Flatiron School settles for operating without license, employment/salary claims

Re:Flatiron School settles for operating without license, em... by 1_800_UNICORN on Tuesday October 17, 2017 @10:38AM (#15491259)

The school, which has taught approximately 1,000 students, charges students between $12,000 and $15,000 for a 12 to 16 week in-person class and approximately $1,500 a month for online coding classes.

Let's assume a very conservative estimate of 800 students doing 1 of online work, and 200 students paying $12k for a class. That works out to $1.2M in online tuition, and $2.4M in in-person tuition. Given how conservative my estimate is, $375k seems like a pittance for operating without a license and lying about success rates.

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Re:Flatiron School settles for operating without license, em... by sevensor on Tuesday October 17, 2017 @10:53AM (#15491392)

It's funny, I did the same math and concluded there's no way they profited enough from this scheme to cover the cost of noncompliance. Even if they took $3.6M in revenue, they had to pay salaries, expensive rent, and overhead for 5 years. That's barely scraping by. Hopefully they're sitting on a pile of investor money they can use to pay this settlement.

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Re:Flatiron School settles for operating without license, em... by amcooper on Tuesday October 17, 2017 @12:50PM (#15492477)

You're forgetting the dropouts. For every online student who graduates from Flatiron, there are many—maybe a dozen, maybe more—who drop out. Flatiron bills online students monthly, so they're raking in a good deal of money from dropouts who can't get their money back.

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Re:Flatiron School settles for operating without license, em... by Fergusman on Tuesday October 17, 2017 @11:38AM (#15491825)

You need to flip the number, the online program is relatively new. The 1,000 taught reflects mostly in-person students.

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