Whichever choice you make, it is important to stay aware of trends in industry regulations and how the regulations may affect your business.
Finally, there are other trends to keep in mind. The reasons for students choosing to venture overseas differ from country to country, and sometimes even within the same country. It is important to know the goals of the students you wish to reach, and understand that a future batch of students of the same age and from the same country might be looking for a slightly different type of program.
In short, to start and maintain an ESL business in North America, new and experienced business owners alike need to keep abreast of global issues and shifts in people’s reasons for acquiring another language. They also need to monitor and understand the students themselves. That is, they need to know how many students are out there, where they are from, where they are studying and why they chose to study there, what they are hoping to gain from their overseas experiences, and why they are trying to master English in the first place.
To give you an idea of what your research might uncover, here is a snapshot of the North American ESL market at the time this book was written.
International Students
According to a report on international students published by the Institute of International Education, the United States welcomed more than 670,000 international students in the 2008/2009 school year. (Hundreds of thousands more entered the country with visitor visas, and many attended English classes at private language institutions.) India is the leading country of origin, followed by China, South Korea, and Japan. These four countries combined contribute 45 percent of the international student population in the United States. Other countries include Taiwan, Mexico, Turkey, Saudi Arabia, Thailand, and Indonesia. California continues to host the highest percentage of international students in the United States, followed by New York and Texas.
More than half of the students who come to the United States choose to study at large universities, with business and management being the two most popular fields. However, an increasing number of students are enrolling in pre-academic intensive English programs.
In Canada, the situation is much the same, although on a smaller scale. Approximately 80,000 international students are currently attending universities, private institutes, and colleges in Canada. (In reality, the number is higher, given the great number of short-term students who are attending schools without a visa.)
Almost 70 percent of students settle in two provinces: British Columbia and Ontario. As of 2009, the top five non-English speaking countries of origin were China, South Korea, France, India, and Japan. Others included Saudi Arabia, Taiwan, Hong Kong, Mexico, and Germany.
Regardless of where in North America international students choose to study, their reasons for studying overseas are usually the same:
• To develop their English-speaking skills.
• To enhance their academic English performance so they can get higher scores on tests, and perhaps gain entrance into a North American college or university.
In the end, often their goal is to increase their chances of landing a good job in their home country.
Immigrants
In addition to international students, the ESL industry caters to non-English-speaking immigrants. Some immigrants invest heavily in their children’s English education, and many hire private tutors to help their children keep up in public school classes. And some immigrants may hire private tutors for themselves, or seek out conversation classes or speaking clubs for social and educational reasons.
Each year, thousands of adult immigrants in North America attend government-funded ESL programs that are free of charge. These programs are for newcomers who are struggling to pay their rent and bills and do not have money to pay for lessons in basic English.
Industry Needs and Trends in Your Area
Because in many ways the ESL industry hinges on constant change, emerging businesses need to be creative, flexible, and adaptable in order to succeed. The only constant in the ESL world is this: Your students are your customers. This means that much of your job as a new business owner will be to understand industry needs and trends in your area.
Finding specific information about the ESL industry in your country and in your area is relatively simple, thanks to the Internet. Every school worth noting has a website, which will provide you with information about your competitors’ programs, prices, and staff. The Internet also gives you access to ESL industry associations, which feature links to member schools and other related businesses, as well as useful industry information that may be relevant to your business’s future. Business- and immigration-related statistics are also available online.
In-person interviews with people in the industry, and even international students themselves, can also help you get a sense of the market needs in your area. But before doing personal interviews, check out a few ESL chat rooms or blogs to find out what issues and concerns are on students’ minds. Simply doing a search for the term “ESL blog” on the Web, you will find a number of sites where students from all over North America share information on resources and study tips, as well as complaints about common woes — culture shock, loneliness, boredom, and the high cost of living and studying abroad.
Learning as much as you can about what students like, dislike, or find lacking during their overseas stays can help you determine what kind of business is worth investing in, not to mention what features to offer in order to set your business apart from those of your competitors.
2
ESL Business Options
The ESL industry is ripe with entrepreneurial potential. Within the industry there are many business options, the two most common of which are starting and running a tutorial service, and starting and running a school. However, as anyone who has dipped his or her toes in the ESL pool knows, there is a lot more to the industry than just tutorial services and schools. Product and service options abound. Indeed, there appears to be something for everyone, provided you carefully watch and listen to market trends, seize opportunities when they arise, and treat your “customers” with care, whether they are students, parents, teachers, or school administrators.
This chapter provides an overview of tutorial services and schools, as well as ideas about alternative business possibilities that you might consider adding to your business in the future to either enhance enrollment or make additional money.
If you are not sure which option best suits you, you can take the suitability test at the end of this chapter.
Starting a Tutorial Service
Tutors play an important role in the ESL industry. They offer students what can be difficult to get in a school environment — one-on-one attention, a chance to focus on specific areas of need or interest, and potential friendship with a native English speaker.
Tutorial services vary in size, formality, and target market. Some operate out of a storefront location, while others are home-based businesses that use a public location such as a coffee shop, library, or food court as the “classroom.” Many tutors hold lessons in their own homes. Some even teach in their students’ homes or homestays. This is most often the case when it comes to tutoring school-aged children.
Students
For many students, hiring a tutor is a normal