Ask a parent what they want for their child a quality education will always come to the top of the list. Whether it’s additional support such as tutoring and/or supplemental education, extracurricular activities and/or sports, from pre-school to high school, parents are spending an enormous amount of money to ensure their kids excel. Why not tap into this growing business category and make a good profit from it?
Here are some stats that show the growth potential of education franchises:
- The education industry is booming. In 2020, revenues in the United States were over $77 billion
- Data from the U.S. Census Bureau indicate children under age 18 represent 23% of the total U.S. population and it’s growing. This aged group will grow to 75 million by 2025 and to 76 million by 2029.
- The potential market for child-related franchises in the education industry is 74 million students
- A report in Entrepreneur magazine identified child-related franchises in the education industry as being almost “recession-proof” because most parents try to give their children as many opportunities as possible, even when family finances are tight.
If you have a passion for education but don’t necessarily know everything involved in running a successful and profitable education business, then an education Franchise could be the perfect fit for you.
There are 4 different types of education franchises you can look at. The good news is there’s something for everyone, in every budget range and that fits your interests, skills, and passion.
Parents want their children to progress and excel. That’s why tutoring franchises have become an essential part of the education industry. This type of franchising offers genuine freedom in workplace flexibility. You should be able to connect and communicate with your prospective students to help them learn. Successful tutoring franchise owners have a natural desire to help people and are patient enough to teach them.
Pros
- You can teach what you love, but you don’t have to be a subject matter expert
- Low investment – can get started quickly and inexpensively
- Different business models – home office, travel to them, brick and mortar
- High demand – parents are looking for additional support to keep their children up-to-date with learning
- If you do a good job, word spreads quickly.
Cons
- Hours will be when your clients are available, usually evenings and/or weekends
- Scalability – will you do it yourself, or will you have a team?
- Marketing – usually not the top skillset of those who offer this service. However, most franchises offer marketing support, some even providing leads for potential clients in your area
- Certifications and licensing – most states regulate child education businesses. This can be complicated for an individual, but franchisors help their franchisees through these hurdles
Nurseries/Daycare Franchises
This franchise concept might seem simple enough: get a building, fill it with small kids. Provide some learning and fun. Add some large kids (adults) to chase the little kids around, read stories, teach them stuff and stop them from falling on the playground. Not quite so easy. But it can be a business that allows you to make a lasting difference in the lives of many families with young children and there’s no shortage of parents looking for these services.
Pros
- Huge demand for childcare during working hours
- Brand identity – many parents aren’t comfortable leaving a child at someone’s home
- More capacity than tutoring
- You can hire staff – doesn’t require you to be involved in the day-to-day
Recurring revenue
Cons
- Investment in a good space
- Time to open – construction and permitting
- Inspections by local/national governing bodies
- Managing staff
Language/Immersion Programs Franchises
We now live in a multi-lingual world. In general terms, the younger someone’s mind is, the easier it is to learn a second – or even third language. These immersion education franchise concepts appeal to upper-middle class families looking to give their children a developmental edge and bilingual experience. Many have months – if not years-long waiting lists for placement in these programs.
Pros
- Learning a second language is becoming very popular
- High revenue opportunities focused on a wealthier clientele
- Recurring revenue
- Waiting lists for placement
Cons
- Significant initial investment – requires high net worth and initial investment – expect $1M - $5M
- Time to open – construction and permitting
- Staffing – need people who understand the language and culture
- Hard to scale
Recreation Franchises
Nowadays, the number of children glued to electronic gadgets, TV screens and the digital world is increasing. Although this is not totally bad, it poses a threat to younger children’s development and growth because their physical activity lessens each day.
Pros
- Children need socialization, sports and recreation programs help give kids a sense of purpose
- You don’t need to have experience in gymnastics or be a business owner
- Lower investments
- Parents are looking for these types of activities for their children
- It can be a fun business
- Lots of different options available
Cons
- Significant investment – between franchise fees, leases/rent, improvements
- Location is crucial
- Insurance
- Training
- Requires a lot of marketing and community involvement
What you get with an education franchise, regardless of which type of franchise model you choose, you can expect to get:
- Brand recognition
- Proven business model
- Training
- Ongoing support
- Marketing/Advertising support
- Buying Power
- Real Estate Assistance
- State of the art technology
- R&D support
- Cost savings (vs doing it yourself)
There are many child-related education franchises to consider. Everything from a home-based concept to a large brick-and-mortar location.
Grab a time on our calendar and we’ll match your skills, interests, resources and passion to the franchise that’s PERFECT for you.
What's Your Next? - Podcast
 | Author BioI’m Stacey Riska aka “Small Business Stacey”, your franchise placement specialist. I help aspiring business owners find the PERFECT franchise so they can get to the next level in life and business. |
