Creating your own schedule. Choosing your students. Setting your pay rates. Working from home. These are the benefits that probably attracted you to tutoring — but what exactly are the steps for how to start a tutoring business from home?
If you have plenty of subject knowledge but need help with the business side of things, you’re in the right place. We’ll cover the basics of how to start an online tutoring business or offer in-person private tutoring, from checking off the legal requirements to finding your first students.
9 Steps to Your Own Tutoring Business, Summarized
TL,DR kind of day? Here are the steps we’ll cover — just jump to where you need help:
- Determine your tutoring niche
- Weigh the pros and cons of tutoring online vs in-person
- Consider getting a certification or license
- Register your business
- Cover your legal risks with tutor insurance
- Choose your pricing and policies
- Invest in the right tech and tools
- Create an online presence
- Find your first students
We’ll also cover these helpful resources for starting a tutoring business:
Small Business Administration (SBA) | Steps to Register a Business
SBA | Choosing a Business Structure
Insurance Canopy | How to Structure a Tutor Lesson
Insurance Canopy | Tutor Insurance
Insurance Canopy | Tutor Pricing Guide
Insurance Canopy | How to Market Your Tutoring Services
How to Start a Tutoring Business From Home in 9 Steps
Being an entrepreneur sounds intimidating at first, but you’ll be amazed how do-able it is to start a tutoring business online or in your community. Just follow these steps to start strategizing and get your paperwork in order.
1. Determine Your Tutoring Niche
This may sound counterintuitive, but the worst thing you can do for a tutoring business is try to teach every subject and student.
Tutors who succeed identify a niche and tailor their business to fit a specific need. Not only will you stand out from other tutors, but you’ll attract the kind of students you actually want to teach.
Here are a few examples of focusing general tutoring into a specific niche:
- Test prep tutor ➡️ SAT prep tutor who focuses on building test-taking skills and confidence
- Homeschool tutor ➡️ Online writing tutor specializing in peer workshopping and group sessions
- Language tutor ➡️ English language tutoring in medical, legal, and business English for adults
Pro tip: You can always hire tutors who specialize in other subjects to expand your client base as your business grows. But for now, it pays to focus on a specific kind of student. Answer these questions to find a tutoring niche that fits your expertise:
- What are your best 1-2 subjects, or where do you have the most experience?
- What type of learners or learning styles do you tend to connect with?
- Which learning challenges are you best equipped to help students with?
- What age range or grade levels are you most qualified to teach?
- Do you do your best tutoring one-on-one or in small groups?
2. Decide Whether You’re Tutoring Online, In-Person, or Both
There are plenty of pros and cons to starting an online tutoring business or offering in-person sessions. Which one is right for you depends on your teaching and spending priorities.
Pros & Cons: Online Tutoring vs In-Person Tutoring
Online Tutoring
Convenience
- ✅ Tutor anywhere, anytime with students from around the world
- ❌ Requires stable internet and expanded hours to make up for time zone differences
Cost
- ✅ No travel expenses and low costs to start and run your business
- ❌ Tutors who work for online platforms may need to pay a commission fee
Engagement
- ✅ Interactive tools like virtual whiteboards, screensharing, and digital resources
- ❌ Tutors are limited to digital tools and input, so it can be harder to gauge teaching effectiveness
Learning Environment
- ✅ Comfortable, familiar environment for most of your students
- ❌ You can’t control distractions in the students’ environment, which can decrease focus
Tech & Tools
- ✅ Access to many digital tools and resources (like online quizzes, interactive games, etc.)
- ❌ IT problems can derail your session. There’s also a higher technical learning curve for tutors.
Personal Connection
- ✅ Many ways to participate (spoken, chat comments, collaborative document creation)
- ❌ Can be harder to build a rapport and read body language
Learning Flexibility
- ✅ Quick and easy resource sharing
- ❌ Meeting the learning needs of kinesthetic learners or providing physical demonstrations is harder
Time Management
- ✅ No travel means less time and effort to show up
- ❌ Zoom fatigue and greater difficulty managing breaks
In-Person Tutoring
Convenience
✅ Face-to-face interaction can make learning easier for some students
❌ Requires travel and limits you to a specific area
Cost
✅ In-person sessions command higher rates since they require more investment from you and may feel more personal to students
❌ Getting to students creates travel costs. If students come to you, you need to rent, buy, or maintain a space.
Engagement
✅ Personal interaction makes it easier to read student body language and make teaching adjustments
❌ Digital resources and visual aids can be harder to incorporate effectively into your lesson
Learning Environment
✅ You have more control over your students’ physical environment
❌ Some students may be more comfortable participating in chats or on digital whiteboards than in-person
Tech & Tools
✅ More hands-on teaching opportunities with physical materials (textbooks, paper handouts, visual aids, etc.).
❌ Bringing in tech-based learning tools can be a little challenging.
Personal Connection
✅ Face-to-face interaction fosters stronger trust and connection
❌ May feel more intimidating for shy or anxious students
Learning Flexibility
✅ Great for highly physical subjects (like art or sports) and kinesthetic learning styles
❌ Less access to immediate tech tools or digital content
Time Management
✅ No need to wait for tech setup or troubleshooting, and breaks can be more successfully time-managed
❌ Travel time can eat into lessons, limit your client pool, and make scheduling or rescheduling tougher
Pro tip: Choosing both online and in-person tutoring lets you teach more students and fit more schedules. However, it means extra costs to equip and advertise for both. Plus, you’re accepting all of these cons as challenges your business may face (along with all the pros you get to enjoy).
Expanding into in-person and online tutoring over time is a smart strategy, but you may want to start with one or the other as you learn the business ropes and make adjustments.
3. Consider Getting a Certification or License
Unlike K-12 teaching, tutoring doesn’t have state licensing or certification requirements. Most tutors aren’t licensed or certified, but extra credentials can open up more opportunities.
If you decide to become a tutoring vendor for a local charter school or work with a tutoring agency, you may need a specific certification to get hired. Schools often require a teaching license regulated by a state’s board of education. (Check out this resource to find teacher licensing requirements in your state.)
Even if you’re starting your own tutoring business and working for yourself, there are benefits to becoming a certified tutor:
- Tutor certification courses help subject-matter experts become better teachers. If you’re an expert in your field but don’t have a teaching background, learning how to structure a tutoring lesson helps you communicate well and engage many types of students.
- Certificates equip teachers with strategies for tutoring. If you’ve taught classes but never tutored, a certificate course helps you adjust to fit different time constraints and student expectations.
- Certified tutors have higher credibility and earning potential. Proving that you’re qualified to teach can lead to more and higher-paying opportunities.
- Teaching credentials make you stand out. Tutoring can be an extremely competitive field, and showing you’re qualified and capable makes a strong first impression.
Pro Tip: Need some suggestions for a tutor certificate? Try these programs:
- National Tutoring Association (NTA): Courses from beginner to advanced, including general tutoring techniques and subject-specific classes. NTA membership is required.
- The Association of Test Preparation, Admissions, and Private Tutoring (TPAPT): A wide range of online courses in test prep instruction, starting from $49.
- Center for Effective Reading Instruction (CERI): A broad variety of literacy tutoring certificates, including specific instruction for teaching students with dyslexia.
- Language teaching certificates such as Certificate in English Language Teaching to Adults (CELTA) and Teaching English to Speakers of Other Languages (TESOL)
4. Register Your Business & Make It Official
It may not come naturally to think of teaching as a business, but the legal requirements for a tutoring business are the same as any other. To register with the state and federal government, follow the steps outlined in the Small Business Administration (SBA) registration guide:
- Choose a business name. You may feature yourself as the face of the company (Tutoring with [Your Name]), focus on a subject (Mathwise Private Coaching), or cater to an age group or niche. For example, consider which student niches the names Native Speakers Network, LinguaBridge Learning, and Bilingual Beginnings might appeal to.
- Decide on a business structure. This is the type of company you want to be. Common business structures for tutoring include sole proprietorships, partnerships, and LLCs. Check out SBA’s small business structure guide for the benefits of each.
- Pay the registration fee. Depending on your state and business structure, this typically costs between $50 and $300.
- Get an EIN number. This state and federal tax ID number registers your business with the IRS and helps you keep things above board come tax time. You can get an EIN number for free through the IRS.
- Open a business bank account. While it isn’t required to register, keeping separate work and personal accounts helps you handle legal and tax issues by clarifying which money comes from and belongs to your business.
5. Cover Your Legal Risks with Tutor Insurance
Running a home tutoring business means taking on the legal risks of teaching and owning a small business. Both online and in-person tutors face common claims like these:
- Injuries to other people on your property: If you’re starting a tutoring business from home and hold in-person sessions, you can be legally required to pay if a student or their parent gets hurt. For example, if a student’s grandparent falls on your stairs during a drop-off and sues you, you can be responsible for their medical bills.
- Damage to a student’s property: Let’s say you’re tutoring a student in their home when you accidentally spill your coffee on their parents’ antique rug. If you don’t have insurance, the cleaning or replacement bill will come out of your pocket.
- Breach of contract: If you have to cancel lessons in your contract due to a scheduling conflict or personal emergency, your student or their parents could sue you for not meeting the terms of your agreement.
- Lawsuits due to professional error or negligence: If incorrect information or failure to adequately supervise your students harms them in some way, you might get sued for professional errors or omissions.
- Dissatisfied parents and students: Sometimes your tutoring just doesn’t meet a parent’s or student’s expectations (realistic or not). Even frivolous lawsuits that don’t make it to court can cost you in time and legal expenses while you wait for a decision.
- Advertising mistakes: It’s easy to make mistakes and accidentally violate laws around advertising claims and practices (especially when so many tutoring businesses DIY their online marketing.)
- Misconduct allegations: Like any other teachers, in-person and online tutors are vulnerable to false accusations of inappropriate behavior with students. These cases often devastate a tutor’s finances and reputation, even if you did nothing wrong.
- Data breaches: Failing to choose secure online storage for your clients’ credit card details and personal info can leave you open to cyberattacks and lawsuits.
- Equipment damage or theft: If a student drops your iPad or you lose your business laptop in a home break-in, you would be out the money for replacements without insurance to reimburse you
Pro Tip: The most affordable way for tutors to cover all their business and teaching risks is to buy tutor insurance designed to bundle all the right coverages into one policy. Want to prepare for your legal risks? Learn more in our private tutoring insurance guide.
6. Choose Your Pricing and Policies
When you’re starting an online tutoring business or in-person academic coaching, how much you charge can greatly impact your success. Here are a few things to keep in mind for prices that are fair and competitive:
- Research standard rates for your subject and area. What you charge depends heavily on your subject matter, grade skill, location, and credentials. Some of the highest-paying tutoring subjects include test prep, STEM fields, and languages.
- Don’t be afraid to charge what you’re worth. Tutors with more experience or qualifications can charge more, so you might not be trying to beat the lowest-priced tutor in your area. Look for local tutors with similar experience to set competitive prices that don’t undersell your time.
- Consider your session and payment packages. While some tutors charge by the session, others bill for a six-week online class, by the month, or hourly. Consider what types of tutoring services you want to offer (group, private, recurring, one-time, etc.) and the best way to charge for those services.
Pro Tip: Identify your break-even point. You need to charge enough that the cost of starting and running your tutoring service is lower than your income. Start by calculating how much you need to charge to break even. Our tutor pricing guide walks you through tutoring overhead costs, break-even points, and pricing sessions.
7. Invest in the Right Tutoring Materials & Tech
Tutoring has low startup and overhead costs compared to most small businesses, which is why it’s a perfect side gig for teachers and professionals with flexible schedules. Still, you need some basic materials to get a home tutoring business off the ground.
Along with a private, low-noise meeting location (at home, that usually means an office with a door), in-person and online tutors should consider investing in the following:
Essential In-Person Tutoring Equipment
- Reliable transportation (ex: vehicle, metro pass, etc.)
- Paper and something to write with
- A small whiteboard or flipchart
- Lesson resources (textbooks, workbooks, class notes, lesson plan, handouts, etc.)
- Planner or calendar (to coordinate for the next session)
- Subject-specific tools (for example: art supplies, math counters, etc.)
- Organization tools (ex: folders, binders, and a storage bin)
- Interactive resources (ex: flashcards and learning games)
- Optional: a laptop (some tutors find this essential, while others leave it at home)
- A secure payment method (ex: Stripe, PayPal, Square)
Essential Online Tutoring Equipment
- Computer or laptop
- Reliable, steady, high-speed internet access
- Webcam (external webcams offer better quality than the one built into your laptop)
- Headset with microphone (again, you’ll get better audio quality with an external microphone, and a headset can help eliminate distractions in your environment)
- Video conferencing software with screen sharing (ex: Zoom, Google Meet, Skype, etc.)
- Document-sharing tools (ex: Google Drive, Dropbox)
- A secure payment method (ex: Stripe, PayPal, Square)
Nice-to-Haves for Online & In-Person Tutoring
- A phone plan with a mobile hotspot (as a backup plan if your internet connection drops)
- Interactive presentation apps or software (ex: Google Slides, Prezi, Genially, Pear Deck)
- Templates for digital presentation slides, handouts, and activities (ex: Canva)
- Gamified and interactive learning platforms (Ex: Kahoot!, Nearpod)
- A learning management system (LMS) to organize course materials (ex: Google Classroom, Moodle)
- Tutor management software for your business scheduling, invoicing, and student records (ex: TutorCruncher, Teachworks, TutorBird)
8. Create a Professional Website & Social Media Accounts
We get it — no one likes marketing themselves. Plenty of tutors never look further into how to start a tutoring business online because advertising feels intimidating (or just unpleasant).
Here’s the secret to hating this step less: online marketing works on the same logic as building an engaging lesson. You have information to communicate, but the goal is to find creative ways to make it practical and fun to interact with.
Tutoring business websites and social media channels aren’t just fancy resumes — they should show (not just tell) how you help students. Features like testimonials, statistics describing past students’ improvement, or blogs and videos demonstrate your expertise. Try these ideas for your website and social channels:
- DIY your website: Website builders like Wix and Squarespace keep things simple with pre-built templates. Just drag-and-drop the elements you want, change the text, upload images, and hit publish. Some also let you integrate booking forms, invoicing, and payments.
- Hire a freelance web designer: Web design not your thing? No problem. You can hire a freelance web designer on Upwork to build a site starting at around $40/hour.
- Browse other tutor business sites: Look up tutors you admire to see how they market their services. For example, we’re big fans of these well-organized websites from music coach The Tattooed Piano Teacher and French tutor French With Cousteaux.
- Tailor each channel to your audience: Social media is a must to engage with current and potential clients (whether you tutor online or not).
- Connect with students on Instagram, TikTok, or YouTube: Use Canva or Capcut to edit video into short homework help reels or post interactive learning challenges to engage followers.
- Connect with parents on Facebook: Neighborhood Facebook groups, PTA and school groups, or parenting advice forums are all good places to meet parents. Networking takes practice, but the steps are simple: join, add to relevant discussions, and gently promote your sessions by linking to a digital tutor flyer like this one.
- Connect with educators on LinkedIn: While teachers and school admin may not be your direct clients, gaining their trust can lead to referrals. Maintain a professional LinkedIn profile for your business and add to discussions about local educational issues.
Do you need help organizing and scheduling your posts or figuring out what’s working? Metricool social media management is a small-business favorite because it’s easy to use, shows engagement metrics, and has a free account option.
9. Finding Your First Students
Tutoring runs on word of mouth. Students will start to find you after you’ve been in business for a while, established yourself in the community, and built your online presence. But new tutoring businesses have to generate buzz around their service and find students from scratch.
Here are a few ways to get proactive about finding your first tutoring clients:
- Start with your own network: You may know more students, parents, and teachers than you realize. Start by promoting your business to your own social media followers, friends, and family to earn your first testimonials.
- Don’t be afraid to ask for referrals: Ask current or past students to recommend you with a quick note on your appointment follow-up emails or the occasional social media post. Include a link straight to your review form or a new client flyer to make recommendations easy.
- Get into the community: Talk to local schools, libraries, and businesses that cater to parents and students. You can also add your business to online directories and local classifieds.
Pro Tip: Always be on the lookout for low-cost marketing ideas that increase your chances of ongoing referrals. Our marketing guide for tutors shares 18 specific ways to promote yourself online and in your community, complete with real-world examples from tutors.
The Final Review: Benefits of a Home Tutoring Business
Taking the first steps toward being your own boss can be hard, but the rewards are well worth it. These are some of the biggest perks of starting your own tutoring business from home:
- Flexibility: Tutors who run their own business set their work schedule. You also have complete freedom to write your own lesson plans, teach to needs rather than tests, and personalize each student’s learning style and pace.
- Reach and accessibility: Online tutoring opens up the world to you. You can connect with students globally, expanding your potential client base and fostering connections with diverse learners.
- Multimodal learning made easy: Digital platforms, in particular, are a goldmine for efficient resource use. Use online tools, interactive materials, and multimedia resources to amp up your teaching game and create learning environments that are not just effective but also engaging.
- Save time and money: Operating from home means you control your commute. Online tutoring slashes your overhead costs and travel time even further and lets everyone work in the environments that feel most focused and productive to them.
- Teach from home: A private tutoring business opens up teaching as a full-time or side gig for so many more people. K-12 teachers can run a tutoring service during the summer when classes are out, while tutors with kids at home or health challenges can work around their needs and schedule.
FAQs About How to Start a Tutoring Business
Is an Online Tutoring Business Profitable?
Starting an online tutoring business can be very profitable. Demand for online education is up, and the average online tutor makes about $19/hour, according to ZipRecruiter. However, this salary varies widely based on a tutor’s credentials and hours worked. One of the best ways to get a realistic income range is to check tutor forums like r/TutorsHelpingTutors.
Do I Need a Business License to Tutor?
Some states require a general business license for every business, while others only expect a license for specific industries. Here’s how you can know whether you’re required to license your tutoring business:
- Contact your state and local government to find out licensing requirements in your area.
- If you’re using a fictitious business name rather than your own name for your business, you’re required to register your business name, called your Doing Business As (DBA) name, in most states.
- If your business has employees, you must register with the IRS to get an EIN number.
- Check the Small Business Administration registration page to see if your business qualifies to run without a license or registration.
What Qualifications Do I Need to Start an Online Tutoring Business?
Formal qualifications add credibility, but a solid grip on your subject, excellent communication, basic tech literacy, and genuine passion for teaching are most important if you’re starting a tutoring business online. Some tutors may opt for certifications or degrees to prove their expertise to new students.
How Do I Set Rates for Tutoring Sessions?
Consider your experience, the complexity of the subject, and any extra services you offer. Look into the tutoring market and competitors, then fine-tune your rates to match. The sweet spot is a price comparable to other tutors with similar experience and subjects in your area.
Are There Legal Requirements for a Tutoring Business Online?
Most of the legal requirements for an online tutoring service are the same as those for any other small business: register with the state and local government, get any necessary licenses, and obtain an EIN number from the IRS. Check local regulations to comply with your state laws.
It also helps to be aware of the additional legal risks to online businesses. Tutors are responsible for protecting any personal data they collect from students and parents (that means phone numbers, credit card numbers, etc.). Choose a safe records storage location, use secure payment portals, and know what to look for to avoid phishing and other data theft scams.
