ScorecardWorth It?HistoryDatabaseCompareDistress Signals
Education/TutoringRevenue OnlyItem 19: ✓ DisclosedHigh Confidence · 100/100FDD data: 2025 · Fresh

LearningRx Franchise Cost and Profit

FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for LearningRx.

Based on 2025 FDD · 7 filings in corpus

FranchiseIQ Score
71
B
Moderate-Low Risk
Composite score from 3 risk dimensions. Click for breakdown ↓
Health Score
D
45/100
6/7 metrics · High confidence
Full analysis unlocks:
✓ Cash-on-Cash return
✓ Payback period
✓ SBA default rate
✓ Red flags assessment
✓ Comparable franchises
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Cost and profit at a glance

How much does a LearningRx franchise cost and make?

Based on FDDIQ's FDD corpus, a LearningRx franchise shows an estimated initial investment of $201K – $388K. Reported owner economics show $197K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.

Startup Cost
$201K – $388K
Total initial investment
Profit / Revenue
$197K
FDD Item 19 signal
Payback Signal
1.5 years
Modeled return metric
SBA Default Rate
25.0%
Loan repayment history
Compare franchise costs →Estimate franchise ROI →Check SBA default rates →Browse Education/Tutoring franchises →Compare similar franchises →

Quick fee read: $40K franchise fee · 6% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.

Free decision snapshot

Before you talk to LearningRx, check the numbers buyers usually miss.

The unlocked report ties this brand's FDD disclosures to SBA outcomes, Item 20 movement, fee load, missing-data labels, and buyer assumptions — so you can decide whether this is worth deeper diligence.

FDD disclosure qualitySBA default outcomesItem 20 unit movementFee/cost stressComparable brands
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Total Investment Range$201K – $388K
MinMid: $295KMax

Key Metrics

Franchise Fee
$40K
Royalty Rate
5%
Ad Fund Rate
1%
Total Burden
6.0%
Royalty + ad fund
Units (2023)
88
0 vs prior yr
Net Unit Growth
→ 0.0%
Year over year
Cash-on-Cash Return
66.8%
Annual estimated return
Payback Period
1.5 yrs
Break-even timeline
SBA Default Rate
25.0%
vs ~7.2% industry avg
Median Revenue
$820K
Item 19 disclosed
Red Flags Assessment
HIGH: SBA default rate 25%
HIGH ×1
Premium Data

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CoC ReturnPayback PeriodSBA Default RateMedian RevenueEbitda MarginRisk Score
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Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.

LearningRx vs. Education/Tutoring Average

MetricLearningRxEducation/Tutoring Avg
SBA Default Rate25.0%▼7.2%
Cash-on-Cash Return66.8%▲15.5%
Total Investment$295K$250K

Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.

SBA Loan Performance

Real lending data from SBA 7(a) loans (2013-2025). 11 loans across 7 states.

Default Rate
25.0%
High Risk
Total SBA Loans
11
7 states
Total Loan Volume
$1.4M
SBA 7(a) approved
Avg Loan Size
$130K
Per franchisee
Loan Status Breakdown
4
Paid in Full (36%)
3
Currently Active
2
Charged Off (4.8% by $)
$69K
Total Charged Off ($)
● Paid● Active● Charged Off

Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.

Compare

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Arthur Murray
Limited Data
$71K–$253K
America’s Music School LLC
$255K–$545K
Mad Science
Revenue Only
$132K–$192K
Arthur Murray
$71K – $253K
America’s Music School LLC
$255K – $545K
Mad Science
$132K – $192K
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$22K – $25K

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Questions to Ask Before You Sign

5 data-driven questions every LearningRx franchise buyer should ask.

  1. 1.What is LearningRx's SBA default rate compared to its competitors?Learn more →
  2. 2.Does LearningRx disclose Item 19 financial performance representations?Learn more →
  3. 3.What is the net unit growth trend over the past 3 years?Learn more →
  4. 4.What is the franchisee termination and transfer rate per Item 20?Learn more →
  5. 5.What do the FDD litigation disclosures (Item 3) reveal about franchisor legal history?Learn more →
Generate attorney questions for LearningRx →Validation call guide →
Data sourced from publicly filed Franchise Disclosure Documents (FDDs) submitted to state franchise regulators. SBA loan data from public SBA 7(a) records. Information reflects the most recent FDD filing in our database and may not reflect current terms. Always verify with the franchisor's current FDD before making any investment decision. Not legal or financial advice.

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