About DEA Music & Art Franchise
DEA Music & Art is an enrichment education franchise that offers music lessons, art classes, and performing arts programs for children and adults.
The brand has been franchising since 2019, building a network of studios that combine creative instruction with a nurturing learning environment.
The franchise fee is $49,000.
DEA Music & Art Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $49,000 | One-time payment upon signing |
| Royalty Fee | 6% of Gross Revenues, with a minimum royalty of $350 per month of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1% of Gross Revenues initially, we reserve the right to require up to 3% of Gross Revenues | National brand fund |
| Total Investment Range | $149,433 – $228,133 | Includes build-out, inventory, working capital |
The investment range of $149K–$228K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of Gross Revenues, with a minimum royalty of $350 per month) and marketing fee (1% of Gross Revenues initially, we reserve the right to require up to 3% of Gross Revenues) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee(1)(2) | $49,000 | $49,000 |
| Construction, Leasehold Improvements, Furniture, and Fixtures(3) | $33,000 | $64,500 |
| Equipment(4) | $15,200 | $17,200 |
| Signage (Interior and Exterior)(5) | $7,733 | $8,733 |
| Computer, Software, and Point-of-Sale System(6) | $3,200 | $3,700 |
| Opening Inventory(7) | $600 | $1,100 |
| Rent Deposits(3) | $2,900 | $5,900 |
| Utility Deposits(8) | $300 | $400 |
| Insurance Deposits and Premiums(9) | $700 | $1,500 |
| Pre-Opening Travel Expenses(10) | $1,600 | $3,200 |
| Grand Opening Advertising | $5,000 | $5,000 |
| Professional Fees(11) | $2,500 | $12,500 |
| Business Permits and Licenses(12) | $500 | $1,000 |
| Printing, Stationary, and Office Supplies(13) | $500 | $1,000 |
| Additional Funds – Three (3) Months(14) | $26,700 | $53,400 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | The greater of 50% of the then-current franchise fee or $19,500 |
| Renewal Fee | The greater of 25% of the then-current franchise fee or $9,750 |
| Technology Fee | Our then-current fee (currently $125 per month for up to 500 students then $450 per month) |
| Audit Fee | Cost of inspection |
| Minimum Royalty | $350 per month |
| Uncured Default Royalty Payment | Between 1% and 5% of Gross Revenues, depending on length of uncured default |
| Local Marketing Requirement | Minimum of $2,000 per Month |
| Digital Signage | $11.99 per month and $99 per year support fee |
| Owners’ Manual Replacement Fee | Our then-current replacement fee |
| Relocation Fee | Costs and expenses |
| Interest | Lesser of 1.5% per month or highest commercial contract interest rate law allows |
| Testing of Products or Approval of New Suppliers | Costs and expenses |
| Additional Training or Assistance | Currently, we charge $500 per person per week plus expenses |
| Cost of Enforcement | All costs including reasonable attorneys’ fees |
| Maintenance and Refurbishing of Business | You must reimburse our expenses |
| Insurance | You must reimburse our costs |
| Management Fee | 20% of Gross Sales |
| Indemnification | Will vary |
| Post-Termination or Post-Expiration Expenses | Costs and expenses |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 45 hours |
| Classroom Training | 15 hours |
| On-the-Job Training | 30 hours |
| Training Location | Staten Island, New York |
| Additional Training | The franchisor may charge for training newly-hired personnel, refresher training courses, annual conventions, and additional or special assistance or training requested by the franchisee. Franchisees are responsible for trainees' and representatives' salaries, benefits, travel, lodging, and meal expenses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Exclusive |
| Exclusive Territory | Yes |
| Territory Size | a circle having a radius of three (3) miles or up to a population of 200,000, whichever is less |
| Description | The Approved Location of a single franchise will be at the center of the Territory, composed of a circle having a radius of three (3) miles or up to a population of 200,000, whichever is less. In a metropolitan area, the territory will be a circle with a diameter that the franchisor believes will not cause a material adverse effect on the Business. The territory is exclusive, meaning the franchisor will not establish or grant others the right to establish another DEA Music & Art Business at any physical location within the franchisee's territory. However, the franchisor retains rights to operate outside the territory, use other distribution channels (including the Internet), and license similar businesses under different marks. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 10 years |
| Renewal Fee | The greater of 25% of the then-current franchise fee or $9,750 |
| Renewal Conditions | Franchisee must be in good standing, provide timely advance notice (not less than six (6) months nor more than twelve (12) months prior to the end of the then-current term), pay the then-current renewal fee, sign a new franchise agreement (which may have materially different terms), be current in payments, and sign a general release of claims. |
| Transfer Fee | The greater of 50% of the then-current franchise fee or $19,500 |
| Transfer Conditions | Franchisor approval is required. Conditions include: all monetary and other outstanding obligations to franchisor and affiliates satisfied; no defaults; transferor executes a general release; transferee meets franchisor's educational, managerial, business, moral character, business reputation, credit rating, aptitude, ability, and financial standards; transferee has not operated a competitive business; transferee signs a new franchise agreement or assumes existing one; transferee's principal guarantees obligations; transferor remains liable for pre-transfer obligations; transferee completes training; franchisor approves the terms and conditions of the transfer agreement. |
| Termination for Cause | Franchisor can terminate immediately upon written notice for reasons such as misuse of marks/system, interest in a competitive business, unauthorized transfer, material misrepresentation, acting without prior consent, ceasing operations (unless due to act of God for up to 180 days), repeated defaults, threat to public health/safety, insolvency/bankruptcy, felony conviction, false records, or offering unapproved products/services. Termination after five (5) days' notice for failure to make any payment when due. Termination after thirty (30) days' notice to cure for failure to submit timely information, failure to begin operation within time limits, or other defaults. |
| Non-Compete Period | 2 years |
| Non-Compete Details | During the term of the franchise, the franchisee cannot directly or indirectly own, operate, engage in, consult with, provide assistance to, or have any interest in a Competitive Business. After the franchise expires, is terminated, or is not renewed, for a continuous, uninterrupted period of two (2) years, the franchisee cannot engage in any Competitive Business located at the Approved Location, within 25 miles of the Approved Location, or within 25 miles of any other DEA Music & Art Business (including after assignment). |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | If the franchisee is an individual, they or a trained manager must personally manage the franchised business at all times. If the franchisee is a legal entity, their Operating Principal or a trained manager must personally manage the franchised business at all times. The Operating Principal and manager (if any) must attend and successfully complete initial training. Any replacement manager must also attend and successfully complete initial training. |
| Required Suppliers | Yes, for site selection services (Fischer), digital signage (Videri Inc.), certain computer equipment (Jackrabbit software, card creating app, front desk computer, two iPads), and initial inventory (art supplies, birthday packages). |
| Supply Restrictions | Franchisees must operate according to the System and specifications. They can only market, offer, sell, and provide approved services and related merchandise. They must purchase certain items from approved or designated suppliers, which may include the franchisor or its affiliates. The franchisor may develop proprietary products and require their purchase. |
| Franchisor Revenue from Suppliers | $0 |
DEA Music & Art Franchise Earnings — Item 19
DEA Music & Art does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
DEA Music & Art Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
DEA Music & Art System Growth
DEA Music & Art currently operates 0 franchised locations and 3 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 0 | 0 | 3 |
| 2023 | 0 | 0 | 3 |
| 2024 | 0 | 0 | 3 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by The CPA Group of New York, LLP for year ending December 31.
DEA Music & Art Franchise — FAQ
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