Kumon Franchise FDD, Profits & Costs (2025)
Kumon is a globally recognized franchise that specializes in after-school math and reading programs for children. Founded by Toru Kumon in 1958 in Japan, the franchise has grown to become an educational leader known for its unique learning method.
The Kumon Method emphasizes individualized instruction, self-learning, and progression through small, incremental steps, enabling students to develop their skills to the maximum potential.
The franchise began its global expansion in 1974, when the first overseas Kumon Math Center opened in New York. This marked the beginning of Kumon’s international presence, which now spans over 50 countries.
The franchise’s headquarters are located in Japan, where the company was originally established. Kumon’s approach to education has set it apart from competitors by focusing on self-paced learning and ensuring students master each concept before moving on to more challenging material.
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Initial Investment
How much does it cost to start a Kumon franchise? It costs on average between $74,000 – $166,000 to start a Kumon franchised center.
This includes costs for construction, equipment, inventory, and initial operating expenses. The exact amount depends on various factors, including the location, and whether the franchisee chooses to lease or purchase the property.
| Type of Expenditure | Amount |
|---|---|
| Training Agreement Deposit Fee | $1,000 |
| Initial Franchise Fee | $2,000 less the $1,000 Deposit Fee if you are obtaining your first Kumon Center franchise |
| Initial Purchase of Materials | $2,000 |
| Architect Design | $0 – $10,000 |
| Leasehold Improvements | $30,000 – $60,000 |
| Security Deposit, If Required | $0 – $27,000 |
| Rent | $3,000 – $7,000 |
| Furniture, Equipment, Primary Sign & Supplies | $5,000 – $15,000 |
| Notebook Computer at Kumon Center | $500 – $2,000 |
| Professional Fees | $1,000 – $3,000 |
| Liability Insurance | $500 |
| Business License, Name Registration | $100 – $200 |
| Kumon Lead Management System Suite | $200 – $600 |
| Recommended Reading List | $3,000 |
| Fingerprinting, Criminal Background Check | $20 – $60 |
| Payroll Cost for Assistants (3 Months) | $10,700 – $12,900 |
| Additional Funds (3 months) | $16,200 – $21,700 |
| Total | $74,000 – $166,000 |
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Kumon Franchise Disclosure Document
Frequently Asked Questions
How many Kumon locations are there?
As of the latest data, Kumon operates a total of 1,659 locations worldwide, with 1,637 of these being franchise-owned and 22 company-owned centers.
This structure highlights Kumon’s focus on franchising, allowing local educators and entrepreneurs to manage most centers independently while aligning with the brand’s educational standards.
What is the total investment required to open a Kumon franchise?
The total investment required to open a Kumon franchise ranges from $74,000 to $166,000.
What are the ongoing fees for a Kumon franchise?
Kumon’s ongoing fees include a royalty fee of approximately $30 per new enrolled student, directly tied to student growth rather than a percentage of revenue.
Marketing fees are not mandatory or ongoing; instead, franchisees may occasionally contribute to national advertising initiatives as needed, ensuring cost efficiency and local flexibility.
What are the financial requirements to become a Kumon franchisee?
To become a Kumon franchisee, candidates typically need a minimum net worth of $150,000 and liquid capital of at least $70,000. These financial requirements help ensure that franchisees have the resources to cover initial setup costs, operating expenses, and any unanticipated costs in the early stages.
Who owns Kumon?
Kumon is privately owned by the Kumon Institute of Education Co., Ltd., a Japanese company founded by Toru Kumon in 1954.
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