STEM Builders Learning Center franchise unit economics
STEM Builders Learning Center franchisees run STEM enrichment businesses that sell science, technology, engineering and math classes, camps and parties for elementary and middle-school students, from a leased center or at partner sites.
STEM Builders Learning Center franchise at a glance
STEM Builders Learning Center’s 2026 FDD, issued 13 April 2026, makes no financial performance representation in Item 19, so it gives no sales or profit figure. A STEM Builders Learning Center franchise costs $71,500 to $104,700 to open in the Classic Model and $45,000 to $55,900 in the Studio Model, each including the $25,000 initial fee.
- STEM Builders Learning Center charges a 7% royalty, a 2% National Brand Fund fee and a required 5% local marketing spend, 14%* of gross revenues in all.
- Each of the three STEM Builders Learning Center charges has a monthly minimum: together $900* a month in the Classic Model and $750* in the Studio Model.
- STEM Builders Learning Center may raise the National Brand Fund fee to the greater of 4% of gross revenues or $250 a month.
- STEM Builders Learning Center had 4 outlets at the end of 2025, 3 franchised and 1 company-owned, and the franchisor states it sold no franchises in 2025.
- A STEM Builders Learning Center franchise has an exclusive territory set by zip codes, and the franchisor and its affiliate reserve no other sales channels inside it.
- The franchisor, STEM Builders Learning Center, LLC of Plymouth, Minnesota, has offered franchises since 2018.
These figures come from STEM Builders Learning Center's 2026 Franchise Disclosure Document, as the brand reported them, and were read by Averan Advisors. The 14% total (7% + 2% + 5%) and the monthly minimums of $900 (500 + 100 + 300) and $750 (350 + 100 + 300).
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Talk to Averan → Averan STEM Builders Learning Center Conversion Package →- The FDD makes no financial performance representation. Item 19 states that the franchisor makes no representations about the future or past financial performance of company-owned or franchised outlets. It may provide the actual records of an existing outlet to a buyer of that outlet.
- The three charges have minimums of $900* a month in the Classic Model and $750* in the Studio Model. That is $10,800* and $9,000* a year. Item 6 states that the royalty and brand fund fee begin 90 days after opening.
- The Studio Model costs $45,000 to $55,900 to open, and the Classic Model $71,500 to $104,700. The Studio Model has no rent, lease deposit, utilities, leasehold improvements, furniture or signage lines. The difference is $26,500* at the low end and $48,800* at the high end.
- Item 20 shows 4 outlets at the end of 2025: 3 franchised and 1 company-owned. Two franchised outlets opened in 2023, in North Carolina and Virginia, and none opened in 2024 or 2025. Item 5 states that the franchisor did not sell any franchises in 2025.
- The territory is exclusive, and the franchisor reserves no other sales channels in it. Item 12 states that neither the franchisor nor any affiliate reserves the right to sell into the territory through the internet, catalogue sales, telemarketing or other direct marketing. The affiliate, which has offered online classes since April 2020, transfers its online students in a territory to the franchisee when that territory is sold.
Revenue
What the STEM Builders Learning Center FDD discloses about revenue
The 2026 STEM Builders Learning Center FDD makes no financial performance representation. Item 19 states that the franchisor makes no representations about a franchisee’s future financial performance or the past financial performance of company-owned or franchised outlets. There is no average, median or profit figure to report.
Franchisees teach STEM to elementary and middle-school students. Item 1 lists science, math, computer programming and building, programming and testing robots, plus birthday parties and summer camps. Business customers named in Item 1 include schools, community education and park and recreation programs, scout troops and youth entertainment parks.
The FDD offers two models. A Classic Model center operates from a designated physical location and also runs programs at partner and third-party sites. A Studio Model franchise has no designated physical location and runs its programs at partner and third-party sites.
Item 11 reports $3,472 of brand fund fees collected in 2025. It states that $3,060 of that was spent on internet advertising in franchisees’ market areas. An earlier paragraph of Item 11 states that the brand fund was not in existence during the last fiscal year; the FDD prints both statements.
The FDD sets the fees in two ways: a percentage and a monthly minimum. The table in the next tab shows the monthly gross revenues at which each percentage passes its minimum.
Fee minimums
Monthly fee minimums by model
| Charge | Rate | Minimum a month, Classic | Minimum a month, Studio | Rate passes the minimum at |
|---|---|---|---|---|
| Royalty | 7% | $500 | $350 | $7,143* Classic; $5,000* Studio |
| National Brand Fund | 2% | $100 | $100 | $5,000* |
| Local and cooperative marketing | 5% | $300 | $300 | $6,000* |
| All three | 14%* | $900* | $750* | $7,143* Classic; $6,000* Studio |
Source: STEM Builders Learning Center 2026 FDD, Item 6 and Franchise Agreement sections 2.02, 2.03 and 2.06. Each crossover is the minimum divided by the rate. The local marketing figure is an amount the franchisee must spend, not a fee paid to the franchisor.
Item 19 gives no results by outlet, so the FDD has no spread of results to show. The revenue figures the fee terms imply are the levels at which each charge moves from its minimum to its percentage.
Below $5,000* of monthly gross revenues, all three charges are at their minimums. That is $900* a month or $10,800* a year in the Classic Model, and $750* a month or $9,000* a year in the Studio Model.
The Studio Model has a lower royalty minimum. Item 6 note A and the Franchise Agreement set the minimum royalty at $500 a month for the Classic Model and $350 a month for the Studio Model.
The brand fund fee may rise. Item 6 allows the franchisor to raise it to not more than the greater of 4% of gross revenues or $250 a month. At 4%, the three charges would total 16%* of gross revenues. Franchise Agreement section 2.03.02 refers only to raising the monthly minimum, to a maximum of $250.
The local marketing minimum is printed as two different amounts. Item 6 and Franchise Agreement section 2.06 set it at the greater of 5% of gross revenues or $300 a month. The Local Marketing paragraph of Item 11 states the greater of 5% or $500 a month.
Brand charges
Brand charges
| Fee | Amount | When |
|---|---|---|
| Royalty | 7% of gross revenues, at least $500 a month (Classic) or $350 a month (Studio) | Monthly by electronic transfer; begins 90 days after opening |
| National Brand Fund | 2% of gross revenues, at least $100 a month; may rise to the greater of 4% or $250 a month | Monthly; begins 90 days after opening |
| Local and cooperative marketing | Spend of 5% of gross revenues, at least $300 a month; any cooperative may not assess more than 5% | Monthly |
| Additional training | About $1,000 per group training of up to 3 people, after the first 3 people trained | Before training |
| Transfer | $10,000; $500 to an entity the franchisee controls | Before the transfer |
| Renewal | $5,000 | Before renewal |
| Audit | 1.5% a month interest on the underpayment plus the underpayment; plus the audit cost if understated by 3% or more | On billing |
| Management fee | $500 a day, if the franchisor operates the business after an uncured default | Within 10 days of invoice |
| Supplier evaluation | $500 | Within 10 days of invoice |
Source: STEM Builders Learning Center 2026 FDD, Item 6 and Item 11. Averan does not show a total fee as a share of average revenue because the FDD has no Item 19.
The three revenue charges total 14%* of gross revenues. The 7% royalty and 2% brand fund fee are paid to the franchisor. The 5% is a required local marketing spend, which the franchisor may direct into a local marketing cooperative.
Required software is billed by a third-party vendor. Item 11 requires a service agreement with Calimatic for center and learning management software, priced at $30 a month for 0 to 15 students, $30 plus $2 per student for 15 to 50 students, and $100 plus $1 per student for 51 to 100 students. Item 11 puts the required hardware and software at $4,000 to $5,000.
The franchisor may keep up to 15% of brand fund contributions for administration. Item 11 also states that vendor rebates, which it estimates at up to 15% of certain purchases, go to the brand fund or a separate conference fund.
The transfer fee to an entity is printed as two amounts. Item 6 sets it at $500 for a transfer to an entity the franchisee controls. Item 17 sets the fee to transfer to an entity with identical ownership at $1000.
Cost to open
Cost to open
| Item | Classic low | Classic high | Studio low | Studio high |
|---|---|---|---|---|
| Initial franchise fee | $25,000 | $25,000 | $25,000 | $25,000 |
| Rent, one month | $3,000 | $4,000 | None | None |
| Lease security deposit | $3,000 | $4,000 | None | None |
| Utilities | $200 | $500 | None | None |
| Leasehold improvements | $3,000 | $5,000 | None | None |
| Market introduction program | $1,000 | $3,000 | $1,000 | $2,000 |
| Furniture, fixtures and equipment | $5,000 | $7,000 | None | None |
| Insurance, 3 months | $300 | $500 | $100 | $200 |
| Signage | $2,000 | $4,000 | None | None |
| Licenses and permits | $300 | $500 | $300 | $500 |
| Professional fees | $500 | $1,000 | $500 | $1,000 |
| Travel, lodging and meals for training | $2,000 | $4,000 | $2,000 | $4,000 |
| Computers, laptops and tablets | $5,000 | $7,000 | $4,000 | $5,000 |
| Robots and science projects inventory | $6,000 | $9,000 | $7,000 | $8,000 |
| Dues and subscriptions | $100 | $100 | $100 | $200 |
| Additional funds | $15,000 | $30,000 | $5,000 | $10,000 |
| Total as printed | $71,500 | $104,700 | $45,000 | $55,900 |
Source: STEM Builders Learning Center 2026 FDD, Item 7. The Classic Model lines add to $71,400* and $104,600*, $100 below each printed total. The Studio Model lines add to the printed totals.
The $25,000 initial fee is the only payment to the franchisor in either budget. The cover page states that each range includes $25,000 paid to the franchisor or its affiliate. A $5,000 deposit is due with the application and $20,000 within 7 days of approval.
Half the initial fee is refunded if the franchisee does not complete initial training. Item 5 states that the franchisor decides this from knowledge test results and its observations. Initial training for up to 3 people is included in the fee.
The Studio Model has no premises lines. Its budget has no rent, deposit, utilities, leasehold improvements, furniture or signage, and lower additional funds of $5,000 to $10,000 against $15,000 to $30,000. Its inventory line is $7,000 to $8,000 against $6,000 to $9,000 in the Classic Model.
Item 11 puts the time from signing to opening at three to six months. The franchisor may terminate if the business has not opened within 6 months of signing, and may grant extensions.
Locations
Locations, 2023 to 2025
| Outlets | 2023 | 2024 | 2025 |
|---|---|---|---|
| Franchised at start of year | 3 | 4 | 3 |
| Franchised opened | 2 | 0 | 0 |
| Non-renewed | 0 | 1 | 0 |
| Reacquired by franchisor | 1 | 0 | 0 |
| Franchised at end of year | 4 | 3 | 3 |
| Company-owned at end of year | 1 | 1 | 1 |
| Transfers | 0 | 0 | 0 |
| Total at end of year | 5 | 4 | 4 |
Source: STEM Builders Learning Center 2026 FDD, Item 20, Tables 1 to 4. Table 5 lists no franchise agreements signed but not opened, and 2 projected franchised openings, in North Carolina and Minnesota.
No franchised outlet has opened since 2023. The two 2023 openings were in North Carolina and Virginia. Item 5 states that the franchisor did not sell any franchises in 2025.
The state rows and the Totals rows of Table 3 do not agree. The Minnesota rows show 3 franchised outlets through 2023 and one reacquired in 2024. The Totals rows show the reacquisition in 2023 and a non-renewal in 2024, and Table 4 places the company-owned reacquisition in 2023. The state rows add to 5, 4 and 4 franchised outlets at the end of 2023, 2024 and 2025*, against 4, 3 and 3 in the Totals rows.
The company-owned outlet is in Minnesota. Item 1 states that the affiliate, STEM Builders, Inc., ran a center in Plymouth, Minnesota from 2016 until October 2020, when it was sold to a franchisee, and has not operated a brick-and-mortar location since.
The franchise term is 5 years. Item 17 allows the franchisee to terminate at any time on 90 days’ notice, with a general release and a fee, and allows the franchisor to terminate only for good cause. Renewal costs $5,000 with 12 months’ notice, on the then-current agreement.
Questions we get asked
Questions owners ask
How much does it cost to open a STEM Builders Learning Center franchise?
Item 7 estimates $71,500 to $104,700 for the Classic Model, which has a leased center, and $45,000 to $55,900 for the Studio Model, which runs programs at partner sites with no premises. Both include the $25,000 initial franchise fee.
What fees does STEM Builders Learning Center charge?
A 7% royalty with a monthly minimum of $500 (Classic) or $350 (Studio), a 2% National Brand Fund fee with a $100 minimum, and a required local marketing spend of 5% with a $300 minimum. The brand fund fee may rise to the greater of 4% or $250 a month. Required software is billed separately by a vendor, from $30 a month.
How much does a STEM Builders Learning Center franchise make?
The 2026 FDD has no Item 19, so it gives no average revenue, median revenue or profit. The franchisor may provide the actual records of an existing outlet to someone buying that outlet.
How many STEM Builders Learning Center locations are there?
Item 20 shows 3 franchised outlets and 1 company-owned outlet at the end of 2025, 4 in all. Two franchised outlets opened in 2023 and none since. The state rows of Table 3 add to one more franchised outlet than the Totals rows in each year from 2023.
What is the difference between the Classic and Studio models?
A Classic Model franchise operates from a designated physical location and also runs programs at partner and third-party sites. A Studio Model franchise has no physical location. The Studio Model costs $26,500* to $48,800* less to open and has a $350 royalty minimum against $500.
Does a STEM Builders Learning Center franchise have a protected territory?
Yes. Item 12 grants an exclusive territory set by zip codes, and the franchisor will not open a company-owned or franchised business in it during the term. The franchisor may change the territory at renewal if its population has grown by over 20% or its demographics have changed.
Questions worth putting to STEM Builders Learning Center
These are questions the filing leaves open. An owner or a buyer can put them to the franchisor directly.
- Is the revenue in Item 19 gross sales or collected revenue, and how many locations sit below the average?
- Which factors does STEM Builders Learning Center see in its highest-selling locations, such as territory, years open and staffing?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- At what level of sales do the minimum charges stop applying and the percentage take over?
- How many STEM Builders Learning Center locations closed, were sold, or changed hands last year, and why?
Run your own numbers.
The Franchise Numbers Check runs the same checks on your own numbers. It scores where you stand and compares you with Item 19 of your brand’s FDD. It works out what one location earns and spends, and builds a 13-week cash forecast. It also checks whether you are ready to open another one. It is free and it runs in your browser.
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Questions owners ask next
The figures above raise these, and each one is answered on its own page.
- At what level of sales does a minimum fee stop costing me more than the percentage?It works out the sales level where a minimum fee stops applying.
- How much cash do I fund before a new location covers its own costs?It builds a 13-week forecast for the months before break-even.
- What does this location earn on the money I put into it?It works out the payback period and cash-on-cash return for one unit.
- How much of Item 19 can I rely on?It explains what an Item 19 financial performance representation tells you and what it leaves out.
Where these figures come from
Every figure here comes from STEM Builders Learning Center, LLC’s 2026 FDD and is unaudited by us. We are unaffiliated with the brand. Calculations of our own are labeled where they appear. The figures describe past performance at other businesses and are not a projection of yours. This page is an educational summary. It is not an offer to sell a franchise, and it is not financial, legal or tax advice. STEM Builders Learning Center is a trademark of its owner. How Averan reads a Franchise Disclosure Document.
These figures come from the brand's disclosure. They are not a forecast, an offer to sell a franchise or advice. Source: STEM Builders Learning Center, LLC, 2026 Franchise Disclosure Document, issued 13 April 2026.