I started a small yoga studio about 12-13 years ago north of New York City. Although it is a small studio, with the help of other committed instructors and a strong base of students I have been able to keep it going. A few years ago we moved to a smaller space and that has really been a business saver. A few things to keep in mind if you are thinking of starting your own studio:

Keep your overhead LOW. With the economy in flux and the abundance of yoga classes in studios, health clubs, and homes, we also have the town programs and continuing education classes in the community to compete with. So figure out how many students you will need to cover just the rent and work from there.

Be very clear about what each instructor has to offer and how the Iyengar style is adaptable for all types of individuals whether young, old, fit or struggling physically.

Make sure your instructors are committed to the path of yoga and understand professionalism. Be fair, considerate and appreciative of your instructors. Keep communication open at all times.

Be realistic about who your students are and teach to their needs, not what you want to teach. As you start to develop a student base, you may find that the classes that are scheduled don't really accommodate most of your population. Be patient: it can take years to build up a class. Once you have it going – don't mess with it.

Finding good subs is always a challenge, especially well-trained Iyengar instructors. Keep in touch with a few students going through training classes. Often these instructors are more open to traveling and are eager to teach new groups of students. You will have to make it worth their time to travel even if it means going into the red for that class. It is important for your students to have consistent classes with the same trained individuals. In the long run, everyone will benefit from your efforts.

I have never had much luck with advertising. It is really word of mouth that has kept us going. In the beginning we did offer first class free. If you are going to try something like this, I would offer a free class to anyone who brings a friend to class rather than to a possible student. That will reinforce your connection with your current student and encourage like-minded individuals to try it out.