Kid to Kid FAQS
Kid to Kid FAQs: Answers to common questions about owning a franchise
These are the most common questions entrepreneurs have about the Kid to Kid franchise opportunity. We try to make sure the Kid to Kid FAQs answer most of your questions. But, if you have additional questions or want to explore a question in greater detail, fill out the form on this site to begin a conversation. We can’t wait to hear from you!
How much does it cost to purchase a Kid to Kid franchise?
The total investment to open a new Kid to Kid franchise ranges from $301,763 to $484,763. This includes all costs associated with startup, and numbers will vary based on a variety of factors including the location, buildout costs, amount of working capital budget, store size and so on.
What are the ongoing fees associated with Kid to Kid franchise ownership?
For a first store, we charge a royalty fee of 5% of your store’s gross sales, sales tax not included. You’ll also pay .5% of your store’s gross sales to the Marketing Fund. This money is used to promote all stores within the Kid to Kid system, it is used for creating and administering the marketing materials. Additionally, we will charge $250 per month for unlimited tech support and software upgrades related to IMAP, Q, and Baseline software.
What can I expect to make?
Many of our franchise owners have achieved impressive success. According to our 2019 FDD item 19, our top quartile owners had average sales of $958,934 and a net income of $133,169*. We are excited to offer such great opportunities to potential franchisees looking to develop a successful resale clothing store.
*There is no guarantee that you will make as much.
Does Kid to Kid offer financing?
While Kid to Kid does not directly finance your store, we help you prepare a business plan so that you can obtain SBA guaranteed or another type of financing. We have partnerships with many major banks, making us well-equipped to help you secure financing for your store. Kid to Kid is SBA registered and works directly with several third-party lenders. That means SBA lenders can fast-track the loans for a Kid to Kid franchise.
Am I a good candidate for franchise ownership?
We are looking for people who share our passion and our values. Our goal is to identify franchise candidates who possess leadership qualities, self-motivation, and a willingness to work hard and succeed. We want people who care about their community and their shoppers. Candidates need to be in a good financial position and have a strong work ethic. Experience in the children’s retail space is not required but is helpful.
Which territories are currently available?
At this time, we have territories available in all 50 states. This includes many prime locations. Many franchise competitors only have less-desirable areas to choose from. At Kid to Kid, we’re excited to be able to offer new franchisees incredible opportunities in major areas of interest. We urge you to call us to discuss available territories.
What are the rights I receive when I purchase a Kid to Kid franchise?
When you purchase a Kid to Kid franchise, you purchase the right to operate your store in your designated territory for 10 years, during which time no individuals will be allowed to open a Kid to Kid store within your territory. You will have an option to renew for another ten years after that.
How do I obtain my starting inventory?
One of the advanced tools we provide to our resale store franchise owners is the Inventory Management & Appraisal (IMAP) computer program. This program allows you to purchase the right inventory and price it accurately. During your initial training, you’ll receive instruction in this program. About 8 to 12 weeks before your grand opening day, you’ll use the IMAP program to begin purchasing gently used or like-new clothing and preparing your initial inventory.
Can franchise owners operate Kid to Kid part-time?
The first year or so of running your Kid to Kid franchise will be a full-time job. After this period, while we encourage you to stay an active participant in the operations of your store, you may hire a manager to handle the daily workload.
What training and support will I receive as a franchise owner?
We believe wholeheartedly in the importance of supporting our franchise owners and providing them with access to the tools and resources they need to operate their businesses successfully. We have the highest franchise owner-to-support-staff ratio in the resale space. Our training system begins with 12 days of training at our headquarters in Salt Lake City, Utah; followed by a thorough pre-training program and internship. We’ll help you develop a business plan and assist you with all startup questions and planning.
At the beginning of your franchise ownership process, you will receive training in:
- Planning in business and marketing
- Establishing and managing inventory
- Running daily operations
- Hiring and personnel training
- Customer service
- Relationships with vendors
- Finances and bookkeeping
After your initial training, we’ll continue to provide you with support and training including:
- Our Monthly Priorities publication
- Access to our business consultants’ call line on an unlimited basis
- Regional meetings / Monthly Support calls / Annual Conferences
- Technical support services
- Location visits