Franchise Preschool, Collin County Texas Childcare Center

Full Editorial Writeup

This is a franchised preschool operating in Collin County, Texas, one of the fastest-growing and most affluent suburban markets in the country north of Dallas. The center generates roughly $3.72M in annual revenue with $1.07M in owner cash flow, a healthy 29% margin that reflects the operating leverage of a mature, full enrollment childcare facility. It runs out of a leased building with an experienced director and staff already in place, which is why the seller describes it as a near-absentee operation requiring minimal owner involvement.

Childcare is one of the stickier local service categories a buyer can own. Parents in a dual-income, high-income market like Collin County treat full-day preschool as a non-negotiable line item, and switching costs are high once a child is enrolled and settled. Revenue arrives monthly through tuition, waitlists tend to form in strong districts, and the franchise brand provides curriculum, marketing, and enrollment playbooks that lower the risk for a first-time operator.

The asking price of $4.8M implies a 4.47x cash flow multiple, which is toward the upper end for a single-location childcare center. That premium is being paid for scale (this is a large center by revenue), the demographic strength of the market, and the manager-run structure. A buyer needs $250K in additional capital and $750K net worth to satisfy the franchisor, so this is priced for a capitalized owner-investor rather than a hands-on operator buying a job.