Goddard School

Goddard School, a The Goddard School Educational franchise, has been franchising since 1988 — 5 years after the concept was founded in 1983 , currently with 600 total locations in the education sector, headquartered in PA. According to the 2024 FDD, the total initial investment ranges from $721K to $931K — a 29% spread between the low and high end that reflects how site size, market, and buildout scope change the capital requirement. This figure includes the franchise fee of $135K, equipment, leasehold improvements, and initial working capital through the ramp-up period.

Ongoing royalties run 7.0% of gross sales with an additional 1.0% national advertising fund contribution, bringing the combined ongoing cost to 8.0% of every dollar in sales. Critically, Goddard School does disclose financial performance data in Item 19, a voluntary disclosure that only about a third of U.S. franchisors make. The reported average gross revenue per location is $2.2M, meaning the typical unit pays roughly $154K per year in royalty alone. Revenue is not profit — actual franchisee take-home depends on rent, labor, cost of goods, and local demand.

Network momentum is currently positive: Goddard School added units at a 4.2% net rate year-over-year (40 openings, 15 closures). Sustained positive growth is a signal that the unit-economics are working well enough to attract new operators, though late-stage growth can also reflect aggressive sales push rather than operational health. Before committing capital, triangulate this summary against the full FDD, a franchise attorney's review, and direct conversations with five or more current and former franchisees from Item 20.