About DivaDance New York Franchise
DivaDance New York brings the popular DivaDance brand to the New York market, offering choreography based group dance classes for adults of all skill levels.
The brand has been franchising since 2017, creating a space where people can learn real dance routines in a fun, inclusive, no judgment environment set to popular music.
The franchise fee is $28,000.
DivaDance New York Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $28,000 | One-time payment upon signing |
| Royalty Fee | 10% of net monthly revenue of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Minimum of $300-$500/month (10% admin fee to franchisor) | National brand fund |
| Total Investment Range | $42,300 – $65,600 | Includes build-out, inventory, working capital |
The investment range of $42K–$66K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (10% of net monthly revenue) and marketing fee (Minimum of $300-$500/month (10% admin fee to franchisor)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $28,000 | $28,000 |
| Training Fees | $0 | $0 |
| Marketing and Business System Manuals, Etc. | $0 | $0 |
| Landing Page on Website | $500 | $500 |
| Launch Advertising & Marketing | $1,500 | $3,000 |
| Launch Virtual Assistant | $300 | $700 |
| Travel Expenses for Initial Training | $800 | $1,200 |
| Travel Reimbursement for Training Field Trip | $500 | $2,000 |
| Insurance | $700 | $1,300 |
| Real Estate and Improvements | $0 | $0 |
| Business Formation Expenses | $300 | $500 |
| Equipment & Systems | $1,500 | $2,000 |
| Signage & Print Collateral | $200 | $400 |
| Rent | $2,000 | $8,000 |
| Additional Funds (to cover working capital needs for a start-up period of 3-6 months) | $6,000 | $18,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 |
| Renewal Fee | $10,000 |
| Technology Fee | Approximately $225-275 monthly |
| Instructor Certification | $300 per Instructor ($100 deposit, $200 balance) |
| Training Fees for Additional Face to Face Training (Optional) | Approximately $100 to $1,000 |
| Client Database & Scheduling Platform | $179-$350 per month |
| Music License/Subscription Fees | Approximately $397 Annually |
| Graphic Design Templates & Support | Approximately $199 Annually |
| SEO blog articles (optional) | $100 per article |
| City and State Licenses | Approximately $300 Annually |
| Rebranding (optional) | $1,500 |
| Conference & Retreat Registration/Travel | $1500-$2500 |
| Miscellaneous Fees | $25-$100 (Late fees, returned check/EFT, late royalty report, late cancel/no show) |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Initial training during the first 30-60 days, consisting of virtual training through online modules and in-person training. |
| Classroom Training | 35 |
| On-the-Job Training | 50 |
| Training Location | Austin, TX or a mutually agreed upon location |
| Additional Training | Semi-monthly video conferences, Slack and Asana support, instructor certification, optional face-to-face training (online or in-person for a fee), and ongoing access to the SlayGround online learning portal. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Exclusive |
| Exclusive Territory | Yes |
| Territory Size | Determined by a population factor of between 100,000 to 150,000 people, using Wikipedia demographics. |
| Description | Franchisor will not operate or grant franchises for a similar or competitive business within the franchisee's exclusive territory. The continuation of territorial rights is not dependent on sales volume or other criteria and continues as long as the Franchise Agreement is in effect. Franchisees cannot solicit business or use other distribution channels outside their territory. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 10 years |
| Renewal Fee | $10,000 |
| Renewal Conditions | Franchisee must satisfy all monetary obligations, comply with current qualification and training requirements, and pay the renewal fee. May be asked to sign a new contract with materially different terms. |
| Transfer Fee | $10,000 |
| Transfer Conditions | Requires prior written approval from Company (not unreasonably withheld). Transferee must be of good moral character, satisfactory credit, competent business qualifications, and sign the then-current standard Franchise Agreement. Franchisee must have fully paid all financial obligations to Company. No fee if transferring to a family member or controlled corporation. |
| Termination for Cause | Franchisor can terminate if franchisee defaults or for good cause. Curable defaults (e.g., contract violations, nonpayment) have 30-60 days to cure. Non-curable defaults include bankruptcy (though enforceability may be limited by federal law) or conviction for laws materially affecting business ability. Repeated violations can lead to immediate termination. |
| Non-Compete Period | During term: No involvement in a competing business anywhere in the United States. After termination/expiration: 2 years. |
| Non-Compete Details | During the term, no involvement in a competing business anywhere in the United States. After termination or expiration, for a period of two years, franchisee cannot directly or indirectly sell or offer similar services, aid others in doing so, or induce Company's franchisees/employees to terminate their association within 50 miles of any area where franchisee or their sales representatives made sales. This also applies to any business of a character and concept similar to DivaDance within the Assigned Area or a one-mile radius of any DivaDance Franchise. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The franchisee is required to designate and retain an 'Operating Principal' who must devote substantial full-time and best efforts to the supervision and performance of the franchise. The franchisee may serve in this position. The Operating Principal (or designee) must meet franchisor standards and training requirements. Personal hiring and supervision of employees and all training are required to be performed by the franchisee. |
| Required Suppliers | Franchisor (for apparel and certain music CDs) |
| Supply Restrictions | Franchisee must purchase DivaDance products/services (dance costumes & apparel, music CDs, books) exclusively from DivaDance or approved suppliers, unless written consent is obtained. Must comply with all Franchisor’s standards and specifications. |
| Franchisor Revenue from Suppliers | Approximately 5% of total revenue ($37,052 in 2021) from required purchases. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | Yes |
| Description | DivaDance offers direct financing for up to $12,000 of the initial franchise fee, with a 7% APR over 36 months. Monthly payments are approximately $371, with total interest costs of about $1,339. No prepayment penalty. Default can lead to immediate payment of outstanding balance and termination of the Franchise Agreement. No personal guarantee is required for this direct financing. The franchisor also mentions Lendio for SBA 7(a) loans, requiring a 10% down payment, 680+ credit score, and personal guarantee. |
DivaDance New York Franchise Earnings — Item 19
DivaDance New York 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.
DivaDance New York 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.
DivaDance New York System Growth
DivaDance New York currently operates 18 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 |
|---|---|---|---|
| 2019 | 10 | 0 | 16 |
| 2020 | 3 | 0 | 19 |
| 2021 | 4 | 3 | 21 |
Transfers: 1 | Closures: 3
State Registrations
Registered in 15 states: CA, FL, IL, IN, MD, MI, MN, NY, ND, OR, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by Reese CPA LLC for year ending December 31.
DivaDance New York Franchise — FAQ
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