Author Archives: PoleDancer

Music Licensing

Music LicensingMusic Licensing: International law varies. In the USA if you will be playing licensed music (BMI,ASCAP, SESAC & SoundExchange in the USA, SOCAN in Canada, PPL in UK) you must pay a public performance fee to the organizations. The pole studio owner is responsible for the fees regardless of who or how the music was brought into the studio.  It is a myth that if you purchased a CD of music you can use it for pole classes or performances.

Another myth is that if you pay the proper licensing fees to the performing arts organizations that you are allowed to copy CD’s, cassettes or download music from wherever you like. That is also false. You have paid for the performance rights only. The copies of music recordings are mechanical rights. You need to obtain the recordings legally by purchasing the original CD’s, LP’s, one of the download services like iTunes, Google play store or Amazon. If you have a pole dance performer who wishes to use a song or piece of music you do not have, you should have the performer bring their legally purchased copy of music. There are music collections (either CD or for download) for fitness centers that have hit songs but recorded by other artists. This reduces the cost with purchasing the music. Some of the major bands and singers command a high price which translates in a high price for the consumer. There are also some music artists who will not sell their recordings for use at fitness centers. You can still purchase these artists’ original recordings and play in your business if the performance rights has been paid for.

US law states that you have purchased the music for private listening. Even music (Clickmix, Yes!, fitness Tunes, etc.) that provide music for fitness classes do not include the public performance license. There are services like Pandora for Business by DMX which state they have paid the fees for public performance but not that in the written terms that specifically excludes places that charge an admission fee. If you charge for a pole fitness class or pole party you are indeed charging for admission. These are have paid fees only if used say in a retail store or doctor’s office. Even a Pole studio must pay licensing for music played over TV or radio unless you meet both of these conditions:

1) Facility with less than 2000 square feet.
2) The music is broadcast by not more than 6 speakers, of which not more than 4 speakers are located in any room.

musicYour other option is to use License Free music. These will not be the hits but original music created specifically for this purpose. You pay a higher cost for the CD’s, Internet channel or service but it can be less expensive than the public performance fees. Realize that if you play one song from one of the performance rights organizations you are already responsible for the fees. The last option is music from local bands & musicians.

Often there are musicians who offer their own original music for playback simply for the exposure. They may not play live often or at all. Recording is often in their home although the quality of home recording equipment has advanced to the quality being equal to many classic record albums. You may need to place a poster with information within your studio. Rarely there is a small charge which could be equal to the cost of a single CD. There are no set rules so everyone does it differently. These people just want to get their music out there somewhere.

 

Starting a Pole Studio – Chapter 2

You should at this point have gone through the first dozen items on the checklist. You have especially your license, insurance and now location. Now it is time to start putting together your studio to accept students.

Designing Your Studio

Planning the arrangement of your studio should have the dual goals of being functional as well as attractive. It begins with the entryway. It should be inviting and “speak” as a pole studio. Could be as simple as some pictures on the wall. The room or area for poling needs to have spacing for all pole moves & spins that may be performed. The minimum recommended spacing is 6 feet pole to pole. If you may be adding more poles in the future, you may want to plan the spacing to keep space available for additional poles. Some studios reserve space for general fitness classes or chair dancing as well.

Mirrors are very helpful for pole dancing and general fitness. You can get large mirrors or mirror tiles to completely cover the walls. When starting your studio, to keep expenses low several hanging wall mirrors which can be simply on the ground work quite well. A couple of pole dancing posters will make it look like a pole dancing studio. Even some very busy & established studios have no more. You should have at least a couple of chairs as pole dancing can be too fatiguing for some people either because they are out of shape, in poor health or just overdoing it. They can be even inexpensive folding chairs and do not have to be in the same room as the poles.

You will also need a bathroom and changing area. They can be the same room. Some studios have converted a closet for changing. Still another simply added a curtain and chair at the end of a hallway. Whether shared or separate the bathroom & changing area must be cleaned at least once daily. The bathroom should be kept stocked with paper hand towels, toilet paper and soap. It should also have a toilet brush and a plunger for emergencies is recommended.

Classes & Class Schedule

Nearly all studios will find that the mornings of Monday through Saturday and evenings of Monday through Thursday are the most desirable for classes. The other times work well for private pole lessons or pole parties if you should also include them. Some studios found an evening only with Saturday morning schedule works well in the beginning. Evening class times should be no earlier than 5:00pm and end by 9:00pm.

Classes will need to be a combination of levels:
•Beginner •Intermediate •Advanced
As well as varying focus:
•Pole Dance •Fitness •Routines •Open Practice •Introduction •Floorwork

Initially most if not all of your classes should be Beginner or Intermediate levels. Even if some people state they are advanced pole dancers, you will need to perform some type of assessment to see what level they are. It also can be dangerous teaching some people moves at a level way beyond their capability. If you are one of the first pole studios in your area, you may find a shortage initially of experience pole dancers.

While you may consider pole dance the main focus, you will have to incorporate the others. Pole Fitness is not just for those looking to get fit. Some people who are new to pole would rather take a pole “fitness” class. Not everyone is about it being sexy. It is more socially acceptable and easier to tell family or friends they are taking a fitness class. Unfortunately the industry & society has a way to go before all of pole dance will be fully acceptable and without stereotypes. This is the reality we are in. Pole Fitness classes can be broken down to strength building and another for a cardiovascular workout. Making these classes fun is what often draws students to a pole studio for fitness rather than the local gym.
There will be dancers who have been learning pole moves & spins at home or elsewhere but now want to be able to put it all together into a routine or performance. A Routines class serves this and general combinations well although when starting this may be hard to fill. As your students progress, they can help fill this class.
Open practice is just that. For students who have taken other classes, this gives them time to practice be it mastering a new move from class, a specific technique or just some time on the pole. Many of these people do not have a pole at home. The instructor is present more for general assistance and should reserve new material for the classes. Many studios choose to include a five minute warmup to protect students from injuries with cold muscles.
Floorwork is often an area of disagreement within the pole world. Some believe it is a part of most pole dance classes. Others take it as an art form unto itself. It can also help serve as the first step into the world of pole dancing. There also are many experienced pole dancers who seek out floorwork instruction as they have spent so much time on moves & spins they are lacking in floorwork skills they need for performance.
Introduction classes are often the introduction of new students. Many studios even established, use them as a draw with monthly classes offered at a great discount or even free (one time). The idea for people that absolutely no experience, knowledge or physical ability is required to attend helps make up their mind to give it a try. Introduction classes can be used as a prerequisite for attending other classes so you can properly assess their ability. Many studios have this class for a shorter period of from 30-45 minutes.
There is one area of focus that falls under pole dancing but is mentioned separately as some studios do. The Burlesque, Naughty, Exotic or Stripper class. Whatever you call the class, it is a throwback to when pole dancing was mainly knowing for strippers and being sexy. Complete nudity is not advised and may be illegal in some areas. The trick for teaching any clothes removal without being naked is layers of clothes. Some of these sexy classes do not include advanced pole moves or inverting. Some may not include pole work except at a minimal level. Still others incorporate the stripper side as part of a routine. While not everyone’s cup of tea, there are some that see this as the next evolution in their poling ability.

Additional classes can of course include chair dancing, Lap dance, belly dance, Zumba, hoop and cardio dance. There are too many types of classes to list here. Some work well is some areas and not at all in others. Often there is a trial and error to seeing what classes will bring in students.

Go To: CHAPTER 3 

Leases

Commercial-Lease-Agreement-Template

CLICK HERE to view a sample Lease

A Lease for commercial space is vastly different than for (a house or apartment) residential. If you (the Lessee) have no experience or knowledge in this area than it might be very advantageous to work with a commercial real estate broker. A lease is a legal contract and once signed you will be fully obligated by its terms. On the positive side, the Lessor is also obligated. You may be negotiating the lease with someone other than the actual property owner. It could be a management or leasing company. It could also be a lessee that is now subleasing it to you in which case you will need to find out if they have the rights to do so.

The most important part of any lease is of course the amount of rent. Equally important is the term of the lease. If you are starting your pole business, you will want to keep the lease term to only a one or two year term. You do not want to be obligated to pay rent for several years if your business is unsuccessful and closes. It is possible in negotiations to build into the lease an option to renew. So as an example you might ask for a one year lease, with an option to renew for one or two years. The rent for the additional years will most likely include an increase. Through negotiations you will want to keep any increase minimal. You do not want surprises. If your business is successful, and you one day reach towards the end of the lease agreement, you will want to look for options. It is not unheard of when a new lease is offered that the lessor demands a large increase, possibly forcing you to relocate. So to restate you want to keep your initial commitment as short as possible though planning if your business is successful to remain without a significant increase in rent. When you receive the lease, you should consider bringing it to an experienced attorney that specializes in real estate.

The rental cost is normally per square foot. That is how to compare various locations even though they will be of different sizes. If the location has been empty for some time or is in need of some repair, they may offer a reduced rent. Conversely, if its in a very desirable, high traffic area, they might want a premium. the longer the term of the lease, the more negotiating you can do.

Look carefully for the amount of security that is needed. While there could be first & last month’s rent; it can include many other options increasing your startup costs. There may be an additional security deposit in addition to rent.

Within the lease will be specified who is responsible for what. There is no standard in this regard. Things like:

  • Roof repairs
  • Air Conditioning/Heating
  • Parking area & Grounds maintenance
  • Plumbing
  • Electrical
  • Outdoor Lighting
  • Entrance
  • Alarm Systems/Security
  • Security Gates

Now LeasingIf you have a rainstorm and water leaks into your facility, you will need to know whether to call the landlord or a roofer. You may need to keep cut grass and pickup the parking area. In fact the lease may specify that if you do not maintain properly you have violated the lease agreement and be subject to penalties or possible eviction. There are also many different state laws also that may regulate these things and a real estate attorney can advise you when signing the lease. You need to know the specifics as these will effect the amount of expenses your business will encounter.

Some leases especially located in a shopping plaza will have a fee called a Common Area Maintenance fee. These can be monthly, quarterly or yearly. The CAM fee will cover the cost of maintaining areas shared by all tenants. Grass cutting, parking lot, outdoor lighting and possibly roofing. On occasion these fees can go to a group operated by the tenants themselves and not the lessor. It is also possible these fee amounts may be subject to change at intervals less than your lease agreement. You will want to confirm how the fees are calculated. Usually they are by the square footage that is leased although have seen them by number of units/storefronts rented or a percentage of rent amount. There are individual fees that also may be found in the lease.

The lease will spell out who is responsible for regular service expenses such as:

  • Electric Service
  • Water
  • Sewer
  • Heating
  • Property Taxes

These expenses may be billed to you directly like most people have electrical service to their house. Each service may billed to the property owner for all tenants and split between each tenant. You will then want to know how that is calculated. The Lessee may charge tenants the property tax divided by each tenant, called a Net Lease. As property tax can be significant on commercial property, you will want to know if this is included in the monthly rent or additional.

A lease will detail that insurance be provided by you. You will need a proof of insurance delivered before occupying the space. The insurance normally needs to cover damage to the property/building itself and liability for injuries occurring on premises.They will tell you the amount of coverage they require. You will also want and need insurance covering the interior as well as the fixtures.

Some leases may have a limited hours of operation section. It may be specific hours of operation or mention abiding by the hours of operation for the facility. If your business will include late or early hours then you want to have that taken out if possible, have the hours specified changed or decide the lease will not suit your business.

The lease will specify what interior changes can be made. This will be in a section called “leasehold improvements.” Especially the basics like moving or adding walls. It can be as detailed as if changes are made are they kept permanent by the property owner or must be removed & repaired (to original condition) at the end of the lease. Mostly it is based on if the changes would be desirable for the next potential tenant. For a pole studio, that hardwood dance studio may not have value for a retail store so may need to be removed. If you are mounting poles for any purpose, will it be damage that is easily repaired? Often people fall into a trap of thinking a few small holes should not be an issue when they may be. You may want to add a section for expected changes to be acceptable by the lessor. It may also be the case where you add say an expensive bathroom vanity and it may have to be left at the end of the lease. It will also cover outdoors including signage. Do not take for granted that an outdoor sign used by the previous tenant is yours for the taking. The lease may specify the size and location of all signage. Discuss all of this before signing a lease to reduce later surprises.

There are several items that may not be in the lease as given to you but you may want them added in.

  1. Exclusivity. This is where the Lessor agrees not to rent space in the same complex or area to a business that may compete with your business. The lease should already have an area that defines how the space is to be used for your business. This is extremely important. Look at all the facets of your business. A pole dance studio that also focuses on fitness may not want a fitness center next door. This can also work in reverse if another tenant has an exclusivity that may keep you from a side of your business that competes. Without some sort of exclusivity clause, the property owner can lease to a direct competitor next door.
  2. Rehabilitation. In some cases the space being rented may be in poor condition that needs a number of repairs before a business could operate. If it is repairs you can perform, you may request a Rehabilitation clause to cover the cost of the repairs. This can be an allowance on the rent or an allowance & materials to be provided by the property owner. The benefit for you is building the space specifically to suit your purposes besides a break on the rent. Often the first thing a tenant does is redesign the space anyway. Consider carefully if the allowance and other benefits outweigh the expenses that will be encountered.
  3. Sublease. There are two instances where this can be important. If your business does not survive the lease period, this allows you to sublet the space to another business. If you have a three year lease and you close in the first year, this can ease the financial burden of the remaining time on the lease. You will have to play the part of the lessor but it can save you substantially. The second is if you find you have space unused. You may then want to either split or share space with another business. If you are a pole dance studio you may want to rent to a fitness or general dance business to share the space when you are not using it. Without a sublease clause you would be violating your lease.
  4. Bailout. Should there be some sort of disaster including a flood, tornado, drought, etc. that effects your facility, this allows you to bailout of your lease without penalty.
  5. Cotenancy. You may have rented space in a shopping plaza or center where the main form of traffic is a major store such as Sears, Target, etc. That store is the anchor store and should it close, move or change it will effect traffic around the shopping center. The cotenancy clause will allow you out of the lease to relocate. Some lessors will instead offer a reduction in rent for the period no anchor store exists.

It is your responsibility for all required licenses for operating your business from the location. There are also zoning laws which can come from federal, state, county or local ordinances. Never simply take the Lessor’s word for it. You are responsible and must perform the due diligence.

Lastly, it must be stressed again that if you have limited knowledge and/or experience with commercial leases we cannot recommend strongly enough working with a commercial real estate broker and retaining a real estate attorney.

Competition

The Pole Industry is still relatively young. Many long established business concepts are still only trickling into the Pole Biz. One concept is understanding competition. Many mistakenly believe competition is always bad for their business. The opposite is true.

Competition:

  1. Raises the standards of an entire industry.
  2. Forces improvements in quality of products and services.
  3. Acceptance of those products and services by the general public.
  4. Increases awareness.
  5. Decreases costs to consumers and related businesses.

It's about being the best!This all applies at the worldwide, national and local levels. If you are the manufacturer of poles or accessories, your competition will drive you to build better quality products and offer a higher level of customer support. While there will be an increase in expenses for Research & Development, it will be offset by the overall market increase. Often manufacturing costs will decrease as a byproduct of the R&D. It should be noted that when quality increases, so do sales by consumer confidence. LCD TV’s, computers, smartphones, all saw increased sales as a direct result of an increase in product quality driven by competition.

When a new pole dance studio opens across town from an existing studio it is a positive. It is a myth that the new studio is simply splitting the customer base of the first studio. It is more likely to increase the overall market for pole dance & fitness.

They will likely (if both are smart) be advertising in different places and have studio facilities with differing demographics. So the new studio should be reaching primarily a new market. There will also be greater local acceptance with pole no longer an isolated market. Just like a pole manufacturer, you may find an increase in overall customers for all the same reasons cited above. There will also be the same drive to increase quality of services & support. In all pole businesses it will be how you respond to the push from competition.

And the not so smart? Will try to do everything head to head and fail. Toyota never tried duplicating a Ford Taurus when it was the best selling car. Toyota beat them with the Camry. Neither Wendy’s or Burger King try to duplicate anything McDonald’s does. That leaves business for all three in the burger business. LA Fitness, 24 Hour Fitness, Curves, Planet Fitness, all operate fitness centers although each has different facilities and targets different audiences. They are not simply trying to split the same pie.

You need to respond to competition in a positive fashion. Improve your products, services & support. NOTE: If you try to react negatively it will hurt your own business! Doing any form of “bad mouthing” of your competition only makes you look bad. With today’s social media you will find that your comments will spread online and make its way back to your own customers possibly souring your relationship with them. It is better to instead say how your product or service is better and not how their’s is worse. If it is not better? Then you need to accept the drive to improve them.

In some cases you might have greater gains by working with your competition. Pole studios especially do not grasp the positives of working with other studios. In one case an established pole dance studio had a schedule mainly of private lessons and advanced level classes. They did not have room to add more beginner classes. The new studio had beginner pole instructors with much less experience. A perfect opportunity for each to leverage the other.

What makes you standout?The established studio was to send some beginner students they couldn’t accept to the new studio. While the new studio sent advanced students back. There was also some monetary provision set aside as well. (They just recently started this arrangement and will update in the future with results.) This has thus far increased business for each. This will again drive each to improve their services and facilities increasing their own business value. If the established studio is smart how they handle things and positions itself as the premiere studio, they should be able to command a higher rate for classes and private lessons. Not only than the other studio but more than before the new studio arrived on the scene. From there they should increase their business profits. As the new studios students get too advanced for their instructors they will need to move to the established studio. All because of the competition.

Competition can be a stroke of luck for your pole business.

Starting a Pole Studio – Chapter 1

In the Beginning…

Location, Location, Location!

In business there is the famous saying “Location, Location, Location! If you open a pole studio it needs to be accessible as well as have a local market large enough to supply students for your classes. Main street might be good and twenty miles from city central may not. Opening a studio of any type in Mulvane, Kansas may not be a great choice as it has a population of about 6,000. Unless its the pole dancing capital of the world, there will probably not be enough potential students. Even if you open in a large city you need to ask several questions. : How many potential students in the area? Driving distance? availability of public transportation? How many competitors? Demographics of the area? Type of other businesses in the area? Will your customers feel safe (physically, morally, etc.) in the area?

From general location there is the facility. There may be choices in the same area. Rent is usually the largest expense for a business. You will have to consider that often first. Normally rent is priced per square foot. For a pole studio you need to look at how much of the square footage is usable. To start you do not need many extra rooms or an extravagant entrance-way. A room or area for the poles, bathroom and a changing area. While some pole studios supply lockers, it is an expense that we do not recommend when starting. Showers are also a luxury and not only add expense but time in maintaining. Extra space that is not needed is simply wasted money. Keep it simple and expenses low.

When looking at a facility consider these conditions:

  • Support for Pole Setup/Installation
  • Dance Floor
  • Lighting or availability of adding
  • Furnishing to look attractive
  • Internet availability (if needed)
  • Outside Signage
  • Outside lighting
  • Parking
  • A/C/Heat and thermostat control
  • Acoustic Insulation

You will need to inquire at the start what changes you will be allowed to be made. Some lease agreements do not allow any modifications or must be subject to approval. Others allow modifications but they must be put back to original condition. Still, some leases will specify any changes are considered improvements and must remain when you vacate. You may need to decide on the type or brand of poles you can use based on the lease. Commercial leases can be much more restrictive than residential leases. Outdoor signage may be dictated by the lease or may be superseded by local zoning. You can ask but you may need to phone the department that handles zoning. While you are on the phone you will also want to ask that your business is an “acceptable use” for the building’s zoning. You could lock yourself into a lease only to find you can not have pole parties or even a pole studio. Unfortunately there is still in some areas a stigma with pole dancing regarding community standards. We have found a few locations where pole dancing even if a school is considered an adult business and subject to the same restrictions. The thermostat control is important as some have a single thermostat covering several storefronts. How would your students feel if the person controlling that thermostat keeps it at 80 degrees year-round? Some commercial buildings also have limits on the AC & heat especially if utilities are included. Acoustic insulation is often missed. Most pole studios and of course pole parties wish to play music at a fairly high level. That might be an issue if the sound bleeds to adjacent facilities. It also works in the reverse, so make sure you do not hear from the other storefronts or offices. Before signing a lease, play a radio loud and have someone in an adjacent facility and also outside to make sure you will have privacy.

Leases are usually open to some negotiation. The longer the facility has been empty, the more negotiable it will be. A longer lease should fetch a lower rent. Shorter lease might be a higher rate but remember if you close the business you will be responsible for the entire length of the lease. If there is a lot of fixing up to do, you might ask for an allowance for that cost. Never hurts to ask! Even the restrictions on modifications like for your poles can usually be negotiated. Your lease will nearly always state the use of the facility. Referring back to the list at the top, you may want to get all of them listed. You may not want pole parties at the start but for some pole studios, parties earn more per hour than anything else. Why restrict your future business? In response, the lease may specify no alcohol or limited hours. You do not want the alcohol and you will have to determine yourself if the hours of operation are acceptable. If you are not real familiar with commercial leases, it might be worth it to have an attorney or paralegal read it before signing.

At this point you may discover that the rent is not within your businesses budget. It is much more advantageous to have your own facility. That gives you an open schedule and more flexibility in studio design, configuration, type of classes and too many other things to list. But if it is not in the budget then you need to look at options.

You can work with another facility and still retain a separate business.  Working with a fitness center, gym, cardio studio, dance studio is all possible. You will again need to consider most of the same factors as your own facility. Even restrictions on modifications, local zoning, etc. If the room you will be using for poling will also be used for other purposes, remember changes to accommodate poles may impact the other activities. You will want to get an agreement in writing. Investing the startup costs and finding someone changed their mind or disagreed could be devastating. You will also have to consider responsibility for your equipment that is left in someone else’s facility. If the facility is part of a franchise you may need to read their franchise agreement or contact the franchise directly.

You can work with another facility as directly renting space per day or per hour. Subcontracting from them to operate pole fitness classes, being paid per student or per class as an instructor. There is an advantage in that you can leverage their existing members or students.

Its all in the Name!

Your name is not the most important thing in business except to the owner. There are some considerations to be made.

  1. Branding. Choose a unique name not just to the pole world. Branding is your identity. Especially in the beginning you want to be easy to find. Since so much is found through the Internet a unique name will help you be found. It will also be with you for many years.
  2. Easy to remember. If people have to refer to your business as the studio on main street, you are just making things difficult.
  3. Easy to spell.

Go To: CHAPTER 2

Starting a Pole Studio – Preface

PREFACE:

For many pole dancers, they look to teaching others as the next level in their own evolution. This can be from an instructor at a fitness center or owning their own pole businesses which can be one of several types:

  • Pole Dance Studio
  • Pole Fitness Gym
  • Subcontract at Fitness Center
  • On-line Instructor
  • Pole Parties

In some cases your business may be a combination of one or more of these. You may have a pole studio that also does pole parties. What type of business you have will be dicated by many factors:

  • Your Local Market
  • Facility
  • Lease Agreement
  • Budget
  • Insurance Coverage
  • Licensing
  • Many More!

Again it must be stressed how important a business plan is and general planning & research before you even file for a business license. That discovery process may not define your type of pole business but may define how to approach the type of business.

While you create your business plan, you will undoubtly focus towards the first stage of your business. Still it is equally important to plan for later stages. You may think it as simple as needing X number of students for $X per class. This may bring you a reasonable income. If an income is all you seek you might be better off with a job working for someone else. A paycheck employee does not normally deal with the inevitable ups & downs of business. In business reality, students will come & go. Expenses will increase directly affecting your income. To build a business that will prosper for the long-term you need constant growth.

One common mistake for pole studios seems to be the belief that only financial resources are needed to open a studio. Another example where a business plan would help. Money does not solve all issues. From a proper facility, poles, accountant, even people and a computer all are also  among the building blocks of a pole business. People are the most important resource than money. You will need someone for something almost every step of the way. Often it will be for a second opinion, helping hand. or the right professional, Attorney, accountant, carpenter, etc.

Starting any business takes a commitment of time. Many Pole studios start on a part-time business with a full-time job. If you do not have the financial resources to support yourself until the business is truly profitable, you should keep your current job. Often there are ways to work around your work schedule. You might even consider hiring an instructor for the hours you work your job. Do realize that the pole business will take a significant investment in time. To work a full or even part-time job and operate a successful pole studio will mean little room for a personal life or catching your favorite TV shows.

Business is always a learning experience. Business success at any point does not guarantee future success. At one time Woolworth (in the USA) was the largest retailer. Oldsmobile was the largest car company. Admiral with televisions. Business is not easy. It also must be states that ther are no experts in business. You are not today driving to Woolworth’s in your brand new Oldsmobile to buy a new Admiral TV because there are no experts in business. You will make mistakes in your pole business. Will you learn and grow from those mistakes? That is what separates the winners from the losers. We provide you here the concepts, guidelines, positive & negative experiences of a pole business. You still need to research and apply to your marketplace and business plan. Even what worked for a successful pole studio in Los Angeles, can not be totally duplicated in Huntsville, Alabama. There are several pole studio franchises and even they cannot guarantee a successful pole business. You need to build a plan around your own pole business.

As this “book” moves into its chapters, we will focus on building the Pole Studio business. We have other articles on this website that relate to small business. Please read those as well. You will still need a business license, bank account, a way of accepting payments and other items tangible and not, before you can open the doors to your new pole Studio.

Go To: CHAPTER 1

Pole Studio Checklist

Below is a list for Starting a Pole Dance Studio. Some items are essential for any pole studio. Some are recommendations. While still others can be added later as needed or within the budget. It is not only physical items but items to help in planning what steps and expenses you will encounter. It is not simply a space and some poles.

  1. Fictitious Name:  If you will be using anything other than only your real personal name, you will need to file for a “Fictitious Name. ” It is also called a “Doing Business As” (DBA) name.  When you first form a business, the legal name of that business is the name of the person or entity that owns the business, unless you choose to rename it and register it as a DBA name. There are a couple of US states and countries that do not require this. If you are a corporation forming a business the corporation name will be the business name unless you file for a fictitious name. A search will be made to assure there are no other businesses already using the name. In the US this search is by state. For Federal name protection you would need to file for a Trademark.
  2. Business License: You will need a business license. Some phone calls and/or and Internet search will need to be done by you. Business license vary greatly by country, state, county and city. Each of those government offices may require separate licenses. In most locations you may just need a local (City or County) business license. There is a small annual fee. If you will be using a fictitious name, make sure to have completed the above step. Banks cannot open a bank account for a fictitious name without a business license using that name.
  3. Federal Tax Identification Number: If you will be running your business as anything but a sole proprietorship you will need a Federal Tax Identification Number also called an Employer Identification Number (EIN). This takes the place of a social security number (SSN) when filing anything tax related in the USA. You can file for it on the IRS.gov website.
  4. Incorporation: While you could operate as a sole proprietorship, you may elect to form a corporation. Formal incorporation as opposed to a sole proprietorship or partnership is a consideration for pole studios although for some, this can be done in the future. There is a cost involved which varies by the state of incorporation. While there are benefits to a corporation there are also drawbacks. Corporations do provide protection for your personal assets when the business is sued but be aware that does not necessarily keep you from personally being sued as well which then would include your assets. (See Separate Incorporation Article)
  5. Health Permit: In some localities a fitness center can be subject to health inspections. When filing for a business license they should inform you if one is required. Often a health permit is only needed when some form of drinks, food or childcare is provided.
  6. Lease (Facility): You will need a location for your studio even if in your home. NOTE: That many localities may not allow operating a business such as a pole studio in the home. If leasing the facility be it a store in a shopping plaza; stand-alone building; industrial park or sub-letting inside another facility a lease will be required. Your lease will most likely be your largest expenses for your business.  If you do not have experience with dealing & negotiating with commercial leases, it is highly recommended to use a Commercial Real Estate broker and/or an attorney that specializes in real estate. You will locked into a lease for an extended period of from one to many years. That means expenses which can offer surprises and the rules of your business location that cannot be changed later on. (See Article on Leases & Facilities)
  7. Insurance: You will need insurance. It is for the protection of your business and yourself. (See Article on Insurance)
  8. Payment System: This will be covered in detail in another article. You will need some system of accepting payments for Cash, Checks and Credit Cards. Whether an online processor (Paypal, Square, Google Checkout), mobile credit card processing or merchant account through your bank.  Rates will vary from less than half a percent to as much as 15% of the transaction as well as other fees. That is money out of your profits and pocket. NOTE: Online processors tend to have a higher number of consumer chargebacks. A lot of those is due to people not realizing what the charge is for as their credit card statement will show the processor and not your business name.
  9. Accounting System: Even if you retain an accountant you will need to keep track of Income and expenses. There are books for old style entry or software applications like Quicken. You need to know what is coming in and going out. (See Article on Balance Sheet)
  10. Outside Signage: You need customers and more importantly potential customers to find your business. Signage is also a form of advertising. Most small businesses find that a percentage of their new customers discovered them through outside signage. It may be a complex lighted neon sign, a painted wood sign or a vinyl banner tied up by rope. It should state the business name and possibly a slogan, logo and/or description. A slogan or description is no passerby’s know what kind of service you are offering. There are still people who have some familiarity with pole dancing but do not know what a pole studio is. You may want to consider a phone number or website address as well.
  11. Poles:  It would be a little bit difficult to open a pole studio without at least one pole 🙄  How many poles will reflect your research on potential customer base. Many small studios have started with 3-4 poles and several have started with two poles. The important consideration is if space allows, you can always add more poles later as business increases. Not only do more poles equate to higher expense but also more time to maintaining. It is recommended to start with the smallest number possible. Until you actually have the customers in the studio, you will learn what pole finishes, and diameter they prefer. You may also order a model from one company only to find it does not work well for you. One studio we spoke with said they needed poles that could come down each day. They found the semi-permanent poles that could “come down in minutes” equated to almost two hours setup and two hours takedown for all eight poles. Start small and build up. (See Article on Poles)
  12. Dance Floor: The existing floor may be sufficient for business startup. If not you will need to one installed. You will need to check with your lease if their are limitations on such a change and also whether improvements such as this remain when you vacate the premises. If you allow shoes with a stiletto heel. you will need a higher quality flooring. Remember there will be excessive use in specific areas of the floor. Most residential type flooring will not stand up for long under that use.
  13. Mirrors: Nearly all pole studios have some kind of mirroring even in a shared facility. While many want large mirrors across the walls, at business startup some large wall or door mirrors can work quite well. Like many things, you can always add later.
  14. Wall Decorations: An environment that is attractive and conducive to pole dancing or fitness should be provided. Simple posters of pole dancers possibly with an inexpensive frame are seen even at many established pole dance studios. A little creativity goes a long way.
  15. Lighting: Adequate lighting provides two benefits.  First is visibility to see instructor demonstrations of moves. Students can then clearly see body contact points with the pole. The instructor can also watch the students clearly for their actions. Shadows caused by lighting in one direction makes this difficult. The second benefit is in photography. At some point nearly all pole studios do some video or still photography in the studio. Having at least basic good lighting will make a world of difference. Most poor quality video and pictures is due more to bad lighting than the cameras. Some studios may have pole parties and colored lights help create the right ambiance.  These do not have to be expensive. There are companies like Chauvet and American DJ that provide good and reliable lighting at reasonable prices. Be sure to purchase spare bulbs/LED’s. We recommend LED’s and not bulbs for lighting whenever possible for safety reasons. (See Article on Photography)
  16. Crash Mats: There are many type of crash mats and there is always at some point where they may be needed. Some pole students it helps for moral support early on. Maybe you remember your first time inverting? Most small studios have a single crash mat that is shared when needed. Your experience & reviews elsewhere should help with the brand, thickness & width of the crash mat. Some studios have two mats with different thicknesses as 5″ and thicker mats are difficult to walk on.
  17. Alarm & Monitoring: Depending on the location of your studio facility you may want an alarm system to protect not only the contents but your business. If the studio is damaged or equipment is stolen you will not be able to have classes or parties. An alarm system will often reduce your insurance.
  18. Pole Certification: While there is no legal requirement in most areas it does help to give credibility to instructors and studios to be certified pole instructors. There are literally over a hundred pole instructor certifications! Some seem to only focus on knowing how to perform certain pole dance moves with virtually nothing covering the actual teaching. The best instructor certification actually teaches you to teach others besides any test. (See Article on Pole Certifications)
  19. Music Licensing: If you will be playing licensed music you must pay a public performance fee to the music performing rights organizations. The pole studio owner is responsible for the fees regardless of who or how the music was brought into the studio. The fines can be substantial for violation. (See Article on Music Licensing)
  20. Advertising: Once you open your Pole Studio, you need students and customers! Advertising is how you reach those potential customers. Advertising can be everything from word-of-mouth to television commercials. The first start is with business cards. Even with today’s technology they are still inexpensive and yet can reach many people. A box of 500 cards can be not only handed out to a single person but placed on bulletin boards where many people will see it reaching thousands of people. Without advertising and marketing of your business, you will have no business. Please read the separate article on advertising as well. (See Article on Advertising)
  21. Website: While not every pole studio needs a website, they should have some sort of Internet presence. A website though is an incredible marketing tool and should be considered. The cost can be kept fairly low but achieve a high return on that investment.  (See Article on Internet Marketing)
  22. Computer & Printer: A computer will be needed for sales transactions, printing receipts and online communication. If you have a laptop you already own, you could bring it to your studio instead of a separate purchase. You will need a printer as they tend not to travel well.
  23. Checking Account & Checks: There is more to this than it sounds. You will want a commercial bank. As your business grows you will need more services that only a commercial bank can provide. Should you at some point want financing (a loan), having a relationship with the bank helps a hundred fold. Take your time and find one that provides all the services you need and at reasonable fees. Commercial accounts are different than personal accounts. Some banks have added fees that could cost you even for deposits, every check/transaction and monthly just for having the account. A local commercial bank may provide more service than the large internationals. Compare.
  24. Cleaning Supplies: You will want to maintain your studio clean, safe and attractive. Window, spray, floor cleaners. Sponges, a broom, dustpan, garbage cans & mop. Some microfiber cloths & alcohol to clean the poles. People need to feel comfortable & safe in your studio. Cleanliness is what go by.
  25. Consumables: Soap, Hand Sanitizers, Paper towels, Toilet paper. Its the simple things but  you will have to have them. Try the large bottles of hand santizer found at the box stores. One for in front and the other next to the poles. It is good if students see you using it regularly whether you need it or not. In the germophobic society we are in, people tend to be even more comfortable when the owner is careful.
  26. Refrigerator: Not a must have especially when starting but even many small studios will have a small refrigerator to hold water bottles. Whether you supply for students or just yourself, it is good to keep hydrated during & after poling. Also handy if bring lunch from home.
  27. Spare Clothes: You will not know how important this is until you need them.
  28. First Aid Kit: This is a must have. It can be an inexpensive one that contains the basics. One addition you should make is an eye wash kit. They are minimal cost though important for quick relief from many eye issues even often sweat.
  29. AED/Defibrillator: This may be required by local zoning or your insurance policy. It would then also require someone onsite that is certified to use one. They can be an expensive item of over a thousand dollars. If its a required item you may also then need AED signage and cabinet. Most fitness certifications require CPR & AED certification.
  30. Fire Extinguisher: Smokey the Bear says “Only you can prevent business fires!” or something like that.
  31. Radio or Music Player: If you are playing music (no matter the source) you will need some way to play it. It can be a boombox, mobile device with bluetooth speakers, a small PA or some device plugged into a guitar amp. As long as it provides the loudness you want at an acceptable quality.
  32. Camera: At some point you will need or want to take video or still pictures of yourself and/or students. This can be more complicated than people realize. While most still cameras take video, it is not what they are designed for. Same goes for video cameras. Actual type of use can dictate what type of camera and how much to spend. When first starting your phones camera or even a webcam may suffice. Would consider this a purchase after you have established business a bit. Proper lighting can make even a smartphone’s camera look decent. (See Article on Photography)
  33. Exercise Bands: Even just from the local sports store can suffice initially. Exercise Bands are used in pole dance studios for more than exercise. They can be a good tool in evaluating new students for their strength level. Some students will want to perform moves that are beyond their physical capability. It is your responsibility to see they do not injure themselves. An exercise band can help determine if you should be teaching that move.
  34. Toolbox: At some point you may need one of these tools for minor repairs. Most you can pick up at the dollar stores.
  • Level
  • Straight-edge
  • Screwdrivers
  • Pliers
  • Hammer
  • Scissors
  • Duct Tape
  • Flashlights
  • Tape Measure
  • Calculator

Have any suggestions to this list? CONTACT US!

Pole Studio Insurance

If you are going to have a business you will need insurance. Pole Studios and the like have a greater need for insurance. You need insurance as your lease probably requires it. You will want it to protect you if someone is injured or there is physical damage to your premises. Even as an independent Pole Dance Instructor you need insurance.

Business insuranceInsurance cost will be determined by several factors including the physical size of the facility, your annual revenue, type of equipment and services offered. If you also do training or pole parties off-site that will have to be included or done a as rider to the policy. As important it is to know what is covered by your insurance policy, it can be more important to know what is not covered. You may find you will need to have three separate policies. One insuring the premises and another for liability and yet another as an instructor.

There are many insurance companies. Not all of which can offer insurance to pole studios or fitness centers. Each insurance company also writes their policies differently so you will need to do your own due diligence to be sure you are getting the coverage your business requires. Most major and some minor insurance companies offer insurance for fitness studios and gyms. That is not normally coverage for many activities and equipment of a pole studio! You do not need a company that specializes in pole dancing but make sure the coverage is there even if it is a major company. Some companies such as Nationwide Insurance classify pole dance the same as a Gymnastics Studio. The difference we are told is because of aerial movements as opposed to movements only on the ground.  

When you look at coverage realize this. If someone has a permanent injury during a pole class and successfully sues for $250,000 and your insurance policy includes coverage for that specific type of injury for $50,000, guess who comes up with the extra $200,000? The point is a cheap policy with lower coverage is just a cheap policy. It may not protect you when its needed. Would you buy a new Lexus for $50,000 and only get insurance for damage of $2000? Of course not. You need to protect your business, your employees, your students and even yourself. Many think making your business a corporation completely protects from all lawsuits and legal responsibilities. That is untrue. If you are found to be responsible directly or indirectly than you can also be held financially responsible. A bargain insurance policy is not a bargain.

If you are leasing or sharing space from a fitness center, gym or another facility, that usually does not exclude you from carrying your own insurance. You will need to check with their insurance agent or read their actual policy to see what if any coverage is carried-over to you.. At the least you will want to carry general liability coverage for yourself regardless. This also carries to teaching pole at your home or a student’s home.

Liability Coverage

  1. General Liability: bodily injury & property damage your studio may responsible for. That can include equipment, products, operations or even while walking in your facility. If someone trips while walking through your doorway, general liability will cover this.
  2. Professional liability: This deals with any injuries or damage caused by yourself in the role of pole instructor or employees of yours. For instance, if while teaching a pole move a student gets injured or contracts some medical condition. You may need either additional coverage or a rider for any pole instructors or fitness trainers as 1099 sub-contractors. You may wish to elect to only hire contractors that have their insurance policy. Be sure then to actually see their Certificate of insurance in writing.
  3. Personal and advertising injury coverage, which covers copyright infringement, libel and slander

Property Coverage

  1.  This covers damage to your studio facility itself. The damage could be caused by fire, theft or vandalism.
  2. Weather conditions vary by geographic area. Flooding may require a separate policy. Weather including wind may be additional coverage or a no cost inclusion
  3. Since 9/11 insurance companies will offer you Terrorism Insurance. Like other forms of insurance the cost is based on risk. A low risk location may be less than fifty dollars. A high risk in a major city could be several times that. You can purchase it or choose to opt-out.
  4. If you perform pole parties or teach at someone’s home you will need specific coverage. Setting up a pole and damaging you can be held responsible, waiver or no waiver.

Additional Coverage

There are several areas of additional insurance coverage that a pole studio may want to consider.

  1. Participant liability and accidental medical: If you have or sponsor pole competitions, this covers the participants. You will need to question your insurance agent whether this is needed or included. Normally this coverage protects yourself, your staff and participants while traveling to/from the competition as well as the event itself. This may apply for pole parties as well.
  2. Spectator Coverage: Again, if you hold or sponsor pole competitions. This provides liability only coverage for spectators during the event for injuries or property damage.
  3. Supplemental insurance: This is for liability coverage that is outside the scope of the main policy. If you provide services such as tanning, massages, skin care, saunas or anything else beyond the normal policy coverage you will need this. As insurance costs ever increase, you can see why some of the additional services are no longer offered at not only pole studios but fitness centers & gyms.
  4. Workers Compensation may be needed like any business owner.

BOP

BOP stands for Business Owners Policy. It is an insurance package for a small business that provides a type of umbrella policy often at reduced cost. If you have a small business this may be an option for you. Still, there will be specific coverage needed for every pole studio to make BOP work for you. Also as mentioned above, you need to inquire specifics as to what is not included. Two pole studios we spoke with had BOP policies and after we spoke they found they needed to change to the policies as outlined above. Poles and pole dancing was outside of the BOP coverage for them. The cost to add all required coverage to the BOP policies would have made their policies more expensive. While licensed insurance agents are supposed to assist you with getting the coverage you need, most have little knowledge about pole dancing and pole fitness. You may have to provide some education to help them, help you. Having the wrong coverage can leave you and your company exposed.

Pole Instructor Coverage

Whether am independent instructor or teaching at your own studio owner you should have instructor insurance. It should be included in an overall studio policy but it may not. There are some that have fitness trainer insurance (obtained either independently or through organizations like AFAA, ACE, etc.) but these do not cover pole dancing. The reason given is often that of being more than six months off the ground and inverted.

There are many insurance companies that can provide pole dance instructor insurance. You do not need one directly involved in the pole industry. There are some agents selling pole instructor insurance with limited coverage well below what is needed in the real world. These typically carry lower premiums but should you have a claim may still find yourself seriously debt. Always compare coverage on all policies. You also like all insurance policies confirm how long they have been in service.
You will find some conditions placed on instructor policies such as:

  • Adequate Matting/Padding being utilized
  • No Alcohol use allowed
  • Instructor always present to spot for students
  • Maximum height to be allowed

Some pole instructor policies contain clauses not allowing inverts or high heel shoes even though they are sold specific to the pole industry. In addition to poling, there normally will be additional riders required for things like hoops, silks, other aerial moves or fitness instruction including yoga, zumba, etc. As most pole dance certifications are not fully recognized by government or international sanctioning bodies, they also rarely have any requirement for instructor insurance. A small few ask for a fitness certification like ACE, AFAA, NASM, etc. Many do now require CPR and possibly AED certification.

Your Risk

Small Biz insuranceYou need to be proactive to decrease your exposure to liability. Many think a signed waiver is all you need. That is totally false. If someone is injured in your studio there is nothing including a signed waiver to keep a lawsuit from happening. A waiver is simply that you notified that some risk exists. Many successful lawsuits were against facilities with signed waivers.

You also should be sure to have a valid certification in the area you or employees are working in.  Whether yourself or someone else you should always have someone on premises with CPR and AED ( defibrillator) certification.  That means you may need to invest in AED equipment and keep it maintained.

Any all equipment needs to be inspected regularly. Many pole studios we have found have not performed any type of real inspection to their poles since they were installed. Equipment failure especially from lack of maintenance is a classic lawsuit. It takes only one issue, one time to force you out of business. Check for slippery floors, proper lighting and every other potential accident. Accidents do happen but if you perform proper checks, inspections & maintenance then not only do you reduce the chances of accidents but have a defense when accidents happen.

Add-on Revenue

Ever notice that next to the checkout of almost any store are cheap items? Grocery & convenience stores have bubblegum, batteries, magazines. An auto parts store will have pocket knives & small tools. Hardware stores will have batteries & bottled water. A fitness center selling t-shirts, towels & supplements. Small compared to most of the purchases in the rest of those stores & businesses but significant nonetheless. They are examples of add-on purchases.

A business always wants to grow. The most important growth area is revenue. The average transaction at a supermarket is $30. The small items at the checkout can add as much has ten percent. How would you like to add ten percent in revenue to your business? Now I should have your attention.

(We will expand on this topic in the future)

Examples of Add-On Items

  • Poles
  • T-Shirts & Hats
  • Logo’d clothes, mugs & bags
  • Grip Aids
  • DVD’s
  • Books
  • Pole Clothes
  • Crash Mats
  • Shoes
  • Fitness Equipment
  • Fitness Supplements
  • Pole related Novelties

The Pricing Game

You may charge $20 per pole class. As classes are not filled you decide dropping the price to $15 will fill the classes. Should you have to fill classes again or a competitior lowers their price, will you drop prices to $10, half of your starting price?  This is an example of the The Pricing GamePricing Game.

You can reach a point where your pricing with full classes does not cover your business expenses.

Pricing like most things in business requires research and planning. Pricing should never only be a reflection of other studios or a lack of current customers. While your pricing might end up being less than competitors, you must consider many items.

 

 

  • Distance to Competing Classes
  • Quality of Instructors
  • Length of Classes
  • Additional Materials Provided
  • Quality of Studio Facility
  • Number of Poles per Student
  • Quality of Poles
  • Parking
  • Access to Public Transportation
  • Community Reputation

If you think competitors prices always dictate your price, you are not in control of your own business. Mercedes-Benz, Lexus & Rolls Royce are not playing the pricing game yet are very profitable businesses. For the Rolls Royce of Pole Studios your students will pay for the quality. Of course you must be realistic. You might think you are the best but if that is not known and communicated to potential students they will not pay a premium. Mercedes-Benz sold the first automobile back in 1888 but it took them many years to build the reputation for quality they now enjoy. It should not take you years if you market your business well. If you studio does not offer the high end of the above listed items you must also consider that in your pricing strategy.

Prices must also be sufficient to cover the expenses of the classes. That is all expenses: percentage of rent, electric, advertising, equipment, etc. Do not forget to include the all important instructor even if that instructor is yourself! You are not in business to lose money. Your time is money.  If your pricing makes you work for free, then why are you in business?