Congratulations!

You have the taken the first and most important step for anyone considering starting a tutoring business. Researching and planning now will save you money and time and increase your chances of success.

Running your business from home is a great way to start a tutoring business as you have very few overheads and can run it easily on your own if you have the right tools (including a CRM and Online Tutoring Platform.)

Considerations

Parents vary greatly in what they are looking for in a tutor. Some are happy with a university student who can provide some weekly assistance and charge a low hourly rate. Others are very specific about the qualifications they want in a tutor and will pay a much higher rate for a highly qualified and experienced tutor.

What is most important is what makes you unique as a tutor and your ability to convey this to clients, so they choose you.

Tutors typically can earn anywhere from AUD$20 to AUD$120 per hour (or even more!) depending on qualifications and experience. Tutors with expertise in specialized topics or with specialised skills can often charge higher rates. Your hourly rate will also depend on your overhead costs and the profit you would like to make.

Tutoring can be done at the client's home, at the tutor's home, or in another location, such as a school or library. Online tutoring is also becoming increasingly more popular and there are many fantastic online delivery platforms available. These platforms are specifically designed for online tutoring, unlike Zoom which is designed as a meeting platform and does not meet best practice requirements for online tutoring.

Running your own tutoring business, as opposed to working for another tutoring business, has its own set of pros and cons

Pros

• Easy to set up
• Upfront costs are small
• Hours are flexible and you suit them to fit your lifestyle
• Supplement current income
• Opportunities for growth and expansion by hiring tutors
• You are your own boss, establishing your own reputation and putting your own ideas into action.

Cons

• Most tutoring occurs at nights and on weekends Long working hours as you get established
• Lack of business development skills may impede business growth
• Website development skills may be lacking, or you may not have the finances to pay for a website to be developed.
• No knowledge of marketing your business and getting new students Students can be temporary leading to inconsistent income
• School holidays can impact bookings

Tutoring Business Options

1. Buy a tutoring franchise or business opportunity. High up-front costs are involved. Many aspects to the business are set and you must adhere to these as a franchisee. You may not be able to set your tutoring rates.
2. Work as a contractor/employee for other tutoring business. Tutoring businesses will vary in whether their tutors are an employee or a contractor and there are benefits and disadvantages to both. Tutor rate will be set by the business and will be a lower rate than if you had your own business.
3. Start your own tutoring business. You have total control over all aspects of the business, and you can charge a higher rate.
4. Align yourself with an established and reputable tutoring business. Similar to starting your own business, but without the cost of buying a franchise.

Each business is unique and you must decide what is right for you. Whilst this list might look intimidating, some of these decisions are really quite easy. If you have difficulty making any of these decisions, then you should seek support from an industry body or professional.