Franchising Since: 2011
Headquarters: Virginia Beach, Virginia
Country of Origin: England
Estimated Number of Units: 500
Franchise Description: British Swim School Franchising, LLC is the franchisor. The franchisor is a wholly owned subsidiary of BSS Acquisition Holdings, LLC. British Swim School businesses operate a swimming and water-survival instruction program that focuses on survival skills, stroke development, breathing techniques and skill coordination by offering private and group lessons for individuals of all ages, and other related services and products, as well as offers and provides pool facility rental, pool parties and other special events and activities that we approve under the British Swim School name and marks.
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Territory Granted: When franchisees sign the Franchise Agreement, the franchisor will grant them an area for the operation of a British Swim School business (the territory). Provided that franchisees are in full compliance with the terms and conditions of the Franchise Agreement and all other agreements with the franchisor and its affiliates, it will not operate or grant a franchise for the operations of another British Swim School business in the territory, nor allow another British Swim School franchisee to operate at a pool within the territory. Both a standard territory and a targeted territory have potential for at least two pool locations. Depending on the demographics, population, income levels and other factors, the territory may be smaller or larger than the estimated population for a standard territory or a targeted territory, as applicable. The franchisor will identify the territory in an attachment to the Franchise Agreement. Upon the approval of a pool in the territory, provided that franchisees are in full compliance with the terms and conditions of the Franchise Agreement and all other agreements with the franchisor and its affiliates, it will not approve any other franchisees’ new requests to operate in a pool outside the territory that is within a certain radius of any of the franchisee’s previously approved pools. The radius will be at the franchisor’s sole discretion.
Obligations and Restrictions: If franchisees are an entity, they must identify one of the owners who is a natural person with at least 50% ownership interest and voting power in the franchise and who will have the authority of a chief executive officer (the designated manager). Franchisees (or their designated manager) are responsible for the day to day management, direction and control of the British Swim School business, subject to the terms and conditions of the Franchise Agreement. If franchisees will not be the trainer and manager of the swim instructors, they must hire an aquatics manager who will be their lead swim instructor. Franchisees must offer and sell all services and products that the franchisor periodically specifies for British Swim Schools, including swim school subscriptions for swim lessons under the terms and conditions that it designates. Franchisees must offer and sell only approved products and services from the pools of their British Swim School business.
Term of Agreement and Renewal: The length of the initial franchise term is 10 years. Two additional five-year renewal terms are available, if franchisees meet the franchisor’s conditions.
Financial Assistance: The franchisor and/or one of its affiliates may, in its or their sole discretion, finance up to half of the initial investment or operating capital. Whether the franchisor will extend financing and the amount of financing will vary depending on, among other factors, the availability of funds, the franchisee’s creditworthiness, the market conditions in the franchisee’s area, and the franchisee’s compliance with existing franchise agreements. Currently, the franchisor does not offer any lease arrangements. The franchisor does not provide any financing in the State of California. If franchisees qualify to participate in this program, they may be eligible for a discount of 20% off the initial franchise fee for the first British Swim School franchise.
Estimated Initial Investment
Name of Fee | Low | High |
Initial Franchise Fee | $39,500 | $59,500 |
Mailer Program Set-Up Fee | $1,000 | $1,000 |
Mailing List Fee | $150 | $150 |
Postcard Fees | $3,870 | $3,870 |
SEO Fees | $3,600 | $3,600 |
Digital Marketing Fees | $12,000 | $17,000 |
Chatbot Fee | $500 | $1,500 |
Pool Security Deposit | $0 | $1,000 |
Pool Usage Fee – 3 months | $1,500 | $12,000 |
Opening Inventory (pool equipment, training supplies, learning aids) | $3,050 | $6,100 |
Signage | $250 | $750 |
Financial Management Training | $200 | $200 |
Training: Travel and Living Expenses | $1,500 | $5,000 |
Accountant and Legal Fees | $300 | $1,000 |
Insurance Premium | $2,400 | $5,000 |
Computer System | $0 | $3,500 |
Office Security Deposit | $0 | $1,500 |
Office Rent, Office Furniture, Fixtures and Equipment – 3 Months | $0 | $4,500 |
Technology Fee – 3 Months | $750 | $750 |
Pre-Marketing and Grand Opening Advertising | $7,500 | $15,000 |
First 3 Months of Aquatics Manager | $7,500 | $10,500 |
Additional Funds – 3 months | $9,000 | $15,000 |
ESTIMATED TOTAL | $94,570 | $168,420 |
Other Fees
Type of Fee | Amount |
Royalty | 10% of gross sales or a minimum monthly amount, as applicable. |
Marketing Fund Contribution | 2% of gross sales. |
Mailer Program Fees, Consisting of Setup Fee, Mailing List Fee and Postcard Fee | Setup Fee: Part of initial fee. Postcard Fee: Currently, $0.43 per postcard; $3,870 (9,000 postcards) per year. Mailing List Fee: Currently, $0.05 per targeted household on the mailing list obtained, $150 (3,000 targeted households) per year. |
Digital Advertising Program Fees, Consisting of SEO Fees and Digital Marketing Fee | SEO Fee: Currently $300 per month. Digital Marketing Fee: Currently, $1,416.66 per month for a standard territory and $1,000 per month for a targeted territory. |
Technology Fee | Estimated at $250/month. |
Pool Program Fees | Varies. |
Additional Aquatics Initial Training Fee | Then current charge, currently $900 for full training or $300 per person per day if full training is not required, in each case, plus expenses. |
Swim Instructor Training Fee | Then current charge, currently $300 per person per day, plus expenses. |
Virtual Training Fee | Then current charge, currently $100 per person per day. |
Additional In-Person Pool Scouting Fee | Then-current charge, currently $300 per day, plus expenses. |
Payment Services Fee | Up to 4% of total charge. |
Regional Meetings/Annual Convention/Annual Aquatics Director Conference | Annual Convention Fee: Currently $725. Annual Aquatics Manager Conference Fee: Currently $379. Costs and expenses incurred by the franchisee’s attendees, plus the costs of travel, lodging and entertainment. $1,200 if franchisees fail to attend the annual convention. |
Transfer Fee | 50% of the then current initial franchise fee for transfer of the Franchise Agreement. |
Sales Commission and Broker Fees | The commission on the franchisor finding a buyer for the franchised business (typically not be less than 10% of the sales price), and the franchisor’s actual cost of the brokerage commissions, finder’s fees, or similar charges. |
Renewal | $5,000 per franchise agreement. |
Audit Expenses | Cost of audit and inspection, any understated amounts, and any related accounting and legal expenses. |
Late Payment | $100 per occurrence, plus lesser of the daily equivalent of 18% per year simple interest or the highest rate allowed by law. |
Product Purchases | The then-current product prices. |
Non-Sufficient Funds Fee | The lesser of $100 per occurrence, or the maximum allowed by applicable state law. |
Insurance | Reimbursement of the franchisor’s costs plus a 20% administration charge. |
Indemnification | Will vary under circumstances. |
Professional Fees and Expenses | Will vary under circumstances. |
Reimbursement for Unused Subscription Refunds | Amount of customer refund, plus 5% interest (or highest commercial contract interest rate allowed by law). |
Taxes | Varies. |
Purchased Zip Codes | $2.00 per targeted household within the unoccupied zip code(s) that is immediately adjacent to the territory. |
Attorneys’ Fees and Other Costs | Will vary under the circumstances. |
Liquidated Damages | Will vary under the circumstances. |
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