In 1793 another school for similar vocational training and further education was founded in Munich by Mitterer's friend Franz Xaver Kefer.

Mitterer's development in lithography created inexpensive templates for drawing lessons, which had previously only been available in the form of copperplate engravings that were five times as expensive.

In 1798 Mitterer refined Alois Senefelder's lithographic process in the chemistry laboratory and mechanical workshop of the Feiertagsschule München, under support from the directorate and colleagues of the institute.

The Institute began its work in October 1805, and for a long time, Munich was regarded as the centre for the technical perfection of lithography.

The commercial success of the process, which found sales beyond the borders of Germany, contributed significantly to the financial security of the institute.

Senefelder objected to this commercialization of the process and in 1806 attempted to have the Institute closed down, however, he only succeeded in having Mitterer's privilege limited to the "production and publishing of such art articles" as related to pattern books and artists' lithographs for teaching purposes.