How to start a coaching centre or institute business in India

Learn how to start a successful coaching/tuition centre in India

Teaching is a noble profession. In Indian society, particularly, teachers have always been very highly regarded. Aside from teaching in schools, private coaching classes for academics or extra curriculum are very high in demand. In today’s highly competitive environment private coaching/tuition centers are means for a successful business. If you are passionate about teaching and looking for an alternative to ten-to-five jobs and planning to start your coaching center, then a small business opportunity to run a coaching center can be a great option for you.

About coaching center business opportunity

Coaching centers aren’t new to Indian context. However, in recent time demand for good coaching institutions has gone up quite remarkably. There have been quite a few coaching institutes that have established franchise chains across India. Amongst these, there are coaching centers imparting training for professional courses, competitive examinations and even school board examinations. These are also highly sought by students and parents alike as they believe that these institutions can offer better results through advanced teaching techniques, planned curriculum, trained faculty and improved study material.

Coaching classes are now offered on a wide range of subjects. Starting from subjects taught in schools to preparing for admission tests for professional courses, CA/CFA courses, job oriented training and even for government job examinations. Fees of some of these specialized coaching courses are quite high.

Current market trend

The market in particular is highly optimistic. Indian academic, as well as job scenarios, are fast changing with intensified competition, which means increased demand for specialized coaching institutions and qualified teachers on various arenas. Apart from that, demand for sports coaching is also on a rise with the recent achievements of the nation in various international level competitions.

On the whole, if you really have the flair to teach, and like to make a difference to the society, here is your chance to launch a successful career by starting a coaching center.

Level of competition

Level of competition for coaching centers are multilayered, especially due to the disperse nature of the industry. Apart from large and medium size franchises you can also face competitions from small, unit size coaching centers, private tutors etc. There are a few organizations and educational institutes that also offer coaching on various subjects at subsidized rates. However, since the industry is mostly unorganized, it isn’t easy to measure competition at absolute terms.

The future of coaching center in India

A study conducted on current educational scenario of India suggests that a whopping 87% of primary school children and almost 95% students at high school receive private coaching in Indian metro cities. And, all trends show a strong increasing in these numbers in the coming days.

India is in a verge of complete transformation in educational and job scenarios. A desire to stay ahead in competition that will improve the marketability of getting quality jobs in the highly competitive market has really worked as a catalyst for coaching center business.

Some facts are figures about coaching center business in India

  • In total, the industry is a multi-billion dollar industry
  • The current turnover of the industry is around $23 billion in 2013
  • By 2015, it is expected to cross $40 billion milestone
  • In last five years the industry has experienced an CARG of 35%

Who can start this business?

Teachers, educators, professionals, housewives, retired professionals, professors –people from various walks of life can start coaching center business. To start off, all one needs is passion for education. It is mostly resource driven and success often depends on the ability of the educator.

Skill set you need

Often it doesn’t require any specialized set of skills. If you love teaching you can almost start of your small home-based coaching center immediately. But perfecting a few leadership skills as mentioned below may help in the long run.

  • Skills of human management since you’d have to manage students
  • Resource management
  • of teaching
  • specialization on one or more subjects
  • Team building and management, especially if you like to build a panel of faculty in the long run

Nowadays, there are quite a few organizations that impart training and workshop education to small business entrepreneurs to help them start their ventures. Enrolling in such sessions will help you get a better understanding of the industry to prepare a better plan to attend break-even with your venture. SEOTP or SEO Training Point is one such institution, based in Bangalore, which imparts training and mentoring solutions to small business entrepreneurs.

Profit feasibility

The growing demand for private tuition in India suggests that profit feasibility in the business is high. In Delhi alone the number of private tutors is a whopping five lakhs. There are several occasions where teachers and professors have left their jobs in reputable institutions to private tutoring since the remuneration is high. An average rate for private tutoring is  1,000-4,000 INR per hour on one-to-one basis and in groups 1,000 to 6,000 INR per month.

Admin work: Maintain students’ records, fees, staff salary etc.


One of the reasons for high return on coaching center business is low threshold of investment. One can start from their homes with minimum infrastructure. However, if you launch on a large scale or conduct tuition in large groups then you might have to rent larger space and a few equipment to ensure each student receives proper attention, notes and study materials.

Team building/staff: Hire trusted and honest staff. Update team on latest info/news on subject. Conduct team meeting time to time.

Website building

Since internet has become an easy source to find information there is a growing urge amongst students and patterns to search on right educational solutions on the web. Teachers too can’t deny of their presence on web media. A website can help in showcasing your business highlights, courses, fees and services to attract more number of students. Through it one can also offer resources, courses, and doubt clearing to build credibility and reputation.

Marketing plan

A comprehensive marketing plan can go a long way in establishing your credibility and acceptability amongst students and parents.

  • Off line—Word of mouth, direct mailers, advertisements of print and electronic media, flyers, bill boards and kiosks are few ideas of offline marketing that will help you reach directly to your target audience.
  • Internet marketing—Create your presence on online media through comprehensive digital marketing so that your target group can easily find information about you on Internet. This will also help with brand and image building.
  • Marketing kit—DBS Next Level small business training not only focus on imparting training on business planning, marketing or SEO but it also offers a marketing kit to help entrepreneurs start-off right after finishing the course. It might include services like—website designing and hosting, content creation and marketing, graphic designing, and digital marketing solutions.