1980
16
$90,000
$20,000
$326,000
No
Children’s Orchard is a leading children's resale franchise that offers a sustainable and affordable shopping experience for families. Founded in 1980 and franchising since 1985, the brand has established itself as a trusted name in the resale industry. With a focus on gently used, name-brand clothing, shoes, toys, and baby equipment, Children's Orchard provides parents with an eco-friendly alternative to traditional retail shopping.
Operating under the umbrella of NTY Franchise Company, Children's Orchard has undergone significant growth and modernization, including a rebranding in 2015 to enhance its market presence. The franchise's commitment to quality, customer service, and sustainability has positioned it as a leader in the resale market, appealing to environmentally conscious consumers seeking value without compromising on style.
Investing in a Children's Orchard franchise offers several compelling advantages:
Sustainable Business Model: Capitalize on the growing demand for eco-friendly and affordable children's products.
Proven Success: Benefit from a franchise system with a track record of success and a strong brand presence.
Comprehensive Support: Receive extensive training and ongoing support to ensure business success.
Community Impact: Contribute to environmental sustainability by promoting the reuse and recycling of children's items.
1. Established Year:
Children’s Orchard was founded in 1980 in Ann Arbor, Michigan. It began as a single store focused on providing families with high-quality, gently used children's clothing, shoes, toys, and baby gear at affordable prices.
2. Franchise Launch:
The franchise model was introduced in 1985, allowing entrepreneurs across the U.S. to open stores under the Children’s Orchard brand. This enabled the brand to expand beyond Michigan and build a national presence.
3. Franchise Units:
Currently, Children’s Orchard has approximately 16 locations in the United States, including 15 franchised stores and 1 corporate-owned unit. These stores are primarily in regions with strong family populations and a demand for resale products.
4. Founders and Ownership:
The company was originally founded by a group of local entrepreneurs dedicated to providing affordable children’s products. In 2015, Children’s Orchard was acquired by NTY Franchise Company, which also owns other resale-focused brands like Clothes Mentor. Under NTY, the franchise has benefited from professional management, rebranding efforts, and operational modernization.
5. Brand Journey & Evolution:
Started as a single resale store in 1980.
Expanded through franchising in 1985.
Maintained a consistent focus on quality, family affordability, and sustainability.
Underwent a rebranding in 2015 to modernize the brand and expand marketing reach.
Integrated technology tools, community engagement strategies, and professional franchise support to strengthen operations.
6. Market Presence in the USA:
Children’s Orchard operates in various U.S. states with opportunities to expand into untapped markets. Its focus on resale aligns with increasing consumer interest in sustainable shopping and eco-friendly practices.
7. Industry Category:
The franchise falls under the Retail and Children’s Apparel Resale industry, catering to families seeking high-quality used items, eco-conscious consumers, and budget-conscious parents.
8. Key Differentiators:
Emphasis on sustainability and environmentally friendly practices.
Wide range of products including clothes, toys, and baby gear.
Strong franchise support system, including training, marketing, and operational guidance.
Established reputation and trust among families.
Children’s Orchard offers comprehensive support and training programs designed to help franchisees successfully launch, manage, and grow their business. This support covers every stage of the franchise journey—from pre-launch to ongoing operations.
Before opening, franchisees receive guidance to ensure a smooth and strategic launch:
Site Selection Assistance: Expert advice on choosing the most profitable location based on market research, demographics, and competition analysis.
Lease Negotiation Support: Guidance in securing favorable lease terms and contracts.
Store Design & Layout: Assistance with store layout planning, fixtures, signage, and interior design to optimize customer flow and merchandising appeal.
Local Market Research: Insights on the local community, customer preferences, and competition to tailor product offerings effectively.
Children’s Orchard provides hands-on, structured training for new franchisees and key staff:
Operational Training: Covers daily store operations, inventory management, and employee supervision.
Point-of-Sale System Training: Guidance on using proprietary POS systems for efficient sales and inventory tracking.
Customer Service Training: Techniques for delivering exceptional service to build loyalty and repeat business.
Merchandising & Inventory Management: How to price, display, and manage inventory to maximize sales and minimize waste.
Franchisees are never left on their own after launch:
Regular Check-Ins: Scheduled visits, calls, and emails from the corporate support team to monitor performance and provide guidance.
Operational Updates: Continuous updates on best practices, procedures, and industry trends.
Problem Solving Assistance: Direct support for resolving operational, staffing, or customer-related challenges.
Marketing is a core part of the Children’s Orchard franchise system:
National Marketing Campaigns: Access to brand-wide campaigns and promotions to increase visibility.
Local Marketing Guidance: Strategies for social media, community events, school partnerships, and local advertising to drive foot traffic.
Promotional Materials: Access to pre-designed flyers, banners, email templates, and digital marketing tools.
Franchisees gain deep knowledge about resale operations:
Product Education: Understanding quality standards, product sourcing, and pricing strategies for second-hand goods.
Sustainability Training: Guidance on promoting eco-friendly practices, including clothing recycling and community outreach programs.
Continuous Learning: Opportunities for attending workshops, webinars, and franchise conferences to stay updated with trends.
Children’s Orchard provides proprietary tools to streamline operations:
Inventory Management Software: Track stock levels, product turnover, and profitability.
Financial Reporting Tools: Help franchisees analyze sales data, expenses, and revenue trends.
POS Integration: Simplified sales process and customer management system.
Local Partnership Programs: Advice on connecting with schools, daycares, and family-centric organizations.
Event Planning: Guidance on hosting in-store events or community initiatives to increase brand loyalty.
Customer Loyalty Programs: Support to implement programs that encourage repeat visits and long-term customer relationships.
Summary:
Children’s Orchard offers a well-rounded, hands-on support system that equips franchisees with the knowledge, tools, and guidance needed for success. From pre-launch planning to ongoing operational assistance, marketing, and technology integration, franchisees receive continuous support to maximize revenue, grow their store, and build a sustainable business.
Children’s Orchard seeks franchisees who are passionate, committed, and capable of running a sustainable and community-focused retail business. The ideal franchisee profile combines entrepreneurial drive with a desire to make a positive impact on families and the environment.
Franchisees should have a strong desire to own and operate their own business.
Must be motivated, self-driven, and capable of making strategic decisions.
Should embrace innovation and be willing to adapt to local market needs while following the franchise system.
Previous retail or business management experience is highly desirable, though not strictly required.
Knowledge of customer service, inventory management, and sales operations is a significant advantage.
Ability to manage employees, handle day-to-day store operations, and maintain quality standards.
Genuine interest in serving families and children is crucial.
A strong commitment to providing quality, affordable, and sustainable children’s products.
Ability to engage with the local community, schools, and families to foster customer loyalty.
Children’s Orchard emphasizes eco-friendly and sustainable business practices.
Franchisees should be passionate about promoting reuse and recycling in children’s apparel and products.
Enthusiasm for supporting the brand’s mission of environmental responsibility.
The ideal franchisee should have:
Liquid assets: $75,000 – $90,000
Net worth: At least $400,000
Total investment readiness: $174,700 – $326,000, depending on location and store size.
Ability to manage operational costs, payroll, marketing, and inventory while growing the business sustainably.
Strong interpersonal and communication skills to build relationships with customers, employees, and local organizations.
Ability to participate in community events and marketing initiatives to enhance brand visibility.
Enjoys working in a family-friendly and community-centered environment.
Ideal candidates should be willing to invest in areas with high family populations, including suburban neighborhoods or growing urban communities.
Availability to dedicate time and energy to launching and managing the franchise successfully, especially during the first 12–24 months.
The ideal Children’s Orchard franchisee is:
Entrepreneurial and business-minded
Passionate about children, families, and sustainability
Financially capable and ready to invest in a growing franchise
Experienced (or eager to learn) in retail operations
Community-focused and dedicated to building a strong local presence
By matching these qualities, franchisees are more likely to achieve long-term success while upholding the Children’s Orchard brand values and delivering excellent customer experiences.
| Financial Component | Details / Range |
|---|---|
| Initial Franchise Fee | $20,000 – $25,000 |
| Total Investment Required | $174,700 – $326,000 (includes leasehold improvements, signage, fixtures, and inventory) |
| Minimum Cash Requirement | $75,000 – $ 90,000 |
| Net Worth Requirement | $400,000 |
| Royalty Fee | 4% of gross sales |
| Marketing Fee / Fund Contribution | $1,500 per year |
| Infrastructure / Store Setup | $70,000 – $150,000 (varies based on location and store size) |
| Working Capital | $20,000 – $40,000 |
| Franchise Units | Approximately 16 (15 franchised + 1 corporate-owned) |
| Expected Average Annual Sales | $398,868 per store |
| Break-Even Timeline | 18 – 24 months (depending on location, market, and operational efficiency) |
| Potential Revenue Streams | - Sale of gently used children’s clothing, toys, and equipment - Cash purchases from customers - Seasonal promotions & events - Potential online sales or special orders |
| Return on Investment (ROI) | Typically achievable within 3 – 5 years, depending on location and operational performance |
