FranchiseVerdict
Tutoring Club logo
FV-02816·MODERATEExcellent81

Tutoring Club

Education - Tutoring & Test PrepFranchising since 2006Website
Investment
$89K – $163K
38th pct Tutoring & Te…
Avg revenue
55th pct Tutoring & Te…
Royalty
10.0%
49th pct Tutoring & Te…
Units
87
70th pct Tutoring & Te…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $89K – $163K including a $35K franchise fee, 10.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 56/100. SBA loan default rate of 0.0% across 16 loans (below the industry average).
  • No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.

Item 1 · who you're contracting with

The Franchisor

Legal entity
TUTORING CLUB, LLC
Incorporated in
Nevada
HQ
11241 S. Eastern Avenue, Henderson, NV 89052
Auditor
Velez Hardy CPAs and Advisors
Audited financials
Franchisor revenue
$3.0M
vs $3.0M prior year

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 Tutoring Club 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: $89K–$163K
Working capital
$
FDD reports $11K–$16K

Unlevered ROIC · per unit

65%

Above typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$90K
EBITDA margin
12.0%
Total invested
$139K
Payback
19 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 tutoring centers providing academic instruction (typically K-12) in core subjects like math, reading, and test prep. Day-to-day operations include student scheduling, hiring/managing tutors, marketing locally, tracking student progress, and managing parent communications. Revenue is generated through per-student monthly tuition or hourly tutoring fees.

CEO
David Hill
Founded
2006
FDD year
2024
States available
19

Item 7 · what it costs

The Vitals

Total investment
$89K – $163K
All-in to open one unit
Liquid capital
$11K – $16K
Cash you must have on hand
Franchise fee
$35K
Royalty
10.0%
Percentage of Gross Revenue · typical 6–8%
Ad fund
1.0%
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
87
Opened
3
Last reporting year
Closed
2
Turnover rate
2.3%
Company-owned
13
Corporate units in the system
% franchised
85%
vs corporate-owned
Net growth (yr3)
+0.0%
Net unit change last year
3-yr CAGR
+0.0%
Compounded over last 3 years
2022
74±0
Franchised units
2023
74
Franchised units
2024
74
Franchised units

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

Item 12 · 19 states 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.

19

states with franchisees (per FDD Item 12)

Government records

SBA Loan Data

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

Total loans
16
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

56
Risk · 0-100
MODERATE56 / 100

Tutoring Club presents CAUTION-level risk due to missing financial transparency (no Item 19), unclear franchisor stability (Going Concern = False), unknown unit growth, and high royalty burden without disclosed benchmarks for franchisee profitability.

Score breakdown · what drove the 56 / 100 rating

  1. 01MEDNo Item 19 financial disclosure (average revenue and net income not disclosed) — impossible to validate ROI claims or profitability benchmarks
  2. 02HIGHGoing Concern status is FALSE, indicating potential financial instability at the franchisor level
  3. 03MINOR87 units with unknown growth trajectory — no visibility into system momentum or franchisee retention rates
  4. 04MEDHigh royalty rate (10%) combined with undisclosed margins creates uncertainty about franchisee profitability at different revenue levels
  5. 05MINOR5-year term is shorter than industry standard (10 years typical), suggesting higher renewal/renegotiation risk
  6. 06MINORInvestment range of $88,750–$162,650 is wide (~83% variance), indicating inconsistent startup costs or unclear cost structure

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Territory
Radius
Protected territory
Yes
Initial term
5 years
Renewal term
5 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
3 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Nevada

Item 11

Training & Operations

Classroom training
80 hrs
On-the-job training
40 hrs
POS system
TutorAid
Operating tech stack

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
(360) 902-••••
WA
(213) 576-••••
CA

One-time purchase · CSV download · Validation questions included

FDD download

Tutoring Club · FDD (2024) PDF

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