May 21 2014
Omega Learning Center Franchise

The Omega Learning Center Franchise is an interesting opportunity as the offering includes 2 franchises in one. This business is both a tutoring service and a private school opportunity.

Tutoring and Private School – 2 Franchises in 1

Omega Learning CenterFounded in 2005 Omega Learning began offering franchises in 2007. However, it appears the company owned the 3 franchises that were opened from 2007 through 2011. From 2011 to 2013 an additional 10 franchises were sold and opened in four states. This slow growth may be a concern regarding the product. Or growth may have been delayed in order to refine the product. Whatever the reason, the concept is intriguing for the right owner.

Few educational franchises offer internet tutoring. And few (if any) offer private school from K – 12. The Omega Learning Center Franchise offers both. The question for a prospective owner is, “Is this job’s responsibility too big?” On the positive side we see that the owners have a lot to offer any given community. Plus, the best territories are still available!

Little can be found as to the founder’s qualifications and reasons for starting the Omega Learning Center Franchise opportunity. The three founders include two sisters, Kimberly Smith and Kathy Keeton and their mother, Joyce Smith. Kimberly Smith is the CEO. She claims a passion for marketing and sales. The concept was to open a learning center that was affordable to families. Their mission is to provide an excellent education with a small ratio of Students to Teacher in each class. And, they wanted to offer both tutoring and a classroom experience.

So … how good is the Omega Learning program? First, this seems to be more Omega Learning Centeraffordable for all parties than similar alternatives. In the tutoring area the Omega Leaning Center works with a student’s assigned homework, plus. The Plus is Omega’s own curriculum. This is designed to enhance a student’s learning skills and improve their grade level.

The K-12 Private School aspect can be of interest to many parents. This is a huge marketplace for the right energetic entrepreneur. For this type of franchise to be available on the low end, in terms of expenses, could be very meaningful. Cost of school registration will vary on the basis of location and a number of additional factors. Although each franchise will charge their own rates you can expect about $1,000 per month per student.

Then there is the software system. The software system used is exclusive to Omega Learning. It incorporates a number of important areas. Included is tutoring online, which is rare in the industry, at least at this point. Scheduling, daily feedback to parents and teachers and a number of other management tools are also incorporated into the Omega software.

 

Operation of Omega Learning Center Franchise

Tutoring and Private School education is offered at each Omega Learning Center. A student may be enrolled in one or both programs. Tutoring may be offered to individual Omega Learning Center Franchisestudents. It can also be marketed to students in home school groups and other organized schools. The market place is huge at about $8 Billion annually nationwide.

The Private School market is even larger, much larger at about $50 to $55 Billion. There are very few franchises available in the Private School market. Several of those that are available are very costly to open and expensive for the student. We do not know of another franchise that offers both venues, tutoring and Private School from K-12. Most franchises that do offer private school classes do so for pre-school and perhaps a few of the early grades.

When acquiring tutoring services students typically attend 2 sessions per week for 1 – 2 hours each. The Math and Reading Omega Learning programs each require a total of 95 hours to finish. Upon completion students improve 2 ½ grade levels on average. Cost of each course is about $3,325 ($35/hour x 95 hours).

 

Omega Learning Center Franchise Guarantee of Success

The offering of Guarantees of improvement are few in this field. Most educational franchises do not offer a guarantee. The Omega Learning Center Franchise does offer a guarantee. Upon completion of any of the 95 hour tutoring classes a student is guaranteed to advance by at least 1 grade level. If not successful the student will receive an additional 15 hours of free tutoring.

 

Student Tutoring Cost

Omega Learning Center TutoringOmega Learning Center tutoring cost per hour may differ at each location. At this point the typical fee is about $35 – $40 per hour. Prices will vary depending on the individual franchise owner. Some of the factors to take into consideration include: location, subject matter, the grade level and length of service provided. Also paying on a monthly basis versus purchasing a full program will impact pricing.

 

2 Revenue Streams with Omega Learning Center Franchise

As previously mentioned the Omega Learning Center Franchise revenue is gained from their two programs. Revenues are produced both from tutoring services and from the Private School operation.

1.   Tutoring

The K-12 tutoring program is carried out on any of several fronts. Regular tutoring takes place on the basis of what is needed for the student’s better performance in their classroom. This can be coordinated with the student’s teacher around homework assignments. Omega’s exclusive tutoring program is aligned with Common Core curriculum and materials.Omega Learning Center Franchise

Tutoring can also be specific in terms of a reading, math or other certain subjects. These are usually 95 hour programs set-up to help a student improve their grade level. Omega Learning reports that on average student’s improves by 2 ½ grades.

Tutoring is also available for help with most standardized tests including the Common Core testing. Common Core is programed to choose a course of study for each student through their testing process. This is another goal of Common Core that many disagree with. To set a child on a life path too early toward future employment takes away too many options from the student. This is how the Chinese operate. They choose their Olympian athletes at age 5 or 6, remove them from their family and start training.

The tutoring program takes place with a teacher in the Omega Learning Center. Assignments are carried out online at home with that same teacher.

2.   Private School

The School schedule is similar to that of the public schools in the geographic area of the franchise location. Teachers are all accredited in their field. Classes are kept small, to a maximum of 8 children. Corporate staff is mainly part-time. It appears most if not all of the teachers are part-time but they are qualified and accredited.

Costs of Omega Learning Center Franchise

Initial start-up Expenses

To get a franchise started the average cost runs from $124,000 to $184,000. These numbers include the franchise fee. Other start-up expenses involve renovations of space, equipping the school and advertising, to mention a few. It is recommended a school have about 1500 square feet in which to begin their operation.

The Franchise fee is set at $49,900.

Royalty fees is 8% based on monthly gross billings.

Franchise Renewal is 10 years. Keep in mind the Franchisor is not required to renew the franchise. The renewal periods are to allow for the possibility of non-renewal. If a franchisee is non-compliant with rules, policies or any other unacceptable issue the Franchisor has the option to renew or not.

 

Advantages Omega Learning

  • Online tutoring.
  • Certified teachers.
  • Private School K-12.
  • Class size is limited to a Student, Teacher ratio of 8 to 1.
  • Software allows daily communication with parents and school teachers.
  • Guaranteed to improve by 1 grade level after completing any special program offered.

 

Negatives:

  • Slow growth may indicate a problem or, this could be an advantage.
  • The scope of the operation is very large. This too can be an advantage.
  • Aligned with Common Core teaching curriculum which some states are rejecting.

 

Recommendation

Since we are not a fan of Common Core, and the Omega Learning Center Franchise is, we hesitate recommending this franchise. If a franchise could handle both the Common Core to pass testing and teach better learning skills that could be acceptable. However, Common Core is degrading our countries education. It is not only dumbing down our students it is taking a huge step toward more control over families. Some states are refusing to use the Common core curriculum.

If anything is needed in our education it is HIGHER standards. The states need control of education, not the federal government. New York is shutting down some charter schools that outperform their public schools. Why? Why can we not look at the success of these charter schools and … relish in it and … learn from it. Oh, Oh … please forgive me for the soap box time. Back to business.

If this franchise is of interest be sure to do a thorough analysis of each of the key areas:

  1. The product itself. This is a very wide scope of product and needs to be top notch in order to compete effectively. Materials of top quality from K-12 plus Omega Learning Center Franchisetutoring through all grades and standardized tests are required.
  2. You need to be comfortable with recruiting of teachers and staff to meet all of the needs of your students. How is this done? How effective has the advertising been?
  3. Recruiting of students is of course essential. How is this carried out?

In other words you need a full bag of gifts and talents to be successful. The training provided by the Omega Learning Center Franchise staff will help. However the requirements are much more extensive than can be covered in a few short weeks of training. Perhaps this is why there are 3 founders. Perhaps this business is best approached with a partnership of other willing and talented hands to join with you.

At this writing the Better Business Bureau has only one complaint. The BBB reports Omega Learning Center made an approach to solve the complaint but the customer was not satisfied. No details are available.

As you know, to be thorough in your investigation is a must. This franchise involves taking on a huge commitment, K-12. Be sure to research the software. If done properly this can save numerous hours.

We hope all the best in whatever your decision.

 

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Disclaimer: Please take into consideration that over time some details are bound to change. Your thorough investigation with the Franchisor will provide undated information.

About Joe Voutour

Joe Voutour now lives in Arizona via the Seattle WA area. He has an BA in Psychology and a Masters in Business. Joe is retired from his Life Insurance and Financial Planning career. Joe speaks, teaches and loves writing articles focused on helping people think about various businesses and other issues. His writing includes business reviews, economics, Christianity and other subjects of interest. Joe and his bride, Shirley, live in the White Mtns. region of AZ. Joe Voutour is a Founding Member of Vertical Rising.

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