A tutorial center helps grade school and high school students with homework, reading, math, science and entrance exam preparation, for a monthly fee or a package of sessions. Most start in a small rented space near schools with a few part-time tutors. The money is made on full classes, students who stay the whole school year and tutors paid fairly per session.

This guide walks through what it takes to start a tutorial center in the Philippines: the capital, the monthly costs, the permits and the first 90 days. The peso figures are sample estimates for a small center, 3 rooms in Cebu as of October 2026; get your own quotes before you decide.

How much capital you need

The sample comes to about ₱326,150 including one month of fixed costs kept as a cash buffer. It splits into space and setup (₱128,500), learning materials (₱71,000), safety (₱17,000), permits and deposits (₱55,000), launch (₱9,000) and working capital (₱45,650). Other ways to start: home-based tutoring at ₱40,000–₱80,000 and learning center with review classes at ₱600,000–₱1 million.

Monthly costs and break-even

Fixed costs in the sample are ₱45,650 a month; the biggest are admin and front desk (₱15,600), rent (₱15,000) and electricity (₱5,500). Each student sold earns about ₱1,600 after its own costs, so the break-even is 29 students a month, and the startup capital takes about 9 months to come back at full sales.

Permits and registration

Register the business name with DTI (or SEC or CDA), then get the barangay business clearance, the Mayor's permit through the city or municipal BPLO, and BIR registration; register with SSS, PhilHealth and Pag-IBIG once you hire. A tutorial center also needs: sanitary permit, depEd check for formal programs and NBI clearance for every tutor. Requirements and fees differ by city, so ask each office for its checklist first. DTI Negosyo Centers help for free.

Where to set up

  • Walking distance from grade schools and high schools
  • A subdivision entrance or village center with many families
  • Along a jeepney route parents use after work
  • A ground-floor space, or one with a safe stairway

Mistakes to avoid

  • A child's safety at the center. Sign-in and sign-out by a parent, supervised rooms and stairs, CCTV and cleared tutors.
  • Good tutors leave. Pay fairly and on time, give steady schedules and a small bonus for staying the whole term.
  • Students drop out mid-year. Monthly progress notes, quick action on problems and programs that show results.
  • A slow summer break. Summer reading, math camps and entrance exam review, and keep the cash buffer for it.

Plan it with the starter kit

The Tutorial Center · Negosyo Starter Kit has every worksheet behind this guide in a 26-page PDF, plus an Excel calculator: type in your own quotes and it works out your capital, break-even, profit and payback month. It costs ₱349 and downloads right after payment.