Are you writing a dance studio business plan? If YES, here is a sample dance studio financial projection, budget, profit & loss statement. It is very necessary to first determine the ways through which funds for our business will be generated.

This is exactly what we have done. Hence, Ancient ‘n’ Modern® Dance Studio is a business that will be owned by Dr. Maryjane Caster – McDowell and she will run the business with her business partner for many years Ms. Ella Jacobs. They are the sole financial of the business which is why they decided to restrict the sourcing of the start – up capital for the business to just three major sources. These are the areas we intend generating our start – up capital;

Generating Funding / Startup Capital for Ancient ‘n’ Modern® Dance Studio

N.B: We have been able to generate about 0,000 Personal savings ,000 and soft loan from family members ,000 and we are at the final stages of obtaining a loan facility of 0,000 from our bank. All the papers and document has been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

Our Startup Budget and Expenditure

In setting up a dance studio business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a higher amount of capital as you would need to ensure that your employees are well taken care of, and that your dance studio environment is conducive enough for the students to learn.

This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business. The materials and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked.

As for the detailed cost analysis for starting a dance studio business; it might differ in other countries due to the value of their money. However, this is what it would cost us in the United of America;

  • Business incorporating fees in the United States of America will cost – $750.
  • The budget for Liability insurance, permits and license will cost – $3,500
  • Acquiring a space or warehouse that will be converted into the dance studio and that can accommodate the number of students that will come to learn various dance steps for at least 6 months (Re – Construction of the facility inclusive) will cost – $100,000.
  • Equipping the dance studio (studio floor, sound system, DVD players, Pianos, Flat Screen TVs, computers, printers, projectors, markers, pens and pencils, furniture, telephones, filing cabinets, and electronics) will cost – $100,000
  • Launching an official Website will cost – $500
  • Amount need to pay bills and staff members for at least 2 to 3 months – $50,000
  • Additional Expenditure such as Business cards, Signage, Adverts and Promotions will cost – $5,000


While a home tutor might not have to incur all these expenses but going by the above report, we will need an average of $350,000 to start a standard but medium scale dance studio business in the United States of America.

Sources of Income

Ancient ‘n’ Modern® Dance Studio is established with the aim of maximizing profits in the dance studio industry and we are going to go all the way to ensure that we do all it takes to attract both individual clients and corporate clients on a regular basis.

Ancient ‘n’ Modern® Dance Studio will generate income by offering the following services;

  • Dance classes for-profit
  • Dance classes nonprofit (community based, traditional walk – outs et al)
  • Teaching dance classes (choreography et al)
  • Providing instruction in ballet
  • Providing instruction in modern dance and social dance
  • Providing instruction in ballroom dance
  • Providing instruction in hip-hop dance, tap dance and jazz dance
  • Providing instruction in Latin dance / salsas et al
  • Providing instruction in cardio based dance (cardio strip tease, cardio hip hop, tone and tighten, and much more)
  • Dance production and consulting services (for organizations and cheerleaders)
  • Merchandise sales (Dance related shoes, clothes, and other dance accessories)

Sales Forecast

One thing is certain, there would always be corporate organization and individual clients who would need that extra coaching or push in order to acquire the required dancing skill set that will enable them live their life the way they wanted to live it. This is the major reason why the services of dance studios i.e. dance instructors, dance coaches and choreographer et al will always be needed. This is why we are strategically positioned.

We are well positioned to take on the available market in Smethport – Pennsylvania and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow our dance studio business and our clientele base.

We have been able to critically examine the dance studio industry – market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projection is based on information gathered on the field and some assumptions that are peculiar to similar startups in Smethport – Pennsylvania.

Below is the sales projection for Ancient ‘n’ Modern® Dance Studio, it is based on the location of our dance studio business and of course the wide range of dance classes and dance related services that we will be offering;

  • First Year-: $300,000
  • Second Year-: $650,000
  • Third Year-: $850,000

INCOME for First Year:

Dance classes for profit : per student learning per month will cost $100 

3,000 student will cost $300,000



  • Acquiring a space or warehouse that will be converted into the dance studio and that can accommodate the number of students that will come to learn various dance steps for the remaining 6 months (Re – Construction of the facility inclusive) will cost – $100,000.
  • Amount need to pay bills and staff members for at the remaining 9 months – $150,000
  • Equipment rental, repairs and maintenance $4,000
  • Credit card processing fees$1,000
  • Other miscellaneous expenses – $5,000

TOTAL $260,000

N.B: This projection is done based on what is obtainable in the dance studio industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor offering same additional dance related services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.