Learning Express Franchise
Cost, fees, owner earnings, closure rate and litigation for a Learning Express franchise — pulled from the franchisor's own public FDD (2020), not its sales material.
Disclosure honesty
Learning Express discloses earnings (Item 19) — but the grade is how honestly. We graded it D.
What their own earnings claim actually says
Average/median sales 2017-2019 reported. 41% stores exceeded average ($730k). No profit/expense analysis provided. Data unaudited; toy industry noted for fluctuating sales.
What a Learning Express franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $35,000 | Item 5 — paid up front, before you open |
| Royalty | 5% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 1% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 6% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $181,794 – $318,594 | Item 7 — franchisor's own low/high estimate |
$1,500 minimum monthly royalty; 3.5% credit card fee; $15k transfer fee; ancillary fees for POS, gift cards, marketing services.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Learning Express system size and owner turnover
| Total outlets | 103 |
| Ceased operations | 10 |
| Terminated by franchisor | 0 |
| Transferred to new owners | 3 |
| Closure rate | 9.7% of outlets |
10 closures in 2019; declining system (121→103 outlets 2017-2019). 3-year average 8 closures/year.
From Item 20 of the FDD 2020. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Learning Express worth it? — how it compares to 60 similar franchises
| Ongoing fees | 6% of sales | lower than most (median 9%) |
| Startup cost | from $181,794 | about average (median $191,992) |
| Disclosure honesty | Grade D | less honest than most of the category |
| Closure rate | 9.7% of outlets | worse than 87% of peers |
| Disclosed lawsuits | 0 | fewer than most |
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 Learning Express
The franchisor's framing: Average/median sales 2017-2019 reported. 41% stores exceeded average ($730k). No profit/ex… 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
Learning Express franchise — frequently asked
- How much does a Learning Express franchise cost?
- The FDD lists a total initial investment of about $181,794–$318,594, including a $35,000 initial franchise fee.
- How much do Learning Express franchise owners make?
- Average/median sales 2017-2019 reported. 41% stores exceeded average ($730k). No profit/expense analysis provided. Data unaudited; toy industry noted for fluctuating sales. We grade this disclosure D for honesty.
- What are the Learning Express franchise fees?
- Learning Express' FDD discloses a $35,000 initial franchise fee, a 5% royalty on gross sales, a 1% advertising-fund contribution, for roughly 6% of gross sales in recurring fees before rent, labor, or debt service. $1,500 minimum monthly royalty; 3.5% credit card fee; $15k transfer fee; ancillary fees for POS, gift cards, marketing services.
- What is the Learning Express franchise profit margin?
- Learning Express does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Average/median sales 2017-2019 reported. 41% stores exceeded average ($730k). No profit/expense analysis provided. Data unaudited; toy industry noted for fluctuating sales. Recurring fees alone take about 6% 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 Learning Express franchise failure rate?
- 10 closures in 2019; declining system (121→103 outlets 2017-2019). 3-year average 8 closures/year.
- How many Learning Express locations are there?
- Learning Express' FDD reports 103 total outlets, with 10 that ceased operations in the most recent reporting year and 3 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Learning Express have complaints or lawsuits?
- Learning Express discloses no material litigation in Item 3 of the filing we reviewed. That's a positive signal, though it covers only what the franchisor is required to report.
- Is a Learning Express franchise worth it?
- It depends on the numbers, not the pitch. Learning Express scores D on disclosure honesty, carries about 6% of sales in ongoing fees. Get the real owner take-home before you sign.
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Compare Learning Express to similar franchises
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Source: MN CARDS 10921-202003-02 (Clean FDD 2020). FranchiseValidate is independent and not affiliated with Learning Express or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.