How much does it cost start a piano studio? Honestly, not that much! A piano lesson studio is a low-risk, low-overhead business that really can grow gradually over time. The following areas of expense are my own opinion based on my own experiences and what I would spend money on today if I had to start all over again.
Physical Studio
Piano: $0
You need a keyboard or piano. With a bench. Non-negotiable. But when you’re first starting out, it does not need to be fancy.
I remember being embarrassed of my Yamaha P-60 back in the day when I started teaching out of my living room. I really wanted to present something that looked impressive and professional so my students (well, mostly their parents) would feel like they were investing in a teacher who was professional.
But what I discovered was, no one cared what the keyboard looked like. And it worked for the first year or so of my independent teaching career. I looked professional. I presented myself in a professional manner. And that was what mattered.
Later, when my income grew, I invested in a nice Yamaha Clavinova that looked, sounded and felt professional.
Use what you have in the beginning, and upgrade when your income allows.
Device: $0
Yes, you’ll also need a computer, tablet or smartphone. But we’re gonna use what we got at first! Don’t go out and buy that dream laptop just yet. Dream big, but use what you have until you’re rolling in the dough.
Teaching Space: $50
In the beginning, please don’t go crazy spending a bunch of money on items you think will make your space look like a professional piano studio. Chances are, no one cares but you how professional your space looks and if your organizational containers all match.
Strive to create a welcoming space that functions well for your students and their families. A comfortable chair for you, a shelf or desk for your computer, and a few cubbies/drawers/baskets or something for your teaching supplies is a super start. I’ve included $50 into the budget for a few small items you may be lacking in this department, or one needed standalone piece, such as a chair, small table, or bookshelf. But, again, use what you’ve got until you’re bringing in some income.
What isn’t included in the budget is big items such as furniture and major decor. For now, be content to make a wish list of items you would like to purchase or upgrade along the way.
And what’s also not included is a rented space. Office or retail space is mucho expensive and even if you feel like your home isn’t 100% ideal for teaching lessons, use what you have and dream about that perfect space for the future.
Woohoo, something to strive for!
Teaching Supplies
Organization: $30
Similar to the last category, don’t go crazy at The Container Store just yet. Your organization system will likely evolve over time. You can invest in those fancy matching containers down the road.
For now, keep it simple with perhaps a drawer or desk organizer, a few three-ring binders, and a basket to keep supplies out of sight.
Method Books: $50
One of the most important decisions you can make as a new piano teacher is which set of method books to choose for your students. The internet can be a great research tool, but once you’ve narrowed down your selection to two or three authors, you’ll want to get those books into your own hands to make a final decision.
You can sell any books you order to your students down the road (or perhaps return the rejects), but the initial investment is nearly unavoidable.
On a tight budget? Visit your local music store and look through their method books! You can narrow down your options without having to purchase all the books.
Stickers: $10
It is almost silly how motivating stickers can be! Make sure you have a few sheets of various types on hand for that first lesson. One little sticker on the page can keep ’em coming back!
Here’s an affordable pack of 2500 stickers from my favorite sticker brand to get you started.
Miscellaneous Office Supplies: $30
Pens, sticky notes, printer paper, and crayons or markers should be all you need to get started. At the risk of sounding like a broken record, use what you have! Buy only what you absolutely need, and upgrade later.
Website
Domain: $0
After word of mouth, Google is my main source of new student inquiries. Every day, parents in your area are searching for “piano lessons near me.” You want to be there at the top of the list!
Registering your new business’ domain is the first step to getting found by all of those potential customers out there on the world wide web.
What is a domain and why is it listed as free? A domain is your business’ Internet address. My domain is: thetattooedpianoteacher.com. I pay yearly for my domain and it gives my business a professional appearance. The reason I have listed it at $0 is because if you sign up for a Wix website plan (see below), you’ll get your domain for free for the first year.
You may be thinking? Domain?! I haven’t even thought of a name for my new business!
I hear that, friend, but lemme tell ya–you don’t want to get all excited about the *perfect* studio name only to find out that your .com domain name is already taken.
If you haven’t yet settled on a name for your business, that’s perfect! Start brainstorming and as you do, see if the associated domain name is available. If not, keep brainstorming.
Wix Basic Plan: $16
Once you have your domain name figured out (and you know it’s available), it’s time to create a website for your new business. Don’t be scared! This doesn’t have to be anything elaborate or fancy and you do not need any coding or web design experience to create a great looking, professional website.
Wix makes it super easy and affordable to create your new website and attract potential customers. Check out the Wix Basic Plan here.
I have a full Wix website walk-through to get your piano studio website set up.
MyMusicStaff: $15
My life as a piano lesson studio owner changed the day I signed up for the free trial of MyMusicStaff, a studio management platform specifically designed for music lesson studios.
I really cannot sing their praises enough. I’ve used MyMusicStaff for 8 years now and it has been the best investment for my business.
Even better, if you sign up through my affiliate link, you’ll receive a free trial for 7 days to try out their services.
As soon as you have your first potential student is the right time to get your MyMusicStaff account set up.
Sign up for your free 7-day trial of MyMusicStaff.
Taxes & Legal Stuff
I am not a lawyer, tax or insurance expert and the following information is not legal, tax or insurance advice. Please do your own research and consult with the appropriate professionals.
Form an LLC: $130 (varies by state)
Most states have laws about registering a new business. Don’t wait on this. You want your new business to be on the up-and-up. Check your state’s laws concerning registering your business.
Additionally, each state has its own procedure (and fees) for forming an LLC, or Limited Liability Corporation. Having an LLC in place simply protects you, the business owner, should you ever have legal action taken against you.
Consult with a lawyer, accountant or tax professional who can help you determine the best course of action to establish your business.
Insurance: $15
Wherever you will be conducting your lessons, make sure you are insured properly. For me, that means adding business liability insurance to my renter’s insurance policy. For my business, the policy runs about $15 per month.
Consult with your local insurance provider for the best plan for your situation.
Estimated Taxes: 25% of Your Income
From the very first dollar you make, plan to set aside 25% of your income into a high-yield savings account.
Pick a day each month to transfer that 25% of your previous month’s income into your tax savings account. Set it and forget it. Your next-year-self will thank me! Come tax time, many new business owners are shocked by the amount they end up owing the government at the end of the year. Don’t get slapped with a $1,500 tax bill next spring! Plan ahead and if you don’t need all of the money you set aside, then congratulations, you’ve just started a business emergency fund.
Tax Professional Services: $50
Self-employment tax, expense write-offs, home office deduction–oh my!
Unless you yourself have tax expertise, trust your taxes to a professional who can sort out all of your business income, expenses and all of the new Schedule C rules you never had to worry about before. And a good tax professional can save you literally thousands of dollars on your taxes and help you prevent an audit. That’s well worth the expense in my book.
Knowing that you’ll need a few hundred dollars come tax season, set aside about $50 a month in addition to your 25% tax allotment to cover professional tax filing services.
I have visited the same tax professional at my local H&R Block office for nearly a decade and having a familiar face on my side at tax time is well worth the hundreds of dollars I spend to have her take care of everything for me. Some business owners decide to hire a year-round accountant, but at the very least you’ll need to hire someone once a year to do your taxes.
Grand Total
Upfront Cost: $280
This is the total cost of supplies and LLC formation needed to get up and running. Note that these costs can vary quite substantially depending on your state and your individual needs.
Ongoing Monthly Subscriptions: $46
This is the monthly cost to cover your website and the MyMusicStaff platform.
Monthly Tax Savings: $50 + 25% of your income
This is the monthly amount you’ll set aside to have a stress-free tax time experience.
Conclusion
Starting a piano lesson studio is a very low-overhead, low-risk endeavor compared to most new businesses. You really can get started with under $500! Not many businesses can make that claim. And with just a few students, you’ll make back that money in a month’s time.
If you’re feeling overwhelmed by this list of starting expenses (or maybe it’s just the length of the to-do list that is scaring you off), join my 30-Day Challenge to get started. Each week, I’ll email two actionable small steps to help keep things easy and manageable.
Don’t worry! You’ll be a legitimate, profitable business owner in no time!
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