How to Set Up A Tutoring Business in the UK?

How to Set Up A Tutoring Business in the UK?

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Tutoring is one of the many industries that have turned lucrative in the post-pandemic UK. Students are competing to get an edge over their peers, while parents are looking for tutors who can assist their children to fully reach their potential and achieve academic success. This has led to a rise in demand for tutors presenting an opportunity for entrepreneurs to capitalise on. Hence, if you are an entrepreneur who is looking to start your own tutoring business in the UK and is looking for insights, we have you covered.

Table of Contents

Setting Up a Tutoring Business in the UK

In the UK, there is no official accreditation for tutors and the tutoring business is fairly free from strict regulations. This makes it reasonably easy for entrepreneurs to set up their tutoring business in the country. In this section, we discuss the stages of setting up a tutoring business in the UK.

Choose a Name

When setting up a tutoring business, the first thing to do is to choose a name, and form a legal business. You can use your name but using a proper company name makes the business appear more professional. Whichever name you choose, make sure that it is unique, does not have unusual spellings, and is easy to remember.

Register with HMRC

You will need to register with HMRC and declare your earnings if you are starting a tutoring business in the UK. Further, you can register your tutoring business with the HMRC as:

  • A Sole Trader – To register as a sole trader, contact the HMRC within 3 months of teaching your first lesson. Further, as a sole trader, you will have to complete your own tax returns and pay your tax.
  • A Limited Company – It means that your tutoring business is separate from you as the owner and that you are not wholly responsible for your company’s business debts.

Get Insurance

Insurance is another thing to consider when starting a tutoring business. Though not compulsory, having insurance will protect your business and your income. You can either apply for public liability coverage or private indemnity.

  • Public Liability Insurance– This type of insurance protects you against legal liability following any damage to third-party property or an injury to a student.
  • Private Indemnity Insurance – This type of insurance covers any claims stating that you have failed to provide adequate service or have made a mistake in your work.

Register with DBS

A tutoring business should be registered with Disclosure and Barring Service (DBS) and each tutor should be DBS checked. DBS check provides an official certificate stating a person’s criminal record and is an essential requirement for those who are applying to work with children or adults who are vulnerable.

Types of DBS Checks
Standard DBS Check Enhanced DBS Check Enhanced DBS with List Checks
Details spent and unspent convictions, cautions, reprimands, and final warnings. Includes the details outlined in a standard DBS check, plus additional information held locally by the police forces that are considered relevant to the post applied for. Includes the details outlined in the enhanced DBS check, plus a check of the appropriate DBS barred lists.
Costs £23. Costs £40. Costs £44.

 

Establish an Online Presence

As online tutoring has increased in popularity in the UK, venturing into this market as an entrepreneur is ideal. That said, to reap the benefits of what is turning out to be a rising educational trend, follow these steps:

Research and Define Your Target Market 

The first step towards setting up an online tutoring business is researching the market, identifying gaps, determining pain points that can be solved, conducting competitor research and determining the client base. 

Determine the Features of the Online Tutoring Platform / Essential Features

Essential features of an online tutoring platform decide the platform’s working. Hence, a few essential features to have in an online tutoring platform are listed below:

  • Registration – Easy registration feature for students and tutors should be available on the platform.
  • Search Filters – Students can use different search filters based on their subjects, duration, price range, and more.
  • Session Booking or Enrolling in a Course – Students can book a real-time session with a tutor or enroll in a course.
  • Multiple Payment Gateways – Students can pay via multiple payment gateways such as credit cards, debit cards, digital wallets, and so on.
  • Ratings and Reviews – Students can leave ratings and share their feedback on the course and the instructor.

    Start your feature-rich Tutoring Marketplace in the UK

Launch Your Online Tutoring Platform

After determining the features of the online tutoring platform, it is time to either custom-build or opt for a ready-made tutoring solution (like Yo!Coach) to launch your online tutoring platform.

  • Custom Development – The tutoring platform is built from the ground up. Benefits include customization, scalability, and added security. However, the cost and time of development are higher (depending on the complexity of the features to be incorporated).
  • Opting for A Readymade Solution – Opting for a readymade solution aids in immediate implementation (almost). All you need to do is buy, install and start using it. Also, as the solution is pre-built, no development is required. Hence, it is cost and time efficient. 

Market Your Tutoring Business

If you are just starting a tutoring business then there won’t be a built-up reputation to benefit from. Nonetheless, you can grow your tutoring business by following a few marketing strategies. These are:

  • Word of Mouth Referrals 
  • Advertisements 
  • Starting a Blog
  • Signing Up for Online Directories
  • Email Marketing 
  • Search Engine Optimization (SEO)

Cost of Starting a Tutoring Business in the UK with Potential Earning Methods

Now that we have discussed the steps associated with starting a tutoring business in the UK, let us also discuss the cost of starting it. If you plan on tutoring face-to-face then the travel and location costs will be included. On the other hand, if you plan on tutoring online, then you will need to think about the tools needed like a website, whiteboard, and more.

So, when estimating the cost of starting a tutoring business in the UK, keep in mind:

  • Initial Start-up Costs
  • Legal Fees
  • Cost of Online Presence
  • Branding and Maintenance

Potential Earning Methods

As a tutor, you can call other tutoring agencies in your area, enquire about their rates and fix the price somewhere in the middle. If you decide on starting an online tutoring business, then the following revenue-generation methods can be used.

  • Commission on Bookings – For the passage of information, an online tutoring platform acts as a bridge between tutors and learners. The admin can enjoy lucrative commission amounts based on the number of bookings.
  • Advertisements – This is a valuable source of revenue generation, i.e. by displaying advertisements or commercials on the online platform, business owners can earn money.
  • Subscription Fees – Revenue can also be generated by providing a premium subscription to learners. Once the subscription fee is paid, learners get access to premium benefits such as downloading videos, course material, and so on.

Kickstart your Entrepreneurial Journey With Us

Conclusion

The advent of technology has revolutionised the education sector, giving rise to the demand for individualised instruction. And, it is expected to increase in the foreseeable future. So if you are looking to start an online tutoring business in the UK, get in touch with us.

FAQs

Q1. What are the rules and regulations to start a tutoring business in the UK?

Tutoring businesses in the UK are fairly free from strict regulations. But, a reputable establishment should:

  • Choose a Name
  • Register with HMRC (Her Majesty’s Revenue and Customs)
  • Get Insurance 
  • Consider a DBS check

Q2. Is a license required to start a tutoring business in the UK?

No, a license is not required to start a tutoring business in the UK. 

Q3. What qualifications are required to start a tutoring business in the UK?

In the UK, no definitive qualifications are needed to start a tutoring business. 

Q4. How can you obtain a background check for starting a tutoring business in the UK?

In the UK, a background check can be easily obtained by using the UK government website

Q5. How can you market your tutoring business?

You can market your tutoring business in a number of ways like:

  • Word of Mouth Referrals 
  • Advertisements 
  • Starting a Blog
  • Signing Up for Online Directories

Q6. What are the various revenue generation methods for an online tutoring business?

The various revenue generation methods for an online tutoring business include:

  • Commission on Bookings 
  • Advertisements
  • Subscription Fees

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