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Code Ninjas Franchise

Code Ninjas is a children's coding education franchise under parent company Code Ninjas Holdings LLC, offering franchise opportunities since 2016. Each center teaches kids ages 5 to 14 how to code by building video games in a fun, engaging…

Total Investment
$181K$452K
Franchise Fee
$35,000
Royalty Rate
7% of Net Sales Gross Sales
Total Units
281
Franchising Since
2016

🌻About Code Ninjas Franchise

Code Ninjas is a children's coding education franchise under parent company Code Ninjas Holdings LLC, offering franchise opportunities since 2016.

Each center teaches kids ages 5 to 14 how to code by building video games in a fun, engaging environment.

Students progress through a structured belt system, similar to martial arts, earning new ranks as they master increasingly complex programming concepts.

💰Code Ninjas Franchise Cost & Fees

Minimum Investment
$181K
Average Investment
$317K
Maximum Investment
$452K
Fee TypeAmountNotes
Initial Franchise Fee$35,000One-time payment upon signing
Royalty Fee7% of Net Sales of gross salesOngoing; paid monthly
Marketing/Ad Fund5.25% of Net SalesNational brand fund
Total Investment Range$181,167$451,950Includes build-out, inventory, working capital

The investment range of $181K–$452K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (7% of Net Sales) and marketing fee (5.25% of Net Sales) are ongoing costs paid as a percentage of gross sales.

📋Investment Breakdown (Item 7)

ItemLowHigh
Initial Franchise Fee (Note 1)$35,000$35,000
Lease (Note 2)$20,267$40,000
Utility Deposit (Note 3)$300$500
Architect Fees (Note 4)$2,500$10,000
Construction Costs (Note 4)$54,500$234,000
Expenses for Initial Training (Note 5)$1,500$5,000
Business Licenses and Permits (Note 6)$200$1,000
Business Insurance (Note 7)$1,000$2,500
Initial Inventory (Note 8)$5,000$12,000
Computer Hardware & Software (Note 9)$3,100$5,050
Furniture, Fixtures, & Eqpt (Note 10)$29,000$55,000
Signage (Note 10)$5,800$16,300
Grand Opening Marketing Program (Note 12)$7,500$7,500
Professional Fees (Note 13)$500$3,000
Additional Funds (3 months) (Note 14)$15,000$30,000

💵Additional Fees (Item 6)

Fee TypeAmount
Transfer Fee$10,000
Renewal Fee$2,500
Technology FeeCurrently $250 to $350 a month
Audit FeeCost of inspection or audit plus our reasonable related costs and expenses
Supplier/Vendor or Supplies ApprovalCost of inspection of supplier’s facilities and/or test of supplier’s samples, plus our reasonable related costs and expenses
Product and Equipment PurchasesWill vary
Additional and Repeat Initial TrainingCurrently $500 per individual to be trained
Ongoing/Remedial TrainingCurrently $500 per day per trainer, plus our reasonable related costs and expenses
Convention FeeCurrently $550 per attendee
Interest1.5% per month on missed, overdue, or insufficient payments
Securities Offering Fee$5,000 (or our reasonable costs and expenses, if more)
Relocation Fee$5,000 plus our reasonable costs and expenses
Cost of Enforcement or DefenseWill vary under circumstances
InsuranceActual costs (if franchisor obtains for franchisee)
IndemnificationAll costs and expenses, including attorneys' fees
Additional Tech Vendor FeesVariable

🎓Training Program (Item 11)

DetailInformation
Total Duration21-day period
Classroom Training30
On-the-Job Training14
Training LocationOnline, corporate HQ in Houston metro area, or another Code Ninjas center
Additional TrainingFranchisees and key personnel may be required to attend refresher courses, seminars, and other training programs periodically. Web-based training for employees may also be required. Additional individuals beyond the required three can attend for a discounted fee.

📍Territory Rights (Item 12)

DetailInformation
Territory TypeProtected
Exclusive TerritoryNo
DescriptionFor a single unit, a "Protected Area" is designated in the Franchise Agreement where the franchisor will not establish or license another Code Ninjas Learning Center. However, the franchisor retains rights to operate other brands, acquire businesses, and sell services/products through alternative channels (e.g., e-commerce) anywhere, as long as it's not from a Code Ninjas Learning Center. For a Development Agreement, a "Development Area" is awarded, varying in size, where the developer has the right to establish multiple units.

📄Renewal, Termination & Transfer (Item 17)

DetailInformation
Initial Term10 years
Renewal TermThree additional five-year terms
Renewal Fee$2,500
Renewal ConditionsTimely written notice (9-12 months before term end), remodel/refurbish to current standards, compliance with all agreement terms and financial obligations, execution of then-current franchise agreement (which may have materially different terms, including higher fees), payment of renewal fee, execution of general release, compliance with current personnel/training requirements, and demonstrated right to remain in accepted location.
Transfer Fee$10,000
Transfer ConditionsFranchisor's prior written consent required. Conditions include: transferor executes general release; transferee designated as Principal and bound by agreement terms; new Principals meet educational, managerial, business, moral character, reputation, and financial standards; transferee executes current form of franchise agreement (may have different terms); Major Remodeling and new equipment purchase if requested; all monetary obligations to franchisor/affiliates/vendors paid; transferor remains liable for pre-transfer obligations and surviving covenants; transferee's key personnel complete training; payment of transfer fee; transferor remains bound by non-compete covenants.
Termination for CauseAutomatic termination without notice for insolvency, general assignment for creditors, receiver appointment, composition with creditors, unsatisfied material final judgment (30+ days), dissolution, levy execution, or foreclosure suit (30+ days). Immediate termination with notice (no cure) for: failure to obtain/open location within time limits; abandonment (2+ consecutive or 2+ days/week); loss of premises possession; forfeiture of right to do business; felony conviction or crime affecting system goodwill; public health/safety danger; unauthorized transfer; failure to comply with covenants (Item 19); disclosure of confidential info; uncompleted approved transfer; false books/records/reports; 3+ material defaults in 1 year; continued purchase from unapproved supplier/sale of unapproved items after notice; fraudulent/unfair/unethical/deceptive practice; unauthorized use of Proprietary Marks or contesting ownership. Other defaults have a 30-day cure period.
Non-Compete PeriodDuring franchise term: no geographical or temporal limitation. After termination/expiration/transfer: 2 years.
Non-Compete DetailsProhibits engaging in "Competitive Business" (any business offering technology and/or coding educational opportunities for children, or similar to Code Ninjas Learning Center). During term, no geographical limitation. Post-term, within 7 miles of (a) Accepted Location and (b) any other Code Ninjas Learning Center (operating, operated within past year, or under active development) in the U.S. Also prohibits diverting business/customers, soliciting customers for other purposes, and transferring Accepted Location to a Competitive Business operator for 2 years post-term.

Operations & Supply (Items 8 & 15)

DetailInformation
Owner-Operator RequiredYes
Participation DetailsIf the franchisee is an entity, an individual owner must be appointed as "Designated Principal" with at least a 10% equity interest, authority over business decisions, and power to bind the franchisee. The Designated Principal must complete training and supervise operations. If the Designated Principal does not supervise full-time, a full-time Center Director (who has completed training) must be employed. All owners of an entity franchisee must sign a guarantee. Principals, supervisors, and managers must sign non-disclosure and non-competition agreements.
Required SuppliersFranchisor or its affiliates are the only approved supplier for some furniture, fixtures, and equipment. Franchisees must purchase all learning materials, curriculum-related items, equipment, furniture, supplies, apparel, and other items from approved suppliers.
Supply RestrictionsFranchisees must sell only approved services and products, use approved equipment, and not deviate from standards. They must stop using any disapproved services or products. Any item bearing trademarks requires prior written approval. Franchisees cannot use unapproved suppliers. Franchisor can designate a single supplier for certain items.
Franchisor Revenue from Suppliers$687,267 (approximately 8.8% of total revenues of $7,775,328) from sale of goods/services to franchisees in 2021. Affiliate FranchiCzar received $890,385 (approximately 54% of its total revenues of $1,634,118) from sale of goods/services to franchisees in 2021.

🏦Financing (Item 10)

DetailInformation
Financing AvailableYes
DescriptionCode Ninjas does not offer direct or indirect financing but has relationships with Guidant Financial Group, Inc. Guidant offers: 401(k) Business Financing (allows use of retirement funds without tax penalties or loans, with a $4,995 fee and $139/month annual administration); Conventional and SBA Loans (Guidant brokers these, with a $2,500 consulting fee refundable if funding not secured, 401(k) financing can be used for down payment); Unsecured Financing (up to $125,000, requiring a minimum 680 credit score, with a 9% fee); Equipment Leasing (approvals within 48 hours, 10% down for new locations, interest rates 6.99-13.90%, terms up to 60 months, requires 700+ credit score for new business, 650+ for existing, fee of $250-$500); Portfolio Loans (leverage non-retirement stocks/bonds/mutual funds up to 80% of value, portfolio min $85,000, no minimum credit score, fee of 2-3% of collateral value, start-up locations can defer payments for up to 2 years). Code Ninjas receives a $1,000 referral fee for each client engaging in Guidant's retirement rollover program.

📊Code Ninjas Franchise Earnings — Item 19

Average Revenue
$15K
Median Revenue
$14K
Revenue Range
$229$55K
Sample Size
280 units

Past financial performance does not guarantee future results. Individual results will vary.

Code Ninjas Litigation & Risk Flags

1 Pending Action ListedReview the full FDD for details on pending litigation.

Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.

📈Code Ninjas System Growth

Total Units
281
Franchised
275
Company-Owned
6

Code Ninjas currently operates 275 franchised locations and 6 company-owned units. Unit count data is sourced from Item 20 of the FDD.

📅Unit History (Item 20)

YearOpenedClosedTotal
20191171187
20206112236
2021478275

Transfers: 27 | Closures: 17

🇧State Registrations

Registered in 14 states: CA, NY, HI, ND, IL, RI, IN, SD, MD, VA, MI, WA, MN, WI

💲Franchisor Financials (Item 21)

Revenue
$7.8M
Net Income
$-4,194,906
Total Assets
$1.7M

Audited by Dixon Hughes Goodman LLP for year ending December 31st.

Code Ninjas Franchise — FAQ

The total investment to open a Code Ninjas franchise ranges from $181,167 to $451,950, per their Franchise Disclosure Document. This includes the initial franchise fee of $35,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Code Ninjas charges a royalty fee of 7% of Net Sales of gross sales, plus a 5.25% of Net Sales contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Code Ninjas Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Code Ninjas to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Code Ninjas franchise owners report average revenue of $15K and median revenue of $14K. This is based on a sample of 280 units. Past performance does not guarantee future results.
Code Ninjas has been franchising since 2016. The FDD shows an investment range of $181,167-$451,950, a 7% of Net Sales royalty, and includes an Item 19 earnings disclosure. There are 1 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $35,000 and the total investment ranges from $181,167 to $451,950 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.

Interested in Code Ninjas?

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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Code Ninjas and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Code Ninjas or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com
Code Ninjas
Total Investment
$181K$452K
💰 Costs & Fees
Franchise Fee$35,000
Royalty7% of Net Sales
Marketing Fee5.25% of Net Sales
FinancingAvailable
🏢 System Overview
Total Units281
Franchising Since2016
Earnings Claim (Item 19)Yes
📄 Contract Terms
Initial Term10 years
Renewal TermThree additional five-year terms
TerritoryProtected
Owner-OperatorRequired
⚖️ Legal & Risk
Pending Litigation1 actions
Bankruptcy HistoryNone
Download the Full Code Ninjas FDD
2024 · Public Registry Document
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