Organize coaching Retreats as small business (no VAT)

Organize coaching Retreats as small business (no VAT)

or: how can I remain registered a small business and still organize retreats for my clients?

Are you a coach or trainer, instructor or teacher in the field of mindfulness and sustainability? Do you want to do retreats because it’s a great way to move lessons to another inspirational place, or because you can come more much in touch with new people and take coaching with people you know to a new level?

What’s stopping you then, from organizing a retreat? Is it perhaps that you are a small business owner and do not pay VAT on your invoices and therefore have to comply with the sales threshold per fiscal year?

After all, a retreat means that you have high costs that you have to cover with even higher revenue and, in addition, you want to make a profit.

Then read the following article. Because sun & soul offers you a way to run retreats that are planned and organized entirely to your liking, without incurring high costs and without artificially inflating your turnover, just to cover these costs.

With us you can also do retreats as a small business owner and continue to be a small business owner next year *

* Assuming of course, your income from your other activities do not stand in the way.


The paper addresses the issues that small business owners may face when performing retreats.

Due to the high cost of a retreat, it is inevitable that high turnover is required to make a living out of a retreat. This poses a problem for small business owners, who are likely to lose their small business status the following year by taking a retreat . This is not bad, but it can be helpful to delay it if possible. In particular, if it is possible to achieve the profit, with a lower turnover.

sun & soul makes just that possible. As a tour operator and retreat planner, we cover the costs of the retreat. As a result, as a coach or trainer, you can generate the same profit at a significantly lower turnover and continue to do so in the future as a small entrepreneur according to VAT laws.

Small Business: What's that again?

As a small business owner according to VAT legislation, you are classified, if you have requested this when registering your company. You then claim to expect that in the following fiscal year you will make a maximum turnover that is lower than maximum allowed value for small businesses. It is expressly not about your profit, but about sales, so the sum of all your income from the commercial activity. If you’re a small business owner, you can not – or don’t have to – report sales tax on your bills.

This means that you may offer a lower price to end customers, or that you have a higher margin than it would be if you were to declare the sales tax.

However, if you exceed the sales limit in a fiscal year, you will have to declare sales tax on your invoices in the following fiscal year.

This is not a problem. It’s not bad either. Sooner or later, you certainly will not want to be a small business owner, but of course you would be annoyed if you crossed that line, even though you could have earned the same profit without exceeding the sales limit.

What is the problem when organizing retreats by small business owners?

If you want to organize a retreat now, you will be charged a lot. You’ll need to rent accommodation, you’ll probably book the catering for your attendees, and if your retreat is a bit off the puff of many other similar coaching trips, you’ll probably also organize one or two excursions or massages for your participants.

Of course you do not do that for free. The very high costs associated with a retreat, you want to move to your participants. And at the end of the day, you also want to earn something.

Therefore, retreats always cost a few hundred euros, up to several thousand euros. The participation fee you receive from your clients represents your sales.

So if you organize a retreat for your clients, you automatically have very high revenues.

Who offers one retreat per year in the middle price segment and has a group size of 8-10 participants, comes so quickly to a turnover of 5,000 € – 15,000 €. Therefore, to organize and carry out a retreat yourself will usually mean that you will lose the status of a small entrepreneur in the following year.

That would be a pity and there is a solution for this

sun & soul: Full planning freedom, full earning potential, no high turnover when performing retreats

sun & soul solves this dilemma for you and also offers a number of other benefits.

sun & soul is a specialized tour operator for retreat trips to the Algarve. We plan and organize your retreat as a carefree package from A-Z to 100% according to your wishes.

This means that we organize your retreat exactly the way you want it. No matter what you want, when you want it and where you want it.

In addition, you benefit from more favorable terms that we receive as tour operators, you gain access to our network, you do not have to worry about the statutory insurance that you need to complete when organizing and conducting a retreat on your own account and you save a lot of time and stress by soliciting quotes, paying bills and accounting.

Because we take care of that for you.

The concept works very simple:

  • We book all the services you would like to offer on your retreat in our name as tour operator. So the costs, the bills etc. are all with us. You have nothing to do with it. No price negotiations, no invoices from other countries, with other VAT regulations etc.
  • The participants also book participation in the retreat with us, instead of you. Of course, you can accept the money from the participants and also register the participants. But legally it is a travel contract that the participants conclude with us. The amount that the participants have to pay, you determine.

=> So it’s all like planning, organizing and performing the whole retreat in your name.

  • After the retreat, you will bill us for the amount of the profit earned at the retreat. All costs are paid by the revenue. And the amount left over is the profit. This is yours to 100%. Your sales is thus much lower than it would be if you had organized the trip yourself. There are no costs for the trip. The profit that remains at the end is exactly the same.

If you are now a small business, everything is exactly the same, with a small difference. Since we ourselves do not have the status of a small business, we would also have to levy sales tax on the share of revenue that will later make up your profit. Therefore, we have to split the participation fee at the retreat. Your performance as a small business owner will only be communicated by us. As a result, nothing changes. However, you do not charge us the total profit, but we will transfer the amount to you. The bill will be issued to the participants of the retreat.

Sounds easy, and is easy. If you still have questions about planning and organizing retreats, about the benefits of sun & soul, about our concept, or about the specifics of small business owners in organizing retreats, feel free to contact us. We are happy to advise you.

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