Larks Entertainment Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Larks Entertainment is a recreation franchise operating shuffleboard bar-and-restaurant complexes with indoor and outdoor games. Franchisees run the venues, managing games, food and beverage, and events.
FranchiseVerdict summary · 2026
A Larks Entertainment franchise requires a total initial investment of $1.9M – $4.1M, including a $40K franchise fee and an ongoing 7.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: F (Weakest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $1.9M – $4.1M
- 47th pct Recreation & …
- Avg gross sales
- N/A
- Royalty
- 7.0%
- 24th pct Recreation & …
- Units
- 3
- 11th pct Recreation & …
- SBA charge-off
- N/A
Quick verdict · Recreation & Entertainment · color = vs category peers
Green = favorable by >10% vs Recreation & Entertainment avg · 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 $1.9M – $4.1M including a $40K franchise fee, 7.0% ongoing royalty.
- RETURNSFY2024 revenue of $57,390 (vs. $120,000 franchise fees in FY2023); going concern doubt - total liabilities exceeded total assets by $426,824 at Dec 31, 2024; net loss $1,311,146.
- RISKVerdict F (Weakest tier), verdict score 19/100 (higher is better).
- FLAGAuditor disclosed a going-concern note, which flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Larks, LLC
- Parent company
- Oak Capital Group, LLC
- CEO title
- Chief Executive Officer
- Curtis (Curt) L. Skallerup
- Incorporated in
- FL
- HQ
- 1207 S. White Chapel Blvd., Suite #130, Southlake, Texas 76092
- Auditor
- McMillen Dovali Co., P.C.
- Audited financials
- Franchisor revenue
- $57K
- vs $120K prior year
- ⚠ Going-concern note
- Disclosed in FDD 2025
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Affiliated brands
- Larks Services
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Curtis (Curt) L. Skallerup
- Headquarters
- TX
- Founded
- 2020
- FDD year
- 2025
- States available
- 2
Can you afford it, and what does the money buy?
Entry cost runs 124% above the typical recreation & entertainment franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $40K | $40K |
| Working capital (3–6 mo) | $100K | $100K |
| Equipment, build-out, other | $1.7M | $4.0M |
| Total initial investment | $1.9M | $4.1M |
Source: Larks Entertainment 2025 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
- $1.9M – $4.1M
- Middle of category vs category
- Liquid capital req'd
- $100K – $100K
- Middle of category vs category
- Franchise fee
- $40K – $40K
- Top 40% of category vs category
- Royalty
- 7.0%
- percentage · typical 6–8%
- Ad fund
- 0.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 7.0% of gross sales |
| Marketing / ad fund | 0.0% of gross sales |
| Technology fee | $25 |
| Transfer fee | $5K |
| Inventory (initial) | $15K – $25K |
| Total fee load | 9.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Larks Entertainment did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one Larks Entertainment unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
4%
Below the 30–60% attractive-franchise band
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: 2025 FDD
Financial Performance
FY2024 revenue of $57,390 (vs. $120,000 franchise fees in FY2023); going concern doubt - total liabilities exceeded total assets by $426,824 at Dec 31, 2024; net loss $1,311,146.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 9.0% (near the Recreation & Entertainment average).
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
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 averages
How Larks Entertainment Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 3
- Opened
- 1
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 2
- Corporate units in the system
- % franchised
- 33%
- vs corporate-owned
3-year detail · Item 20
- Opened (3yr)
- 1
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 2 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.
2
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- $2.2M
- Median loan
- $1.1M
- 50th percentile
- Charge-off rate
- N/A
- limited sample (2 loans) — rate not shown below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 2
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
The auditor flagged going-concern doubt (Item 21) — the single biggest risk here.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Early-stage entertainment franchise with only 3 units, led by a CEO with significant litigation history at prior franchise, no financial performance disclosure, and going concern status—presents extreme risk of franchisor instability and unproven business model.
Litigation (Item 3)
All 9 cases involve CEO Curt Skallerup personally or entities from his prior company Altitude Trampoline Parks / SR Franchising; cases include franchisee fraud claims, personal injury, lease guaranty disputes, and inter-party acquisition disputes; largest settlement $1,075,000 (Bump It Up). Several cases pending including Bedrock AAA arbitrations and state court action as of FDD date.
Largest disclosed settlement: $1,075,000
Bankruptcy (Item 4)
Disclosed in last 7 years
AJC ATP, LLC d/b/a Altitude Trampoline Park filed Chapter 11 bankruptcy March 16, 2021 (Case No. 21-12503-PDR, S.D. Fla.). Franchisor Larks LLC is not the debtor. CEO Curt Skallerup is a minority member, manager and creditor. Case dismissed April 23, 2021.
Audited financials (Item 21)
Yes · McMillen Dovali Co., P.C.⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: Yes
Score breakdown · what drove the 19 / 100 verdict
- 01HIGHCEO has history of material litigation at previous franchise (Altitude Franchising) including pending arbitrations and fraudulent inducement allegations from former franchisees
- 02MINOROnly 3 existing units with unknown/likely stagnant growth trajectory raises system viability concerns
- 03MEDHigh investment range ($1.85M–$4.125M) combined with zero disclosed financial performance metrics (no Item 19 equivalent) makes ROI impossible to validate
- 04HIGHGoing concern status indicates financial instability at corporate level, creating risk of franchisor collapse and loss of support
- 05HIGHCEO's litigation pattern suggests potential governance/ethics concerns that may carry forward to current franchise system
- 06MINORLack of revenue and profitability disclosure is a major red flag—prevents informed investment decision and suggests potential performance concealment
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 9.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · 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 | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 1 mi |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 6 |
| Mandatory arbitration | No |
| Arbitration location | Southlake, Texas (county/state of principal place of business) |
| Jury trial waiver | No |
| Governing law | TX |
| Litigation count | 9 |
View Item 3 litigation summary
All 9 cases involve CEO Curt Skallerup personally or entities from his prior company Altitude Trampoline Parks / SR Franchising; cases include franchisee fraud claims, personal injury, lease guaranty disputes, and inter-party acquisition disputes; largest settlement $1,075,000 (Bump It Up). Several cases pending including Bedrock AAA arbitrations and state court action as of FDD date.
Items 10, 11
Training & Operations
- Classroom training
- 8 hrs
- On-the-job training
- 80 hrs
- Training location
- Corporate offices in Dallas, Texas area, or another designated location; field training at franchisee's LARKS location
- Ongoing training
- Required
- Time to open
- 9 mo
- From signing to launch
- Site selection
- Franchisee locates site; franchisor reviews and accepts/rejects
- Franchisor financing
- Not offered
- Item 10
- POS system
- Toast
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Toast
Item 20 · call current owners
Franchisee Contacts
2 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Larks Entertainment · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Larks Entertainment franchise?
The total investment to open a Larks Entertainment franchise ranges from $1.9M – $4.1M, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Larks Entertainment franchise owners earn?
Larks Entertainment does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the Larks Entertainment 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 Larks Entertainment FDD and qualifies whose outlets they describe.
What is Larks Entertainment's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Larks Entertainment (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Larks Entertainment franchise locations are there?
As of their most recent FDD filing, Larks Entertainment has 3 total units in the United States, including 1 franchised units and 2 company-owned units. 1 new units were opened in the latest reporting year.
Is Larks Entertainment a good franchise to buy?
FranchiseVerdict rates Larks Entertainment as a F-grade franchise with a verdict score of 19 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. 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
Are you the franchisor?
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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.