Game Kastle
Formerly known as Global Karate University
Bottom line
- Total investment $195K – $419K including a $48K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $786K/year (median $751K).
- Rated MODERATE with a risk score of 63/100. SBA loan default rate of 0.0% across 3 loans (below the industry average).
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 Game Kastle unit return on the cash you put in?
Unlevered ROIC · per unit
20%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Game Kastle units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$315K
on $1.6M purchase
Total debt
$1.3M
SBA $0.8M + senior + seller note
Overview
About
Game Kastle operates as a tabletop gaming retail and community hub, selling board games, trading cards, miniatures, and gaming accessories while hosting in-store tournaments and gaming events. Franchisees manage inventory, staff, customer service, and event coordination to drive foot traffic and repeat business. Operations center on creating a social gathering space that monetizes both retail sales and event participation fees.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 13 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.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Contracting franchise system with regulatory compliance issues, zero profitability transparency, and high investment relative to disclosed financials presents elevated risk despite protected territory.
Score breakdown · what drove the 63 / 100 rating
- 01MEDUnit count declined 14.3% YoY (9 units) indicating system contraction and franchisee attrition
- 02MEDNet income not disclosed in FDD Item 19 despite $786k average revenue, preventing profitability analysis and ROI calculation
- 03MINOR2022 regulatory violation in Washington for selling unregistered franchise signals compliance gaps and potential exposure in other states
- 04MEDHigh initial investment ($194.9k-$418.8k) combined with undisclosed profitability creates misaligned risk-reward
- 05MINOR5% royalty on gross sales (not net) means franchisees pay regardless of profitability, exacerbating margin pressure
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
13 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Game Kastle · FDD (2026) PDF