Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

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Franchise Costs 2013: Detailed Estimates of Club Z! (Tutoring) Franchise Costs (2013 FDD)

by Franchise Chatter on October 18, 2013

in Franchise Costs, Tutoring Franchise



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Detailed Estimates of Club Z! Franchise Costs Based on Item 7 (Estimated Initial Investment) of Club Z!’s 2013 Franchise Disclosure Document

1.  Initial Franchise Fee:  $19,750 to $39,750

  • The franchise fee is:  (a) $19,750 for up to 50,000 population territory; (b) $27,250 for up to 100,000 population territory; (c) $34,750 for up to 150,000 population territory; or (d) $39,750 for up to 200,000 population territory.

Club Z! Photo by tutoringtampafl2.  Travel and Living Expenses During Training:  $1,000 to $1,500

  • The franchisor provides initial training to you and one other person (or up to 2 of your owners) without charge, but you are responsible for all travel and living expenses if you are training at the corporate office. This estimate is for 2 people.
  • These expenses are not applicable if training is performed at your location.

3.  Miscellaneous Opening Costs:  $500

  • This item estimates your initial start-up expenses. These expenses include payroll costs. These figures are estimates and the franchisor cannot guarantee that you will not have additional expenses starting the business.

4.  Computer and Other Equipment, Supplies:  $550 to $1,200

  • The franchisor does not estimate any real estate or office space costs. They vary dramatically based on numerous factors. The franchisor presumes you will operate your Club Z! Franchised Business from your home.

5.  Software:  $150



  • The company requires franchise owners to use its proprietary scheduling software to streamline processes in four major areas:  client and employee/tutor management, scheduling, billing, and payroll.

6.  Insurance:  $700 to $1,500

  • The company requires franchise owners to carry one million dollars in General Liability and one million dollars in Professional Liability coverage naming the franchisor as an additional insured.

7.  Additional Funds – 3 Months:  $5,000 to $7,000

8.  Total Estimated Initial Investment Under Program (Excluding Real Estate Costs):  $27,650 to $51,600

  • The company relied on its experience to compile these estimates.
  • The franchisor does not offer financing directly or indirectly for any part of the initial investment for your Club Z! Franchised Business. The availability and terms of financing will depend on factors such as the availability of financing generally, your creditworthiness, collateral you may have, and lending policies of financial institutions from which you may request a loan.
  • None of the fees to the franchisor are refundable. Any refund of payments made to various vendors will depend on the terms you arrange with those vendors.


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