Bottom line
- Total investment $299K – $527K including a $30K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $496K/year (median $493K). Estimated payback in 4.7 years.
- Rated MODERATE with a risk score of 56/100. SBA loan default rate of 0.0% across 12 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 KidsPark unit return on the cash you put in?
Unlevered ROIC · per unit
16%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 KidsPark units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$794K
on $4.0M purchase
Total debt
$3.2M
SBA $2.0M + senior + seller note
Overview
About
KidsPark franchisees operate supervised indoor play facilities for children, managing day-to-day activities including staff supervision, facility maintenance, birthday party coordination, membership management, and customer service. Revenue primarily derives from hourly play fees, membership subscriptions, and birthday party packages.
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 · 9 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
KidsPark presents caution-level risk due to declining unit count, lack of financial transparency, and tight profit margins relative to capital requirements.
Score breakdown · what drove the 56 / 100 rating
- 01MINORUnit count declining 5% YoY (20 units) suggests franchisee attrition and potential system weakness
- 02MINORNo Item 19 financial performance disclosure limits transparency on earnings claims and actual franchisee profitability
- 03MINORNet income of $86,982 on $496,293 revenue (17.5% margin) is modest and may not justify $299k-$526k investment plus working capital
- 04MINORHigh investment relative to annual net profit creates extended payback period (3.4-6.1 years at net income level)
- 05MINOR5% royalty on gross receipts (not net) means fees paid regardless of profitability, adding financial 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
20 numbers
One-time purchase · CSV download · Validation questions included
FDD download
KidsPark · FDD (2025) PDF