts this type of business needs to maintain a very strict control on all underlying costs.

For opportunities, private schools can expand by simply adding additional grades if they have the facility capacity to do so. In some cases, some private schools have taken the franchising their name so that third-party entrepreneurs can launch similar institutions in markets outside of the company’s initial target market.

For threats, a major economic recession can impact the way that a private school conducts operations. Many parents may turn to using public school systems rather than private schools when a major economic recession occurs.

A private school marketing plan also needs to be developed in order to ensure that the business can be very quickly found by parents that want to provide their children with a private school education. This marketing plan should focus not only in maintaining an expensive online presence but also a large presence within the community. Many private schools will seek to work with public school teachers in order to provide referrals to families that are looking for a private school education. Many of these entrepreneurs will also maintain relationships with area guidance counselors.

As it relates to the company’s website, an expansive platform that showcases the grades covered, subjects covered, accreditation, tuition costs, and information about the facilities should be included within the marketing plan. This website relisted among all major search engines. One of the other things that many entrepreneurs do that are getting into the private school industry is by enrolling themselves in local chambers of commerce as well as regional educational associations so that the brand name of the businesses established even prior to the onset of operations.

In affluent areas as well as up-and-coming areas, private schools can be a great source of educational services to families that want to provide their children with a comprehensive elementary and middle school education. While these businesses do have high operating expenses and the revenues can be subject to a change in the economy, most of these businesses are able to remain profitable and cash flow positive. For an entrepreneur that has extensive experience in the field of education – these can be lucrative businesses that have great scalability potential.