What's that dirty word we're supposed to be talking about today?

Oh yes... "profit."

Brrrr. Gives a martial arts instructor the chills, just thinking about it.

But despite all the bullshit you've been fed by your martial arts forum buddies and numerous other digital warriors out there, "profit" does not equal "McDojo." Not by a long shot.

I'm going to explain why that is, and I'm also going to explain why you need to squeeze every last drop of profit -- ethically, of course -- from your dojo.

The Moral Imperative to Profit

If you're a professional, skilled, conscientious instructor who is fully certified and qualified to teach a legitimate martial arts system (30-year-old 10th dan black belts and self-made "sokes" need not apply), then you have a moral imperative to turn a profit in your dojo.

Here's why...

I guarantee you that the McDojo down the street knows how to turn a profit. They know how to advertise and market their dojo, and they know how to sell memberships. 

They have student retention systems down, and they track their stats and stay on top of billing issues. And, they push their Pro Shop and special events to bring in extra income to their school (more on that in a minute).

And that's why they're kicking your ass in business.

The Knee-Jerk Reaction

Now, I know what the knee-jerk reaction to this will be for most struggling martial art school owners:

"Yeah, and that's why I don't do all that stuff, because I don't want to be a McDojo."

Which is like saying, "I didn't go to an Ivy League college, because I don't want to be an elitist snob." Silly, right? We all know it's not the education that makes someone elitist, it's their morals and actions.

The same thing goes for running a profitable martial art school. Following good business practices doesn't make you a McDojo; cheating people, handing out belts like candy, and teaching crappy martial arts is what makes you a McDojo.

Which brings us back to the moral imperative to profit. If you continue to suck at business, then you are letting the McDojo down the street win. And by winning, I mean attracting honest people into their school and bilking them out of their hard-earned money, when they could have been training at your place instead.

In other words, when you fail to do your damnedest to have a profitable dojo, by an act of omission you are at least partially responsible for all those people who get cheated by the local McDojo.

Let that sink in for a moment... it's a bitter pill to swallow, is it not?

Well, then let's do something about it.

What to Do About It

Yeah, it sucks. Not only does it suck to have the McDojo down the street kick your ass in business, it also sucks to know that your own inaction and stubbornness is to blame.

And realizing that you've been at least partially responsible for letting the McDojo cheat the crap out of people in your community is just icing on a crap sandwich. 

So what do you do about it?

Well, for starters you get on all the stuff I've already talked about in this email series. You get your overhead down, you get good at marketing, selling, and collecting money, you work on getting your attrition down (and track your numbers so you aren't guessing at it), and you grow your school so you can hire and train good help.

And after that?

Then you start fixing all the ways that you're letting money walk out the door. And, you work on adding revenue streams to your school. It's called maximizing profit.

The reason why you do this is so you can compete on a level playing field with all the McDojos around you. Because when they have money to advertise, to buy new equipment, and to have a nice dojo, and you don't, you're playing at a disadvantage.

And that's why Mr. McDojo is kicking your ass.

So, refuse to allow it to happen. Get better at running your business. Get better at getting new students and keeping them around. And accept that you don't have to compromise your principals to do so.

Because by bringing more students into your school, you're keeping them out of the McDojo down the street. And that's a good thing, in anybody's book.