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The more experienced and renowned instructor often starts up her own specialised yoga studio by renting premises in central metropolitan areas. As a small business entrepreneur the yoga instructor now faces all the problems of running a small business: administration, accounting, cash-flow issues, marketing, meeting monthly fixed costs, employment issues, regulations. Of this the studio owners often have no experience or even no interest. They romantically define themselves as yogis – not entrepreneurs. Many studios therefore close down within the first couple of years. The successful yoga entrepreneurs who are able to run a business will now start to expand the number of classes offered and, like a gym, start to employ freelance yoga workers. Classes are offered at all hours of the day – some studios even have several rooms. Typically a class outside peak hours has 10 students while peak hour classes are crammed with 20 or 30 students. As the manager you constantly have to keep an eye on the business and the bottom line – not much time is left for the beloved yoga.
As one would expect there is a trend of small yoga businesses growing into small multi branch corporations. The Yoga Journal reports in 2005 that Yoga Tree has four centres, Om Yoga and Yoga Yoga each have three. There is a further trend of commercial enterprises moving into the yoga growth industry by buying up struggling studios. These enterprises have written their business plans and market investigations. They are not run by idealistic yogis but by hard-nosed business people who however also have yoga at heart. They have gathered a group of investors around them who provide the long-term capital to enter the market and stay there.
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