Educational Franchises
"Educational franchises" is a broad category that includes a wide range of businesses that provide educational services and products. Some examples of businesses that are commonly included in this category are:
These are only the most common educational franchise types.
Educational franchises tend to have low overhead, minimum cash requirements, and royalty fees. They're recession-proof because parents will always invest in their children.
An honest franchisor will tell you that revenue depends on dedication and effort, but the numbers show a steep inclination toward healthy profit margins, even among new owners.
Education franchises last longer than independent business models. A FranNet study showed that 85% of franchises and 50% of independent businesses were still viable after five years.
Overall, the data illustrates the exceptional profitability of education franchises.
Founded in: 2017
Franchising since: 2019
Franchise units in operation: 3
Initial investment range: $93,800 - $168,200
Royalty: 6% of gross sales
Code Wiz is a franchise that offers education and training services in computer programming and technology. They aim to help children learn coding skills and develop a passion for technology at a young age.
The ideal candidate for a Code Wiz franchise is someone who possesses grit and determination, as well as strong business management skills. They do not necessarily need IT experience, but they should have good people skills and enjoy working with children. They should be passionate about making a positive impact in their community and in the lives of children, and have an entrepreneurial mindset. They should also be motivated to work in education and have a minimum net worth of $150,000 and minimum liquid capital of $50,000. For this person, creating impact is seen as an integral part of their return on investment and they should have a growth-oriented perspective.
Founded in: 1954
Franchising since: 1958
Franchise units in operation: 26,365
Initial investment range: $67,428 - $145,640
Royalty: $34 - $38 /student/mo.
Kumon sets itself apart from other educational programs by enabling students to cultivate critical self-learning abilities as they progress through their Kumon Math and Reading Worksheets. The students solidify their understanding of each concept as they successfully complete each worksheet. The program operates as follows:
Expertly Crafted Worksheets: The Kumon Worksheets encompass everything from basic counting to advanced calculus, and from phonics to Shakespearean literature. Each worksheet is continually refined to remain relevant and effective in today's world.
Demonstrative Examples: The worksheets provide clear examples that demonstrate how to solve each problem, enabling students to independently learn new concepts.
Progressive Advancement: Each worksheet builds upon the previous one, ensuring that students have a solid foundation of the fundamental learning before moving on.
True Absorption of Knowledge: In contrast to traditional school environments, where teachers move on regardless of whether a student has fully comprehended a lesson, Kumon ensures that students do not progress until they have fully absorbed the learning.
Students spend approximately 30 minutes per subject on their daily assignments. They complete their assignments at the Kumon center two days a week, and the remaining five days they complete them at home.
Founded in: 2014
Franchising since: 2016
Franchise units in operation: 41
Initial investment range: $65,250 - $150,650
Royalty: 6%
The Coder School is a franchise-based company that offers after-school coding programs for children ages 7 to 18. The company was founded in 2014 and currently has locations across the United States, as well as internationally.
The Coder School franchise provides a comprehensive curriculum that is designed to teach students how to code through project-based learning. The curriculum is centered around the school's core philosophy of "Learn to code, change the world," which emphasizes the importance of using technology to create positive change.
The franchise offers a range of programs, including coding classes, camps, and workshops. Students can learn a variety of programming languages, including Scratch, Python, and Java, and can choose to focus on specific areas such as game development, app development, or web development.
The ideal candidate for The Coder School franchise should possess a strong sense of community, a genuine passion for education, and business acumen. They seek individuals who are excited about the prospect of teaching children to code and who are looking to make a positive impact in their community. Franchisees do not necessarily require a deep technical background, but they should possess a willingness to learn and understand the importance of technology education in shaping the future. An entrepreneurial spirit and customer service focus are also desirable traits. The Coder School provides extensive training and support to ensure that franchisees have the necessary skills and knowledge to successfully operate their business.
Founded in: 2002
Franchising since: 2003
Franchise units in operation: 1000+
Initial investment range: $112,860 - $148,655
Royalty: $500 per month
Mathnasium has earned the reputation of being the leading math-education franchise, and one of the reasons for this is the complete dedication of its franchisees to the organization's mission of transforming lives through math.
At the heart of Mathnasium's success lies the Mathnasium Method, which sets it apart from other tutoring concepts. The Method treats each student as an individual with their unique learning style, problem areas, and goals. The process begins with a comprehensive diagnosis to identify a student's starting point, and a customized learning plan is created to help them achieve their goals. Mathnasium's approach ensures that each student has agency over their learning experience, making it more effective and engaging. As a result, Mathnasium's approach has helped countless students build confidence and excel in math, enabling them to succeed in life.
Founded in: 2000
Franchising since: 2003
Franchise units in operation: 700+
Initial investment range: $94,295 - $138,995 (Local license and regional licenses)
$174,995 - $220,695 (Empire builder)
Royalty: 8% of gross sales, but in the range of $500 - $3,000 per month
Tutor Doctor's philosophy is centered around the notion that every student has the ability to learn, but each student has their own unique learning style. The organization's founders recognized the shortcomings of traditional classroom settings and aimed to provide a tutoring experience that would cater to each student's specific needs. Tutor Doctor's approach involves pairing students with experienced tutors who can teach using methods that resonate with the student's learning style. Each tutor creates a personalized learning plan for their student, which is designed to help them achieve their academic goals. The result is a highly effective and satisfying tutoring experience, which has earned Tutor Doctor an impressive 95% customer satisfaction rate.
Founded in: 1979
Franchising since: 1980
Franchise units in operation: 710
Initial investment range: $85,525 - $186,930
Royalty: 16% of monthly gross revenues, but no less than $32.000
Sylvan Learning is a premier provider of personalized supplemental and enrichment education for students in grades K-12. With both franchised and corporate locations, Sylvan Learning centers offer individualized instruction in reading, writing, mathematics, study skills, homework support, and test preparation for college entrance and state exams. Their personalized approach to education recognizes that every student has unique needs and creates customized learning plans that cater to their specific learning styles. Sylvan Learning's commitment to excellence has earned them a reputation as a trusted and effective educational resource for students and parents alike.
Founded in: 2010
Franchising since: 2015
Franchise units in operation: 150+
Initial investment range: $73,650 - $103,600
Royalty: 6%
The STEAM franchise offered by Snapology distinguishes itself from other children's franchises in several ways, and its diverse selection of programs is one of its main advantages. With offerings ranging from core STEAM programs to themed events and robotics classes, Snapology's wide variety of programs provides numerous benefits. Additionally, Snapology's programs are designed to accommodate children of all learning levels, including gifted students and those with special needs. As the owner of an education franchise, your business will appeal to parents seeking to supplement their children's education.
Snapology’s programs include Core STEAM Programs, Robotics, Themed Programs, Pre-School, Video Game Design, Competitions, Birthdays, Scouts, Special Needs, Anti-bullying, Team Building.
The ideal candidate for Snapology's education franchise is someone who has experience in corporate America or has been a business owner in the past. They possess a passion for wealth building, business ownership, and family. Successful franchise owners are also driven and motivated, able to delegate tasks, and understand the importance of the customer and user relationship. Some of their motivations include diversifying their portfolio, providing for their family, having a flexible schedule, and achieving a return on investment. Additionally, Snapology's franchise is a great fit for those from professions such as college professors, engineering professionals, and education administrators, who are passionate about giving back to their community and helping children.
Founded in: 2000
Franchising since: 2022
Franchise units in operation: 13
Initial investment range: $68,100 - $89,100
Royalty: 8%
Soccer Stars has gained immense popularity as a youth soccer program in the United States due to its 20 years of experience in providing a fun and nurturing environment for young athletes. Their youth sports franchise has impacted more than two million kids across the country through its crib-to-college programming for ages 1-18. Soccer Stars offers an exceptional age-specific curriculum that teaches kids the fundamentals of soccer, enhances their skills, builds self-confidence, and fosters social skills. The program is designed to impart important life lessons and values through sports, making it an excellent choice for parents looking for a holistic approach to their child's development.
The educational franchise industry is constantly evolving, and the growth and decrease of certain segments within the category can vary depending on a number of factors such as market conditions, consumer preferences, and technological advancements. Some current growth and decrease trends in the educational franchise category include:
Growing trends:
Decreasing Trends
It's important to keep in mind that these trends may change over time, and it's always a good idea to do your own research and consult with industry experts such as FranchiseClues.
The franchise fee is an up-front charge that might include costs of your application, training, travel, sale, marketing, and opening. Franchise fees typically range from $20,000 to $50,000.
The initial investment also includes the site and structure. Depending on your services, you might not need a physical location, you might be able to rent one, or you'll have to buy and build.
A considerable jump on the high end skews the average cost for a child education franchise. Most are under $200,000. Your broker will tell you the amount of cash required.
Some of the best education franchises have initial investment estimates between $50,000 and $100,000. Others range from $100,00 to several million dollars.
The minimum initial investment for educational franchises
Some micro-franchises have minimum investments of less than $7,000. A standard minimum is between $40,000 and $70,000.
Maximum investment for educational franchises
The highest figure to date is over $5 million. The most expensive franchise opportunity isn't necessarily the best education franchise.
You'll be partnered with your franchisor throughout your ownership, paying fees for support as agreed in your contract.
Royalties are fees to cover your use of the trademarks, support, marketing, and anything else in your contract.
Many royalty fees are as low as 1%. Others pay as high as 45% or a flat rate, like $29 per tutoring subject per month.
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Becoming an education franchise owner can offer many benefits, including:
Established brand recognition: Education franchises are often well-established and have a strong reputation in the market. This can help attract customers and generate positive word-of-mouth.
Profitability: With a proven business model and support from the franchisor, education franchises can be a profitable business opportunity.
Javier is an experienced franchise industry professional with a focus on development, operations, and performance. With almost a decade of experience in the industry, he has witnessed both the successes and failures of franchise owners. Javier strongly believes that buying a franchise is not just an investment, but a life-changing event that presents a unique opportunity for personal and professional growth. He enjoys helping aspiring franchise owners navigate the decision-making process and increase their chances of success.
