The New Mom School Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
The New Mom School is an education franchise providing classes, coaching, and community for new mothers on parenting and postpartum wellness. Franchisees run local programs, managing instructors, classes, and enrollment.
FranchiseVerdict summary · 2026
A The New Mom School franchise requires a total initial investment of $126K – $203K, including a $45K franchise fee. Per the 2025 FDD, average unit revenue was $507K[2]. FranchiseVerdict grade: C (Average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $126K – $203K
- 39th pct Education
- Avg gross sales
- $507K
- Incl. company outletsn=118th pct Education
- Royalty
- N/A
- Units
- 2
- 8th 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 $126K – $203K including a $45K franchise fee.
- RETURNSAverage unit revenue of $507K/year (median $507K) (includes company-owned outlets). Note: this is gross profit, not take-home income.
- RISKVerdict C (Average), verdict score 44/100 (higher is better).
- FLAGRevenue data based on only 1 reporting unit. Treat as directional, not definitive. Ask franchisees directly for current unit economics.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- The New Mom School Franchising, LLC
- Predecessor
- The New Mom School, Inc.
- Prior franchisor entity
- CEO title
- Founder and Chief Executive Officer
- Alexandra Spitz
- Incorporated in
- Texas
- HQ
- 24672 Royale Ridge, Laguna Niguel, California 92677
- Auditor
- Divine, Blalock, Martin & Sellari, LLC
- Audited financials
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Affiliated brands
- predecessor or parent entity to disclose
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Alexandra Spitz
- Headquarters
- CA
- Founded
- 2023
- FDD year
- 2025
- States available
- 1
Can you afford it, and what does the money buy?
Entry cost runs 75% below the typical education franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown20 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $45K | $45K | |
| Training and Onboarding Feenot refundable | $15K | $15K | |
| Project Management Feenot refundable | $10K | $10K | |
| Leasehold Improvements | $5K | $30K | |
| Real Estate / Rent (3 months) | $7K | $19K | |
| Security Deposit | $3K | $5K | |
| Utilities | $100 | $300 | |
| Architecture | $0 | $6K | |
| Market Introduction Program | $18K | $20K | |
| Technology Fee | $3K | $5K | |
| Computer System | $0 | $3K | |
| Insurance | $750 | $4K | |
| Signage | $1K | $6K | |
| Furniture, Fixtures, and Equipment | $3K | $5K | |
| Inventory / Class Supplies | $2K | $3K | |
| Licenses and Permits | $50 | $250 | |
| Professional Fees (lawyer, accountant, etc.) | $2K | $3K | |
| Training Travel Expenses | $3K | $5K | |
| Extension Fee | $0 | $1K | |
| Additional Funds (for first 3 months) | $10K | $20K | |
| Total initial investment | $126K | $203K |
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
- $126K – $203K
- Top 40% of category vs category
- Liquid capital req'd
- $10K – $20K
- Top 40% of category vs category
- Franchise fee
- $45K – $45K
- Top 40% of category vs category
- Royalty
- The greater of 7% of Gross Sales or (i) $500 per month du…
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $500 |
| Transfer fee | $10K |
| Renewal fee | $11K |
| Total fee load | 9.0% of rev |
What do units actually make?
Average unit sales run 37% below the education norm.
Includes company-owned outlets
Based on a single reporting unit - not a system average
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
$76K
15.0% margin
Unlevered ROIC
42%
EBITDA / total invested capital
Payback
28 mo
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 The New Mom School unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
42%
Within 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 The New Mom School units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$812K
on $4.1M purchase
Total debt
$3.2M
SBA $2.0M + 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
Includes company-owned outlets
Based on a single reporting unit - not a system average
- Avg gross sales
- $507K
- Per unit, per year
- Median gross sales
- $507K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- Actual results
- Sample size
- 1
- vs category median 17 · small
- Reported figure
- $507K
- A single outlet — not a range
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2025
- Disclosed in the 2025 filing, covering 2024
- Transparency
- 9 / 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.
Unit economics
Average unit generates $507K/year in gross sales. Revenue-to-investment ratio: 3.1x. Includes company-owned outlets.
Fee burden
Total ongoing fee load of 9.0% — below the Education average of 10.6%.
Disclosure
Transparency score 9/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence. Sample size of 1 unit — treat as directional only.
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 The New Mom School Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 2
- Opened
- 2
- 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
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
3-year detail · Item 20
- Opened (3yr)
- 2
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
Last reporting year only, multi-year history not disclosed in this brand's FDD.
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 loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- $125K
- Median loan
- $125K
- 50th percentile
- Charge-off rate
- N/A
- limited sample (1 loan) — rate not shown below 10
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
- 1
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
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
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $765,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Divine, Blalock, Martin & Sellari, LLC
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 44 / 100 verdict
- 01MINOREarly-stage distress: net loss -$391,737, equity -$119,314
- 02MINORVery small: 2 units, $75,876 revenue
- 03MEDItem 19 disclosed, audited, no litigation
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 9.0% 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 | Population-based |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| 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 | Texas |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 40 hrs
- On-the-job training
- 0 hrs
- Training location
- Franchisor's location and on-site at franchisee's restaurant
- POS system
- Stripe reader
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Stripe reader
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a The New Mom School franchise?
The total investment to open a The New Mom School franchise ranges from $126K – $203K, 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 The New Mom School franchise owners earn?
According to Item 19 of the The New Mom School FDD, the average gross sales per unit is $507K. The median is $507K. Important context: Includes company-owned outlets; Based on a single reporting unit - not a system average. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the The New Mom School 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 The New Mom School FDD and qualifies whose outlets they describe.
What is The New Mom School's franchise failure rate?
SBA 7(a) loan charge-off data is not available for The New Mom School (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 The New Mom School franchise locations are there?
As of their most recent FDD filing, The New Mom School has 2 total units in the United States, including 2 franchised units and 0 company-owned units. 2 new units were opened in the latest reporting year.
Is The New Mom School a good franchise to buy?
FranchiseVerdict rates The New Mom School as a C-grade franchise with a verdict score of 44 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 The New Mom School, 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.