Setting up your Kumon franchise
The cost of starting a Kumon franchise can vary depending on a few things, like your location, the type of venue you choose, your advertising approach, and how you staff your franchise.
Franchise fee
Starting your own Kumon franchise is more accessible than you might expect. The initial franchise fee is just AU$5,000 a one-time payment that's much lower than what many other franchises require, making it a great option for those ready to start their business journey.
New Franchisee Training
Training is delivered online, so you can learn at your own pace and from the comfort of your home. You will just need some basic software and a reliable internet connection. These small setup costs are the responsibility of the franchisee.
Start-up costs
Just like starting any business, there are some initial costs to consider when establishing your Kumon franchise. These may include business registration, office essentials (like phones, stationery, and internet), marketing and advertising, and professional services like legal and accounting. You will also need to complete the relevant Working With Children Check.
Operating costs
Once your franchise is up and running, ongoing costs may include things like public liability insurance, rent, staff wages, and royalty fees. We've put together a guide with estimated costs, based on our experience with different types of venues, which you will find below:
Estimated Start-Up Costs (Commercial Venue)
Rent
Estimated Amount: $1500 - $3000/month
When It's Due: Monthly
Who You Pay:Landlord
Rent is usually paid monthly, and the first month may need to be paid upfront. Subsidies may be available for your first 18 months.
Rental Bond
Estimated Amount: 2-6 months' rent ($3,000 - $18,000)
When It's Due: Before signing the lease
Who You Pay:Landlord
Often provided as a bank guarantee and may be refundable at the end of the lease, depending on the terms.
New Franchisee Training
Estimated Amount: $100
When It's Due: Before you open your centre
Who You Pay:Individual suppliers
Covers basic internet and software costs needed for online training. These are paid directly to your chosen providers.
Franchise Fee
Estimated Amount: $5,000
When It's Due: Before signing your franchise agreement
Who You Pay:Kumon Australia and New Zealand
A one-off fee to join Kumon. Must be paid within 3 months of completing your franchise training.
Business Name Registration
Estimated Amount: $35 - $82 annually
When It's Due: Yearly
Who You Pay:ASIC (Australian Securities & Investments Commission)
Separate fees may apply if you register a company.
National Police Check
Estimated Amount: $42
When It's Due: During recruitment
Who You Pay:Screening authority
Required to ensure you're eligible to work with children.
Professional Fees
Estimated Amount: $500 - $1,500
Varies
Who You Pay:Individual suppliers
May include legal, accounting, or business advice to help you get started on the right foot.
Public Liability Insurance
Estimated Amount: $400 - $600 annually
When It's Due: Yearly
Who You Pay:Individual suppliers
Required insurance, with a minimum of $20 million coverage.
Workers Compensation Insurance
Estimated Amount: $330 - $930 annually
When It's Due: Yearly
Who You Pay:Individual suppliers
Costs vary based on your location and staffing. You may not need this right away if you're not hiring staff immediately.
Computer Equipment
Estimated Amount: $500 - $2,000
When It's Due: Before you open your centre
Who You Pay:Individual suppliers
Kumon has some basic equipment requirements. These costs depend on your setup.
Stationery & Miscellaneous
Estimated Amount: $100 - $300
When It's Due: Before you open your centre
Who You Pay:Individual suppliers
Covers everyday office supplies and small setup items.
Total Estimated Start-Up Range: $9,052 - $31,774
Your potential earnings
There are a number of factors that can impact the earnings and profitability of a Kumon franchise. Things like your location, the type of venue you choose, staffing needs, and the time and energy you invest.
Want a better idea? Click here to view tables showing the performance of two sample centres over a four-year period.
Like most franchise systems, Kumon Australia and New Zealand collects royalties from our franchisees. You can find an overview of our student fee and royalty structure in the table below.
$100 enrolment fee
(charged when a student joins)
50% of the enrolment fee
$50.00
$160 tuition fee
(per student, per subject, monthly)
45% while you hold a Provisional Licence
$72.00
40% once you have a Full Licence
$64.00