Healthcare, Education & Personal Services · Buyer guide
Buying a Private School business
Published · Reviewed by The Diligence Standard Team · Updated
a Private School can look attractive on headline earnings while asset condition, regulation, customer behavior, inventory, people or owner dependence materially change what the buyer actually owns.
How the business works
Enrollment, tuition, retention, teacher quality, accreditation/licensing, campus economics and leadership depth drive value.
Risks to test
- Enrollment volatility
- Head-of-school dependence
- Teacher retention
- Accreditation/licensing
- Campus/lease obligations
- Tuition receivables and financial aid
Evidence to request and reconcile
- Enrollment cohorts
- Tuition/discounting
- Staff payroll
- Accreditation/licensing
- Campus lease/assets
- AR and deposits
Decision questions
- What enrollment and retention trends exist?
- Who owns parent/community relationships?
- What approvals/accreditation matter?
- What campus obligations exist?
- How much tuition is discounted or uncollectible?