Bottom line
- Total investment $76K – $100K including a $35K franchise fee, 7.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 62/100.
- Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one Carousel’s unit return on the cash you put in?
Unlevered ROIC · per unit
102%
Above typical band (30–60%)
Overview
About
Carousel's franchisees operate carousel-based amusement attractions, likely in family entertainment venues, shopping centers, or leisure facilities. Day-to-day operations include customer service, ride safety/maintenance, cash handling, cleaning, and compliance with local entertainment regulations.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 4 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Early-stage carousel/amusement concept with only 9 units, undisclosed financials, and fixed minimum royalties creates elevated risk despite protected territory and no litigation.
Score breakdown · what drove the 62 / 100 rating
- 01MEDNo average revenue or net income disclosed in FDD Item 19 — impossible to assess ROI or break-even timeline
- 02MINOROnly 9 units operating with 50% YoY growth suggests very early-stage system with minimal track record and unproven model scalability
- 03MINORMinimum weekly royalty of $125 ($6,500/year) creates fixed cost burden regardless of sales performance, problematic for struggling locations
- 04MEDInitial investment range of $75,750–$99,750 appears high relative to unit count and lack of disclosed profitability data
- 05MINOR10-year term is relatively long commitment given system immaturity and absence of performance benchmarks
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
4 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Carousel’s · FDD (2023) PDF