ABBY’s dance studios are among the most coveted properties in Austin and other Texas cities.
They’re popular destinations for celebrities and VIPs alike.
But the owner of a dance studios in the city, Abby Lee, says she was turned down for one because of her business model.
“There was a bidding war,” Lee said.
“A couple people in the neighborhood, who I’ve known for a long time, said, ‘I don’t want to pay a lot for your dance studio.'”
So Lee’s company, the Dance Studio, created its own business model and turned to Craigslist to get its studios for sale.
It sold a handful of studios for a combined $400,000, with Lee selling the rest to other local dance studios.
Lee said she paid for the studio’s construction and upgrades and has made $100,000 a year since selling it.
But she said the studio has a tough time staying afloat.
“I have a good idea of how to run the business, and I know how to keep it running, and that’s just not possible,” Lee told Business Insider.
“And the only way you can do that is if you’re willing to give up some of the other aspects of the business.”
The business model Lee used to attract people to her studio was a good one.
“My biggest selling point is my company has a good name,” Lee explained.
“It’s not the cheapest, but it’s not going to break the bank.”
For a long while, Lee owned a number of other dance studios, but after a business partnership with one of the studio owners ended, she was forced to shut them down.
“The dance studio business has been in limbo for a very long time,” Lee lamented.
“Every business has its ups and downs, and for a number in the dance industry, it’s been difficult.”
In recent years, dance studios have become a more popular and popular location to work in.
According to a 2017 report by the Institute for Workplace Relations, dance studio attendance has increased every year since 2006, with the number of dancers on the dance floor in Austin rising from 5,600 in 2005 to 11,000 in 2015.
But with the popularity of dance studios has also grown competition from other industries.
The Institute for Business Research estimates that the industry has lost between 25 and 35 percent of its business over the last decade.
“If you look at the number that’s being created in dance and music, it is now being driven by the music industry,” the report states.
“For the last 20 years, there has been a huge boom in the music and dance industry.”
In addition to the music business, Lee said that dance studio owners also cater to VIPs and celebrities.
“They can do anything they want to do to get them a place,” Lee recalled.
“People will come to the dance studio and have their own private parties, or they’ll bring their own DJ, or some sort of event.”
Lee said some dance studios do offer VIP events and events for dancers who are not part of the club scene, but those can be expensive and she said it’s hard to find space for VIP events.
“You’re not going see the same number of VIPs as you would in the club industry,” Lee observed.
“At a dance, they’re going to be coming to you for drinks, and they’re not getting in the VIP booth to pay for it.
And there’s always a waiting list for them.”
The industry is also starting to see some competition in the business world.
Earlier this year, the American Dance Alliance announced a plan to launch a national network of Dance Studio Owners, which is designed to help ensure that Dance Studio owners have the necessary capital to operate a successful business.
The alliance will be looking to attract dance studios that are able to raise the capital necessary to build out a viable business.
“We want to help the industry to grow and diversify and be a place where people can go to and enjoy a night out without having to be in a club or having to worry about getting tickets,” Alliance Executive Director Scott Smith said.
But it’s the dancers who really stand out in the industry.
“These people are a different breed,” Lee noted.
“That’s the beauty of the industry.”