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Due diligenceExpert answer · 1 min read

How do I check if a coding school’s birthday party add-ons are worth keeping?

Pull the party bookings and add up what each one brings in against the staff time, supplies and room use it needs. Then ask whether parties attract future students or pull teaching space and instructors away from the regular classes that keep students enrolled.

Ask for a list of the parties held, with the date, package, price, headcount and any extras. Compare that with what it took to deliver them: instructor hours, set-up and clean-up, materials, and the room being unavailable for other classes. A party that looks busy can leave very little once those costs are counted.

Check the calendar for collisions. Do parties land on weekends when regular classes would otherwise fill? Do they cause friction with students who want the space? A party add-on that fits quiet hours is easier to keep than one competing for prime time.

Look at the indirect effect. Do party guests sign up for trial classes afterwards? Does the school track it? Ask how bookings arrive, whether through word of mouth, a website or a partner, and how many repeat. If you cannot find evidence, assume the benefit is smaller than the seller suggests. Finally, consider how well parties match your plans. If you want a focused academic reputation, parties may dilute it; if you want a community feel, they may help. Treat them as a choice you can keep, reshape or retire, and ask your accountant to review how they appear in the books.

Key takeaways

  • List each party’s income against staff time, supplies and room use.
  • Check whether parties collide with prime class hours.
  • Look for evidence that guests become students before crediting parties with future growth.

Sources

This answer is checked against primary sources. Links were last confirmed on the dates shown.

  1. 01
    Business Development Bank of CanadaGovernment
    How to conduct due diligence when buying a business
    bdc.ca·Checked Oct 21, 2026
  2. 02
    Business Development Bank of CanadaGovernment
    What are the steps to buying a business?
    bdc.ca·Checked Oct 21, 2026
  3. 03
    Business Development Bank of CanadaGovernment
    After buying a business, what is the next step?
    bdc.ca·Checked Oct 21, 2026

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