Opening Your Own Language School In Thailand

[lildragon]

Ok so I have a friend that wants to (and has the capital too) Open up a language school in Thailand. He's turned to me as I am a teacher here but to be perfectly honest I'm not even a year into the job so my knowledge of actually setting up a school is very limited.

What I have discovered so far that is...(And I need some pointers on)

1) You will need the capital. My boss at the language school I work at part time says it cost him 800 000 baht to get all the stuff he needed. Deposit on the space he uses (in my apartment block), initial advertising and marketing (signs, posters, leaflets etc), buying equipment (books, desks, computers, printers etc) and hiring teachers and paying them until he started to make profit from his investment which he said was pretty quickly. We are looking to be near a university. My friend would like to set up at the biggest Uni in Issan (the name escapes me).

2) Getting all the relevant paperwork etc. There will need to be a Thai owner yes with a 51% stake max. I know the school would need a licence from the ministry of education. I'm hitting a brick wall trying to find out the procedure to obtain this on the internet. Can someone here advise? And as far as I know if it's a language school then teachers the school employs would NOT need to have degree's and can obtain work permits just with their TEFL/TESOL certs. Also with it being a small language school would there NEED to be a Thai educational director? None of the small language schools I've seen have them. And what about insurance?

3) Setting up curriculums. Sure I know how to follow one but actually making one seems a bit daunting! Can someone with experience in this tell me how to get started? We are looking at doing conversational English and IELTS/TOEFL - The former I have some idea of books and cds to get but the latter I have no never taught and have no idea how to set those up.

So can anyone who owns a school or is at least in the know scan over my post and help me out please?

Ta

Dragon.

Edited May 28, 2010 by lildragon

[Scott]

I believe there are some threads here in the teaching forum on setting up a language school. If/when I have time, I will take a look and try to post a link for you. Also, check the business forum for regulations about setting up a business in general.

As far as the curriculum is concerned, there are a number of series books which are fairly comprehensive and follow a step-by-step process to learning English. For the younger kids there are series like "Get Set Go!" and "Let's Go". For the older ones there is the Interchange Series and others. If you contact a text book company, they will have them and a lot more series as well.

Best of luck.

[Scott]

Here's one link:

http://www.thaivisa.com/forum/Opening-Lang...ol-t339299.html

[lildragon]

Thanks Scott I've read over those threads.

The problem of saturation seems to be a big issue. Thats why I think a good location helps. The guy I work for part time has his small school in klong 1 of Rangsit. So it's out of town from BKK but there are still many big businesses out here with Thais wanting to learn English.

The big competition comes from all the big named language schools at Future Park. But I think my boss charges a lot less for the courses. I am not entierly sure he is 100% "legit" now from reading these threads. I think it's too impolite to ask .

My guy has connections to big educational estiblishments in the USA and he could get endorsments and maybe exchange programmes with them. Woud the idea of going to big colleges in the USA appeal to Thai students? Especially ones looking to getting into the hospitality industry which is of course so huge in Thailand. I'm aware this is not entierly a new concept but it would set out school apart from other smallish schools.

Edited May 30, 2010 by lildragon

[Scott]

Looking for a niche is a good idea. A word of caution about sending students to the States, if that's what you plan to do. Sometime ago, and I have no idea on which thread it was, there was an article about a school in Florida that got closed down because it was nothing more than a front for Thai students to get into the US. They were not attending classes as required, such as the required number of hours of study etc.

Again, not sure what you are thinking, but take care, and think it out carefully.

A good legitimate plan and careful screening is necessary. Of course, your boss will have to make sure his business is completely legitimate to do this, or at least be in the process of getting fully legitimate.

Best of luck.

[Loaded]

Thanks Scott I've read over those threads.

The problem of saturation seems to be a big issue. Thats why I think a good location helps. The guy I work for part time has his small school in klong 1 of Rangsit. So it's out of town from BKK but there are still many big businesses out here with Thais wanting to learn English.

The big competition comes from all the big named language schools at Future Park. But I think my boss charges a lot less for the courses. I am not entierly sure he is 100% "legit" now from reading these threads. I think it's too impolite to ask .

My guy has connections to big educational estiblishments in the USA and he could get endorsments and maybe exchange programmes with them. Woud the idea of going to big colleges in the USA appeal to Thai students? Especially ones looking to getting into the hospitality industry which is of course so huge in Thailand. I'm aware this is not entierly a new concept but it would set out school apart from other smallish schools.

Write to just about any educational establishment in the USA (or UK, Australia, NZ etc) offering to act as an agent to send students to them, and you will have the same 'connections'. Study Abroad as well as ESL Teaching is a very difficult business at the best of times. At the moment an investment in an unestablished business would be financial suicide imo.

[lildragon]

Ok great advice so far guys.

So lets say Hypotheticaly that we have a location scouted thats good and spacious and near the soruce of students. 2 million baht in a thai bank account. Then whats next? Where do you actually start?

[Phatcharanan]

Ok great advice so far guys.

So lets say Hypotheticaly that we have a location scouted thats good and spacious and near the soruce of students. 2 million baht in a thai bank account. Then whats next? Where do you actually start?

I might be wrong here but I am pretty sure that the 2 million does not have to be all cash?

Assets can be included.

[maccaroni man]

business is business imho the 1st thing to do is get a customer. far too often people look at the hole rather than the doughnut. think about it. what makes the business work? students or computers? A good sales team is more important than a desk, office or many of the things that are being focused on now.

[Scott]

The idea of a good team is great, but in Thailand appearance is everything.

[lildragon]

The idea of a good team is great, but in Thailand appearance is everything.

Too True!

So does anyone know where to get started? What office we'd need to visit etc?

[jayinoz]

The idea of a good team is great, but in Thailand appearance is everything.

Too True!

So does anyone know where to get started? What office we'd need to visit etc?

This is a very ambitious venture. I have seen people who I consider friends lose huge money in trying to compete in this field. It is not as easy as many may think. I would have heard every second Farang teacher at some stage state- boy I could make a killing if I opened my own private school. As we always do the numbers and find the Directors are making a killing in the companies we work for. Problem is we are competing with local business men whom often know this business sector far better than us. Plus they have home gound advantage.

However in saying all that I do not wish to discourage you, as I admire anyone who gives a dream a shot. You DO NEED a niche... if you can guarantee students entry in USA, Aussie, UK, etc then that is a fine niche. I also do not know how you are thinking, but be careful iin what you promise or you could find yourself in court far too often. Being an agent for international or private schools is more or less the easy part. However not the majors, as they are already here- this is your competition.

What more can make your company stand out more than others- cost, marketing to which segment (As I do not think you will have a chance breaking into the elite rich customer market), benefits, etc.

Prepare your FULL business and marketing plan? Start approaching private schools internationally to become an affiliate agent for them in Thailand, the bigger the name the better, they will wish for royalities, etc. Unless you negoitate that all students will be sent to them.

Now for the Thai qualifications- you need to be an accrediated Thai language school. International means your base is not in Thailand and you simply a branch to the main- which are the biggest payers and caters to richer Thai\Chinese\etc. Private simply operate under a Co Ltd banner and have affiliation OS- this is what i feel you have in mind. Plus you will not really wish to be paying royalties OS unless absolutely necessary.Once you have your business and marketing plan you need to present it to the Board of Education, as well as you Co Ltd. With all the names of your Directors and their qualification for operating such a business.

I suspect you may wish to have operational control and the 51% Thai ownership be investors only. Now you will need to find Thai whom will invest in your company which may not be easy unless you are in the know with rich Thai.

Control of the Co Ltd is handed to you as CEO ans sole signitary. Thus other Directors need to have a huge amount of faith in you. I have owned x2 Co Ltd for tourism and operating Hotel purposes and this is no easy feat. You need to be in the know with some very high status Thai in the Province you operate. Be prepared to pay 'Tea money' on many occasions to speed up the process and to actually make it a reality.

Understand your competitors niche markets, being far to general brings down many, find your niche.

I read a paper from a businessman whom documented step by step how to legitimately start a language school. It was an interesting read and I will try track it down for you if you initerested.

Finally realise that at the start you may be working unbelieveable hours. My mates were working 100+ hours, from the 4 whom started 1 still operates today. I put that down to himdoing everything 100% above board and being in the know with many people. From the other 3 whom are very intelligent men, one lost most of his life savings when he was raided for hiring people without a WP and was shut down. He claims his competition dobbed him in- probably correct. As it is dog eat dog industry with billions of baht at stake. Remember for every 1 Farang you must employ 4 Thai's. From the remaining 2, one sold his company for a good profit and the other sold for a loss.

These were guys whom are very good investors and business people. Your skills must all fit together to survive and succeed in this profession.

Anyway good luck- I will follow your progress.

Cheers Jay :jap:

[Shipwreck]

Why don't you contact one of the larger chains about franchise opportunities? I'm sure they would have everything figured out already so you save yourself some hoops to jump through and get yourself a 'big city brand' that some of those kids in Issan might recognize.

[jayinoz]

Has the OP given up... yes I agree partner with a chain is the easiest solution. They will have criteria you must meet. Much easier than trying to go it alone.

Anyway OP are you still posting about the progress, if not I will cancel my script to this thread.

If need further advice from mates in the industry I can give you their emails if they agree. Just PM me. Chok Dee. Jay