Kumon vs Sylvan Learning
Kumon vs Sylvan Learning: Kumon costs $73K–$165K to open; Sylvan Learning costs $108K–$239K. Kumon has 1,689 units, Sylvan Learning has 218. SBA loan history: Kumon = 115 loans (7.0% default); Sylvan Learning = 256 loans (22.7% default). The franchise with more SBA-funded units, lower default rate, and lower royalty load is the safer financing bet, see the comparison below.
Kumon vs Sylvan Learning: Capital, Scale & Lending Analysis
Data-driven differentiation pulled from FDD filings and SBA 7(a) loan-level data. Each pairing reflects a unique combination of capital intensity, system scale, and financing path.
Capital Intensity
Kumon requires the lower minimum capital commitment ($73K vs $108K for Sylvan Learning), a 32% spread. Initial franchise fees come in at $2K for Kumon versus $37K for Sylvan Learning, Kumon has the lower entry fee. Ongoing royalty load is 6% for Kumon and 11% for Sylvan Learning, giving Kumon the lighter per-unit drag on operating income.
System Scale & Tenure
On scale, Kumon operates 1,689 units to Sylvan Learning's 218, roughly 8× the system size. Kumon has been operating 68 years (founded 1958) versus 47 for Sylvan Learning (founded 1979), a 21-year tenure gap that affects unit-economics maturity and FDD revision history.
SBA Lending Profile
Sylvan Learning has the deeper SBA lending track record with 256 historical 7(a) approvals versus 115 for Kumon.
Risk Signal
SBA default rates are 7.0% for Kumon and 22.7% for Sylvan Learning, Kumon has the cleaner historical loss profile by 15.7 points. PeerSense FPI scores come in at 76 (Strong) for Kumon and 31 (Fair) for Sylvan Learning, giving Kumon the stronger composite signal across SBA performance, lender appetite, and operational consistency.
Health & Performance
FPI Score | 76/100 | 31/100 |
Health Tier | Strong | Limited |
Confidence | N/A | N/A |
Lending Trend | Stable | Declining |
SBA Lending
SBA Loans | 115 | 256 |
SBA Volume | – | – |
Default Rate | 7.0% | 22.7% |
Peer Tier | major | major |
Investment & Costs
Total Investment | $73K – $165K | $108K – $239K |
Franchise Fee | $2K | $37K |
Royalty Rate | 6% | 11% |
Ad Fund | 2% | 5% |
Liquid Capital | N/A | $75K |
Net Worth Required | $150K | $150K |
Financial Performance (Item 19)
Item 19 Status | Not Disclosed | Not Disclosed |
System Size & Operations
Total Units | 1,689 | 218 |
Franchised Units | 1,671 | 218 |
Company-Owned | 18 | – |
Term Length | 5 yrs | 10 yrs |
Brand Information
Year Founded | 1958 | 1979 |
Franchising Since | 1983 | 1960 |
Years Franchising | 43 yrs | 66 yrs |
Headquarters | SAN CLEMENTE, CA | Hunt Valley, TX |
Category | Exam Preparation | Exam Preparation |
Website | ||
FDD Year | 2026 | 2026 |
Which Is Better, Kumon or Sylvan Learning?
Lower upfront capital required
Kumon
Kumon: $73K starting · Sylvan Learning: $108K starting
More SBA lender confidence
Sylvan Learning
Kumon: 115 SBA loans · Sylvan Learning: 256 SBA loans
Lower historical default rate
Kumon
Kumon: 7.0% · Sylvan Learning: 22.7%
Larger system & brand presence
Kumon
Kumon: 1,689 units · Sylvan Learning: 218 units
Lower ongoing royalty load
Kumon
Kumon: 6% · Sylvan Learning: 11%
More lender financing options
Sylvan Learning
Kumon: 63 unique lenders · Sylvan Learning: 97 unique lenders
Decision matrix uses publicly disclosed FDD and SBA loan data. Not a recommendation. Your best franchise depends on capital, market, operating capacity, and risk tolerance.
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About These Franchises
Kumon vs Sylvan Learning: Franchise Funding Comparison
Comparing Kumon and Sylvan Learning is about more than brand preference. It's about which franchise fits your financial profile and funding strategy. Investment ranges from $73K to $239K.
Both brands have active SBA lending histories, Kumon with 115 SBA loans and Sylvan Learning with 256. This means proven lender acceptance and established underwriting paths for franchise buyers.
SBA 7(a) loans are the most common franchise funding vehicle, offering up to $5M with as little as 10% down. PeerSense connects franchise buyers with the specific lenders who have approved loans for these brands, not generic referrals, but lenders with actual franchise lending track records.
Data sourced from SBA loan records, Franchise Disclosure Documents, and public filings. Updated regularly. Not financial advice, consult with a lending professional before making investment decisions.
Kumon vs Sylvan Learning, Frequently Asked Questions
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