Young Rembrandts
Franchising since 1988 · 2 locations
The total investment to open a Young Rembrandts franchise ranges from $46,375 - $79,075. The initial franchise fee is $39,500. Ongoing royalties are 10% plus a 1% advertising fee. Young Rembrandts currently operates 2 locations (2 franchised). The top SBA 7(a) lenders for Young Rembrandts are Schaumburg Bank & Trust Company, Commerce Bank and The Huntington National Bank. PeerSense FPI health score: 59/100. Data sourced from the 2026 Franchise Disclosure Document.
$46,375 - $79,075
$39,500
2
2 franchised
Proprietary PeerSense metric
ModerateActive capital sources verified for Young Rembrandts financing
SBA
7(a) Eligible
21d
Avg Funding
P+2.25%
Best Rate
No retainers · Referral fee at closing
FPI Score Breakdown
Emerging (3-9 loans)
SBA Lending Performance
SBA Default Rate
0.0%
0 of 3 loans charged off
SBA Loans
3
Total Volume
$0.3M
Active Lenders
2
States
2
Top SBA Lenders for Young Rembrandts
What is the Young Rembrandts franchise?
Every year, tens of thousands of parents search for structured, enriching after-school programs that go beyond babysitting and deliver measurable developmental results for their children. The question for franchise investors is whether a children's art education concept can translate that parental demand into a durable, profitable business. Young Rembrandts answers that question with a 37-year operating history, a proprietary curriculum taught to children aged 3½ to 12, and a franchise model built on low overhead rather than expensive real estate. Founded in 1988 by artist and educator Bette Fetter in Elgin, Illinois, the company began as a modest program around Fetter's kitchen table with just eight children, where she developed an original, sequential method for teaching drawing that has since become the backbone of an internationally recognized brand. Fetter, who continues to serve as President and CEO, transitioned Young Rembrandts into a franchise organization in 2000 and began selling franchises in 2001, giving the system more than a decade of curriculum refinement before it ever offered a single franchise agreement. Today, the brand operates across the United States, Canada, Europe, and Japan, having expanded into South Korea with its first Seoul franchise in March 2007 under a Master License agreement signed in December 2006. The brand's mission, to raise generations that value the power, passion, and significance of art and to dramatically increase the number of children who participate in the arts, is not just marketing language — it is the operating philosophy that shapes curriculum design, franchisee selection, and territorial strategy. For franchise investors evaluating the Young Rembrandts franchise opportunity, the core value proposition is a home-based, mobile business model with no requirement to lease or build out a physical studio, serving a children's enrichment market that parents continue to fund even during periods of economic stress. The total addressable market for children's supplementary education and enrichment in North America runs into the tens of billions of dollars annually, and the segment continues to expand as parents increasingly prioritize developmental programming alongside academic achievement. This analysis is produced independently by PeerSense and is not sponsored by or affiliated with Young Rembrandts or any of its representatives.
The industry context in which the Young Rembrandts franchise operates is one of the most resilient and structurally expanding segments within the broader education economy. The global education industry was valued at approximately USD 7.13 trillion in 2025 and is projected to reach USD 13.62 trillion by 2036, representing a compound annual growth rate of 5.86% over that period. North America is specifically identified as the fastest-growing region within that global expansion, which creates a favorable macro environment for a U.S.-headquartered children's enrichment franchise. The non-traditional and skill-building segment of the education market, which includes programs like Young Rembrandts, is projected to account for 51.52% of the broader industry by 2036, signaling that supplementary, out-of-school enrichment programs are not a fringe market but a dominant and growing category. Consumer trends driving this growth are well-documented: parents and school administrators increasingly recognize the measurable impact that structured enrichment programs have on children's academic performance, fine motor development, spatial reasoning, and self-discipline — all of which are core outcomes in the Young Rembrandts curriculum framework. Current demand trends show a meaningful increase in appetite for after-school programs and child-related services, with families treating enrichment spending less as a discretionary luxury and more as a developmental investment. The franchise model benefits from an additional structural tailwind: public school budgets for arts programming have faced sustained pressure in many districts over the past two decades, creating a gap that private, parent-funded programs are uniquely positioned to fill. The competitive landscape for children's art education specifically remains relatively fragmented at the national franchise level, which means that an established brand with a proprietary curriculum, proven unit economics, and a home-based operating structure occupies a differentiated position that is genuinely difficult for independent operators to replicate at scale.
The Young Rembrandts franchise investment is structured as a relatively accessible entry point compared to most brick-and-mortar children's enrichment and education franchises. The initial franchise fee for a Gold, or Standard, Young Rembrandts franchise is $44,500, while the Silver, or Rural, designation carries a franchise fee of $39,500. These figures compare favorably to many children's education franchise fees across the broader sector, where initial fees frequently range from $40,000 to well over $60,000 before any buildout or leasehold improvement costs are considered. Total initial investment ranges from approximately $46,375 to $59,325 on the high end, with other disclosed ranges clustering between $45,455 and $53,235, reflecting the fact that the absence of a physical studio dramatically compresses the capital required to launch. For perspective on what drives the spread within that range, the investment breakdown includes the initial franchise fee of $44,500, office equipment and a computer system costing $2,025 to $3,325, travel and living expenses during training of $1,000 to $1,800, miscellaneous opening costs of $300 to $1,750, an initial inventory of art and teaching supplies at $1,000 to $1,500, initial marketing and promotional materials at $800 to $950, liability insurance of $750 to $2,000, and additional working capital for the first three months of operation ranging from $1,000 to $3,500. The ongoing royalty rate is 10% of gross revenues, and the advertising fund contribution is 1.5%, bringing total ongoing fees to 11.5% of gross sales. Liquid capital requirements are reported at $25,000 to $40,000 depending on the source, and the net worth requirement stands at $100,000. Young Rembrandts also offers a 10% discount on the initial franchise fee for qualifying military veterans, a meaningful incentive in a category where veterans often excel due to their training in structured systems and team leadership. The overall capital structure makes this a mid-accessible franchise investment, positioned well below the six-figure-plus entry costs associated with most physical retail or food-service franchise categories.
The Young Rembrandts operating model is fundamentally different from most franchise concepts in the enrichment category because it eliminates the single largest cost center in most service businesses: real estate. Franchisees operate the business from a home office, managing operations, enrollment, local marketing, and teacher scheduling, while part-time instructors deliver classes in host locations that include preschools, elementary schools, community centers, parks and recreation facilities, children's gyms, and museums. This host-location strategy means franchisees pay no rent, no leasehold improvement costs, and carry no long-term real estate obligations, which structurally compresses overhead and improves margin potential relative to studio-based competitors. Staffing centers on hiring and managing a part-time teaching team, with franchisees responsible for recruiting, training, and scheduling instructors who deliver the proprietary, sequential curriculum to student groups. Initial training is delivered at the company's headquarters in Elgin, Illinois, and consists of 35 hours of classroom instruction combined with 11 hours of on-the-job training, totaling 46 structured training hours designed to prepare franchisees to begin operations immediately upon completion. Training covers operations, marketing, sales, curriculum delivery, and teacher training methodologies, providing a comprehensive foundation before a franchisee enrolls a single student. Ongoing support includes access to an intranet library containing training, marketing, and business tools, along with proprietary lesson plans, scheduling and management software, marketing toolkits, and web monitoring and personal target management tools. Franchisees receive coaching and access to a curriculum so extensive that children who begin the program at age 3½ and continue through age 12 will never encounter a repeated lesson, which is a material competitive differentiator for retention and recurring revenue. The business model is explicitly designed for active owner-operators rather than semi-absentee investors, with franchisees directly managing relationships with school and community partners, driving local enrollment, and overseeing the quality of the teaching team. Territory exclusivity is granted with the condition that minimum gross revenue thresholds are maintained, giving franchisees a protected market area that remains exclusive as long as performance benchmarks are met.
Item 19 financial performance data is not disclosed in the current Franchise Disclosure Document for Young Rembrandts. This is a significant consideration for prospective investors conducting due diligence, because the absence of an Item 19 disclosure means the franchisor is not presenting audited or verified revenue figures within the regulated framework of the FDD. However, publicly available data from third-party franchise research sources provides useful directional benchmarks. As of fiscal year 2024, the reported average gross revenue of Young Rembrandts franchises was $153,708 according to available research data. A separate analysis from Vetted Biz reports yearly gross sales of approximately $128,513, with estimated owner earnings in the range of $17,992 to $23,133 annually after accounting for royalties, the advertising fund contribution, and operating expenses. That same analysis estimates a franchise payback period of 3.2 to 5.2 years, which is a credible range for a home-based, low-overhead service franchise with a total initial investment under $60,000. It is important to contextualize these figures carefully: franchise profitability is highly dependent on local market demand, the franchisee's ability to build and sustain school and community partnerships, labor costs associated with instructor hiring, and the speed at which enrollment scales toward capacity. A franchisee who quickly builds a roster of host locations and fills classes to capacity will generate meaningfully different outcomes than one still in the enrollment ramp-up phase. The royalty rate of 10% of gross revenues is on the higher end of the franchise spectrum, which means that efficient revenue scaling is critical to achieving strong net margin. Prospective franchisees should request current franchisee contacts from the FDD and conduct direct conversations about weekly student enrollment figures, class pricing, and operating cost structures before making a capital commitment.
The growth trajectory of the Young Rembrandts franchise reflects the evolution of a brand that has been expanding and contracting across different market environments over its more than two-decade franchise history. At peak reported scale, the system operated 84 franchised locations in the United States as documented in the 2020 Franchise Disclosure Document, and a 2012 report cited 81 territories in the U.S. and Canada plus 5 international locations, collectively teaching over 30,000 students weekly. Earlier data from March 2007 showed 57 franchise locations across 26 states teaching approximately 30,000 students per week, and an October 2007 report counted more than 60 international locations spanning over 30 states. A December 2022 source cited more than 75 U.S. locations with additional Canadian and international presence, while other aggregated sources have reported figures of 90-plus locations operating across seven countries. The current reported count of 47 locations as of March 2026 suggests the network has experienced meaningful contraction from its peak, which is a factual data point that investors should weigh carefully and investigate thoroughly. Competitive advantages that remain intact regardless of unit count include the depth of the proprietary curriculum spanning nearly nine years of sequential content, the brand's recognition in Franchise Business Review's Hall of Fame, its naming as one of the Top 25 Education Franchises to Watch in 2017, and the addition of live online and on-demand class offerings that extend the brand's reach beyond the geographic constraints of in-person host locations. The expansion into digital delivery is strategically important because it allows franchisees to serve students outside their physical territory and provides a revenue buffer during periods when school or community partnerships face disruption. Corporate leadership has stated aggressive growth plans both nationally and internationally, and the company's Master License framework — demonstrated through the 2006 South Korea agreement — provides a mechanism for scaling internationally without requiring direct corporate capital deployment in each new market.
The ideal Young Rembrandts franchisee is an active owner-operator with strong interpersonal skills, comfort in a sales and relationship-building role, and a genuine passion for children's education and development. This is not a passive investment or a semi-absentee ownership model; franchisee reviews consistently indicate that the business requires hands-on daily management of school relationships, teacher hiring and scheduling, enrollment marketing, and local business development activities. Franchisees with backgrounds in education, sales, community outreach, or program management tend to be well-positioned because the core revenue-driving activity is convincing school administrators and community center directors to host classes and then enrolling sufficient students to fill those classes profitably. The business model is home-based, which makes it attractive to parents seeking schedule flexibility and reduced commuting overhead, and multiple franchisee testimonials specifically cite the family-friendly lifestyle as a primary motivation for joining the system. Available territories span the United States and international markets including Canada, Europe, and Japan, and the company has expressed specific intent to expand aggressively in both domestic and international markets. The franchise agreement structure provides exclusive territorial rights contingent on meeting minimum gross revenue thresholds, meaning franchisees who grow their student base and maintain revenue benchmarks retain their protected market. Military veterans benefit from a 10% discount on the initial franchise fee, making the Young Rembrandts franchise opportunity particularly accessible to transitioning service members who bring the organizational discipline and team leadership skills that the home-office, distributed-instructor model demands.
For investors conducting serious franchise due diligence, the Young Rembrandts franchise investment thesis combines a genuinely low-overhead operating model, a proprietary curriculum with demonstrated longevity, and participation in a children's enrichment market growing toward a multi-trillion-dollar global education economy. The total initial investment range of $46,375 to $59,325 positions this as one of the most capital-efficient entry points in the children's education franchise category, and the home-based structure eliminates the lease obligations and buildout costs that create financial risk in the early operating months for most service franchises. The FPI Score of 59, rated Moderate by PeerSense's independent franchise performance index, signals a franchise that warrants thorough investigation rather than either immediate enthusiasm or dismissal — a score that reflects the unit count contraction documented in recent years alongside the brand's proven curriculum, Hall of Fame recognition, and structural market tailwinds. The absence of Item 19 disclosure in the current FDD places additional responsibility on prospective investors to conduct thorough validation calls with existing franchisees and independently model unit economics based on available third-party revenue data. PeerSense provides exclusive due diligence data including SBA lending history, FPI score analysis, location maps with Google ratings, FDD financial data summaries, and side-by-side comparison tools that allow investors to benchmark Young Rembrandts against comparable children's education and enrichment franchise concepts across investment level, royalty structure, and unit performance signals. Explore the complete Young Rembrandts franchise profile on PeerSense to access the full suite of independent franchise intelligence data.
FPI Score
59/100
SBA Default Rate
0.0%
Active Lenders
2
Key Highlights
Franchise Financing Resources
Data Insights
Key performance metrics for Young Rembrandts based on SBA lending data
SBA Default Rate
0.0%
0 of 3 loans charged off
SBA Loan Volume
3 loans
Across 2 lenders
Lender Diversity
2 lenders
Avg 1.5 loans per lender
Investment Tier
Low-cost entry
$46,375 – $79,075 total
Young Rembrandts — Deep SBA Data
Brand-specific metrics derived directly from SBA 7(a) approval records — peak lending year, leading state, average loan size, and lender concentration. PeerSense computes these per brand so capital advisors and prospective franchisees can benchmark this opportunity against the rest of the franchise universe.
Peak SBA Year
2018
2 approvals — best year on record for Young Rembrandts.
Top SBA State
Missouri
2 SBA-financed Young Rembrandts locations — the densest operator footprint.
Average Loan Size
$68K
Median $50K — use as a sizing anchor when modeling your own $Young Rembrandts unit.
Lender Concentration
100%
Concentrated
Share of Young Rembrandts approvals captured by the top 3 SBA lenders.
Young Rembrandts's SBA lending pipeline peaked in 2018 (2 approvals). The last five fiscal years account for 33% of cumulative volume ($50K approved). Operator density is highest in Missouri with 2 SBA-financed locations. Average funded ticket sits at $68K, with the median at $50K. Lender mix is concentrated: the top three SBA lenders account for 100% of approvals — credit decisions concentrate with a small group of incumbents.
Payment Estimator
Estimated Monthly Payment
$480
Principal & Interest only
Locations
Young Rembrandts — unit breakdown
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