Algorithmics Franchise News

How Many Students Does a Coding School Need to Break Even?

Business Insights
Short answer: 68 students.
That is the median monthly break-even point across Algorithmics franchise centers that report full monthly cost data. By region, it ranges from 60 students in Latin America to 99 in Central and Eastern Europe.
Most people evaluating a children's coding franchise ask about the investment first. The more useful number is the second: how many enrolled students it takes for the center to cover its monthly costs. That number decides how long you fund the business from your pocket, and it is the number this article answers with real operating data.

What break-even means here

Break-even is the monthly operating point where revenue from enrolled students covers the center's recurring cost base. The cost base has three items:
  • Payroll - teachers, sales staff, administration
  • Rent - premises, taken from the lease
  • Marketing - the marketing fee plus direct ad spend
Revenue is calculated after the 12% royalty, so every figure below already includes it. The calculation is the monthly fixed base divided by the monthly revenue per student after royalty.
This is the monthly operating break-even. It does not include the one-off franchise fee, fit-out capital expenditure, or the time it takes a new center to fill. The franchise kit covers those separately. This is a planning benchmark based on centers already trading, not a projection of any individual result.

Break-even by region

Monthly medians in USD. Break-even is calculated on revenue net of the 12% royalty.