Starting a health coaching business is a big step that can be life-changing for you. Therefore you want to take your time to ensure you are on the right track and make the right decisions.
Here’s what to expect from this post. First, we will review the steps required to set up your business. Then we get into the resource section that can help you understand more about the health coaching industry. These resources will be useful now and when your business opens to the public.
Steps to Starting a Health Coaching Business
1. Make Sure Running a Business Is Right For You
Owning and operating your own business takes planning, effort, money, and many long hours. For example, you may be interested in coaching, but when it comes to running a business, it might not be your cup of tea.
You must understand what you are getting into and the expectations needed to run a business.
For more, see Business Startup Considerations.
2. Research
Business Research
Research is one of the most important parts of starting your business. Without it, you will be taking steps blindly. Performing the right research will give you the clarity you’ll need to make good decisions and take the right steps.
The most important research you can do is to talk to the right people. The right people are those experienced in the health coaching industry. I have an article that will give you an inside look into the business you are planning to start, and I recommend you spend as much time as possible on this process to get the inside information you need to succeed.
See An Inside Look Into the Business You Want To Start for more.
Target Audience
To set up and market your health coaching service, you will have a better chance of succeeding if you understand your target market. It’s worth the time and effort it takes, and you’ll be happy you did.
For more, see, How To Understand Your Target Market.
3. Setup Considerations
It’s important to have a vision for the setup of your business. The clear your vision, the easier it will be to set up and keep you from wandering from idea to idea.
It’s important to have a vision for the setup of your business. The clear your vision, the easier it will be to set up and keep you from wandering from idea to idea.
For clarity, you can ask yourself questions like the following.
- Are you planning on a home base business?
- Will you operate your business coaching people one-to-one?
- Are you planning to coach in a group setting where you need a classroom setting?
- Are you planning on a corporate setting where you’ll offer services to large companies?
Your plans may change as you’re conducting research, and that’s OK but for now, start with one vision.
4. Choosing The Right Business Location
Your chosen location is important because you want to open in a location with demand for health coaching services. Otherwise, it doesn’t make sense to open in an area with no demand.
On the other hand, if you’re opening in an area where the market is saturated with health coaching services, it can be difficult to get a piece of the market.
For more, see Choosing The Best Location for Your Business.
5. Choose a Business Name
The name you choose for your business today is the name you’ll have for as long as you own that business.
Business names rarely change, and you’ll be investing a lot of money in marketing that name; therefore, take your time and choose a name that’s catchy, appropriate, memorable, and available for registration. Of course, you’ll also want a matching domain name for your website.
For this important step, see How To Register a Business Name.
6. Business Registration
For the step, you’ll need to focus on registering your business; depending on the size of your business will indicate what type of structure you’ll use. Again, there are various structures, each with pros and cons.
The link below summarizes what you need to know and what structure to choose. First, see the article below, then speak with a professional, such as an accountant or lawyer, to get the right advice.
See, How to Register Your Business for all the details.
7. Create Your Corporate ID
A corporate ID consists of a collection of components, such as your logo, stationary, business, sign, promotional items, business cards, etc.
Your corporate ID is the face of your business, so you want to ensure you use a professional graphic designer when creating it.
See A Complete Introduction to Corporate Identity Packages for more.
8. Estimating Your Start-up Cost
When estimating your start-up cost, it must be within range because if you estimate too high, your venture may look risky to lenders, and if you estimate too low, you could run out of money before you open your business to the public.
Start by listing everything you need to open and operate for a few months.
For example, your list may include but is not limited to the following:
- Business registration
- Insurance
- Training and certification
- Lease
- Corporate ID
- Website
- Marketing
- Operating cost for 3 months
- etc.
As you make your list and get pricing, other issues will appear, and you can update your list.
For more, see, Estimating Start-up Costs: Are you Missing Anything? Also, see, Business Expenses To Consider.
9. Writing a Business Plan
A business plan is a critical document for business owners. It keeps them on track. Therefore, you should review your business plan every few months and update it as necessary.
You’ll also need a business plan if you’re getting a business loan or planning on attracting investors. A financial institution will not even process your loan application without a professional business plan.
There are a few options for creating one, such as using a template or software, writing one from scratch, or hiring a professional writer. For more, see the link below.
For details, see How to Write a Business Plan.
10. Set up Your Banking
For this part of the process, you’ll want to choose a bank to deal with. When considering a bank, it’s more important to consider the banker you’ll be working with because your banker can help you with loan applications and financial advice and get you out of a financial pinch down the road.
You’ll need to keep your personal and business finances separate, and one of the best ways of doing so is to set up a business checking account.
In addition, you want to look at getting a merchant account so that your customers can pay using their credit or debit cards.
For more, see, How to Open a Business Bank Account and What Is a Merchant Account, and How to Get One.
11. Get the Funding for Your Operation
With the above steps completed, it’s time to make copies of your business plan and meet with lenders to discuss a business loan.
It’s worth noting that many banks will not process a risky venture.
A lender would rather fund a successful business with a good track record.
Even though getting a business loan is difficult, it’s not impossible when you have the skill to run a coaching business, a professional business plan, and the necessary collateral.
For more, see our article, Getting a Small Business Loan.
12. Software Setup
Your business will require software. In addition to software for health coaching, you will want to look at packages for managing small businesses, such as Microsoft Office and accounting software. I would consult my bookkeeper or accountant to determine which accounting software to use.
13. Get The Right Business Insurance
It is an absolute must that you have sufficient coverage to protect your customers, employees, and property. Any incident that occurs can put you out of business without sufficient coverage.
You will also want to look at liability insurance. Speaking with a competent insurance broker can help you choose the best insurance for your needs.
For more on business insurance, see What to Know About Business Insurance.
14. Physical Setup
There are a few issues to attend to regarding the physical setup of your business.
Depending on your setup, you will want to create a space where you’ll be meeting with clients. Whether you’re operating from a commercial location or from your home, you’ll want to have a private space. In addition, you want it to be tastefully decorated to impress clients.
Your office is where you’ll be managing your business, and you will spend a lot of time there. So you want an office that’s fully equipped and organized to improve and ensure your productivity while working.
See, Here are Considerations for The Setup of Your Office for the details.
Your business sign is one of the first things customers see, and you want to ensure it’s well designed and incorporates your logo. For more, see, All About Company Signs.
15. Creating a Website
Your website is an important tool for your health coaching service. It can be used for marketing and as a way for customers to contact you. Your website should match your corporate ID and have a professional design. You can even implement a scheduling system within your website that allows customers to book appointments.
Register a domain name and sign up for a hosting account to ensure you have full control over your website. For more, see our page on How to Build a Website.
16. Create an External Support Team
A support team consists of people who are not directly employed by you. As a result, you use their services under a contract, on a retainer basis, or by the hour.
Each professional team member is hand-picked and tested before joining the team. Thus, you can rely on this team in a crisis, for advice, or when you’re planning to expand.
Your team may consist of a lawyer, an accountant, a marketing expert, a graphic designer, an IT specialist, a web designer, etc.
For more, see, Building a Team of Professional Advisors.
17. Hiring Employees
During the early stages of operation, you may be planning on doing everything yourself to keep your cost down.
Once your business grows, you may need to hire. Make sure you hire the right person for each position available and only hire for positions you need. The last thing you want is a bloated payroll that dips into profits.
For more, see, How and When to Hire a New Employee.