- 2021 Franchise 500 Rank
N/R Not ranked last year
- Initial investment
$847K - $1.8M
- Units as of 2020
5 150.0% over 3 years
About Tierra Encantada
More from Tierra Encantada
“The best part about Tierra Encantada is that once your center is full, the waiting lists start. Children stay until they go on to kindergarten, resulting in long-term clients (and recurring revenue). The waiting lists grow to be months, then years long leaving you with little to no need to advertise and a turnkey business. The only spaces that open each year are when children ‘graduate’!” - Angel Ricardez, Franchise Operations Manager
Tierra Encantada provides a distinguished early education experience that focuses on the growth of the whole child. As the leader in Spanish immersion early education, our high-quality bilingual education program fosters early cognitive development and teaches a respect for diversity. Our focus on the whole child extends beyond the mind and nurtures children’s expanding palates with our organic, fresh-cooked meals. We are proud to provide an active, warm, and wholesome educational environment that parents consider to be a second home for their child.
Tierra Encantada provides franchise owners the ability to define their success. Options are available with unique business plans - and resources - for both single and multi-unit franchise owners in mind. If you already own a daycare and preschool business, we have conversion options available. Financing and investment levels (ranging from $846,558 - $1,786,725) will vary greatly depending on the market and site you choose. Our team will guide you through the process of determining whether the investment and owner lifestyle aligns with your goals and dreams.
What makes us special
Tierra Encantada provides care for children 6 weeks through 6 years of age. We have received 4 stars from Parent Aware – the highest possible – due to our high-quality Spanish immersion curriculum. We set ourselves apart from other daycares and preschools through not only our language immersion curriculum but our approach with day to day operations. From cloth diapers in our classrooms to fresh-cooked, organic food designed to expand young palates, we strive to provide a wholesome environment that parents consider to be a second home for their children.
Early education is one of the fastest growing markets
As our population continues to grow and more households have two parents in the workforce, demand for childcare continues to increase. Families in metropolitan areas already see months – if not years – long waiting lists for high-quality childcare. Tierra’s own Minneapolis locations see waiting lists well over a year long. With many markets not offering a language immersion childcare option, Tierra not only satisfies the immense demand for this growing market but will also provide parents an option they are excited about for their children. Study after study has shown that learning a second language at a young age has tremendous benefits. Children immersed in a second language have been found to have improved cognitive functioning, outscore their monolingual peers in verbal and math standardized tests, and are more empathetic in their ability to understand another’s perspective. Further, the number of families seeking organic food has increased exponentially over the past decade. Tierra Encantada is ideally positioned to address both the growing demand for childcare and the increasing awareness of the importance of organic food and language learning.
Your Tierra Encantada Center will be designed to fit in the urban community in which it will be located. It will be at least 8,000 square feet with at least 3,000 square feet of outdoor space and will feature our branded colors and materials identified in our Construction Guide.
Centers are designed with safety in mind and feature comprehensive video surveillance, keycard access for families and staff, and fire and security systems. Your facility is fully secure, 24 hours a day, and strangers are not able to enter the building. This gives parents peace of mind, knowing that an administrative staff member steps away – someone can not just walk in to the building. The comprehensive security system monitors not only classrooms, but hallways, offices, kitchen, and outside of the building – and records footage for weeks to reference if questions ever arise.
Classrooms are designed to take advantage of natural light, large open spaces, and to ensure learning through play. Toddler, Preschool, and Pre-K classrooms feature our unique design to encourage toileting independence and aid with toilet training – a feature families love. Our indoor gyms ensure children always have active time to play throughout the day, regardless of the weather. Our outdoor playground areas feature sensory sand and water tables, and playground equipment designed to grow with children and encourage social-emotional development through cooperative play.
Unparalleled support, recession-resistant profitability
We believe a Tierra Encantada franchise is your best path to business success. You will have our experience to guide you around the pitfalls that any new business owner may encounter. Our proven system has been developed and perfected to provide you with the foundation needed to operate a successful franchise. We’ll be there to help with every aspect of starting your Tierra Encantada Center.
1. Site Development
- ● Provide demographic data for site selection
- ● Guidance on choosing your site
- ● Lease negotiation tips
- ● Assistance with zoning and permitting process
- ● Comprehensive Construction Guide with sample layouts
- ● Buildout support
- ● Comprehensive Operations Manual
- ● Initial training
- ● Opening training
- ● Operations training
- ● Parent and Employee Handbook templates
- ● Licensing assistance and support
- ● Quality assurance support and visits
- ● Detailed instructions, lists, and comprehensive support for every aspect of starting your program from classroom supply lists to cleaning instructions, from daily task lists to budgeting guidance
- ● Collateral for Center use (access to a central database of company-owned professional photography, videos, and marketing materials for Center-specific local advertising)
- ● Marketing support, advice, and resources
- ● Center-specific branded Facebook page and family community page
- ● Weekly branded curriculums for each age group
- ● Monthly menus with healthy, nutritious meals designed to expand young palates
- ● Detailed recipes to correspond with menus
- ● Purchasing support for children’s supplies
- ● CDA professional development training program support
- Franchising Since
- 2019 (2 years)
- # of employees at HQ
- Where seeking
This company is seeking new franchisees throughout the US.
- # of Units
- 5 (as of 2020)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Tierra Encantada franchise.
Financial Requirements & Ongoing Fees
Here’s what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
- Initial Franchise Fee
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
- Initial Investment
- $846,558 - $1,786,725
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
- Net Worth Requirement
Definition: The minimum net worth you must have in order to qualify to become a franchisee of this company
What you need to know: Net worth is the value of a person's assets minus liabilities. Assets include cash, stocks, retirement accounts, and real estate. Liabilities include items like mortgages, car payments, and credit card debt.
- Cash Requirement
- $250,000 - $360,000
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Veteran Incentives
- 20% off franchise fee
Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.
- Royalty Fee
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
- Ad Royalty Fee
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
- Term of Agreement
- 10 years
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
- Is franchise term renewable?
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
- Third Party Financing
- Tierra Encantada has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
- On-The-Job Training
- 22 hours
- Classroom Training
- 58 hours
- Additional Training
- Online training
- Ongoing Support
NewsletterMeetings & ConventionsGrand OpeningOnline SupportSecurity & Safety ProceduresLease NegotiationField OperationsSite SelectionFranchisee Intranet Platform
- Marketing Support
Ad TemplatesRegional AdvertisingSocial MediaSEOWebsite Development
Additional details about running this franchise.
- Is absentee ownership allowed?
Definition: Absentee ownership means that the franchisee does not actively work in the franchise business or manage day-to-day operations.
- Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
- Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
- # of employees required to run
- Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Franchise 500 Ranking History
Compare where Tierra Encantada landed on this year’s Franchise 500 Ranking versus previous years.
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