I am not an LBS owner nor plan to be, which is why I'm asking.

I'm not asking it from all-me - I'm accounting for both sides.

Typical bike wrench @ LBS: $<12/hr
Typical bike wrench teaching a class of of 5 newer cyclists a 2 hr class including: efficient tire change, derailleur barrel adjustment (correctly), brake pad replacement, chain check/replacement, proper bike cleaning, and a handlebar wrap @ $50/student: $250 for 2 hours, or $125/hr.

Get it up to 8-10 cyclists, and you're looking at $150-$200/hr. Granted, you can't do this all day, but do this once a week, and you'll be supplementing the LBS income pretty well. Add to the fact that you have things like bike levers, chains, chain checkers, etc. available (maybe even for a class discount) and you're selling even more stuff. You could even have the materials (like handlebar tape) as a required extra for the class as an add-on cost. I suspect it's because demand would be so low that they can't even get 5 people to pay $50 for such a class, but I'm just saying I'd gladly pay for that class myself to save the hours of agony of learning it myself with my busy schedule.

Again, was hoping to hear from LBS owners as to why this wasn't work, because as suggested by some above, if it's so easy, why don't people do it all the time?

And no, your generalization about me buying online and skipping the LBS has nothing to do with busting their balls. You'd do the same if you were charged 120% the online price, but still had to install the part yourself.