Casa de Corazon Franchise
Cost, fees, owner earnings, closure rate and litigation for a Casa de Corazon franchise — pulled from the franchisor's own public FDD (2026), not its sales material.
Disclosure honesty
Casa de Corazon discloses earnings (Item 19) — but the grade is how honestly. We graded it B.
What their own earnings claim actually says
Provides 2025 revenue/expense data for 8 mature centers (4 affiliate, 4 franchised). Net operating income ranges $306k-$616k. Excludes depreciation, interest, debt, taxes. Unaudited figures.
What a Casa de Corazon franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $70,000 | Item 5 — paid up front, before you open |
| Royalty | 7% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 2% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 9% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $1,014,800 – $5,357,600 | Item 7 — franchisor's own low/high estimate |
7% royalty, 2% brand fund, $705/mo technology fee. $20k grand opening ad spend required. Refundable only per Item 10.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Casa de Corazon system size and owner turnover
| Total outlets | 10 |
| Ceased operations | 0 |
| Terminated by franchisor | 1 |
| Transferred to new owners | 0 |
| Closure rate | 0.0% of outlets |
One 2023 termination; one reacquired 2023. No 2024-2025 closures. Modest system.
From Item 20 of the FDD 2026. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Casa de Corazon worth it? — how it compares to 60 similar franchises
| Ongoing fees | 9% of sales | lower than most (median 9%) |
| Startup cost | from $1,014,800 | pricier than 88% of peers |
| Disclosure honesty | Grade B | more honest than 75% of children's education & childcare franchises |
| Closure rate | 0.0% of outlets | better than most (median 1.4%) |
| Disclosed lawsuits | 1 | more litigious than 65% of peers |
Benchmarked against every children's education & childcare franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a Casa de Corazon
The franchisor's framing: Provides 2025 revenue/expense data for 8 mature centers (4 affiliate, 4 franchised). Net o… We reconstruct what an owner actually keeps, from their own FDD.
- Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
- Break-even timeline + cash-on-cash ROI
- Full fee stack + required-purchase markups
- Decoded real failure / closure rate
- How it ranks vs comparable franchises
- Validation-call playbook — the exact questions to ask
See a full sample report → · 30-day guarantee
Casa de Corazon franchise — frequently asked
- How much does a Casa de Corazon franchise cost?
- The FDD lists a total initial investment of about $1,014,800–$5,357,600, including a $70,000 initial franchise fee.
- How much do Casa de Corazon franchise owners make?
- Provides 2025 revenue/expense data for 8 mature centers (4 affiliate, 4 franchised). Net operating income ranges $306k-$616k. Excludes depreciation, interest, debt, taxes. Unaudited figures. We grade this disclosure B for honesty.
- What are the Casa de Corazon franchise fees?
- Casa de Corazon's FDD discloses a $70,000 initial franchise fee, a 7% royalty on gross sales, a 2% advertising-fund contribution, for roughly 9% of gross sales in recurring fees before rent, labor, or debt service. 7% royalty, 2% brand fund, $705/mo technology fee. $20k grand opening ad spend required. Refundable only per Item 10.
- What is the Casa de Corazon franchise profit margin?
- Casa de Corazon does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Provides 2025 revenue/expense data for 8 mature centers (4 affiliate, 4 franchised). Net operating income ranges $306k-$616k. Excludes depreciation, interest, debt, taxes. Unaudited figures. Recurring fees alone take about 9% of gross sales, before rent, labor, food or debt service. Margin has to be reconstructed from the disclosure, not read off it.
- What is the Casa de Corazon franchise failure rate?
- One 2023 termination; one reacquired 2023. No 2024-2025 closures. Modest system.
- How many Casa de Corazon locations are there?
- Casa de Corazon's FDD reports 10 total outlets, with 0 that ceased operations in the most recent reporting year and 0 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Casa de Corazon have complaints or lawsuits?
- Casa de Corazon discloses 1 legal matter in Item 3 of its FDD. Item 3 covers the franchisor's litigation history, which is the closest thing to a public record of how it treats franchisees — read the case descriptions, not just the count.
- Is a Casa de Corazon franchise worth it?
- It depends on the numbers, not the pitch. Casa de Corazon scores B on disclosure honesty, carries about 9% of sales in ongoing fees, and discloses 1 legal matters. Get the real owner take-home before you sign.
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Source: WI DFI Franchise Registration (2026). FranchiseValidate is independent and not affiliated with Casa de Corazon or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.