august 2022
aqua-tots
drives awareness
on dangers of nationwide lifeguard shortage
latest news
children’s products & services
value of education franchises grows during pandemic Franchising MAGAZINE USA 23
Don’t miss an issue
Get the App cover story: MindChamps
From reFugee to AwArdwinning entrepreneur who Built A gloBAl movement
Unlike other Early Learning “organizations, MindChamps has its own unique, researchbacked curriculum and Intellectual Property.
”
The Personal Journey that Led to a Learning Revolution MindChamps Founder CEO David Chiem with new franchisees who recently completed his leadership training.
“ While the companies featured in my prior books (Mercedes-Benz, The Ritz Carlton Hotel Company and Starbucks) demonstrate impressive brand power, none has been in a position to fundamentally shape society on par with MindChamps.
”
- Dr Joseph A. Michelli, No. 1 Bestselling Author New York Times & Wall Street Journal
‘She’s asking what your name is, Stupid!’ David Chiem, MindChamps’ Founder CEO, can still clearly remember being
called ‘stupid’. It was on his first day of school in Australia in 1978. David, aged 9, and his family had arrived in the country as ‘boat people’ after fleeing war-ravaged Vietnam, surviving a close encounter with murderous pirates and enduring life in a Malaysian refugee camp. “I arrived not speaking a word of English — not even hello,” he explains. “I can remember being called stupid in my own language by another student because the teacher was asking my name, but I didn’t understand her.” Education was highly prized by David’s family, a mindset reinforced by their
traumatic escape from Vietnam. “My father had a strong philosophy of never taking anything for granted, and my parents always said that the one thing no one could ever take from you was your education,” he says. “This gave me a very strong mindset, and I was determined to make a contribution.” That strong focus on education, coupled with his earlier trauma, pushed David to excel in his studies because his father had always wanted him to be a doctor. At the age of 14, David landed the starring role on Butterfly Island, becoming the first Asian-Australian to be given a lead role on mainstream television and appearing on TV screens around the world. As a result, although he aced his Higher School Certificate, rather than studying medicine, he chose the path of his new-found passion to study acting and filmmaking.
As he studied the craft of filmmaking, David had an epiphany. He became fascinated by the idea that there could be another way of teaching children. They faced far greater demands on their education than previous generations, so, instead of rote learning, drilling and memorising content, why not help children to understand how to learn and more importantly develop the mindset of enthusiastic, life-long learners? “While I always did well at school and enjoyed it, I saw that many students didn’t do so well. I became curious as to why. I began to suspect that it was because their education experience simply didn’t engage them,” he explains.
From the Stage to the Classroom In 1998 he decided to follow his passion and founded MindChamps — a groundbreaking early learning educational organization based on strategies derived
“The MindChamps Way is incredible and the way they view children and how they want to shape the early learning industry is something that the world needs. It truly feels like being part of a movement rather than a franchise.” Jasmine Van Twest - Former financial auditor and new owner of a MindChamps Early Learning Centre and PreSchool
from research in ‘the 4 Domains’ of Neuroscience, Psychology, Education and Theater. Since its inception in Sydney, MindChamps has grown from point zero to achieving the number one brand position in the highly competitive Singapore premium preschool space, with a market share of 38.5%.*
Preparing Children for Success in the 21st Century “While both Cesar Ritz and David Chiem have built businesses that strive for transformational excellence, there is one fundamental difference between MindChamps and The Ritz-Carlton Hotel Company. That difference relates to the speed by which MindChamps has catapulted to international prominence.” Dr Joseph A. Michelli MindChamps makes a difference in the lives of children by providing the best in early childhood curriculum and care. By synthesising and distilling more than two decades of research in cutting-edge enrichment programs, the MindChamps research and programme development team developed a preschool curriculum that rapidly propelled the MindChamps model to its current industry-leading position. The MindChamps Global Research Advisory and Education Team is chaired by world-renowned neuroscientist Emeritus
Professor Allan Snyder, a Fellow of the Royal Society and Marconi Prize-winner. Professor Snyder is the researcher who studied and coined the term ‘Champion Mindset’, based on studies of the world’s great achievers, which enables every individual to become the best that they can be.
As part of MindChamps V2.0, MindChamps Music, the world’s first integrated music-in-education program, was introduced last year as a key component of MindChamps’ core curriculum. A breakthrough synthesis of decades of research by Emeritus Professor Larry Scripp (of Harvard’s ‘Project Zero’ and the prestigious New England Conservatory, Boston, USA) together with the 3-Mind education model, this revolutionary program has achieved patent-pending status in the U.S.A. and Singapore (U.S.A. Patent Pending: 17/644,293 and Singapore Patent Pending: 10202113952V), something unheard of in the education domain. VOL 10, ISSUE 9, aUgUSt 2022 MindChamps PreSchool is the only preschool in the world to have achieved this.
MindChamps PreSchool offers programs based on its research-based, revolutionary COVER STORY 3-Mind model of education: The Learning The MindChamps Early Mind promotes academic excellence; the Learning Movement is now in Creative Mind frees the imagination; and America! the Champion Mind instills perserverance What began as a research centre in Sydney, and excellence. This 3-Mind model was taking the number one market share in a Global education introduced in the 2007 best-seller The MoveMent Singapore for premium preschools and 3-Mind Revolution, co-authored by David expanding into Australia, Malaysia, and Brian Caswell, MindChamps’ Dean of Philippines, Indonesia and Myanmar, Research and Program Development. is now set to break through into the US
Refugee who built
MindchaMpS
The Intellectual Property Leader in Early Learning – the only Education Group to have a patent-pending program Unlike other Early Learning organizations, MindChamps has its own unique, researchbacked curriculum and Intellectual Property. This commitment to developing its own Intellectual Property resulted in MindChamps being accorded the WIPOIPOS IP Award in 2015 by the World Intellectual Property Organization (WIPO) and the Intellectual Property Office of Singapore (IPOS) for excellence in the brand’s Trademark Portfolio.
market!
“MindChamps began as a calling to make a difference by creating an approach to education that will give all children the competitive edge to face the rapidly changing world,” says David. “We are keen to find the right business partners who want to contribute to their community while creating prosperity for their own family in the US.” To discover more about why MindChamps International PreSchool is your dream business, visit https://franchise. mindchamps.org/usa/ *Survey conducted by Influential Brands
10 Franchising MagaZinE Usa
Franchising MagaZinE Usa 11
SpECial fEaTuRE
childRen’S pRoductS & SeRviceS fRanchiSing newS
annOunCEmEnTS fROm ThE induSTRY
7 StepS to MaxiMize eMployee engageMent
Franchising MagaZinE Usa 1 The magazine for franchisees • W W W.franchsingmagazineUsa.com
www.franchisingmagazineusa.com
conte nts
children’s produc ts & services 32
28
Expert Advice
40
On the Cover 28 Aquatots: Aqua-Tots Drives Awareness on Dangers of Nationwide Lifeguard Shortage
What’s New 26 Franchising News Announcements from the Industry
Feature Article
34
30 Chris Conner: Winning Kids Concepts to fit your Future
34 John Collins: Franchising with a Focus on Kids 38 Rick Bisio: Franchising with a Focus on Kids
Franchisor in Depth 32 Kiddie Academy: How Giving Back Has Grown the Kiddie Academy Footprint 40 Youth Athletes United: Parent Company Youth Athletes United Doubles Revenue in 3 Years With Youth Sports Brands Amazing Athletes, Soccer Stars, JumpBunch, TGA Premier Sports and Little Rookies
42
Have Your Say 36 Anne Huntington: Huntington Learning Center is the Nation’s Leading Tutoring and Test Prep Provider dedicated to Giving every student the Best Education Possible.
Franchisee in Action 42 Huntington Learning Centers: Working your Way Up – How a Passion for Helping Children Turned a Job into a Business Franchising MAGAZINE USA 25
c h i l d r e n ’s p r o d u c t s a n d s e r v i c e s f e at u r e
Early Education and Care Providers Entrust their Legacy to Primrose Schools® Primrose Schools, a high-quality early education and care leader with nearly 475 schools nationwide, is stepping up efforts to acquire independent child care centers as part of its mission to expand access to early education for all children and families. The company has recently completed conversions of eight early education centers, offering more than 1,400 children the chance to experience Primrose’s time-tested and award-winning Balanced Learning® curriculum. There are more than 10 additional acquisitions in the process of transitioning to a Primrose location.
school’s operations and ensure the staff, parents and students that depend on them thrive.”
“Independent child care center owners around the country are entrusting Primrose with their legacy because we share the same commitment to creating a better future for children and families through quality early education and care,” said Steve Clemente, President of Primrose Schools. “The community resource they built is in good hands with Primrose’s award-winning curriculum and franchise model that provides the new Franchise Owners with everything they need to seamlessly transition their acquired
Primrose’s acquisitions team expects the pace of conversions to grow as demand for child care remains strong. The company’s acquisitions and conversion strategy, combined with a continued interest from altruistic entrepreneurs looking to expand local care options, has bolstered the company’s growth. In the first half of this year, the company has awarded 32 franchise agreements — more than in the entirety of 2021 — and opened eight new schools.
Unlike many businesses, theCoderSchool isn’t all about profits. Instead, the brand focuses on creating a down to earth environment that helps children in the community learn to code and have fun while doing so! Coding teaches kids fundamental problem solving skills, which can help them prepare for any career path that they might choose. Founded by Hansel Lynn and incubated with the help of his best friend, Wayne Teng, theCoderSchool was built to provide children with a welcoming environment to develop computer programming skills. theCoderSchool uses a variety of platforms and individualized immersion style to teach many coding languages, such as HTML, CSS, Python, JavaScript and more. Every
theCoderSchool Offers Rewarding Franchise Opportunity for Those Looking for More Than Just Profit theCoderSchool – whose motto is, “Learn to code. Change the world.”– is looking for franchise partners who are looking to give back to their community and have a passion for helping
Code Coaching lesson is customized with the help of trained Code Coaches® who use a 2-on-1 approach to teaching. Founded in 2014 and franchising since 2016, the Silicon Valleybased children’s enterprise franchise that provides computer programming lessons to children ages 7 to 18 is helping meet the demand for kids coding classes as it expands across the United States. theCoderSchool has over 50 schools operating in over 15 states and continues to expand its national footprint with several locations in development in major U.S. and Canadian markets.
children learn skills that are essential to their growth and
To learn more about theCoderSchool’s franchise opportunity,
development.
please visit https://www.thecoderschool.com/franchising/
26 Franchising MAGAZINE USA
2022 School of Rock Allstars Music Program, a one-of -a kind experience
School of Rock, the leader in
one-of-a-kind experience - performing
performance-based education, recently
and recording music at professional
announced that 160 students have been
recording studios and iconic live venues.
selected to participate and perform
The elite musicians in the AllStars program
in the 2022 School of Rock AllStars
are among the most accomplished
Music Program where they will enjoy a
students from School of Rock’s global
network of 300+ schools and represent the highest level of achievement for students - with less than 1% of School of Rock Performance Program students chosen for the program each year. The AllStars program consists of both vocal and instrument performance as well as songwriting. The songwriting component of the program allows students to write and arrange original works with notable guest mentors and producers who will provide professional feedback and tips, insightful truths about the songwriting industry, and share their personal experiences. The students then have the opportunity to record and perform their original songs with their fellow AllStars. The eight regional teams of AllStars will partake in extensive rehearsals that will culminate in a professional recording studio session and live performances at notable local venues. School of Rock is partnering with the music industry’s biggest music brands, such as Gibson, to solidify noteworthy artist mentors to maximize learning and safety during this once-in-a-lifetime experience for the students.
Leading Multichannel Retailer Winmark the Resale Company® Celebrates Brand Milestones, Sees Strong Growth in Q1 and Q2 Winmark Corporation, North America’s leading franchisor of sustainable resale brands Once Upon A Child®, Plato’s Closet®, Play It Again Sports®, Music Go Round® and Style Encore®, reports a great start to the first half of the year with 21 new signed franchise agreements and 29 openings across all five brands. As the $17.5 billion resale industry continues to grow, Winmark’s resale brands will continue to defy the odds and grow to meet the increasing demand for quality used, secondhand products. In fact, Winmark’s resale brands have recycled over 1.4 billion items since 2010, with 158 million recycled per year, and 432,000 per day. Plato’s Closet, Play It Again Sports, and Once Upon A Child were recently ranked in the annual Entrepreneur’s Franchise 500. Once Upon A Child even ranked No. 1 in the Children’s Retail category for the twelfth year in a row. Winmark has solidified its strong position by delivering consumers an experience that is unparalleled in the resale space. The company’s commitment to sustainability and providing quality used merchandise in a clean, welcoming environment sets it apart
from other resale concepts and has proven to be a key driver in both consumer and franchise growth, as many of its franchisees were customers prior to opening their own stores. “Customers are looking for local, sustainable options to sell their quality used items, get paid immediately, and receive great value in return. All of our brands meet those needs,” said Renae Gaudette, Chief Operating Officer for Winmark Corporation. Franchising MAGAZINE USA 27
c h i l d r e n ’s p r o d u c t s a n d s e r v i c e s f e at u r e
COVER STORY: Aqua-Tots Swim Schools
Aqua-Tots Drives Awareness
on Dangers of Nationwide Lifeguard Shortage
is leading to more people – particularly children – going to unsupervised places to swim. Aqua-Tots aims to raise awareness of this ongoing summer challenge by encouraging families to only swim when adult supervision is present and by offering swim lessons to combat child drowning statistics.
World’s largest swim school franchise warns that children are more likely to enter water unsupervised, encourages families to only swim with an adult present and enroll in lessons
Aqua-Tots Swim Schools has been saving lives for over 30 years and is voicing its concern that the country’s current shortage of lifeguards is putting more lives in danger. The American Lifeguard Association has stated that there is a critical shortage of lifeguards, with eight out of 10 of the country’s parks and recreation departments reporting they are short-staffed at their public beaches, pools and water parks. This decline in numbers of lifeguards
28 Franchising MAGAZINE USA
“The shortage of lifeguards is something that should be a real concern for all of us,” said Aqua-Tots CEO Craig Wright. “Statistics tell us that approximately 900 children die from unintentional drownings each year in the U.S. When you add in fewer lifeguards at pools and beaches across the country, it becomes even more concerning – especially during the summer when everyone is trying to stay cool in the water.” A recent survey by the Center for Disease Control (CDC) reported that swimming is the fourth most popular form of exercise in the country. Children’s ability to swim doesn’t rank as high, however, with 64% of African-American, 45% of Hispanic and 40% of White children having little or no swimming ability.
ABOUT Aqua-Tots Swim Schools Aqua-Tots Swim Schools serves over 120 communities worldwide, offering dedicated, year-round, indoor swim instruction, community outreach and drowning prevention education to children of all abilities from four months to 12 years old. As the world’s largest swim school franchise that is continuing to grow with 90 locations in development, Aqua-Tots’ handselected instructors are passionate about teaching children how to remain safer in and around the water. The company uses tried and true curriculum, more than 30 years in the making and trusted worldwide to teach five million swim lessons annually. To learn more, visit aqua-tots. com or follow Aqua-Tots on Facebook and Instagram. Aqua-Tots encourages families to choose pools and beaches where lifeguards are
present to swim this summer. Additionally, adult supervision by a designated Water Watcher in each family is vital for
drowning prevention. A Water Watcher is
an adult who agrees to watch children play
or swim without any distractions for a set period.
offers swim lessons for children of all ages,
Signing children up for swim lessons is also important as CDC studies show that participation in formal swim lessons reduce unintentional drownings by 88% in children ages one to four. Aqua-Tots
Aqua-Tots currently has 125 locations
including those as early as four months old. worldwide, including 22 international locations, teaching five million swim
lessons a year. Every swim instructor has
completed more than 40 hours of intensive in-water and classroom training and has their CPR certification.
The Aqua-Tots Swim Journey is comprised of eight levels of comprehensive
curriculum that is tried, true and trusted
all over the world. Each level is designed to build upon the next, taking each child
on a journey toward becoming a safe and confident swimmer for life.
Aqua-Tots offers swim lessons for
children as young as four months all
the way through 12 years old. Children can participate in private lessons or
small group classes to help ensure a safe
environment for proper swim instruction. For more information about Aqua-Tots and to enroll in swim lessons, visit aqua-tots.com. Franchising MAGAZINE USA 29
c h i l d r e n ’s p r o d u c t s a n d s e r v i c e s f e at u r e
FEATURE ACTICLE: Chris Conner | Founder | Franchise Marketing Systems
Winning Kids Concepts to Fit Your Future From epic entertainment to necessary care, kids concepts are a staple in the franchise marketplace. Due in part to a culture shift in favor of kid-centric spending, children’s franchises have continued to grow in popularity - and profitability- over the past two decades. Another noteworthy fact is the population growth of children that guarantees a market for such businesses. In 2021, there were around 4.79 million families with three or more children in the United States. Children currently make up around 22% of our nation’s population! No matter your skills, there are franchises that serve this blooming market. They are fun, can fit our passions, and make for great ROI.
Magical Adventure Awaits For anyone who saw Swiss Family Robinson as a child, larger-thanlife tree houses have always been at the center of any kid’s outdoor dreams. Fast forward to 2020 when FireFly Forts was developed— a concept born from quarantine boredom. The Atlanta-based franchise conceptualizes, designs, and builds customized tree forts to make any Robinson swoon. Custom add ons include swings, monkey bars, slides, rock walls and more. Franchisees will find a work-from-home, mobile business with tons of flexibility and hands-on fun.
30 Franchising MAGAZINE USA
Start-up costs are low, launch can be quick, and the market is virtually untapped. Brands like these are a fantastic business choice due to their scalability and flexibility.
Help When it’s Needed Childcare is going nowhere. As dualincome households become the norm — over 50% of US households in fact — families will always be seeking out trustworthy businesses to care for their little ones. Founded in 2004, Kula’s Children’s Center is a holistic program that gives franchisees a simplified step into this stable market. Another plus for concepts like this are the government programs that help fund families’ attendance. This particular concept also teaches its franchise partners how to navigate food expense reimbursement through federal programs. Revenue is recurring and year-
round, and the concept lends itself to wordof-mouth marketing amongst parents.
Unbeatable Business Camp Unbeatables has taken “daycare” a step further. The company offers an award winning unique program that combines life coaching with sports, artistic, creative and educational activities. This concept has low start-up costs and does not need a location to operate — any schools, parks, or gyms work well. The brand was grown from passion, lending to a natural lifestyle business of childhood enrichment that includes coaching kids on much needed life skills that contribute to lifelong wellbeing and success. It has little to no direct competition and works year round.
STEAM Enrichment Parents are more than aware of the benefits of enrichment programs for their children. The buzz word for the past
Kids concepts are winning “ investments for entrepreneurs — they offer a pathway for passions, scalability and flexibility, year-round income, and tons of profitability.
”
decade — STEAM — is on everyone’s lips when it comes to the world of kids. STEAM stands for science, technology, engineering, and mathematics and serves as a broad term for all of these academic disciplines. Next Level Kidz has expertly captured this concept for franchise partners. The brand is on a mission to help stressed out parents and busy families by providing much needed relief through STEAM activities. With a 2,000 square foot facility, the business offers multiple revenue opportunities including birthday parties, after-school care, summer camps, and more. A wide range of non-competitive sports programs are also available for ages 2 to 6 years old, which gives franchisees a step into the $19 billion youth sports industry. Kids concepts are winning investments for entrepreneurs — they offer a pathway for passions, scalability and flexibility, yearround income, and tons of profitability. If you are seeking out a kid-centric concept like the ones above or you are seeking to franchise your business, my team and I can help. Visit fmsfranchise.com to get started. Franchising MAGAZINE USA 31
c h i l d r e n ’s p r o d u c t s a n d s e r v i c e s f e at u r e
franchisOR in DEPTH: Kiddie Academy
How Giving Back Has Grown the Kiddie Academy Footprint
Kiddie Academy®, a nationally recognized brand of educational child care centers, has launched a community fund to provide its teachers and staff with grants of up to $1,000 in times of personal hardship or natural disaster.
the Kiddie Academy system in need of immediate financial assistance following an unforeseen circumstance. The fund relies on support from Kiddie Academy Corporate, as well as individual donations made by franchisees, vendors, employees and the public. Kiddie Academy Corporate has seeded the fund and covers all its operating expenses.
It’s just one of the ways the Kiddie Academy system is embracing a purposedriven philosophy as it expands its footprint to 300 Academies across 34 states and the District of Columbia.
Donations to the fund are tax deductible, and grants to Kiddie Academy system teachers and staff are tax-free.
“The Community Fund is a key opportunity to support our Academies’ teachers and staff, who are the foundation of everything we do. It’s character education in action, providing living examples of empathy, generosity and responsibility,” said Maria Dontas, director of corporate social responsibility at the Kiddie Academy Domestic Franchising, LLC (“Kiddie Academy Corporate”). The Kiddie Academy Community Fund was created to help teachers and staff in 32 Franchising MAGAZINE USA
“The Community Fund is a testament to our passion and our purpose. It’s just one way we show up for one another, across state lines and classroom walls,” Dontas said. In fact, employee support is growing in the ongoing aftermath of the COVID-19 pandemic. Companies like Kiddie Academy Corporate are responding. The franchisor is continuing to find ways to support Academies across the Kiddie Academy system and to provide resources to franchisees so they can better serve their teams.
According to the Federal Reserve’s most recent Report on the Economic Well-Being of U.S. Households, 35% of adults would have a hard time covering an unforeseen expense of $400. With inflation at a 40year high, everyone is feeling the pinch. When brands like Kiddie Academy step in to support teachers and staff in the franchise system, it can make a meaningful difference. “The Kiddie Academy Community Fund helped me and my family through my Covid-19 recovery,” said Christine, a teacher at a Kiddie Academy franchise location in Illinois. “The grant helped me with the hospital bills I received during Covid-19. It’s unfortunate that things turned out this way, but I can truly say ‘I beat Covid!’ I am thankful for my life and so appreciative of Kiddie Academy.” In the past year, enrollment across the Kiddie Academy system has increased
Purpose-driven isn’t just “ a catchphrase for the Kiddie Academy system—it’s a passion.
”
franchisees are doubling down—multi-unit owners now make up 60% of operating Academies. It’s a great validation of our business model.” The Kiddie Academy brand celebrated 40 years of early childhood education in 2021 with a $40,000 donation to Family Promise, a national nonprofit focused on providing prevention, shelter and stabilization services to communities nationwide. The donation was used to launch a leadership academy offering training to staff at Family Promise affiliates and scholarships focused on helping women achieve career growth in early childhood education.
20% to over 38,500 children. More than 8,000 educators in the franchise system are focused on delivering the brand’s Life Essentials® curriculum, which is designed to inspire curiosity and instill character in the children it serves. Since its inception in 1981, Kiddie Academy has been recognized as a leading brand in educational child care. The company serves families and their children ages 6 weeks to 12 years old, offering full-time care, before-and after-school care and summer camp programs, through the Kiddie Academy system. Kiddie Academy Corporate has received corporate accreditation from the globally recognized Cognia accreditation system, signifying its commitment to quality education and the highest standards in child care. “Service franchises are on the rise as consumers look to create efficiency in their lives. We’ve seen firsthand how child
care is the backbone of our communities,” said Kiddie Academy Corporate President Joshua Frick. “The Kiddie Academy system affords franchisees a way to create a scalable service offering to meet the community’s needs and wants while providing consistency in our programs.” Furthermore, child care franchising is a recession-resistant model. Child care is a need that every parent has to fulfill, which makes it an industry that rebounds quickly after economic downturns. And owning a franchise in the child care industry doesn’t necessarily mean you have to have a background in early childhood education. The Kiddie Academy system comprises franchisees with backgrounds in everything from technology to engineering to accounting and more. “We’re seeing more and more franchisees coming from other concepts,” Frick added. “In addition to new prospects, our existing
Because the Kiddie Academy system workforce is predominantly female, (61% of Kiddie Academy Corporate employees and approximately 99% of franchisees’ employees across the 300 franchised locations), Kiddie Academy Corporate seeks to lead by example for other businesses hoping to support working women and parents. To accomplish this, Kiddie Academy Corporate has developed excellent benefits for its employees, including increased parental leave following the birth or adoption of a child, phase-out programs for mothers, phaseback-in plans for parents after family leave, additional and expanded child care tuition support and more flexible working hours. Purpose-driven isn’t just a catchphrase for the Kiddie Academy system—it’s a passion. Whether it’s supporting staff through the Community Fund and progressive family benefits or giving back to the community locally and nationally through Family Promise, this franchise system is setting an industry precedent. Giving is an insideout philosophy, and it’s at the heart of everything the Kiddie Academy brand stands for—from its Character Essentials® program taught at Academies to its corporate identity. Franchising MAGAZINE USA 33
c h i l d r e n ’s p r o d u c t s a n d s e r v i c e s f e at u r e
EXPERT ADVICE: John Collins | Kumon Education
Value of Education Franchises Grows During Pandemic
John Collins is Kumon North America’s vice president of Center Network Development
Franchises in the education industry received a substantial boost from an unlikely source: the pandemic. Education enrichment franchises were already experiencing strong growth before COVID because of the increased competition for spots in leading universities and parents’ desire to give their kids an edge as they pursue secondary education and enter the job market. When COVID forced schools to close and pivot to virtual learning, parents scrambled to not only prevent their kids from falling behind but also to give them every advantage moving forward. A spike in demand for education enrichment services coincided with The Great Resignation, which led to an unprecedented number of employees leaving their jobs in search of more meaningful work. 34 Franchising MAGAZINE USA
“Many entrepreneurial-minded individuals seek to change their lifestyles by opening their own business, and they appreciate that franchising offers a proven business model, established systems and extensive training,” says Mike Shim, senior vice president of field operations for Kumon North America. “Kumon experienced a tremendous increase in interest from teachers, especially, who want to have greater control over their schedule and their future but want to use their classroom experience to continue to make a difference in the lives of children. The corporate support is a big draw, as this is a first business venture for most of them.” Kumon, the top education franchise in North America, added 65 new centers in 2021 to total more than 2,000 locations in the U.S. and Canada. This year, Kumon anticipates extremely strong growth in California, Texas, New Jersey and New York, as well as Canada. After-school enrichment programs like Kumon are worth $23.5 billion in the U.S. National data backs up the trend of teachers leaving schools for the private sector: • 300,000 teachers and school-related staff left their fields between February 2020 and May 2022, according to the Bureau of Labor Statistics. • 55% of teachers said they would leave education sooner than planned, up from 37% last August, according to a 2022 National Education Association poll. • 44% of public schools in the U.S. reported full- or part-time vacancies at the start of last school year, according
to the National Center for Education Statistics. Many of those teachers are turning to Kumon; in fact, they are driving the company’s growth. They seek new career opportunities where they can continue to both use their training and experience and do what they love – teach and make a difference at a high level – outside of the school system and with an eye toward building their own business for the future. Just like others who are leaving their jobs to open their own small businesses, teachers want to have more control over their schedules, cut out bureaucracy and be their own boss. Former teacher Georgette Kankwende, now the owner-operator of Kumon Center of Fort Worth-Woodland Springs, was thrilled to trade in her 80-minute-per-day commute to the school where she worked for a five-minute drive to her own business, which opened in January 2021. “Enrollment has been really good,” Kankwende says. “I could tell in the first three months that there was a need for Kumon in my area, and it really hasn’t slowed down at all. We now have more than 150 students.”
A spike in demand for “ education enrichment services coincided with The Great Resignation, which led to an unprecedented number of employees leaving their jobs in search of more meaningful work.
”
starting to notice that,” Kankwende says. “School just isn’t enough for some kids. They really need supplemental education.” Kumon Center owners say they are limited in the number of students they can serve without sacrificing customer service or social distancing, so the increased demand for education enrichment is resulting in not only healthy enrollment at existing centers but also a need for more centers. Scott Cook Photography for Kumon
The need for education enrichment services is expected to continue. The education consultant McKinsey & Company reports that the lingering effects of the pandemic persist. For K-12 students in the 2021-2022 school year, that translated to being an average of five months behind in math and four months behind in reading.
School districts have not revised their expectations; they still expect students to know the same things they would have been taught pre-pandemic in spite of numerous education disruptions, including school closures and remote learning. “COVID and virtual schooling set a lot of students back, and parents are really
“We are actively recruiting teachers and others to become Kumon instructors because we have a critical need for more centers,” says Shim. “We know that teachers are confident in their ability to work with children but may be hesitant to start a Kumon Center because they don’t necessarily have experience in running a business. We allay their fears by explaining our extensive training process, which includes everything they may need to know to run a Kumon.” Additionally, Shim says, startup costs are a concern for many new small business owners, but Kumon’s staff does all that they can to make building new centers affordable for franchise owners. The franchise fee for Kumon is only $2,000, and Kumon offers thousands of dollars in incentives to help offset many of the costs of opening a new center – including providing funds for marketing, signage, furniture and more. “We keep costs low so that Kumon Instructors can launch their businesses in the best possible financial shape,” he says. “Our team is here to help Kumon Center owners succeed so that we can meet the needs of more families.” Franchising MAGAZINE USA 35
c h i l d r e n ’s p r o d u c t s a n d s e r v i c e s f e at u r e
HAVE YOUR SAY: Anne Huntington Sharma | Huntington Learning Center
Huntington Learning Center
is the nation’s leading tutoring and test prep provider dedicated to giving every student the best education possible will carry students through their lifelong academic careers, like reading for example.
Huntington was founded in 1977 by Dr. Ray and Eileen Huntington and remains a family-led organization. 45 years later we are steadfast in our mission and passionate about innovating ways to provide families with modernized instruction and tools to establish strong foundational skills that are the key to lifelong academic success. Huntington offers customized programs through in-person, online, and hybrid options. With approximately 300 locations, our proven, proprietary method starts with an Academic Evaluation to develop a personalized learning plan. 36 Franchising MAGAZINE USA
Next, our certified teachers provide individualized instruction in phonics, reading, writing, study skills, elementary and middle school math, Algebra through Calculus, Chemistry, and other sciences. Additionally, we prepare students for the SAT and ACT, as well as state and standardized exams. As we near the end of summer and students start returning to school, Huntington continues to prepare our students and address the looming challenges like unfinished learning due to the global pandemic and the ever-present ‘summer slide.’ Both disruptions, unforeseen or not, have caused skills gaps in students across the country. Perhaps most significantly in students who have missed classroom time in grades K-2. At this stage in elementary school, the curriculum is focused on building the vital foundational skills that
Dr. Ray Huntington, Chairman of the Board and Co-Founder offers insight into why having a strong ability to read and comprehend material is paramount to student success. “Reading takes instruction and practice to master and it doesn’t come easily to everyone. Before students can learn content in various subject matters like the sciences or are able to compose and write an essay, they must be able to read well and comprehend the material they are reading. Your child should be able to read a passage or chapter, answer questions about the who, what, when, where, and why, make predictions about what might happen next, and summarize. It’s also important that children understand sentence structure and punctuation in order to get the context of what they read.” Setbacks due to time missed in the classroom, planned or unplanned, impact a child’s ability to learn and grow this exceptionally important skill set. The impact of which reaches beyond homework and testing. According to the Teacher & Principal School Report: 2nd Edition, in a survey of 4,517 public school educators, 98 percent agree that reading also contributes to students reaching their social-emotional needs, which in turn helps students reach their highest academic potential. Through it all, Huntington has continued to innovate curriculum, update operations and implement strategic processes across the organization in order to keep our centers open and provide families with learning support when they’ve needed it most.
Huntington tutors all grades, kindergarten through grade 12, in study skills, reading, phonics, spelling, math, science, and more. We also prep for the SAT, ACT, GED, ASVAB, PARCC, HSPT, ISEE, and state exams. And although our teachers do not diagnose learning disabilities, we can help students with disabilities make great progress. We have placed a focus on providing tutoring and resources for students with ADHD across all subject areas. Every student deserves to know the joy of reading and have the skills, confidence and motivation to succeed in school.
Huntington is currently in the throes of a digital transformation that was somewhat fast-tracked in response to school closures in 2020, but has been at the forefront of long term planning and the basis of organizational goals for multiple years prior. The success of Huntington’s new, techforward academic resources has led to over 500,000 hours of modernized, integrated, remote, & in-person learning for students across the country. What once was a complete brick and mortar business model has evolved into a contemporary educational resource with programs offered both remotely and in-person.
Today Huntington’s certified teachers provide students with instruction resulting in an average of 2+ grade level improvement in reading in as little as 50 hours. We use research-based curricula, delivering comprehensive instruction. With 120+ reading programs across 34 different skill-sets Huntington’ provides each student with a truly individualized instructional program. As we dive into the 2022-2023 school year, Huntington encourages parents to visit our website and utilize the resources available like our free webinars. Skills gaps in reading do not have to linger or be compounded as students enter a new grade.
To learn more about Huntington’s programs like Homework Help, HuntingtonHelps LIVE, Huntington Advantage, Test Prep, Academic Performance Coach and more visit huntingtonhelps.com Interested in joining our passionate network of entrepreneurs and educators? Find out how to join the team at huntingtonfranchise.com
About the Author Anne Huntington Sharma is the President and a Board Member of Huntington Learning Center, the nation’s leading tutoring and test prep provider. Anne oversees business strategy and growth initiatives, including partnerships, marketing, digital transformation, and franchise expansion. Franchising MAGAZINE USA 37
c h i l d r e n ’s p r o d u c t s a n d s e r v i c e s f e at u r e
EXPERT ADVICE: Rick Bisio | Franchise Coach & Author
Franchising
with a Focus on Kids Rick Bisio is one of the countries most respected franchise coaches and author of the Amazon best seller, The Educated Franchise – 3rd Edition. Since becoming a franchise coach in 2002, Bisio has assisted thousands of aspiring entrepreneurs nationwide explore the dream of business ownership. www.afranchisecoach.com
When deciding upon starting a franchise, one of the biggest considerations is your target market. Who you’re looking to serve as customers can determine requirements such as location, expenses and staff training needs. When a franchise is aimed at serving the youngest of customers, how viable is a business that focuses on children’s products and services?
Profits to be Made Over the past 20 years working as a franchise coach, I have worked with many franchise opportunities serving families with kids. With more parents working while raising a family, that means families have more disposable income to spend on each of their children. There are multiple industries and markets that serve the needs of parents and their children. Take the daycare industry for example. Market analysts say in the U.S. alone the daycare industry is worth $61 billion. They also say the childcare market – which includes early care, daycare, early education, and backup care – is expected to grow at a compound annual growth rate of 3.9% through 2027. Of course, child-focused franchises aren’t only about 38 Franchising MAGAZINE USA
education and watching the kids while mom and dad are at work. The family indoor entertainment center market is also growing. Market analysts expect this global entertainment market to reach $69.55 billion by 2030, with a CAGR of 10.9%.
Room for all Sorts of Concepts There are a wide variety of businesses that cater to children. Some successful businesses have combined two proven concepts. Ivybrook Academy, for example, focuses on early childhood education while also providing a daycare function for a portion of the day. Another example is We Rock the Spectrum, a fitness play franchise that specializes in serving special needs children. You can also go in the opposite direction and focus in on one kind of service or product. Code Ninjas, for example, is an education center franchise that focuses on teaching children about computer coding. Sharkey’s Cuts for Kids is a franchise specializing in kid’s haircuts. Other concepts for kid-focused franchises include children’s clothing, children’s party catering, personal tutoring, after-school activity centers and sports camps. There’s room for both in-person and remote/virtual services among kidfocused franchises. With the rise of remote businesses during the COVID-19
pandemic, virtual learning became
commonplace. Even now as the pandemic is subsiding and the restrictions are
largely gone, many are continuing to use
virtual classrooms to match students with tutors in a variety of subjects, as well as
helping parents connect with pediatricians, nutritionists, and other experts for
consultations. Meanwhile, in an effort to
Costs and Challenges Of course, there’s always challenges to tackle when you open a business, and a children-focused franchise is no exception. Costs are comparable to similar franchises. You’ll need to consider things like physical infrastructure requirements and build out requirements. Like any business, the services or goods you provide will determine your expenses a lot more than the customers you’re serving. A family entertainment center will need a lot of space and equipment, as well as staff to run and maintain it, while an at-home babysitting service can be run from home, with the biggest expenses being officerelated. One of the challenges that gets overlooked is the need to stay focused. Entrepreneurs who start a business with the goal of providing services for kids need to carefully consider that you and your staff will be dealing with children throughout your workday. Some businesspeople may think that won’t be hard, especially if they’ve got kids of their own. return to “normalcy” and ensure children get opportunities to socialize, in-person, brick-and-mortar businesses are also in demand. Of course, all the above-mentioned concepts and sectors will normally have both new development areas as well as the possibility of franchise resales in select markets.
However, keep in mind that your own children will be growing up and moving past early childhood while your business will remain focused the same customer base. You need to be sure you’re ready to handle that age group for longer than the average parent. You also want to make sure your staff is of a similar mindset. Since parents are trusting you with their kids, sometimes without the parents’ direct supervision, you want to be sure your staff
is ready and capable of keeping up with multiple kids for the better part of the day. Business hours are also something to consider. Many children’s concepts see a lot of business in the late afternoon, evening and on the weekend during the school year, since that’s when kids will be out of school. Some concepts are more seasonal, like summer camps. Make sure you’re prepared to handle working when your customers, i.e., the kids, are most available – evening and weekends. As both business hours and busy seasons are a consideration, before you open a kidfocused franchise, make sure you consider where you want to focus most of your time and attention, such as at work or with your own family, friends and personal interests. You want to be sure you pick a business and/or franchise that gives you the balance that works best for you.
Family Franchising In summary, franchises built around a concept of catering to the needs of children and their families are viable, with good potential for profit and anticipated market growth. Like all franchises, these come with expenses dependent on the type of service or product you provide, but unique to these franchises, you should be ready to operate when the kids aren’t in school and for the challenges of handling kids of a certain age for long periods of time. If this sounds like a business you can get behind, then a children-focused franchise might be a good fit for you. Franchising MAGAZINE USA 39
c h i l d r e n ’s p r o d u c t s a n d s e r v i c e s f e at u r e
franchisor in depth: Youth Athletes United
Parent Company Youth Athletes United Doubles Revenue in 3 Years with Youth Sports Brands Amazing Athletes, Soccer Stars, JumpBunch, TGA Premier Sports and Little Rookies
Since the acquisition of both Soccer Stars and Amazing Athletes, Youth Athletes United has doubled its revenue in less than three years via organic growth and strategic advertising. With the addition of TGA Premier Sports, JumpBunch, and Little Rookies to the platform, the company now stands at $47 million in system-wide revenue. The popular youth sports training and activity programs combined forces under the umbrella of newly formed parent company Youth Athletes United earlier this year. Under the direction of its co-founders — CEO Adam Geisler and President John Erlandson — it’s a perfect time for Youth Athletes United to emerge as a key player 40 Franchising MAGAZINE USA
in the multibrand franchisor category. Most importantly, with over 290 franchise units and counting, and with Soccer Stars, JumpBunch, and Little Rookies launching as additional franchise options in 2022, Youth Athletes United is getting closer every day to reaching its goal of impacting more than one million kids every year. “With the only real costs incurred being equipment, our franchisees are really set up to succeed and be profitable in the first 90 days,” said Erlandson. “There’s a 100% cash-on-cash return potential by the end of the first year in business, which is hard to find in other opportunities today.”
Youth Athletes United Brings Together 5 Top Youth Sports Brands After a long career in sports business development, Geisler and his team came
across the opportunity to combine each of the five brands, starting in September 2018. Almost exactly three years later, in September 2021, the team created nowparent company Youth Athletes United in an effort to streamline the franchise opportunities and maximize the brands’ reach. Youth Athletes United is working to complete its mission of creating the largest youth sports franchise platform in the country, where every child can enjoy learning the fundamentals of the sport while having fun. All brands under the Youth Athletes United umbrella are well-established with sports-specific vertical curricula, a strong customer base and 15 to 20 years of operation each. Founded more than 20 years ago in Manhattan and just now preparing to launch a franchise option with Youth
Officer. “The majority of those kids started with us [at Soccer Stars] at age three or four. It really shows that sports at that age need to be more than just running around and chasing a ball. Learning cues at that early stage are important. As it stands now, most kids typically stop playing sports at 6-8 years old. Children need to have a supportive outlet and the confidence to get out and play, so we are really working to undo this statistic.”
Why Youth Athletes United Franchisees Can Anticipate a Boom in Growth In 2022
“
The popular youth sports training and activity programs combined forces under the umbrella of newly formed parent company Youth Athletes United earlier this year.
”
Rookies is a youth baseball program that teaches athletic skills and supports physical and personal development, empowering children ages 2 to 6 through the sport of baseball.
Athletes United, Soccer Stars is the largest corporate-run youth sports program in the U.S. for kids ages 2 and up. After more than 18 years in operation, TGA Premier Sports is the No. 1 golf and tennis enrichment brand in the country. Amazing Athletes is the largest multisport sports education program in the country, where instructors teach sports fundamentals, nutrition and muscle groups in this preschool-based program. Similar to Amazing Athletes and with 20 years in operation, JumpBunch offers an opportunity to run sports and fitness activity programs for children in preschools, schools, camps and for birthday parties across micro-territories. Little
“We’ve found new and unique ways to service curriculum and activities that haven’t been done before that allow us to meet families where they are rather than force them to meet at one singular location,” said Geisler. “So whether we’re doing private groups at people’s homes or we’re running classes inside of malls or at the local field, we look at how we can continue to provide more programming content to more kids to reach our millionkids-a-year goal for our business.” Through these five verticals, families have the opportunity to nurture a child’s love of sports from the age of two through middle school, something that sets Youth Athletes United apart from the competition and empowers life-long athletes. “The most telling event, I think, was when our U14 [soccer] team won nationals in 2018,” said Dean Simpson, Chief Programs
During the first year of COVID-19, nearly 50% of Youth Athletes United’s revenue came from private groups. In the previous year, that number was only 3%. As they look ahead to next year, the Youth Athletes United team believes they’ll still continue to see an increased number of private groups, with projections accounting for about 10% to 15% of their revenue. Top growth markets for 2022 include major cities in Connecticut, Virginia, Maryland, Tennessee, Nevada, and Texas — but Youth Athletes United isn’t limiting its expansion to major markets. “There is a McDonald’s in every small town in America, and there is no reason that there shouldn’t be a small business owner there making a good living with Youth Athletes United,” Geisler said. “There’s something special in even the smallest of markets.” Youth Athletes United goes above and beyond to support its owners, who are promised instant access to anybody on the corporate team at any time. They provide operational support manuals to clearly lay out what a franchisee should do, and they’re constantly investing in software and tech with a relentless desire to innovate. “There isn’t really a space in child athletics that involves such a robust curriculum and organized progression,” Geisler said. “We’ve always worked to meet the parents and their children where they are, even if it meant amping up our small group sessions throughout COVID. We aim to be the premier youth sports organization in the nation.” Franchising MAGAZINE USA 41
c h i l d r e n ’s p r o d u c t s a n d s e r v i c e s f e at u r e
FRANCHISEE IN ACTION: Viola Feld | Huntington Learning Center
Working your Way Up How a Passion for Helping Children Turned a Job into a Business
42 Franchising MAGAZINE USA
Everyone’s path to entrepreneurship is different – some people know from the beginning that they want to be their own boss, and some just happen to stumble into the opportunity. For Viola Feld, a Huntington Learning Center franchisee, her path to becoming a business owner began with her love of children and helping people. With a background in both the business and education industries, Feld worked with students and parents her entire career in both public and private sectors. In 2015, she found Huntington Learning Center and was hired as a Center Director at the Bay Ridge center in Brooklyn, New York. When she was transferred to the Englewood center in 2018, an opportunity presented itself for Feld to consider becoming an entrepreneur. In 2019, Feld learned that the Englewood center was looking for a new franchisee, and seeing firsthand the tremendously talented teachers and staff, she knew it would be a rewarding opportunity. After speaking with her father, Boris Feld, they decided to become co-owners of the center and embark on the world of business ownership. Even though Viola had owned a small tutoring business at one point, taking on an established learning center was a whole other ballgame. While it is always alarming to take on new challenges, Feld believes many of the things she learned while working for Huntington as an employee made it an easier transition to becoming a franchisee.
Training and Support Gave Her Confidence Starting as a Center Director, Feld received a lot of hands-on experience and training that helped her learn what it took to run a Huntington Learning Center. Working under an Operations Manager, she was learning everything from executing marketing plans to creating a monthly revenue and action plan. She was also encouraged to continue to grow her skills
and learn to problem-solve. On top of the help from her mentors, Feld found immense value in the monthly training provided by Huntington to help her gain confidence in her new role. When considering becoming a franchisee, Feld felt comfortable in moving forward in part due to the tremendous training and support offered by the franchisor. Huntington Learning Center provides a comprehensive training program with the corporate team that helps train new franchisees on every aspect of their new business, as well as ongoing support and coaching. This includes training on marketing, how to enroll students, how to hire teachers, Huntington’s curriculum, how to continue to grow your business, and much more. Business ownership is always harder than it looks, but having a recognizable brand behind you that offers lots of training, support, and resources can help make the opportunity to succeed more attainable.
Curriculum Showcased Positive Results With years of experience in the education industry, one thing that stood out to Feld about Huntington was the methodical research behind the curriculum. As the premier provider of test preparation and tutoring services, Huntington works with each student to identify their strengths and weaknesses in order to create an individualized tutoring program that is unique for each child’s learning pace and style. It was important to Feld to work for an accredited tutoring service that wasn’t just one-size-fits-all for every student. Huntington Learning Center has a long track record of helping students achieve academic success since opening in 1977. For over 40 years, Huntington uses a high-quality curriculum based on comprehensive research to give students the best education possible. The proven curriculum and methodology continues to evolve and change based on new learning trends and feedback from teachers and students. Students that use Huntington’s tutoring services consistently see massive
improvements, especially now as students are behind due to the effects of COVID and remote learning. Huntington students see an average of 2+ grade level increase in reading and math, as well as greater confidence and motivation in school. Feld chose to work for Huntington because she believed in the curriculum. After experiencing the results in her position as Center Director, it confirmed that she wanted to become a franchisee.
Passion Fueled Her Decision Filled with passion for child education, Feld decided to take the plunge and become an entrepreneur because she saw the potential for what the center could be, and all the children the teachers, including herself, could help. She always had a passion for working with students, and working at Huntington gave her the opportunity to experience the positive impact firsthand. The Englewood center has been open since 1997, and in the four years she has been there, Feld has seen several generations of families come through the doors who spoke so highly of Huntington. One past student loved their experience so much they came back to work as a teacher. Her passion truly fueled her to become a franchisee to continue to grow and help more students in her community. After the success of their first location, Feld and her father decided to purchase a second location in the Park Slope area of Brooklyn, New York this year in February 2022 – proof that passion can turn into a thriving business. Regardless of how you decide to become an entrepreneur, it is important to have a thorough understanding of the industry and business operations. With Feld’s experience working for Huntington Learning Center as a Center Director beforehand, she felt she understood the interworking of the business and was confident that her training, the support she received, and her passion for helping students could benefit her in becoming a successful franchisee. For more information about franchising with Huntington Learning Center visit https://huntingtonfranchise.com/ Franchising MAGAZINE USA 43