FranchiseVerdict
MindChamps International PreSchool logo
FV-01640·MODERATEStandard67

MindChamps International PreSchool

Education - Children's ProgramsFranchising since 2022Website
Investment
$726K – $1.2M
79th pct Children's Pr…
Avg revenue
69th pct Children's Pr…
Royalty
9.0%
76th pct Children's Pr…
Units
0
0th pct Children's Pr…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $726K – $1.2M including a $100K franchise fee, 9.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 65/100. SBA loan default rate of 0.0% across 1 loans (below the industry average).
  • Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.

Item 1 · who you're contracting with

The Franchisor

Legal entity
MindChamps International PreSchool Franchising Inc.
Parent company
MindChamps International PreSchool Inc.
Incorporated in
Delaware
HQ
8 The Green, STE A, Dover, DE 19901
Auditor
Citrin Cooperman & Company, LLP
Audited financials
Franchisor revenue
$0
vs $0 prior year
⚠ Going-concern note
Disclosed in FDD 2025
Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.

Yale framework · single-unit ROIC

Returns Analysis

Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.

The model · Yale framework

What would one MindChamps International PreSchool unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: education
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $726K–$1.2M
Working capital
$
FDD reports $100K–$125K

Unlevered ROIC · per unit

8%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$90K
EBITDA margin
12.0%
Total invested
$1.1M
Payback
142 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Franchisees operate MindChamps-branded preschool/early education centers serving children ages 18 months to 6 years. Day-to-day responsibilities include curriculum delivery (focus on cognitive/STEM development), staff management, parent communication, facility maintenance, and enrollment/retention marketing. Revenue is generated through tuition fees and ancillary services (camps, enrichment classes).

CEO
David Chiem
Founded
2022
FDD year
2025
States available
0

Item 7 · what it costs

The Vitals

Total investment
$726K – $1.2M
All-in to open one unit
Liquid capital
$100K – $125K
Cash you must have on hand
Franchise fee
$100K
Royalty
9.0%
Gross Sales · typical 6–8%
Ad fund
2.0%
typical 3–5%
Total fee load
11.0%
vs 9–13% typical

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
0
Opened
0
Last reporting year
Closed
0
Company-owned
0
Corporate units in the system
2023
0±0
Franchised units
2024
0
Franchised units
2025
0
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

Total loans
1
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

65
Risk · 0-100
MODERATE65 / 100

Early-stage or struggling preschool franchise with zero operating units, no financial disclosure, unprotected territory, and high capital requirements — fundamentally impossible to validate investment viability.

Score breakdown · what drove the 65 / 100 rating

  1. 01MINORNo average revenue or net income disclosure (Item 19) — impossible to validate ROI on $726k-$1.18M investment
  2. 02MEDZero existing franchised units reported — either brand new system or significant undisclosed closures; no peer validation available
  3. 03MINOR9% royalty on unproven revenue model with no financial benchmarks to assess sustainability
  4. 04MINORTerritory completely unprotected — multiple franchisees could operate in same area, cannibalizing revenue
  5. 05MINORHigh upfront investment ($726k minimum) for early-stage preschool operator with no track record data
  6. 06MINOR10-year term locks franchisee into relationship with minimal historical performance data to evaluate

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Designated Area
Protected territory
No
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Delaware

Item 11

Training & Operations

Classroom training
158 hrs
On-the-job training
0 hrs

Item 20

Franchisee Contacts

Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.

Franchisee contacts

2 numbers

Locked
(706) 248-••••
GA
(954) 559-••••
FL

One-time purchase · CSV download · Validation questions included

FDD download

MindChamps International PreSchool · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above