Martial artist Kera Radke isn't one to shy away from a challenge, but when the pandemic hit unexpectedly, she needed a new martial art to continue her work.
Radke, head instructor at Lake Zurich Family Martial Arts in Lake Zurich, fought to keep his school afloat through impromptu lessons on money and crisis management. And while the pandemic's threat to in-person martial arts training is fading, the reforms Radke implemented four years ago are helping him weather different economic threats now.
“Inflation is real, and we want to make sure there's room in our bank accounts,” Radke said, “and we owe it to our students to be financially stable in case something happens again.”
The 2020 lockdown marked a watershed moment for the martial arts world. Overnight, the centuries-old practice of in-person training disappeared, catching most school operators off guard and forcing them to temporarily close their centers.
Self-defense and martial arts are best taught in person, but studios had no backup plan to ensure business continuity: Many schools never reopened, and others set up patchwork online training programs to keep students coming and pay rent.
Lake Zurich Family Martial Arts was founded 30 years ago and later purchased by Radke and her partner, Ted Huelsman.
The school introduced online classes after suspending face-to-face classes in March 2020. The owners stopped paying salaries during the lockdown but kept staff on the payroll, giving them $400 kickbacks and investing in equipment such as smartphones to help them conduct classes online.
“It was really important to us that they supported us,” Radke said. “What our instructors did was unbelievable. These kids were hurting. They weren't getting any socialization.”
Rather than getting bogged down in the day-to-day running of things, Radke relied on the school's accountant to draw up a business plan. A people-centered approach and targeted investments made during the pandemic have helped the school stay open amid rising costs.
Since reopening, tuition has increased by 20% to cover rising operating costs and inflation. The school charges “fees commensurate with the value of the instruction we provide,” Radke said. “To retain our students, we are enhancing our offerings and expanding our capacity through professional development and a focus on student satisfaction.”
The pandemic caused a 50% drop in student numbers, but the school is now back up to about 200 students, as it was before the pandemic.
“I still offer the virtual option, believe it or not, we're still hybrid, we always have our Zoom cameras on during class, but we rarely have someone tune in virtually anymore,” she said.
Rising business costs
Martial arts instructors Kylen Epperson and Amy Jones seized the opportunity to open a karate dojo in Rogers Park called Culture of Safety Dojo & Wellness Center during the pandemic.
“Everyone who had space was hit hard,” Epperson said, “but we had the advantage of not needing space and being able to start on the ground floor and gradually stock up on equipment and other necessities.”
Eight children and two adults attended Culture of Safety's first class, held in Warren Park in July 2020. The partners obtained a loan to expand, tightened their purse strings and eventually opened the space at 6961 N. Clark St. in September 2022.
They acquired used equipment from donations and closed schools, saved on software costs by running calculations in spreadsheets, and learned social media marketing on the go.
“We're still a relatively new company, so we don't feel like we're being impacted that much by inflation at this point,” Epperson said.
Their DIY growth strategy paid off: Class attendance grew organically to about 70 students.
“At least three or four of the kids that joined us from day one are still with us four years later,” Jones said.
The school, which focuses on equity, empowerment and healthy living, nearly doubled its tuition to combat rising costs. In 2020, the school charged $50 per month. Now, rates for individuals are on a sliding scale ranging from $95 to $150. The school offers financial aid to students who need a safe place or don't have the financial means, particularly those from low-income and immigrant communities around Rogers Park.
“Our goal isn't to get rich, but to serve the community through this job we love and make a living while doing it. Once you're here, you're here forever. We'll find a way to make it work,” Epperson said.
Sherry Roche, a martial arts expert and seventh-degree black belt in taekwondo in Scottsdale, Arizona, said smart school operators who incorporate learning into their business will thrive post-pandemic. Virtual training is also evolving, and instructors need to take it seriously, especially if it helps reduce operational costs.
“Instructors can do virtual classes, virtual judging, seminars, virtual tournaments. People are comfortable doing it virtually and it cuts down on some of the travel time,” Roche said.
Stay offline
Instructors who believe martial arts is a social sport halted online training and waited for students to return to classes, like Jane Dillon, who runs Legacy Martial Arts in Stirling.
“While the schools were closed, I didn't do any remote training. I joined a book club. … I'm very passionate about reading and encouraging kids to read,” Dillon said.
Before the pandemic, she was focused on growing her business and had 75 students. Watching people struggle during the pandemic made health and wellness a bigger focus in her goals. Legacy reopened in August 2020 with about 30 students and has maintained that level since then.
Thanks to the generosity of returning students, more advanced students have begun teaching classes in exchange for additional training for tournaments and events.
“The barter system is great. I had to spend money on hiring and staffing. Even though I give more through barter, I'm happy with it,” said Dillon, a national taekwondo champion.
She charges $85 a month for unlimited lessons, a bargain compared with nearby schools that charge more than $100 for one or two lessons a week, making her enough money to run her classroom and make a small profit.
“We pride ourselves on keeping our prices low because we know that this is a working-class area and not many people can afford the higher prices,” Dillon said.
She simplified the company's finances by cutting salaries and operating expenses, and the company is now debt-free.
“I'm in the very fortunate position of owning my building outright – no rent, no mortgage,” Dillon said.
Branko Milosevic, owner of Northside Brazilian Jiu-Jitsu in Irving Park, also chose not to offer online classes and instead used the lockdown to upgrade his equipment.
He said adult students returned quickly, but children's classes have struggled to fill up — martial arts schools typically struggle to retain kids who are easily distracted and switch sports frequently.
“I think once the pandemic was over, people just wanted to get out of the house and jump into some activity,” Milošević said. “We lost almost all of our kids and were replenished with a whole new group.”
Now Mr. Milosevic is more worried about the economy. He has raised tuition fees to cover a 30 percent increase in software and other costs such as equipment and maintenance.
“The economy is not doing well and people don't have the money to train. I think in the long run that's a bigger problem than the pandemic,” he said.