Abbey Road Institute Franchise Cost, Revenue & Review 2026
- Investment
- $517K – $2.5M
- Disclosed sales
- partial, no system average
- SBA charge-off
- Not SBA-matched
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Abbey Road Institute is a music education franchise operating audio engineering and music production schools. Franchisees run the schools, managing instructors, curriculum, studio facilities, and enrollment.
FranchiseVerdict summary · 2026
A Abbey Road Institute franchise requires a total initial investment of $517K – $2.5M, including a $250K – $1.0M franchise fee and an ongoing 8.0% royalty[2]. The 2026 FDD on file does not yield a unit-revenue figure we can publish. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored4 of 4 headline figures on this page cite a page of the filing.
Overview
- Investment
- $517K – $2.5M
- 63rd pct Education
- Avg gross sales
- N/A
- Projection
- Royalty
- 8.0%
- 44th pct Education
- Units
- 7
- 23rd pct Education
- SBA charge-off
- N/A
Quick verdict · Education · color = vs category peers
Green = favorable by >10% vs Education median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $517K – $2.5M including a $250K franchise fee, 8.0% ongoing royalty.
- RETURNSItem 19 reports student population and tuition metrics rather than annual gross sales, so unit revenue is not directly comparable.
- RISKVerdict B (Above average), verdict score 48/100 (higher is better).
- GROWTHFlat: no net change in franchised outlets in the latest year (0 opened, 0 closed) (Item 20).
- DATAItem 19 reports student population and tuition metrics rather than annual gross sales, so unit revenue is not directly comparable. Ask franchisees directly for full unit-level revenue.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Abbey Road Institute, LLC
- Parent company
- Abbey Road Training Limited
- FDD Item 1, page 7 of the 2026 FDD
- Ultimate parent
- Abbey Road Training Limited (joint venture owned by Heritage Investments FZE and Virgin Records Limited; Virgin Records' ultimate parent is Universal Music Group N.V.)
- FDD Item 1, page 7 of the 2026 FDD
- Predecessor
- None (no predecessors)
- Prior franchisor entity
- CEO title
- Company Director / Chief Executive Officer of Abbey Road Training Limited
- Luca Barassi
- CEO experience
- 2018 yrs
- Years in role or industry
- Incorporated in
- Delaware
- HQ
- 4 Pancras Square, London N1C 4AG, United Kingdom
- Auditor
- Citrin Cooperman & Company, LLP
- Audited financials
- Franchisor revenue
- $22K
- Most recent fiscal year
Overview
About
- CEO
- Luca Barassi
- Headquarters
- United Kingdom (London)
- Founded
- 2021
- FDD year
- 2026
- States available
- 1
Can you afford it, and what does the money buy?
Entry cost runs 666% above the typical education franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown12 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial License Fee | $250K | $1.0M | |
| Pre-Opening Training Expensesnot refundable | $7K | $10K | |
| Real Property | — | — | |
| Construction and Leasehold Improvementsnot refundable | $60K | $600K | |
| Equipmentnot refundable | $100K | $650K | |
| Inventory to Begin Operatingnot refundable | $2K | $5K | |
| Permits and Licensesnot refundable | $15K | $30K | |
| Insurancenot refundable | $8K | $13K | |
| Professional Feesnot refundable | $14K | $20K | |
| Signsnot refundable | $1K | $2K | |
| Pre-Launch Marketing and Recruitment Campaignnot refundable | — | — | |
| Additional Funds (initial period - 3 months)not refundable | $60K | $130K | |
| Total initial investment | $517K | $2.5M |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $517K – $2.5M
- Middle of category vs category
- Liquid capital req'd
- $60K – $130K
- Middle of category vs category
- Franchise fee
- $250K – $1.0M
- Bottom third — review vs category
- Royalty
- 8.0%
- Tiered by sales volume · typical 6–8%
- Ad fund
- No franchisor-administered advertising fund. Required Min…
- Total fee load
- 12.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 8.0% of gross sales |
| Transfer fee | $500K |
| Renewal fee | $50K |
| Inventory (initial) | $2K – $5K |
| Total fee load | 12.0% of rev |
What do units actually make?
Source: FDD 2026 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
No Item 19 revenue figure for Abbey Road Institute is on file. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Abbey Road Institute unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, ad fund rate, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
Item 19 reports student population and tuition metrics rather than annual gross sales, so unit revenue is not directly comparable. We omit it from rankings.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 12.0% — above the Education median of 9.0%.
Disclosure
Item 19 reports student population and tuition metrics rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
Net unit growth roughly flat at 0.0%.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Education medians
How Abbey Road Institute Compares
Category median of published Education brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 7
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- N/A
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +0.0%
- Net unit change over 3 years
- 3-yr CAGR
- +0.0%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Projected new
- 1
- Franchisor's next-year forecast
- Continuity rate
- 100.0%
- Units that stayed open
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 1 state reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
1
states with franchisees (per FDD Item 12)
Where the owners are · Item 20 owner list
2 current owners across 2 states.
- FL 1
- NY 1
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Abbey Road Institute presents meaningful financial opacity and growth constraints; the lack of disclosed revenue data, unprotected territory, and modest unit expansion create elevated risk for a $500K+ investment with no validated ROI benchmarks.
Why this reads harsher than the B grade: the grade weighs financial health, unit economics, unit growth, scale, legal, and transparency across the whole filing, while this summary lists individual flags without that weighting. The flags are worth checking with current owners; neither is investment advice.
Litigation (Item 3)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
Item 3: "No litigation is required to be disclosed in this Item."
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Citrin Cooperman & Company, LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
FY2025 royalty revenue $21,700; FY2024 and FY2023 royalty revenue $0.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 48 / 100 verdict
- 01MINORNo Item 19 financial performance disclosure — cannot validate revenue/profitability claims despite $517K-$2.46M investment requirement
- 02MINORUnprotected territory creates direct competition risk; franchisees can cannibalize each other's markets
- 03MINORHigh franchise fee ($250K) relative to unit count indicates dependency on new franchisee recruitment rather than system profitability
- 04MED8-12% royalty rate on undisclosed revenues creates unpredictable cash flow burden for franchisees
- 05MINORNo 'Going Concern' status may indicate recent financial instability or restructuring at corporate level
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 12.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 50 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 2 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | London, England (London Court of International Arbitration Rules) |
| Jury trial waiver | Yes |
| Governing law | New York |
| Litigation count | 0 |
View Item 3 litigation summary
Item 3: "No litigation is required to be disclosed in this Item."
Items 10, 11
Training & Operations
- Classroom training
- 30 hrs
- On-the-job training
- 14 hrs
- Training location
- London, United Kingdom (headquarters and an Abbey Road Institute in London)
- Ongoing training
- Required
- Time to open
- 12 mo
- From signing to launch
- Franchisor financing
- Not offered
- Item 10
- POS system
- Computer and Point of Sale System
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Computer and Point of Sale System
Item 20 · call current owners
Franchisee Contacts
2 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Abbey Road Institute franchise?
The total investment to open a Abbey Road Institute franchise ranges from $517K – $2.5M, with an initial franchise fee of $250K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Abbey Road Institute franchise owners earn?
Item 19 of the Abbey Road Institute FDD discloses figures for part of the system but no single average across all outlets. These are gross sales figures, not profit; the Revenue section shows what the filing reports and on what basis. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Abbey Road Institute?
Abbey Road Institute is franchised by Abbey Road Institute, LLC. Its parent company is Abbey Road Training Limited. The ultimate parent named in the FDD is Abbey Road Training Limited (joint venture owned by Heritage Investments FZE and Virgin Records Limited; Virgin Records' ultimate parent is Universal Music Group N.V.). Source: FDD Item 1, 2026 filing.
What is Item 19 in the Abbey Road Institute FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Abbey Road Institute FDD and qualifies whose outlets they describe.
What is Abbey Road Institute's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Abbey Road Institute (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Abbey Road Institute franchise locations are there?
As of their most recent FDD filing, Abbey Road Institute has 7 total units in the United States, including 1 franchised units and 1 company-owned units.
Is Abbey Road Institute a good franchise to buy?
FranchiseVerdict rates Abbey Road Institute as a B-grade franchise with a verdict score of 48 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
Are you the franchisor?
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.