Private School as a Business

So ever since we came to the US we've sent our kids to private schools, Sierra Canyon and Viewpoint. While ruminating on a business venture it occured to me that these formed a interesting and profitable venture right under my nose. Both had started as summer camp locations in out of the way locations, creek beds in dusty locations at the edge of the valley. They'd then evolved into daycares, to kindergartens, to elementary and finally after 20 years to full blown K-12 ventures which now sit pretty on multimillion dollar prime real estate locations with not-for-profit educational business ventures running on them. Its often been said to me, both as a compliment and as insult that I like to lecture people and that I'm quite good at it. About the same time I read an article in Lew Rockwell by Gary North about a pastor who'd written a how to on starting profitable schools as both a business and a ministry. Now I'm not into the ministry part but the rest is interesting and despite Gary North being the guy who made a reputation off of the Y2K scam I followed up on it.

I think this is a sound plan and approach. I researched this a great deal, I signed up at the local community college and took half the courses in child development required by California for a daycare license, attended the licensing courses, contacted local realtors for locations, contacted local city councils for permitting, etc.

Just as he says, most of the above are just barriers to entry which protect the incumbents, most of the people at the licensing appear incapable of tying their shoes let alone being your competitor, pay the permit and license extortions, jump through the hoops, employ the minimum wage students you met at the community college courses and away you go. So why didn't I do it?

I now think there are three things you never want to watch: making laws, making sausages, and pushing kids through a school system! Basically, I have strong views on the educational process and I couldn't see myself kow-towing to the educrats in order to exploit parents trying to do their best for their kids. I kept finding myself thinking about a business organized for their needs and not mine. My philosophy would lead me to create something like the Sudbury Schools or a homeschool co-operative type approach. Its difficult to make money of these or get them to pay for your real-estate empire building!

Now don't get me wrong. I don't think the Kozel/North scheme is a con or unethical. I believe you can justify it to yourself that you are offering a service better than the public schools at a fair market price which will serve the students better than the alternatives. My problem is that I have a tendency of making the perfect the enemy of the good and I couldn't trust myself not to derail the business into an attempt to evangelize a world-view/philosopy, neglect the good in pursuit of the perfect.

To get my view and impression of the education system you should read Gatto's expose. I do not regard this as unique to the US, the "progressive" plan is an international conspiracy theory after all, and much of the ethos he describes applies equally well to European schools and matches my educational experience.

I've not entirely abandoned this idea, its one in my back pocket.


Phil Terry
Last modified: Sat Dec 30 12:17:38 PST 2006