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How To Start A Private Music Lesson Business

How To Start A Private Music Lesson Business

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How To Start A Private Music Lesson Business

How To Start A Music Lesson Business

In the symphony of life, music plays a key role. It brings joy, helps express emotions, and even aids in cognitive development. If you’re passionate about music, teaching it can be an incredibly fulfilling career path. But how do you turn that passion into a thriving business? This guide will walk you through the process of starting your own music lesson business.

Business Overview

Learning to play a musical instrument has many benefits. It’s creative, can relieve stress, and feeds your brain. Playing an instrument can broaden your social circle and give you a real sense of achievement.

Unfortunately, music lessons are often the first to be cut in elementary and secondary school budgets, creating relatively low job security for employed music teachers. This is why offering private music lessons through your own business can be an excellent opportunity. 

Teaching music can be such a rewarding experience, especially with students who are positive and excited about learning an instrument. It’s also a business that is easy and inexpensive to start. You can easily start off small, ease yourself into being your own boss, and then grow your business from there.

Industry Overview

The music lesson industry is comprised of self-employed music teachers and coaches who instruct students of all ages and skill levels. Common instruments taught include piano, guitar, violin, voice, drums, and more. Typically, private music tutors are competent in and specialize in one area and provide small group or private lessons. Tutors will help beginners develop their basic skills and understand music notation. They might also offer lessons to improve instrumental technique, increase performance ability, or prepare for auditions.

The industry has expanded substantially over the past decade, driven by growth in disposable income and leisure time activities. Music lessons are increasingly seen as an important part of childhood development and a healthy lifestyle pursuit. There are an estimated 122,500 music teachers1 who generated a combined $802 million in 2022 in the United States2.

The future of music lessons is leaning towards online instruction. As we saw in 2020, the music lesson industry pivoted fast to online platforms due to Covid-19. Even after the restrictions, online music lessons have proven to be a permanent fixture in the music lessons industry. This trend has created opportunities for instructors who can teach music lessons remotely and expand their business globally.

Steps To Start A Music Lesson Business

Step 1: Register the Business

When you are ready to start your own music lesson business, getting your business on the right legal track is important. Here is an overview of what you need to do:

Business structure: The first task is to choose a business structure. There are four main types of business structures: sole proprietorship, general partnership, corporation, and Limited Liability Company (LLC). Each structure has its advantages and disadvantages.

  • Sole proprietorship: This basic structure is easier and less expensive to set up than the others. As a sole owner, you can start your music lesson business swiftly, with minimal cost, but you are personally liable for all legal obligations.
  • General partnership: If you’re planning to partner with another music teacher, you might consider this structure. Partners share the profits and losses of the music lesson business, but like the sole proprietorship, both are personally liable for the business.
  • Corporation: This structure protects the owner from legal liability since it’s a separate legal entity. Its setup requires more time and money to set up and operate.
  • Limited Liability Company (LLC): Combining the benefits of corporations and sole proprietorships, LLCs protect your personal assets while allowing flexibility in taxes and operations.

When it comes to music lesson businesses, most tend to start with a sole proprietorship because they are relatively easy to set up and keep costs low.

Business name registration: After registering the business structure, you may need to register your business name. This process will vary depending on what business structure you pick. Sole proprietors and partnerships will often be required to register a “Doing Business As” (DBA), while corporations and LLCs register with the state during the formation process.

Related: Finding a domain name for your business

Zoning: If you’re teaching from your home, check local zoning laws to verify there are no issues as some areas have restrictions on running businesses from residential properties. Also, if you rent, make sure you aren’t violating the rental agreement.

Obtain business licenses and permits: Depending on your location, there will likely be a variety of general registrations to start your business. This could include a local business license and possibly a seller’s permit.

Related: What licenses do music tutoring businesses need

Step 2: Set Up Operations

After completing all the necessary legal and regulatory steps to establish your business on solid footing, the next phase is preparing your operations. Most independent music teachers conduct lessons from a home studio, online, or by traveling directly to students’ residences. Each approach has its own considerations when putting your business plan into action.

If you intend to teach lessons from your home, first verify that your local zoning regulations, homeowners association, or landlord allow for the operation of a home-based business. Some municipalities also require special permits and licenses for home-based businesses.

Alternatively, or in addition to in-person lessons, you may decide to offer instruction online via video chat services. Virtual lessons can dramatically expand your geographic reach and flexibility, but conducting quality online music lessons requires investments in technology like high-quality microphones, software, and lighting. Dedicated spaces in your home may also need acoustic soundproofing upgrades.

With the foundations and operations of your music lesson business mapped out, you can shift focus to the most critical component – attracting enrolled students to build a thriving teaching practice.

Step 3: Create a Marketing Plan

Launching a new music lesson business comes with not only getting it set up but also the challenge of making your presence known and attracting students. Here is some advice on promoting your new music lesson business:

Start with identifying who would benefit from your services the most. Is it children or adults? Beginners or advanced learners? Or a specific music genre enthusiast? Getting a clear picture of your target audience is the foundation for shaping your marketing tactics.

Next, think about what makes your business special. It could be your unique teaching style, the variety of instruments you offer, or your qualifications and experience. Emphasize these distinguishing factors in your marketing efforts, showcasing them as reasons why students should pick you over others.

Effective marketing involves a balanced mix of different strategies depending on who you are trying to target. Think about where your customers would look for this type of service. From creating a website to being active on social media and word-of-mouth referrals, explore these mediums to broadcast your business. Participating in your local community can also boost your visibility. Consider partnering with local businesses, participating in community events, or organizing student performances in local venues. These activities not only market your business but also build strong local networks.

Finally, offering trial lessons at a free or discounted rate can be a good idea. This allows students to get a taste of your teaching style and the overall lesson experience. Once they see firsthand the quality you bring, they’re more likely to become a regular student!

Step 4: Prepare to Launch!

As you approach the final stages of setting up your music lesson business, there are several tasks that may still be needed. There might be additional steps based on your specific situation, but here are some of the common things to address:

Business insurance: There are different insurance policies available that can protect your property and general business operations. Look into liability insurance, which can provide coverage in the event a student gets injured during a lesson. Most homeowner or renter policies won’t cover a business-related claim, so be sure to check yours before opening the doors.

Bookkeeping: Set up accounting to handle daily transactions, taxes, and financial statements. This can include hiring a bookkeeper or using software like Wave Accounting (FREE) or Quickbooks.

Opening a business bank account: Keeping your business finances separate from your personal funds will help you stay organized, make tax time easier, and keep an accurate record of your business expenses and income.

Common Questions When Starting A Music Lesson Business

How much does it cost to start a music lesson business?

Starting a music lesson business involves several upfront costs, but a general estimate for starting as a solo operator could range from $1,500 to $6,000. Here’s a breakdown of these costs.

Business registration: Registering your business can cost anywhere from $50 to $500.

Insurance: Initial costs for business insurance can range from $200 to $500 for basic coverage.

Marketing: Initial marketing costs can include the creation of a logo, website, and promotional materials. Depending on whether you do this yourself or hire a professional, this could cost anywhere from $500 to $2,000.

Equipment: The cost of musical instruments and teaching materials can vary widely depending on what you already have and what you need to purchase. This could range from $500 to $2,000.

Miscellaneous expenses: Additional supplies like office stationery, computer software, or minor renovations for your teaching space can add up to $100 to $500.

How profitable is a music lesson business?

When evaluating the potential profitability of a music lesson business, it’s important to consider various factors, including the number of students, pricing of lessons, operating expenses, and the scale of the business. Let’s break down a hypothetical scenario of a home-based music tutoring business to estimate potential revenue, expenses, and profit.

Revenue calculation:
– Assume you charge $30 per lesson.
– If you teach 5 lessons per day, 5 days a week, you are providing 25 weekly lessons.
– Monthly, this translates to roughly approximately 100 lessons (25 lessons/week x 4 weeks).

Your monthly revenue would be 100 lessons x $30 = $3,000.

Expense calculation:
– Insurance: $50
– Marketing: $100
– Miscellaneous: $50

Total monthly expenses: $200

Profit Calculation:
Monthly Profit = Monthly Revenue – Monthly Expenses
Profit = $3,000 (Revenue) – $200 (Expenses) = $2,800

Therefore, in this scenario, a music lesson business could potentially make a profit of $33,600 per year.

It’s important to note that these numbers are based on assumptions and can vary greatly depending on location, the number of students you can attract and retain, the rates you charge, and how efficiently you manage your expenses.

What skills are helpful in running a music lesson business?

Credentials and competence: You don’t need a music education degree to start your own music teaching business, but you certainly need to be competent in the instrument you are going to tutor. Especially if you are planning to teach at higher levels of music theory and exam preparation, your credentials will help back up your tutoring ability.

Teaching experience: You don’t need a teaching qualification to run your own music tutoring company. But, you will likely be dealing with students of all ages and abilities. Happy students = happy business. It is vital that you can adapt your teaching style to the needs of your students, especially kids. You’ll also need to be able to organize a lesson plan and set goals for your students.

Stay current and on top of trends: It’s good to keep an eye on three main areas: Changes and advances in music and musical instruments, advances in teaching, and the emergence of new online platforms, improved online resources, and services. Stay connected with your industry and your network. It’ll help you to stay ahead of the game and offer your students a competent, professional, and innovative learning experience.

Excellent interpersonal skills: You’ll have happier students (and parents) if you are able to relate well and if you are patient and positive. This is especially true for teaching smaller children, where frustrations can lead to tantrums. You’ll need to be able to communicate ideas and steps clearly and in a positive way. There’s nothing quite like the student’s feeling of success when finally mastering a competency and ‘getting it.’

What is the NAICS code for a music lesson business?

The NAICS code for a music lesson business is 611610, which is categorized under Fine Arts Schools.

The NAICS code (North American Industry Classification System) is a federal system to classify different types of businesses for the collection and reporting of statistical data.

Related: What is a NAICS code and how to find yours

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  2. IBISWorld ↩︎

How To Start A Private Music Lesson Business

How To Start A Private Music Lesson Business

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