Nautical Bowls
Bottom line
- Total investment $222K – $409K including a $40K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $440K/year. Estimated payback in 4.0 years.
- Rated MODERATE with a risk score of 61/100. SBA loan default rate of 0.0% across 154 loans (below the industry average).
- System growing at 1000.0% CAGR over 3 years with 63 total units — strong expansion trajectory.
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 NAUTICAL BOWLS 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 NAUTICAL BOWLS units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$704K
on $3.5M purchase
Total debt
$2.8M
SBA $1.8M + senior + seller note
Overview
About
Nautical Bowls franchisees operate fast-casual açai bowl and smoothie restaurants focused on health-conscious consumers. Day-to-day operations include preparing fresh fruit bowls and beverages, managing inventory and food costs, staffing the counter and kitchen, and driving local marketing to build customer loyalty. Most locations are small-footprint retail spaces designed for high-volume, quick-service transactions.
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 · 17 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
Nautical Bowls presents high-risk investment profile due to active multi-party litigation alleging fraud and misrepresentation, false going concern status, and marginal unit-level economics that may not support corporate royalties and profitability targets.
Score breakdown · what drove the 61 / 100 rating
- 01HIGHThree active lawsuits filed December 2023 alleging fraud, misrepresentation, and deceptive trade practices by former franchisees
- 02HIGHGoing Concern designation is FALSE, indicating potential financial instability at corporate level
- 03MINORNet income of $79,712 on $440,000 average revenue (18.1% margin) may be insufficient to cover $26,550 annual royalties (6% of revenue) plus other operating expenses
- 04HIGHAggressive unit growth (121.4% YoY) during period of active litigation suggests potential quality control issues or desperation to recruit
- 05MINORHigh investment range ($222,250–$409,350) combined with modest profitability creates extended payback period and elevated financial risk
- 06HIGHFranchise fee of $39,500 is non-recoverable in context of litigation and going concern status
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
35 numbers
One-time purchase · CSV download · Validation questions included
FDD download
NAUTICAL BOWLS · FDD (2024) PDF