Little Art House Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Little Art House is a children's art education franchise offering art classes, camps, and creative programs for kids and adults. Franchisees run the studios, managing instructors, scheduling, and enrollment.
FranchiseVerdict summary · 2026
A Little Art House franchise requires a total initial investment of $106K – $192K, including a $40K franchise fee and an ongoing 6.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $106K – $192K
- 34th pct Education
- Avg gross sales
- N/A
- Company-owned only
- Royalty
- 6.0%
- 6th pct Education
- Units
- 3
- 12th 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 $106K – $192K including a $40K franchise fee, 6.0% ongoing royalty.
- RETURNSItem 19 covers the franchisor's affiliate, which ran two studios in 2023. The disclosed figure is one of the two, and the lower - the other earned about seventy per cent more. The filing states there were no franchisees at the time it was issued.
- RISKVerdict D (Below average), verdict score 34/100 (higher is better).
- DATAItem 19 reports affiliate financials 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
- LITTLE ART HOUSE FRANCHISES LLC
- CEO title
- Member
- Emma Lancaster Bradford
- Incorporated in
- TN
- HQ
- 2106B Acklen Avenue, Nashville, Tennessee 37212
- Auditor
- Kezas & Dunlavy
- Unaudited
Overview
About
- CEO
- Emma Lancaster Bradford
- Headquarters
- TN
- Founded
- 2023
- FDD year
- 2025
- States available
- 1
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
Full Item 7 breakdown23 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $40K | $40K | |
| Rent and Security Deposit - Pre-Opening and First 3 Months | $10K | $20K | |
| Leasehold Improvements | $15K | $45K | |
| Equipment, Furniture, Fixtures, Decor, and Office Supplies | $8K | $16K | |
| Computer Hardware and Software (Including Point of Sale System) | $500 | $2K | |
| Initial Stock of Studio Supplies | $6K | $8K | |
| Interior and Exterior Signs | $1K | $5K | |
| Out-of-Pocket Expenses During Training | $1K | $3K | |
| Initial Advertising | $2K | $3K | |
| Business Licenses and Permits | $800 | $2K | |
| Professional Fees | $750 | $5K | |
| Insurance (Annual Estimate) | $2K | $3K | |
| Additional Funds - 3 Months | $20K | $40K | |
| Third-Party Location Addendum Feenot refundable | $8K | $8K | |
| Pre-Opening Rent (Third-Party Location) | $500 | $1K | |
| Initial Stock of Supplies (Third-Party Location) | $250 | $500 | |
| Initial Advertising (Third-Party Location) | $250 | $500 | |
| Professional Fees (Third-Party Location) | $0 | $500 | |
| Insurance Annual Estimate (Third-Party Location) | — | — | |
| Additional Funds - 3 Months (Third-Party Location) | $500 | $2K | |
| Total initial investment | $121K | $212K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $106K – $192K
- Top 40% of category vs category
- Liquid capital req'd
- $20K – $40K
- Middle of category vs category
- Franchise fee
- $40K – $40K
- Top 40% of category vs category
- Royalty
- 6.0%
- percentage · 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 | $0 |
| Transfer fee | $12K |
| Renewal fee | $6K |
| Inventory (initial) | $6K – $8K |
| Total fee load | 8.0% of rev |
What do units actually make?
Source: FDD 2025 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Little Art House 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 Little Art House unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
63%
Above the 30–60% band. Verify revenue is per-unit average
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
Item 19 covers the franchisor's affiliate, which ran two studios in 2023. The disclosed figure is one of the two, and the lower - the other earned about seventy per cent more. The filing states there were no franchisees at the time it was issued.
Company-owned outlets only - not franchisee performance
- Item 19 type
- affiliate financials
- Range (low → high)
- $7K→$184K
- 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 8.0% — below the Education average of 10.6%.
Disclosure
Item 19 reports affiliate financials rather than annual gross sales, so unit revenue is not directly comparable.
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 Little Art House Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 3
- Opened
- 0
- Last reporting year
- Closed
- 1
- Turnover rate
- 33.3%
- Company-owned
- 3
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
3-year detail · Item 20
- Opened (3yr)
- 0
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 1 state 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.
1
states with franchisees (per FDD Item 12)
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
Little Art House presents caution-level risk due to corporate going concern issues, minimal franchisee base, unverified financial claims, and heavy fee structure relative to profitability.
Litigation (Item 3)
No litigation required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
No audited financials on file
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: Yes
Score breakdown · what drove the 34 / 100 verdict
- 01HIGHGoing Concern status indicates financial instability or viability questions at corporate level
- 02MINOROnly 3 units with unknown growth trajectory suggests stalled or declining system expansion
- 03MINORNo Item 19 financial performance representation limits ability to validate the $26,902 average net income claim
- 04MINORHigh initial investment ($106,050–$191,500) relative to reported net income creates 4–7 year payback period
- 05MINOR6% royalty on gross revenue (not net) compounds financial pressure during low-margin months
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 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 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 3 mi |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | No |
| Governing law | TN |
| 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
- 23 hrs
- Training location
- Nashville, Tennessee headquarters (or virtual); on-site at franchise premises
- Ongoing training
- Required
- Field support
- 25 hrs/yr
- On-site visits per year
- Time to open
- 7 mo
- From signing to launch
- Site selection
- Franchisee selects; franchisor approves
- Franchisor financing
- Not offered
- Item 10
- POS system
- Sawyer
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Sawyer
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Little Art House franchise?
The total investment to open a Little Art House franchise ranges from $106K – $192K, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Little Art House franchise owners earn?
Little Art House 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 Little Art House 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 Little Art House FDD and qualifies whose outlets they describe.
What is Little Art House's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Little Art House (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 Little Art House franchise locations are there?
As of their most recent FDD filing, Little Art House has 3 total units in the United States, including 0 franchised units and 3 company-owned units.
Is Little Art House a good franchise to buy?
FranchiseVerdict rates Little Art House as a D-grade franchise with a verdict score of 34 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 Little Art House, 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.