2026 FDD Issued Mar 27, 2026 Minnesota Commerce (CARDS) Checked Oct 9, 2026
Kumon Franchise Cost (2026)
A Kumon franchise costs an estimated $101,630 – $233,780 to open, according to Item 7 of the 2026 Franchise Disclosure Document (FDD). That total includes the $2,000 – $3,000 initial franchise fee (Item 5) and covers this format: Kumon Center. Item 6 lists royalty: Varies, subject to the conditions below.
- Total investment
- $102K – $234KItem 7 source and qualifications
- Franchise fee
- $2,000 – $3,000Item 5 source and terms
- Royalty
- VariesItem 6 conditions and fee bases apply
- Units (2025)
- 1,710Item 20 source and scope
- Franchise exit rate
- 1.9% / yrCalculated 3-year average; definition and source
What stands out about Kumon
Royalty charges depend on enrolled students and Subject-Franchises, not simply on total center revenue. Item 6 distinguishes the temporary license period from the period after its completion and also distinguishes full-payment from partially exempt or prorated students. A monthly charge per student cannot be annualized as a flat fee for an entire center.
The New Center Marketing Fee starts after the center has been operating for the period specified in Item 6. That timing differs from the pre-opening marketing spend in Item 7. The FDD does not disclose a historical earnings representation, so enrollment assumptions and tuition receipts cannot be filled in from an average sales placeholder.
New-center support is already built into several Item 7 estimates. Kumon describes reimbursements for parts of the build-out and signage, furniture supplied at its expense, and conditional rent support. Taking over an existing center does not necessarily receive the same benefits. Subtracting those reimbursements again from the printed investment range would understate the budget, and treating them as unconditional would overlook the operating requirements attached to them.
What are the initial franchise fees and financial requirements for Kumon?
Item 5 lists an initial franchise fee of $2,000 – $3,000 for Kumon. Check the cited Item 5 for payment timing, discounts and format-specific terms.
The full initial franchise fee is $2,000, or $3,000 with approved English as a Foreign Language. For a first center, the $1,000 training deposit is credited after successful completion of the Instructor Development Program and signing the franchise agreement. It is a credit, not a discount: Item 7 separately lists the deposit and the remaining $1,000-$2,000 payment. Initial materials cost $2,000 and pre-opening marketing $2,500. Deposit cancellation/refund conditions are on PDF p. 15.
Source: Kumon 2026 FDD, Item 5, PDF p. 14.
This record lists no minimum net worth or liquid-capital requirement for Kumon, because no sourced figure has been recorded. Ask the franchisor for its current financial qualifications in writing.
How much does it cost to open a Kumon franchise? (Item 7)
Source: Kumon 2026 FDD, Item 7, PDF p. 23.
Item 7 of Kumon’s 2026 Franchise Disclosure Document estimates the total cost to open one kumon center at $101,630 – $233,780. This total includes the initial franchise fee.
| Expense Category | Low ($) | High ($) |
|---|---|---|
| Training Agreement Deposit Fee | $1,000 | $1,000 |
| Initial Franchise Fee | $1,000 | $2,000 |
| Initial Purchase of Materials | $2,000 | $2,000 |
| Pre-Opening Marketing Spend | $2,500 | $2,500 |
| Architect Design | $0 | $15,000 |
| Leasehold Improvements | $40,000 | $90,000 |
| Security Deposit, If Required | $0 | $30,000 |
| Rent | $9,000 | $27,000 |
| Furniture, Equipment, Signage & Supplies | $9,000 | $11,000 |
| Notebook Computers & Tablets at Kumon Center | $2,000 | $4,000 |
| Professional Fees | $1,000 | $5,000 |
| Liability Insurance | $580 | $580 |
| Business License, Name Registration | $100 | $200 |
| Kumon Lead Management System | $0 | $100 |
| Recommended Reading List | $3,000 | $3,700 |
| Fingerprinting, Criminal Background Check | $50 | $100 |
| Payroll Cost For Assistants (3 Months) | $11,000 | $14,000 |
| SAM Prevention Training | $400 | $600 |
| Additional Funds (3 months) | $19,000 | $25,000 |
| Total | $101,630 | $233,780 |
For comparison, the median high-end investment among 7 education & tutoring records without a source-review hold is $288,400.
The printed investment estimates already account for new-center build-out, rent, furniture and signage support, subject to eligibility. PDF p. 26 describes a build-out reimbursement up to $5,500, eligible rent support of 50% for twelve months capped at $1,000 monthly, and furniture supplied by Kumon. Some support is unavailable for existing-center takeovers. The $580 insurance line uses the annual package rate for an assumed 100 Math students (PDF p. 27); Item 6 states that the optional program changes to $0.58 per Math student per month on July 1, 2026. Item 7 Note 6 also estimates about $50 per month plus tax for the required lead-management telephone system after installation; that ongoing vendor charge is not part of the printed startup total. Kumon requires workers' compensation insurance, but Item 7 does not give its cost. These are source qualifications, not deductions to apply again to the printed total.
What ongoing royalties and fees does Kumon charge? (Item 6)
Source: Kumon 2026 FDD, Item 6, PDF p. 16.
Item 6 of Kumon’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 | Varies | Every period | Initial enrollment: $30 per newly enrolled student, subject to stated reenrollment exceptions. Monthly per Subject-Franchise: temporary license period (TLP) $42.75 per full-payment student and $21.38 per partially exempt/prorated student; after TLP $38 and $19 respectively. Debited monthly. Rates may change with at least one year's notice, with no contractual increase limit; underreporting can result in three years at the higher TLP rate. Failure to meet ongoing training/performance requirements can restore the higher rate for at least a calendar year (PDF pp. 19-21). (Item 6, PDF p. 16) |
| Administrative Fee for Late Payment | Varies | When it applies | Greater of 1.5% of the overdue amount per month or $75. (Item 6, PDF p. 16) |
| Late or Inaccurate Report Fee | Varies | When it applies | $200 for the first month, $500 second, $1,000 third, increasing by $1,000 per month thereafter. If no report, royalty is estimated from the latest report plus 10%. (Item 6, PDF p. 16) |
| Insufficient Funds | $25 | When it applies | Per unsuccessful EFT attempt. (Item 6, PDF p. 17) |
| Insurance | Varies | When it applies | Optional program: $5.80 per Math student per year; effective July 1, 2026, $0.58 per Math student per month. (Item 6, PDF p. 17) |
| Indemnification | Varies | When it applies | As described in Item 6 Note 5. (Item 6, PDF p. 17) |
| Shipping Costs for Materials | Varies | When it applies | For ground shipping of the initial monthly order, the lesser of $50 or actual shipping costs. Additional or expedited orders are charged at cost. Kumon may increase freight charges on at least 30 days' notice. PDF p. 22. (Item 6, PDF p. 17) |
| Relocation Fee | $2,000 | When it applies | If fewer than 80% of enrolled students transfer to the new location. (Item 6, PDF p. 17) |
| Payments for Chargeable Items Purchased from Kumon | Varies | When it applies | Optional supplemental teaching materials and promotional items at Exhibit A prices. (Item 6, PDF p. 17) |
| Liquidated Damages | Varies | When it applies | Three times average monthly royalty in the three months immediately preceding the last operating day, under the specified termination/transfer conditions. (Item 6, PDF p. 18) |
| Temporary Transfer to Us | Varies | When it applies | 10% of average tuition charged by the five nearest Kumon Centers, multiplied by enrolled students while Kumon operates the center, plus out-of-pocket costs. (Item 6, PDF p. 18) |
| New Center Marketing Fee | $300 per month | Every period | Starts in the seventh month after opening or takeover; for the designated digital advertising services program. (Item 6, PDF p. 18) |
| Advertising Contribution | Varies | When it applies | At least the Operations Manual minimum. The stated $4,800 annual local advertising spend is currently a recommendation, not a requirement; the New Center Marketing Fee is mandatory. (Item 6, PDF p. 18) |
| Audit Fees and Expenses | Varies | When it applies | Reasonable audit/examination costs plus unpaid royalties and reimbursement of instructor awards/subsidies based on inaccurate enrollment reports. (Item 6, PDF p. 19) |
Explore annual fees and payback assumptions
This fee schedule cannot be reduced to the calculator’s simple sales-based formula. Enter your own assumptions and check them against the Item 6 terms.
Kumon startup investment and modeled fees over 10 years
Royalty amounts are per student and Subject-Franchise, with enrollment, payment-status and temporary-license distinctions. Center-wide annual sales do not determine student counts or these royalty amounts. See the fee amounts and definitions in Item 6 above. Open the calculator with your own assumptions.
Item 20: Kumon franchised outlet history
Source: Kumon 2026 FDD, Item 20, PDF p. 63.
Item 20 Table 3 reports 1,705 franchised outlets at the end of 2025. The company-owned table reports a further 5 outlets. Our calculated average annual franchised exit rate is 1.9% across the 3 reported years, using the definition below.
| Year | Franchised at Start | Opened | Reported Exits | At End | Franchise Exit Rate (%) |
|---|---|---|---|---|---|
| 2023 | 1,618 | 52 | 33 | 1,637 | 2% |
| 2024 | 1,637 | 65 | 31 | 1,671 | 1.9% |
| 2025 | 1,671 | 62 | 28 | 1,705 | 1.7% |
Franchised units went from 1,618 to 1,705 over 3 years (+87).
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 Kumon’s exit rate with other brands.
64 units changed owners in 2025.
How much do Kumon franchise owners make? (Item 19)
Source: Kumon 2026 FDD, Item 19, PDF p. 55.
Kumon’s 2026 FDD has no Item 19 financial performance representation, so it gives no official sales, profit or owner-pay figures. Treat any earnings claim you hear from a salesperson with caution, and ask current owners (their contacts are listed in Item 20).
Payback calculator (enter your own assumptions) Check any inputs against this record’s Item 7 startup costs and Item 6 fee rules.
How long is the Kumon franchise agreement term?
Source: Kumon 2026 FDD, Item 17, PDF p. 49.
The standard Kumon franchise agreement runs 5 years, with renewal terms of 5 years.
Renewal for five-year terms requires good standing and the conditions on PDF p. 50, including notice, background checks, operating and credit requirements, a general release and the then-current agreement.
How long does it take to open a Kumon franchise? (Item 11)
Source: Kumon 2026 FDD, Item 11, PDF p. 40.
Item 11 of the 2026 FDD states the time from signing the franchise agreement to opening: usually within 6 months.
Measured from signing Kumon's Training Agreement, Item 11 gives 6 to 10 months. The time is shorter if Kumon awards the franchise at the end of the first Instructor Development Program course.
Compare Kumon with other franchises
Head-to-head FDD cost, fee, and earnings comparisons:
Franchises with a similar investment range
These published records are selected by proximity to Kumon’s $101,630 low-end Item 7 investment, starting with Education & Tutoring. Formats, fees and source qualifications differ; the figures are not interchangeable budgets:
- Sylvan Learning $118K – $288K Education & Tutoring
- BrightStar Care $101K – $217K Senior & Home Care
- The Seals $101K – $147K Business Services
- Pillar To Post $103K – $134K Source review pending Provisional publication Home Services
- Budget Blinds $101K – $211K Home Services
- The Junkluggers $96K – $359K Home Services
Compare other education & tutoring franchises
Frequently Asked Questions about Kumon
- What is the initial franchise fee for a Kumon?
- The full initial franchise fee is $2,000 – $3,000: $2,000 for the standard offering or $3,000 with approved English as a Foreign Language. The $1,000 first-center training deposit is credited after completing the program and signing, rather than added to the full fee. Item 7 separately shows the deposit and remaining payment.
- How much does it cost to open a Kumon?
- Item 7 estimates $101,630 to $233,780, including leasehold improvements, rent, materials and additional funds. The printed estimate already incorporates specified new-center reimbursements and support. Those benefits have eligibility conditions and must not be deducted from the total a second time.
- What are the ongoing fees for Kumon?
- Monthly royalties are charged per enrolled student and Subject-Franchise. Rates differ during and after the temporary license period and for full-payment versus partially exempt or prorated students. Initial enrollment and marketing fees apply separately.
- How much revenue does a Kumon generate?
- The brand does not disclose average unit volume or financial performance representations in Item 19 of its Franchise Disclosure Document. Prospective buyers must develop their own projections based on discussions with existing center operators.
Sources
Kumon North America, Inc. Franchise Disclosure Document, issued March 27, 2026, as filed with the Minnesota Commerce (CARDS). Read the source FDD PDF. How to get this FDD yourself.
- Item 5: cited PDF p. 14
- Item 6: cited PDF p. 16
- Item 7: cited PDF p. 23
- Item 19: cited PDF p. 55
- Item 20: cited PDF p. 63
- Agreement term (Item 17): cited PDF p. 49
Page references for Kumon 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 29, 2026: Record updated.
- October 9, 2026: Source check completed against the recorded FDD.
- October 9, 2026: Initial cost profile published from the 2026 Franchise Disclosure Document (issued March 27, 2026).