Bottom line
- Total investment $146K – $524K including a $45K franchise fee, 5.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 75/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
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 Party Palace Exotic Rides unit return on the cash you put in?
Unlevered ROIC · per unit
35%
In Yale's "attractive" band (30–60%)
Overview
About
Party Palace Exotic Rides franchisees operate entertainment venues providing exotic vehicle experiences (likely specialty rides or driving experiences at events/venues). Day-to-day operations include customer booking/scheduling, ride safety protocols, vehicle maintenance, staff management, and event-based revenue generation. The business model appears event-driven or location-dependent, though the exact operating model is unclear from limited disclosure.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 7 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.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
This is a micro-system with going concern problems, zero financial transparency, and unproven unit economics — avoid unless exhaustive franchisee validation and corporate financials are independently verified.
Score breakdown · what drove the 75 / 100 rating
- 01HIGHGoing concern status is FALSE — indicates financial distress or operational instability at corporate level
- 02MINOROnly 3 units system-wide with unknown growth trajectory suggests minimal scale and unproven business model
- 03MINORNo Item 19 financial performance disclosure (Avg Revenue and Net Income) prevents ROI validation and suggests poor unit economics
- 04MINORWide investment range ($145,550–$524,325) indicates inconsistent startup costs and unclear capital requirements
- 05MED5% royalty on undisclosed revenues creates earnings opacity and risk of underperforming units unable to cover fees
- 06HIGHNo disclosed litigation could mask disputes; absence of transparency raises credibility concerns
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
10 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Party Palace Exotic Rides · FDD (2025) PDF