Once Upon A Child franchise cost: investment, fees and the SBA default rate
Items 5, 6 and 7 · Once Upon A Child FDD 2026 · Updated 2026
A Once Upon A Child franchise costs $355,700–$485,900 in total initial investment, according to Item 7 of the brand's FDD (2026), including an initial franchise fee of $25,000 (Item 5); the ongoing royalty is 5% of sales (Item 6). Winmark charges no percentage ad fund now; franchisees must spend at least 5% of Gross Sales yearly on cooperative or local advertising, or Winmark may require them to pay the shortfall. On the lending side, Once Upon A Child franchisees defaulted on 3.4% of SBA 7(a) loans approved FY2010–FY2019 (3 of 87), and the average SBA loan to a Once Upon A Child franchisee in that cohort was $191,197.
| Total initial investment (Item 7) | $355,700–$485,900 |
|---|---|
| Initial franchise fee (Item 5) | $25,000 |
| Royalty (Item 6) | 5% of sales |
| Fee notes (Item 6) | Winmark charges no percentage ad fund now; franchisees must spend at least 5% of Gross Sales yearly on cooperative or local advertising, or Winmark may require them to pay the shortfall. |
| SBA 7(a) default rate, FY2010–FY2019 | 3.4% |
| Average SBA loan, 2010s cohort | $191,197 |
| Average SBA loan since 2020 | $386,582 |
| Industry | Children's and Infants' Clothing Stores |
How much does it cost to open a Once Upon A Child franchise?
Item 7 of the FDD estimates the total initial investment at $355,700–$485,900. It is the franchisor's own estimate of what a new franchisee spends to open one unit, typically the franchise fee, equipment, premises or vehicle costs, opening inventory and an initial working-capital reserve. The low and high ends usually reflect different unit sizes, leasing versus buying, and local costs.
What does the SBA data add?
The federal loan record adds what the FDD cannot: Once Upon A Child franchisees defaulted on 3.4% of SBA 7(a) loans approved FY2010–FY2019 (3 of 87 resolved loans), against the Children's and Infants' Clothing Stores industry average of 9.6%, according to U.S. Small Business Administration data with statuses as of June 30, 2026. Since 2020 they have taken 67 new SBA loans, of which 0 have already charged off.
Set the investment range against the loans: an average SBA loan of $191,197 against the $355,700–$485,900 investment range says roughly how much of a typical Once Upon A Child opening was debt-financed in the 2010s. The brand page has the year-by-year record and the industry comparison.
What would Once Upon A Child's royalty and ad fund cost at your sales level?
From Item 6: royalty 5% of sales. Royalty and ad fund only · illustration. Other Item 6 fees, fixed or percentage, are not included.
| Annual sales | Royalty |
|---|---|
| $250,000 | $12,500 |
| $500,000 | $25,000 |
| $1,000,000 | $50,000 |
| $2,000,000 | $100,000 |
Most SBA default figures published online use loans approved since 2020 — loans that have had six years or less to fail — so those rates are floors, not outcomes. Every rate on this site is computed from the matured FY2010–FY2019 cohort: loans that have been paid in full or charged off, so the result is settled. Loans approved since 2020 are shown as counts so early charge-offs are visible without being mistaken for a rate.
Frequently asked
How much does a Once Upon A Child franchise cost?
A Once Upon A Child franchise costs $355,700–$485,900 in total initial investment, according to Item 7 of the brand's FDD (2026), including an initial franchise fee of $25,000 (Item 5); the ongoing royalty is 5% of sales (Item 6). Winmark charges no percentage ad fund now; franchisees must spend at least 5% of Gross Sales yearly on cooperative or local advertising, or Winmark may require them to pay the shortfall. On the lending side, Once Upon A Child franchisees defaulted on 3.4% of SBA 7(a) loans approved FY2010–FY2019 (3 of 87), and the average SBA loan to a Once Upon A Child franchisee in that cohort was $191,197.
What is the Once Upon A Child franchise fee?
$25,000, per Item 5 of the FDD.
What royalty does Once Upon A Child charge?
5% of sales, per Item 6. Winmark charges no percentage ad fund now; franchisees must spend at least 5% of Gross Sales yearly on cooperative or local advertising, or Winmark may require them to pay the shortfall.
What is Once Upon A Child's SBA loan default rate?
3.4%: 3 of 87 SBA 7(a) loans approved FY2010–FY2019 to Once Upon A Child franchisees were charged off.
Source
Sources: Once Upon A Child Franchise Disclosure Document (2026, Minnesota CARDS file 35513-202603-09); U.S. Small Business Administration, 7(a) loan program charge-off data, FY2010–FY2019. Franchise data is matched on the SBA's franchise code / brand name. "Failure rate" here means the share of approved loans (resolved: paid in full or charged off) that were charged off; it is not a measure of unit closures. Last updated September 30, 2026.
Cite this page
Franchise Failure Rates (2026). Once Upon A Child franchise cost, Items 5–7, and SBA 7(a) default rate. From the Once Upon A Child FDD and U.S. SBA FOIA data, loan statuses as of June 30, 2026.
https://franchisefailurerates.com/franchise/once-upon-a-child/cost/ · Data & methodology