• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Menu
  • Home
  • About
    • About Franchise Chatter
    • Contact
    • Privacy Policy
    • Terms of Service
    • Affiliate Disclosures
  • Subscribers Hub
    • Login
    • New to Franchise Chatter? Start Here
    • America’s Most Lucrative Franchises
    • Franchises Ranked by Average Revenues
    • Franchises Ranked by Average Profits
    • Franchise Winners, Survivors and Losers Last Year
    • FDD Talk
    • Search by Name
  • Top Franchises
  • Franchise Earnings
  • Costs
  • Fees
  • Quiz
  • Search

FDD Talk 2017: What You Need to Know About the Sylvan Learning Franchise Opportunity (Financial Performance Analysis, Costs and Fees)

Published on November 2, 2017 by Franchise Chatter Leave a Comment
in Child-Related Franchises, FDD Talk: Children's Franchises, Franchise Earnings, Tutoring Franchise

Sylvan Learning Photo by socialwoodlands



Learn Which Franchises Can Make You Rich

In this FDD Talk 2017 post, you’ll learn the following:

  • Section I – Background information on the Sylvan Learning franchise opportunity, including relevant news updates
  • Section II – Estimated initial investment for a Sylvan Learning franchise, based on Item 7 of the company’s 2017 FDD
  • Section III – Initial franchise fee, royalty fee, marketing fee, and other fees for a Sylvan Learning franchise, based on Items 5 and 6 of the company’s 2017 FDD
  • Section IV – Presentation and analysis of Sylvan Learning’s financial performance representations, based on Item 19 of the company’s 2017 FDD, including information on the:
  • 2016 average, median, high, and low gross revenue for the top 25%, mid-upper 25%, mid-lower 25%, and bottom 25% of the 433 licensed Sylvan Territories that operated continuously during the 24 calendar months of 2015 and 2016 and provided revenue reports to Sylvan

Section I – Background Information

14 Things You Need to Know About the Sylvan Learning Franchise

Strong Quarter 1 Growth and Plans for Continued Development in 2017

1.  Sylvan Learning enjoyed a year of growth in 2016, which, according to CEO John McAuliffe, sets Sylvan up for “bigger things” in 2017. Sylvan ended 2016 with 55 franchise sales and by the end of Q1 of 2017, the company had signed 15 new franchise agreements. Georgia Chasen, Senior Director of Franchise Development at Sylvan, said that the company is “looking forward to matching or surpassing last year’s franchise deals of 55 sales.”

America's Most Lucrative Franchises of the Year

2.  Among the 15 new franchise agreements, four were for new territories – Leesburg, Virginia; Reston, Virginia; Minneola-Garden City, New York; and Tustin Foothills, California. There will also be a new center opening in Fort Worth, Texas and three new centers in Vietnam.

3.  The company says that its growth is being fueled by the growing demand for its unique suite of services, especially its EDGE program, which features innovative courses in coding, robotics, engineering, and advanced math.

Acquires Citelighter’s Technology and School Contracts

4.  Sylvan Learning announced in early May that it had acquired an education technology startup, Citelighter, which offers a browser-based tool that aims to increase students’ writing competency. Citelighter also features a series of scaffolds designed to guide students through the steps involved in researching, organizing, drafting, and editing a writing assignment.

5.  According to Citelighter’s co-founder and CEO Saad Alam, Sylvan made an “offer that was really good,” but financial terms were not disclosed. The acquisition by Sylvan only covers Citelighter’s technology and school contracts – not its employees. Only one customer support employee from Citelighter will join Sylvan, but Sylvan is still in talks with Citelighter’s overseas software development team about bringing them onboard.


🎯Find Good Franchises That Are Still AVAILABLE in Your Target Area (Free Tool)



🚀How to Find, Vet & FUND a Good Franchise. Watch Our Webinar Live or the Recording Later (Register Now – It's Free)



💰How Much Franchise Can You AFFORD? Use Our Free Financial Calculator


6.  At the time of the acquisition, Sylvan said that the Citelighter program will be used over the summer in a new research writing program for high school students in the Baltimore and Boston centers. If the test program goes well, Citelighter will be available at all Sylvan Learning centers in 2018.

Evolves to Match the Needs of Today’s Children

7.  In late August, Sylvan Learning’s CEO John McAuliffe appeared in a segment on Cheddar news network to talk about the company’s continued growth and evolution to match children’s changing needs. To meet the growing interest in STEM (science, technology, engineering, and mathematics) education, Sylvan has increased robotics, coding, engineering, and math programs.

8.  McAuliffe said the goal of Sylvan’s new STEM programs is to “capture children at a young age and engage them with hands-on, fun activities.” He also said that STEM tutoring accounts for about 10 percent of Sylvan’s services and he expects that number to increase significantly in the coming years.

9.  In recent years, Sylvan has also seen an increase in the need for “middle lane” programs, which are for children who wish to keep up with their workloads, but are neither behind nor ahead of their peers. To accommodate these students, Sylvan has developed new programs, decreasing the overall average time a child spends at Sylvan.

Franchises Ranked by Average Profits

Company History

10.  Sylvan Learning was founded in 1979 by Barry Fowler in Portland, Oregon. Fowler was a former school teacher who also worked with the education company The Reading Game. The first learning center was located at the Sylvan Hill Medical Center Building. Sylvan began franchising in 1980 and by 1983 there were dozens of franchises and the company moved its headquarters to Bellevue, Washington.

11.  In 1985, Fowler sold the company to KinderCare Learning Systems, an Alabama-based chain of childcare facilities that was expanding the scope of its business. Sylvan Learning struggled under KinderCare’s ownership as the company had grown beyond its means.

12.  KinderCare sold Sylvan Learning in the early 1990s to Douglas Becker and Christopher Hoehn-Saric for $8 million. The company eventually recovered and by the end of 1997, Sylvan Learning had annual revenues of $246 million and began offering other services in addition to student tutoring, such as teacher training, computerized testing, and distance learning.

13.  Sylvan Learning was sold again in 2003 to Apollo Management and the company is currently owned by Sterling Capital Partners and Citigroup Private Equity. Currently, there are over 750 Sylvan Learning centers around the world.

Entrepreneur’s Franchise 500

14.  Sylvan Learning has only appeared on Entrepreneur’s annual Franchise 500 list a few times in the past decade. The company’s highest rank was No. 44 in 2010, while its lowest rank was No. 484 in 2016. Sylvan Learning also ranked on Entrepreneur’s 2012 Top Global Franchises list at No. 67.

Section II – Estimated Costs

  • Please click here for detailed estimates of Sylvan Learning franchise costs, based on Item 7 of the company’s 2017 FDD.

Section III – Initial Franchise Fee, Royalty Fee, Marketing Fee, and Other Fees

  • Please click here for detailed information on Sylvan Learning’s initial franchise fee, royalty fee, marketing fee, and other fees, based on Items 5 and 6 of the company’s 2017 FDD.

Section IV – Financial Performance Representations (Item 19, 2017 FDD) and Analysis

  • With respect to the Sylvan System, as of December 31, 2016, Sylvan had 458 licensed Territories in the U.S. with 508 overall licensed Centers, which provide revenue reports to Sylvan.
  • Of these, 433 licensed Territories and 481 licensed Centers operated continuously during the 24 calendar months of 2015 and 2016.
  • For a consistent comparison, this Item 19 reflects only those 433 licensed Territories and 481 licensed Centers. This Item 19 does not include revenue from any additional Territories that closed or opened during 2015 or 2016.
  • Of the 433 licensed Territories that are subject of this Item 19, 430 Territories used SylvanSync in 2016, and 3 Territories did not.

2016 Sylvan Territory Gross Revenue by Quartile

  • This table reflects the total Gross Revenue from the Sylvan business of the 433 reporting Sylvan Territories for 2016.
  • The table divides the group into quartiles, based on Gross Revenue by Territory. In addition, the table reflects the Gross Revenue for the top and bottom Territories within each quartile.

Top 25% of Territories by Gross Revenue (108 Territories)



To Access the Rest of This Article and Other Premium, Income-Enhancing Content, Subscribe Now or Log In.

Gain the Insider Information (and Actual Earnings Data) You Need to Make a Safe and Smart Franchise Investment. Click Here to Learn More.



Gain the Insider Information (and Actual Earnings Data) You Need to Make a Safe and Smart Franchise Investment - See more at: https://www.franchisechatter.com/register/#sthash.le7wKJKM.dpuf

🎯Find Good Franchises That Are Still AVAILABLE in Your Target Area (Free Tool)



🚀How to Find, Vet & FUND a Good Franchise. Watch Our Webinar Live or the Recording Later (Register Now – It's Free)



💰How Much Franchise Can You AFFORD? Use Our Free Financial Calculator



Franchises Ranked by Average Revenues and Profits



Franchise Winners and Losers Last Year

Tagged as: Sylvan Learning

Reader Interactions

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Previous post: 15 Substantial Fees Every Sylvan Learning Franchisee Needs to Know About

Next post: Q&A with Pete Buhl, Co-Founder and CEO of Beeline Bikes

Primary Sidebar

🚀How to Find, Vet and FUND a Good Franchise (Webinar)

✅ Is Franchising a Path for You? – Apr. 7 (Fri.), 11 a.m. EST

✅ Popular Trends in Franchising – Apr. 11 (Tues.), 4 p.m. EST

✅ Register Now to Get Free Access to Recordings of Both Webinars

Register Now

🤔Buying a Franchise on Your Own Can Be Overwhelming

✅ Get the guidance and support you need every step of the way (including funding 💵) from an experienced franchise broker at no cost to you.

✅ Fill out this form and a specialist from the Franchise Brokers Association will reach out to you.

⭐️Franchise Chatter is reader-supported. We may receive a commission for leads generated from our site.

As seen in:  New York Times, Bloomberg Businessweek, and CNBC

Login

Remember Me
Register | Lost your Password?
Reminder: Your username and password are case-sensitive.

Need help? Email franchisechatterblog@gmail.com

👍”Your website and you have been instrumental in finding this franchise opportunity and I am overwhelmingly grateful.” (David F., subscriber)

🏆 Best Franchises by Industry

Best Franchises by Industry (All Lists)

Best Gym and Fitness Franchises

Best Pizza Franchises

Best Sandwich Franchises

Best Childcare Franchises

Best Ice Cream Franchises

Best Coffee Franchises

Best Hamburger Franchises

Best Salon and Beauty Franchises

Best Chicken Franchises

Best Smoothie and Juice Franchises

Best Maid Service Franchises

Best Mexican Restaurant Franchises

Best Massage Service Franchises

Best Tutoring Franchises

Best Auto Repair Franchises

Best Auto Oil Change Franchises

Best Asian Restaurant Franchises

Best Pet Franchises

Best Commercial Cleaning Franchises

Best Sports Bar Franchises

Best Baked Goods Franchises

Best Moving/Junk Removal Franchises

Best Mailbox Franchises

Best Apparel Retail Franchises

Best Senior Care Franchises

Best Restoration Franchises

Best Tech Franchises

Best Travel Agency Franchises

Best Trampoline Park Franchises

Best Tools Distribution Franchises

Best Property Management Franchises

Best Real Estate Franchises

Best Automotive Wheels and Tires Franchises

Best Weight Loss Franchises

Best Flooring Franchises

Best Eye Care Franchises

Best Physical Therapy Franchises

Best CBD Franchises

Best Tea Franchises

Best Ghost Kitchen Franchises

Best Acai Bowl Franchises

Best Poké Bowl Franchises

Best Donut Franchises

Best Kitchen and Bath Remodeling Franchises

Best Window Coverings Franchises

Best Plumbing Franchises

Best Home Inspection Franchises

Best Garage Franchises

Best Barbershop Franchises

Best Laundromat Franchises

Best Storage Unit Franchises

Best Car Wash Service Franchises

🚀 Daily FDD Talk Posts

One Hour Heating & Air Conditioning Franchise

PatchMaster Franchise

Spray Foam Genie Franchise

Bumble Bee Blinds Franchise

Mr. Sandless Franchise

EverLine Coatings Franchise

Blue Kangaroo Packoutz Franchise

Tommy’s Express Car Wash Franchise

Footprints Floors Franchise

Wendy’s Franchise

Clean Juice Franchise

Nurse Next Door Franchise

Made in the Shade Blinds & More Franchise

Five Star Bath Solutions Franchise

Beef ‘O’ Brady’s Franchise

Costa Vida Fresh Mexican Grill Franchise

Uptown Cheapskate Franchise

Pancheros Mexican Grill Franchise

Squeeze Franchise

Mosquito Squad Franchise

The Exercise Coach Franchise

ProLift Garage Doors Franchise

Heroes Lawn Care Franchise

Burn Boot Camp Franchise

Wing Zone Franchise

DreamMaker Bath & Kitchen Franchise

The Camp Transformation Center Franchise

Brightway Insurance Franchise

Owl Be There Franchise

The Dog Wizard Franchise

Scenthound Franchise

Bin There Dump That Franchise

Gotcha Covered Franchise

Phenix Salon Suites Franchise

AKT Franchise

Kitchen Solvers Franchise

FASTSIGNS Franchise

Zoom Drain Franchise

Pool Scouts Franchise

Ace Hardware Franchise

Signarama Franchise

Jovie Franchise

i9 Sports Franchise

UFC Gym Franchise

Sola Salons Franchise

N-Hance Wood Refinishing Franchise

Cost Cutters Franchise

Ziggi’s Coffee Franchise

D1 Training Franchise

Soccer Shots Franchise

Batteries Plus Franchise

Franchise Chatter © 2023