Escapology Franchise Cost, Revenue & Review 2026
- Investment
- $631K – $2.5M
- Disclosed sales
- $794K
- gross sales, not profit
- SBA charge-off
- 0.0%
- on 32 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Escapology is an entertainment franchise operating escape rooms where groups solve themed puzzles to break out within a time limit. Franchisees run a venue managing game rooms, game masters, bookings, and corporate events.
FranchiseVerdict summary · 2026
A Escapology franchise requires a total initial investment of $631K – $2.5M, including a $45K franchise fee and an ongoing 6.0% royalty[2]. Per the 2026 FDD, average unit revenue was $794K[2]. SBA 7(a) loans show a 0.0% charge-off rate across 32 loans[1]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored6 of 7 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $631K – $2.5M
- 36th pct Recreation & …
- Avg gross sales
- $794K
- 7th pct Recreation & …
- Royalty
- 6.0%
- 9th pct Recreation & …
- Units
- 88
- 44th pct Recreation & …
- SBA charge-off
- 0.0%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Recreation & Entertainment · color = vs category peers
Green = favorable by >10% vs Recreation & Entertainment median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $631K – $2.5M including a $45K franchise fee, 6.0% ongoing royalty.
- RETURNSAverage unit revenue of $794K/year.
- RISKVerdict A (Strongest tier), verdict score 70/100 (higher is better). SBA loan charge-off rate of 0.0% across 32 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHPositive: net +5 franchised outlets in the latest year (11 opened, 6 closed); 59 signed but not yet open (Item 20).
- GROWTHSystem growing at 37.0% CAGR over 3 years with 88 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Escapology, LLC
- Parent company
- Escapology Holdings, LLC
- FDD Item 1, page 6 of the 2026 FDD
- Ultimate parent
- Escape Holdings, LLC (controlled by Peninsula Capital Partners)
- FDD Item 1, page 6 of the 2026 FDD
- CEO title
- Chief Executive Officer
- Charles Burton Heiss
- Incorporated in
- FL
- HQ
- 11951 International Drive, #2A1, Orlando, Florida 32821
- Auditor
- CliftonLarsonAllen LLP
- Audited financials
- Franchisor revenue
- $6.6M
- vs $4.8M prior year
Overview
About
- CEO
- Charles Burton Heiss
- Headquarters
- FL
- Founded
- 2014
- FDD year
- 2026
- States available
- 28
Can you afford it, and what does the money buy?
Entry cost runs 183% above the typical recreation & entertainment franchise.
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $45K | $45K |
| Working capital (3–6 mo) | $45K | $75K |
| Equipment, build-out, other | $541K | $2.4M |
| Total initial investment | $631K | $2.5M |
Source: Escapology 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $631K – $2.5M
- Top 40% of category vs category
- Liquid capital req'd
- $45K – $75K
- Top 40% of category vs category
- Franchise fee
- $45K – $45K
- Top 40% of category vs category
- Royalty
- 6.0%
- typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $199 |
| Training fee | $7K |
| Transfer fee | $5K |
| Renewal fee | $5K |
| Total fee load | 8.0% of rev |
What do units actually make?
Average unit sales land near the recreation & entertainment norm.
Source: FDD 2026 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for Escapology until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
Total invested capital · disclosed
$1.6M
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one Escapology unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
- Avg gross sales
- $794K
- Per unit, per year
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- gross sales and profit contribution
- Sample size
- 48 outlets
- vs category median 5 · large
- Range (low → high)
- $121K→$2.2MNot cited — published from our reading of the franchisor's disclosure document; the page it is printed on has not been located.
- Cohort dispersion (min → max)
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2024
- Transparency
- 6 / 10
- vs category median 4 / 10 · above
Compared against 165 Recreation & Entertainment brands
Revenue is only 0.5x the investment. This means each unit may take 5+ years to recoup the initial outlay at typical margins.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $794K/year in gross sales. Revenue-to-investment ratio: 0.5x.
Fee burden
Total ongoing fee load of 8.0% (near the Recreation & Entertainment median).
Disclosure
Transparency score 6/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System expanding at 37.0% CAGR over 3 years across 88 units — operators are staying and new ones are joining.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Recreation & Entertainment medians
How Escapology Compares
Category median of published Recreation & Entertainment brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 88
- Opened
- 11
- Last reporting year
- Closed
- 6
- Non-renewed
- 2
- Term expired, not renewed (per Item 20)
- Turnover rate
- 6.8%
- Company-owned
- 20
- Corporate units in the system
- % franchised
- 84%
- vs corporate-owned
- Net growth (3-yr)
- +37.0%
- Net unit change over 3 years
- 3-yr CAGR
- +37.0%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Not renewed
- 2
- Reacquired
- 1
- Franchisor bought back
- Signed, not yet open
- 59
- 0.67 per open outlet · Item 20 Table 5
- Projected new
- 25
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 28 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
28
states with franchisees (per FDD Item 12)
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 32
- Loan volume
- $16.8M
- Median loan
- $350K
- 50th percentile
- Charge-off rate
- 0.0%
- on 32 loans · rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 100.0%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 15
- Defaults
- 0
- Typical loan rate
- 8.2%
- avg rate to borrowers
- Franchised industry avg
- 13.9%
- brand beats franchise avg ↓
- Jobs supported
- 442
- 2.6 per loan
- Lender concentration
- 19%
- top lender's share
Borrower mix: 84% went to startups / new businesses, 16% to established operators
Franchise vs independent — in all other amusement and recreation industries, franchised businesses charge off at 13.9% vs 16.2% for independents — franchising is associated with 14% lower SBA default risk in this category.
Top lenders financing Escapology franchisees
Showing 3 of 15 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Escapology from SBA 7(a) FOIA data.
- Principal loss rate
- 0.0%
- Avg SBA guarantee
- 68%
- Avg interest rate
- 8.24%
- Lender concentration
- 18.8%
- Job velocity
- 2.6 per $100K
- NAICS benchmark
- 7.0%
- NAICS 713990
- Jobs supported
- 442
Top SBA lendersTop lender holds 19% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | Lincoln Savings Bank | 6 | $3.0M | 0.0% |
| 2 | Manufacturers and Traders Trust Company | 5 | $690K | 0.0% |
| 3 | The Huntington National Bank | 4 | $1.3M | N/A |
| 4 | Readycap Lending, LLC | 3 | $2.1M | N/A |
| 5 | First Bank of the Lake | 3 | $2.3M | N/A |
| 6 | First Business Bank | 2 | $2.2M | N/A |
| 7 | Stearns Bank National Association | 1 | $105K | N/A |
| 8 | Old National Bank | 1 | $247K | 0.0% |
| 9 | The Lowell Five Cent Savings Bank | 1 | $350K | 0.0% |
| 10 | Cedar Rapids Bank and Trust Company | 1 | $110K | 0.0% |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| TXTexas | 5 | 0 | -- |
| AZArizona | 3 | 0 | -- |
| MDMaryland | 3 | 0 | 0.0% |
| NCNorth Carolina | 3 | 0 | -- |
| VAVirginia | 3 | 0 | 0.0% |
| GAGeorgia | 2 | 0 | -- |
| INIndiana | 2 | 0 | -- |
| OROregon | 2 | 0 | -- |
| WIWisconsin | 2 | 0 | 0.0% |
| FLFlorida | 1 | 0 | -- |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
With a 0.0% charge-off rate across 32 loans, banks have historically viewed this brand favorably for lending.
What could kill this investment?
SBA loans charge off at 0.0% — 100% below the 16.0% national norm, i.e. lower lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Escapology presents caution-level risk due to regulatory violations, lack of financial disclosure documentation, high capital requirements relative to stated earnings, and a small growing system with unverified performance claims.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
California DFPI consent order (Jan 2023): Escapology voluntarily paid $12,500 penalty for failing to disclose material facts related to two negotiated sales in California and failing to maintain disclosure records
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · CliftonLarsonAllen LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Total Revenues for FYE Dec 31, 2024 comprise Franchise Income $5,441,255 and Owned Venue Game Sales $1,181,031.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 70 / 100 verdict
- 01MINORCalifornia regulatory violation in 2023 involving material disclosure failures and record-keeping deficiencies, indicating compliance issues
- 02MINORHigh initial investment range ($626.5K–$2.3M) relative to average net income ($248K), creating 2.5–9.3 year payback period with substantial capital risk
- 03HIGHUnit growth of 21.2% YoY is positive but system remains small (75 units), raising questions about scalability and franchisor operational capacity post-litigation
- 04MINOR6% royalty on gross sales compounds pressure on lower-performing locations; unclear if $707.7K average revenue is representative or includes outliers
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | Exclusive territory |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory radius | 5 mi |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 1 year |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | Orlando, Florida (headquarters) |
| Jury trial waiver | No |
| Governing law | FL |
| Litigation count | 1 |
View Item 3 litigation summary
California DFPI consent order (Jan 2023): Escapology voluntarily paid $12,500 penalty for failing to disclose material facts related to two negotiated sales in California and failing to maintain disclosure records
Items 10, 11
Training & Operations
- Classroom training
- 60 hrs
- On-the-job training
- 91 hrs
- Training location
- Orlando, Florida (headquarters/affiliate-owned location)
- Ongoing training
- Required
- Time to open
- 10 mo
- From signing to launch
- Site selection
- franchisee with franchisor approval
- Franchisor financing
- Not offered
- Item 10
- POS system
- Resova integrated with Clover
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Resova integrated with Clover
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Escapology franchise?
The total investment to open a Escapology franchise ranges from $631K – $2.5M, with an initial franchise fee of $45K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Escapology franchise owners earn?
According to Item 19 of the Escapology FDD, the average gross sales per unit is $794K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
Who owns Escapology?
Escapology is franchised by Escapology, LLC. Its parent company is Escapology Holdings, LLC. The ultimate parent named in the FDD is Escape Holdings, LLC (controlled by Peninsula Capital Partners). Source: FDD Item 1, 2026 filing.
What is Item 19 in the Escapology FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Escapology FDD and qualifies whose outlets they describe.
What is Escapology's franchise failure rate?
Based on SBA 7(a) loan data, Escapology has a charge-off rate of 0.0% across 32 loans, meaning 0.0% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Escapology franchise locations are there?
As of their most recent FDD filing, Escapology has 88 total units in the United States, including 68 franchised units and 20 company-owned units. 11 new units were opened in the latest reporting year.
Is Escapology a good franchise to buy?
FranchiseVerdict rates Escapology as a A-grade franchise with a verdict score of 70 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.