2026 FDD Issued Apr 30, 2026 Minnesota Commerce (CARDS) Checked Oct 23, 2026
The Goddard School Franchise Cost (2026)
The Goddard School franchise costs an estimated $1,003,500 – $1,503,000 to open, according to Item 7 of the 2026 Franchise Disclosure Document (FDD). That total includes the $135,000 initial franchise fee (Item 5) and covers this format: Leased facility with landlord improvements. Item 6 lists royalty fee: 7% of Gross Receipts, subject to the conditions below.
- Total investment
- $1M – $1.5MItem 7 source and qualifications
- Franchise fee
- $135KItem 5 source and terms
- Royalty
- 7% of Gross ReceiptsItem 6 conditions and fee bases apply
- Brand fund
- 4% of Gross ReceiptsItem 6 conditions and fee bases apply
- Liquid capital
- $350KFranchisor website, checked October 30, 2026 · See conditions
- Net worth
- $500KFranchisor website, checked October 30, 2026 · See conditions
- Units (2025)
- 665Item 20 source and scope
- Franchise exit rate
- 0.3% / yrCalculated 3-year average; definition and source
What stands out about The Goddard School
The main opening estimate assumes the landlord constructs the improvements. A lease requiring the operator to improve an existing building, or a land purchase and new facility, has a different table. Mixing those formats would obscure the allocation of construction costs between landlord and operator.
The mature-school worksheet excludes schools with insufficient data and reports EBITDA separately from Gross Revenue. Its expense definitions determine what that measure includes. The worksheet does not establish a new school’s operating result or the cash an owner can withdraw after financing and other personal obligations.
What are the initial franchise fees and financial requirements for The Goddard School?
Item 5 lists an initial franchise fee of $135,000 for The Goddard School. Check the cited Item 5 for payment timing, discounts and format-specific terms.
The franchisor calls these minimum figures and says liquidity and net-worth requirements vary with location, transaction and asset type. Investors or co-owners may participate. These minimums come from the franchisor’s website, not from the FDD, and can change: The Goddard School franchise page (checked October 30, 2026).
Item 5 (PDF pages 22-28) sets the standard initial license fee at $135,000: a $30,000 deposit with the Preliminary Agreement (or the Franchise Agreement if none is signed) and $105,000 on the Opening Invoice, issued around the certificate of occupancy. The deposit is not refundable once the Franchise Agreement is signed or if the Preliminary Agreement ends, and the fee is not refundable once the Franchise Agreement is signed. Qualified existing franchisees developing an additional new School pay $60,000; qualifying veterans receive a $20,000 discount on a first franchise ($115,000); buyers of an existing School's assets pay $40,000. Only one discount or incentive applies. Item 5 also sets an initial marketing fee of $55,000-$75,000 by enrollment capacity, a $35,000 initial training and opening support fee, a $35,000 site development fee and $1,500 per person for background checks; the Real Estate Support Program adds a $75,000 project management fee paid to an affiliate.
Source: The Goddard School 2026 FDD, Item 5, PDF p. 22.
How much does it cost to open The Goddard School franchise? (Item 7)
Source: The Goddard School 2026 FDD, Item 7, PDF p. 42.
Item 7 of The Goddard School’s 2026 Franchise Disclosure Document estimates the total cost to open one leased facility with landlord improvements at $1,003,500 – $1,503,000. This total includes the initial franchise fee.
| Expense Category | Low ($) | High ($) |
|---|---|---|
| Initial License Fee | $135,000 | $135,000 |
| Initial Training and Opening Support Fee | $35,000 | $42,000 |
| Initial Marketing Fee | $55,000 | $75,000 |
| Site Development Fee | $35,000 | $35,000 |
| Background Check | $1,500 | $6,000 |
| Lease Deposit | $25,000 | $50,000 |
| Project Management Fee | $0 | $75,000 |
| Furniture, Fixtures and Equipment | $243,000 | $307,000 |
| Playground Equipment | $140,000 | $240,000 |
| Marketing Materials, Stationery, Forms, and Curricular Resources | $15,000 | $15,000 |
| Signs | $28,000 | $28,000 |
| Computer System, IT Security, Network, Telephone, Flat Panel and Signage | $26,000 | $40,000 |
| Security System | $45,000 | $45,000 |
| Miscellaneous Opening Costs | $120,000 | $135,000 |
| Additional Funds - 3 months | $100,000 | $275,000 |
| Total | $1,003,500 | $1,503,000 |
Other formats
| Format | Total investment |
|---|---|
| Lease Facility and Landlord Needs Improvements | $1,736,500 – $5,032,000 |
| Purchase Land and Build Facility | $5,493,500 – $8,908,000 |
For comparison, the median high-end investment among 7 education & tutoring records without a source-review hold is $288,400.
Item 7 Table 1 (PDF pages 42-44) covers leasing a school where the landlord constructs the improvements. The printed total is $1,003,500-$1,503,000. Furniture, fixtures and equipment are $243,000-$307,000; playground equipment is separately $140,000-$240,000; additional funds for three months are $100,000-$275,000. Leasing a building needing improvements and buying land/building have separate tables and must not be combined with this format.
What ongoing royalties and fees does The Goddard School charge? (Item 6)
Source: The Goddard School 2026 FDD, Item 6, PDF p. 29.
Item 6 of The Goddard School’s 2026 FDD lists the charges below. Recurring charges and charges triggered by a transfer, renewal or other event have different conditions. Read each fee’s basis and notes before comparing rates.
How to read an Item 6 fee table.
| Fee Type | Amount / Rate | Payment Frequency | Notes & Source |
|---|---|---|---|
| Royalty Fee | 7% of Gross Receipts | Every period | 7% of Gross Receipts, withdrawn monthly on or after the third business day for the preceding month; Annex Gross Receipts are included. Under the incentive for existing franchisees buying an additional franchise for a new School, the first-year rate is 2% for months 1-3, 4% for months 4-6 and 6% for months 7-12; the full rate and the difference become payable if the qualifying conditions end within two years. (Item 6, PDF p. 29) |
| TGS Marketing Fund Marketing Fee | 4% of Gross Receipts | Every period | 4% of Gross Receipts, including any Annex, paid monthly with the royalty. The franchisor may assess a lower rate for some periods without waiving the full rate. (Item 6, PDF p. 30) |
| Proprietary Curriculum Fee | $700 per month | Every period | Then-current fee, currently $700 per month plus taxes, for the Wonder of Learning curriculum subscription, which includes an online platform that also serves as a parent communication application. As a "current" fee it may rise by up to 10% per calendar year, cumulatively (Item 6 note 5, PDF page 41). (Item 6, PDF p. 30) |
| Local Advertising, Marketing and Promotion | Varies | When it applies | At the franchisee's own cost under the local marketing guidelines in the Operating Manual, paid to the franchisor or vendors as incurred. Item 6 sets no minimum amount. (Item 6, PDF p. 30) |
| Telephone Charges | Varies | When it applies | Cost of telephone services, paid directly or reimbursed to the franchisor. (Item 6, PDF p. 30) |
| Audit Expenses | Varies | When it applies | Payable only if an audit or inspection finds underpayments of more than 3%: the cost of the audit, including accountant charges, travel and staff compensation, or $10,000, whichever is greater. (Item 6, PDF p. 31) |
| Late Notification of Adverse Action or Order Fee | Varies | When it applies | $50 for each failure to notify the franchisor of an adverse action or order affecting a permit, license, the School's operation or the franchisee's finances, plus $25 per day beginning on the third day. (Item 6, PDF p. 31) |
| Late Submission of Forms, Financial Reports and Data | Varies | When it applies | $50 for each failure to submit required forms, financial reports, records or data on time, plus $25 per day beginning on the third day. (Item 6, PDF p. 31) |
| Transfer Initial License Fee | $40,000 | When it applies | Paid by the buyer of an existing School when it signs its Franchise Agreement; the buyer receives the initial term then offered for new Schools. (Item 6, PDF p. 31) |
| Initial Training and Transfer Support Fee | $25,000 | When it applies | Then-current fee, currently $25,000, paid by the buyer before the transfer; $15,000 if the buyer is an existing franchisee purchasing an existing School. (Item 6, PDF p. 32) |
| Transfer Marketing Fee | $15,000 | When it applies | Then-current fee, currently $15,000, or a different amount based on the franchisor's review of the buyer's plan; paid by the buyer to fund marketing support for the School. (Item 6, PDF p. 32) |
| Transfer Fee | $5,000 | When it applies | $5,000 transfer assignment fee paid by the seller to cover legal, accounting, credit and other transfer costs. Background check fees are additional. (Item 6, PDF p. 32) |
| Transfer Deposit | $2,500 | When it applies | Paid before signing the Termination of Franchise Agreement and Mutual Release; applied to unpaid obligations, with any excess refunded after 105 days. (Item 6, PDF p. 32) |
| Franchisee Add-on Fee | $10,000 | When it applies | When requesting to add individual franchisees in a transaction the franchisor does not treat as a transfer; covers background checks for up to two people. (Item 6, PDF p. 33) |
| Renewal License Fee | $10,000 | When it applies | When giving notice of intent to renew; covers background checks for up to two people. Other renewal conditions are in Item 17. (Item 6, PDF p. 33) |
| Background Check Fee | $1,500 | When it applies | $1,500 per person for background checks on transfers, added franchisees, renewals involving more than two people, new spouses, Annex development or other checks the franchisor requires. (Item 6, PDF p. 34) |
| Director's Initial Training Fee | $500 – $5,000 | When it applies | Currently $500 for the Director Initial Training Cohort Program; the table states $500-$5,000. Directors' salaries and any in-person travel costs are additional. (Item 6, PDF p. 35) |
| Designated On-Site Operator Training Fee | $3,500 | When it applies | $3,500 per individual for initial training of a new or replacement Designated On-Site Operator. (Item 6, PDF p. 35) |
| Conventions | $2,000 | When it applies | Reasonable registration fee, currently $2,000 per person, plus travel for in-person events. Attendance is required under current policy; if no one attends, registration for one person is still charged. (Item 6, PDF p. 35) |
| Failure to Obtain Accreditation Fee | $1,000 | When it applies | Charged if the School fails to maintain required accreditation, which is also a basis for enforcement under the Franchise Agreement. (Item 6, PDF p. 35) |
| Retraining for Failure to Cure Default Fee | Varies | When it applies | $500 per day plus personnel expenses for on-site training if a default is not cured on time. (Item 6, PDF p. 35) |
| Additional Quality Assurance Health and Safety Review Fee | Varies | When it applies | Currently $500 per visit plus personnel expenses for additional inspections after the School fails two quality assurance inspections or evaluations within 12 months. (Item 6, PDF p. 35) |
| Interest on Late Payments | 1.5% | When it applies | 1.5% per month or the maximum rate permitted by law on amounts owed to the franchisor or its affiliates, compounded monthly after the due date. (Item 6, PDF p. 36) |
| Insufficient Funds, ACH and Other Financial Institution Charges | Varies | When it applies | The greater of $30 or the financial institution's fee for a returned or late payment, plus up to $20 if late Gross Receipts reporting causes an additional ACH transaction. (Item 6, PDF p. 36) |
| Insurance and Insurance Reimbursement | Varies | When it applies | If the franchisee does not obtain required coverage, the policy cost plus a reasonable service fee. Item 6 estimates insurance at about $13,300-$65,800 a year, excluding workers' compensation. (Item 6, PDF p. 36) |
| Rent for School Premises | Varies | When it applies | Only if the franchisor or an affiliate leases or subleases the premises; that rent may exceed what the franchisor pays the prime landlord. (Item 6, PDF p. 36) |
| Maintenance and Refurbishing | Varies | When it applies | Maintenance as needed; refurbishing at the franchisor's request, not more than once every three years, paid to the franchisor or third parties. (Item 6, PDF p. 37) |
| Site Development Fee for Annex, Relocation or Expansion | Varies | When it applies | Up to the then-current site development fee for new franchises, for help with an Annex, relocation, expansion or material alteration. (Item 6, PDF p. 37) |
| Proprietary Software Fee | Varies | When it applies | Reasonable license fee for the Franchise Management System. Not currently charged; the franchisor reserves the right to charge it. (Item 6, PDF p. 37) |
| Computer System, Network and Telephone System Fees | Varies | When it applies | Reasonable system-wide fees for modifications, enhancements and installations, and individual fees for IT support beyond the general level of service (PDF pages 37-38). Required endpoint security software and payment-card compliance costs are the franchisee's responsibility. (Item 6, PDF p. 37) |
| De-Identify Premises | Varies | When it applies | Costs plus a reasonable administrative fee if the franchisor de-identifies the premises after expiration or termination. (Item 6, PDF p. 39) |
| Litigation Expenses | Varies | When it applies | The franchisor's attorneys' fees, court costs, expert fees and litigation expenses in actions to enforce or defend its rights. (Item 6, PDF p. 39) |
| Taxes | Varies | When it applies | Any sales, use, gross receipts or other tax a taxing authority imposes on payments to the franchisor. (Item 6, PDF p. 39) |
| Late Crisis Notification Fee | Varies | When it applies | $2,500 for each failure to notify the franchisor immediately of a potential crisis, such as alleged child abuse or neglect, release of a child to an unauthorized person, unlawful conduct, hazardous substances, a serious illness outbreak or a data breach, plus $500 per day beginning on the second day. (Item 6, PDF p. 39) |
| Indemnification | Varies | When it applies | The amount of losses or damages plus costs, including attorneys' fees, for claims arising from the School's development, construction or operation. (Item 6, PDF p. 40) |
| Developer Add-On Fee | $10,000 | When it applies | To add persons to a Development Agreement or as owners in a transaction the franchisor does not treat as a transfer; covers background checks for up to two people. (Item 6, PDF p. 40) |
Explore annual fees and payback assumptions
Start with the recorded The Goddard School inputs, then enter your own operating costs and sales assumptions. The result is a scenario, not an FDD profit forecast.
The Goddard School startup investment and modeled fees over 10 years
Over a 10-year period, startup investment plus modeled recurring fees for The Goddard School total approximately $3,845,894 – $4,345,394. Based on the average gross revenue (mature franchised schools) disclosed in Item 19 ($2,507,631, 2025 calendar year), recurring fees come to about $284,239 a year:
| Expense Component | Low ($) | High ($) |
|---|---|---|
| Startup investment (Item 7) | $1,003,500 | $1,503,000 |
| Recurring fees × 10 years (Item 6) | $2,842,394 | $2,842,394 |
| Startup + modeled fees | $3,845,894 | $4,345,394 |
Calculated model, not a disclosed FDD total. Assumes flat sales at the disclosed figure. Excludes rent, payroll, food or product costs and taxes, which the FDD does not set. Change the assumptions in the calculator · Estimate your payback for The Goddard School.
Source: The Goddard School 2026 FDD, Item 7 (startup inputs), PDF p. 42.
Source: The Goddard School 2026 FDD, Item 6 (fee inputs), PDF p. 29.
Source: The Goddard School 2026 FDD, Item 19 (sales input), PDF p. 134.
Item 20: The Goddard School franchised outlet history
Source: The Goddard School 2026 FDD, Item 20, PDF p. 145.
Item 20 Table 3 reports 665 franchised outlets at the end of 2025. The company-owned table reports a further 0 outlets. Our calculated average annual franchised exit rate is 0.3% across the 3 reported years, using the definition below.
| Year | Franchised at Start | Opened | Reported Exits | At End | Franchise Exit Rate (%) |
|---|---|---|---|---|---|
| 2023 | 598 | 30 | 1 | 627 | 0.2% |
| 2024 | 627 | 18 | 3 | 642 | 0.5% |
| 2025 | 642 | 24 | 1 | 665 | 0.2% |
Franchised units went from 598 to 665 over 3 years (+67).
Reported exits include terminations, non-renewals, franchisor reacquisitions and other cessations. A reacquired outlet may continue operating. How we calculate the exit rate. How to read the Item 20 outlet tables. Compare The Goddard School’s exit rate with other brands.
26 units changed owners in 2025.
Item 20 Table 3 (PDF pages 142-145) prints national totals on PDF page 145. Table 4 (PDF page 145) reports no company-owned Schools; transfers come from Table 2 (PDF pages 141-142).
How much do The Goddard School franchise owners make? (Item 19)
Source: The Goddard School 2026 FDD, Item 19, PDF p. 134.
Item 19 of the 2026 FDD reports average Gross Revenue (Mature Franchised Schools) of $2,507,631 (2025 calendar year, 620 mature franchised schools open over 18 months as of December 31, 2025). Besides sales, The Goddard School’s Item 19 reports “Average EBITDA (Mature Franchised Schools)” and “Median EBITDA (Mature Franchised Schools)”. Each figure follows the franchisor’s own definition in Item 19, which decides which costs are deducted and whether an owner’s salary is one of them. None of them is necessarily an owner’s take-home pay.
See every The Goddard School Item 19 figure, with its period and sample.
Estimate your payback for The Goddard School using Item 7 startup costs and Item 6 fee rules.
How to interpret The Goddard School’s Item 19 figures and sample limits.
How long is the The Goddard School franchise agreement term?
Source: The Goddard School 2026 FDD, Item 17, PDF p. 91.
The standard The Goddard School franchise agreement runs 15 years, with renewal terms of 5 years.
Item 17 (PDF page 91): the Franchise Agreement runs 15 years (5 years for a renewal agreement) and may be renewed for 5 years if the stated requirements are met.
How long does it take to open The Goddard School franchise? (Item 11)
Source: The Goddard School 2026 FDD, Item 11, PDF p. 81.
Item 11 of the 2026 FDD states the time from signing the Preliminary Agreement to opening: approximately 18 to 24 months.
Compare The Goddard School with other franchises
Head-to-head FDD cost, fee, and earnings comparisons:
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Frequently Asked Questions about The Goddard School
- What does The Goddard School cost to open?
- Item 7 of the 2026 FDD estimates $1,003,500 – $1,503,000 when the landlord builds the school's improvements. Leasing a building that needs improvements, or buying land and building, has separate and higher estimates in Item 7.
- What ongoing fees does The Goddard School charge?
- Item 6 lists a monthly curriculum subscription alongside the 7% of Gross Receipts royalty and 4% of Gross Receipts marketing fund fee. Transfer, renewal, late-report and failed-inspection charges arise under their stated conditions; they are not a flat monthly fee.
- How long does a The Goddard School franchise agreement last?
- The franchise agreement runs 15 years. Item 17 allows a shorter renewal term if the franchisee meets the stated conditions.
- What does The Goddard School report in Item 19?
- Item 19 reports average Gross Revenue of $2,507,631 for mature schools in 2025, with average and median EBITDA. The worksheet is unaudited, and EBITDA is not the same as take-home owner income.
Sources
Goddard Franchisor LLC Franchise Disclosure Document, issued April 30, 2026, as filed with the Minnesota Commerce (CARDS). Read the source FDD PDF. How to get this FDD yourself.
- Item 5: cited PDF p. 22
- Item 6: cited PDF p. 29
- Item 7: cited PDF p. 42
- Item 19: cited PDF p. 102
- Item 20: cited PDF p. 145
- Agreement term (Item 17): cited PDF p. 91
Page references for The Goddard School use the PDF viewer's digital page count, not printed page headers. Some viewers download the document instead of opening the referenced page.
If the state document viewer does not open, use Minnesota Commerce's public filing instructions to look up the filing by franchisor name and document date.
Document & verification changelog
- October 30, 2026: Record updated.
- October 23, 2026: Source check completed against the recorded FDD.
- October 23, 2026: Complete source recheck against the April 30, 2026 FDD: cover, Item 1, Item 5 (PDF pages 22-28), all 36 Item 6 rows (PDF pages 29-41), Item 7 Tables 1-3, Item 17, the Item 19 worksheet and Item 20 Tables 1-4. Replaced the Item 6 schedule, which had omitted or misstated most rows, including the curriculum, transfer, audit and late-reporting fees; completed the Item 5 notes; corrected the Item 17 and Item 20 page citations. The source hold is cleared.
- October 19, 2026: Source review hold recorded: The October 19 audit corrected conflicting Item 7 prose, selected financial-performance labels and PDF references. The fee schedule and remaining record sections still require a complete source recheck; the historical source-check date is not renewed by these targeted corrections.
- October 16, 2026: Initial cost profile published from the 2026 Franchise Disclosure Document (issued April 30, 2026).