Rhythm Row Dance Studio

Words in [brackets] are blanks you fill in with your own details when you adopt this sample in Supreme Plan AI.

Executive Summary

Rhythm Row Dance Studio is a dance studio in Michigan. We teach ballet, hip hop, jazz and tap to children and teens, offer a few adult classes and run summer camps, birthday parties and a yearly recital. Our classes are small, our teachers are patient and every student, from a first-time four-year-old to a teen who has danced for years, is encouraged to grow at her or his own pace.

Why this fits. Parents look for activities that build confidence, discipline and friendships, and dance is one of the most popular. A studio that is kind, organized and fair about prices, costume costs and recital rules earns families that stay for years and tell their neighbors.

Here is what our numbers show. In Year 1 we plan about 1,400 student-months of class tuition (a student-month is one student enrolled for one month, so about 117 students on average), 150 camp and workshop spots, 120 recital and costume fees and 30 birthday party and rental bookings. That brings in sales of $176,800, growing to $496,000 by Year 5 as enrollment grows to about 275 students. We expect a loss of about $49,600 in Year 1 because the lease, floors and teachers are paid before the classes fill, then a profit of about $22,600 in Year 2, $59,400 in Year 3 and $78,000 by Year 5. Most students enroll in September, so the early months are slow.

We need $150,000 in total. Of that, $66,300 is startup costs (a sprung dance floor, mirrors, a sound system, lobby furniture, software, the lease deposit, a license, signs and insurance), and the rest is cash to cover the first months while enrollment builds. I am putting in $80,000 of my own savings and asking for a $70,000 SBA 7(a) loan.

I am Camille Washington, the owner and studio director, with twelve years of teaching dance, including six years at a local studio where I ran the youth program. These numbers are estimates based on the assumptions listed at the end of this plan, not promises.

Company Description

Rhythm Row Dance Studio is a small, independently owned dance studio in Michigan, planned as a limited liability company (LLC). We serve children, teens and adults in our city and the neighborhoods around it from a leased space with two studios and a lobby.

Our mission. To teach dance in a safe, joyful place where every student feels she or he belongs and can grow.

What we believe. Every child can dance. We teach proper technique and safety, keep classes small and encourage students without comparing them. We explain costs clearly, including costume and recital fees, before a family enrolls. We follow safe practices for children, including background checks for every teacher and an open-door policy for parents.

What we offer:
- Weekly classes. Ballet, hip hop, jazz and tap for ages 3 to 18, plus adult classes in the evening.
- Camps and workshops. Summer and holiday camps and one-day workshops with guest teachers.
- Recital, costumes and competition. An end-of-year recital for every student, and an optional performance team.
- Birthday parties and studio rentals. Dance parties for children and hourly studio rental for rehearsals and classes.

Who we serve. Families with children, teens who want to dance seriously, adults who want to try dance and local schools and groups that need a rehearsal space.

What we do not do. We do not promise a professional career, push young students into long hours, hide fees or allow a teacher to work with students without a background check.

How we are run. I am the owner and studio director, and I teach several classes. Instructors join as we add classes, from one and a half full-time equivalents in Year 1 to five by Year 5. A part-time front desk person greets families and handles billing. An accountant keeps the books.

Where things stand today. We have toured two spaces and have a lease offer on one, a quote for the floor and mirrors, a list of about 60 families who said they would enroll their children, two teachers who agreed to join and a letter of interest from a local school. (Replace this with where you really are.)

Problem & Opportunity

Parents want children to have activities that build confidence and health, but many dance studios are too expensive, too competitive or poorly run. Costs can be unclear, with costume and recital fees added late in the year. Some studios push young students to compete or perform too much. Class sizes can be large, and a child can feel lost.

Other families cannot find a class at a time that works. Parents who work late want evening classes. Parents with several children want classes at the same time.

For a new studio, the hard parts are the cost of the floor and mirrors, the lease, hiring and keeping good teachers and filling classes. Most students sign up in late summer and early fall, and the first months are slow. A studio with empty classes still pays rent and teachers.

We want to be clear about what we know and do not know. Children's dance is a real, steady activity, and good studios keep students for years. We do not know how fast classes will fill, so our plan assumes a loss in Year 1 and cash to cover it. We will use current local numbers on families with children and competing studios in our final plan and will not overstate them.

Products & Services

Rhythm Row Dance Studio will give children and adults safe, small classes, clear prices and a welcoming place to dance.

How it works, step by step:
1. Free trial class. A new student can try one class at no charge.
2. Placement. A teacher watches the trial class and suggests the right level and day.
3. Enroll. The family enrolls online, sees the full list of costs, including costume and recital fees and picks monthly autopay.
4. Weekly classes. Small classes with a warm-up, skills, a short combination and a cool-down. Parents can watch through a window.
5. Progress. Teachers share short notes with parents at mid-year and at recital time.
6. Recital. All students perform in a yearly recital with costumes ordered on a schedule that is shared early.
7. Camps. Summer and holiday camps keep students dancing during breaks and bring in new families.
8. Feedback. We ask families for feedback twice a year and use it to improve.

Why this approach is strong. Parents choose a studio they trust, and children stay where they feel proud and safe. Clear pricing and small classes build that trust.

Market Analysis

Who we serve: families with children aged 3 to 18, teens and adults in our city and the neighborhoods around it.

Our primary group is families with children who want a weekly activity after school or on weekends. Our secondary group is teens who want more advanced training, adults who want to try dance and local groups that rent studio time. We will use the most recent local numbers on children, schools and competing studios in our final plan.

How we sized our plan. We plan about 1,400 student-months of tuition in Year 1, or about 117 students on average, growing to 3,300 student-months, or about 275 students, by Year 5. We also plan about 150 camp spots, 120 recital and costume fees and 30 party and rental bookings in Year 1, growing to 430, 340 and 95 by Year 5. Our Year 1 prices are about $95 per student each month, $180 per camp spot, $85 per recital fee and $220 per party, rising about 3% a year.

Demand data. A list of about 60 families and a letter of interest from a local school cover part of the first enrollment. We do not count on any one family. Enrollment is highest in September and January and lowest in summer, which is why camps matter.

We do not take everyone. We refer students who need a level we do not offer and we do not enroll more children in a class than a teacher can safely supervise.

Competitive Landscape

Other choices for families, and what makes us different.

- Large competition studios. They offer many classes and strong teams but can be pricey and time-consuming. We offer a balance with a recital and an optional performance team.
- Other small neighborhood studios. Some are very good. We compete on friendliness, class size and clear prices.
- School and community recreation programs. They cost less and have fewer classes. We offer longer seasons and more skill progression.
- Gymnastics, cheer and sports programs. They overlap in age groups. We offer something different, with music and performance.
- Online and streaming classes. They are cheap and flexible but lack feedback. We offer teachers and friends in the same room.

What makes us different.
- Small classes with a teacher who knows every child.
- All costs, including costumes and recital, shared before a family enrolls.
- Background checks for every teacher and an open-door policy.
- Evening and weekend classes for working families.

What we do not claim. We are new. Larger studios have more teachers and bigger stages. We plan to earn trust one class at a time.

Marketing & Sales Strategy

How we will reach customers.

Free trial classes and open houses. We will hold an open house and free trial classes before the first session and again before the fall term.

Schools and neighborhoods. We will visit schools, libraries, churches and community centers, hand out flyers and offer a school-wide dance day.

Referrals. Every family receives a referral card, and a family that brings a friend gets a month of tuition off.

Online. A website with online enrollment and a calendar, a Google business listing, reviews and social media with short videos of classes and performances, with parents' permission.

Pricing. About $95 per student each month, $180 per camp spot, $85 per recital fee and $220 per party in Year 1, with a discount for siblings.

Operations Plan

How the business will run.

Setup (the 3 to 4 months before opening). We will form the LLC, get an EIN and open a business bank account, sign the lease, get the city business license and music licensing, install the sprung floor and mirrors, buy sound equipment, set up the enrollment and billing software, background check and hire teachers and plan the first class schedule.

The studio. A leased space of about 2,500 to 3,500 square feet with two studios, a lobby and a small office. Rent is $39,600 a year in Year 1.

Staffing. In Year 1: I serve as owner and studio director and teach several classes. Instructors, counted as full-time equivalents and paid $30,000 a year each, are one and a half in Year 1, two in Year 2, three in Year 3, four in Year 4 and five in Year 5. A part-time front desk person, paid $18,000 a year, works from Year 1.

Costs. Direct costs are about $9 per student-month, $35 per camp spot, $48 per recital fee and $25 per party in Year 1, which covers costumes, supplies and snacks. Utilities are about $7,200 a year, insurance about $3,400, software and music licensing about $3,600, marketing about $9,000 and recital venue and production about $5,000.

Safety. Teachers pass background checks, floors and mats are cleaned daily and a first aid kit and a posted emergency plan are in each studio.

Payments. Most families pay monthly by autopay at the start of the month, so cash arrives on time. Costume and recital fees are collected in the fall and winter.

Insurance. We carry general liability, property, workers' compensation and abuse and molestation coverage.

Management & Organization

The people who will run Rhythm Row Dance Studio.

Camille Washington, owner and studio director. Twelve years of teaching dance, including six years at a local studio where she ran the youth program, planned recitals and trained new teachers. She leads teaching, scheduling, enrollment and finance. (Replace this paragraph with your own background.)

Dance instructors (from Year 1). Teachers with experience in ballet, hip hop, jazz and tap. All pass background checks.

Front desk (part-time, from Year 1). Greets families, handles questions and billing.

Outside advisors. A local school teacher, an attorney, an accountant, an insurance broker and a free mentor from SCORE or the Small Business Development Center.

Staff pay in this plan is a full year per person: owner and studio director $42,000, dance instructor $30,000 per full-time equivalent and front desk (part-time) $18,000. Replace them with the pay you can offer where you live.

Milestones Narrative

Our goals and when we plan to reach them.
- Before opening (3 to 4 months ahead): sign the lease, get the business license and music licensing, install the floor and mirrors, background check and hire teachers, publish the class schedule and sign up at least 60 students for trial classes.
- Year 1: about 117 students on average, one and a half instructors and a summer camp; $176,800 in sales and a loss of about $49,600.
- Year 2: about 183 students, two instructors and a larger summer camp; $290,460 in sales and a profit of about $22,600.
- Year 3: about 233 students, three instructors and the first strong profit; $385,014 in sales and a profit of about $59,400.
- Year 4: about 267 students and four instructors; $458,128 in sales and a profit of about $80,800.
- Year 5: about 275 students and five instructors; $496,000 in sales and a profit of about $78,000.
Growth depends on winning and keeping customers, so treat the later years as goals, not promises.

What we check every week: students enrolled, trial classes, class sizes, missed payments, teacher hours, parent feedback and cash in the bank.

Funding Request

How much we need and how we will use it. Total we are raising: $150,000.

How we got that number. The Funding Need Calculator in this plan adds up three things:
- Startup costs of $66,300, listed item by item in the Startup Costs section: $21,000 for sprung dance floor and wall mirrors for two studios; $6,500 for sound system, wireless microphone and display screens; $7,500 for lobby seating, cubbies and reception desk; $2,000 for studio management software and card readers; $9,000 for lease deposit and first month of rent; $800 for business license and music licensing; $3,000 for attorney: lease review, parent waivers and LLC setup; $5,800 for sign, branding and a website with online enrollment; $3,000 for recital supplies, costume samples and barres; $3,200 for insurance down payment and staff background checks; $4,500 for opening enrollment promotion and open house.
- The cash the business uses before it breaks even, about $34,300. Most families enroll in September, so rent, teachers and utilities must be paid for months before classes fill, which is why cash is needed before the studio breaks even.
- A cash cushion of about $46,500: three months of Year 1 operating costs.
- Together, the cash used before break even and the cushion come to about $80,700, and the three pieces add up to about $147,050, rounded up to the nearest $500: $147,500.
We are raising $2,500 more than that, $150,000 in all, to cover a slower first fall than planned and the costs of adding instructors as classes fill. With this funding, the lowest year-end cash balance is about $63,200, at the end of Year 1.

Where the money comes from:
- My own money: $80,000.
- SBA 7(a) loan: $70,000.

Kind of funding we are looking for. An SBA 7(a) loan from a lender that finances small service businesses, backed by my own savings and the floor and equipment as collateral.

How we will pay it back. We expect a loss of about $49,600 in Year 1, a profit of about $22,600 in Year 2, a profit of about $59,400 in Year 3, a profit of about $80,800 in Year 4 and a profit of about $78,000 in Year 5. With this funding, the business has money in the bank at the end of every year of the plan. Our loan is the SBA 7(a) loan at 12.5% over 7 years, about $1,254 a month. That payment is already included in our cash flow. We chose these as cautious planning rates; ask the lender for the real rates, which may be lower or higher.

What we are offering the lender: the equipment and my personal guarantee.

A smaller first step, if needed. If we cannot raise the full amount right away, we can start smaller and grow into this plan:
- Phase 1: open with one studio and a smaller class schedule, with two part-time teachers and less rent, which lowers startup costs and the loan.
- Phase 2: once classes fill, add the second studio, more teachers and a summer camp and follow this plan.
To plan the smaller start, make a copy of this plan (use Duplicate) and lower the numbers to match.

All numbers in this plan are estimates. We will update them as real results come in.

Appendix Notes

Documents to attach before you send this plan:

- Your resume and a personal financial statement (a list of what you own and what you owe; lenders usually provide a form).
- Business registration papers and your EIN (your business tax number from the IRS, free at irs.gov).
- The lease or a letter of intent from the landlord.
- Quotes for the dance floor, mirrors and sound system.
- Your class schedule, price list and parent handbook.
- Your teacher background check policy and insurance quotes.
- A list of families interested in enrolling and letters of interest from schools.
If you don't have any of this yet, no worries - let's continue.

The assumptions behind our numbers (change them in the Financials section to match your own):
- Monthly Class Tuition (per student, per month): about $95 in Year 1, rising to $107; about $9 in direct costs, rising to $10.33; about 1,400 in Year 1, growing to 3,300.
- Camps and Workshops (per student): about $180 in Year 1, rising to $203; about $35 in direct costs, rising to $40.16; about 150 in Year 1, growing to 430.
- Recital, Costume and Competition Fees (per student): about $85 in Year 1, rising to $95.67; about $48 in direct costs, rising to $55.08; about 120 in Year 1, growing to 340.
- Birthday Parties and Studio Rentals (per booking): about $220 in Year 1, rising to $248; about $25 in direct costs, rising to $28.69; about 30 in Year 1, growing to 95.
- A student-month is one student enrolled for one month. About 1,400 student-months in Year 1 is roughly 117 students on average, growing to 3,300, or about 275 students, by Year 5. Prices rise about 3% a year.
- Equipment ($37,000 in Year 1) covers the sprung floor, mirrors, sound equipment and furniture, and later years add a few items and replace worn floors and mats.
- Pay (a full year, per person): owner and studio director $42,000; dance instructors (full-time equivalents) $30,000; front desk (part-time) $18,000.
- Other yearly costs in Year 1: rent $39,600, utilities $7,200, insurance $3,400, software, website and music licensing $3,600, marketing and open houses $9,000, recital venue and production $5,000, accounting and legal $3,600, payroll taxes $9,500. These grow between 3% and 12% a year.
- Startup equipment and later purchases ($37,000 in Year 1, then $4,000, $4,000, $6,000 and $4,000) are spread evenly over five years in the plan's books.
- Customers and payers pay about 4 days after service, so at the end of Year 1 about $1,768 is still owed to us. Income tax at 21%.
- Every dollar amount is an estimate. Replace them with your own quotes and research.

Startup Costs