Stemtree
STEMTREE offers in-person education services focused on STEM (science, technology, engineering, and mathematics) curricula through innovative, hands-on learning programs. Their business model includes after-school programs, one-on-one tutoring, educational camps, home-school studies, birthday parties, and event-based programs, available on a per-session or membership basis via a proprietary system. The target market is students in Kindergarten and above, aiming to boost academic performance, instill STEM appreciation, and prepare for future careers.
Franchise Costs
8% royalty (min $325/mo) + 2% brand fund + $110/mo IT fee
Financial Performance
Item 19 Financial Performance
Data Based On: 9 franchised outlets open for full year 2024
* Calculated weighted average gross revenue for 2024 based on segmented data: (2 units × $334,764 + 2 units × $193,834 + 2 units × $170,922 + 3 units × $102,045) / 9 total units = $189,463.89. Median gross revenue is extracted from the 'Mid-Low 25%' quartile's median gross sales, as it contains the 5th unit out of 9, representing the overall median.
Extracted Item 19 Section
How Stemtree Compares
Key Insights
- Higher than average SBA loan default rate in Adult Education & Training
| Franchise | Investment | Fee | Royalty | Locations |
|---|---|---|---|---|
Stemtree Current | $91K – $195K | $45K | 8.0% | 16 |
| HEALTH MART SYSTEMS INC | $262K – $834K | N/A | 0.0% | 4,346 |
| AMERIPRISE FINANCIAL SERVICES LLC | $12K – $130K | $2K | N/A | 3,855 |
| MATCO TOOLS CORPORATION, MATCO TOOLS AND MATCO | $108K – $383K | $10K | N/A | 1,502 |
| UBREAKIFIX BY ASURION | $151K – $448K | $40K | 7.0% | 551 |
| Best Brains | $50K – $134K | $15K | 14.0% | 162 |
Adult Education & Training Average 17 franchises | $253K – $579K | $36K | 8.8% | – |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 17 Adult Education & Training franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2024)
Outlets by state across the United States
SBA Loan History
Historical SBA 7(a) loan data for Stemtree franchisees (2020 – 2023)
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.
Franchisee Contacts
27 franchisee contacts on file from official FDD filings.
| Name | SBA Loan |
|---|---|
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
27 Contacts Available
Unlock all Stemtree franchisee contacts with verified contact information
Due Diligence
Litigation (Item 3)
Bankruptcy (Item 4)
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
The total initial investment to open a Stemtree franchise ranges from $90,700 to $195,300. This includes a franchise fee of $44,500. Ongoing royalty fees are 8.0% of gross sales.
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