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KIDDIE ACADEMY EDUCATIONAL CHILD CARE

KIDDIE ACADEMY EDUCATIONAL CHILD CARE

Kiddie Academy franchises operate specially designed early childhood learning and child care facilities offering education-based programs for children between six weeks and 12 years of age, utilizing the proprietary Life Essentials® Curriculum that emphasizes intellectual, social, physical, and emotional development through play-based learning. The business model involves franchising the Kiddie Academy System, which includes distinctive designs, proprietary software, training, marketing, and operational procedures, with franchisees required to lease or purchase facilities, obtain licenses, and maintain accreditation. The target market is parents seeking high-quality, year-round educational child care services.

363locations
$590K–$1010K
Since 1992
ServicesAbingdon, MDwww.kiddieacademy.comDisclaimer

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Franchise Costs

Franchise Fee
$150,000
Initial Investment
$590,000 – $1,010,000
Royalty Rate
7.00%
Brand Fund
2.00%

7% royalty + 2% brand building fund

Financial Performance


Item 19 Financial Performance

Average Gross Revenue
$2,193,815
Median Gross Revenue
$2,075,740
Top Quartile Revenue
$3,203,602
Bottom Quartile Revenue
$1,389,528
Average Gross Profit
$534,330

Data Based On: Data for 293 Mature Academies, open 24 months or more as of December 31, 2025.

* Average Gross Profit ($534,330) was directly extracted from the 'Mature Academies' overall average table. Verified Gross Profit calculation: Revenue - (Labor Expense + Occupancy Expense + Miscellaneous Expense) = $2,193,815 - ($1,019,835 + $370,668 + $268,982) = $534,330. The 'Best Guess Profit Low' was set to the Average Gross Profit of the 'Bottom Quarter By Gross Profit' ($80,014), and 'Best Guess Profit High' was set to the Average Gross Profit of the 'Top Quarter By Gross Profit' ($1,081,579). These values provide a data-backed range for gross profit based on performance segmentation within the Mature Academies.

Extracted Item 19 Section

Avg. Revenue: $2,193,815

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KIDDIE ACADEMY EDUCATIONAL CHILD CARE Franchise Analysis

In the booming early childhood education sector, Kiddie Academy's Life Essentials® Curriculum draws parents seeking more than basic daycare. Item 19 financials reveal impressive revenue benchmarks across a maturing system of hundreds of locations, backed by a surprisingly resilient SBA lending track record. Yet litigation centered on terminations raises questions—does the data support scaling your family-focused empire, or signal operational hurdles ahead?

Item 7 details a substantial entry point: initial investment spans $590,000 to $1,010,000, anchored by a $150,000 franchise fee that's elevated compared to many childcare peers under $100K. Ongoing fees include 7% royalties plus 2% brand/ad fund, aligning with category norms but amplifying costs on high-volume units. Item 19 shines brightly, disclosing average gross sales of $2,193,815 and median $2,075,740, with estimated owner profits varying widely from $80,014 to $1,081,579—highlighting top performers who leverage the proprietary software and training to exceed $2M annually, though lower earners underscore site selection risks in this real estate-heavy model.

System vitality looks strong with 363 franchise locations (just 1 corporate), only 1 non-renewal, and 18 transfers signaling stable ownership. Projected 36 new units reflect aggressive growth since 1992, far outpacing contraction peers. SBA stats are a standout: 387 loans averaging $1,450,527 with a mere 1.8% default rate, well below industry averages and indicating franchisees secure financing and repay reliably. Litigation flags cluster around termination disputes, non-compete breaches, and post-exit infringement—typical enforcement in service franchises but worth scrutinizing for would-be operators eyeing long-term commitment.

Analysis based on the 2026 Franchise Disclosure Document. All figures should be independently verified before making investment decisions.

How KIDDIE ACADEMY EDUCATIONAL CHILD CARE Compares

Key Insights

  • #2 largest franchise system in Early Childhood Education
  • Lower than average SBA loan default rate in Early Childhood Education
FranchiseInvestmentFeeRoyaltyLocations
KIDDIE ACADEMY EDUCATIONAL CHILD CARE
Current
$590K – $1.0M$150K7.0%363
THE LEARNING EXPERIENCE ACADEMY OF EARLY EDUCATION$781K – $1.5M$60K7.0%411
Jovie$130K – $205K$50K5.0%160
CHILDRENS LIGHTHOUSE SCHOOLS$1.1M – $1.5M$85K7.0%69
Lightbridge Academy$1.1M – $3.1M$40K7.0%55
Building Kidz School$327K – $1.5M$60K7.0%46
Early Childhood Education Average
17 franchises
$867K – $2.4M$74K6.6%

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 17 Early Childhood Education franchises by location count.

SBA Loan History


Historical SBA 7(a) loan data for KIDDIE ACADEMY EDUCATIONAL CHILD CARE franchisees (20102025)

Total Loans
387
Average Loan
$1,450,527
Total Volume
$561.4M
Default Rate
1.8%

Loans by Year

SBA 7(a) loan activity over time

* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.

387 SBA loans on record

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Franchisee Contacts

472 franchisee contacts on file from official FDD filings.

472 Contacts Available

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Due Diligence


Litigation (Item 3)

Franchisee Cases4

Primarily termination disputes, post-termination trademark infringement, non-compete violations, breach of contract, and relocation/support issues.

Bankruptcy (Item 4)

Bankruptcy HistoryNo
No bankruptcy history reported

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
0
Non-Renewals
1
Reacquired
0
Ceased Ops
3
Transfers
18
Sold to Franchisees
0
Projected New
36

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Frequently Asked Questions

The total initial investment to open a KIDDIE ACADEMY EDUCATIONAL CHILD CARE franchise ranges from $590,000 to $1,010,000. This includes a franchise fee of $150,000. Ongoing royalty fees are 7.0% of gross sales.