Investment
Estimated costs for a commercially leased venue
As of December 2018, 40% of Kumon Centres were operating from commercially leased premises and supported over 60% of our enrolment numbers.
Subsidies may be available to assist with various costs associated with starting a Kumon Education Centre from commercially leased venues. The costs of furniture and signage are covered by the company if they are sourced Kumon's Commercial Centre Signage and Commercial Fitout packages.
Estimated start-up costs (commercial venue)
Rent
Amount: $1500 - $3000 per month
Due: Monthly
Payment made to:Landlord
The landlord may require the first month's rent be paid in advance.
Subsidies may be available for the first 18 months of operation.
Rental bond (for commercial venues)
Amount: 2 to 6 times monthly rent ($3000 - $18000)
Due: Prior to lease commencement
Payment made to:Landlord
May be provided as a bank guarantee.
May be refunded at the conclusion of a lease as per lease terms.
New Franchisee Training
Amount: $100
Due: Prior to commencement of operations
Payment made to:Individual suppliers
Franchisee to cover basic internet costs to join online training.
Paid to individual providers.
Franchise fee
Amount: $5000
Due: Prior to signing Franchise Agreement
Payment made to:Kumon Australia and New Zealand
Includes 15% GST.
Franchise agreement must be signed within three months of completing New Franchisee Training.
Professional fees: legal, accounting, business advice
Amount: $500 - $1500
Payment made to:Individual Supplier
Public liability insurance
Amount: $700 - $5000
Due: Annually
Payment made to:Individual Supplier
Minimum $5 million coverage required.
Computer equipment
Amount: $500 - $2000
Due: Prior to commencement of operations
Payment made to:Individual supplier
Kumon Australia and New Zealand has minimum requirements for computer equipment.
Stationery and sundry items
Amount: $100 - $300
Due: Prior to commencement of operations
Payment made to:Individual supplier
Total estimated start-up cost range
Amount: $9052 - $31774