Preschool Franchise Business

Kids Preschool Franchise Fees Income Opportunity

DRS group is a renowned business house with well diversified interests and a combined turnover in excess of 500 crores. DRS International School at Hyderabad since 2003 and a chain of over 100 preschools across India under the brand name DRS Kids and Edify Kids have made its presence in the field of education. Curriculum designed on primary year program (International Baccalaureate (IB)) guidelines.

• Theme based activity centric curriculum
• Comprehensive reading and writing readiness program
• Low Investment with high returns with an agreement of 10 years.
• Training support for the Center Head / Owners for the insight into the program and the management aspects.
• Marketing support (includes national print and electronic media).
• Team experts have hand picked teaching aids and resources.

The increasing Global competition has awakened parents to the fact that children need to be fully equipped to face challenges from a young age. Facing a tough struggle to get admission to kindergarten has made them realize that the situation demanded right grooming for their child from an even early age. It was then that the need for pre-schooling was acutely felt. In spite of this, the demand for quality inadequate pre-schools throughout the country is enormous. The recent past has seen the entry of reputed organizations, with a more professional approach, into the field. They have enjoyed a fair amount of success. And paved the way for a new entrant “EDIFY Kids” to grab a major share of the market.

Proven Backing

EDIFY KIDS is an initiative of the DRS GROUP, a well-known business house with diversified interests, with a combined turnover in excess of Rs. 500 crores. DRS has already made its presence felt in the field of education by establishing “DRS International School” at Hyderabad in 2003. Right from inception of operation, DRS International School has moved from strength to strength has created a niche market for itself in the international school arena, truly with its motto, “Strive to Surpass”, DRS International School has pledged to create a society of progressive thinking individuals by providing the finest quality education to its students.

Since inception in 2003, DRS International School has been striving to bring about a transformation in the education scenario. The endeavor is not so much to ‘teach’ the child but to empower the student to embark upon his\her own exciting journey of discovery and learning. It firmly believes that students and teachers are Co-travelers on the road to knowledge and self-actualization.

An ISO Certified Institution, DRS International School is an International Baccalaureate (IB) awarding school. The Board of advisors comprising eminent personalities including Sri T. N. Seshan, IAS, Former Chief Election Commissioner of India and Sri Gulab Ramchandani Ex Head Master, Doon School.

Firmly committed to its vision, DRS International School has, in a short span of time, succeeded in making a mark upon the educational landscape and today figures among the leading schools in the country.

	A	B	C	D	E	F	G
1	PARTICULARS (Tier I Cities)	1st Year	2nd Year	3rd Year	4th Year	5th Year	6th Year
2	No. of Students -PG	20	25	30	30	30	35
3	No. of Students -IK-1	15	20	25	30	30	35
4	No. of Students -IK-2	15	15	20	25	30	35
5	No. of Students -IK-3		15	15	20	30	35
6	Total no. of Students	50	75	90	105	120	140
7	Tuition Fee per Student	2000	2000	2200	2200	2400	2400
8	Total Monthly Tuition fee	100000	150000	198000	231000	288000	336000
9	Period of Operation in Months	12	12	12	12	12	12
10	Total Yearly fee ( A )	1200000	1800000	2376000	2772000	3456000	4032000
11	Admission fee (Non Refundable)	5000	5000	5000	5000	5000	5000
12	Application Registration fee	500	500	500	500	500	500
13	Total revenue from adm fee ( B )	250000	125000	75000	75000	75000	100000
14	Note: Application fee of 500Rs is not added in Total revenue from adm fee.
15	Annual fee (one time Non Refundable)	2000	2000	2000	2500	2500	2500
16	Total Annual fee	100000	150000	180000	262500	300000	350000
17
18	Total Revenue Yearly (A+B+C)	1550000	2075000	2631000	3109500	3831000	4482000
19	Royalty on tution fee @ 14% from 4th year onwards calucalated
20	Royalty on Tuition fee @ 18% (on each child)	216000	324000	427680	388080	483840	564480
21	Total Revenue less Royalty	1334000	1751000	2203320	2721420	3347160	3917520
22	Recurring expenses
23	Salary Teaching Staff @ 12:1 (teacher @ 5000 average)	15000	25000	30000	35000	45000	50000
24	Salary Non Teaching Staff	8000	10000	12000	14000	16000	18000
25	Electricity	2000	3000	3500	4000	4000	4000
26	Stationary & Out-of-pocket expenses	4000	6000	8000	10000	12000	14000
27	Miscellaneous	2000	6000	8000	10000	12000	14000
28	Telephone Charges	1000	1200	1400	1600	1800	2000
29	Local Promotion	6000	6000	8000	8000	6000	6000
30	Rent for school	25000	27500	30250	33275	36603	40263
31	Total monthly expenses	63000	84700	101150	115875	133403	148263
32	Period of Operation in Months	12	12	12	12	12	12
33	Total yearly expenses (2)	756000	1016400	1213800	1390500	1600830	1779153
34	Gross Profit
35	Total GP	578000	734600	989520	1330920	1746330	2138367
36	Fixed expenses
37	Agreement Fee	285000
38
39	Annual Extension Fee				7500	7500	7500
40	Total Fixed expenses	285000
41	Net Profit after expenses	293000	734600	989520	1323420	1738830	2130867
42
43	Royalty:
44
45	Years	Percentage
46
47	1st Year	18%
48	2nd Year	18%
49	3rd Year	18%
50
51	4th Year	14%
52	5th Year	14%
53	6th Year	14%
54
55	7th Year	10%
56	8th Year	10%
57	9th Year	10%
58	10th Year	10%
59
60	The above percentage mentioned will be calculated on Tuition Fee only
61
62	4th Year to 10th Year an annual fee of Rs. 7500/- will be charged.
63
64	There is added advantage to the above proposal from the 4th year onward if the royalty goes up beyond 2.75 lacks per annum, then the associates will have to pay only 2.75 lacks per annum and from the 7th year only 2 lacks per annum.