For Investors - breakeven analysis

For each student the parents will be filling out an Independent Budget as part of the new Self-Determined Plans. Parents will request monthly amounts of $200 for tuition and $50 for unspecified clothing, shoes and weapons. This is monthly paid by the Regional Center (in California non-profit agencies that each administer funds usually for multiple counties). The school pays $5 per student per month as membership dues for North American Chen's Tai Chi Association (http://chenstaichi.com/) and $5 per student per month for collegiate tuition. In addition, weekly grading done by certified outside experts will cost $20 per student per month. That leaves $170 per student per month to cover rent, insurance (about $50 per month), utilities, and snacks. We believe the breakeven point is 15 students given $2000 per month rent. With very mediocre marketing we would expect 72 students and a waiting list. Gross Monthly Profit = $9690. That is WITHOUT after school or evening classes for neurotypical students. Our plan would be to pay back a $30,000 loan with interest within six months.

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