A feasibility study answers a single question before money is committed: should this studio be built at all? It is shorter and earlier than a business plan. It is carried out before a lease is signed, before a licence application is filed and before equipment is ordered, and it ends in a decision to proceed, to modify the concept, or to stop. This guide sets out the method that Code Pilates uses when it advises first-time studio owners, investors, and clubs or hotels considering a Pilates offer.
The feasibility study and the Pilates studio business plan are complementary. The study tests whether the idea is viable; the plan describes how it will be executed once the decision to proceed has been taken.
What a feasibility study must answer
- Is there sufficient demand, at a price the market will pay, within reach of the proposed site?
- Can the site and the licensing route support the concept, and have they been confirmed in writing?
- Can the studio reach break-even within the period that the funding covers?
- Can the studio be staffed with qualified instructors at the proposed cost?
- Which findings, if they occurred, would cause the project to stop?
Step 1: Define the decision and the criteria in advance
The criteria for a decision are written down before evidence is collected. For example: the licensing route and activity are confirmed in writing; the lease permits the intended use and fit-out; the break-even occupancy is below a ceiling the owner considers realistic; and the funding covers a slow ramp-up case. Setting the criteria first prevents the evidence from being interpreted to suit a decision that has already been made.
Step 2: Gather evidence of demand
Demand is established from evidence, not enthusiasm. Useful sources, from the least to the most reliable, are:
- Desk research: the number and type of comparable studios in the catchment area, and public population and household data from the relevant statistics authority;
- Market observation: published timetables, class capacities and price lists, and the fill rate at peak and off-peak times, observed over several weeks;
- Search and social data: local search volumes for Pilates terms and the reviews of existing studios, which show what clients value and what they lack;
- Direct evidence: interviews with prospective clients, and a waiting list or pre-registration for founding-member sessions, which show willingness to commit rather than interest.
Direct evidence carries the most weight. A waiting list with a stated price is a stronger indicator than a survey in which nothing is at stake.
Step 3: Screen the site, the licensing route and the lease
The site is screened before it is negotiated. The visibility, access, parking and neighbouring uses are assessed, together with the practical constraints on the space: ceiling height, floor loading, ventilation, acoustic separation, fire-safety requirements and the landlord’s approvals for fit-out and signage.
In Dubai, the trade licence is issued by the Department of Economy and Tourism on the mainland or by the relevant free zone authority, and a licensing authority may not issue or renew the licence of a sports establishment without the authorisation of the Dubai Sports Council. No official source consulted names a specific licence activity for Pilates, so the activity should be confirmed in writing before the lease is signed. The step-by-step position, with sources, is set out in How to Open a Pilates Studio in Dubai and in the guide to the Dubai Sports Council permit.
Step 4: Calculate capacity and the revenue ceiling
Capacity sets the ceiling on revenue. Weekly capacity is the number of stations multiplied by the number of classes per week; the realistic ceiling is that figure multiplied by the occupancy the market can sustain. The number of stations that the room can accommodate is determined by the manufacturer’s published footprint and clearance requirements, as explained in How Many Reformers Does a Pilates Studio Need?
Step 5: Test cost, break-even and funding
The study uses a simplified financial model. It needs to show three results: the total opening investment, the number of sessions per month at which the studio breaks even, and the number of months of cash that the funding provides if occupancy grows more slowly than planned.
| Test | Question | Passing evidence |
|---|---|---|
| Break-even | Monthly fixed costs ÷ contribution per session = sessions needed each month. Is this achievable within the capacity of the room? | Break-even occupancy is clearly below the realistic occupancy observed in the market |
| Slow case | If occupancy reaches target later than planned, how many months can the studio operate? | The working-capital reserve covers the slow case without additional funding |
| Delay case | If licensing or fit-out takes longer, what is the cost of each additional month of rent before opening? | The cost is quantified and funded |
The structure of the full model is described in the business plan guide, and the revenue and cost drivers in Are Pilates Studios Profitable?
Step 6: Test whether the studio can be staffed
A concept that depends on instructors who cannot be recruited, qualified or retained at the planned cost is not feasible. The study records the number of instructors required for the intended timetable, the qualifications and registration they must hold, and the realistic source of recruits. Where the local supply is limited, the cost and time of educating instructors is included. See Hiring and Training Instructors for a New Pilates Studio.
Step 7: Decide to proceed, modify or stop
The study concludes with a decision table. Each criterion is marked as met, not met or unknown. An unknown on licensing, the lease or funding is treated as not met, because these are the items that cannot be corrected after commitment.
| Criterion | Evidence | Status |
|---|---|---|
| Licensing route and activity | Written confirmation from the licensing authority and the Dubai Sports Council | Met / not met / unknown |
| Lease and fit-out | Permitted use, landlord approvals, registered tenancy | Met / not met / unknown |
| Demand | Waiting list, observed fill rates, interviews | Met / not met / unknown |
| Break-even | Model with base and slow cases | Met / not met / unknown |
| Funding | Reserve covers the slow case and the delay case | Met / not met / unknown |
| Team | Instructors identified or an education plan in place | Met / not met / unknown |
If every criterion is met, the project proceeds to the business plan. If some are not met, the concept, the site or the budget is modified and the study is repeated. If a decisive criterion cannot be met, the responsible decision is to stop before capital is committed.
Professional support
Code Pilates Consultancy advises entrepreneurs, investors, gyms, clubs and hotels on studio planning, from the investment decision to the first 90 days. Sessions are led personally by Barış Özdemir, are held online or on site in Dubai, in Turkish or English, and are followed by a written action plan within 48 hours. The strategy session for studio launch and set-up includes the market, location and competitor analysis and the feasibility and investment budget described in this guide. The available topics are listed on the Pilates studio consultancy page.
This guide is general information and does not constitute legal, tax or financial advice. Licensing requirements are determined by the competent authorities and may change.
Frequently asked questions
A feasibility study decides whether a project should proceed. A business plan describes how the project will be carried out once the decision has been taken. The study comes first and is shorter.
Before any commitment is made: before the lease is signed, before the licence application is filed and before equipment is ordered.
It is a decision taken against criteria set in advance. If the criteria are met, the project proceeds; if they are not, the concept is modified or the project is stopped.
No. It reduces avoidable risk by testing the main assumptions before capital is committed. It does not remove market or operating risk.
Yes. The strategy session for studio launch and set-up covers the market, location and competitor analysis and the feasibility and investment budget, and is followed by a written action plan within 48 hours.
About Code Pilates Academy
Prepared by Code Pilates Academy, a private international Pilates teacher-training school and studio consultancy founded by Barış Özdemir, NCPT.
