How good is your location?
This is an excellent way to take the emotion out of choosing a location.
Circle the answer that applies to your situation, and then add your total score at the end.
1) Do you have a Best Buy, Sears, or well-known food or drug store in the same center as your studio?
a) Yes –10
b) No – 0
2) Is your studio in the main body of the center?
a) Close to the busiest store in the center. – 10
b) On the same side, but not close. – 5
c) Not on the same side. – 2
d) Not applicable, or no store that is busy. – 0
3) Does your studio face a street?
a) Major street. – 10
b) Minor street. – 5
c) Does not face street. – 0
4) Can your window be seen from the street?
a) Easy to see all of it. – 10
b) Can see some of it. – 5
c) Can see none of it. – 0
5) Is there another business that draws a large amount of parents and other people from your main target markets into your center, such as a dance studio, bank, or deli?
a) Yes – 10
b) No – 5
6) Does the center have access from both sides of the street?
a) Yes – 10
b) No – 0
7) Is there always lots of parking available?
a) Always lots. – 10
b) Usually lots. – 5
c) Sometimes not much. – 2
d) Very little. – 0
8) Is there a major fast food chain in your center?
a) McDonalds, Burger King, KFC, etc. – 10
b) Denny’s, Perkins, Shoney’s. – 5
c) Local chain, not national. – 2
d) None. – 0
9) Are there any other full-time commercial martial arts studios with in a two-mile circle from your location?
a) None. – 10
b) One. – 5
c) Two. – 2
d) Three. – 0
10) Do you have a large marquee-type sign on the street?
a) Large marquee sign with great visibility. – 10
b) Good-sized sign with good visibility. – 5
c) OK sign and visibility. – 2
d) No sign, or very poor visibility. – 0
11) Are there lots of people within a three-mile radius of your studio? (Go – 5-7 miles if your area is very rural.)
a) 40,000+ – 10
b) 30,000 – 5
c) 20,000 – 2
d) Less than – 10,000 – 0
12) Is your studio location surrounded by houses?
a) Houses on all four sides. – 10
b) Houses on three sides. – 5
c) Houses on two sides. – 2
d) No houses around the studio. – 0
13) Is there a major draw directly opposite your studio that would be a benefit to you in terms of visibility?
a) Yes – they must see my studio as they leave. – 10
b) Yes – they may see my studio. – 5
c) No – 0
14) Is there a school close to your studio?
a) Half a mile to a mile. – 10
b) A mile to two miles. – 5
c) No – 2
15) What is the makeup of your center?
a) Retail only. – 10
b) Retail plus offices. – 5
c) Industrial area. – 2
16) What is the income of your market area?
a) Middle income. – 10
b) High income. – 5
c) Low income. – 2
d) Poor. – 0
17) What is the average age of adults in your area?
a) Young adults 20-35. – 10
b) Middle aged adults 36- 55. – 5
c) Older adults – 56+. – 2
18) What is your total rent amount per sq. foot?
a) Under one dollar per sq. foot. – 10
b) Under two dollars per sq. foot. – 5
c) Under three dollars per sq. foot. – 2
d) Over three dollars per sq. foot. – 0
Your total score:
140+. Your location is excellent. You can spend much less on advertising, because so much traffic comes by each day.
Score 120-139. Your location is good. You may have to spend an average amount of money on advertising. That is typically 10% of gross.
Score 95-119. Your location is average. You must spend a little extra on advertising to attract more students to your studio. Keep on the lookout for a better location, should one become available.
Score 89 or less. Your location is poor. Start looking for another location now.
This is an excellent evaluation of a location’s potential. However, there some schools that fail this test miserably still do well. That is the X Factor, and the X factor is you and your teaching skills.
Besides, entrepreneurship exists in varying shades of gray. If it were just black and white, we’d all be on Easy Street. Still, there is no doubt that having a school in a densely populated area will give you more potential students than in a sparsely populated area.