Life Coach Business Plan Template
If you want to start a Life Coach business or expand your current Life Coach business, you need a business plan.
Fortunately, you’re in the right place. Our team has helped develop over 100,000 business plans over the past 20 years, including thousands of life coaching business plans.
The following life coach business plan template and example gives you the key elements you must include in your plan.
Sample Life Coach Business Plan
I. Executive Summary
Business Overview
[Company Name], located in [insert location here], is a new life coaching business that focuses on providing services that help their clients achieve their personal goals and improve their performance, mental health, confidence and productivity. The Company’s goal is to become one of the leading life coach companies in the area. Their objective is to help each client become the very best version of themselves.
Services
[Company Name] will provide life coach services, which include:
- Business coaching
- Personal improvement coaching
- Family and relationship coaching
- Weight loss and fitness coaching
- Career and financial coaching
- Executive coaching
- Online coaching services
Customer Focus
[Company Name] will primarily serve individuals, couples, entrepreneurs and business executives and students. The demographics of these customers is below:
- Entrepreneurs and business executives- 45%
- Students – 20%
- Couples- 20%
- Individuals- 15%
Management Team
[Company Name] is led by [Founder’s name], who has been in the life coach industry for [x] years. [Founder] is a certified NLP practitioner. He has extensive experience in the life coach industry, working for leading companies prior to starting his own company. He will have the help and support of his business partner, [Insert Name], who will handle the marketing and admin tasks for the company.
Success Factors
[Company Name] is qualified to succeed due to the following reasons:
- There has been significant growth in the life coach industry over the past few years. In addition, the company surveyed the local population and received highly positive feedback pointing towards an explicit demand for the services, supporting the business after launch.
- The management team has a track record of success in the life coaching business.
- [Founder’s Name] has lived in [company location] all of his life and has raised his family in the same community as the target market. He has many connections with businesses, government officials and local organizations.
Financial Highlights
[Company Name] is currently seeking $60,000 to launch its life coach service company. Specifically, these funds will be used as follows:
- Office location build-out and startup costs (training and certifications, website development, etc.): $35,000
- Working capital: $25,000 to pay for marketing, salaries, and lease costs
Top line projections over the next five years are as follows:
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Revenue | $200,000 | $300,000 | $400,000 | $500,000 | $600,000 |
| Total Expenses | $176,390 | $230,030 | $250,431 | $261,901 | $273,920 |
| EBITDA | $23,610 | $69,970 | $149,569 | $238,099 | $326,080 |
| Depreciation | $0 | $0 | $0 | $0 | $0 |
| EBIT | $23,610 | $69,970 | $149,569 | $238,099 | $326,080 |
| Interest | $0 | $0 | $0 | $0 | $0 |
| PreTax Income | $23,610 | $69,970 | $149,569 | $238,099 | $326,080 |
| Income Tax Expense | $13,344 | $19,409 | $52,349 | $83,334 | $114,128 |
| Net Income/Surplus | $10,266 | $50,561 | $97,220 | $154,764 | $211,952 |
II. Company Overview
Who is [Company Name]?
[Company Name], located in [insert location here], is a new life coaching business that focuses on providing services that help their clients achieve their personal goals and improve their performance, mental health, confidence and productivity. The Company’s goal is to become one of the leading life coach companies in the area. Their objective is to help each client become the very best version of themselves.
All the coaching programs will aim to provide transformational results. The Company will ensure that its services are of the highest standards and meet the client’s needs precisely and completely through thorough follow-ups and assessments of the clients’ progress. Also, it will build a strong team that consists of people who will not only share the company’s vision but will also be dedicated to their work and their clients.
[Company Name]’s History
[Founder’s Name] is an experienced life coach with extensive skills in personal development, business coaching, therapy and life coaching. [Company Name] will become a well-known life coaching company in [Location].
Upon surveying the local customer base and finding a potential office location, [Founder’s Name] incorporated [Company Name] as an S-Corporation on [date of incorporation].
[Founder’s Name] has selected an initial location and is currently undergoing due diligence on each property and the local market to assess the most desirable location for the life coaching company.
Since incorporation, the company has achieved the following milestones:
- Developed the company’s name, logo, and website
- Determined the list of services to be offered
- Determined equipment requirements
- Began recruiting key employees with experience
[Company Name]’s Services
The Company will be offering the following services:
- Business coaching
- Personal improvement coaching
- Family and relationship coaching
- Weight loss and fitness coaching
- Career and financial coaching
- Executive coaching
- Online coaching services
III. Industry Analysis
[Company Name] competes against small, individually owned life coach businesses. The Life Coach industry in the U.S. is booming, reaching $991.5 million last year. There are 17,768 Life Coaches businesses in the US, an increase of 0.5% over the past five years.
The primary positive factors affecting this industry are the increasing demand for personal development and life coaches. Total advertising expenditure is expected to increase, representing a potential opportunity for the industry. In recent years, favorable government policies, such as the implementation of free trade agreements, are positively influencing the market demand. Rising foreign direct investments coupled with improving economic conditions are expected to further boost the market.
IV. Customer Analysis
Demographic Profile of Target Market
[Company Name] will serve the entrepreneurs and business executives, students and couples in [location]. The area it will serve is populated mostly by moderate to affluent people; as a result, they have the means to pay for higher quality services.
The precise demographics of the town in which the retail location resides is as follows:
| Springdale | Wyndham | |
|---|---|---|
| Total Population | 26,097 | 10,725 |
| Square Miles | 6.89 | 3.96 |
| Population Density | 3,789.20 | 2,710.80 |
| Population Male | 48.04% | 48.84% |
| Population Female | 51.96% | 51.16% |
| Target Population by Age Group | ||
| Age 18-24 | 3.68% | 3.52% |
| Age 25-34 | 5.22% | 4.50% |
| Age 35-44 | 13.80% | 13.91% |
| Age 45-54 | 18.09% | 18.22% |
| Target Population by Income | ||
| Income $50,000 to $74,999 | 11.16% | 6.00% |
| Income $75,000 to $99,999 | 10.91% | 4.41% |
| Income $100,000 to $124,999 | 9.07% | 6.40% |
| Income $125,000 to $149,999 | 9.95% | 8.02% |
| Income $150,000 to $199,999 | 12.20% | 11.11% |
| Income $200,000 and Over | 32.48% | 54.99% |
Customer Segmentation
The Company will primarily target the following customer segments:
- Entrepreneurs and business executives: A large number of entrepreneurs and business executives who want to succeed and build sustainable brands are looking for professional and quality business coaching services.
- Couples- Couples looking for relationship advice and coaching will seek local services for the convenience factor. [Company] will be able to cater to these individuals with a centrally located office and flexible service hours.
- Students: The Company will offer coaching services to students who want to improve their academic performance and achievements.
V. Competitive Analysis
Direct & Indirect Competitors
Personal Development Inc.
Personal Development Inc. is one of the leading providers of life coach services in town and has been in business for xx years. Personal Development Inc. specializes in providing individual coaching classes and group coaching classes to its clients for their mental as well as emotional well-being.
The Coaches
The Coaches has been in the industry since 1980, catering to various groups of clients. The Coaches was designed with state-of-the-art facilities and technologies, and in turn, has been the store of choice by the clients. The Coaches focuses on the creation of custom executive & leadership coaching, lifeful leadership, behavioral programs, mental & emotional wellness, transformational intelligence, and women at work.
Life Transformations
Life Transformations was established in 2002 and offers one-to-one coaching, group coaching, speaker & influencer workshops, heal your life workshops, vision board, team building workshops, leadership training, and teen playshops. Life Transformation’s provides the most comprehensive range of services within the area.
Competitive Advantage
[Company Name] enjoys several advantages over its competitors. These advantages include:
- Management: The Company’s management team has x years of business and marketing experience that allows them to serve customers in an improved and sophisticated manner than the competitors.
- Relationships: Having lived in the community for xx years, [Founder’s Name] knows all of the local community, media, and other influencers. Furthermore, he will be able to draw from his existing personal and professional relationships to develop an initial client base.
- Great services at an affordable price: The complete array of life coaching services offered by [Company Name] nearly equals the most premium positioned competitor, [Competitor Name]. However, [Company Name] will offer these services at a much more affordable price.
- Location: [Company Name]’s location is near the center of town, giving the company access to entrepreneurs & business executives, celebrities & public figures, school leavers & students, government officials, and sports personalities.
VI. Marketing Plan
The [Company Name] Brand
[Company name] seeks to position itself as a respectable, upper-middle-market competitor in the life coach service market. Customers can expect a high-quality and best life coach experience. The [Company Name] brand will focus on the Company’s unique value proposition:
- Offering a wide collection of high-quality life coaching services
- Convenient location
- Comfortable, customer-focused environment
- Moderate price point
Promotions Strategy
[Company Name]’s promotions strategy to reach the audience includes:
Pre-Opening Events
Before opening the life coaching service company, [Company Name] will organize pre-opening events designed for prospective customers, the local community, and press contacts. These events will create buzz and awareness for [Company Name] in the area.
Advertisement
Advertisements in print publications like newspapers, magazines, etc., are an excellent way for businesses to connect with their audience. The Company will advertise its company offerings in popular magazines and news dailies. Obtaining relevant placements in industry magazines and journals will also help in increasing brand visibility.
Public Relations
[Company Name] will hire an experienced PR agency/professional(s) to formulate a compelling PR campaign to boost its brand visibility among the target audience. It will look to garner stories about the company and its services in various media outlets like podcasts, television stations, radio shows, etc.
Social Media Marketing
Social media is one of the most cost-effective and practical marketing methods for improving brand visibility. The Company will use social media to develop engaging content in terms of various forms and technologies of life coaching business and post customer reviews that will increase audience awareness and loyalty.
Word of Mouth Marketing
[Company name] will encourage word-of-mouth marketing from loyal and satisfied clients. The Company will use recommendations and word-of-mouth marketing to grow the customer base through the network of its existing customers. The Company will be incentivizing its existing customer base to encourage their friends to come and try their services for the first time.
Special Offers
Offers and incentives are an excellent approach to assisting businesses in replenishing the churn in their customer base that they lose each year. The Company will introduce special offers to attract new consumers and encourage repeat purchases, which will be quite advantageous in the long run.
Pricing Strategy
[Company Name]’s pricing will be moderate, so customers feel they receive great value when availing of the life coaching services. The customer can expect to receive quality life coaching services at a more affordable price than what they pay at an ultra-premium life coaching company.
VII. Operations Plan
Functional Roles
To execute on [Company Name]’s business model, the company needs to perform many functions, including the following:
Service Functions
- Coaches
- Sales Executives
- Professional training
- Customer service
Administrative Functions
- General & administrative functions including legal, marketing, bookkeeping, etc.
- Hiring and training staff
Milestones
[Company Name] expects to achieve the following milestones in the following [] months:
| Date | Milestone |
|---|---|
| [Date 1] | Finalize lease agreement |
| [Date 2] | Design and build out [Company Name] |
| [Date 3] | Hire and train initial staff |
| [Date 4] | Kickoff of promotional campaign |
| [Date 5] | Launch [Company Name] |
| [Date 6] | Reach break-even |
VIII. Management Team
Management Team Members
[Company Name] is led by [Founder’s name], who has been in the life coach industry for [x] years. [Founder] is a certified NLP practitioner. While [Founder] has never run a life coaching business himself, he has been active in the industry. He has extensive experience in the life coach industry, working for leading brands as a personal trainer and managing it for xx years prior to starting his own life coaching service company.
[Founder] graduated from the University of ABC, where he was a member of numerous regional and global federations such as the International Coach Federation.
Hiring Plan
[Founder] will serve as the life coach. In order to launch the life coach service company, the company will need to hire the following personnel:
- Administrative Assistant
- Life Coaches [Number]
- Marketing Executive [Number]
- Accountant [Number]
- Client Services Executive [Number]
IX. Financial Plan
Revenue and Cost Drivers
[Company Name]’s revenues will come from coaching sessions and webinars. The major costs for the company will be the cost of services offered, salaries of the staff, and rent for office location. In the initial years, the company’s marketing spend will be high to establish itself in the market. Moreover, rent for the prime location is also one of the notable cost drivers for the [Company Name].
Capital Requirements and Use of Funds
[Company Name] is currently seeking $60,000 to launch its life coaching service company. The capital will be used for funding capital expenditures and location build-out, hiring initial employees, marketing expenses, and working capital.
Specifically, these funds will be used as follows:
- Office location build-out and startup costs (training and certifications, website development, etc.): $35,000
- Working capital: $25,000 to pay for marketing, salaries, and lease costs
Key Assumptions
The following table reflects the key revenue and cost assumptions made in the financial model:
| Number of Clients | Average |
|---|---|
| FY 1 | 100 |
| FY 2 | 120 |
| FY 3 | 150 |
| FY 4 | 200 |
| FY 5 | 225 |
5 Year Annual Income Statement
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | ||
|---|---|---|---|---|---|---|
| Revenues | ||||||
| Product/Service A | $151,200 | $333,396 | $367,569 | $405,245 | $446,783 | |
| Product/Service B | $100,800 | $222,264 | $245,046 | $270,163 | $297,855 | |
| Total Revenues | $252,000 | $555,660 | $612,615 | $675,408 | $744,638 | |
| Expenses & Costs | ||||||
| Cost of goods sold | $57,960 | $122,245 | $122,523 | $128,328 | $134,035 | |
| Lease | $60,000 | $61,500 | $63,038 | $64,613 | $66,229 | |
| Marketing | $20,000 | $25,000 | $25,000 | $25,000 | $25,000 | |
| Salaries | $133,890 | $204,030 | $224,943 | $236,190 | $248,000 | |
| Other Expenses | $3,500 | $4,000 | $4,500 | $5,000 | $5,500 | |
| Total Expenses & Costs | $271,850 | $412,775 | $435,504 | $454,131 | $473,263 | |
| EBITDA | ($19,850) | $142,885 | $177,112 | $221,277 | $271,374 | |
| Depreciation | $36,960 | $36,960 | $36,960 | $36,960 | $36,960 | |
| EBIT | ($56,810) | $105,925 | $140,152 | $184,317 | $234,414 | |
| Interest | $23,621 | $20,668 | $17,716 | $14,763 | $11,810 | |
| PRETAX INCOME | ($80,431) | $85,257 | $122,436 | $169,554 | $222,604 | |
| Net Operating Loss | ($80,431) | ($80,431) | $0 | $0 | $0 | |
| Income Tax Expense | $0 | $1,689 | $42,853 | $59,344 | $77,911 | |
| NET INCOME | ($80,431) | $83,568 | $79,583 | $110,210 | $144,693 | |
| Net Profit Margin (%) | - | 15.00% | 13.00% | 16.30% | 19.40% |
5 Year Annual Balance Sheet
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | ||
|---|---|---|---|---|---|---|
| ASSETS | ||||||
| Cash | $16,710 | $90,188 | $158,957 | $258,570 | $392,389 | |
| Accounts receivable | $0 | $0 | $0 | $0 | $0 | |
| Inventory | $21,000 | $23,153 | $25,526 | $28,142 | $31,027 | |
| Total Current Assets | $37,710 | $113,340 | $184,482 | $286,712 | $423,416 | |
| Fixed assets | $246,450 | $246,450 | $246,450 | $246,450 | $246,450 | |
| Depreciation | $36,960 | $73,920 | $110,880 | $147,840 | $184,800 | |
| Net fixed assets | $209,490 | $172,530 | $135,570 | $98,610 | $61,650 | |
| TOTAL ASSETS | $247,200 | $285,870 | $320,052 | $385,322 | $485,066 | |
| LIABILITIES & EQUITY | ||||||
| Debt | $317,971 | $272,546 | $227,122 | $181,698 | $136,273 | |
| Accounts payable | $9,660 | $10,187 | $10,210 | $10,694 | $11,170 | |
| Total Liabilities | $327,631 | $282,733 | $237,332 | $192,391 | $147,443 | |
| Share Capital | $0 | $0 | $0 | $0 | $0 | |
| Retained earnings | ($80,431) | $3,137 | $82,720 | $192,930 | $337,623 | |
| Total Equity | ($80,431) | $3,137 | $82,720 | $192,930 | $337,623 | |
| TOTAL LIABILITIES & EQUITY | $247,200 | $285,870 | $320,052 | $385,322 | $485,066 |
5 Year Annual Cash Flow Statement
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| CASH FLOW FROM OPERATIONS | |||||
| Net Income (Loss) | ($80,431) | $83,568 | $79,583 | $110,210 | $144,693 |
| Change in working capital | ($11,340) | ($1,625) | ($2,350) | ($2,133) | ($2,409) |
| Depreciation | $36,960 | $36,960 | $36,960 | $36,960 | $36,960 |
| Net Cash Flow from Operations | ($54,811) | $118,902 | $114,193 | $145,037 | $179,244 |
| CASH FLOW FROM INVESTMENTS | |||||
| Investment | ($246,450) | $0 | $0 | $0 | $0 |
| Net Cash Flow from Investments | ($246,450) | $0 | $0 | $0 | $0 |
| CASH FLOW FROM FINANCING | |||||
| Cash from equity | $0 | $0 | $0 | $0 | $0 |
| Cash from debt | $317,971 | ($45,424) | ($45,424) | ($45,424) | ($45,424) |
| Net Cash Flow from Financing | $317,971 | ($45,424) | ($45,424) | ($45,424) | ($45,424) |
| SUMMARY | |||||
| Net Cash Flow | $16,710 | $73,478 | $68,769 | $99,613 | $133,819 |
| Cash at Beginning of Period | $0 | $16,710 | $90,188 | $158,957 | $258,570 |
| Cash at End of Period | $16,710 | $90,188 | $158,957 | $258,570 | $392,389 |
