The Goddard School
Goddard Systems, Inc. (GSI) is expanding The Goddard School® network of accredited childcare centers throughout the United States. Headquartered in King of Prussia, PA, Goddard Systems currently licenses over 370 franchised schools in 37 states for children aged between 6 weeks to 10 years old. Goddard School uses a dual management system: while the owner is on-site to oversee day-to-day management and operations, the education director focuses on curriculum and programming.
Goddard Systems is committed to providing an unsurpassed level of quality in the childcare industry. With a successful system in place and dedicated franchisees, GSI is an acknowledged leader in franchised childcare – with its sights set on becoming the premier childcare provider in the United States.
| |
Operating Units |
12/31/2008 |
12/31/2009 |
12/31/2010 |
|---|
| | Franchised |
320 |
357 |
371 |
| | % Change | -- |
11.6% |
3.9% |
| | Company-Owned | 0 | 0 | 0 |
| | % Change | -- | 0.0% | 0.0% |
| | Total |
320 |
357 |
371 |
| | % Change | -- |
11.6% |
3.9% |
| | Franchised as % of Total | 100.00% | 100.00% | 100.00% |
Investment Required
The fee for a Goddard School franchise is $135,000.
The Goddard School provides the following range of investments required to open your initial franchise. The range assumes that all items are paid for in cash. To the extent that you choose to finance any of these expense items, your front-end investment could be substantially reduced.
| |
Item | Established Low Range | Established High Range |
| | Franchise Fee | $135,000 | $135,000 |
| | Initial Training and Opening Assistance Fee | $35,000 | $35,000 |
| | Initial Advertising Contribution | $35,000 | $35,000 |
| | Real Estate Assistance and Support Fee | $30,000 | $30,000 |
| | Background Check | $2,500 |
$5,500 |
| | Furniture, Fixtures, and Equipment Package |
$139,000 |
$155,000 |
| |
Stationery, Forms, and Curriculum |
$12,000 |
$12,000 |
| |
Signs | $8,500 | $8,500 |
| | Computer Hardware, Telephone and Digital Signage Package |
$12,500 |
$12,500 |
| | Initial Promotional Package | $3,000 | $3,000 |
| | Security System Package | $11,000 | $11,000 |
| | Rent—Three Months | $30,000 | $45,000 |
| | Miscellaneous Opening Cost | $71,000 | $71,000 |
| | Advertising Contributions—Three Months | $6,000 | $6,000 |
| | Additional Funds—Three Months | $22,510 | $91,600 |
| | Total Investment (does not include applicable taxes or shipping costs) |
$553,010 |
$656,100 |
On-going Expenses
Goddard School franchisees pay royalty fees equal to 7% of gross receipts–royalty fees are reduced during the first year of operation, ranging from 2-6%, depending on how long the franchisee has been in business. Franchisees also pay a monthly advertising contribution equal to the greater of 4% of gross receipts or $2,000, and other fees including telephone service charges, directory advertising and convention registration fees and expenses.
Franchisee Satisfaction
A critical component of the due diligence process is that you, as a prospective franchisee, have a strong sense of existing franchisee satisfaction. Click here to download a summary of a recent independent survey of Goddard School's existing franchisees conducted by the Franchise Research Institute. You can also click here to download direct quotes from franchisees about their experience with Goddard School, taken from the same survey. Please note that, in order to ensure that the comments were candid (both good and bad), franchisee names were intentionally withheld from the report provided to the franchisor.
How do you rate Goddard School in terms of: |
Rating* |
|
|
Overall Quality of Franchisor |
94% |
|
|
Recommended to Prospective Franchisees |
92% |
|
|
Franchisor Understands that if I am Successful, They Will be Successful. |
87% |
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|
* Independent Audit of Existing Franchisees Who Rated Goddard School as Excellent, Very Good, or Good |
What You Get–Training and Support
Goddard School franchisees complete a 12-day, comprehensive training program covering all aspects of operation, marketing, customer service, staff hiring and training, and management of a school. Goddard School owners attend annual conferences and meetings to enhance the initial training with current research.
Goddard Systems provides on-going support in all aspects of managing and marketing a Goddard School. Franchisees receive support before their school opens in the form of site selection, demographic analysis, lease negotiation, construction management and equipment and furniture installation. Goddard Systems continues to support franchisees after the opening of the school with on-going professional development for teachers; guidance with sales, marketing and advertising; and help with budget and expense control.
Territory
The Goddard School does not grant exclusive territories, but controls the density of schools so that it does not exceed 1 per 10,000 households in the county in which the school is located.
Note: The tables and information regarding the number of operating units, investment required, on-going expenses, training and territory grants were taken from the company’s 2011 FDD. The 2011 write-ups will be incorporated into the 2011 Edition of Bond’s Hottest New Franchises publication.
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