The Kick | Issue 71

TEN THINGS THIS INDUSTRY BELIEVES THAT ARE COSTING YOU MONEY
Most of what school owners "know" about running a school was handed to them by someone who benefited from them believing it. Here are the ten that show up most often.
MYTH #1: YOU CAN'T MAKE MONEY AND TEACH GOOD MARTIAL ARTS.
Two things feed this one. The McDojo, where owners watched black belts go out like participation trophies while the checks cleared and concluded that money lowers standards. And an older inheritance from traditional culture, where staying broke reads as proof you're serious. The first is a causation error. The second is a vow of poverty nobody remembers taking.
Start with the McDojo, because everybody's evidence is the same building. Ask what the low standards are actually doing there. Passing everybody is cheaper to run. It means no retesting, no remediation, no uncomfortable conversation in the lobby, no family walking out over a failed test. Cutting quality is a cost decision that happens to protect revenue. Nobody ever raised their tuition by teaching worse.
Now look at where standards actually collapse, and it isn't the profitable schools. It's the school at 60 members with three months of runway. That owner cannot fail a kid at a belt test. Losing one family that month is rent. So the test gets softened, the curriculum gets padded so the testing fee looks justified, the kid who shouldn't be a green belt becomes a green belt, and the owner tells himself it's about confidence. He didn't sell out. He got scared. Scared has a longer casualty list in this industry than greedy ever did.
Profit is what buys you the right to say no. When one family leaving doesn't move your P&L, you can hold the line at a test, cut a toxic parent loose, and fire an instructor who's coasting. Every one of those decisions costs money in the short term, and only a school with margin can afford to make them. The broke school knows exactly what it should do and can't pay for it.
So the myth has it backward. High standards are expensive, and business skill is how you afford them. If a consultant tells you to do something that makes your students worse, drops your standards on the floor, or turns your testing system into a belt-getting system, walk out. That's a cost cut wearing a growth costume.
MYTH #2: GOOD INSTRUCTORS ONLY COME FROM WITHIN.
The belief rests on one assumption, which is that culture transfers through time in the building and no other way. Somebody has to grow up in your school to absorb what you do. Sit with that for a second, because if it's true, you have a much bigger problem than hiring.
An instructor needs two things you cannot install: character, and the ability to make a room of people better. They also need a third thing you absolutely can install, which is your curriculum, your standards, and your way of running a floor. Internal hiring optimizes for the part that's teachable and takes a coin flip on the parts that aren't. You promote the 17 year old because he's been here nine years, not because he can hold a room, and then you spend two years hoping the room-holding shows up.
There's a second cost nobody talks about. A student who becomes staff has spent a decade learning to defer to you. That deference is what made him excellent on the mat and it's exactly what stops him from correcting a parent, holding a line at a test, or telling you the schedule isn't working. You trained the compliance in on purpose. Now you need him to run a shift and it's still there.
Some of the best instructors I've had came from outside hires. MUV is currently being run by an outside hire. If your culture can survive that, then it lives inside a system and it'll still be there when you take two weeks off. If it can't survive an outside hire, the culture lives in your body, and every hiring decision you make is really an attempt to hide that fact from yourself.
Keep developing your own people. Also understand that waiting for a room of 14 year olds to turn 18 so you can hand them real responsibility is a staffing plan with a five year lead time, no guarantee any of them stay in town, and no fallback if they don't.
MYTH #3: SOMEBODY CAN GUARANTEE YOU 100 STUDENTS IN 7 WEEKS.
Before you look at whether it works, look at why you clicked. A school that adds members steadily has no use for 100 in seven weeks. That offer only lands on an owner who has no reliable way to add ten, so the number has to arrive in one delivery. Wanting it is the diagnosis.
The demand tells you what's missing. Somewhere in your operation there's no consistent lead source, or no intro process that converts the same way twice, or no onboarding that survives the first 90 days, and the surge is what you reach for in place of building those. Buying a hundred trials doesn't test any of it. You already know a discount deep enough will fill your lobby. What you don't know is what happens to a family in week eleven, and the campaign is designed to end before you find out.
The bucket is the whole picture here. You've been pouring harder every time the level drops instead of getting under it to find where it's draining, and pouring harder is faster, cheaper this week, and it feels like action. Meanwhile the holes have been in the same places for three years. Marketing keeps running the whole time either way. The difference is that a school with the holes patched turns steady inflow into a member count that climbs, and a school without them turns the same inflow into a treadmill.
The surge makes the holes worse on the way through. A hundred trials at once means your instructors are underwater, your intro quality drops for every family that walks in during those seven weeks, and your existing members are training in a room that stopped feeling like theirs. Students recruited on price leave on price, and they take some of your good ones with them on the way out.
Then it ends and you're where you started with a bigger ad bill. Not because the campaign failed, but because a burst can't become a system. Nothing you learned in those seven weeks tells you how to add fifteen members next month, so when the level drops again, the only move available is another surge.
The alternative is unglamorous and it compounds. Add $1,000 to $2,000 in new billing every month, then reverse engineer the enrollments and the leads that requires. Charge $200 a month and lose 5 members a month and you can plan on losing $1,000 in billing like clockwork. Enroll 5 to replace what walked, then 5 more to hit your number. Do that every month and in three years you're grossing $36,000 a month more than you are today. Nobody advertises that, because it can't be guaranteed and it sounds like work.
MYTH #4: BUILD IT AND THEY WILL COME.
A second location settles this, because it pulls apart the two things the myth glues together.
The owner's quality is already maxed. Twenty years of it, black belts on the floor, a school across town full of families who would follow him anywhere. What he has in the new zip code is nothing. Parents four miles away have never heard his name and had no reason to. Same instructor, same curriculum, same standards, and the only variable that changed is whether anyone knows the building exists. Watch which one determines opening day.
So we start marketing and preview classes 10 weeks before the doors open with one target, which is 100 members enrolled on day one. In a small square footage location that changes the whole economics. Open with $20,000 in billing against $5,000 in rent and $7,000 in payroll and you're profitable before the first class bows in. Skip the ten weeks and you open to an empty mat, then spend the next year doing that same marketing anyway, under worse conditions, with rent running the whole time. The work doesn't disappear. It just gets more expensive.
Those ten weeks run as a mix, and the mix is the part owners skip. Paid ads and a local list going online while you're also at the fall festival, inside the elementary school, and putting preview classes in front of parents who get to watch a kid have a good time. Reach comes from online. Trust comes from being in the room. Ads into a town that's never heard of you convert badly, and a booth at a school carnival reaches four hundred people you'll never see again.
Now run the same mix permanently, because the school you already own needs it more than the one that hasn't opened yet. Marketing is a fixed line item in the good months and the ugly ones, the same as rent. Turn it on only when enrollment dips and you're buying students who enroll six to eight weeks later, so you spend in March and feel it in May, and you spend your whole career one cycle behind your own cash flow.
The presale is consistent marketing compressed into ten weeks. Every owner believes in it when there's a lease and an opening date forcing the issue. The school that's been open eleven years deserves the same treatment and almost never gets it.
MYTH #5: YOU HAVE TO FOLLOW [INSERT SYSTEM HERE] TO SUCCEED.
Notice that the conviction is always total. "You must run term memberships" and "you must run month to month" get delivered with the same certainty by different people in the same conference hotel. Both of them are describing what happened in one school, usually their own, and certainty is doing the work that evidence should be doing.
That's the tell. A consultant who has run one school has a sample size of one, and a sample size of one produces the strongest opinions in the industry. The more schools somebody has actually seen from the inside, the more hedged they get about models, because they've watched both versions work and both versions fail in the same market.
Models also happen to be the easiest thing to copy and the least valuable thing to own. Your competitor can read your pricing page tomorrow. What he can't copy is whether your staff executes, whether your intros convert, and whether your community trusts you. Those live in execution, which is why two schools running identical contracts land in completely different places.
We have clients on term memberships and clients on month to month, both getting consistent results, because the fit with the owner running it matters more than the structure on paper.
One test settles it. If a system strips your identity and your culture out of your school, ask what the promised success actually costs. A system should install structure underneath the thing that makes you different. The distinction is who authored it. A system you built to move your standards into other people multiplies you. A system you bought to replace your judgment replaces you. When the playbook makes you interchangeable with the school across town, you paid money to become generic, and generic competes on price forever.
MYTH #6: YOUR MAIN COMPETITOR IS THE SCHOOL ACROSS THE STREET.
Is he a competitor? Yes. Is he your main one? The data in your own billing software says no, and it has been saying so for years.
The belief survives because attention gets allocated by visibility instead of by threat. You drive past his sign daily. You hear about his belt test from a parent across town. Soccer never shows up on your commute, so soccer never enters the analysis, and rivalry is easy to feel and impossible to invoice.
Pull your cancellation reasons from the last twelve months and count how many members left for another martial arts school versus how many left for a season of something else. He barely appears. What appears is the fall signup sheet, the travel team, the schedule conflict, the family that decided one activity was enough. You've been watching the wrong door.
The strategic cost of getting this wrong is bigger than the wasted attention. Positioning against another dojo means arguing about martial arts, which is a debate a parent has no ability to judge and no interest in having. It also shrinks your market down to the people who already decided on martial arts, and that pool is small.
Positioning against the activity market puts you in front of every parent still deciding. That's where you sell what a season of rec soccer structurally cannot deliver, which is individual progression, no bench, and confidence that shows up at home and in the classroom. The parent is choosing between you and everything else on the list.
MYTH #7: SALES TACTICS ARE SLEAZY.
This one got earned. The industry ran high pressure closes, shady price sheets, and contracts written by billing companies, and a generation watched that happen and decided the act of selling was the disease. Also, we have seen Wolf of Wall Street right?
Look at what actually made those tactics sleazy. Every one of them worked by keeping information away from the family or applying pressure against their interest. The fake price sheet is a lie. The manufactured deadline is a lie. Asking a parent who just watched their kid light up on the mat whether they want to enroll is not a lie, and it doesn't become one because somebody else abused the same moment in 1998.
Now follow what happens when you refuse. The family doesn't leave neutral. They leave with less information than you had, carrying a decision they're not equipped to make, and they make it in the car. Declining to ask is a decision you made on their behalf, and the outcome of it is usually another sport. The pressure didn't disappear when you took your hands off. It moved onto the parent.
There's an operational problem too. A school with no sales process still sells, just inconsistently, so the family's outcome depends on who happened to be standing at the desk that afternoon. Your best enroller does 60 percent and your worst does 15, and you've been calling that variance integrity.
The details are where the integrity actually lives. How you present pricing. The language you use. Building real WOW moments and asking while the family is still at the high point of one. We love our system because it converts between 80 and 85 percent and nobody loses their soul running it. When the sale is built on connection, the close is a family agreeing out loud with something they already decided.
MYTH #8: STUDENT COUNT AND REVENUE MATTER MOST.
Both numbers matter. Revenue is oxygen and member count is how you get it. The problem is what happens to them at seminars, where they stop being operating numbers and start being a scoreboard, and the scoreboard is missing the only column that decides whether you keep your school.
Ask why these two became the currency. They're the only figures visible from outside the building. Anybody can eyeball your parking lot and your class sizes and infer the rest, so those became the numbers people say out loud in a hallway. Nobody volunteers their margin, which means the industry's entire benchmark set is built from the two metrics that happen to be easiest to brag about.
That's how the wrong target gets installed. An owner hears 400 members over a drink, goes home to his 180, and starts chasing the gap without ever learning whether the guy with 400 takes home more than he does. Revenue is also the number you can always buy. Spend more on ads, add a program, discount harder, and it moves on command. Every one of those levers raises the figure you'd announce and can lower the one you deposit.
Members carry cost with them. Mat time, payroll, square footage, belts, retention labor., etc. Past a point the marginal member consumes more than they pay, and the school keeps adding because the visible number keeps climbing.
I've seen schools with 500 members and next to zero profit, and schools under 200 doing $75,000 a month and keeping $40,000 of it. I've owned and exited multiple businesses, and my early mistake was driving revenue up while driving expenses up right behind it. You end up with a job that has worse hours than the one you left.
This past weekend I sat with a business owner running a $14 million a year company. We traded our KPI’s (business numbers) and one of my businesses doing just over seven figures was more profitable than his entire operation. He'd grown horizontally, bolting on departments instead of going all in on the thing his company was great at, which walks directly into the next one.
Watch revenue and headcount like any other operating number. Judge the school on profit , your actual take home, and your margin, and quit measuring yourself against figures that were selected for how they sound at a table.
MYTH #9: MORE PROGRAMS MEAN MORE PROFIT.
The myth works because revenue and cost show up on your P&L with completely different resolution. A new program arrives as a clean line item you can point at. Its costs get scattered across payroll, rent, marketing, and your own hours, where none of them carry the program's name.
So every program you add looks better on paper than it performs in reality, and it looks better by a predictable amount, every single time. You're not making a bad judgment call. You're reading an instrument that's miscalibrated in one direction.
Then there's the part the arithmetic hides. Adding a program adds no capacity. Your mat has the same hours it had last month, your staff has the same attention, and your marketing budget didn't grow. The new program takes its share from programs that were already working, which means your best offering gets slightly worse in order to fund one that hasn't proven anything.
Divide your revenue by program sometime, then divide your payroll the same way. Most owners have never run that math on purpose, because they already suspect what it says.
Shiny object syndrome is real. You leave a seminar with a curriculum license, the BJJ school down the street looks like it's winning so you add that, fitness kickboxing goes on the schedule, and now payroll is through the roof with nothing standing on its own. Michelangelo didn't create David by adding marble. He removed everything that wasn't the statue. Name the three programs you'd keep if you could only keep three, then go find out why the rest are still on the board.
MYTH #10: MORE MEMORIZATION MEANS MORE SKILL.
This one is going to bruise some egos. When somebody earns a black belt at your school, are they earning it in memorization or in their ability to protect themselves efficiently?
Recall and execution run on different systems at different speeds, and only one of them is available in a fight. Go watch a full day of classes and count how many students pause and look up while they're training. That look is a student searching for the next move in the pattern. Recall is running the show, and recall is the slowest thing in the room.
Curriculum volume trades directly against repetition, because the hour doesn't get longer. Every technique you add is reps subtracted from the techniques that were already in there. A student who knows 200 movements at 40 percent has less usable skill than one who owns 30 of them completely, and the second student is the one your school gets judged by the moment anything real happens.
Follow the incentive on why the binder got fat. Volume justifies the testing fee, fills the calendar, and gives everyone something to point at as proof of depth. It solves problems for the business while quietly creating one for the student, which is the exact behavior owners think they're avoiding when they talk about McDojos.
Years ago I watched this happen in my own school and realized we were teaching far too much curriculum. We simplified, and student quality went through the roof. The extra material had been covering the gaps the entire time.
Every myth in this industry survives because somebody gets paid when you believe it.
SPOTLIGHT: GROW PRO AGENCY
OUR FAVORITE MARKETING AGENCY
Myth #4 deserves a name attached to it. We use Grow Pro Agency for MUV Martial Arts' paid advertising and their appointment setter program, and their setters are the best in the industry at turning leads into booked intros.
I trusted them enough to sell Relentless Media Agency to them earlier this year. Nobody takes better care of school owners. Want to meet their team and see how they can help you achieve consistent growth? Hit that button below!
WORTH STEALING - The Net Billing Growth Plan
Myth #3 dies fastest when you run the math on your own numbers. Most owners have never sat down and reverse engineered what consistent growth actually requires from their lead flow, so their goals stay vibes instead of targets. This prompt does the sitting down for you.
Paste this into Claude or ChatGPT:
"You are a growth planner for a martial arts school. Ask me the following questions one at a time, waiting for my answer before asking the next: 1) What is your average monthly tuition per member? 2) How many members do you lose in an average month? 3) How much new net billing do you want to add each month, in dollars? 4) What percentage of your leads book an intro appointment? If I don't know, use 50%. 5) What percentage of intro appointments enroll? If I don't know, use 70%. Then build me a one-page Net Billing Growth Plan showing: the billing I lose each month to attrition, the total enrollments I need monthly to replace it and hit my growth goal, the appointments and leads that requires per month and per week, and a projection table showing my added gross monthly billing at 12, 24, and 36 months. Format it so I can print it and put it in front of my team."
Run it once a quarter, or any time your tuition or attrition changes. And run it again the next time an ad promises you 100 students in 7 weeks, just to remember what real growth math looks like.
ONE MORE THING
I sat down with Paul Melella Jr of the One Degree Podcast and said out loud what most owners only think. The episode is called Own Your Business Without It Owning You, and we covered the order everything in my life runs in, God first, family second, mission third, and how that order is the reason the systems work at all. We also got into AI as a strategic asset rather than a patch over a hole or a replacement for people.
If this issue resonated, that conversation is the long version of it.

SEEN IN THE WILD
EVERY SMALL BUSINESS'S MARKETING NOW SOUNDS IDENTICAL.
Lilach Bullock makes the mechanical case for the myth we didn't have room for above: your AI copy doesn't sound bad because a machine wrote it. It sounds bad because you fed the tool the same generic prompt as every other owner in your category, and it handed all of you the same two hundred phrases back. The tool isn't the problem. The input is. Which means the fix isn't a better tool, it's a better owner behind it.
THE LINE BETWEEN ANALYSIS AND JUDGMENT.
Writing in Psychology Today this month, Dr. Tony Nguyen and Dr. Giang Hoang describe two entrepreneurs asking AI the same question and getting the same detailed plan. The first treats the output as an answer. The second treats it as a collection of assumptions. That gap, they argue, is the whole skill, and the thing AI quietly erodes is originality and calibrated confidence. Worth reading twice if you've caught yourself forwarding an AI plan to your team without pressure-testing a single line of it.
THE WRONG MENTOR WILL TAKE YOU EXACTLY WHERE THEY WENT.
Yes, this one is mine. I wrote about how I vet mentors now: values alignment first, scars without open wounds, and a scoreboard I actually care about, because revenue is easy to fake for a weekend and a marriage is not. If you've ever followed advice that was good on paper while your gut went sideways, this is the anatomy of why. One mentor is one voice. You need a room.

THE STAT
Increasing customer retention by just 5% increases profits by 25% to 95%.
(Source: Frederick Reichheld, Bain & Company, published by Harvard Business Review)
Run that against Myth #3. At a 200-member school, saving five families a month is a 2.5% retention move, which puts the most profitable campaign you'll ever run at the back door instead of the front one. This means you have to bring in $800-$1000 less in new members than previously. That is how you grow.

CLOSING THOUGHT
Every myth on this list is comfortable, and that is exactly how it survived. The guarantee let you skip the math. The rival across the street gave you somewhere to point. The fourteen programs kept you busy enough to avoid looking at the profit line. Killing a myth costs you whatever comfort it was providing, which is why most owners defend their myths harder than they defend their margins. The school you actually want is sitting on the other side of the beliefs you're most reluctant to check.



