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- 2022 Franchise 500 Rank
#432 Not ranked last year
- Initial investment
$86K - $187K
- Units as of 2022
562 3% over 3 years
Here’s what you need to know if you’re interested in opening a Sylvan Learning franchise.
Sylvan Learning is a provider of custom instructional services to students of all ages and backgrounds. Operating from its base in Hunt Valley, Maryland since 1979, Sylvan Learning opened for franchising in 1980 and is now a leader in the school-age tutorial industry in North America and Asia.
As a franchisee, you may gain a head start into your dream lifestyle by opening a business that has a proven business model that has worked for over four decades. You will have the opportunity to shape young people's lives and make a significant impact on their future through learning.
Why You May Want to Start a Sylvan Learning Franchise
Learning centers tend to come in great numbers, but Sylvan Learning's advantage may lie in its top-notch programs. These programs may have been mastered through the brand's decades-long experience and passion for developing new techniques and strategies to better serve their students.
Moreover, Sylvan Learning operates with an unconventional business model with a comprehensive team effort between corporate and existing franchisees. The goal is to identify the needs of locals, create systems and processes, and find tools and resources that make it easiest for needs to be met.
This approach ultimately comes down to designing an affordable investment where you, as a Sylvan Learning franchisee, will likely gain more experience than you may have with other competing traditional and online tutorial sites.
What Might Make a Sylvan Learning Franchise a Good Choice?
Many times since its inception, Sylvan Learning has been ranked in Entrepreneur’s Franchise 500 based on an evaluation of more than 150 data points in the areas of costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability.
Sylvan Learning has made changes to improve the overall experience of the franchisee. The introduction of a new scheduling program and an admin system may have made the whole system easier to operate. It also may have helped make program delivery more efficient and reliable.
To be part of the Sylvan Learning team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. You should also prepare yourself for ongoing fees that will include royalty fees and potential renewal fees. Franchisees will also need to meet the company's set net worth and liquid capital requirements.
How to Open a Sylvan Learning Franchise
If you would like to open a Sylvan Learning franchise, the best place to start is with an evaluation of your city for an ideal location. You'll want to make sure this is the right opportunity for your community.
Before making any financial commitment or signing an agreement, you'll usually have the chance to speak with existing franchisees and ask questions directed to the Sylvan Learning team. If your net worth and available liquid capital match the brand’s requirements, you may qualify to open a Sylvan Learning franchise, and you can get started with an initial investment.
About Sylvan Learning
- Franchising Since
- 1980 (42 years)
- # of employees at HQ
- Where seeking
This company is seeking new franchisees throughout the US.
- # of Units
- 562 (as of 2022)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Sylvan Learning 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
- $34,900 - $36,900
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
- $85,525 - $186,930
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
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Veteran Incentives
- 10% 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
- Sylvan Learning 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
- Classroom Training
- 3 weeks
- Additional Training
- At regional locations
- Ongoing Support
Purchasing Co-opsNewsletterMeetings & ConventionsToll-Free LineGrand OpeningOnline SupportSecurity & Safety ProceduresLease NegotiationField OperationsSite SelectionProprietary SoftwareFranchisee Intranet Platform
- Marketing Support
Co-op AdvertisingAd TemplatesNational MediaRegional AdvertisingSocial 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 Sylvan Learning? Request a free consultation with a Franchise Advisor now.
Franchise 500 Ranking History
Compare where Sylvan Learning landed on this year’s Franchise 500 Ranking versus previous years.
Curious to know where Sylvan Learning 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 Sylvan Learning.
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