Interested in opening a hot yoga studio? Here’s what you need to know to get started.
Ten Steps to Launching a New Hot Yoga Studio
1. Choose Your Type of Hot Yoga Studio
The first step in launching a hot yoga studio is to identify the type of hot yoga studio you want to launch. You might choose from the following types, among others:
- Jivamukti Yoga Studio: Jivamukti yoga is a vinyasa-style practice that emphasizes spiritual teachings.
- Ashtanga Yoga Studio: Ashtanga yoga is a physically demanding practice that focuses on linking breath with movement.
- Iyengar Yoga Studio: Iyengar yoga is an alignment-based practice that uses props such as blocks and straps.
2. Name Your Hot Yoga Studio
Give your hot yoga studio an identity so people will consider it a well-known and respected brand. You can take the name of your hot yoga studio from your industry, focus on a geographical location, or use your own name among other options.
The main goal for naming your hot yoga studio is to make it sound appealing and trustworthy so that potential students will be comfortable joining your classes.
3. Determine Your Hot Yoga Studio Business Model
There are several possible types of business models for a hot yoga studio, including:
- Single-location studio: You own and operate a single hot yoga studio.
- Multi-location studio: You own and operate multiple hot yoga studios.
- Franchise: You purchase the rights to open and operate a hot yoga studio from an established company.
No matter which model you choose, ensure that it aligns with your business goals and the services you offer.
4. Choose a Legal Form for Your Business
By incorporating your hot yoga studio, you will limit your liability. You can incorporate as a Limited Liability Company (LLC), a C Corporation (C-Corp), or an S Corporation (S-Corp). Or you can operate as a sole proprietorship.
The business structure you choose for your hot yoga studio will determine the taxes you pay and which state or federal tax forms you need to file.
Read our article comparing the most common hot yoga studio structures.
5. Write a Hot Yoga Studio Business Plan
All hot yoga studio owners should develop a business plan.
A business plan is a document that outlines the goals, strategies, and operations of a business. It can be used to secure funding from investors or lenders, as well as to guide the day-to-day operations of the business. The business plan should include information on the company’s products or services, market analysis, financial projections, and management team.
When developing your hot yoga studio business plan and strategy, you should think about the following questions your customers might have:
- What are the benefits of hot yoga?
- What types of classes does your studio offer?
- How much do classes cost?
- Do you offer any discounts or promotions?
- Why should I choose your studio over another one?
- What is the experience of your instructors?
- Is there parking available?
Read our article about how to write a hot yoga studio business plan.
6. Apply for the Necessary Permits and Licenses
There may be required licenses and permits you need to obtain before launching your hot yoga studio.
You must also register your hot yoga studio as a legal entity with the state where you plan to do business. You can simply file an online form through your Secretary of State website.
Registering with the federal government is also essential so you can properly pay taxes for your business. You will also need an Employer Identification Number (EIN), which you can apply for at the IRS website, if you plan to hire employees.
Read our article about obtaining the proper hot yoga studio licenses.
7. Determine Your Budget & Apply for Funding as Needed
In developing your hot yoga studio business plan, you will figure out how much funding you need to start and grow your business.
If you have your own funds to invest in your hot yoga studio, you may consider taking advantage of that. In addition to your personal funds, other forms of potential funding for your hot yoga studio include traditional bank loans, SBA loans, credit cards, angel investors and family and friends.
Read our article about the costs associated with starting a hot yoga studio to help you determine if funding is needed.
Read our article about how to fund your hot yoga studio.
8. Get the Technology & Software Needed to Run Your Business Efficiently
When you start your hot yoga studio, it’s essential to have the right technology in place to maximize efficiency. You definitely need a computer with Internet access, and accounting software for tracking expenses and revenues.
You may also want to invest in a customer relationship management (CRM) system to track your customers, sales, and marketing efforts. A CRM will help you cultivate customer relationships and grow your business.
Read our article about the technology and software you need to run a hot yoga studio.
9. Market Your Hot Yoga Studio to Potential Clients
Before you start selling your services, you have to let the world know you exist. The first step is to create a website so people can learn more about your services and how they benefit them.
After you launch your website, start promoting it through social media channels like Facebook, LinkedIn and Twitter. Also consider networking with other people in the hot yoga industry through social media and blogs so they can help share your business.
You also need to start gathering the materials needed to execute on your promotions strategy, which is your strategy for attracting new customers. Hot yoga studios should consider the following promotional strategies for which you should start getting prepared:
- Create an advertising campaign
- Develop a PR strategy
- Offer coupons or discounts
- Participate in community events
- Host a grand opening event
Read our article about how to market your hot yoga studio for more tips.
10. Get New Clients & Grow Your Business
When you promote your services, you’ll start to get interest from potential clients.
Make sure you’re ready to serve these clients. Also, be sure to establish systems to ensure consistency and reduce costs. And be sure to find and train the right people to help you grow your hot yoga studio.
Read our article about how to effectively grow your hot yoga studio to learn more.
Starting a Hot Yoga Studio FAQs
The hot yoga industry is growing. The number of hot yoga studios has increased by 6.3% since 2013, according to IBISWorld. Hot yoga is appealing because it offers a variety of benefits like improved flexibility, detoxification, and weight loss.
Here are some tips for starting a hot yoga studio:
- Do your research
- Create a business plan
- Find the right location
- Get the necessary permits and licenses
- Invest in the right equipment
- Train your instructors
A simple checklist to use when starting a hot yoga studio is as follows:
- Choose Your Type of Hot Yoga Studio: This should be based on what you are best at and how much experience you have. Remember to always keep your interests, skills, and experience in mind.
- Name Your Hot Yoga Studio: This should be done carefully, as your brand is important for attracting the right customers. A simple, memorable name will go a long way.
- Choose a Legal Form for Your Business: Whether you choose to become a sole proprietorship, partnership, LLC, corporation or another option will depend on your business. Ensure that you are aware of all the implications of each type.
- Determine Your Hot Yoga Studio Model: Determine how your business will make money. Will you sell products, services, or a combination of both?
- Write a Hot Yoga Studio Business Plan: Your business plan will also help you determine what your start-up costs will be and will provide a roadmap with which you can launch and grow.
- Apply for the Necessary Permits and Licenses: In most locations you will be required to apply for a business license and/or permits before you can begin operations.
- Determine Your Budget & Apply for Funding as Needed: You will need to know how much money you have to spend on all of your business-related expenses before opening any doors. If needed, apply for a small business loan or other funding options.
- Get the Technology & Software Needed to Run Your Business Efficiently: You need the right tools to succeed. Implement software that will help you manage your time, contacts, and business operations in general.
- Market Your Hot Yoga Studio to Potential Clients: A solid marketing plan will be crucial to your success. It should focus on attracting the right customers so that you can provide them with the services they truly need.
- Get Clients & Grow Your Business: Once you have a solid marketing plan, it's time to actively pursue and secure those who could benefit the most from your services.
Opening a hot yoga studio can be a great way to combine your love of yoga with your entrepreneurial spirit. However, there are a few things you need to keep in mind before taking the plunge.
First, do your research and create a business plan. Then, find the right location and get the necessary permits and licenses. Once you’ve done all that, you can invest in the right equipment and train your instructors. Finally, market your studio to potential clients and get ready to grow your business!