FacebookMeta
tain a separate website, splash page or other presence on the Internet through any internet or social networking site in connection with the operation of your Business, including, Facebook, LinkedIn,
From the filings
HQ-led decisions
Stem Builders Learning Center
EducationSoftware purchasing at Stem Builders Learning Center is controlled by Co-Founder and CEO/COO Madhuri Chanda and Founder/CMO/CFO Kalyan Chanda at the brand's Minnesota headquarters. The franchise currently mandates Calimatic technologies and Intuit Software, with a total addressable market of 3 franchised locations.
For software vendors selling into US franchise brands.
Live signals
Total units
3
3 franchised
Unit growth YoY
0%
vs prior filing
AUV
—
Item 19, 2023
Royalty
7%
of gross sales
Ad fund
2%
national + local
Initial fee
$25K
per unit
Investment range
$71K–$105K
all-in, Item 7
Procurement
Approved supplier
from the filing
Non-compete
2 years
from the filing
Item 19
No claims
from the filing
Ongoing fee load
What the operator pays every month
The recurring percentage of gross sales named in this filing, before rent, labour or any technology fee.
9%of gross sales (FY2023)
15% reference
Mandated & recommended tech
The systems vendors compete with
Systems named in Item 11 of this filing. None is recorded as mandated here, which is not the same as the filing mandating nothing. Read Item 11 before treating the category as open.
InstagramMeta
page or other presence on the Internet through any internet or social networking site in connection with the operation of your Business, including, Facebook, LinkedIn, Pinterest, Instagram, Google+, T
IntuitIntuit
ommend that You obtain your Internet access from a major supplier. FDD2023v1 - 19 - 5. We have no contractual obligation to provide support for Microsoft software, Adobe Software, Intuit Software, or
LinkedInLinkedIn
arate website, splash page or other presence on the Internet through any internet or social networking site in connection with the operation of your Business, including, Facebook, LinkedIn, Pinterest,
PinterestPinterest
ite, splash page or other presence on the Internet through any internet or social networking site in connection with the operation of your Business, including, Facebook, LinkedIn, Pinterest, Instagram
TwitterX
nce on the Internet through any internet or social networking site in connection with the operation of your Business, including, Facebook, LinkedIn, Pinterest, Instagram, Google+, Twitter or YouTube,
YouTubeGoogle
Internet through any internet or social networking site in connection with the operation of your Business, including, Facebook, LinkedIn, Pinterest, Instagram, Google+, Twitter or YouTube, that uses a
Franchisor behaviours
What the franchisor requires
23 requirements the franchisor states in this filing, each in its own words; 1 explicit no; 10 questions the text does not settle, which is not a no.
Accounting
Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?
YesItem 11
Under the Franchise Agreement, We have unlimited independent access to the information for any proper purpose under the Agreement.
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesItem 8
Both We and Our affiliate(s) have the right to make a profit on items You purchase from Us.
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 8
We may modify the list of our designated and approved suppliers and our specifications at any time and revoke our approval of any previously approved supplier upon 30 days’ notice.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
0Item 8
During the fiscal year which ended on December 31, 2022, we received $no revenue based on required purchases or leases by franchisees made in accordance with Our specifications.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
Because of common industry practices, we expect to receive rebates, discounts and allowances from some vendors with whom you do business.
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?
5Item 8
approximately 5 to 10% of Your overall purchases in operating the Licensed Business.
Does the franchisor charge a fee to evaluate a proposed supplier?
YesItem 8
We have the right to charge a fee of up to $500 to evaluate a supplier.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
You may request that we approve certain suppliers that we have not previously approved and the goods and services they offer.
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesFranchise agreement
Franchisee/Assignor, in consideration of Franchisor/Assignee granting a STEM Builders Learning Center franchise contemporaneously herewith, and other valuable consideration, the receipt and sufficiency of which is hereby acknowledged, hereby assigns to STEM Builders Learning Center all telephone numbers and listings…
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesItem 21
Inspection of franchise stores;
Can the franchisor change the operations manual and brand standards unilaterally?
YesItem 11
We will modify this manual, but the modifications will not alter Your status and rights under the Franchise Agreement.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 11
Review and approve or disapprove Your selected business Premises (Franchise Agreement, Articles 1 & 7) as follows:
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesItem 11
You may not establish or maintain a separate website, splash page or other presence on the Internet through any internet or social networking site in connection with the operation of your Business, including, Facebook, LinkedIn, Pinterest, Instagram, Google+, Twitter or YouTube, that uses any variation of the Marks…
Is a minimum grand opening advertising spend required?
YesItem 11
You are required to spend between $1,000 and $3,000 for your Grand Opening marketing program.
Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?
YesItem 11
We require you to spend the greater of 5% of your Gross Revenues or $500 per month on approved marketing and advertising in your Territory.
Must the franchisee participate in a regional advertising cooperative when one exists?
YesItem 11
If at any time there are two or more STEM BUILDERS LEARNING CENTER franchisees within a marketing area We may require You to participate in a local marketing cooperative.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
You must purchase from Us or a supplier that We approve certain equipment, supplies and inventory necessary to start or operate the Licensed Business.
Must equipment be purchased from designated or approved suppliers?
YesItem 8
You must purchase from Us or a supplier that We approve certain equipment, supplies and inventory necessary to start or operate the Licensed Business.
Payments
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesItem 6
We will collect the fees by automatic bank drafts.
People
Does the franchisor require minimum staffing levels or specific roles?
YesItem 15
You must, at all times, employ at least one STEM Builder Trained Specialist (SBT).
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesItem 11
We may require You to purchase specified point of sale or register equipment and software and/or portable hand-held devices.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesItem 11
Under the Franchise Agreement, We have unlimited independent access to the information for any proper purpose under the Agreement.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 11
We have the right to require you to attend no more than three days of additional training per year and we have the right to require you to pay for the training.
The filing answers no to 1 question
- Is there a franchisee advisory council, association or committee?Item 11
The vendor opportunity at Stem Builders Learning Center
Stem Builders Learning Center operates a small, tightly controlled franchise system of 3 units, all of which are franchised. The brand is headquartered in Minnesota and appears to be independently owned, with no parent company on file. For software vendors, the addressable market is limited to these 3 locations, with a single mapped operator in Minnesota. The royalty rate is 7.0%, and the initial franchise term is 5 years. Average unit volume (AUV) and year-over-year unit growth are not disclosed in the 2023 FDD.
Who controls software purchasing
Purchasing authority resides at the headquarters level. The 2023 FDD lists two executives: Madhuri Chanda, Co-Founder and Chief Executive Officer & Chief Operating Officer, and Kalyan Chanda, Founder and Chief Marketing Officer & Chief Financial Officer. With no multi-unit operators on file and a single mapped operator across the system, the buying center is concentrated in these two individuals. Any software pitch should be directed to this leadership team, as there is no indication of decentralized or franchisee-driven procurement.
Mandated and current tech stack
The 2023 FDD mandates two specific technology systems: Calimatic technologies and Intuit Software. Calimatic is likely the operational or learning management backbone, while Intuit Software points to financial and accounting functions. No other mandated or recommended vendors are named. Vendors offering complementary or replacement solutions for education management, scheduling, billing, or CRM should be prepared to demonstrate clear integration paths or superior value against these incumbents.
Procurement, renewals, and timing
Item 8 of the FDD provides no extract regarding procurement rules, designated suppliers, or approved vendor programs. This absence suggests an open or undefined procurement model, though the small size of the system means any purchasing decision will be made directly by the founders. Renewal conditions, per Item 17, state that a franchisee in good standing may renew under the then-current agreement, which the franchisor notes may be materially different from the original. The initial term is 5 years, but with no disclosed unit growth or recent expansion activity, there are no clear signals for when contract windows might open.
How to read the Stem Builders Learning Center FDD
The 2023 Franchise Disclosure Document is the authoritative source for understanding this franchise's operations, obligations, and vendor relationships. Key sections for software vendors include Item 8 (procurement restrictions), Item 11 (mandated technology and supplier lists), and Item 17 (renewal and term conditions). The embedded viewer below provides full access to the document. Use it to verify the mandated tech stack, identify any undisclosed supplier relationships, and assess the franchisor's control over technology decisions. For a ranked target list of franchise systems matched to your software category, FranCloud can help.
Questions vendors ask
Stem Builders Learning Center, answered from the filing
Based on the 2023 FDD, Co-Founder Madhuri Chanda (CEO & COO) and Founder Kalyan Chanda (CMO & CFO) are the listed executives, indicating they control purchasing decisions.
The 2023 FDD mandates Calimatic technologies and Intuit Software. No other mandated or recommended systems are disclosed.
There are 3 total units, all franchised. The number of company-owned units is not disclosed. The sole mapped operator is in Minnesota.
The procurement model is not disclosed in the most recent FDD. Item 8 contains no extract regarding designated or approved suppliers.
With a 5-year initial term and renewal permitted under a materially different, then-current agreement, contract windows are unpredictable. No recent unit growth data is available to signal expansion.
The 2023 FDD was filed with state franchise regulators. You can view the embedded PDF viewer below to analyze the full document.
Source
Read the filing itself
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FDD alert
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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
| MN | 1 |
|---|
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Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.