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Education

Club Z! Franchise Cost Breakdown

Complete investment analysis based on official FDD data

Total Investment

$40,975 – $57,425

Franchise Fee

$27,250

Royalty Rate

6.0%

Initial Investment Range

Low: $40,975 High: $57,425

The total initial investment to open a Club Z! franchise ranges from $40,975 to $57,425, as disclosed in their Franchise Disclosure Document. This includes the one-time franchise fee of $27,250.

Midpoint estimate: $49,200

Franchise Fee

$27,250

One-time initial fee

The Club Z! franchise fee is a one-time upfront payment made to the franchisor when you sign the franchise agreement. This fee grants you the right to operate under the Club Z! brand and is included in the total initial investment range above.

Ongoing Fees

Royalty Fee

6.0%

of gross revenue

Ad/Marketing Fund

2.0%

of gross revenue

Total Ongoing Fee Burden: 8.0% of gross revenue

Combined royalty and advertising fund contributions before any other fees.

Other Ongoing Fees

Fee Type Rate Type Notes
Royalty/Support Fee 6.0 PCT Greater of percentage of Gross Sales or $550 minimum per month for up to 100,000 population. Tiered structure: 8% on first $10,000; 7% on $10,001-$20,000; 6% on sales over $20,000. Expanded territory (up to 200,000 population) pays flat 6% with $550 minimum. Waived for 2 months following training completion. Payable by 10th of month.
Advertising Fund 2.0 PCT Greater of 2% of Gross Sales or $50 per month. Commences 30 days after completion of training. Payable by 10th of month.
Club Z! Business Package 250.0 FIXED $250 per month starting 30 days from Franchise Agreement date. Increases to $300 in third year and remains $300 thereafter. Covers call center services, appointment setting, cold calling, live chat services, and customized Website. Paid via automatic credit card debit on 1st of month.
Software, Virtual Business Telephone Number, Web Hosting and Email Account 75.0 FIXED $75 per month starting first month after execution of Franchise Agreement. Includes local business telephone number, Web Hosting, and one Email Account. Additional email accounts available for $120 per account annually. Plus any applicable state taxes. Paid via automatic credit card debit on 1st of month.
Late Fees 1.67 PCT $100 initial fee plus 1.67% per day (or maximum interest rate permitted by state law if less) of amount due for each day after due date. Applies when Royalty/Support Fee and Advertising Fund Fee not received by 10th of month. Maximum 10% annually in California.
Initial Advertising Launch 1500.0 FIXED $1,500 per month for first 4 months only. Begins 1st day of month following Franchise Agreement signing. For initial launch advertising and marketing services executed by franchisor.
Conference Fee 295.0 FIXED Up to $295 per person charged for national or regional conferences held from time to time. Charged whether or not franchisee attends. Travel, food, and lodging are additional if attending.
Renewal Fee 250.0 FIXED $250 due at time of renewal. New franchise agreement with potentially different terms must be signed.
Transfer 2000.0 FIXED $2,000 due prior to consummation of transfer when Franchise is transferred.
Training of Transferee 3000.0 FIXED $3,000 due prior to consummation of transfer. Franchisor reserves right to increase fee based on current rates for similar services.
Virtual one-on-one on-line classroom training 1500.0 FIXED $1,500 only if franchisee requests virtual on-line training. Onsite classroom training is included with Franchise Fee. Payable at time of request.
Early Termination Fee N/A VARIABLE Varies under circumstances. Due if franchisee requests early termination without providing required 180 days written notice. Amount equals 180 days of minimum Royalty/Support and Advertising Fund Fees.
Costs and Attorneys' Fees N/A VARIABLE Varies under circumstances. Payable upon franchisee's failure to comply with Franchise Agreement.
Indemnification N/A VARIABLE Varies under circumstances. Franchisee must reimburse franchisor if held liable for claims arising from franchised business operations.

What You Get

Category

Education

Franchise Score

54

out of 100

Club Z! is an in-home and online tutoring franchise that delivers personalized academic instruction across all subjects and grade levels. The company focuses on improving student performance through customized learning plans and one-on-one educational support.

Financial Performance (Item 19)

Unit Growth & Failure Rate

Avg. Annual Closure Rate

N/A

Net Unit Growth

-34 units

From 2022 to 2024

Unit Activity History

Year Start Opened Closed Transfers End
2022 362 368
2023 368 347
2024 347 328

Is a Club Z! Franchise Worth It?

Based on the FDD data, here is a data-driven snapshot of the Club Z! franchise opportunity:

Overall Score

54/100

Moderate opportunity

Est. Payback Period

N/A

Insufficient data

Risk Level

N/A

Insufficient data

Club Z! shows a moderate score across our evaluation criteria. Careful due diligence is recommended. For a complete analysis including risk factors, deal-breaker flags, and detailed financial modeling, see the full report.

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