Dear Greetings!

If you're planning to start a new school or even expand your established school, you need to complete the research and due diligence necessary to formalize your educational-operational-governance-finance model and determine whether there is sustainable demand for the program or school you're envisioning. From there you can quantify the costs associated with starting and operating your school to a break-even point, and the value it will return to your founders and/or investors. If you plan on opening a new school, you need to ensure that you've done  your homework before moving forward to ensure that your school model is sustainable. Once you launch your school, there's no turning back. Too many times we've seen founders rush out to lease a site or purchase land before they know if the model will work at the fee range the market will bear. In other cases, an established junior school is continually receiving requests from parents that they should expand their programming to include a high school. However, there's considerable risk in developing a new high school without first knowing if the program is sustainable or if it puts the board and school at too much risk. 

HEG's approach to developing a market~feasibility study and business plan formalizes the school's educational/operational/business/financial model within one plan, determines the feasibility for success in your designated market, start-up capital requirements, five-year operational budget, internal rate of return (profit), facility-site requirements, and conveyance of the proposition to your investment and/or founding group. The rationale behind the Study and Business Plan is to consolidate the scope of your formation project through an extensive business case analysis to formalize the educational, operational, and business framework, quantify HR needs, facility/land requirements, enrollment demand, start-up and capital requirements, break-even, pay-down to investors, internal rate of return, and net income. Upon conclusion of the Study, HEG can assess the project's feasibility and optimal model for development, and pre-operation milestones.

HEG's market~feasibility study and business planning process focuses on:

1. Formalization of the school model:
   • Market demand;
   • Educational program(s);
   • Accreditation requirements and licensing;
   • Potential combinations of grades for each stage of development;
2. Human resource considerations;
3. Infrastructure requirements;
4. Funding requirements;
5. Management team, governance model, and organizational chart.
6. Determine target market(s), enrollment projections, and marketing and admissions plan;
7. Review the business case for the establishment of a school in the Client's designated market;
8. Financial costs/assumptions for start-up budget and five-year financial plan;
9. Corporate and investment/funding structure;
10. Project management timelines and milestones;
11. Proposed facility and land requirements and suitable location(s) for the school;
12. Address issues/strategies to ensure a successful start-up and operation of the school:
• Develop a Business Plan, providing an Executive Report, recommendations, and costing profile with an overview of demand for the proposed school, capital requirements, profits, investment pay-down, and the 'blueprint' to move forward.