The following table is an illustrative example of the kinds of costs and revenues associated with running a dojang. The table extends to the right off the side of the page, so scroll within the table to view the entire table. The values given are just examples: the real values vary dramatically depending on where the school is located, the size of the school, etc.
| Example Values | Example Parameters | Notes | |
| ONE-TIME STARTUP COSTS | |||
| Deposit to the Landlord for Rent | $7,500 | We're assuming that the deposit is two-month's rent | |
| Facility renovations (paint, mirrors, shelves, etc.) | $10,000 | ||
| Training equipment (mats, targets, etc.) | $10,000 | ||
| Office equipment (desks, computer, point-of-sale system, etc.) | $8,000 | ||
| After-school equipment and supplies | $15,000 | ||
| Permits and licenses | $5,000 | ||
| Pro-shop startup inventory (uniforms, belts, gear, etc.) | $18,500 | 100 | Let's assume $100 per student, at about 150 students |
| Total One-Time Startup Costs | $74,000 | ||
| ON-GOING MONTHLY COSTS | |||
| FACILITY COSTS: | |||
| Amount of square feet in your facility | 3,000 | square feet | |
| Annual square footage cost for retail spaces in your area | $15 | dollars per square feet per year | |
| Annual lease cost of your facility | 45,000 | annual lease cost = square feet x dollars per square feet | |
| Monthly lease cost | $3,750 | = annual least cost divided by 12 months | |
| Utilities (electric, gas, water, phone, internet, etc.) | $800 | ||
| Insurance | $1,500 | ||
| Janitorial Service and Supplies | $2,000 | ||
| VEHICLE COSTS (for the after-school program vehicles) | |||
| Number of vehicles (vans, small busses, limos) | 5 | ||
| Purchase cost of a typical used vehicle | 20,000 | ||
| Monthly auto payment per vehicle | 450 | ||
| Monthly auto payments (for all vehicles) | $2,250 | ||
| Annual taxes & fees per vehicle | 1,000 | ||
| Monthly taxes & fees (for all vehicles) | $417 | ||
| Annual repair & maintenance costs per vehicle | 2,000 | ||
| Monthly repair & maintenance costs (for all vehicles) | $833 | ||
| Monthly fuel costs per vehicle | 200 | ||
| Monthly fuel costs (for all vehicles) | $1,000 | ||
| NON-FACILITY COSTS: | |||
| Marketing, website, etc. | $400 | ||
| Accountant | $400 | ||
| Point-of-Sale monthly cost | $1,081 | 3% | Here I'm using 3% of revenue as point-of-sale cost |
| Federal, State & Local taxes on revenue | $5,407 | 15% | Here I'm using 15% of revenue as taxes |
| Total Monthly Non-Payroll Costs: | $19,839 | ||
| PAYROLL COSTS: | |||
| Owner Gross Annual Income | 35,000 | Let's assume this school owner is grossing $35K per year in personal income | |
| Owner Gross Monthly Income | $2,917 | ||
| Part-time Taekwondo Instructors | |||
| Hourly wages for taekwondo instructors | $12 | hourly income | |
| Total hours per week, for all instructors combined | 80 | total hours per week, for all instructors combined | |
| Monthly wages to instructors (before related payroll expenses) | $4,160 | the instructors' gross pay | |
| Monthly wages to instructors (including RPE such as payroll taxes) | $5,408 | 1.3 | let's assume a 1.3 multiplier for Related Payroll Expenses (RPE) such as payroll taxes |
| Part-time After-Care Teachers | |||
| Hourly wages for after-care teachers | $14 | hourly income | |
| Total hours per week, for all teachers combined | 80 | total hours per week, for all teachers combined | |
| Monthly wages to teachers (before related payroll expenses) | $4,853 | the teachers' gross pay | |
| Monthly wages to teachers (including RPE such as payroll taxes) | $6,309 | 1.3 | let's assume a 1.3 multiplier for Related Payroll Expenses (RPE) such as payroll taxes |
| Part-time Front-Desk Worker | |||
| Hourly wages for front-desk worker | $11 | hourly income | |
| Total hours per week, for all front-desk workers combined | 20 | hours per week | |
| Monthly wages to front desk (before related payroll expenses) | $953 | the front-desk workers' gross pay | |
| Monthly wages to front desk (including RPE such as payroll taxes) | $1,239 | 1.3 | let's assume a 1.3 multiplier for Related Payroll Expenses (RPE) such as payroll taxes |
| Total Monthly Payroll Costs: | $15,873 | ||
| Total All Monthly Costs | $35,712 | ||
| ON-GOING MONTHLY REVENUE (during the school year) | |||
| REGULAR CLASSES | |||
| Number of regular students (evening and weekend students) | 150 | number of students | |
| Monthly tuition price to students | $125 | ||
| Monthly income from regular tuitions | $18,750 | number of students times tuition | |
| Percentage of students who color-belt test each month | 20% | ||
| Price to students for color-belt tests | $35 | ||
| Monthly income from regular belt testing | $1,050 | ||
| Percentage of students who black-belt test each year | 10% | ||
| Price to students for black-belt testing | $300 | ||
| Monthly income from black-belt testing | $375 | divide by 12 months in a year | |
| Monthly pro-shop revenue per regular student | 100 | let's assume every student spends $100 per year on uniforms or other supplies | |
| $1,250 | number of students x annual spend / 12 months in a year | ||
| Monthly Income from Regular Students | $21,425 | ||
| AFTER-SCHOOL PROGRAM | |||
| Number of after-school students | 35 | number of students | |
| Monthly tuition price to after-care students | $400 | ||
| Monthly income from after-care tuitions | $14,000 | number of students times tuition | |
| Percentage of students who color-belt test each month | 20% | ||
| Price to students for color-belt tests | $35 | ||
| Monthly income from regular belt testing | $245 | ||
| Percentage of students who black-belt test each year | 10% | ||
| Price to students for black-belt testing | $300 | ||
| Monthly income from black-belt testing | $88 | divide by 12 months in a year | |
| Monthly pro-shop revenue per after-care student | 100 | let's assume every student spends $100 per year on uniforms or other supplies | |
| $292 | number of students x annual spend / 12 months in a year | ||
| Monthly Income from After-Care Students | $14,624 | ||
| Total Monthly Revenue during the School Year | $36,049 | ||
| Total Monthly Profit | $337 | ||
| How many months it will take to pay-back the startup cost: | 219.6 | ||
| How many years it will take to pay-back the startup cost: | 18.3 | ||
| ON-GOING MONTHLY REVENUE (summer camp) | |||
| During the summer, you'll need to make up a monthly shortfall of | $14,624 | ||
| that was coming from your school-year after-care program | |||
| Monthly price to students for summer camp | $700 | ||
| Number of students you'll need in summer camp | 21 |