What is the estimated total initial investment for a Learningrx standard franchise, assuming a population of 100k plus in a 10-mile radius?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure(1) | Satellite Location Population Varies in 10-mile radius | Micro Franchise “under” to below 100k in 10-mile radius | Standard Franchise 100k plus in 10-mile radius | To Whom Payment is to be Made |
|---|---|---|---|---|
| Initial Franchise | $5,000 | $30,000 | $45,000 | Us |
| Fee(2) | ||||
| Travel and Living Expenses While Training(3) | $0 | $3,000 | $3,000 | Airlines, hotels, car rental and restaurants |
| Initial Training & | $0 | $10,000 | $10,000 | Us |
| Materials Fee(4) | ||||
| Initial Marketing | $15,000 | $15,000 | $30,000 | Third-party vendors |
| Campaign(5) | ||||
| Security Deposit, First Month’s Rent or Real Estate & Improvements(6) | $15,000 | $22,000 | $30,000 | Landlord and third- party vendors |
| Furniture & | $10,000 | $15,000 | $25,000 | Third-party vendors |
| Fixtures | ||||
| Signage | $5,000 | $5,000 | $5,000 | Third-party vendors |
| Miscellaneous | $1,000 | $2,000 | $3,000 | Suppliers, utilities, |
| Opening Costs(7) | third-party vendors | |||
| Insurance | $1,500 | $2,000 | $3,000 | Insurance carrier |
| Policies*(8) | ||||
| Computer | $2,500 | $4,000 | $6,000 | Third-party vendors |
| Equipment & | ||||
| Proprietary | ||||
| Software(9) | ||||
| Additional Funds (initial three months)(10) | $20,000 | $40,000 | $60,000 | Suppliers, third-party vendors, etc. |
| TOTALS | $75,000 | $148,000 | $220,000 |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 19–22)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, the estimated total initial investment for a standard franchise, located in an area with a population of 100,000 or more within a 10-mile radius, is $220,000. This investment covers various expenses, including the initial franchise fee, travel and living expenses during training, initial training and materials fee, the initial marketing campaign, security deposits and rent, furniture and fixtures, signage, miscellaneous opening costs, insurance policies, computer equipment and software, and additional funds for the first three months of operation.
The initial franchise fee for a standard Learningrx franchise is $45,000. Franchisees can also expect to spend $3,000 on travel and living expenses while training, and $10,000 for the initial training and materials fee. An initial marketing campaign will cost $30,000. Lease costs, including security deposits and first month's rent, are estimated at $30,000. Furniture and fixtures are estimated at $25,000, while signage is $5,000. Miscellaneous opening costs are estimated at $3,000, and insurance policies are estimated at $3,000.
Furthermore, the initial investment includes $6,000 for computer equipment and proprietary software. A significant portion of the initial investment, $60,000, is allocated for additional funds to cover expenses during the first three months of operation. These funds are intended to cover start-up costs such as employee wages, insurance premiums, licenses, permit costs, recruitment, advertising, utilities, and supplies. These figures do not include any revenue generated by the business or ongoing royalty fees, marketing development fund contributions, or cooperative advertising contributions. Learningrx based these estimates on 50 years of experience in the cognitive training business.