Bitcoin STEM Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Bitcoin STEM is a children's education franchise teaching cryptocurrency, blockchain, and STEM concepts through classes and workshops. Franchisees run local programs, managing instructors, curriculum, and enrollment.
FranchiseVerdict summary · 2026
A Bitcoin STEM franchise requires a total initial investment of $48K – $140K, including a $30K franchise fee and an ongoing 7.0% royalty[2]. The 2023 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2023 FDD issuance
Overview
- Investment
- $48K – $140K
- 12th pct Education
- Avg gross sales
- N/A
- 0 outlets
- Royalty
- 7.0%
- 18th pct Education
- Units
- 0
- 0th pct Education
- SBA charge-off
- N/A
Quick verdict · Education · color = vs category peers
Green = favorable by >10% vs Education avg · 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 $48K – $140K including a $30K franchise fee, 7.0% ongoing royalty.
- RETURNSItem 21 states audited financial statements as of December 31, 2022 are in Exhibit E; the franchisor (Bitcoin STEM LLC, a Virginia LLC formed July 14, 2022) had less than three years of operation. In the provided OCR text, Exhibit E (Financial Statements) is blank/non-extracted (image-only scan), so no balance sheet, income statement, equity, or auditor figures are recoverable.
- RISKVerdict D (Below average), verdict score 35/100 (higher is better).
- FLAGBankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Bitcoin STEM LLC
- CEO title
- Chief Executive Officer
- Zachary Shelton
- Incorporated in
- VA
- HQ
- 6305 Captain Jones Court, Fairfax Station, Virginia 22039
- Auditor
- Wegley, Higginbotham & Associates, PLC
- Audited financials
- Franchisor revenue
- $0
- vs $0 prior year
Overview
About
- CEO
- Zachary Shelton
- Headquarters
- VA
- Founded
- 2020
- FDD year
- 2023
- States available
- 0
Can you afford it, and what does the money buy?
Entry cost runs 86% below the typical education franchise.
Source: FDD 2023 · Items 5–7
FDD Item 7 · 2023 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $30K | $30K |
| Working capital (3–6 mo) | $4K | $10K |
| Equipment, build-out, other | $14K | $100K |
| Total initial investment | $48K | $140K |
Source: Bitcoin STEM 2023 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $48K – $140K
- Top 40% of category vs category
- Liquid capital req'd
- $4K – $10K
- Top 40% of category vs category
- Franchise fee
- $30K – $30K
- Top 40% of category vs category
- Royalty
- 7.0%
- tiered · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 7.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $200 |
| Training fee | $900 |
| Transfer fee | $5K |
| Renewal fee | $3K |
| Inventory (initial) | $4K – $9K |
| Total fee load | 9.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Bitcoin STEM did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one Bitcoin STEM unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
104%
Above the 30–60% band. Verify revenue is per-unit average
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: 2023 FDD
Financial Performance
Item 21 states audited financial statements as of December 31, 2022 are in Exhibit E; the franchisor (Bitcoin STEM LLC, a Virginia LLC formed July 14, 2022) had less than three years of operation. In the provided OCR text, Exhibit E (Financial Statements) is blank/non-extracted (image-only scan), so no balance sheet, income statement, equity, or auditor figures are recoverable.
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 9.0% — below the Education average of 10.6%.
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
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 averages
How Bitcoin STEM Compares
Is the system healthy?
Source: FDD 2023 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 0
- 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)
- Company-owned
- 0
- Corporate units in the system
3-year detail · Item 20
- Opened (3yr)
- 0
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
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
Pre-revenue or hidden-unit franchisor with going concern issues, zero financial benchmarks, and undisclosed unit count creates extreme due diligence blind spots and probable negative ROI.
Litigation (Item 3)
No litigation is required to be disclosed in this disclosure document.
Bankruptcy (Item 4)
Disclosed in last 7 years
CEO Zachary Shelton filed for Chapter 7 bankruptcy protection in 2014. Granted discharge of certain debts on May 10, 2014, by US Bankruptcy Court, Eastern District of Virginia (case 14-10444-BFK).
Audited financials (Item 21)
Yes · Wegley, Higginbotham & Associates, PLC
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 35 / 100 verdict
- 01MEDZero disclosed franchise units with unknown growth trajectory indicates brand is either pre-revenue or deliberately concealing unit data
- 02MINORNo average revenue or net income disclosure (Item 19) prevents validation of $48k-$139.5k investment ROI
- 03HIGHGoing concern status suggests financial instability at franchisor level despite operating franchise model
- 04MEDTiered royalty structure (7%-5%) on undisclosed revenue baseline makes it impossible to model franchisee profitability
- 05MEDBitcoin/cryptocurrency education niche has volatile demand, regulatory uncertainty, and limited addressable market
- 06MINORNo litigation disclosure required language suggests either new brand with minimal franchise history or franchisor avoiding disclosure obligations
- 07MINOR5-year term is shorter than industry standard (10 years), suggesting higher franchisor exit risk or franchisee turnover concerns
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 9.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2023 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory sizeℹ | ~100 schools (K-8) |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 5 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Arbitration location | Fairfax Station, Virginia |
| Jury trial waiver | No |
| Governing law | VA |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed in this disclosure document.
Items 10, 11
Training & Operations
- Classroom training
- 91 hrs
- On-the-job training
- 0 hrs
- Training location
- Remote / designated locations / host Bitcoin STEM program site
- Ongoing training
- Required
- Site selection
- Franchisee (with franchisor approval required for Enrichment Center locations)
- Franchisor financing
- Not offered
- Item 10
- POS system
- Jumbula
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Jumbula
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Bitcoin STEM franchise?
The total investment to open a Bitcoin STEM franchise ranges from $48K – $140K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Bitcoin STEM franchise owners earn?
Bitcoin STEM does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the Bitcoin STEM 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 Bitcoin STEM FDD and qualifies whose outlets they describe.
What is Bitcoin STEM's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Bitcoin STEM (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.
Is Bitcoin STEM a good franchise to buy?
FranchiseVerdict rates Bitcoin STEM as a D-grade franchise with a verdict score of 35 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. 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?
If you represent Bitcoin STEM, you can request corrections or provide updated information.
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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.