From the filings

HQ-led decisions

Children's Orchard

Youth services

Software purchasing at Children's Orchard is controlled at the corporate level, with President Ronald G. Olson and VP of Strategic Planning Michael D. Smith as key decision-makers. The franchise currently mandates a specific POS system, Shopify for e-commerce, and QuickBooks by Intuit for accounting across its 13 franchised locations. With an average unit volume of $418,805, this small but focused youth-services franchise represents a niche addressable market for vendors who can complement or replace its mandated stack.

For software vendors selling into US franchise brands.

Live signals

Total units
13
13 franchised
Unit growth YoY
-13.333%
vs prior filing
AUV
$419K
Item 19, 2025
Royalty
4%
of gross sales
Ad fund
—
national + local
Initial fee
$25K
per unit
Investment range
$227K–$336K
all-in, Item 7
Procurement
Approved supplier
from the filing
Item 19
Claims
from the filing

Ongoing fee load

What the operator pays every month

The recurring percentage of gross sales named in this filing. It is a floor, not a total — the filing discloses one of the two headline fees.

4%+of gross sales (FY2026)

Ongoing fees: 4% of gross sales (FY2026)Royalty 4%. Total 4% of gross sales, from the fees this filing discloses. Drawn against a 15% reference scale.

15% reference

Royalty 4%

Mandated & recommended tech

The systems vendors compete with

1 of these are mandated in the franchise agreement. Each is named in Item 11 of the filing, the incumbents a challenger must displace or integrate with.

QuickBooks
Mandatory
AccountingItem 11

Personnel and Labor 2.0 0 Plymouth, MN, or a Planning location we designate Marketing 1.0 0 Plymouth, MN, or a location we designate Accounting Basics and 3.5 0 Plymouth, MN, or a QuickBooks location

Franchisor behaviours

What the franchisor requires

22 requirements the franchisor states in this filing, each in its own words; 6 explicit no's; 6 questions the text does not settle, which is not a no.

Accounting

Must the franchisee use an accounting or bookkeeping system designated or approved by the franchisor?

Yes

Item 8

You must use our designated vendor for bookkeeping services, which includes the maintenance and preparation of the Franchised Business’ financial records.

Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?

Yes

Item 11

We have independent access to certain operational and financial information and data produced by your POS System.

Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?

Yes

Franchise agreement

by the fifteenth (15th) of each month monthly financial statements for the previous month that include a complete profit and loss statement and a balance sheet

How the franchisor buys

Is there a franchisee advisory council, association or committee?

Yes

Item 11

We have an advertising council composed of franchisees that advise us on advertising policies.

Does the franchisor reserve the right to change designated suppliers or systems at any time?

Yes

Item 11

We periodically may update or change the POS System or software in response to business, operations, marketing conditions, or changes in technology.

How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?

5500

Item 8

For the year ended December 31, 2025, our affiliate (former software supplier) received $5,500 in revenue as a result of Children’s Orchard® franchisees’ purchases of goods, products and services.

Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?

Yes

Item 8

We may derive revenue directly or in the form of rebates or other payments from suppliers, based directly or indirectly on the sale of clothing, accessories, advertising materials and other items to franchisees.

Item 8 gives this proportion in one of two shapes: separate percentages for establishing the business and for operating it, or one figure covering "establishing and operating" together. Where they are separate, answer with the operating percentage; where the passage gives only the combined figure, answer with that. What percentage of the franchisee's purchases must come from designated or approved suppliers?

45

Item 8

We estimate that the purchase or lease of supplies, inventory and advertising and sales promotions materials which meet our specifications will represent approximately 45% to 55% of the total cost to operate your Store.

Can a franchisee propose a new supplier for the franchisor's approval?

Yes

Item 8

If you want to use any unapproved material, fixture, equipment, furniture or sign, or purchase any items from any supplier that we have not approved, you must first notify us in writing and must submit to us, at our request, sufficient specifications, photographs, drawings or other information or samples for us to…

Communications

Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?

Yes

Franchise agreement

You acknowledge that we have the sole right to and interest in all telephone numbers and directory listings associated with the Licensed Marks, and you authorize us, and appoint us as your attorney- in-fact, to direct the telephone company and all listing agencies to transfer such numbers and listings to us;

Franchise management

Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?

Yes

Franchise agreement

To determine whether you are complying with this Agreement, we may, at any time during business hours and without prior notice to you, inspect the Store.

Can the franchisor change the operations manual and brand standards unilaterally?

Yes

Franchise agreement

We may add to, and otherwise modify, the Operations Manual to reflect changes in authorized products and services, and specifications, standards and operating procedures of a Children’s Orchard® store.

Must the franchisor approve the franchisee's site or location before opening?

Yes

Franchise agreement

You will not open the Store for business without our prior written approval.

Marketing

Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?

Yes

Franchise agreement

You will not register, as Internet domain names, any of the Licensed Marks or any abbreviation, acronym or variation of the Licensed Marks, or any other name that could be deemed confusingly similar.

Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?

Yes

Item 11

You must spend at least 5% of the Net Sales of your Store during each calendar year on “approved” local advertising and promotional activities in your local geographic area.

Must the franchisee participate in a regional advertising cooperative when one exists?

Yes

Item 11

You also must participate in and contribute to the local or regional advertising cooperative (the “Cooperative”) established in the area where your Store is located.

Operations

Must the franchisee buy products from a designated distributor?

Yes

Item 8

You will purchase the POS System directly from Resale Word.

Must equipment be purchased from designated or approved suppliers?

Yes

Item 8

You will purchase the POS System directly from Resale Word.

Payments

Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?

Yes

Franchise agreement

I, the undersigned officer of ______________________ (“Franchisee”), hereby authorize Children’s Orchard, LLC to withdraw or deposit funds, utilizing the following account, by ACH draft or electronic debit for payment or receipt of funds relating to royalty fees, technology access fees, advertising fund…

Point of sale

Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?

Yes

Item 11

You must use in your Store a computerized multi-purpose point-of-sale system (“POS System”) that we have selected for use in Stores.

Does the franchisor have independent access to the data in the franchisee's POS or computer system?

Yes

Item 11

We have independent access to certain operational and financial information and data produced by your POS System.

Training

Can the franchisor charge the franchisee for additional, refresher or remedial training?

Yes

Franchise agreement

We may charge you a reasonable fee for the supplemental and refresher training programs.

The filing answers no to 6 questions
  • Is the franchisor or an affiliate itself a supplier of required products, services or systems?Item 8
  • Does the franchisor charge a fee to evaluate a proposed supplier?Item 8
  • Must the franchisee participate in a customer-satisfaction or net-promoter survey program?Franchise agreement
  • Is a minimum grand opening advertising spend required?
  • Must the franchisee participate in a customer loyalty or rewards program?Franchise agreement
  • Must the franchisee participate in a gift card program?Item 8

The vendor opportunity at Children's Orchard

Children's Orchard operates 13 franchised locations in the youth services segment, with an average unit volume of $418,805. The brand is headquartered in Minnesota and appears independently owned, with no parent company on file. For software vendors, the addressable market is small—just 13 units—but the centralized purchasing model means a single deal can cover the entire system. Unit count declined by 13.3% year-over-year, which may signal consolidation or churn; vendors should assess whether the remaining franchisees are stable and investing in technology.

The royalty rate is 4.0% of gross revenue. The initial term length was not disclosed in the 2026 FDD, so contract renewal cycles remain opaque. Vendors targeting this brand should focus on the mandated tech stack and any gaps it creates for franchisees.

Who controls software purchasing

Purchasing authority sits at the corporate level. The 2026 FDD lists four executives: Ronald G. Olson (President), Chad Olson (Chief Operations Officer), Michael D. Smith (Vice President of Strategic Planning), and Jenny Mann (Senior Vice President). For software sales, the most relevant contacts are likely President Ronald G. Olson and VP of Strategic Planning Michael D. Smith, who would evaluate tools that impact operations or strategic initiatives. Chad Olson, as COO, may influence operational software decisions. No operator-level buyers were mapped in our corpus, reinforcing the HQ-driven procurement model.

Mandated and current tech stack

Children's Orchard mandates four technology components. First, a proprietary Children's Orchard website and extranet system is required for all franchisees. Second, a POS software is mandated, though the specific vendor is not named in the available FDD extract. Third, Shopify is mandated for e-commerce. Fourth, QuickBooks by Intuit Inc. is mandated for accounting. This stack covers point-of-sale, online sales, and financial management, leaving potential openings in areas like inventory management, payroll, CRM, or marketing automation—provided the vendor can demonstrate integration with Shopify and QuickBooks.

Procurement, renewals, and timing

The FDD does not include an Item 8 procurement signal, so it is unclear whether Children's Orchard uses a designated supplier model, an approved supplier list, or an open procurement process. Vendors should inquire directly about supplier qualification requirements. Item 17 renewal signals were also absent, meaning the franchise agreement's renewal conditions and timing are not publicly known. Combined with the undisclosed initial term, predicting contract windows is difficult. The recent unit decline may mean the franchisor is focused on stabilization rather than new vendor adoption.

How to read the Children's Orchard FDD

The 2026 Franchise Disclosure Document is the primary source for understanding Children's Orchard's obligations to franchisees, including technology mandates, fees, and purchasing rules. Key sections for software vendors include Item 11 (franchisor's assistance, advertising, computer systems, and training), which lists the mandated tech stack, and Item 8 (restrictions on sources of products and services), which would clarify procurement rules—though it was not available in our extract. The full FDD is embedded below for your review.

For a ranked list of franchise systems that match your software category, FranCloud can help you prioritize targets by tech stack, unit count, and buyer signals.

Questions vendors ask

Children's Orchard, answered from the filing

President Ronald G. Olson and VP of Strategic Planning Michael D. Smith are the named executives. Purchasing authority appears centralized at HQ given the mandated tech stack.
The FDD mandates a specific POS software (vendor not named), Shopify for e-commerce, QuickBooks by Intuit for accounting, and a proprietary Children's Orchard website and extranet system.
There are 13 franchised units. Company-owned units were not disclosed in the 2026 FDD. The brand operates in the youth services segment.
The procurement model is not detailed in the available FDD extract. Item 8 signals regarding designated or approved suppliers were not disclosed.
The initial term length and Item 17 renewal signals were not disclosed in the 2026 FDD. With a -13.3% unit decline, contract openings may be limited.
The 2026 FDD is filed with state franchise regulators. You can view the embedded PDF viewer below for the full document.
Source

Read the filing itself

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Children's Orchard2026 FDDView only

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The brands you can actually sell into, from the filings.

Operator footprint

Who runs the locations

1 operators run 1 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.

Operators by units owned

Single-unit1

Top states by locations

WI1

Ownership

The portfolio behind Children's Orchard

unknown of nty franchise.

Related Youth services brands

Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.