Dale Carnegie Franchise Cost, Revenue & Review 2026
- Investment
- $93K – $246K
- Disclosed sales
- not disclosed
- SBA charge-off
- 15.4%
- on 24 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Dale Carnegie is a professional-training franchise delivering courses in communication, leadership, sales, and confidence to companies and individuals. Franchisees run a local training operation recruiting corporate clients and delivering instructor-led programs.
FranchiseVerdict summary · 2026
A Dale Carnegie franchise requires a total initial investment of $93K – $246K, including a $20K – $65K franchise fee and an ongoing 12.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. SBA 7(a) loans show a 15.4% charge-off rate across 24 loans[1]. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: 2021 filing · Data extracted: · Last cited check: · Staleness risk: high - figures are from a filing two or more years old
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 scored5 of 5 headline figures on this page cite a page of the filing.
Overview
- Investment
- $93K – $246K
- 29th pct Education
- Avg gross sales
- N/A
- Royalty
- 12.0%
- 70th pct Education
- Units
- 143
- 68th pct Education
- SBA charge-off
- 15.4%
- % of SBA 7(a) loans not repaid · median varies by category
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 $93K – $246K including a $20K franchise fee, 12.0% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict B (Above average), verdict score 56/100 (higher is better). SBA loan charge-off rate of 15.4% across 24 loans (above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHPositive: net +1 franchised outlets in the latest year (4 opened, 3 closed) (Item 20).
- DECLINESystem contracting at -6.0% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Dale Carnegie & Associates, Inc.
- CEO title
- President and Chief Executive Officer
- Joseph Hart
- Incorporated in
- NY
- HQ
- 58 South Service Road, Suite 301, Melville, New York 11747
- Auditor
- CohnReznick LLP
- Audited financials
- Franchisor revenue
- $19.5M
- vs $20.1M prior year
Overview
About
- CEO
- Joseph Hart
- Headquarters
- NY
- Founded
- 1955
- FDD year
- 2021
- States available
- 49
Can you afford it, and what does the money buy?
Entry cost runs 13% below the typical education franchise.
Source: FDD 2021 · Items 5–7
FDD Item 7 · 2021 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $20K | $20K |
| Working capital (3–6 mo) | $50K | $100K |
| Equipment, build-out, other | $23K | $126K |
| Total initial investment | $93K | $246K |
Source: Dale Carnegie 2021 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
- $93K – $246K
- Top 40% of category vs category
- Liquid capital req'd
- $50K – $100K
- Middle of category vs category
- Franchise fee
- $20K – $65K
- Top 40% of category vs category
- Royalty
- 12.0%
- Tiered by sales volume · typical 6–8%
- Ad fund
- 3.0%
- typical 3–5%
- Total fee load
- 15.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 12.0% of gross sales |
| Marketing / ad fund | 3.0% |
| Technology fee | $1K |
| Training fee | $10K |
| Renewal fee | $3K |
| Total fee load | 15.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Dale Carnegie makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. 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 Dale Carnegie 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, 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: 2021 FDD
Financial Performance
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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 15.0% — above the Education median of 9.0%.
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System contracting at -6.0% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
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 Dale Carnegie 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 2021 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 143
- Opened
- 4
- Last reporting year
- Closed
- 3
- Terminated
- 3
- Franchisor ended the franchise (per Item 20)
- Turnover rate
- 2.1%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 99%
- vs corporate-owned
- Net growth (3-yr)
- +0.7%
- Net unit change over 3 years
- 3-yr CAGR
- -6.0%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 3
- Signed, not yet open
- 0
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 0
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 24 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Where the owners are · Item 20 owner list
37 current owners across 24 states.
- CA 5
- NY 3
- TX 3
- FL 2
- IL 2
- NC 2
- ND 2
- NJ 2
- AZ 1
- CO 1
- HI 1
- KS 1
- +12 more states
Counts only, from the list the franchisor prints in Item 20; 8 entries carry no state. 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.
- Total loans
- 24
- Loan volume
- $6.4M
- Median loan
- $63K
- 50th percentile
- Charge-off rate
- 15.4%
- on 24 loans · rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 84.6%
- 5-yr charge-off
- 25.0%
- Loans approved 2021+
- Active lenders
- 14
- Defaults
- 2
- Typical loan rate
- 7.1%
- avg rate to borrowers
- Franchised industry avg
- 27.5%
- brand beats franchise avg ↓
- Jobs supported
- 89
- 2.1 per loan
- Lender concentration
- 31%
- top lender's share
Borrower mix: 25% went to startups / new businesses, 75% to established operators
Franchise vs independent — in professional and management development training, franchised businesses charge off at 27.5% vs 16.0% for independents — franchising is associated with 72% higher SBA default risk in this category.
Top lenders financing Dale Carnegie franchisees
Showing 3 of 14 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 Dale Carnegie from SBA 7(a) FOIA data.
- Principal loss rate
- 14.3%
- Avg SBA guarantee
- 64%
- Avg interest rate
- 7.08%
- Avg chargeoff amount
- $302K
- Lender concentration
- 31.3%
- Job velocity
- 2.1 per $100K
- NAICS benchmark
- 11.1%
- NAICS 611430
- Jobs supported
- 89
Top SBA lendersTop lender holds 31% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | California Bank of Commerce, NA | 5 | $275K | 0.0% |
| 2 | Manufacturers and Traders Trust Company | 2 | $550K | N/A |
| 3 | Independence Bank | 1 | $150K | 100.0% |
| 4 | Live Oak Banking Company | 1 | $675K | N/A |
| 5 | Amarillo National Bank | 1 | $485K | 100.0% |
| 6 | Five Star Bank | 1 | $45K | N/A |
| 7 | First Merchants Bank | 1 | $50K | N/A |
| 8 | Old National Bank | 1 | $886K | N/A |
| 9 | Columbia Bank | 1 | $20K | 0.0% |
| 10 | Pinnacle Bank | 1 | $1000K | N/A |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| CACalifornia | 5 | 0 | 0.0% |
| NYNew York | 3 | 0 | -- |
| GAGeorgia | 1 | 0 | -- |
| MIMichigan | 1 | 0 | -- |
| NDNorth Dakota | 1 | 0 | -- |
| NJNew Jersey | 1 | 0 | -- |
| NVNevada | 1 | 0 | -- |
| OHOhio | 1 | 1 | 100.0% |
| OROregon | 1 | 0 | 0.0% |
| TXTexas | 1 | 1 | 100.0% |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
What could kill this investment?
SBA loans here charge off near the 16.0% national average.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Dale Carnegie presents meaningful risk due to stagnant growth, missing financial disclosure, aggressive royalty structure, and lack of evidence franchisees achieve positive ROI.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · CohnReznick LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Net revenues for fiscal years ended August 31, 2021 ($19,544K) and 2020 ($20,103K), audited, in thousands. Other income, net of $1,676K reported separately below income from operations.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: Yes
Score breakdown · what drove the 56 / 100 verdict
- 01MINORStagnant unit growth at 0.7% YoY indicates a mature or declining system with minimal expansion momentum
- 02MEDFinancial performance metrics (avg revenue and net income) not disclosed in FDD Item 19, making ROI assessment impossible
- 03MINORTiered royalty structure up to 12% is aggressive and disproportionately punishes underperforming locations, creating cash flow pressure
- 04MED143 total units is a small franchise system with limited brand recognition and support infrastructure compared to competitors
- 05MED10-year term is unusually long for a training/services business with no disclosed unit economics or franchisee profitability data
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 15.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2021 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | Exclusive territory |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory population | 1,000,000 |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 1 year |
| Non-compete (miles)ℹ | 50 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | NY |
| Litigation count | 0 |
Items 10, 11
Training & Operations
- Classroom training
- 43 hrs
- On-the-job training
- 0 hrs
- Training location
- Melville, New York or such other location as designated
- Ongoing training
- Required
- Franchisor financing
- Not offered
- Item 10
- POS system
- DCT Client Builder, Salesforce, Microsoft Office 365
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: DCT Client Builder, Salesforce, Microsoft Office 365
Item 20 · call current owners
Franchisee Contacts
45 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 Dale Carnegie franchise?
The total investment to open a Dale Carnegie franchise ranges from $93K – $246K, with an initial franchise fee of $20K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Dale Carnegie franchise owners earn?
Dale Carnegie makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Dale Carnegie?
Dale Carnegie is franchised by Dale Carnegie & Associates, Inc.. Source: FDD Item 1, 2021 filing.
What is Item 19 in the Dale Carnegie 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 Dale Carnegie FDD and qualifies whose outlets they describe.
What is Dale Carnegie's franchise failure rate?
Based on SBA 7(a) loan data, Dale Carnegie has a charge-off rate of 15.4% across 24 loans, meaning 15.4% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Dale Carnegie franchise locations are there?
As of their most recent FDD filing, Dale Carnegie has 143 total units in the United States, including 142 franchised units and 1 company-owned units. 4 new units were opened in the latest reporting year.
Is Dale Carnegie a good franchise to buy?
FranchiseVerdict rates Dale Carnegie as a B-grade franchise with a verdict score of 56 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.