MindChamps International PreSchoolFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A MindChamps International PreSchool franchise requires a total initial investment of $726K – $1.2M, including a $100K franchise fee and an ongoing 9.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: C. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $726K – $1.2M
- 61st pct Education
- Avg gross sales
- N/A
- 47th pct Education
- Royalty
- 9.0%
- 44th pct Education
- Units
- 0
- 0th pct Education
- SBA default
- N/A
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
The franchisor's auditor raised doubt about continued operations. This is a serious risk signal.
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.
- Verdict C (Average) with a risk score of 65/100.
- Auditor disclosed a going-concern note, which 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
- DE
- 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.
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
- Headquarters
- DE
- Founded
- 2022
- FDD year
- 2025
- States available
- 0
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $100K | $100K |
| Working capital (3–6 mo) | $100K | $125K |
| Equipment, build-out, other | $526K | $959K |
| Total initial investment | $726K | $1.2M |
Source: MindChamps International PreSchool 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
- $726K – $1.2M
- Near category avg vs category
- Liquid capital req'd
- $100K – $125K
- Near category avg vs category
- Franchise fee
- $100K – $100K
- Below avg, review vs category
- Royalty
- 9.0%
- Gross Sales · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 11.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 9.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Transfer fee | $100K |
| Renewal fee | $50K |
| Total fee load | 11.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Education averages
How MindChamps International PreSchool Compares
Unit growth
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
3-year detail · Item 20
- Transfers (3yr)
- 0
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- Charge-off rate
- N/A
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 0
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
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.
Audited financials (Item 21)
Yes · Citrin Cooperman & Company, LLP⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 65 / 100 rating
- 01MINORNo average revenue or net income disclosure (Item 19) — impossible to validate ROI on $726k-$1.18M investment
- 02MEDZero existing franchised units reported — either brand new system or significant undisclosed closures; no peer validation available
- 03MINOR9% royalty on unproven revenue model with no financial benchmarks to assess sustainability
- 04MINORTerritory completely unprotected — multiple franchisees could operate in same area, cannibalizing revenue
- 05MINORHigh upfront investment ($726k minimum) for early-stage preschool operator with no track record data
- 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
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | Designated Area |
| Protected territory | No |
| Online sales rights | 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 | 14 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Delaware |
| Litigation count | 0 |
Items 10, 11
Training & Operations
- Classroom training
- 158 hrs
- On-the-job training
- 0 hrs
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
2 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
MindChamps International PreSchool · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a MindChamps International PreSchool franchise?
The total investment to open a MindChamps International PreSchool franchise ranges from $726K – $1.2M, with an initial franchise fee of $100K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do MindChamps International PreSchool franchise owners earn?
MindChamps International PreSchool 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 MindChamps International PreSchool's franchise failure rate?
SBA 7(a) loan charge-off data is not available for MindChamps International PreSchool (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.
Is MindChamps International PreSchool a good franchise to buy?
FranchiseVerdict rates MindChamps International PreSchool as a C-grade franchise with a risk score of 65 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.