Several Sylvan Learning Centers shutting down as Minnesota school year begins
Several Sylvan Learning Centers shutting down as MN school year begins
Sylvan Learning is a national company that has specialized in private tutoring in math, reading and college prep for students for more than 40 years. FOX 9's Paul Blume has details on how several Sylvan franchises are shutting dowm as the school year begins.
MINNEAPOLIS (FOX 9) - Several Sylvan Learning centers in Minnesota shut down right before the start of the school year.
What we know:
Paul Ripon purchased nine Sylvan Learning centers last year in cities like Edina, Maple Grove and St. Cloud.
Sylvan Learning is a national company that has specialized in private tutoring in math, reading and college prep for students for more than 40 years.
But in the past year, several Sylvan franchises owned and operated by Ripon have repeatedly canceled tutoring sessions, shut down or been evicted due to non-payment of rent, according to records obtained by FOX 9 Investigators.
Sylvan Learning centers in Maple Grove and Burnsville stopped operating right before the start of the school year after Ripon was evicted for failing to pay tens of thousands of dollars in rent.
The other side:
In an interview, Ripon acknowledged his business "is not doing well" and is currently operating only two of the nine centers he originally purchased.
In addition to maintaining those centers in Edina and Coon Rapids, Ripon said he initiated virtual tutoring to help meet customer demand while attempting to relocate to more affordable space.
He blamed part of the franchise's struggles on his inability to find strong educators.
"I would rather go out of business than provide inadequate service," he said.
What they're saying:
The FOX 9 Investigators spoke to customers as well as tutors and former employees about their experiences since Ripon took over the Sylvan Learning centers.
Parents who paid thousands of dollars for sessions say they cannot even book tutors for their children.
When sessions were provided, several parents complained their children received instruction well below their grade levels.
"All of a sudden, my child wasn't getting reading, and reading comprehension," said Jackie Friesen. "As a fourth grader at the time, she was getting second grade math."
Friesen paid $5,300 for 100 tutoring sessions for her ten-year-old daughter at the Woodbury location but said the sessions were frequently canceled throughout the year when a tutor could not be provided.
That location is one of seven centers no longer operating.
Friesen demanded her money back but was told her discounted rate was "non-refundable," according to a conversation with Ripon that she recorded.
Friesen and several other parents are now looking for an attorney to explore potential litigation.
"I accept being disappointed for me," Friesen told the FOX 9 Investigators. "But I am not OK with my kids being disappointed. And that's who the victim is here. The victim is my daughter, who needs the help."
By the numbers:
Friesen and other customers paid for the tutoring services after obtaining financing through Sylvan payment plans.
Matt Neubert purchased an $8,000 tutoring package for his then 3rd grade daughter at the Maple Grove center.
He paid $2,000 in cash and financed the remaining $6,000 through a Sylvan Learning tuition account with Comenity Capital Bank.
He is now demanding a partial refund after the Maple Grove center abruptly shut down.
Court records show Ripon’s company was evicted and ordered to vacate that location as well as an office in Burnsville by Sept 5.
Ripon owes more than $115,000 in unpaid rent for at least three Sylvan Centers, according to court records reviewed by the FOX 9 Investigators.
The Sylvan Learning Center in Roseville also faces eviction if Ripon doesn’t come up with nearly $43,000 in past due rent, real estate taxes and operating expenses.
The franchise owner blamed one center’s failure on a lack of steady demand.
"Earlier this year, the Burnsville center suffered a catastrophic financial setback due to low sales and low customers," Ripon wrote in an email to his Burnsville customers on Sept 2.
"Our present needs are your support, patience, and accommodation. I know that it is not what you signed up for, but I can assure you that my two hands need your hands as well!"
Neubert claims Ripon hasn’t communicated with him at all.
"We have tried calling, emails, texting, weeks without any return," Neubert said about his efforts to get his money back after the Maple Grove location went out of business. "Very vague answers, ‘We will get back to you. We got this covered, and you got nothing to worry about.’ And just to find out we got a lot to worry about."
Dig deeper:
In a statement to the FOX 9 Investigators, a spokesperson for Sylvan Learning said the company has been made aware of issues involving the franchise in the Twin Cities.
"This situation does not reflect the standards or values of Sylvan Learning," the spokesperson said. "Our focus is on supporting families, and we are working with other local Sylvan centers to help students continue their learning."
But a former tutor said several families are "not getting refunds."
TJ Strandlien, who claims he is still owed for several hours of tutoring, said he left the Coon Rapids location last month when Ripon delayed his paychecks and offered to pay him in cash.
"It's kind of weird meeting your former boss in a parking lot to get cash," said Strandlien.
Strandlien said Ripon also stopped paying for Wi-Fi at that location even though most of the tutoring lessons are conducted on iPads.
"We were even bringing in materials from home to teach these kids because we thought we were having an IT issue," said Strandlien.
Ripon did not specifically address the issue of employee backpay, referring all follow-up questions to Sylvan’s corporate office.
He told the FOX 9 Investigators, he is still providing educational services to nearly 50 families between the Edina and Coon Rapids learning centers while searching for ways to run the business more efficiently.
"I have a moral obligation to provide the services they (my customers) pay for," Ripon said.