The New Mom SchoolFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
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]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $126K – $203K
- 34th pct Education
- Avg gross sales
- $507K
- 23rd pct Education
- Royalty
- N/A
- Units
- 2
- 8th pct Education
- SBA default
- 0.0%
- system-wide median varies by category
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
Each dollar invested generates 3.1x in gross revenue, well above the typical 1.5-2.5x range.
Started franchising in 2023. Newer systems carry more uncertainty but may offer better territories.
The franchisor's auditor raised doubt about continued operations. This is a serious risk signal.
124% cash-on-cash return (based on P&L Bottom Line). Above the 20% threshold most investors target.
Bottom line
- Total investment $126K – $203K including a $45K franchise fee.
- Average unit revenue of $507K/year (median $507K), with an estimated 124% cash-on-cash return (based on P&L Bottom Line).
- Verdict A (Top Quintile) with a risk score of 24/100.
- 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
- The New Mom School Franchising, LLC
- Predecessor
- or parent entity to disclose
- Prior franchisor entity
- Incorporated in
- TX
- HQ
- 24672 Royale Ridge, Laguna Niguel, California 92677
- Auditor
- Divine, Blalock, Martin & Sellari, LLC
- Audited financials
- Franchisor revenue
- $0
- Most recent fiscal year
- ⚠ Going-concern note
- Disclosed in FDD 2025
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
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
The New Mom School appears to be an educational or coaching service targeting new mothers, likely delivering parenting guidance, wellness, or childcare curriculum through in-person or online channels. Franchisees likely manage day-to-day client enrollment, program delivery, instructor coordination, and community relationship building.
- CEO
- Alexandra Spitz
- Headquarters
- CA
- Founded
- 2023
- FDD year
- 2025
- States available
- 1
FDD Item 7 · 2025 filing · 20 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.
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
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $126K – $203K
- Better than avg vs category
- Liquid capital req'd
- $10K – $20K
- Better than avg vs category
- Franchise fee
- $45K – $45K
- Better than avg 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
- Payback period
- 0.8 yrs
- From FDD / Item 19
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 |
Financial Performance
- Avg gross sales
- $507K
- Per unit, per year
- Median gross sales
- $507K
- Avg p&l bottom line
- $204K
- Reported as P&L Bottom Line in FDD Item 19
- Cash-on-cash
- 124.3%
- Based on P&L Bottom Line / investment midpoint
- Item 19 type
- Actual results
- Sample size
- 1 units
- vs category median 14 · small
- Range (low → high)
- $507K→$507K
- Cohort dispersion (min → max)
- Transparency
- 9 / 5
- vs category median 4 / 5 · above
Compared against 237 Education brands
vs Education averages
How The New Mom School Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 2
- Opened
- 2
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
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 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
- 0.0%
- 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)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into The New Mom School's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 1 lenders with concentration factor
- Per-state charge-off rates across 1 states
- Startup risk premium and job creation velocity
- 1-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
The New Mom School presents significant caution-level risk due to a micro-scale system (2 units only), unverified financial claims, aggressive royalty escalation, and absence of disclosed growth or expansion strategy.
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⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
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 24 / 100 rating
- 01MEDExtremely limited unit count (only 2 franchises) indicates unproven scalability and system maturity
- 02MEDNo disclosed unit growth history or expansion trajectory despite 10-year franchise model
- 03MINORHigh financial performance claims ($507k avg revenue, $204k avg net income) based on only 2 units — statistically unreliable and potential cherry-picking
- 04MINORRoyalty structure escalates to $3,000/month minimum by year 3, creating fixed-cost burden regardless of sales performance
- 05MINORFranchise fee of $45,000 represents 8.9% of average net income — aggressive cost recovery for unproven system
- 06MINORNo Item 19 Financial Performance Representations provided — claims cannot be independently verified
- 07MEDUnknown/undisclosed growth indicates either brand is stagnant or new to franchising
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 | 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
Item 20 · call current owners
Franchisee Contacts
16 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
The New Mom School · FDD (2025) PDF
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. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
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 0 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 A-grade franchise with a risk score of 24 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.