Children's Art Classes Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$134,268 - $264,110
Franchise Fee
$19,950
Min Cash Required
$10,000
Total US Locations
14
Business Summary
Children's Art Classes franchisees operate a business that delivers a comprehensive art education and enrichment program to children aged 3-18. The program includes various art forms like painting, drawing, design, printmaking, sculpture, and ceramics, aiming to supplement or replace traditional art curriculum and provide hands-on experience. Classes are also open to adult participation (parents) and include a 9-month school-year curriculum and summer sessions.
Corporate History
CAC Franchising, LLC was formed as a Florida limited liability company on December 20, 2019, and began offering Children's Art Classes franchises in 2020. The Children's Art Classes concept originated with the first location opening in Roswell, New Mexico, in 1999. In 2009, an affiliate of CAC Franchising moved this original operation to Jacksonville, Florida, and continues to operate under the name Children's Art Classes LLC. Another affiliate, Jax Beaches LLC, has been operating Child Art Classes in Ponte Vedra Beach, Florida, since September 2018. These predecessor businesses are similar to the franchise opportunity now being offered.
Financial Overview
Investment Range
$134,268 - $264,110
Franchise Fee (Low)
$19,950
Franchise Fee (High)
$59,950
Minimum Cash Required
$10,000
Royalty %
8.25%
Equipment Costs (Low)
$27,000
Equipment Costs (High)
$108,000
Working Capital
$15,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Going concern qualification
Financial Health Notes
The franchisor's financial condition, as shown in its financial statements, raises questions about CAC Franchising, LLC's ability to provide services and support to franchisees. The auditors have concluded that there are conditions or events that raise substantial doubt about CAC Franchising, LLC's ability to continue as a going concern.
Financing Details
Children's Art Classes does not offer any direct or indirect financing to franchisees. It also does not guarantee any notes, leases, or other financial obligations for its franchisees.
Performance Metrics
Total US Locations
14
Franchised Units
12
Corporate Units
2
Avg Square Footage
1,400
Franchising Since
2020
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Children's Art Classes has no litigation or legal disputes to report.
Bankruptcy History
Children's Art Classes has no bankruptcy history to report for the franchisor or its key personnel.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their Children's Art Classes franchise agreement, franchisees must notify the franchisor between 90 and 180 days before their current term ends. They must be in full compliance with all contractual obligations to the franchisor and third parties, and have substantially complied with the franchise agreement and other agreements throughout the term. Franchisees must not have defaulted more than twice under the franchise agreement. They also need to comply with all ethical and value requirements, renovate their business to meet the then-current brand standards, and sign the franchisor's current form of franchise agreement and related documents, including a personal guaranty. A renewal fee of $5,000 is required, and franchisees must sign a general release of claims against the franchisor, unless prohibited by law.
Training & Support Program
Franchisor Assistance
Children's Art Classes provides franchisees with significant support throughout the setup and ongoing operation of their business. Before opening, the franchisor assists with reviewing potential locations and advising on the business layout. Franchisees receive an online training program for instructors, lists of approved suppliers for necessary equipment, signs, and inventory, and access to the Brand Standards Manual and proprietary course curriculum. An initial training program is also provided, and the franchisor offers advice on pre-opening business plans, financial projections, and market introduction plans. After opening, Children's Art Classes offers ongoing advice via phone or electronic communication for business improvement and problem-solving, with a fee for in-person support. They provide recommended pricing and administrative procedures, manage the Brand Development Fund (when established), and maintain a brand website that includes franchisee business information and online class registration.
Initial Training Hours
96
Training Location
Jacksonville, FL (with some components online/virtual)
Ongoing Support
After opening, Children's Art Classes provides ongoing advice and consulting to franchisees by telephone or electronic communication for business development and problem-solving, with a fee for in-person support. The franchisor offers recommended prices for products and services, as well as recommended procedures for administration, bookkeeping, accounting, and inventory control. They also administer the Brand Development Fund (once established) and maintain a brand website for all locations. Additionally, Children's Art Classes requires instructors to attend monthly virtual training sessions.
Franchise Requirements
Ideal Candidate Profile
Children's Art Classes is looking for franchisees who are designated as a "Principal Executive" for their business. This individual must be the owner primarily responsible for the business, hold at least a 10% ownership stake, and have decision-making authority. The Principal Executive must complete the initial training program, dedicate substantial time and attention to the business, and be present at the location for a minimum of 4 hours per week during the first 48 months of operation. The franchisor also looks for franchisees with strong management skill, experience, and business knowledge, and requires at least two qualified and trained instructors (one of whom can be the Principal Executive).
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Commercial
Owner Participation
Supervisory
Territory Type
Exclusive
Staff Count
2
Territory Size Requirements
Each Children's Art Classes franchise receives an exclusive territory defined by the franchisor. This territory will have a population of approximately 45,000 to 55,000 people, with at least 15% being children under 18. The boundaries can be described by a radius around the location, contiguous zip codes, street boundaries, county boundaries, or depicted on a map. If the territory is not defined in writing within 90 days of opening, it is automatically considered a three-mile radius from the school.
Staffing Notes
Each Children's Art Classes location is required to have at least two qualified and trained instructors, with the Principal Executive having the option to serve as one. While the franchisor recommends instructors have two years of teaching experience, an education degree, or an art degree, these are not mandatory. Franchisees are solely responsible for all hiring decisions and employment conditions. All employees and independent contractors must undergo initial and annual background checks. Franchisees must maintain adequate and trained staff levels to meet business demands and ensure excellent customer service. Instructors are also required to attend monthly virtual training sessions hosted by Children's Art Classes.