Twinkle Star Dance Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$111,635 - $174,935
Min Cash Required
$25,000
Total US Locations
8
Business Summary
Twinkle Star Dance operates dance studios that provide tap, ballet, jazz, hip-hop, and lyrical dance lessons for children and teens aged 2 and up. The studios offer a variety of dance styles, proprietary lesson plans, choreography, and programs for recitals, focusing on child development principles and fitness techniques. Twinkle Star Dance classes are designed to be fun and engaging, incorporating skill-building and center movement, and are open year-round with comfortable parent viewing areas.
Corporate History
Twinkle Star Dance Franchise, LLC was formed on February 7, 2020, and began offering franchises in January 2021. The dance studio concept itself was founded by Tiffany Henderson, with affiliates Tiffany's Dance Academy, Inc. operating since October 2000, and Tiffany's Dance Academy USA, LLC operating since September 2005. Another affiliate, Twinkle Star Dance, LLC, launched an internet subscription service for dance curriculum in March 2012. The franchise system builds upon the proprietary system, lesson plans, and choreography developed through these affiliated operations.
Financial Overview
Investment Range
$111,635 - $174,935
Franchise Fee (High)
$15,000
Minimum Cash Required
$25,000
Royalty %
5%
Marketing %
1%
Equipment Costs (Low)
$30,500
Equipment Costs (High)
$46,000
Working Capital
$37,500
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Twinkle Star Dance's financial condition, as reflected in its financial statements, calls into question its financial ability to provide services and support to franchisees. Although the company reported net income in 2022 and 2023, and moved to positive members' equity in 2023, these financial concerns are explicitly highlighted as a special risk for potential franchisees.
Financing Details
Twinkle Star Dance does not offer any direct or indirect financing for purchases, and it does not guarantee any notes, leases, or other financial obligations for franchisees. Franchisees are responsible for securing their own financing.
Performance Metrics
Total US Locations
8
Franchised Units
3
Corporate Units
5
Avg Square Footage
1,000
Franchising Since
2021
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Twinkle Star Dance has no litigation history to report, as no litigation is required to be disclosed in Item 3 of its Franchise Disclosure Document.
Bankruptcy History
Twinkle Star Dance has no bankruptcy history to report for itself or its key personnel, as no bankruptcy information is required to be disclosed in Item 4 of its Franchise Disclosure Document.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew, Twinkle Star Dance franchisees must meet several conditions. They must be in substantial compliance with the terms of their Franchise Agreement throughout the initial term and at the time of renewal, and have satisfied all monetary obligations to Twinkle Star Dance. Franchisees must provide written notice of their election to renew between 90 and 180 days before the initial term expires. They are required to remodel or refurbish their studio to the then-current brand standards as described in the Operations Manual and must sign Twinkle Star Dance's then-current franchise agreement, which may contain materially different terms and conditions. However, the territory boundaries will remain the same, and the royalty and advertising fees will not be higher than those imposed on other similarly-situated renewing franchisees. Finally, franchisees must sign a General Release.
Training & Support Program
Franchisor Assistance
Twinkle Star Dance provides extensive support to its franchisees, starting before the studio opens. This includes assigning an exclusive territory and protecting it from competition, and offering a one-week "Twinkle Star Dance Academy" training program at its Livermore, California headquarters for the owner and three additional staff members, covering management, operations, curriculum, and customer relations. The franchisor also provides a Site Selection and Build-Out Manual, offers guidance for finding and remodeling a studio, and reviews and approves proposed sites and lease terms. During the first week of opening, a staff member provides 3 to 5 days of on-site support in the franchisee's territory. Ongoing assistance from Twinkle Star Dance includes listing the studio's contact information on the franchisor's website and forwarding leads, maintaining a telephone and web advisory service for operational questions, and continuously identifying and evaluating new products and services for franchisees to implement. Franchisees are lent confidential Operations Manuals that are regularly updated. The franchisor may also hold annual conventions to discuss system improvements and industry trends, and develops advertising and marketing materials for franchisees' use. Additionally, Twinkle Star Dance helps franchisees launch their business with a Grand Opening Promotion program.
Initial Training Hours
64
Training Location
Twinkle Star Dance Headquarters in Livermore, CA and at the franchisee's territory
Ongoing Support
Twinkle Star Dance provides ongoing support to its franchisees through various channels. This includes listing the studio's contact information on the franchisor's website to generate leads and inquiries. Franchisees have access to a telephone and/or web advisory service for operational, administrative, sales, and management questions. Twinkle Star Dance continually identifies and evaluates new products and services, providing training for their implementation, along with best practices for pricing, team management, and industry developments. Franchisees are lent confidential Operations Manuals that are regularly updated. The franchisor may also hold annual conventions to discuss system improvements and industry trends, and develops advertising and marketing materials for franchisees' use.
Franchise Requirements
Ideal Candidate Profile
Twinkle Star Dance seeks franchisees who are committed to full-time involvement, dedicating their best efforts to managing and operating the business. If the franchisee is an individual, they must serve as the Studio Manager, or if an entity, one of the principal owners must fulfill this role. The Studio Manager must directly supervise daily operations, be present at the studio for at least 32 hours per week during normal operating hours, and have complete decision-making authority. Candidates for Studio Manager must meet Twinkle Star Dance's educational and business criteria, successfully complete the training program, and not have any conflicting business interests. Additionally, individuals owning 5% or more of the franchise entity must sign a personal guarantee.
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
exclusive
Territory Size Requirements
Twinkle Star Dance assigns a territory that is typically a portion of a city, defined by specific geographic or highway boundaries, or a group of zip codes. The size of the territory depends on population and demographics. While not usually described as a radius, Twinkle Star Dance aims to provide at least five miles of protection between the franchisee's location and the nearest other Twinkle Star Dance franchise.
Staffing Notes
Twinkle Star Dance requires franchisees to retain personnel as needed to operate and manage the studio, in addition to the owner's participation. The Studio Manager, who can be the franchisee or a principal owner if an entity, is required to directly supervise operations for at least 32 hours per week. The Studio Manager must meet Twinkle Star Dance's educational and business criteria, complete the initial training program, and not have any business relationships with competitors. Other key roles mentioned include a Lead Dance Instructor, a Customer Service Administrator, and Dance Instructors, all of whom may attend initial training. All management personnel are required to sign Non-Disclosure and Non-Competition Agreements.