Korean Job Discussion Forums

[ZeroCool]

Just interested in all your knowledge of how to open/run a hagwon?

Pricing
Permits
Rent
Taxes
Salaries
Tuitition
Legal
Etc...

[cyui]

Bad Bad Investment.

Just think about how many there are in existence.

[ZeroCool]

Hagwon demand is still outweighing supply in Korea so is still seems highly profitable! And I'm not talking a couple of $1,000, I'm talking Tens of Thousands! and with the right investment and expansion ,we're talking 500k~Mil+ but the people i know won't give me details!

[some waygug-in]

You're better off to start small, have a home school hagwon in your apartment and if things go well, you can expand later.

I know several people who've done this and they are by far the happiest teachers I've met in Korea.

The catch is you need an F visa/Korean spouse to do this.

[meangradin]

you are correct in writing that hagwon ownership is profitable, but you have to know what you are doing. although i can't tell you everything you need to do, as that is called due diligence, and you must do that on your own, i will give you one piece of advice that has served me well: hire the best korean teachers you can and make sure you have an outstanding office manager. luckily for me, my wife meets both of these requirements.

[frankhenry]

[Zackback]

Organization
Books
Computers
Games (especially for the kiddies)
A way not to hire garbage teachers
A way to keep the good teachers you may have

[frankhenry]

[northway]

My school pulls in about 150 million a month in tuition and still isn't really pulling in enough cash to justify its existence.

[Ice Tea]

Do you even have the $200,000+ you'll need to start a good hagwon?

[somethingawful]

When you say hogwon I'm going to assume that you don't mean the living room of your apartment. That you mean an actual place dedicated to teaching kids how to speak English.

Money for a school. It has to be a decent size since most parents want to see a reception room, bathrooms, and a room they can stare at the monitors. You'll also need an office and a staff room where teachers can prepare for lessons.
Money for all the supplies you are going to need. Books, paper, computers, printers, copiers, filing cabinets, desks, chairs, etc.
Money for recruiters.
Money to fly teachers over.
Money for the apartments they will need.
Money to pay foreign and local teachers.
Money to pay health benefits and pension.
Money to advertise, banners, signs, t-shirts, backpacks with your logo on it.
Money for taxes and possibly bribes.

You see a reoccurring pattern here? If you have enough money to start a hagwon you're probably well enough off that you won't have to deal with the never-ending stress of owning and running one.

[wooden nickels]

[sirius black]

I have to assume you're a foreigner and not a korean national or gyopo with dual citizenship.
The only hogwons I've seen run by foriegners are the ones where the person was married to a Korean national. I've never heard of one (or a successful one) where a foreigner was the sole propietor. There could be but I've never heard of one.
If gyopo counts as foreign, I suspect that may be easier than a foreigner on his own. One would HAVE to know korean to open one on their own with no partners or korean spouse or gf. Someone has to speak to the ajuma, answer their questions, etc. about how you will teach her little SuJin english.
I would suggest that if a foreigner were to try and open one on their own wthout any korean partners they buy into an existing franchise system like GnB or one of the large, well known, 'brands'. Automatic name recognition and association with quality (quit laughing formites, you know what I mean) than Joe Foreigner English Club. If its successful you can open an independent one after you have built a reputation.
Don't think because Koreans see a foreigner owner they will simply line up. There is a trust factor. Koreans like working with other koreans. They want foreigners to teach their kids but not necessarily to have to 'deal' with said foreigner in a business.
Also, if its a sole propietorship, that may not (I am guessing definitely not but I really don't knw) be admissable with your current E2 visa.
Overall, its not just money but also the social/business aspects of owning one.
ANY business is a risk no matter where you open one. I won't be like others and say don't do it. Just get as much information as possible. Being a foreigner in a foreign country compounds the risk factor. A korean partner you trust and is trustworthy (good luck) may be a way to go. Or learn the business while working for a successful one. Ask current owners the pros and cons. 99% of us on Daves wouldn't know the first thing about owning one myself included.

[T-J]

I did an interview with another foreigner that owns a hagwon about a year ago. Don't know how interesting or useful it is because I've never listened to it. Anyway you can find it here.


http://www.themidnightrunner.com/

[some waygug-in]