Franchise Deep Dive: Tierra Encantada Franchise Costs, Fees, Profit and Data

LAST UPDATED: November 2023

FRANCHISE WEBSITE: https://www.tierraencantada.com/franchise/ 

NUMBER OF LOCATIONS: 12

REPORTED COST TO GET IN: $1,032,525 to $2,619,530

REPORTED ROI (Item 19): $656K

Tierra Encantada is a warm, community-oriented Spanish immersion educational program that provides care for children six weeks through six years of age. The franchise provides an early education experience that focuses on the growth of the whole child. 

As a leader in Spanish immersion early education, Tierra Encantada’s high-quality bilingual education program fosters early cognitive development and teaches a respect for diversity. Additionally, the franchise’s focus on the whole child extends beyond the mind and nurtures children’s expanding palates with organic, fresh-cooked meals. 

How Many Tierra Encantada Locations Are There?

In 2013, while searching for quality early education for her young child, Kristen Denzer founded Tierra Encantada’s first location in Eagan, Minnesota, Forbes reported. In 2019, she began franchising Tierra Encantada to provide access to language immersion education to families across the country. Today, Tierra Encantada has 12 locations across Minnesota, Texas, Illinois and Virginia. 

What Is The Tierra Encantada Business Model?

Prior experience or a background in child care is not required, nor is being able to speak the Spanish language. Instead, the brand’s model supports semi- or full-absentee owners who are able to focus on growing with them.

Tierra Encantada's business model revolves around providing quality early childhood education with a focus on Spanish immersion. Their program is centered on several key principles and values:

• Inclusivity: Tierra Encantada welcomes all families and believes in creating an inclusive environment that supports empathy and understanding. They emphasize that families come in different forms, and every family should see themselves reflected in the care they receive.
• Community Focus: Tierra Encantada places a strong emphasis on building a sense of community within their centers. They aim to foster lasting friendships among families, both inside and outside of the classroom.
• Quality Education: The program is committed to providing high-quality early childhood education that encompasses the whole child. This includes dual language learning, which encourages children to reach their full potential.
• Employee Care: Tierra Encantada acknowledges the importance of its employees and believes that great employees are essential for providing excellent care to families and children. They prioritize employee well-being and development.
• Parent and Family Trust: The program recognizes the trust parents place in them when choosing their services. They are committed to effective communication, taking ownership of their actions, finding ways to grow and aligning their actions with their values.
• Spanish Immersion: Spanish immersion is at the core of their program, enriching children's experiences through language and cultural learning.
• Culinary Program: They offer a culinary program that provides scratch meals prepared with local, organic ingredients at every location.
• Stimulating Learning Environment: Tierra Encantada designs each classroom with the staff’s and children's experience in mind, from the furniture to the toys and music, to create a clean, safe and stimulating learning environment.

Their business model aims to provide a comprehensive early childhood education experience that supports children's development, fosters community, and ensures a nurturing and inclusive environment for families, all while emphasizing Spanish immersion and a strong commitment to employee well-being.

How Much Can Tierra Encantada Franchise Owners Make?

The average unit volume for Tierra Encantada franchise owners is $2.7 million, while the average unit earnings before interest, taxes, depreciation and amortization (EBITDA) is $656K. 

How Much Does It Cost To Open Tierra Encantada?

The total estimated investment is $1,032,525 to $2,619,530. Here is a breakdown of the costs. 

• Franchise Fee: $48K–$60K
• Lease and Improvements: $417,700–$1,631,550
• Outdoor Playground: $124K–$181K
• Facility and Kitchen Equipment, Furniture, Supplies and Signage: $302,775–$456,450
• Insurance: $4,450–$6,250
• Business License and Certifications: $500–$1K
• Professional Fees: $48,500–$88,280
• Initial Training and Grand Opening Training: $1K–$10K
• Opening Advertising and Marketing: $25K–$35K
• Additional Funds (Three Months): $60K–$150K
• Total Estimated Investment: $1,032,525–$2,619,530

What Is the Franchise Fee for Tierra Encantada?

The franchise fee ranges from $48K–$60K. 

Who Is the Leadership of Tierra Encantada?

• Kristen Denzer — Founder and CEO
  Robert Thesing — Chief Growth Officer
• Cameron Waters — Chief People and Program Officer
• Rachel Crowley — Chief Operating Officer
• Jordan Schreiner — Chief Finance Officer

What Helpful Articles Can I Read to Learn More About Tierra Encantada?

• To Be Successful, Believe You Can
• SBA names Kristen Denzer Minnesota's small-business person of the year 
• 2022 Fast 50: Return honoree Tierra Encantada lands at No. 30
• Start a Tierra Encantada Franchise in 2023

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