Get All Access for $5/mo

Will Private Schools Survive the Next Wave of the Pandemic? How private schools will fare as the coronavirus enters a new wave.

By Stav Vaisman Edited by Michael Dolan

Opinions expressed by Entrepreneur contributors are their own.

Klaus Vedfelt | Getty Images

Private schools were not immune from the school shutdowns required for public schools since last spring. Public health orders applied to private and public schools in most jurisdictions. While public schools knew they would always reopen, private schools lacked the same assurance. Many parents pay on monthly installments, or only at the beginning of the term, and there were fears that they would suspend their payments until their children returned to in-person classes. Some predicted a mass wave of private school closings.

Fortunately, those dire predictions have failed to materialize. According to a report published in October by the Cato Institute, 111 private schools closed in 2020 due to the pandemic. There are more than 32,500 K-12 private schools in the United States, so these closings represented a tiny reduction (about 0.3 percent, if you are doing the math) of the private school supply.

Related: 3 Education Stocks to Stuff Your Stocking With

But with another wave of school shutdown orders underway or on the horizon for the winter, the question is whether more closings are likely. The evidence suggests this is an unlikely scenario. In fact, the experiment with remote learning might increase the entry from private schools specializing in distance learning.

First, let's take a look at the threat to in-person private schools. The study by the Cato Institute shows no private schools have closed since September 1. This is good news because most schools require an upfront payment for the term. Parents had all summer to decide whether to keep paying a premium on private school tuition with no expectation that their children would return to in-person schooling.

If parents were making a mass exodus from private schools, evidence would have likely emerged in late summer and early fall. Instead, what appears to have happened is that the schools serving parents on shaky economic ground were the most vulnerable. These parents were impacted the most by the economic decline due to the pandemic. Those schools also tend to be more reliant on monthly payment plans to help should the economic burden for parents. The schools serving them appeared to have taken the hardest hit in the first wave of the pandemic.

Related: 6 Distance-Learning Resources for Working Parents

No schools were found to have closed since September 1 indicates continued demand for private schools during the fall term. Schools must have received most of their upfront tuition payments by parents, hopeful that the fall term will include some return to normal. Even though this might not be the case for many schools, those upfront payments are non-refundable in most cases, providing schools with financial stability if forced to shut down in-person education once again.

Related: Why Private School Overseas Franchises Are on a Rise

A dark winter of COVID-19 might be coming, but the promise of multiple vaccines provides some hope for the future. There are calls by many, including myself, to prioritize children for vaccines, given the importance of returning them to in-person education and their parents to work.

Nevertheless, some parents might face further economic struggles. Some parents might have also withdrawn their children from private school after the transition to remote learning. Why pay a premium for remote learning that fails to offer any clear advantage?

In fact, the evidence shows that there are new entrants in private education – schools that specialize in remote learning. Meanwhile, private schools are improving in-person health and safety protocols to allow children to return to class.

Private schools have prevailed against the pandemic. They have maintained financial viability, improved their remote learning, and prepared for children's safe return to class. Private schools have shown their capacity to adapt and innovate in the worst of times.

Stav Vaisman

CEO of InspiredConsumer

A marketing expert with a proven track record of connecting brands to untapped, highly-desired audiences for over 20 years. Startup founder and advisor. Business and entrepreneurship writer. Charity co-founder. Proud dog dad.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Growing a Business

How to Determine The Ideal Length of Your Marketing Emails Your Customers Will Actually Read

Wondering how long your marketing emails should be? Here's what consumers say — so you can send them exactly what they like.

Leadership

Tech Overload Will Destroy Your Customer Relationships. Are You Guilty of Using Too Much Tech?

Technology's value in our world is undeniable. However, there can be a point where it is ineffective and possibly counterproductive. See where it can negatively impact your product, brand, and business.

Management

Most Gen Z Workers Want This One Thing From Their Employer. Are You Providing It?

Millions of college graduates are entering the workforce, and many feel unprepared. Here's the one thing they're looking for from potential employers — and how providing it will benefit you and your business in the long run.

Making a Change

Get a Lifetime of Babbel Language Learning for Just $150 Through June 17

Learn up to 14 languages over the course of a lifetime, with bite-size lessons, personalized reviews, and speech recognition tech.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.

Business News

Is the AI Industry Consolidating? Hugging Face CEO Says More AI Entrepreneurs Are Looking to Be Acquired

Clément Delangue, the CEO of Hugging Face, a $4.5 billion startup, says he gets at least 10 acquisition requests a week and it's "increased quite a lot."