Is it Profitable to Run a Swim School in Canada?

Swim schools are very popular and starting one in Canada can be very profitable if set up correctly. Since water safety and swimming are considered life skills in the country, the population’s need for swim lessons continues to persist for children, adults, and even the elderly. Swimming is both a leisure and sporting event that presents substantial business opportunities, which will see the enterprise experience steady growth in many centers across Canada.

In this informative blog, we will discuss:

1. What a swim school business is

2. Requirements for a Swim School: Licenses and Capital Investment 

   1. Licenses and Permits

   2. Facility Setup

   3. Becoming a Certified Swim Instructor

   4. General and Professional Liability Insurance

   5. Capital Investment

3. Cost Breakdown for a Swim School in Canada

4. Revenue Sources for a Swim School

5. Conclusion

What is a Swim School Business?

Understanding the ins and outs of a swim school business

A swim school business in Canada is a business focused on teaching people of all ages about swimming and enhancing their swimming abilities. These schools provide instruction involving organized classes of instruction for swimmers categorized according to different achievement capabilities. These schools provide organized lessons and programs for different skill levels, from beginners who learn basic water safety to advanced learners focusing on technique, endurance, or competitive swimming.

Swim schools mainly target children because swimming is an essential safety measure that can attract and defend children who visit the many lakes, beaches, and seashores in the country. They also take young adults or even seniors who may want to learn to swim for purposes of exercise or leisure. These businesses are conducted in various settings, such as privately owned pools, community centers, schools, or leased indoor swimming facilities, which enables year-round instruction regardless of Canada's seasonal climate.

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Requirements for a Swim School: Licenses and Capital Investment 

Major requirements to start a swim school in Canada

Here are some of the major requirements to start a profitable swim school in Canada.

1. Licenses and Permits

Before you start a swim school in Canada, you must apply and secure several licenses and permits to be legal in operations. Besides, you will need a business license given by your municipality, and other legal requirements such as health and safety requirements like clarity of water in pools and their maintenance. For providing safety during lessons, instructors and lifeguards are to be certified as First Aid personnel, as well as Certified Pool Lifeguards.  There are also permits based on the place of work and services to be offered, specifically construction depending on the type and size of a pool.

2. Facility Setup

Swimming facilities include lockers, showers, washrooms, and a sitting area where parents or guardians can comfortably wait for their children. Proper provision of fresh air and heating facilities are a must in indoor swimming pool facility. Facilities should also provide equipment such as kick plates, pool noodles, and life jackets for swimmers that require these accessories for support while swimming. Owners must invest in reliable filtration, chlorination, and heating systems for clean water at a maintained temperature. PH levels and chemical balances should be regularly tested as well.

3. Becoming a Certified Swim Instructor

It is mandatory to acquire a certification of swim instructor when one wants to operate a swim school in Canada or hire instructor in Canada since they need to safeguard the lives and teach the right techniques. Swim instructors are required to take and pass certification programs that are accredited. These programs deal with fitness, attitude, teaching swimming, approach, safe escape, and stroke development. Certification may include knowledge in First Aid and certification in cardiopulmonary resuscitation (CPR) which is compulsory in handling any emergent incidences. 

4. General and Professional Liability Insurance

General and Professional Liability Insurance is crucial to opening a swim school in Canada because it covers costs that may occur from accidents, negligence, or professional negligence. General Liability insurance as a risk management product includes third-party claims in liability for bodily injuries or property damage which may happen in the insured premises. The other is professional liability insurance also referred to as “Errors and Omissions Insurance”, this covers one for negligence, or failure to deliver what is expected on the contract.

5. Capital Investment

You may require a capital investment of up to $1 million  to establish a swim school in Canada. The major cost may include purchase or leasing costs, leasehold improvements, and  equipment.

Cost Breakdown for a Swim School in Canada

 Breaking down the cost analysis 

To understand the breakdown of the expenses, refer to the table below:

Setup Cost	Average Revenue (USD)
Facility lease/Purchase cost	$50,000 to $500,000
Pool construction/Renovation	$100,000 to $1,000,000
Equipment and Supplies	$50,000 to $500,000
Instructor training and certification	$1,000 to $100,000
Marketing and Advertising	$50,000 to $500,000
Legal and Licensing	$1,000 to $100,000
Insurance premiums	$2,000 to $20,000
Accounting and Bookkeeping	$1,000 to $100,000
IT Infrastructure	$50,000 to $500,000

Revenue Sources for a Swim School

A swim school in Canada has multiple sources of income of revenue. Let’s focus on the three prime sources.

1. Swimming Lessons: 

Swimming classes generate around 96% of revenue as on average a pool owner earns $32 per 30-minute class. Varies swimming lessons include:

• Group Lessons: For children, teens, and adults with varying skill levels, there are scheduled classes throughout the week.

• Private Lessons: Private coaching tailored to the student's needs.

• Specialized Classes: Infant swimming, prenatal aquatic fitness, and stroke technique.

• Seasonal Courses: Concentrated courses offered over summer or school breaks.

2. Membership Fees:

Membership fees generate around 3% of revenue with an average of $25 cost for per membership.

• Monthly/Annual Membership: entrance to pools, fitness areas, and other amenities offered.

• Family Membership: Discounted membership for families to be able to encourage more to join together.

• Loyalty programs: Discounted prices or special favors for loyal customers.

3. Parties and Events

Parties and events can generate around 1% of revenue as owners can charge $800 per two-hour rental.

• Birthday Parties: Poolside parties that can be theme-based, decorated, and hosted by instructors if desired

• Corporate Events: Team-building activities and water-based workshops.

• Seasonal Events: Splash parties, holiday-themed events, or open house days.

Therefore, the total of all sources is the total amount of revenue that can be $130, 000 - $ 160, 000.

Conclusion

In conclusion, the swim school business is a profitable venture in Canada, however, it requires a good amount of investment. For an average investor, partnering with an existing facility is an affordable option rather than building your own. Additionally, this business is recession-proof but, has high barriers to entry due to initial investment. 

Explore the profitability of a swim school in Canada by consulting our team today (free consult).