Casa De Corazon Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$916,300 - $4,268,100
Franchise Fee
$35,000
Total US Locations
8
Business Summary
Casa de Corazon operates Spanish immersion intercultural early childhood learning centers that provide educational programs for children aged six weeks to five years. The centers use a unique operating system that includes a specified curriculum, proprietary supplemental curriculum, and food recipes. Casa de Corazon centers follow an "environmentalism" approach, meaning all meals are made on-site using organic and locally sourced natural whole foods, and centers must implement recycling and composting standards. The curriculum is designed to prepare students for kindergarten and assist with developmental stages, covering core components of early childhood education as determined by the National Association for the Education of Young Children (NAEYC). Each center must be equipped to accommodate at least 122 students.
Corporate History
Casa Franchising, LLC was formed on June 20, 2016, and began offering Casa de Corazon franchises in the summer of the same year. The brand's roots trace back to its owner, Natalie Standridge, who started in the child care industry in 2002 with a home-based center. In 2006, Ms. Standridge co-founded her first bilingual non-home-based center in Minneapolis. Between 2010 and 2014, four additional centers were opened. In 2015, Ms. Standridge became the sole owner of Casa de Corazon, Inc., an affiliate of the franchisor. At that time, three of the existing centers were rebranded as Casa de Corazon centers, a new curriculum was introduced, and an environmentalism approach was adopted. The affiliate, Casa de Corazon, Inc., subsequently opened a fourth center in Rochester, Minnesota in early February 2023, and acquired another center in Edina, Minnesota in May 2023.
Financial Overview
Investment Range
$916,300 - $4,268,100
Franchise Fee (Low)
$35,000
Franchise Fee (High)
$70,000
Royalty %
7%
Marketing %
2%
Equipment Costs (Low)
$355,000
Equipment Costs (High)
$465,000
Working Capital
$200,000
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Unqualified opinion
Financial Health Notes
Casa Franchising, LLC's financial health shows a positive trend in 2024 with a net income of $204,367 and positive working capital, following a net loss of $135,947 and negative working capital in 2023. The company's auditors issued an unqualified opinion for the fiscal years ending December 31, 2024, 2023, and 2022. However, the Minnesota Department of Commerce has imposed a financial assurance requirement on Casa Franchising, LLC due to its financial condition, leading the company to obtain a surety bond.
Financing Details
Casa Franchising, LLC's affiliate may offer financing assistance to select franchisees for the acquisition of their Casa de Corazon franchise and the development of their center. The loan amounts typically range from $100,000 to $200,000, specifically for center development, with franchisees needing to secure additional funds. The interest rate is the Wall Street Journal's prime rate, adjusted annually. Payments are structured into 71 equal monthly installments, beginning on September 1, 2026, with no penalty for prepayment. The loan is secured by a security interest in the franchisee's assets, which is subordinate to any SBA loans. If a franchisee owns the real property, they must also grant a mortgage, which is likewise subordinate to SBA loans. Franchisee owners are required to personally guarantee the loan. Defaults can lead to immediate repayment of the loan and termination of the franchise agreement.
Performance Metrics
Total US Locations
8
Franchised Units
4
Corporate Units
4
Avg Square Footage
9,250
Franchising Since
2016
Legal & Compliance Analysis
Recent Litigation
Yes
Bankruptcy
No
Litigation Count
1
Litigation Summary
Casa Franchising, LLC is involved in one ongoing litigation case, Nicholas Kamp, et al v. Natalie Standridge, Casa Franchising, LLC et al. This dispute arose from a relationship between Mr. Kamp and Natalie Standridge, the owner of Casa Franchising, LLC, which led to a Confidential Settlement Agreement & Release on April 24, 2023. Mr. Kamp initiated a new lawsuit on November 27, 2025 (after the FDD issuance date), attempting to nullify the Settlement Agreement. He alleges that Ms. Standridge's police report was false and that he signed the agreement under duress due to an ongoing criminal investigation. Mr. Kamp claims defamation, abuse of legal process, malicious prosecution, intentional infliction of emotional distress, tortious interference, violation of the Minnesota Franchise Act, an alleged ownership interest in Casa Franchising, LLC, and promissory estoppel and unjust enrichment, seeking damages over $50,000. Casa Franchising, LLC vehemently denies all allegations. A motion to dismiss, motion for sanctions, and motion for leave to file confidentially was heard on February 7, 2025.
Bankruptcy History
Casa Franchising, LLC has no bankruptcy information required to be disclosed.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew a Casa de Corazon franchise, franchisees must provide at least 210 days' prior written notice of their intent to renew. They must be in good standing, having complied with all agreement provisions and operated the center according to the System of Operation. The franchisee is also required to upgrade the center and its equipment to meet current brand standards, provide evidence of property control for the renewal term, sign a general release, and pay a renewal fee of $7,500. They will also need to sign Casa Franchising, LLC's then-current franchise agreement, which may have different terms from their original agreement.
Training & Support Program
Franchisor Assistance
Before a Casa de Corazon center opens, Casa Franchising, LLC assists franchisees by providing a search area to locate their center, offering market analysis and site selection services at no additional cost, and designating a development or designated territory. Franchisees receive a sample interior layout, a 3D rendering, and preliminary plans for a typical center. Casa Franchising, LLC reviews proposed leases, provides a webpage for advertising, and offers an initial 80-hour training program for the franchisee, two directors, and an operations manager. Franchisees also gain electronic access to manuals, receive various operational forms, and purchase introductory supplemental curriculum from an affiliate. One day of on-site support is provided immediately before opening. After opening, Casa Franchising, LLC offers another day of on-site support within 14 days, telephone support during business hours, and training for new directors or operations managers. The franchisor also manages the Brand Fund, supplies monthly supplemental curriculum and meal preparation guides with recipes, and sells operational items through its affiliate. Additional training is available for curriculum and assessment, operational issues, and facility managers, with some costs applicable after initial training.
Initial Training Hours
80
Training Location
Corporate offices in Minnesota
Ongoing Support
After opening, Casa de Corazon provides one day of on-site support within the first 14 days. Franchisees receive telephone support during normal business hours for operating issues. Ongoing training includes a New Director/Operations Manager Training Program for new hires, curriculum and assessment training for teachers (initial training is free, subsequent training is $150 per hour plus expenses), and operational training for financial matters and to maintain competitiveness or standards. Franchisees or approved representatives must attend any mandatory conventions. Casa Franchising, LLC maintains and administers the Brand Fund, provides monthly supplemental curriculum and meal preparation guides with proprietary recipes, and its affiliate sells various operational items. Additional, optional training for facility managers is also available for a fee.
Franchise Requirements
Ideal Candidate Profile
Casa de Corazon is looking for franchisees who have some management experience and a college degree. While no prior experience in operating a child care center is required, franchisees (or the majority owner if an entity) must be involved in the day-to-day operation of the center and be the license holder as required by state law. If the franchisee is not personally overseeing the center full-time, an Operations Manager must be retained. Both the Operations Manager and the Center's Director must have management experience, be Spanish/English bilingual, and hold a college degree.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
retail
Owner Participation
Full-Time
Territory Type
Non-Exclusive
Staff Count
15
Territory Size Requirements
Casa de Corazon's Designated Territory for a franchisee will typically be the lesser of a 3-mile radius around the center or an area encompassing 10,000 households. The exact size and shape of the territory can be influenced by factors such as whether the center is in a metropolitan area, its physical size, and the number of students it is licensed to care for. If a center does not achieve or maintain 90% of its licensed student capacity on a full-time equivalency basis by its second anniversary or annually thereafter, Casa Franchising, LLC may reduce the size of the Designated Territory.
Staffing Notes
Casa de Corazon centers typically operate with 15 employees, including two full-time Directors. If the franchisee is not directly involved full-time in overseeing the center, an Operations Manager must be hired. Both Directors and the Operations Manager must have management experience, be Spanish/English bilingual, and hold a college degree. All staff, including the Operations Manager, must pass background checks. Each teacher is required to complete Curriculum and Assessment Training within one year of starting classroom teaching. The franchisee is responsible for providing initial training to all staff to meet Casa Franchising, LLC's requirements, as well as any annual mandatory trainings. Staff must wear apparel meeting franchisor standards and be licensed as required by applicable law.