If you are passionate about helping people transform their lives, you can start a coaching business with a small investment and earn a handsome amount of money. The process of starting a coaching business, however, isn’t as simple and straightforward as it seems. It requires you to carefully think about a niche, acquire certification, gain a lot of knowledge, develop your skills, identify and target your potential clients, and much more.
Let’s look at how big the coaching industry is and how you can start a coaching business.
Coaching is a big business and the industry is booming
The International Coaching Federation (ICF) states in a study that the coaching industry has become a billion-dollar industry. It is growing quite rapidly and has recently recorded a record annual growth of 2.2% on average for the past five years. There are above fifty thousand coaches in practice and the number is expected to grow in coming years.
The global revenue of the coaching industry is about to hit the $3 billion mark. Although competition is intense, coaches earn an average annual income between $25,000 to $75,000. The average annual income varies according to factors like specialty, niche, location, and demand. On average, a coach would earn about $51,000 per year — some highly qualified professionals even make $100,000 or more. These figures clearly show the great potential of coaching.
How to start a coaching business?
Starting a coaching business requires taking the most important steps. The first of which being choosing a coaching niche you’ll love to make money in and how well it will do in the current market.
Next you need to take the time to do some research. Check out what is and isn’t available in the surrounding market. Once you have found something that is not readily available, then you should take the time to determine if there is a high demand for such things. A business may be the greatest thing since sliced bread but if there is very little if any demand for the products or services that you plan to offer, then it serves no purpose.
For instance, maybe you discover that there is no health coaching within your area. This could mean something but what if residents value spiritual health more than physical fitness? Then you have something that is not in demand in the area even though it does not maintain any kind of presence. This is where you can do well with some very in-depth research. Maybe ask around and see what other people believe as far as needed. Their input could be invaluable.
Once you have devised the type of coaching business you plan to start, you need to come up with a business plan. This is nothing more than a set of rules that will be the guide for your coaching business. A business plan is something that most financial institutions or investors will want to see before they agree to any kind of financing. This will offer them a peace of mind when they are giving you large amounts of money to finance the operation. All in all, you will need to spend at least a couple of months in research before you venture out into the world with your business plan.
Figuring out how to start a coaching business isn’t the hard part. The hard part is putting in the work to make it happen. There is just so much to do before you can make your business succeed. You need to plan it out financially, get business partners, investors or loans, and find an appropriate location to set up shop. You have to advertise your business, make business connections, and ensure that you have paying clients. No matter what you do, there is one key and one key only to how to start a coaching business: dedication. With dedication, you can turn the impossible into possible and make your business a success.
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Writer, Coaches Training Blog community