Ivy Kids was founded on trust, honesty and superior education based childcare. Our Mission: To develop long-term relationships based on honesty, trust and hard work so that our franchisees prosper. As a family-owned company, our values, commitment to improvement and emphasis on education makes us the leading franchise organization in child care. • Founders: Alnoor and Laila • Born and raised in East Africa • Earned Engineering degrees from prestigious universities in Canada • Moved to Houston in 1995, held senior positions in the oil and gas industry • Started first Ivy Kids in 2005 2005 Built first Ivy Kids in Pearland, Texas 2007 Second school was built in 2007 in Missouri City, Texas (Sold to Honor Roll School) 2011 Third school was built in Richmond, Texas 2013 Fourth school built in Cypress, TX Fifth school built in Katy, TX 2014 Sixth school built in Frisco, TX 2016 Plans to build an additional three centers in 2016 Compelling Financial Advantage The rise in dual-income households and growing research on the importance of early-learning has resulted in increasing demand for quality childcare Today nearly 60% of children under the age of six require childcare (15 million) Entrepreneur Magazine named the child care industry as the top franchise industry to watch in 2014 The childcare industry usually performs well in recessions* • Parents continue to value quality education more than ever • When the economy is slumping women who have chosen to leave their careers will go back to work *NY Times Article: Business Child Care an Industry for all Economic Seasons The childcare industry outperforms most industries and some of America’s most well-known franchises* Industry / Business Total Loans Failed Loans Childcare** 564 5% Arby’s 86 19% Dunkin Donuts 528 21% KFC 185 13% McDonalds 15 20% Chevron 128 14% Exxon 49 20% Holiday Inn 67 10% *Data from “SBA Loan failure rates for Franchisees” Oct 1, 2001 – Sept 30, 2011 ** Cumulative for childcare franchisees (Same data source) • Ivy Kids has higher revenues than it’s competitors • Investment is substantially lower than peers: sales to investment ratio is 50% higher • Right now Ivy Kids franchise fees are $0 • Ivy Kids is not hindered by territory restrictions that mature franchises face. Outstanding sites are available Average Revenue # of Schools Franchise Fees Royalty Average Investment Ivy Kids Kids-R-Kids Primrose Light House Goddard $1,958,862 $1,520,285 $1,593,320 $1,476,149 $1,420,282 5 153 299 36 428 $60,000 $90,000 $70,000 $70,000 $135,000 7% 6% 7% 7% 7% $3,566,500 $4,222,700 $4,624,335 $3,437,250 Leased Bldg. (smaller building) * Data from Franchise Disclosure Document 2015 • All Ivy Kids facilities are built from the ground up • Facilities are value engineered, lower cost but upscale facility • Locations are meticulously selected • Upscale residential areas 0-2 months 2-4 months • High visibility locations • Average Investment: $3.6 million • Land: 2 acres • Building: 15,500 sq. ft. 4-6 months 6-9 months Facility geared towards learning: facilities are attractive, best in class and have the following: • Science Lab • Full kitchen and cafeteria • Library • SMARTboard displays • Playground equipment for each age group • Large reception area Ivy Kids’ Multiple Intelligences Curriculum: Our curriculum is based on Harvard University’s research that there are eight types of intelligence Ivy Kids’ proprietary curriculum is aimed at engaging a child’s kinesthetic, musical, spatial, naturalistic, logical, linguistic, interpersonal, and intrapersonal abilities Our healthy meals develop healthy bodies and healthy minds: • Meal plan is designed by registered dietitians • Meals contain lean protein, fresh produce and fiber • Healthy food without dyes, excess sugar, salt, or processed carbohydrates • Parents more aware of the association between nutrition and health • Well trained staff • On-Boarding • Curriculum Training • Professional Development Days • Best Systems • State of Texas has recognized us for our outstanding procedures regarding child safety • State of the art enterprise business management systems • Premier franchise in a growth industry • Outperforms major franchises • Higher revenues than our competitors with an average investment that's substantially less than its peers. • Not limited by territory restrictions that mature franchises face. Outstanding sites are available. • State of the art facility built from the ground up. • Modern curriculum based on research from top universities. • Healthy and nutritious meal plan. • Right now franchise fees are $0. Site Selection • Providing demographic studies for site selection • Obtaining permits • Building and construction management Training • Corporate based in-school pre-opening training program • Specific Instruction for owner, center director and curriculum director • Assistance in licensing and opening Marketing • Guidance in direct mail and email marketing campaigns • Social Media training • TV and radio advertising Ongoing Support • Ongoing refresher training and field support • Comprehensive quality
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