Franchise Database (Updated ) | FranChimp

STEM Builders Learning Center

Company Information

15600 35th Ave. N, Unit 201 Plymouth, MN-55447

[email protected]

Our predecessor and affiliate is STEM Builders, Inc. STEM Builders, Inc. is a Minnesota corporation which was formed on May 17, 2016. Its principal business address and telephone number is 16400 61st Ave N, Plymouth, MN 55446, 205 0488. STEM Builders, Inc. owns the registered trademark, MOTIVATE TO INNOVATE…STEM BUILDERS LEARNING CENTER” and has licensed it to us. It previously owned and operated a STEM Builders business in Plymouth, Minnesota from 2016 until October 2020 when the Center was sold to a franchisee. Since the sale of that unit, STEM Builders, Inc. has not operated a brick and mortar STEM Builders location. STEM Builders, Inc. has offered on line STEM classes since April 2020. STEM Builders, Inc. has never offered franchises in this or in any other line of business.

Not Available

FDD Effective Date Action

Franchise Rating

Franchimp Summary Rating

5/10

Earning Transparency

1/10

Investment Accessibility

8/10

Franchise System Development

Year Units at Start of Year Units Opened Units Terminated Non-Renewals Re-Acquired by Franchisor Ceased Operations Units at End of Year

Employee Contact Database

# Name Position Email Phone

Summary of Investment Costs

Upfront Franchise Fees

Minimum: $25,000 Maximum: $25,000

Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.

These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.

While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.

Total Investment Costs

Minimum: $45,000 Maximum: $104,700

Ongoing Fees

Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.

These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.

Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.

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