Imagine Arts Academy Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Imagine Arts Academy is a children's arts education franchise offering classes in visual arts, music, and drama. Franchisees run local programs, managing instructors, scheduling, and enrollment, often at schools.
FranchiseVerdict summary · 2026
A Imagine Arts Academy franchise requires a total initial investment of $128K – $168K, including a $49K franchise fee and an ongoing 8.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $128K – $168K
- 40th pct Education
- Avg gross sales
- N/A
- Royalty
- 8.0%
- 37th pct Education
- Units
- 27
- 46th 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 $128K – $168K including a $49K franchise fee, 8.0% ongoing royalty.
- RETURNSAudited statement of earnings (year ended March 31, 2025), in U.S. dollars; total revenues $415,491. Of this, $110,181 (~26.5%) came from U.S. franchisee purchases of equipment packages, branded products and marketing materials (Item 8). Auditor RCGT is a member of Grant Thornton International.
- RISKVerdict A (Strongest tier), verdict score 64/100 (higher is better).
- GROWTHSystem growing at 35.0% CAGR over 3 years with 27 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Imagine Arts Academy, Inc.
- Parent company
- 2Inspire, Inc.
- CEO title
- President
- Marco Holstvoogd
- Incorporated in
- Canada
- HQ
- 8360 Bougainville Street, Suite 201, Montreal, Quebec, Canada, H4P 2G1
- Auditor
- Raymond Chabot Grant Thornton
- Audited financials
- Franchisor revenue
- $415K
- vs $362K prior year
Affiliated brands
- Mad Science Group
- XYZ Licensing
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Marco Holstvoogd
- Headquarters
- Quebec
- Founded
- 2018
- FDD year
- 2025
- States available
- 15
Can you afford it, and what does the money buy?
Entry cost runs 78% below 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 | $49K | $49K |
| Working capital (3–6 mo) | $14K | $21K |
| Equipment, build-out, other | $66K | $98K |
| Total initial investment | $128K | $168K |
Source: Imagine Arts Academy 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
- $128K – $168K
- Middle of category vs category
- Liquid capital req'd
- $14K – $21K
- Top 40% of category vs category
- Franchise fee
- $49K – $49K
- Middle of category vs category
- Royalty
- 8.0%
- percentage · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 10.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 8.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $227 |
| Transfer fee | $10K |
| Renewal fee | $5K |
| Total fee load | 10.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Imagine Arts Academy 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 Imagine Arts Academy unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
59%
Within 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
Audited statement of earnings (year ended March 31, 2025), in U.S. dollars; total revenues $415,491. Of this, $110,181 (~26.5%) came from U.S. franchisee purchases of equipment packages, branded products and marketing materials (Item 8). Auditor RCGT is a member of Grant Thornton International.
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 10.0% (near the Education average).
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Operator retention
System expanding at 35.0% CAGR over 3 years across 27 units — operators are staying and new ones are joining.
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 Imagine Arts Academy Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 27
- Opened
- 9
- Last reporting year
- Closed
- 3
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 11.1%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +35.0%
- Net unit change over 3 years
- 3-yr CAGR
- +35.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 9
- Closed (3yr)
- 3
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 7
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 8
- Franchisor's next-year forecast
- Transfer rate
- 25.9%
- Owners selling to other franchisees
- Termination rate
- 3.7%
- Franchisor-initiated terminations
- Ceased ops
- 11.1%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 5 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.
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.
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
Moderate-to-high risk: regulatory baggage of parent company, missing financial disclosures, rapid growth without profitability transparency, and unclear franchisor financial health warrant thorough validation.
Litigation (Item 3)
One affiliate (Mad Science Group) consent order with Maryland Securities Division (2013) for unregistered franchise offers; agreed to cease and desist, pay $5,000 penalty, refund $13,500 franchise fee to one franchisee.
Largest disclosed settlement: $13,500
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Raymond Chabot Grant Thornton
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 64 / 100 verdict
- 01MINORParent company (Mad Science Group) has regulatory history: 2013 Maryland consent order for unregistered franchise offers and disclosure failures
- 02MINORNo Item 19 financial performance disclosure — cannot verify average unit economics or profitability claims
- 03MINORRapid unit growth (28.6% YoY) with only 27 units is concerning for quality control and suggests possible aggressive recruiting over franchisee support
- 04MEDHigh initial investment ($128K–$168K) combined with 8% royalty and no disclosed average revenue creates uncertainty on ROI timeline
- 05HIGHGoing Concern status is 'False' — requires clarification on franchisor's financial stability and parent company relationship
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 10.0% 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 | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory population | 200,000 |
| 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 | 50 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 4 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | Montreal, Quebec, Canada |
| Jury trial waiver | Yes |
| Governing law | Quebec |
| Litigation count | 1 |
View Item 3 litigation summary
One affiliate (Mad Science Group) consent order with Maryland Securities Division (2013) for unregistered franchise offers; agreed to cease and desist, pay $5,000 penalty, refund $13,500 franchise fee to one franchisee.
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 50 hrs
- Training location
- Onsite at franchisee's location or virtually
- Ongoing training
- Required
- Time to open
- 3 mo
- From signing to launch
- Site selection
- franchisee with franchisor approval
- Franchisor financing
- Not offered
- Item 10
- POS system
- QuickBooks
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: QuickBooks
Item 20 · call current owners
Franchisee Contacts
13 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Imagine Arts Academy · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Imagine Arts Academy franchise?
The total investment to open a Imagine Arts Academy franchise ranges from $128K – $168K, with an initial franchise fee of $49K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Imagine Arts Academy franchise owners earn?
Imagine Arts Academy 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 Imagine Arts Academy 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 Imagine Arts Academy FDD and qualifies whose outlets they describe.
What is Imagine Arts Academy's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Imagine Arts Academy (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 Imagine Arts Academy franchise locations are there?
As of their most recent FDD filing, Imagine Arts Academy has 27 total units in the United States, including 27 franchised units and 0 company-owned units. 9 new units were opened in the latest reporting year.
Is Imagine Arts Academy a good franchise to buy?
FranchiseVerdict rates Imagine Arts Academy as a A-grade franchise with a verdict score of 64 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 Imagine Arts Academy, 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.