Mad Science Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Mad Science is a children's STEM education franchise delivering hands-on science programs through schools, camps, birthday parties, and events. Franchisees run mobile operations, scheduling instructors and managing equipment and school partnerships.
FranchiseVerdict summary · 2026
A Mad Science franchise requires a total initial investment of $132K – $192K, including a $49K franchise fee and an ongoing 8.0% royalty[2]. Per the 2025 FDD, average unit revenue was $388K[2]. SBA 7(a) loans show a 14.7% charge-off rate across 34 loans[1]. 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
- $132K – $192K
- 42nd pct Education
- Avg gross sales
- $388K
- 16th pct Education
- Royalty
- 8.0%
- 37th pct Education
- Units
- 70
- 58th pct Education
- SBA charge-off
- 14.7%
- % of SBA 7(a) loans not repaid · median varies by category
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 $132K – $192K including a $49K franchise fee, 8.0% ongoing royalty.
- RETURNSAverage unit revenue of $388K/year (median $323K).
- RISKVerdict A (Strongest tier), verdict score 69/100 (higher is better). SBA loan charge-off rate of 14.7% across 34 loans (above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Mad Science Group Inc.
- Parent company
- 3908160 Canada Inc.
- CEO title
- Chief Executive Officer and Director
- Ariel Shlien
- Incorporated in
- Canada
- HQ
- 8360 Bougainville Street, Suite 201, Montreal, Quebec, Canada, H4P 2G1
- Auditor
- Raymond Chabot Grant Thornton
- Audited financials
- Franchisor revenue
- $4.6M
- vs $4.4M prior year
Overview
About
- CEO
- Ariel Shlien
- Headquarters
- Quebec, Canada
- Founded
- 1993
- FDD year
- 2025
- States available
- 21
Can you afford it, and what does the money buy?
Entry cost runs 76% 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 | $70K | $122K |
| Total initial investment | $132K | $192K |
Source: Mad Science 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
- $132K – $192K
- 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 |
What do units actually make?
Average unit sales run 51% below the education norm.
Source: FDD 2025 · Item 19
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
$50K
13.0% margin
Unlevered ROIC
28%
EBITDA / total invested capital
Payback
3.6 yrs
cash-on-cash, unlevered
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. The target band for an attractive franchise is 30–60% ROIC. Below that and a passive index fund likely outperforms; above that and the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses. It's the top line only. Operating costs below are category estimates. Override them to match your real lease quote, labor market, and build-out budget.
Returns model · single-unit ROIC
What would one Mad Science unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
28%
Below the 30–60% attractive-franchise band
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%.
Levered LBO scenario · Yale Crease Capital framing
What would 25 Mad Science units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$466K
on $2.3M purchase
Total debt
$1.9M
SBA $1.2M + senior + seller note
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
- Avg gross sales
- $388K
- Per unit, per year
- Median gross sales
- $323K
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 revenues
- Sample size
- 57 territories
- vs category median 17 · large
- Range (low → high)
- $85K→$1.3M
- Cohort dispersion (min → max)
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2025
- The FDD edition these figures were read from
- Transparency
- 4 / 10
- vs category median 4 / 10 · typical
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.
Unit economics
Average unit generates $388K/year in gross sales. Median is $323K — top performers pull the average up, so a typical unit earns less. Revenue-to-investment ratio: 2.4x.
Fee burden
Total ongoing fee load of 10.0% (near the Education average).
Disclosure
Transparency score 4/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System roughly stable (-1.7% 3-year CAGR) with 70 units.
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 Mad Science Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 70
- Opened
- 1
- 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
- 0.0%
- Company-owned
- 12
- Corporate units in the system
- % franchised
- 83%
- vs corporate-owned
- Net growth (3-yr)
- +1.8%
- Net unit change over 3 years
- 3-yr CAGR
- -1.7%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 1
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 5
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 18 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.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 34
- Loan volume
- $3.2M
- Median loan
- $54K
- 50th percentile
- Charge-off rate
- 14.7%
- 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)
- 85.3%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 18
- Defaults
- 5
- Typical loan rate
- 5.8%
- avg rate to borrowers
- Franchised industry avg
- 13.9%
- brand above franchise avg ↑
- Jobs supported
- 71
- 2.3 per loan
- Lender concentration
- 50%
- top lender's share
Borrower mix: 0% went to startups / new businesses, 100% to established operators
Franchise vs independent — in all other amusement and recreation industries, franchised businesses charge off at 13.9% vs 16.2% for independents — franchising is associated with 14% lower SBA default risk in this category.
Top lenders financing Mad Science franchisees
Showing 3 of 18 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.
Premium insight
SBA Lending Report
Deep-dive into Mad Science's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 3 lenders with concentration factor
- Per-state charge-off rates across 3 states
- Startup risk premium and job creation velocity
- 3-year lending trend
Instant access. No subscription.
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
Mad Science presents elevated risk due to non-disclosed profitability, stagnant unit growth, going concern status, active litigation, and regulatory history that collectively suggest a struggling franchise system with unclear franchisee economics.
Litigation (Item 3)
1) Maryland Consent Order (2013) for unregistered franchise offers; paid $5,000 penalty and refunded $13,500 franchise fee. 2) Paris Commercial Court lawsuit by Fun Science (filed 2020) alleging Mad Science disrupted its franchise network; seeking ~3,260,000 Euros; pending.
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
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 69 / 100 verdict
- 01HIGHGoing Concern status is FALSE — franchisor may have solvency or operational viability issues
- 02MEDNet income not disclosed in Item 19 — unable to verify profitability claims; only $388k average revenue provided
- 03MINORMinimal unit growth (1.8% YoY) — system is essentially stagnant with only ~70 locations
- 04HIGHOngoing Paris litigation (2020) with competitor alleging reputation damage and network disruption — material reputational risk
- 05MINORFDD registration violation in Maryland (2012) with consent order — compliance/governance red flag
- 06MEDHigh franchise fee ($49k) relative to slow growth and undisclosed margins — ROI unclear
- 07MINOR8% royalty on $388k avg revenue = ~$31k annual fee — materially impacts unit economics with unknown net profitability
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 | 450,000 |
| 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 |
| Mandatory arbitration | Yes |
| Arbitration location | Montreal, Quebec, Canada |
| Jury trial waiver | Yes |
| Governing law | Quebec, Canada |
| Litigation count | 2 |
View Item 3 litigation summary
1) Maryland Consent Order (2013) for unregistered franchise offers; paid $5,000 penalty and refunded $13,500 franchise fee. 2) Paris Commercial Court lawsuit by Fun Science (filed 2020) alleging Mad Science disrupted its franchise network; seeking ~3,260,000 Euros; pending.
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 48 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
27 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Mad Science · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Mad Science franchise?
The total investment to open a Mad Science franchise ranges from $132K – $192K, 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 Mad Science franchise owners earn?
According to Item 19 of the Mad Science FDD, the average gross sales per unit is $388K. The median is $323K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the Mad Science 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 Mad Science FDD and qualifies whose outlets they describe.
What is Mad Science's franchise failure rate?
Based on SBA 7(a) loan data, Mad Science has a charge-off rate of 14.7% across 34 loans, meaning 14.7% 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 Mad Science franchise locations are there?
As of their most recent FDD filing, Mad Science has 70 total units in the United States, including 58 franchised units and 12 company-owned units. 1 new units were opened in the latest reporting year.
Is Mad Science a good franchise to buy?
FranchiseVerdict rates Mad Science as a A-grade franchise with a verdict score of 69 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
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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.