Skills Training Business

How Much Does It Cost To Start A Skills Training Business? (In 2024)

Pat Walls

•

Updated: October 5th, 2024

Looking to start a skills training business?

But curious about:

how much it costs to start a skills training business?
what are the typical skills training business startup costs?
or the actual cost of starting skills training businesses?

Well, we have the data to prove it, supported by real skills training businesses and how much they actually cost to start.

Let's go over it.

What is the average cost of starting a skills training business?

Based on our data reported by actual skills training business founders, the average cost of starting a skills training business is between $109 and $35,000.

Additionally, our data shows that the the median startup costs for a skills training business are around $2K.

Remember, though, not all skills training businesses are the same - and neither are people's budgets. It's important to distinguish between different levels or types of skills training businesses

Real World Examples: How much does it cost to start a skills training business?

We asked real skills training business founders and business owners how much it actually cost to get started?

Here is what they said:

Sumit Bansal

Founder of TrumpExcel.com ($10K/month)

"Since I had absolutely no idea about how to get a domain name, how to get hosting and install WordPress, I did the only thing that I could - I copied what other sites in my niche were doing. I got my domain and shared hosting from GoDaddy and started learning about blogging and WordPress. In the initial few months, I spent less time blogging and more time learning about CSS and website designing. Since I was on a shoestring budget, I couldn’t afford to hire someone, so I was doing everything myself."

Sumit Bansal is the founder of TrumpExcel, a business that teaches people how to use Microsoft Excel efficiently through tutorials and online courses.

Read this case study

Read by 12,018 founders

Stephen Somers

Founder of Marketplace SuperHeroes ($350K/month)

"Long story short - we built a multi-7-figure business over a period of around 18 months from complete scratch."

Stephen Somers is the co-founder of Marketplace SuperHeroes, an online education company that helps individuals learn to sell their products on Amazon.

Read this case study

Read by 9,676 founders

Andrew Kamphey

Founder of Better Sheets ($8.33K/month)

"Funny enough this project was technically profitable after the first sale. Cost $8.99 for a domain and $30 sale."

Andrew Kamphey is the founder of Better Sheets, a Google Sheets tutorials business that helps scrappy small businesses do more with less through creative and visually appealing spreadsheets.

Read this case study

Read by 8,849 founders

Matt Studdert

Founder of Frontend Mentor ($30K/month)

"I didn’t have the money to get someone else to build something, so I decided to self-teach."

Matt Studdert is the founder of Frontend Mentor, an online learning community that helps people improve their front-end coding skills by building projects.

Read this case study

Read by 12,724 founders

Andrew Lawson

Founder of Just Ninety ($4.5K/month)

"The main start-up costs included a detailed launch plan ($3,450), an automated sales funnel system ($10,350), website design and SEO ($1,230), a LinkedIn campaign ($390), incorporation costs ($1,150) and other costs ($590)."

Andrew Lawson is the founder of Just Ninety, a corporate training materials business that helps professional trainers design and deliver live virtual courses efficiently.

Read this case study

Read by 3,559 founders

Marie Poulin

Founder of Oki Doki Digital Inc ($40K/month)

"The pilot launch generated around $10k in the first week."

Marie Poulin is the founder of Oki Doki, a consulting, design, and digital strategy business launched in 2014 with her husband Ben Borowski.

Read this case study

Read by 3,779 founders

Ajay Prakash

Founder of EntryLevel ($30K/month)

"Financing the business in these initial stages was straightforward. Our costs were relatively low, consisting primarily of modest salaries for myself and three other team members."

Ajay Prakash is the founder of EntryLevel, an education-focused business started in 2021 that aims to make tech education more accessible.

Read this case study

Read by 2,218 founders

Roy Kiessling

Founder of EMDR Consulting ($150K/month)

"When I resigned from my positions at Shapiro’s organizations in November 2012 my material had not been fully written. I had not submitted my training for approval and actually was not even certain it would be approved. While waiting for approval I taught a small group of clinicians my materials for no cost, just to give them a test drive."

Roy Kiessling is the founder of EMDR Consulting, a training organization specializing in teaching EMDR psychotherapy to mental health professionals.

Read this case study

Read by 4,738 founders

Saakshi Choithani

Founder of Mindynamics ($1.5K/month)

"While I started the business with just some $1000 savings from my previous job, it was tough to manage money."

Saakshi Choithani is the founder of Mindynamics, a training and skill development company that offers programs in multiple countries and has done over 100 events in the past year.

Read this case study

Read by 4,454 founders

Enjoyed reading these real world examples?

Our platform is full of case studies of successful skills training businesses that you can learn from.

Starting a skills training business - what you should know:

When embarking on a skills training business, understanding the financial nuances can help you better navigate costs and optimize your budget.

Initial Setup Costs

Setting up a skills training business involves several upfront costs. Renting a venue can range from $500 to $5,000 per month, depending on location and size. If you decide to operate online, you can save significantly on rental but will need a robust Learning Management System (LMS), which could cost anywhere from $50 per month for basic platforms to $500 or more per month for advanced solutions.

Equipment and Material Costs

Investing in equipment and materials is another key consideration. For in-person training, costs vary widely based on the type of skills being taught. For example, a technical skills training center may need $20,000-$50,000 for computers and software, while a culinary training business might require $10,000-$30,000 for kitchen supplies and utensils. Online training services will need high-quality recording equipment, which might cost around $1,000-$5,000.

Marketing and Advertising

Marketing can make a substantial difference in attracting clients to your new business. Budgeting for marketing is crucial, and costs can range from $500 to $5,000 per month. Leveraging social media advertising, SEO, and content marketing can be effective yet economical strategies. Allocating $2,000 monthly to online marketing may be sufficient to start and can grow as your business expands.

Staffing and Trainers

Hiring qualified trainers is essential for delivering quality training. Salaries will vary based on expertise and location, but you can expect to pay between $30,000 to $70,000 per year for full-time trainers. If your business operates on a freelance basis, hourly rates might range from $20 to $100 per hour, depending on the subject matter and trainer’s experience.

Understanding these financial aspects will equip you to make informed decisions as you start and grow your skills training business.

Potential Costs of Starting a Skills Training Business

Starting a skills training business entails various costs, from administrative expenses to technology investments and marketing. Here's a detailed breakdown of the potential costs you might incur.

Expense Category	Description	Estimated Cost Range
Legal and Administrative
Business Registration	Fees for registering the business with local and state agencies	$50 - $500
LLC Formation	Cost to form an LLC, including legal fees and state filing fees	$300 - $1,000
Permits and Licensing	Any necessary business licenses or permits	$100 - $500
Accounting Services	Hiring an accountant or accounting software for bookkeeping	$50 - $300/month
Legal Services	Legal consultations for contracts, policies, and other legal needs	$150 - $300/hour