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- 2022 Franchise 500 Rank
#395 Not ranked last year
- Initial investment
$347K - $542K
- Units as of 2022
110 3% over 3 years
Here’s what you need to know if you’re interested in opening a Kid to Kid franchise.
Founded in 1992, Shauna Sloan created Kid to Kid to solve a big problem for parents by retailing clothes. Parents who had items that no longer fit their children could dispose of the clothes by passing them along to another child instead of to a landfill. Currently, you can find Kid to Kid in many locations around the country, and franchisees are still opening new locations in prime territories.
Kid to Kid also has an international presence and has been franchising since 1994.
Why You May Want to Start a Kid to Kid Franchise
If you'd like to positively impact your community and the environment while running a business, you may want to consider opening a Kid to Kid franchise. After all, clothing for children adds up quickly, costing families a fortune.
Kid to Kid encourages families to clean out their closets and trade in their old clothes. When you bring in clothes, most locations offer either cash on the spot or an even higher amount in store credit. This is an interesting store model because it uses families as both vendors and customers. Potentially, a family could purchase and then eventually donate the same clothes. This would be a win for you, and also represents what the company is all about.
However, these stores don't accept just anything. They want clothing that's clean, safe, and in style. That way, parents can depend on both the quality and the price.
What Might Make a Kid to Kid Franchise a Good Choice?
Through the beginning steps to ownership and beyond, Kid to Kid will strive to provide you with support. This may be seen through initial training, online training, on-the-job training, marketing training, ongoing training, and financial coaching. You may want to open a Kid to Kid franchise because there's always a demand for children’s clothing. You may be part of a system that has been around for decades and adapts to change.
To be part of the Kid to Kid team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for ongoing fees that will include advertising, royalty, and potential renewal fees. Franchisees will also need to meet the company's set net worth and liquid capital requirements.
How to Open a Kid to Kid Franchise
Most franchisees have to pass an online interview, which will help determine if you're a good fit. You can also review the support system details. This webinar session details the startup process and all the training and support they have available. After this, you'll get the chance to interact with other franchise owners, getting their tips for growth. You may wish to take this opportunity to ask lots of questions to the Kid to Kid team about their experiences.
If your net worth and available liquid capital match the brand’s requirements, you may qualify to open a Kid to Kid franchise, and you can get started with an initial investment. If all goes well, you'll attend a virtual opportunity day. Here, the director level team will usually e-meet you. Once you're done, you can work together to make your partnership official. For many franchisees, the process has taken anywhere from eight months to a year.
When you open the doors to your Kid to Kid franchise, you may also be opening up new opportunities for families in your community.
About Kid to Kid
- Franchising Since
- 1994 (28 years)
- # of employees at HQ
- Where seeking
This company is seeking new franchisees throughout the US.
This company is seeking new franchisees worldwide.
- # of Units
- 110 (as of 2022)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Kid to Kid 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
- $347,200 - $542,100
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
- $75,000 - $125,000
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Veteran Incentives
- $5,000 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
- Kid to Kid 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
- 42 hours
- Classroom Training
- 56 hours
- Additional Training
- At existing location
- Ongoing Support
Purchasing Co-opsNewsletterMeetings & ConventionsToll-Free LineGrand OpeningOnline SupportSecurity & Safety ProceduresLease NegotiationField OperationsSite SelectionProprietary SoftwareFranchisee Intranet Platform
- Marketing Support
Co-op AdvertisingAd TemplatesRegional AdvertisingMarketing Planning & SupportSocial MediaSEOWebsite DevelopmentEmail MarketingLoyalty Program/App
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.
Interested in franchise ownership like Kid to Kid? Request a free consultation with a Franchise Advisor now.
Franchise 500 Ranking History
Compare where Kid to Kid landed on this year’s Franchise 500 Ranking versus previous years.
Curious to know where Kid to Kid ranked on other franchise lists? Find out below.
Are you eager to see what else is out there? Browse more franchises that are similar to Kid to Kid.
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