Sylvan Learning
The total investment to open a Sylvan Learning franchise ranges from $107,922 to $239,012. The initial franchise fee is $36,900. Ongoing royalties are 11% plus a 5% advertising fee.
What is the Sylvan Learning franchise?
Sylvan Learning was founded in 1979 in Portland, Oregon, by former teacher W. Berry Fowler to provide personalized tutoring for K 12 students. By 1983, it had grown to dozens of franchises and moved its headquarters to Bellevue, Washington. KinderCare Learning Systems purchased the company in 1985 and moved its headquarters to Montgomery, Alabama, by July 1987 after acquiring a majority stock share. In 1991, R. Christopher Hoehn Saric and Douglas L. Becker acquired a 50% share from KinderCare through KEE. The company went public by 1993, with Becker becoming chairman and CEO at age 23 and Hoehn Saric serving as president until 1999. Apollo Management purchased Sylvan Learning from Sylvan Learning Systems Inc. in 2003, and that company rebranded as Laureate Education in 2004. Sylvan Learning joined the Unleashed Brands family in 2023 after Franchise Group acquired it in 2021. As of February 2026, the brand had more than 710 locations in the UAE, Dubai, Vietnam, Guam, Kuwait, and Canada, along with 5,000 school relationships. The U.S. tutoring and education market exceeds $91 billion. The current headquarters is listed as Baltimore, Maryland, U.S., while another source identifies Bedford, Texas, as the home office. John McAuliffe became Chief Executive Officer in 2016, and Susan Valverde serves as Brand President. PeerSense reviews the opportunity independently from marketing claims.
The global exam preparation and tutoring market was valued at $70.71 billion in 2025 and is projected to reach $74.2 billion in 2026, reflecting a compound annual growth rate of 4.9%. It is expected to reach $91.26 billion by 2030 at a compound annual growth rate of 5.3%. The private tutoring market was estimated at USD 70.4 billion in 2025 and is projected to reach USD 171.3 billion by 2035, at a compound annual growth rate of 9.3%. Lower standardized test scores after the pandemic have increased demand for tutoring. Other demand drivers include AI based tutoring, flexible learning models, mobile learning platforms, and lifelong learning. In January 2024, data showed that 53% of U.S. students took at least one online course during the 2022 to 2023 academic year. Online learning is projected to represent 55.3% of private tutoring market revenue in 2025. Academic pressure, competitive examinations, parental education spending, personalized exam preparation, and adaptive learning technology also support demand. K 12 holds 80.29% of the market in 2026. Academic subjects are projected to account for 50.2% of private tutoring revenue in 2025, and mathematics was the most common privately tutored subject, reported by 66% of surveyed students. North America was the largest exam preparation and tutoring region in 2025. The U.S. private tutoring market is projected to reach USD 15.74 billion by 2032.
The initial franchise fee is $36,900, is non refundable, and is due when the franchise agreement is signed. Qualified veterans receive a 5% discount, bringing that fee to $35,055. The 2025 Franchise Disclosure Document reports total estimated initial investment of $107,922 to $239,012. Earlier FDDs reported $100,752 to $226,842 and $85,525 to $186,930 in 2022. Included costs are the $36,900 initial license fee, $1,400 to $2,400 for travel and living expenses during initial training, and $4,000 to $15,500 for the first three months of rent and the security deposit. Real estate improvements and site preparation range from $15,000 to $75,000, and development project management costs $6,000. Initial inventory and instructional materials cost $2,750 to $3,050. Specialized furnishings cost $6,000 to $15,000, while other furniture and miscellaneous supplies cost $3,400 to $4,500. Signage costs $2,000 to $8,000. Grand opening marketing costs $10,000 to $15,000, with another $1,500 for local marketing. Computers, hardware, telephone, internet access, and software cost $7,500 to $13,930. The Hub Technology Platform fee is $342, and Contact Center Participation fees range from $1,480 to $2,930. Accounting software costs $135 to $600. Optional Sylvan Edge and ACE IT! Programs can add up to $3,210. Initial operating funds for three months range from $9,500 to $35,000. Applicants need at least $75,000 in liquid capital and a minimum net worth of $150,000. Entrepreneur magazine identifies Sylvan Learning as a top low cost franchise, and third party financing options are available.
The operating system is designed for owners without prior education experience. Centers create personalized learning plans and generally maintain a student to teacher ratio of 3:1. Franchisees manage local teams, while Center Directors oversee teachers, student enrollment, and parent communication. SylvanSync™ uses digital tablets, and student and parent web portals provide real time progress tracking. Programs include academic tutoring, STEM courses through Sylvan EDGE, and college and test preparation through Sylvan Prep. The omnichannel model supports in person, online, one on one, and group sessions. New franchisees follow a 90 day training schedule that includes digital, self paced modules. Corporate support includes franchise business consultants, the Sylvan Support & Franchisee Network, a marketing toolbox, and proprietary software. SylvanSync™ completed a multi year evolution in 2025 to support more personalized, data driven instruction. Franchisees can provide input on support and training and customize operations for local needs. U.S. territory availability includes hot markets in Arkansas, Colorado, Georgia, Illinois, New Jersey, Pennsylvania, and Tennessee. Priority markets for 2022 included California, New York, Texas, Florida, Pennsylvania, Georgia, Illinois, Maryland, New Jersey, and Massachusetts, along with international expansion. Co branded Sylvan Learning and Class 101 centers opened in Flower Mound, Texas, and Leesburg, Virginia, in 2025.
These historical figures are not from the current FDD. The private tutoring market is projected to reach $171.3 billion globally by 2035 and $15.74 billion in the U.S. by 2032. Sylvan opened 500 franchises by 1986, exceeded 1,200 locations in 10 countries by 2003, and added 55 franchise partners in 2021. It awarded 35 new franchise agreements in 2025 and set a 2022 goal of opening an average of one new center every other week.
Sylvan Learning grew from dozens of franchises in 1983 to 500 by 1986 and more than 1,200 locations in 10 countries by 2003. In 2019, it added 52 franchisees and opened 24 centers in domestic and international markets. It attracted more than 200 new franchisees during the four years before 2020 and planned to open 40 locations in 2020. In 2021, the system finished with 55 new franchise partners, 47 total centers awarded, 29 new openings, and six existing owner expansions. The brand targeted an average of one new center every other week in 2022. In 2025, it opened 11 locations, including the first co branded Sylvan Learning and Class 101 centers in Flower Mound, Texas, and Leesburg, Virginia, and awarded 35 new franchise agreements. Sylvan Learning joined Unleashed Brands in 2023 after Franchise Group acquired it in 2021. SylvanSync™ completed its multi year evolution in 2025, and the company piloted Sylvan Pass, a flexible membership model, with broader rollout planned for 2026. John McAuliffe has been Chief Executive Officer since 2016, and Susan Valverde is Brand President. Competitive advantages include brand recognition dating to 1979, established credibility, proprietary SylvanSync™ instruction, franchise business consultants, a marketing toolbox, and programs such as Sylvan EDGE and Sylvan Prep. The brand offers a guarantee of results for families and supports in person, online, one on one, and group sessions. Online learning represented 55.3% of private tutoring revenue in 2025. Entrepreneur magazine ranked Sylvan Learning No. 98 on its 2026 Franchise 500® list and named it a top low cost franchise.
The intended franchisee needs business management ability and an interest in helping future generations more than prior education experience. Education experience is not explicitly required. Owners manage Center Directors and teachers, so leadership, communication, and operational skills matter. Courtney Wright illustrates one possible path, moving from teaching at Sylvan to becoming a center director and then a franchisee. Multi unit ownership is not required, although the 35 new franchise agreements awarded in 2025 and 47 total centers awarded in 2021 indicate a system that can support multi unit development. Available U.S. markets include Arkansas, Colorado, Georgia, Illinois, New Jersey, Pennsylvania, and Tennessee. Priority development markets in 2022 included California, New York, Texas, Florida, Pennsylvania, Georgia, Illinois, Maryland, New Jersey, and Massachusetts. International locations include the UAE, Dubai, Vietnam, Guam, Kuwait, and Canada. The franchise process follows a 90 day schedule from agreement signing to operational readiness. Owners can adjust their businesses to local needs and interests.
Sylvan Learning operates in a supplemental education market shaped by post pandemic academic needs and demand for personalized, technology supported learning. Its history began in 1979, and it had more than 710 locations as of February 2026. The brand offers franchisee training, SylvanSync™ technology, and the Sylvan Pass membership model piloted in 2025. Its expansion plans include hot markets across the United States, and its programs include STEM and college preparation. K 12 accounts for 80.29% of the market in 2026. PeerSense provides independent due diligence information covering SBA lending history, Loan Activity Score, location maps with Google ratings, FDD financial data, and side by side comparison tools.
Loan Activity Score
31/100
SBA Default Rate
22.7%
Active Lenders
97
According to its Franchise Disclosure Document or public business records, Sylvan Learning has 218 locations, all owned by franchisees. Public SBA loan records show 97 lenders made 256 loans to franchisees of Sylvan Learning. PeerSense calculates Sylvan Learning's score as 31 out of 100, using public SBA loan performance and recent lending activity. Cost figures are based on the 2026 Franchise Disclosure Document.
Franchising since 1979 · 218 locations
$107,922 to $239,012
$36,900
218
218 franchised
Proprietary PeerSense metric
LimitedDistinct lenders in public SBA records for Sylvan Learning
256
Total SBA loans
$228K
Average loan size
Source: public SBA 7(a) and 504 loan records through December 31, 2025
Referral fee at closing
SBA Lending Activity for Sylvan Learning
Loan Activity Score Breakdown
Major Brand (100+ 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
22.7%
vs 3.2% peer avg
SBA Loans
256
Total Volume
$58.5M
Active Lenders
97
10 selective
States
43
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 Sylvan Learning based on SBA lending data
SBA Default Rate
22.7%
19.5% above peer avg
SBA Loan Volume
256 loans
Across 97 lenders
Lender Diversity
97 lenders
Avg 2.6 loans per lender
Investment Tier
Mid range investment
$107,922 to $239,012 total
Payment Estimator
Estimated Monthly Payment
$1,117
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
Sylvan Learning, 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
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