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Goldfish Swim School Franchise ProfileChildren’s Franchises > Children's Fitness |
Investment Overview for Goldfish Swim School Franchise
To open a Goldfish Swim School franchise, you should anticipate an initial investment ranging from $1,673,263 to $3,728,930. This includes a franchise fee of $50,000. Additionally, you will need to maintain a cash reserve of $250,000 to $350,000 and have a net worth between $500,000 and $1,000,000. Understanding these financial commitments is crucial for aspiring franchisees to ensure they are fully prepared for the venture.
Revenue Potential for Goldfish Swim School Franchise
Goldfish Swim School franchises report impressive financial performance, with an average annual revenue of $2,140,599 per unit. The median revenue is slightly lower at $2,078,516, while some locations have achieved revenues as high as $5,419,558. This highlights the potential for profitability in the swim school industry, making it an attractive option for investors looking to enter a growing market.
Operational Insights for Goldfish Swim School Franchise
Franchisees can expect to manage operating expenses that average $1,429,829 annually, which includes payroll, rent, and marketing costs. Notably, payroll and related expenses represent a significant portion of these costs, totaling $726,139. Understanding these operational dynamics is vital for effective budgeting and financial planning, ensuring that franchisees can maintain a healthy profit margin.
Growth and Expansion of Goldfish Swim School Franchise
Goldfish Swim School has experienced steady growth, increasing from 108 franchised units in 2021 to 137 in 2023. The company also expanded its corporate presence, with four corporate units now in operation. This trend indicates a strong demand for swim education services and the brand's commitment to expanding its footprint, presenting an exciting opportunity for potential franchisees to join a thriving network.
Goldfish Swim School Franchise Financial Requirements
Below, you’ll find an overview of the initial investment needed to launch the business, along with the ongoing fees required by the franchisor to maintain operations over time.
The minimum total assets (minus liabilities) you must possess.
Net Worth Required:
The estimated period to recoup your total investment.
Investment Payback:
The initial fee paid to join the franchise system.
Franchise Fee:
Ongoing percentage of revenue paid to the franchisor.
Royalty Fee:
Regular contribution toward the franchise’s advertising fund.
Marketing Fee:
The estimated timeframe to recover your initial costs.
Breakeven Time:
The total amount required to launch the franchise.
Initial Investment:
The minimum liquid capital you must have on hand.
Cash Required:
The typical yearly revenue generated per franchise location.
Average Revenue:
The middle value of yearly revenue among franchise locations.
Median Revenue:
The largest reported annual revenue among franchisees.
Highest Revenue:
The smallest reported annual revenue among franchisees.
Lowest Revenue:
A broad sector defining similar types of franchise businesses.
Industry:
A more specific division within the broader industry.
Category:
The key individuals guiding the franchise’s strategy and growth.
Leadership:
The official business address of the franchisor’s headquarters.
Corporate Address:
Available financing options to help start the franchise.
Funding Year:
The main organization that owns the franchise brand.
Parent Company:
Goldfish Swim School Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2021 | 2022 | 2023 |
|---|---|---|---|
| Total Units | 109 | 122 | 141 |
| Net Change YoY | 13 | 19 | |
| Franchised Units | 108 | 121 | 137 |
| Net Change YoY | 13 | 16 | |
| Corporate Units | 1 | 1 | 4 |
| Net Change YoY | 0 | 3 |
Initial Investment
The Goldfish Swim School franchise requires an initial investment ranging from $1,673,263 to $3,728,930. This investment covers various startup costs, including the franchise fee, equipment, and facility setup, ensuring franchisees are well-equipped to launch their swim school successfully.
Franchise Fees
The initial franchise fee for Goldfish Swim School is $50,000. Franchisees are also subject to a royalty fee of 6% of gross sales and a marketing fee of 2%. These fees contribute to the ongoing support and resources provided by the franchisor, helping franchisees thrive in their local markets.
Financial Performance
On average, Goldfish Swim School units generate an annual revenue of approximately $2,140,599, with a median revenue of $2,078,516. The revenue range varies significantly, with the lowest annual revenue reported at $502,033 and the highest at $5,419,558, showcasing the potential for profitability across different locations.
Breakeven and Payback
Franchisees can expect to reach breakeven within about 18 months of operation. The investment payback period is estimated at 20 months, allowing franchisees to recover their initial investment relatively quickly, which is crucial for long-term financial planning.
Required Financial Qualifications
To qualify for a Goldfish Swim School franchise, prospective franchisees must have a net worth between $500,000 and $1,000,000. Additionally, a cash requirement of $250,000 to $350,000 is necessary to ensure that franchisees have the financial resources to support their business during the initial stages.
Growth of Franchise Units
Goldfish Swim School has shown consistent growth in the number of franchised units, increasing from 108 in 2021 to 137 in 2023. This growth reflects the brand's expanding presence and popularity, making it an attractive opportunity for new investors looking to enter the franchise market.
Frequently Asked Questions
The initial investment for a Goldfish Swim School franchise ranges from approximately $1,673,263 to $3,728,930, which includes the franchise fee and other startup costs.