Every year families look to support their children with extracurricular learning in maths and reading, a positive trend Kumon has observed as demand ramps up for its education services. 

Kumon Australia and New Zealand’s individualised maths and English programs help children to develop fundamental reading comprehension and calculation skills.

There’s an added bonus that comes with the well-established program too. 

Parents get to see children build confidence and boost their self-learning abilities, and that’s a driving force for Kumon franchisees too.

“I think the thing I enjoy most is seeing students grow into confident young people who are willing to embrace new concepts, don’t give up when they encounter challenges and are independent in their learning,” franchisee Sri Ayyalusamy says.

Sri owns and operates the Kumon East Victoria Park Education Centre in Western Australia.

“Willingness to learn really does make a difference for life and I consider it a privilege to be part of that journey for families in the community.” 

Kumon’s simple business model

The Kumon business model is quite simple, enabling franchisees to focus on preparation that relates to instruction of their students. 

That’s what drew Queensland franchisee Shilpa Shetty from Kumon Upper Coomera Education Centre to the business. She attended a Kumon information session and was hooked.

“I felt immediately it was for me. I wanted to work with kids and give it a go, I knew I could do it. It wasn’t a big set-up fee either, so I could manage this quite easily,” she says.

The upfront franchisee fee is $5,000 and it costs no more than $30,000 to set up a new Kumon centre.

Ongoing costs are minimal too. Franchisees pay a regular royalty fee to the franchisor and this covers the cost and free delivery of all worksheets and materials required to run a Kumon centre. There are no additional marketing levy or hidden fees. 

This global education system which started in Japan in 1958 has all the hallmarks of a successful brand: strong brand recognition, customer satisfaction, great results, an appealing business model and an astonishing footprint in 62 countries.

An iconic brand

Franchisee Kavi Thanabal, from Kumon Brabham Education Centre in Western Australia, says everything aligned when she was looking at the business: a popular brand name, an easy set-up process and low operational costs.

“The main costs are staff wages and rent, then royalties. However, I have a consistent income because I know how many sessions are booked in so it is easy to plan for royalties.”

In addition to worksheets and materials, royalties cover the cost of a launch kit, national branding, campaign flyers, business consultancy, conferences and training.

Kumon can also provides subsidies if franchisees are setting up in commercial venues which demand a greater spend.

Kavi benefited from subsidies for some of the larger costs of her new franchise business in a commercial venue.

“I needed signage that cost $10,000. However I had a $5,000 subsidy for that included in the contract.

“Part of the set-up includes furniture, which you can order through Kumon, and it is all part of the initial investment alongside banners and marketing materials.”

Kumon franchisees primarily source new students through local area marketing and an  active social media presence. 

Growing the business

The franchisor runs free trial campaigns around the country every year, during May and August. These campaigns create local community awareness and as a result, June and September are among the months of highest enrolments at Kumon.

In just a few months Kavi’s Perth-based business expanded to 100 children signed up and learning on a regular basis.

Shilpa has built her business in four years to 200 students and manages a team of 15. 

Post-Covid Kumon has experienced significant growth, in particular across Sydney and  Melbourne.

This iconic brand currently has many opportunities for franchisees to open a business in new areas, as well as legacy locations available for takeover with senior franchisees moving towards retirement after successful and rewarding careers.