Casa de Corazon Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Casa de Corazon is an early education franchise operating Spanish-immersion preschools and daycare centers with organic meals. Franchisees run the schools, managing bilingual teachers, curriculum, and enrollment.
FranchiseVerdict summary · 2026
A Casa de Corazon franchise requires a total initial investment of $916K – $4.3M, including a $70K franchise fee and an ongoing 7.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $916K – $4.3M
- 72nd pct Education
- Avg gross sales
- N/A
- Incl. company outlets
- Royalty
- 7.0%
- 18th pct Education
- Units
- 8
- 25th 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 $916K – $4.3M including a $70K franchise fee, 7.0% ongoing royalty.
- RETURNSFY2024 total revenues $1,172,795 comprised of royalty fees $747,189, brand fund fees $386,181, franchise fees $24,747, technology fees $10,000, training fees $4,678. Audited by TDH&CD per Independent Auditor's Report dated March 8, 2025.
- RISKVerdict B (Above average), verdict score 58/100 (higher is better).
- DATAItem 19 reports Revenue and Net Operating Income (Section A: revenue for all 8 centers; Section B: full P&L for 5 mature centers) 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
- Casa Franchising, LLC
- Predecessor
- Casa de Corazon, Inc.
- Prior franchisor entity
- CEO title
- Chief Executive Officer and Director
- Natalie Standridge
- Incorporated in
- MN
- HQ
- 6301 Wayzata Blvd, St. Louis Park, MN 55416
- Auditor
- TDHCD CPAs (Stephen D. Helle et al)
- Audited financials
- Franchisor revenue
- $1.2M
- vs $832K prior year
Overview
About
- CEO
- Natalie Standridge
- Headquarters
- MN
- Founded
- 2016
- FDD year
- 2025
- States available
- 2
Can you afford it, and what does the money buy?
Entry cost runs 291% above the typical education franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $70K | $70K |
| Working capital (3–6 mo) | $150K | $250K |
| Equipment, build-out, other | $696K | $3.9M |
| Total initial investment | $916K | $4.3M |
Source: Casa de Corazon 2025 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
- $916K – $4.3M
- Bottom third — review vs category
- Liquid capital req'd
- $150K – $250K
- Bottom third — review vs category
- Franchise fee
- $70K – $70K
- Bottom third — review vs category
- Royalty
- 7.0%
- percentage · 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 | $705 |
| Transfer fee | $70K |
| Renewal fee | $8K |
| Inventory (initial) | $44K – $55K |
| Total fee load | 9.0% of rev |
What do units actually make?
Source: FDD 2025 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Casa de Corazon 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 Casa de Corazon unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
4%
Below the 30–60% attractive-franchise band
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: 2025 FDD
Financial Performance
FY2024 total revenues $1,172,795 comprised of royalty fees $747,189, brand fund fees $386,181, franchise fees $24,747, technology fees $10,000, training fees $4,678. Audited by TDH&CD per Independent Auditor's Report dated March 8, 2025.
Includes company-owned outlets
- Item 19 type
- Revenue and Net Operating Income (Section A: revenue for all 8 centers; Section B: full P&L for 5 mature centers)
- Sample size
- 8
- vs category median 17 · small
- Range (low → high)
- $1.2M→$3.3M
- Cohort dispersion (min → max)
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2025
- Disclosed in the 2025 filing, covering 2024
- Transparency
- 6 / 10
- vs category median 4 / 10 · above
Compared against 204 Education brands
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
Item 19 reports Revenue and Net Operating Income (Section A: revenue for all 8 centers; Section B: full P&L for 5 mature centers) rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
Net unit growth of +33.3% over 3 years (1 opened, 0 closed).
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 Casa de Corazon Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 8
- Opened
- 1
- 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
- 25.0%
- Company-owned
- 4
- Corporate units in the system
- % franchised
- 50%
- vs corporate-owned
- Net growth (3-yr)
- +33.3%
- Net unit change over 3 years
- 3-yr CAGR
- +33.3%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 1
- Closed (3yr)
- 0
- Terminated (3yr)
- 1
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 1
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 2 states 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.
2
states with franchisees (per FDD Item 12)
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 13
- Loan volume
- $16.9M
- Median loan
- $1.5M
- 50th percentile
- Charge-off rate
- N/A
- no resolved loans yet — rate needs a terminal outcome
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 7
- Defaults
- 0
- Typical loan rate
- 9.0%
- avg rate to borrowers
- Franchised industry avg
- 5.3%
- n=2,945 loans
- Jobs supported
- 308
- 2.5 per loan
- Lender concentration
- 33%
- top lender's share
Borrower mix: 67% went to startups / new businesses, 33% to established operators
Franchise vs independent — in child day care services, franchised businesses charge off at 5.3% vs 13.0% for independents — franchising is associated with 59% lower SBA default risk in this category.
Top lenders financing Casa de Corazon franchisees
Showing 3 of 7 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Casa de Corazon's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 6 lenders with concentration factor
- Per-state charge-off rates across 2 states
- Startup risk premium and job creation velocity
- 5-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
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
Litigation (Item 3)
Nicholas Kamp et al v. Natalie Standridge, Casa Franchising LLC et al (Hennepin County). Kamp filed Nov 2025 seeking to void 2023 settlement agreement, alleging defamation, malicious prosecution, MN Franchise Act violations, and claiming ownership interest in franchisor. Defendants deny all allegations.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · TDHCD CPAs (Stephen D. Helle et al)
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 58 / 100 verdict
- 01HIGHActive litigation by former franchisee alleging defamation, duress, and Franchise Act violations creates legal and reputational risk
- 02MINOR33.3% YoY unit growth from extremely small base (8 units) is not statistically meaningful and suggests inconsistent franchisee recruitment
- 03MINORNo Item 19 financial performance representations (Going Concern = False) prevents validation of claimed $453K average net income
- 04MINOR7% royalty on $2.4M average revenue extracts $168K annually; combined with overhead, franchisee profitability claims are unverifiable
- 05MINORLawsuit alleging settlement agreement nullification and CEO misconduct suggests potential franchisor credibility and governance issues
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 2025 · 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 |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 3 mi |
| Territory population | 10,000 |
| 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 | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Arbitration location | Hennepin County, MN (litigation); mediation in metro area 250k+ pop not within 200 miles of Center or franchisor office |
| Jury trial waiver | Yes |
| Governing law | MN |
| Litigation count | 1 |
View Item 3 litigation summary
Nicholas Kamp et al v. Natalie Standridge, Casa Franchising LLC et al (Hennepin County). Kamp filed Nov 2025 seeking to void 2023 settlement agreement, alleging defamation, malicious prosecution, MN Franchise Act violations, and claiming ownership interest in franchisor. Defendants deny all allegations.
Items 10, 11
Training & Operations
- Classroom training
- 40 hrs
- On-the-job training
- 40 hrs
- Training location
- Minnesota (corporate offices or specified location)
- Ongoing training
- Required
- Time to open
- 13 mo
- From signing to launch
- Site selection
- Franchisor approves site; supplier provides market analysis and site selection services at no additional charge
- Franchisor financing
- Offered
- Item 10
- POS system
- SmartCare, QuickBooks Online (Emerge)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: SmartCare, QuickBooks Online (Emerge)
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Casa de Corazon franchise?
The total investment to open a Casa de Corazon franchise ranges from $916K – $4.3M, with an initial franchise fee of $70K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Casa de Corazon franchise owners earn?
Casa de Corazon 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 Casa de Corazon 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 Casa de Corazon FDD and qualifies whose outlets they describe.
What is Casa de Corazon's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Casa de Corazon (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 Casa de Corazon franchise locations are there?
As of their most recent FDD filing, Casa de Corazon has 8 total units in the United States, including 4 franchised units and 4 company-owned units. 1 new units were opened in the latest reporting year.
Is Casa de Corazon a good franchise to buy?
FranchiseVerdict rates Casa de Corazon as a B-grade franchise with a verdict score of 58 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?
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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.