Next we looked at the classic agency structure where the agency owns all the students and sub-contracts out the teaching of lessons to others. All payments go through the agency and they keep somewhere between 15% to 30% of all payments received.
It didn’t take us long to shoot this one down as well because, honestly, would any music school want to do that? No… and we love working with the best music schools in Australia, so that structure got a big thumbs down from us.
We decided that we actually wanted to pass the students on to our schools and teachers. Yes, we want to help you to build your business. We also decided that claiming an ongoing portion of the lesson fees was just not our style.