Code Wiz Franchise Cost, Revenue & Review 2026
- Investment
- $150K – $237K
- Disclosed sales
- $167K
- gross sales, not profit
- SBA charge-off
- Limited · 12 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Code Wiz is a children's education franchise teaching coding and robotics to kids ages 7 to 17. Franchisees run learning centers, managing instructors, curriculum, and enrollment.
FranchiseVerdict summary · 2026
A Code Wiz franchise requires a total initial investment of $150K – $237K, including a $45K franchise fee and an ongoing 6.0% royalty[2]. Per the 2023 FDD, average unit revenue was $167K[2]. FranchiseVerdict grade: C (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: high - issued more than two years ago
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 scored8 of 8 headline figures on this page cite a page of the filing.
Overview
- Investment
- $150K – $237K
- 42nd pct Education
- Avg gross sales
- $167K
- 2 outlets2nd pct Education
- Royalty
- 6.0%
- 7th pct Education
- Units
- 10
- 28th 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 $150K – $237K including a $45K franchise fee, 6.0% ongoing royalty.
- RETURNSAverage unit revenue of $167K/year (median $167K).
- RISKVerdict C (Average), verdict score 44/100 (higher is better).
- GROWTHNegative, pipeline stalled: 12 agreements signed but not yet open against 10 open outlets (Item 20).
- FLAGRevenue data based on only 2 outlets. Treat as directional, not definitive. Ask franchisees directly for current unit economics.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Code Wiz Franchise System, LLC
- Parent company
- Clear Summit Group, Inc. (formerly Franchise Equity Group, Inc.)
- FDD Item 1, page 9 of the 2023 FDD
- CEO title
- Chief Executive Officer and President
- Ruth Agbaji
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- MA
- HQ
- 175 Littleton Rd, Westford, Massachusetts 01886
- Auditor
- Reese CPA LLC
- Audited financials
- Franchisor revenue
- $251K
- vs $64K prior year
Same owner · FDD Item 1, page 9
1 other brand on this site name Clear Summit Group, Inc. (formerly Franchise Equity Group, Inc.) as parent or ultimate parent in their own FDD.
Grouped by the owner's name as each filing prints it (this page: the 2023 FDD). Spelling variants of the same group may be listed apart; a brand is never grouped with an owner its filing does not name.
Overview
About
- CEO
- Ruth Agbaji
- Headquarters
- MA
- Founded
- 2018
- FDD year
- 2023
- States available
- 7
Can you afford it, and what does the money buy?
Entry cost is about typical for a education franchise (near the category median).
Source: FDD 2023 · Items 5–7
FDD Item 7 · 2023 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $45K | $45K |
| Working capital (3–6 mo) | $28K | $60K |
| Equipment, build-out, other | $78K | $132K |
| Total initial investment | $150K | $237K |
Source: Code Wiz 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
- $150K – $237K
- Middle of category vs category
- Liquid capital req'd
- $28K – $60K
- Middle of category vs category
- Franchise fee
- $45K – $45K
- Top 40% of category vs category
- Royalty
- 6.0%
- typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $450 |
| Transfer fee | $23K |
| Renewal fee | $11K |
| Inventory (initial) | $10K – $19K |
| Total fee load | 8.0% of rev |
What do units actually make?
Average unit sales run 59% below the education norm.
Based on only 2 outlets
Source: FDD 2023 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for Code Wiz until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for 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.
Total invested capital · disclosed
$237K
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one Code Wiz 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 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.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for 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.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
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
Based on only 2 outlets
- Avg gross sales
- $167K
- Per unit/yr · from the Item 19 franchised-cohort breakdown (no single system-wide average disclosed)
- Median gross sales
- $167K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- Gross Sales (annual, by outlet)
- Sample size
- 2 outlets
- vs category median 16 · small
- Range (low → high)
- $97K→$236KCited, not corroborated — printed on page 56 of the 2023 FDD. Nothing else in our record independently restates or re-derives it.
- Cohort dispersion (min → max)
- Reporting year
- 2022
- Fiscal year the figures cover
- Source filing
- FDD 2023
- Disclosed in the 2023 filing, covering 2022
Compared against 204 Education brands
Revenue is only 0.9x the investment. This means each unit may take 5+ years to recoup the initial outlay at typical margins.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $167K/year in gross sales. Revenue-to-investment ratio: 0.9x.
Fee burden
Total ongoing fee load of 8.0% (near the Education median).
Disclosure
Transparency score 0/10 — minimal disclosure beyond the required average. Hard to judge the distribution of outcomes across units. Sample size of 2 outlets — treat as directional only.
Operator retention
Net unit growth of +133.3% over 3 years (6 opened, 0 closed).
Multi-unit rate
33% of franchisees own multiple units, a moderate multi-unit rate.
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 Code Wiz 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 2023 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 10
- Opened
- 6
- 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
- 88%
- vs corporate-owned
- Multi-unit owners
- 33.3%
- Net growth (3-yr)
- +133.3%
- Net unit change over 3 years
- 3-yr CAGR
- +133.3%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Transferred
- 0
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 12
- 1.20 per open outlet · Item 20 Table 5
- Projected new
- 16
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 7 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.
7
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
- 12
- Loan volume
- $1.7M
- Median loan
- $142K
- 50th percentile
- Charge-off rate
- Limited · 12 loans
- Limited SBA coverage: 12 loans, rate hidden until 10 have resolved and loans reach 2% of franchised units
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- Limited · 12 loans
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 5
- Defaults
- 0
- Typical loan rate
- 8.9%
- avg rate to borrowers
- Franchised industry avg
- 14.3%
- n=99 loans
- Jobs supported
- 58
- 3.8 per loan
- Lender concentration
- 40%
- top lender's share
Borrower mix: 100% went to startups / new businesses, 0% to established operators
Franchise vs independent — in computer training, franchised businesses charge off at 14.3% vs 24.0% for independents — franchising is associated with 40% lower SBA default risk in this category.
Top lenders financing Code Wiz franchisees
Showing 3 of 5 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.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Code Wiz from SBA 7(a) FOIA data.
- Principal loss rate
- 0.0%
- Avg SBA guarantee
- 78%
- Avg interest rate
- 8.95%
- Lender concentration
- 40.0%
- Job velocity
- 3.8 per $100K
- NAICS benchmark
- 14.6%
- NAICS 611420
- Jobs supported
- 58
Top SBA lendersTop lender holds 40% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | Northern Bank and Trust Company | 4 | $710K | 0.0% |
| 2 | The Huntington National Bank | 3 | $495K | N/A |
| 3 | CDC Small Business Finance Corp. | 2 | $185K | N/A |
| 4 | First Bank of the Lake | 1 | $138K | N/A |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| GAGeorgia | 2 | 0 | -- |
| TXTexas | 2 | 0 | -- |
| WAWashington | 2 | 0 | -- |
| CACalifornia | 1 | 0 | -- |
| FLFlorida | 1 | 0 | -- |
| MAMassachusetts | 1 | 0 | 0.0% |
| NCNorth Carolina | 1 | 0 | 0.0% |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
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)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
No litigation required to be disclosed.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Reese CPA LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
FY2022 total revenues of $250,590 comprise franchise sales $212,300, royalties $27,370, and other revenues $10,920 (no brand fund contributions). Audited statements for years ended Dec 31, 2022, 2021, 2020. 2022 net loss of $(362,744); member's deficit $(275,771). Auditor firm located at 2580 East Harmony Road, Ste. 301-10, Ft. Collins, CO 80528 (firm name not legible in extracted text).
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 44 / 100 verdict
- 01MINOROnly 9 units system-wide is extremely small; hypergrowth claim (133% YoY) means system grew from ~4 units, reducing statistical reliability
- 02MINORHigh franchise fee ($45k) relative to total investment suggests front-loaded franchisor revenue model with risk-sharing skewed toward franchisee
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% 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 | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 1 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 5 mi |
| Territory population | 15,000 |
| 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 | 15 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | Westford, Massachusetts |
| Jury trial waiver | Yes |
| Governing law | MA |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed.
Items 10, 11
Training & Operations
- Classroom training
- 40 hrs
- On-the-job training
- 100 hrs
- Training location
- Westford, Massachusetts and Online; Key Personnel at Franchisee's Location
- Ongoing training
- Required
- Time to open
- 9 mo
- From signing to launch
- Site selection
- Franchisee selects, franchisor approves
- Franchisor financing
- Not offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
17 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 Code Wiz franchise?
The total investment to open a Code Wiz franchise ranges from $150K – $237K, with an initial franchise fee of $45K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Code Wiz franchise owners earn?
According to Item 19 of the Code Wiz FDD, the average gross sales per unit is $167K. The median is $167K. Important context: Based on only 2 outlets. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
Who owns Code Wiz?
Code Wiz is franchised by Code Wiz Franchise System, LLC. Its parent company is Clear Summit Group, Inc. (formerly Franchise Equity Group, Inc.). Source: FDD Item 1, 2023 filing.
What is Item 19 in the Code Wiz 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 Code Wiz FDD and qualifies whose outlets they describe.
What is Code Wiz's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Code Wiz (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 Code Wiz franchise locations are there?
As of their most recent FDD filing, Code Wiz has 10 total units in the United States, including 9 franchised units and 1 company-owned units. 6 new units were opened in the latest reporting year.
Is Code Wiz a good franchise to buy?
FranchiseVerdict rates Code Wiz as a C-grade franchise with a verdict score of 44 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
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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.