Kidcreate StudioFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Kidcreate Studio franchise requires a total initial investment of $63K – $488K, including a $45K franchise fee. Per the 2026 FDD, average unit revenue was $251K[2]. SBA 7(a) loans show a 0.0% charge-off rate across 10 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $63K – $488K
- 19th pct Education
- Avg gross sales
- $251K
- 8th pct Education
- Royalty
- N/A
- Units
- 25
- 39th pct Education
- SBA default
- 0.0%
- system-wide median varies by category
Quick verdict · Education · color = vs category peers
Green = >15% above Education avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Only 0.0% of 10 SBA loans charged off, well below the 16% franchise average.
The system grew 50% year-over-year. Fast growth means demand, but can strain support.
Bottom line
- Total investment $63K – $488K including a $45K franchise fee.
- Average unit revenue of $251K/year.
- Verdict A (Top Quintile) with a risk score of 41/100. SBA loan charge-off rate of 0.0% across 10 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- System growing at 50.0% CAGR over 3 years with 25 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Kidcreate Studio Franchising, LLC
- Parent company
- Kidcreate Holdings, Inc.
- Incorporated in
- TX
- HQ
- 7566 Market Place Drive, Eden Prairie, Minnesota 55344
- Auditor
- Kezos & Dunlavy
- Audited financials
- Franchisor revenue
- $765K
- vs $748K prior year
Affiliated brands
- Extreme Art Franchising
- Get Messy
- Franchisor does not offer franchises anymore
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Kidcreate Studio franchisees operate art and creative education studios serving children aged 2-12. Day-to-day operations include teaching art classes, managing enrollment/scheduling, staffing instructors, maintaining facilities, and driving local marketing and parent engagement. Revenue derives from class tuition, birthday parties, camps, and special events.
- CEO
- Mark Nicpon
- Headquarters
- MN
- Founded
- 2015
- FDD year
- 2026
- States available
- 13
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $45K | $45K |
| Working capital (3–6 mo) | $6K | $15K |
| Equipment, build-out, other | $12K | $428K |
| Total initial investment | $63K | $488K |
Source: Kidcreate Studio 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$40K
16.0% margin
Unlevered ROIC
14%
EBITDA / total invested capital
Payback
7.1 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $63K – $488K
- Better than avg vs category
- Liquid capital req'd
- $6K – $15K
- Better than avg vs category
- Franchise fee
- $45K – $110K
- Better than avg vs category
- Royalty
- greater of 8% of Gross Sales or $500 per month
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $500 |
| Transfer fee | $10K |
| Renewal fee | $5K |
| Inventory (initial) | $4K – $8K |
| Total fee load | 9.0% of rev |
Financial Performance
- Avg gross sales
- $251K
- Per unit, per year
- Median gross sales
- N/A
- Item 19 type
- gross_sales
- Sample size
- 16 units
- vs category median 14
- Range (low → high)
- $17K→$500K
- Cohort dispersion (min → max)
- Transparency tier
- limited
- Categorical assessment of disclosure depth
- Transparency
- 3 / 5
- vs category median 4 / 5 · below
Compared against 237 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.
vs Education averages
How Kidcreate Studio Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 25
- Opened
- 8
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 96%
- vs corporate-owned
- Net growth (yr3)
- +50.0%
- Net unit change last year
- 3-yr CAGR
- +50.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 8
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 1
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 14 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.
Available to sell in · Item 12
- Michigan
States where the franchisor is registered to sell new franchises (FDD registration filings).
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
- 10
- Loan volume
- $1.9M
- Median loan
- $138K
- 50th percentile
- Charge-off rate
- 0.0%
- 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)
- 100.0%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 7
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Kidcreate Studio's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 7 lenders with concentration factor
- Per-state charge-off rates across 8 states
- Startup risk premium and job creation velocity
- 5-year lending trend
Instant access. No subscription.
With a 0.0% charge-off rate across 10 loans, banks have historically viewed this brand favorably for lending.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Kidcreate Studio presents moderate-to-caution risk: rapid growth, undisclosed profitability data, and opaque unit economics make validation difficult despite no litigation history.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $110,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Kezos & Dunlavy
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: Yes
Score breakdown · what drove the 41 / 100 rating
- 01MEDNo Item 19 (Average Unit Volume) disclosed — unable to validate $251,251 average revenue claim or assess profitability
- 02MINORRapid unit growth (50% YoY) suggests either aggressive expansion or potential instability; unsustainable growth rates often precede corrections
- 03MINORWide investment range ($63K-$488K) indicates highly variable unit economics and unclear cost structure
- 04MINORRoyalty floor of $500/month ($6,000/year) creates unprofitable scenario for units generating <$75K annually
- 05MINORHigh franchise fee ($45K) relative to low average revenue suggests long payback period and cash flow risk for new franchisees
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Population-based |
| Protected territory | Yes |
| Territory population | 50,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 1 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Minnesota |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 43 hrs
- On-the-job training
- 47 hrs
- Training location
- franchisee location
- Field support
- 24 hrs/yr
- On-site visits per year
- Site selection
- joint
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
24 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Kidcreate Studio · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Kidcreate Studio franchise?
The total investment to open a Kidcreate Studio franchise ranges from $63K – $488K, 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 Kidcreate Studio franchise owners earn?
According to Item 19 of the Kidcreate Studio FDD, the average gross sales per unit is $251K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Kidcreate Studio's franchise failure rate?
Based on SBA 7(a) loan data, Kidcreate Studio has a charge-off rate of 0.0% across 10 loans, meaning 0.0% 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 Kidcreate Studio franchise locations are there?
As of their most recent FDD filing, Kidcreate Studio has 25 total units in the United States, including 16 franchised units and 1 company-owned units. 8 new units were opened in the latest reporting year.
Is Kidcreate Studio a good franchise to buy?
FranchiseVerdict rates Kidcreate Studio as a A-grade franchise with a risk score of 41 out of 100, 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.
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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.