From the filed FDD — automated extraction, check the source
2026 FDD
SBA-eligible · directory code S8214 since 2025
New Mom School
Education & Children · parent company: not identified
New Mom School is an education and support business offering structured postpartum classes and community programs for new mothers. A franchisee operates a studio-based business, running instructor-led courses that mothers with newborns attend in cohort groups.
New Mom School went from 1 → 21 units over 2023–2025 — too small a starting base for a meaningful percentage per its FDD Item 20.
New to franchising? Start here
A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.
Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. Most numbers on this page come from that document; others come from federal SBA loan records and labor and census data, each labelled with its source:
- Franchise fee — the one-time cost to buy in.
- Royalty — the ongoing cut of your sales you pay the franchisor.
- Item 20 — how many locations opened, transferred and left the system, the main basis for our verdict, which rates how strong the disclosed record is, or says when the system is too new, the filing too old, or the disclosure too thin to judge.
Our rating · opinion
Too new to judge
21 franchised units over 3 disclosed years of Item 20 is too little history for a rating — a young system's record hasn't had time to show how units perform over a full loan term. Judge the disclosures, not a rating.
Exit rate · fiscal 2025
0.0%
vs 2.5% median across 25 comparable systems (education & children)
Cost to open
$133K–$221K
Item 7 total investment range
SBA loan losses
Too few to rate
0 seasoned resolved loans; 30 needed
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Data as of 2026-10-29. Figures come from New Mom School's public FDD filings (latest: MN 2026, extracted 2026-07-22) and SBA FOIA loan records (through FY2026), extracted by us and possibly containing errors. The rating is our opinion, not investment, legal, or tax advice. Franchisor or owner and see something wrong? Report a correction — we review every request.
What each source says
FDD record · SBA loans · model · auditor
The Item 20 record is too short or too small to rate; the loan record and model are context, not a verdict.
FDD record · Item 20
Too little history
Units went from 1 to 21 (2023–2025); exit rate 0.0% (fiscal 2025) vs 2.5% median.
SBA loans · vs same-year loans
Too few seasoned loans
0 resolved loans approved by FY2020; 30 needed.
Modeled risk
Not scored
Too little evidence for the model.
Auditor opinion · Item 21
Clean opinion
Unqualified audit, 2026 FDD. Says nothing about franchisee results.
Behind the verdict
the record, factor by factor · Item 20
latest consecutive years · Item 20 Table 1
terminations + ceased-ops vs. all exits · Table 3
transfers vs. base · Table 3
actual vs. projected openings · Table 5
Item 19 disclosure + completeness · shown, not counted in the verdict
Systemwide units
2023–2025
Survival record
FDD Item 20 · outlet status by year
In fiscal 2025, 0 of 2 franchised outlets left the system — an exit rate of 0.0% (fiscal 2025), vs a 2.5% median across 25 comparable systems (education & children). An exit is not a failure: this counts terminations, non-renewals and "ceased — other reasons" as reported, and excludes transfers to new owners.
Show the outlet tables ↓Hide the evidence ↑
| Status (FTC) | 2023 | 2024 | 2025 |
|---|---|---|---|
| Outlets at start | 1 | 1 | 2 |
| Opened | 0 | 2 | 19 |
| Transfers | 0 | 0 | 0 |
| Terminations | 0 | 0 | 0 |
| Non-renewals | 0 | 0 | 0 |
| Reacquired by franchisor | 0 | 0 | 0 |
| Ceased — other reasons | 0 | 0 | 0 |
| Outlets at end | 1 | 2 | 21 |
| Net change | 0 | +1 | +19 |
The franchisor's own finances
FDD ITEM 21 · AUDITED STATEMENTS · 2026 FDD
Divine, Blalock, Martin & Sellari, LLC gave an unmodified (clean) opinion on the statements in the 2026 FDD; it reported a net loss in every year shown (FY2023–FY2025) and initial and development fees were 64% of FY2025 revenue.
This is the company selling the franchise, not any franchisee. A clean opinion means the statements are fairly presented — not that the business is healthy.
Revenue · FY2025
$801K
p. 126 · matched to statement
Net income · FY2025
−$451K
p. 126 · matched to statement
Where FY2025 revenue came from
19% royalties
64% initial / development fees
Show the statement figures ↓Hide the evidence ↑
| Fiscal year | FY2023 | FY2024 | FY2025 |
|---|---|---|---|
| Total revenue | $0p. 154 · matched to statement | $76Kp. 126 · matched to statement | $801Kp. 126 · matched to statement |
| Royalty revenue | $0p. 154 · matched to statement | $31Kp. 126 · matched to statement | $151Kp. 126 · matched to statement |
| Initial / development feesline: Initial franchise fees | not extracted | $27Kp. 126 | $509Kp. 126 |
| Net income (loss) | −$22Kp. 154 · matched to statement | −$392Kp. 126 · matched to statement | −$451Kp. 126 · matched to statement |
| Equity (deficit) at year end | not extracted | −$119Kp. 125 | −$382Kp. 125 |
| Cash at year end | not extracted | $3,094p. 125 | $1.2Mp. 125 |
The lender's view
SBA 7(a)/504 loan outcomes · compared with franchise loans of the same years
Banks have made 1 SBA-backed loans to New Mom School franchisees since 2025. Only 0 of its loans approved by FY2020 have resolved — fewer than the 30 we need to compare it fairly with other franchise loans, so we don't rate it.
All-time, 0 of 0 resolved loans charged off (—). That raw figure mixes every approval year since 2025 — loans made in 2006–08 failed at several times the rate of loans made in 2010–13 across all franchises — so it is shown as evidence, not as the score. 100% of the brand's loans have not resolved yet.
—
0 seasoned resolved · 30 needed
—
0 of 0 resolved, every approval year
—
charged-off $ ÷ approved $, defaulted loans
$125,000
what recent franchisees borrowed
—
shown with 10+ defaults
—
distinct banks lending
Charge-off rate by loan approval year (%) · dashed line = all franchise loans that year
SOURCE: SBA 7(a)/504 FOIA LOAN DATA (DATA.SBA.GOV), FY1991–PRESENT · MATCHED TO NEW MOM SCHOOL BY SBA FRANCHISE NAME/CODE · RESOLVED = CHARGED-OFF + PAID-IN-FULL · EXPECTED = SAME-YEAR RATE ACROSS ALL SBA FRANCHISE LOANS, LOANS ≥ ~6 YEARS OLD
What it costs — and what it drags
FDD Items 5–7 · fees, investment, royalty
Buying in means a $45,000 franchise fee (Item 5) and a total investment of $133K–$221K (Item 7). The franchisor publishes an earnings claim (Item 19) — read its methodology closely.
To open (Item 7)
$133K–$221K
all-in investment range
Franchise fee (Item 5)
$45,000
upfront, one-time
Royalty (Item 6)
7%
of sales, ongoing
Starts at a placeholder of $300K — a round figure for the sector, not from New Mom School’s filings. Set your own figure and check it against this brand's Item 19 and what owners tell you.
Royalty you'd pay / yr
$21K
7% of sales, before profit
Over a 10-yr term
$210K
royalties alone, excl. ad fund
This estimate is computed by software from the brand's public filings and any inputs you enter. No CPA prepared it for you and no assurance is provided on it. Actual results will differ, and the differences may be material.
This is not profit. It covers what the FDD fixes: what you put in, and the royalty you owe on sales. Your take-home depends on instructor pay, rent, materials, and the months to breakeven, none of which the FDD fixes for your unit (some Item 19s include cost data — read it).
Build a real pro-forma for New Mom School with a buyer-paid CPAHow the earnings claim is built
FDD ITEM 19 · BASIS · 2026 FDD
This filing makes an Item 19 earnings claim; we have not yet read how it is built. Open Item 19 and check which units it covers, which it leaves out, and whether it shows costs.
Show the basis ↓Hide the evidence ↑
Public records
Bankruptcy, closure & federal court records · coverage is selective · dockets are not scored
We have no verified public-record signals published for New Mom School. This is not evidence that no events exist. Check PACER, the FDD's Item 3 (litigation) and Item 4 (bankruptcy), and recent news yourself.
6 questions to ask a New Mom School franchisee
Built from this brand's own disclosures · take it to your validation calls
The franchisor will give you a list of owners to call. Most buyers ask whether they like it. These questions come from what New Mom School has disclosed. Each one carries the number it came from, so you can check the answer against the record.
- 01
You pay 7.0% royalty on gross sales, plus the ad fund, before any of your own costs. On your actual revenue last year, what did you take home as the owner — not revenue, take-home?
Royalty is charged on sales, not profit. This is the number the brochure never shows and the one your life actually runs on.
FDD Item 6
- 02
New Mom School makes an earnings claim in Item 19. Does your unit look like that number — and do you know which units they included to build it?
Item 19 is legal to build from a flattering subset. Ask whether they excluded new units, closed units, or company stores.
FDD Item 19 · 2026
- 03
How many months did it take to cover your own costs, and how much cash did you burn getting there?
Ramp-to-breakeven working capital is the most underestimated line in any franchise purchase, and the most common reason otherwise-good units fail.
Not disclosed in any FDD — ask an owner
- 04
What does the franchisor charge for that you didn't expect — required tech fees, mandatory remodels, approved-supplier pricing?
Required spending appears across Items 6, 8 and 11 rather than in one place, so buyers routinely miss the total.
FDD Items 6, 8, 11
- 05
If your agreement came up for renewal tomorrow at current terms, would you sign again?
The single most predictive question you can ask. A hesitation is the answer.
Ask every owner you speak to
- 06
Who else should I call — including someone who left?
The franchisor's list is curated by definition. Former franchisees are where the unflattering truth lives, and current owners usually know how to reach them.
Ask every owner you speak to
Want this as a checklist you can take to the calls?
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A broker is usually paid by the franchisor to place you. I'm paid only by you, never by a franchisor you're considering — and the job is pressure-testing New Mom School’s numbers, including talking you out of a bad deal.
This page is what buyers see before they call you for validation. If the record above is wrong — or right in a way the numbers can't show — say so. Franchisors: send corrections with the page reference and we will review them against the filing and update or annotate the page. Corrections are checked against the filings; nothing you write is published with your name unless you agree to it.
New Mom School franchise questions, answered from the filings
How many New Mom School franchised outlets left the system last year?
In New Mom School's latest FDD Item 20 (fiscal 2025), 0 of 2 franchised outlets left the system — an exit rate of 0.0% — compared with a 2.5% median across 25 comparable systems (education & children) tracked here. That counts terminations, non-renewals, and "ceased operations — other reasons" as the franchisor reported them; it excludes transfers to new owners. The FDD does not say why each outlet left, and an exit is not the same as a failure.
How much does a New Mom School franchise cost?
Per New Mom School's 2026 FDD, buying in requires an initial franchise fee of $45,000 (Item 5) and a total initial investment of $133K–$221K (Item 7).
What royalty does New Mom School charge?
New Mom School charges an ongoing royalty of 7.0% of gross sales, per Item 6 of its 2026 FDD.
Does New Mom School disclose earnings (Item 19)?
Yes — New Mom School makes a financial performance representation in Item 19 of its 2026 FDD. Read it closely: franchisors choose which units and which metrics to include.