CELEBREE SCHOOLS

Item 7 lays out the financial entry: total investment ranges from $922,500 to $1,293,500, including a $75,000 franchise fee, with ongoing costs of 7% royalty, 2% brand fund, and a $1,450 monthly centralized system fee. Item 19 shines brightly on performance, reporting average gross revenues of $2,019,104 and median of $1,981,871 across qualified units, but the 0% EBITDA margin underscores high operating costs eating into earnings—though estimated owner profits span $189,452 to $531,914. This suggests top performers thrive, but averages demand tight cost control in a labor-intensive field like childcare.

System health metrics paint a vibrant picture for this 2018-launched brand: franchise locations jumped 45% from 20 in 2023 to 29 in 2024, outpacing 26 corporate sites, with 7 terminations and 62 projected new units signaling momentum. A robust 42 SBA loans averaging $1,750,036 reflect lender confidence and franchisee buy-in despite the youth of the system. For investors, the high revenue ceiling tempts, but razor-thin margins and rapid scaling risks mean only those with operational expertise and capital buffers will likely hit the profit upside—making Celebree a high-reward gamble in early childhood ed.