Contracts

elder999

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I use contracts tied to both a period of time and a level of rank, whichever comes last, and with a one-time release clause and provisions for...well, life getting in the way of training. I especially like having it tied to rank because if I don't want to teach someone anymore than a certain amount, I am not legally obligated to do so either-all the business reasons given for having contracts are valid if one is in business for profit or even running a not-for-profit, but it also helps to have a legal leg to stand on to say that you fulfilled your obligation to your customer, which, sadly, is how the relationship is viewed, legally.

The unfortunate thing is that we ofen don't know very much about the quality of the people we're teaching, sometimes for quite some time, but especially when they first sign up-and good students can be bad people. I had someone sign up who I later found out was abusive towards his girlfriend and used drugs. I didn't have any trouble kicking him out then and there, but if I had, I only would have been obligated to promote him to a certain level....then, of course, I'd have kicked him out....
 

stickarts

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Flying Crane said:
Well, there's nothing like automatic bill pay to make sure it happens without the hassle of dealing with it. No bouncy checks either. I assume this kind of arrangement carries some kind of fee with it? I guess if it is reasonable, it would certainly be worth it once the school reaches a certain size.

I myself don't teach, but just thought I'd put in my two cents.

We are charged a few % but it is well worth it. You easily recoup that just by collecting payment from some that would otherwise not have paid us. Even people that we have considered friends didn't hesitate to skip town without paying from time to time.

I always enjoy reading your posts and you have great feedback!
 

stickarts

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Brandon Fisher said:
My wife and I are doing this together also and she has a full time job teaching 7th grade math so health insurance and things like that are covered. But teachers don't make a ton of money :-( but thats life.

She mentioned the auto payment idea tonight strangely enough so maybe I will look into that as well.

Thanks keep the ideas coming I really appreciate it.

If you want to grow the business and get a steady stream of income, i recommend some type of auto pay. I wish i would have done that from day one. You work hard and deserve to be able to pay the bills!
 

stickarts

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Ceicei said:
When I started at my current dojo few years ago, my school has both types available, month to month payments (with liability waiver form of course), and contracts in increments (6 mo, 1 year, and 2 years). The contracts have generous release clauses and money back for the remaining time, so no one needs to feel bound if a situation comes up requiring a break off from the contract.

We have found that the month to month is ideal for those who are starting out and not sure of long term commitment, or with an unstable situation. Parents frequently prefer month to month for their children. The adults tend to prefer contracts (with the exception of college students who prefer the month to month). The contracts also include some perks (such as tuition and product discounts, ongoing private lessons, and belt fees included), so the long-timers prefer them.


- Ceicei

we have observed the same thing!
 

stickarts

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elder999 said:
I use contracts tied to both a period of time and a level of rank, whichever comes last, and with a one-time release clause and provisions for...well, life getting in the way of training. I especially like having it tied to rank because if I don't want to teach someone anymore than a certain amount, I am not legally obligated to do so either-all the business reasons given for having contracts are valid if one is in business for profit or even running a not-for-profit, but it also helps to have a legal leg to stand on to say that you fulfilled your obligation to your customer, which, sadly, is how the relationship is viewed, legally.

The unfortunate thing is that we ofen don't know very much about the quality of the people we're teaching, sometimes for quite some time, but especially when they first sign up-and good students can be bad people. I had someone sign up who I later found out was abusive towards his girlfriend and used drugs. I didn't have any trouble kicking him out then and there, but if I had, I only would have been obligated to promote him to a certain level....then, of course, I'd have kicked him out....

How do you tie it to rank? Do you mean the contract ends when student hits a pre-determined rank? for example, if its for 1 year or blue belt, it will end after one year unless they achieve blue belt first?
 

elder999

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stickarts said:
How do you tie it to rank? Do you mean the contract ends when student hits a pre-determined rank? for example, if its for 1 year or blue belt, it will end after one year unless they achieve blue belt first?

It's actually for a set number of classes, and the attainment of a set rank, whichever comes last, with an extension proviso-that way, if someone can't achieve a certain rank within the time (number of classes)of the contract, then it's extended until they do so, and, if someone attains the rank before the term, then they continue until the number of classes for the term of the contract are attended, at either of which time we sit down and sign a new contract, and/or have a conversation about their continuing to train......

Short answer:yes, the contract ends when the student reaches a pre-determined rank.
 

stickarts

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elder999 said:
It's actually for a set number of classes, and the attainment of a set rank, whichever comes last, with an extension proviso-that way, if someone can't achieve a certain rank within the time (number of classes)of the contract, then it's extended until they do so, and, if someone attains the rank before the term, then they continue until the number of classes for the term of the contract are attended, at either of which time we sit down and sign a new contract, and/or have a conversation about their continuing to train......

Short answer:yes, the contract ends when the student reaches a pre-determined rank.

Thank you! I haven't heard of that before and thats an idea I am going to mull over to see if we can apply it!
 

shifu

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Brandon Fisher,

Hi Brandon,

Please send me your e-mail address and I'll send you a copy of the contract I use. It was designed by the peak body for martial arts in Australia - Martial Arts Industry Association and may be of some interest or help to you.

Regards,
 
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Brandon Fisher

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Shifu,
Thank you!! I am sending you a private message with it now.
 

shifu

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Hi Brandon,

I've sent it to your e-mail. Hope it is of some use to you.

Regards,
 

Scott Yates

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Just a suggestion. Get professional help. If you want to run a good but profitable school, go to the experts.

As for contracts, they set the presidence for your school. If you ask for a commitment, they know what to expect from you. If you collect month to month at your dojang, you either do not have enough students, or you are not out finding people to enroll. Either way, no good.

Two years ago, after listening to most of the bone heads out there, our schools came across some professionals who "figured it out". In those two years, my school has expanded from 600sf to over 3000sf. From 75 students to over 200. From averaging (B4 bills) $10,000/month to now $35,000/month. My life as an instructor changed tremendously. We now have 5 schools, 8 staffed instructors, and over 1000 students total. Two years ago I was working two jobs and working 15 hours a day. I now run my school full time 50-60 hours a week, like any other professional.

The kicker is we have been voted the best school in southern NJ for 5 years in a row. I know of all the misconceptions of all those poor school owners about the mcdojo. Yes, there are some out there. But not all successful schools are that way. I have the full support of 8 police departments, 7 school districts which have us in twice a year, 15 Home School Associations, local churches and boy/girl scout orgs, and on and on.

I am telling you this for one reason. If you have a true desire to teach MA's and impact peoples lives, do it big. I can't tell you how rewarding it is to see my 210 stdents show up each week enthusiastic to learn more.

If you are truely interested in learning this you may PM me at [email protected] anytime. I have nothing to gain from this except knowing I helped another true MAist reach their dream. The same thing someone did for me a few years back.

Respectfully,

Scott Yates
SinMoo Hapkido
New Jersey
 

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