CLUB Z!,
The total investment to open a CLUB Z!, franchise ranges from $40,975 to $57,425. The initial franchise fee is $27,250. Ongoing royalties are 6% plus a 2% advertising fee.
What is the CLUB Z!, franchise?
Club Z! Tutoring Services is a home based tutoring franchise founded in 1995. Mark Lucas launched the tutoring service in 1996 after first working on a children’s magazine. Club Z! began franchising in 1998 or 1999 through Club Z!, Inc., which is headquartered in Tampa, Florida. The 2020 Franchise Disclosure Document reported 366 franchised Club Z! In Home Tutoring locations in the United States across 42 states plus D.C., including 159 locations in the South. Other reported figures include 348 United States franchises, an estimated 370 units, 415 total units, and more than 400 or even 450 locations in more recent reports. The brand also operates in Puerto Rico and Canada, and some sources describe a worldwide presence. Club Z! is not currently expanding in Houston, MI, ND, or SD. The brand has appeared on Entrepreneur Magazine’s Annual Top 500 Franchise List. Its home based model avoids the need for a storefront, while proprietary academic programs and multiple revenue sources support the business structure. The global Exam Preparation and Tutoring market was valued at approximately $71.64 billion in 2023 and is projected to reach around $116.58 billion by 2032. The private tutoring market was estimated at $70.4 billion in 2025 and is forecast to reach $171.3 billion by 2035. The broader supplemental education and tutoring industry is projected to exceed $10 billion within the next decade.
Exam Preparation and Tutoring is Club Z!’s primary industry category. The global market was valued at approximately $71.64 billion in 2023 and is projected to reach around $116.58 billion by 2032, with an estimated CAGR of roughly 5.5% from 2024 to 2032. Another projection places CAGR at 8% from 2025 to 2033. The private tutoring market is estimated at $70.4 billion in 2025 and forecast to reach $171.3 billion by 2035, representing a 9.3% CAGR. The online tutoring market was projected to reach $120.67 billion by 2021. Demand is supported by academic pressure, standardized testing, and parents’ willingness to spend on supplemental education. Specialized services address exams such as the SAT, GRE, and GMAT. Club Z! offers proprietary programs for the PSAT, SAT, ACT, SSAT, ISEE, GMAT, GRE, LSAT, and MCAT. The brand reports average improvement of 200 points on the SAT and 2-3 points on the ACT. Online and digital tutoring have expanded access, and on demand tutoring accounted for over 76% of global online tutoring revenue in 2024. Virtual tutoring session usage increased by 30% over the past year and is expected to grow by 10% annually in the coming years. Educational services can retain demand during economic downturns. Greater emphasis on STEM education and open source learning materials also support academic support services, which are projected to grow by 5% annually.
The initial franchise fee varies by offer and market. Reported figures include $27,250, $19,750, and a range of $19,750 to $34,750. A limited time offer placed the fee at $19,750, representing a saving of $7,500, and veterans may receive a 10% discount. The total initial investment is reported at $40,975 to $57,425, including $27,250 to $39,750 paid directly to the franchisor or its affiliates. Other reported investment estimates are $35,000 to $42,000 including advertising, $27,250 to $39,750, $45,000 to $60,000, $31,475 to $50,425, $41,000 to $57,000, and $30,000 to $55,000. Prospective franchisees should have at least $40,000 in liquid capital. Some analyses cite working capital of $4,000 to $6,000, and the stated net worth requirement is $100,000. For a territory serving up to 100,000 people, the royalty is the greater of 8% to 6% of gross sales or $550 per month. Advertising expenses include $10,000 to $20,000 for start up expenses and advertising, along with monthly advertising fees of $250 to $300.
Club Z! franchisees primarily manage tutors rather than provide instruction themselves. Prior tutoring or education experience is not required, and many top producing franchises come from unrelated industries. The home based model removes the need for a storefront and gives owners flexibility in managing the operation. Initial training includes 10 hours of web based pre training and post training, followed by approximately two days of corporate training. Training may take place at the franchisor’s headquarters in Tampa, Florida, online, or at another mutually agreed upon location. Online instructor led training is also available for a quicker start. Franchisees report confidence after completing the structured 3 step training program. Corporate support is available 24/7 for training, marketing, technology, and ongoing tutor recruitment. The support team provides two additional phases of pre opening training. A full service call and enrollment center operates around the clock, schedules consultations, and manages leads. Corporate headquarters recruits, trains, bills, and provides customer service for online tutoring programs, creating additional revenue sources for franchisees. Marketing support includes turnkey marketing and SEO campaigns, Google Ads, local SEO, a customizable website, and chat support staffed by the corporate office. Referral outreach helps franchisees connect with schools, parent organizations, and community groups. The Advertising Department has developed an exclusive marketing plan over 12 years and creates the required marketing materials. Franchisees receive unlimited access to the Club Z! Intranet, including databases, documents, conferences, conference calls, and real time forums. Each franchisee receives a protected territory generally serving 50,000 to not more than 200,000 people, with no competition from another Club Z! franchisee within that brand territory.
Results will vary with local demand, labor costs, and operating efficiency. Traditional intensive tutoring is reported to produce an average improvement of two letter grades in 60 days. Test preparation programs report average improvement of 200 points on the SAT or 2-3 points on the ACT. These outcomes may support customer retention and referrals.
Club Z! has expanded its presence in the education market through its home based structure, proprietary academic programs, and multiple revenue sources. The brand’s reported network includes 366 franchised United States locations as of the 2020 Franchise Disclosure Document, operating in 42 states plus D.C. Other reported figures include an estimated 370 units, 415 total units, and more than 400 or even 450 locations in more recent reports. Its programs cover the PSAT, SAT, ACT, SSAT, ISEE, GMAT, GRE, LSAT, and MCAT, with reported average improvement of 200 points on the SAT and 2-3 points on the ACT. Corporate support includes training, marketing, technology, tutor recruitment, and a full service call and enrollment center that operates around the clock. Turnkey marketing and SEO campaigns, a customizable website with corporate staffed chat support, and a marketing plan developed over 12 years support customer acquisition. Club Z! regularly adds revenue sources for franchise owners without additional cost. The brand is also using online and digital tutoring, including on demand tutoring and AI powered learning solutions. Virtual tutoring sessions have increased by 30% over the past year and are expected to grow by 10% annually in the coming years.
The intended franchisee is an entrepreneurial manager who can oversee tutors, operations, business development, and client acquisition. Education or tutoring experience is not required, and many top producing franchise owners come from unrelated industries. Candidates should have at least $40,000 in liquid capital and a net worth of $100,000. Club Z! assigns a protected territory generally serving 50,000 to not more than 200,000 people, which is intended to prevent competition among franchisees of the same brand. The brand operates across the United States, Puerto Rico, and Canada, while it is not currently expanding in Houston, MI, ND, or SD. Strong markets generally have high concentrations of K-12 students, above average household incomes, education focused demographics, competitive academic environments, and high college matriculation rates. The business is home based and receives corporate support for marketing and operations. The available information does not detail the franchise agreement term length.
Club Z! offers a home based franchise model within the expanding Exam Preparation and Tutoring market. That market was valued at $71.64 billion in 2023 and is projected to reach $116.58 billion by 2032, representing a 5.5% CAGR. The private tutoring market is forecast to grow from $70.4 billion in 2025 to $171.3 billion by 2035, at a 9.3% CAGR. The franchise model combines tutor management, proprietary academic programs, multiple revenue sources, 24/7 corporate support, a full service call and enrollment center, and turnkey marketing campaigns. The reported initial investment is $40,975 to $57,425, with a liquid capital requirement of at least $40,000. Owners manage a team of tutors and can offer programs that report measurable student improvement without operating a storefront.
Loan Activity Score
47/100
SBA Default Rate
11.1%
Active Lenders
18
According to its Franchise Disclosure Document or public business records, CLUB Z!, has 328 locations, all owned by franchisees. Public SBA loan records show 18 lenders made 27 loans to franchisees of CLUB Z!,. PeerSense calculates CLUB Z!,'s score as 47 out of 100, using public SBA loan performance and recent lending activity. Cost figures are based on the 2026 Franchise Disclosure Document.
Franchising since 1995 · 328 locations
$40,975 to $57,425
$27,250
328
328 franchised
Proprietary PeerSense metric
FairDistinct lenders in public SBA records for CLUB Z!,
27
Total SBA loans
$58K
Average loan size
Source: public SBA 7(a) and 504 loan records through December 31, 2025
Referral fee at closing
SBA Lending Activity for CLUB Z!,
Loan Activity Score Breakdown
Established (25 to 99 loans)
Are lenders increasingly or decreasingly funding this brand? Growing trends score highest.
Blended default rate (recent + all time) compared to NAICS sector peers.
Quality lenders actively backing this brand, with penalty for lender pullback.
FDD availability, Item 19 disclosure, and overall data completeness.
Geographic spread of SBA funded locations across states.
SBA Lending Performance
SBA Default Rate
11.1%
vs 9.5% peer avg
SBA Loans
27
Total Volume
$1.6M
Active Lenders
18
1 selective
States
16
vs. SBA Sector Average
SBA loan default rate vs. all franchises in the same NAICS sector, not limited to direct competitors
Key Highlights
Franchise Financing Resources
Data Insights
Key performance metrics for CLUB Z!, based on SBA lending data
SBA Default Rate
11.1%
1.6% above peer avg
SBA Loan Volume
27 loans
Across 18 lenders
Lender Diversity
18 lenders
Avg 1.5 loans per lender
Investment Tier
Low cost entry
$40,975 to $57,425 total
Payment Estimator
Estimated Monthly Payment
$424
Principal & Interest only
Indicative only, as of October 1, 2026. Not a quote, commitment or offer of credit. Final pricing, leverage and terms are determined by the lender at underwriting, after full transaction materials are reviewed. PeerSense sources the file. The lender sets pricing. What these terms mean.
Locations
CLUB Z!,, unit breakdown
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Page Review
Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense
- PeerSense is a capital advisory firm that places commercial financing with direct capital sources; it does not lend, fund, or approve loans, and the capital source sets final terms.
- Edward L. Freeman founded PeerSense in January 2020.
- He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
- His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
- In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page
Last reviewed LinkedIn profileAbout Edward Freeman