For Sale: Perth Meditation Centre
Since 1987, I have had a dream career. I have taught approximately 1000 courses of 4-8 weeks duration, plus around 600 one-day workshops, 500 workplace seminars and 40 retreats. I’ve also had the opportunity to publish eight books. My working life has been more satisfying, free of angst and full of appreciation than I could ever have imagined when I started with my first class of seven people in a local learning centre.
However, I don’t think anyone should remain in one profession for more than 30 years. I’m approaching 70 and I’d like more time and space for my other interests. So would you like to buy this business?
From 2012 to 2016, the average annual revenue from my teaching was $126,000 (incl. of GST). Expenses were approximately $14,000 for rent, and $10,000 for the rest (phone, internet, PLI, postage, car, accountant, website etc). This means that the average cashflow after expenses was approximately $102,000 (incl. of GST) or $92,000 p.a. taxable income. These five years were my peak earning years. This was due not to my ability but to the increasing popularity of mindfulness, which still shows no sign of declining.
The value of a business is usually calculated as 2x or 3x times annual cashflow, but this seems quite excessive to me. I would consider any reasonable offer. You would get the ASIC registered name ‘Perth Meditation Centre’, the website and the goodwill; the mailing list for the last 7 years; the right to use the books, CDs and MP3s as class material and course structure; the right to reprint the above as required; and approximately 800 copies of ‘The 5-Minute Meditator’ worth $20 each. You would also get the whole package: the existing advertising, articles, course description, workshops and pricing on the website that would enable you to walk in and start immediately, or use to augment your existing business.
I had my own premises in King Park Rd and in Hay St, Subiaco for 20 years. Since 2009 however, I have hired the Subiaco Community Centre Hall at $60 p.h. as required. This has proved to be a very stable, long-term hiring arrangement in an ideal venue, and infinitely better than my years of renting commercial premises. If you teach people sitting in chairs as I do, rather than lying down, you don’t need the exclusive use of a space. Anywhere quiet for those few hours will do.
As part of my retirement plan, I have progressively reduced the number of evening and daytime courses that I do. A decade ago, I used to teach eight courses a week. In 2017 I abandoned them completely, and just focused on Saturday workshops.
However the weekly courses produced over 60% of my income, and are understandably more popular with students than one-day workshops. As I expected, my income for 2017 and 2018 dropped accordingly. I now have an undemanding, semi-retirement workload of just 10 to 12 one-day workshops a year. This is still bringing in revenue of $50,000 pa, but the first thing any buyer would do is reestablish the evening courses. These are likely to bring in the bulk of the income over time.
Dec 2019 is an obvious time for settlement, although an earlier date would be possible. 2020 would also be suitable. I’m still enjoying the work and I’m in no hurry to stop. Please give me a call if you are interested: 041 042 1908