Business Idea

Start A Skills Training Business

About

Starting a skills training business requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell skill training, or selling skill training online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a skills training business ➜

Key stats

market size
$2.8B
revenue (monthly)
$131K
starting costs
$18K
gross margin
47%
avg product price
$500
time to build
7 months
growth
Email marketing
business model
E-Commerce
time investment
Side project
work from home?
Yes

About

Starting a skills training business requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell skill training, or selling skill training online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a skills training business ➜

Key stats

market size
$2.8B
revenue (monthly)
$131K
starting costs
$18K
gross margin
47%
avg product price
$500

 

time to build
7 months
growth
Email marketing
business model
E-Commerce
time investment
Side project
work from home?
Yes

Startup Costs

Min Startup Costs Max Startup Costs
Office Space Expenses $750 $7,000
Employee & Freelancer Expenses $151 $352
Equipment & Supply Expenses $563 $5,200
Website Costs $315 $7,215
Business Formation Fees $600 $4,700
Software Expenses $162 $3,069
Advertising & Marketing Costs $0 $3,050
Other Expenses $0 $800
Training & Education Expenses $0 $850
Specific Industry Expenses $399 $799
Total Startup Costs $2,940 $33,035

Successful Businesses

Business URL Rank
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GoSkills.com goskills.com #43,407
International Institute of Business Analysis™ iiba.org #77,074
DoD SkillBridge dodskillbridge.usalearning.gov #77,307
ScreenSkills screenskills.com #136,886
Marketplace SuperHeroes marketplacesuperheroes.com #162,642
Emphasis writing-skills.com #190,180
Sacramento City Unified School District scusd.edu #234,838
TCC.edu tcc.edu #250,297

Pros & Cons

Pros Description
Flexibility You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.
Ability to start your business from home It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!
Rewarding work Starting a skills training business can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.
Scalable With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.
Meaningful business connections You never know who you will meet as a skills training business. This could be the start of an incredible business opportunity!
High customer retention rates Once a customer invests in your product, they've invested their time and energy to utilize your product/service which is highly valuable to them. Typically, your product or service becomes indispensable to your customer.
Cons Description
Motivation of employees If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.
Low margins The gross margins for your skills training business are typically around 47%, which can make it more challenging to incur new expenses and maintain profitability.
High employee turnover In the skills training business, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment.
Taxes As a skills training business, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.
Stressful work This line of work can be stressful for both you and your clients. This type of transaction is a significant financial decision for your client, so expectations are very high for you. Although this career path can be very rewarding, it also comes with its challenges and stressful moments.
Niche Market A niche business is not necessarily a bad thing, in fact, it can be the key to your success. However, it can be more challenging and time consuming to find the perfect niche market and target audience.

Marketing Ideas

  • 1

    Affiliate program

    Affiliate marketing is a great way to bring in a new revenue stream, especially when you don't sell products or services.

    Simply put, an affiliate program is an agreement where a business pays another business or influencer ("the affiliate") a commission for sending traffic and/or sales their way.

    The affiliate typically gets a unique link where clicks and conversions can be tracked.

  • 2

    Direct sales

    Direct sales strategy implies a direct contact between a seller and a consumer without the involvement of any third party. Direct selling is popular in sectors where sellers communicate with their clientele personally. The sales technique occurs at non-store locations which include at home, work, or online.

    For direct selling to succeed, hire a few (or many) salespeople to support the sales conversion process. It's critical that you assign them specific roles and responsibilities to nurture the client and provide excellent support.

  • 3

    Word of mouth

    Word of mouth is when a consumers reflects their interest in a company’s product or service in their daily dialogues.

    Therefore, word of mouth advertising is essentially a free advertising triggered by the customers experience.

    According to Nielsen, 92% of people trust recommendations from friends and family.

    Therefore, in today’s hyper-connected world, a single recommendation through a word of mouth can have a huge impact to your business.