In this exclusive Franchise Chatter FDD Talk post, you’ll learn the following:

Section I – Estimated initial investment (franchise costs) for a Club Z! In-Home Tutoring Services franchise, based on Item 7 of the company’s 2024 FDD

Section II – Initial franchise fee, royalty fee, and marketing fee for a Club Z! In-Home Tutoring Services franchise, based on Items 5 and 6 of the company’s 2024 FDD

Section III – Number of franchised and company-owned Club Z! In-Home Tutoring Services outlets at the start of the year and the end of the year for 2021, 2022, and 2023, based on Item 20 of the company’s 2024 FDD

Section IV – News updates on the Club Z! In-Home Tutoring Services franchise opportunity

Section V – Presentation and analysis of Club Z! In-Home Tutoring Services’ financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2024 FDD, including information on the:

• average, median, high, and low number of private students for the 348 franchised Club Z! businesses that provided mandatory monthly revenue reports for the months of January to December 2023 and operated under the same owner for at least 12 months, grouped by number of hours worked per week (35 or more, 20-30, 10-20, and 10 or fewer)

• average, median, high, and low tutor hourly pay rates and client pay rates (elementary school level, middle school level, high school level, and test preparation) for the 325 franchised Club Z! businesses that had tutor hourly pay and client pay rates posted in Club Z!’s customer management software as of March 2023

Section VI – Key ratios, comparables, computations, and analyses for the Club Z! In-Home Tutoring Services franchise opportunity (exclusive content for Platinum subscribers)

Section I – Club Z! In-Home Tutoring Services Franchise Costs

• Initial Franchise Fee:  $27,250 to $39,750
• Travel and Living Expenses During Training:  $1,000 to $1,500
• Miscellaneous Opening Costs:  $500
• Computer and Other Equipment, Supplies:  $550 to $1,200
• Software, Business Telephone Number, Web Hosting, and Email Account (3 months):  $225
• Club Z! Business Package (3 months):  $750
• Initial Launch Advertising (3 months):  $6,000
• Insurance:  $700 to $1,500
• Additional Funds (3 months):  $4,000 to $6,000
• Total Estimated Club Z! In-Home Tutoring Services Franchise Costs (excluding real estate costs):  $40,975 to $57,425

Section II – Club Z! In-Home Tutoring Services’ Initial Franchise Fee, Royalty Fee, and Marketing Fee

• Initial Franchise Fee:  $27,250 to $39,750
• Royalty/Support Fee:  the greater of 8% to 6% of Gross Sales or $550 per month for up to 100,000 population. The greater of 6% of Gross Sales or $550 per month for an expanded territory of up to 200,000 population.
• Advertising Fund:  the greater of 2% of Gross Sales or $50 per month

Section III – Number of Franchised and Company-Owned Club Z! In-Home Tutoring Services Outlets

Franchised

2021

• Outlets at the Start of the Year:  376
• Outlets at the End of the Year:  362
• Net Change:  -14

2022

• Outlets at the Start of the Year:  362
• Outlets at the End of the Year:  368
• Net Change:  +6

2023

• Outlets at the Start of the Year:  368
• Outlets at the End of the Year:  348
• Net Change:  -20

Company-Owned

2021

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

2022

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

2023

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

Section IV – News Updates on the Club Z! In-Home Tutoring Services Franchise

Section V – Financial Performance Representations (Average Revenues and/or Profits) for the Club Z! In-Home Tutoring Services Franchise (Item 19, 2024 FDD)

Part 1 – Private Student Counts

• As of fiscal year end 2023, of Club Z!’s 348 Franchised Businesses, in Part 1 (Private Student Counts), Club Z! is reporting only on those businesses that provided mandatory monthly revenue reports for the months of January to December 2023 and operated under the same owner for at least 12 months.

Franchised Businesses That Operate 35 or More Hours Per Week

• Of Club Z!’s 348 Franchised Businesses in operation, 168 or 48% met the criteria above and work 35 or more hours per week during regular business hours.

• Average:  49
• Number and Percentage That Attained or Surpassed This Stated Average:  72 / 43%
• Median:  44
• Low:  12
• High:  165

Franchised Businesses That Operate 20-30 Hours Per Week

• Of Club Z!’s 348 Franchised Businesses in operation, 98 or 28% met the criteria above and work 20-30 hours per week during regular business hours.

• Average:  36
• Number and Percentage That Attained or Surpassed This Stated Average:  41 / 42%
• Median:  29
• Low:  10
• High:  87

Franchised Businesses That Operate 10-20 Hours Per Week

• Of Club Z!’s 348 Franchised Businesses in operation, 63 or 18% met the criteria above and work 10-20 hours per week during regular business hours.

• Average:  18
• Number and Percentage That Attained or Surpassed This Stated Average:  23 / 37%
• Median:  14
• Low:  8
• High:  40

Franchised Businesses That Operate 10 or Fewer Hours Per Week

• Of Club Z!’s 368 Franchised Businesses in operation, 20 or 6% met the criteria above and work 10 or fewer hours per week during regular business hours.

• Average:  9
• Number and Percentage That Attained or Surpassed This Stated Average:  8 / 40%
• Median:  6
• Low:  1
• High:  18

Part 2 – Tutor Hourly Pay Rates

• As of fiscal year end 2023, of Club Z!’s 348 Franchised Businesses, in Part 2 (Tutor Hourly Pay Rates) and Part 3 (Client Pay Rates), Club Z! is reporting only on those businesses for which tutor hourly pay and client pay rates were posted in Club Z!’s customer management software as of March 2023.

• Of Club Z!’s 348 Franchised Businesses, 325 franchisees, or 93% of the franchise system, had tutor hourly pay and client pay rates posted in Club Z!’s customer management software as of March 2023.

• The 24 Franchised Businesses excluded from Parts 2 and 3 did not post tutor hourly pay and client pay rates in Club Z!’s customer management software, as such the information was not available.

Elementary School Level Tutor Hourly Pay Rates

• Average:  $23
• Number and Percentage That Attained or Surpassed This Stated Average:  156 / 48%
• Median:  $21
• Low:  $16
• High:  $28

Middle School Level Tutor Hourly Pay Rates

• Average:  $24
• Number and Percentage That Attained or Surpassed This Stated Average:  146 / 45%
• Median:  $22
• Low:  $18
• High:  $30

High School Level Tutor Hourly Pay Rates

• Average:  $25
• Number and Percentage That Attained or Surpassed This Stated Average:  146 / 45%
• Median:  $24
• Low:  $20
• High:  $38

Test Preparation Tutor Hourly Pay Rates

• Average:  $27
• Number and Percentage That Attained or Surpassed This Stated Average:  143 / 44%
• Median:  $25
• Low:  $20
• High:  $47

Part 3 – Client Pay Rates

Elementary School Level Client Pay Rates

• Average:  $50
• Number and Percentage That Attained or Surpassed This Stated Average:  146 / 45%
• Median:  $48
• Low:  $35
• High:  $95

Middle School Level Client Pay Rates

• Average:  $53
• Number and Percentage That Attained or Surpassed This Stated Average:  146 / 45%
• Median:  $52
• Low:  $37
• High:  $95

High School Level Client Pay Rates

• Average:  $55
• Number and Percentage That Attained or Surpassed This Stated Average:  140 / 43%
• Median:  $55
• Low:  $39
• High:  $99

Test Preparation Client Pay Rates

• Average:  $125
• Number and Percentage That Attained or Surpassed This Stated Average:  140 / 43%
• Median:  $90
• Low:  $65
• High:  $250

• The Franchised Businesses presented above do not differ materially from the franchises now being offered.

• The Franchised Businesses included in the above tables are mature businesses, in operation for one full year of business.

• The above figures were based upon information reported to Club Z! by its franchisees. The above figures have not been audited by Club Z! You should conduct an independent investigation of the costs and expenses you will incur in operating your Franchised Business.

• Some outlets have sold these amounts. Your individual results may differ. There is no assurance you’ll sell as much.

Section VI – Club Z! In-Home Tutoring Services Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️