Net Hustlin'

You might think i'm crazy, but with online enrollment at an all-time high, this is a perfect time to start your own University. There are many people with degrees such as stay-at-home parents who are willing to work as part-time adjuncts for a lower salary, if it means working online. This is one of many reasons online Universities are profitable. And without the costs of a traditional school - such as a campus and full-time staff, its not as far-reaching a goal as you might imagine.

Although there are many successful online schools, the competition is still low, as most people don't even consider getting into this line of work. It's an entrepreneurs dream - a market that is growing rapidly with little competition.

Right now the University of Phoenix has over 200,000 adult students enrolled in campus and online degrees. This is an astronomical number compared to traditional schools: even the largest rarely have over 40,000 students.

University of Phoenix charges an average of $500 per credit, which is around $1500 per class. If every Phoenix student was enrolled full time they would be making $9,000,000,000 a year.

What it takes to start your own University

The first thing you need is money. You will need money for advertising, website startup costs, an office, and to pay faculty and staff salaries.

If you have affluent connections you may be able to find an investor for your school. An investor takes an ownership position and assumes all losses the school might incur. Most for-profit schools are founded through investors.

If you have connections in the academic world it can also lessen your financial burden. Friends with graduate degrees may be willing to be part-time adjuncts for a lower price than a traditional salaried professor.

One thing that makes starting an online school an obtainable goal is that they have a fifth of the expenses of a traditional brick-and-mortar school. Most school's expenses go toward maintaining their extensive campuses. The fact that online schools only need to pay hosting fees lessens a huge financial burden.

Obtaining Degree-Granting Privileges

Before you can legally grant degrees your university must be licensed under the state where its located. Different states have different requirements. Virginia, Wyoming, and Colorado are notoriously relaxed about their requirements for university licenses. These states barely require more than a visit to the school. In tougher states such as Maine and New Jersey there is a rigorous review of the school's curriculum, staff, and faculty.

Another important step, although not necessary, is to have your college accredited by a recognized accrediting agency under the Department of Education. Having your school accredited assures that you are providing a quality education that meets specific quality standards. You can only begin the accreditation process after your first student has graduated.

There are two types of accreditation: regional and national. Regional is often considered the more prestigious of the two. There are six agencies which can grant regional accreditation. Credits from regionally accredited schools are more transferable between schools. Regionally accredited schools also receive more government funding and are more prestigious in the eyes of employers, but both accreditations are respectable.

While a school is under evaluation for accreditation it can still legally offer degrees as long as its licensed. While being unaccredited may deter some students from enrolling, there are students who are still willing to attend unaccredited schools as long as they provide a quality education.

For more information on accreditation, visit ed.gov.

Can it really be done?

While its absolutely possible to start your own university, it will only work if you have the drive, patience, and a good deal of money. Its obviously not a get-rich-quick scheme, although it could make you filthy rich over time.

Of course for most people this is an idealistic job similar to being the CEO of a fortune 500 company. There are however dozens of online colleges that are reaping the benefits of the internet, and there is plenty of room for more.

Click here for a list of the most successful online colleges. Many of these schools started from the bottom and worked their way up.