Seriously Addictive Mathematics

Your franchise fee of $25,000 is significantly lower than the typical range of $40,000-$55,000 for education franchises. What additional investments or startup costs should franchisees anticipate that may not be included in this fee?

The technology fee is only $50 monthly compared to a typical range of $122-$474. What specific technology services and support are included, and could this fee increase in the future?

Your Financial Performance score is 40/100, below the typical range of 54-60 for this category, and you do not provide Item 19 financial disclosures. What financial performance data can you share with prospective franchisees to help them evaluate unit economics?

In 2023, one unit closed and one transferred despite the system having only 13 units at that time. What were the circumstances of the 2023 closure, and what support did you provide to that franchisee?

The system grew from 13 to 18 units in one year (38.5% growth). How many of these 5 new units are from new franchisees versus transferred/re-opened units, and what is the onboarding timeline for new franchisees?

Your initial contract term is only 5 years compared to a typical range of 10 years for education franchises. Why did you choose a shorter initial term, and what is your renewal process like after year 5?

The renewal agreement requires meeting 11 specific conditions plus a $7,500 non-refundable fee. What are these 11 renewal conditions, and how many franchisees have successfully renewed since the system began?

Your non-compete restriction extends 50 miles, which is double the typical range of 10-25 miles. How did you determine this 50-mile radius, and are franchisees restricted from any competing tutoring services or only from operating another SAM location?

The agreement specifies 19 non-curable defaults and only a 5-day cure period for payment defaults. Can you provide specific examples of non-curable defaults, and have any franchisees been terminated for defaults other than non-payment?

All holders of 5% or greater interest must execute personal guarantees. Does this mean franchisees are personally liable for the full contract obligations, and what scenarios would trigger enforcement of these personal guarantees?

Franchisees must purchase fixtures, furnishings, and signs exclusively from franchisor-approved suppliers. What is the approval process for suppliers, and can franchisees request to use alternate suppliers if they find better pricing or quality?

The agreement mentions minimum student enrollment performance requirements. What is the specific enrollment threshold, how frequently is it measured, and what happens if a franchisee falls below the requirement?

Late payments incur 1.5% monthly interest (18% annually) plus other penalties. What are these additional penalties, and has this penalty structure been applied to franchisees in the past?

Given your Contract Terms score of 48/100 (below the typical 60-65 range), what contract provisions do you consider most important to protect both the franchisor and franchisee interests?

Can you explain the 2023 closure in detail: Was it due to performance issues, personal circumstances, or other factors? What training and support had been provided to that franchisee?

You provide territory exclusivity and encroachment protection. How do you define the territory boundaries, and what happens if a student moves from one territory to another—can the original franchisee still service them?

What is your definition of 'competitive business' under the 2-year, 50-mile non-compete restriction? Would a franchisee be prohibited from tutoring in general, or only from operating another SAM franchise?

The franchise agreement requires capital expenditures for renewal beyond the $7,500 fee. What is the typical capital expenditure range franchisees should expect at renewal, and what improvements must be made?

With zero litigation over the franchise's history, have any disputes been resolved through arbitration or informal settlement rather than court proceedings?

What support and training do you provide to new franchisees in their first year, and what ongoing support services are included in the monthly $50 technology fee?