The Tutoring Center Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$85,101 - $162,475
Franchise Fee
$20,000
Total US Locations
73
Business Summary
The Tutoring Center Franchise Corp. grants franchises for learning centers that specialize in after-school tutoring services for school-age children. These services cover subjects like reading, math, writing, pre-algebra, algebra 1 and 2, geometry, test preparation, and study skills. The Tutoring Center also offers an optional SAT/ACT Test Prep Program for qualified franchisees.
Corporate History
The Tutoring Center Franchise Corp. was formed as a California corporation on January 19, 2005, and began offering franchises that same year. Its predecessor, The Tutoring Center, Inc. (TTCI), was formed in May 1999 and assigned its trademark rights to The Tutoring Center Franchise Corp. in 2013 before dissolving in 2014. An former affiliate, iQuest Distribution, operated from 2017 to 2021, producing student workbooks, with its operations then absorbed into The Tutoring Center Franchise Corp. The company's main focus is granting franchises for learning centers specializing in after-school tutoring services and an optional SAT/ACT Test Prep Program.
Financial Overview
Investment Range
$85,101 - $162,475
Franchise Fee (Low)
$20,000
Franchise Fee (High)
$32,000
Equipment Costs (Low)
$25,500
Equipment Costs (High)
$78,500
Working Capital
$3,300
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The Tutoring Center Franchise Corp.'s financial statements received an unqualified opinion from its independent auditor, indicating that the financial position is presented fairly in all material respects. The company's net income has decreased from $388,903 in 2022 to $123,612 in 2024, and cash and cash equivalents have also decreased from $569,947 in 2022 to $274,679 in 2024. A lawsuit filed in February 2024 against The Tutoring Center Franchise Corp. was dismissed in October 2024, and no liability was recognized for this matter as of December 31, 2024.
Financing Details
The Tutoring Center Franchise Corp. does not offer any direct or indirect financing to its franchisees. This means that franchisees will need to secure their own funding for the initial investment and ongoing operations, as The Tutoring Center Franchise Corp. will not guarantee any notes, leases, or obligations. While The Tutoring Center Franchise Corp. itself does not provide financing, it notes that some of its approved third-party vendors may offer financing to qualified franchisees for their purchases, though The Tutoring Center Franchise Corp. has no control over these vendors' financing policies.
Performance Metrics
Total US Locations
73
Franchised Units
73
Corporate Units
0
Franchising Since
2005
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
The Tutoring Center Franchise Corp. has no litigation history that is required to be disclosed in this document. This indicates that The Tutoring Center Franchise Corp. has not been involved in any material litigation or bankruptcy proceedings that would typically be reported in an FDD.
Bankruptcy History
The Tutoring Center Franchise Corp. has no bankruptcy history to report for the franchisor or its key personnel. No bankruptcy information is required to be disclosed in Item 4 of this document.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise agreement with The Tutoring Center Franchise Corp., franchisees must meet several conditions. They must not be in default of any agreement with The Tutoring Center Franchise Corp., ensure their center is fully compliant with all current specifications and standards, and demonstrate the right to continue occupying their leased premises. Franchisees are also required to comply with all qualification and training requirements, provide written notice of their intent to renew between 90 days and 6 months before the initial term expires, and be current on all financial obligations. Additionally, they must sign The Tutoring Center Franchise Corp.'s then-current franchise agreement (which may have different material terms and fees) and pay a renewal fee of $5,000 (subject to inflation adjustments). A General Release must also be provided to The Tutoring Center Franchise Corp. by the franchisee and all owners.
Training & Support Program
Franchisor Assistance
The Tutoring Center Franchise Corp. provides extensive support to its franchisees. Before opening, The Tutoring Center Franchise Corp. assists with approving the proposed location and lease, provides initial training (Franchise Training Part #1 for 6 days and Part #2 for 5 days at a mentor's center), offers standard plans and specifications for the center's construction and design, lends a confidential operating manual (in digital format, with over 750 pages of supporting documents), and provides pre-opening assistance with checklists and vendor information. During operation, The Tutoring Center Franchise Corp. offers ongoing assistance via telephone, email, and other electronic media. It may require attendance at mandatory additional training programs, modify the operating manual and the System, and provide advertising templates. Franchisees also receive continuing assistance in operations through multimedia training, online franchise meetings, monthly newsletters, and direct contact for questions. The Tutoring Center Franchise Corp. may inspect centers physically or electronically and update approved supplier lists.
Initial Training Hours
80
Training Location
Long Beach, California
Ongoing Support
The Tutoring Center Franchise Corp. provides ongoing support through various channels. Franchisees can receive additional assistance via telephone, email, or other electronic media as needed. The Tutoring Center Franchise Corp. may require franchisees to attend mandatory additional training programs at its corporate training facility in Long Beach, California, or another designated location, and refresher training is mandated at the end of the first year of operation. Franchisees are also required to participate in ongoing mentor training for their first 6 months to one year after opening, which involves emails and telephone calls. The company may also conduct regional seminars, for which a $300 annual fee is charged, and potentially hold annual conventions. The Tutoring Center Franchise Corp. continually updates its operating manual, system, and approved supplier lists. It offers continuing assistance through multimedia training programs, online franchise meetings, monthly newsletters, and direct contact. The Tutoring Center Franchise Corp. may also inspect centers and recommend suggested prices for products and services.
Franchise Requirements
Ideal Candidate Profile
The Tutoring Center seeks owner-operators who are committed to managing their center directly or ensuring competent personnel are in place. Ideal candidates, referred to as 'Designated Owners,' must be dedicated to adhering to the franchisor's operational standards, policies, and procedures, attending and successfully completing all required training programs. They should possess the drive to actively promote and increase the sales and delivery of the center's products and services, maintaining the center's appearance and condition consistent with brand standards. They are responsible for staffing and ensuring their employees meet training requirements.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Retail
Owner Participation
Full-Time
Territory Type
Protected
Staff Count
3
Territory Size Requirements
The Tutoring Center Franchise Corp. grants a limited protected territory. If a specific Approved Location is identified when the franchise agreement is signed, the territory is defined by a map attached to Schedule A of the Franchise Agreement. If no map is provided, the territory is established as the area within a 5-mile radius from the front door of The Tutoring Center location, measured by a straight line using a global positioning system (GPS).
Staffing Notes
The Tutoring Center Franchise Corp. generally suggests that an opening center begins operations with at least a Head Instructor, a Center Director, and one other instructor. The Designated Owner is responsible for managing the center and must provide full-time effort, being present during operating hours or immediately available to the Center Director. Any hired Center Director must complete Franchise Training Part 1 before managing day-to-day operations, while the Head Instructor receives training from the Designated Owner. Franchisees must conduct weekly in-house staff meetings, reviewing materials supplied by The Tutoring Center Franchise Corp. The Designated Owner must also keep The Tutoring Center Franchise Corp. informed of any outside employment or principal positions they undertake.