This special FDD Talk series will highlight the financial performance representations of over 20 Children’s franchises, with a cross-analysis of the featured franchises to be published at the end of the series.
Highlights of FasTracKids’ Item 19 Financial Performance Representations (2012 FDD) – Part 1
- FasTracKids International, Ltd., a Colorado corporation, is offering franchises for the operation of businesses that offer enrichment education courses for children from 6 months to 8 years of age, or up to 15 years of age in the case of certain optional courses, through a technologically advanced curriculum and delivery system.
- The total investment necessary to begin operation of a FasTracKids Enrichment Center franchise is from $79,875 to $214,275. This includes $33,635 to $49,820 that must be paid to the franchisor or affiliate (representing the initial fees and payments for goods and services which you are required to purchase from the company).
Gross Revenue Charts
- The following charts present information of estimated Gross Revenue Margins, before any expenses, which could be derived from the operations of a FasTracKids Enrichment Center.
- The figures in the Gross Revenue charts are presented for example only. They are to help you calculate the Revenues you may generate based on setting Tuition Fees to achieve different hourly rate levels. There is no assurance you will achieve these numbers or any level of productivity.
Estimate of Gross Revenue Margins Before Expenses
- You will have the right to promote and offer the Bundled Programs, which are FasTrack Signing, FasTrack Music, FasTrack Tots, FasTracKids programs, FasTrack Camp programs, FasTrack Explorers, and FasTrack Discoverers. You may at your option, upon payment of additional fees, also offer some or all of the Optional Programs (e.g., FasTrack English).
- The only expenses the franchisor has deducted from Gross Revenues are the Royalty Fees and Participation Fees due, as applicable.
- You will have other expenses associated with opening and operating a FasTracKids Enrichment Center. These may include rent, instructor’s salaries, insurance, taxes, advertising and marketing costs, material costs, shipping costs, your initial fees, costs of equipment and supplies, signage, and other expenses associated with operating a business generally.
- The adjusted Gross Margins shown in the charts are determined by subtracting the Royalty Fees and Participation Fees from the total Tuition and Registration Fees shown in the charts.
- The Gross Margin shown is on a per student basis.
Tuition Based on Franchisee Receiving $15/hr