FranchiseVerdict
Romp n' Roll logo
FV-02176·MODERATEExcellent91

Romp n' Roll

Formerly known as The Development Group

Education - Children's ProgramsFranchising since 2006Website
Investment
$322K – $475K
61st pct Children's Pr…
Avg revenue
$410K
32nd pct Children's Pr…
Royalty
8.0%
56th pct Children's Pr…
Units
12
37th pct Children's Pr…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $322K – $475K including a $55K franchise fee, 8.0% ongoing royalty.
  • Average unit revenue of $410K/year (median $385K).
  • Rated MODERATE with a risk score of 62/100. SBA loan default rate of 0.0% across 8 loans (below the industry average).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Romp n’ Roll Franchise Development, LLC
Incorporated in
Virginia
HQ
9677 W. Broad Street, Glen Allen, Virginia 23060
Auditor
Optimus Financials, Inc.
Audited financials
Franchisor revenue
$823K
vs $644K prior year

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 Romp n' Roll unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $410,255
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: education
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $322K–$475K
Working capital
$
FDD reports $18K–$30K

Unlevered ROIC · per unit

13%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$53K
EBITDA margin
13.0%
Total invested
$423K
Payback
95 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Levered LBO scenario · Yale Crease Capital framing

What would 25 Romp n' Roll units return on equity?

Edit assumptions

Equity IRR · 5-yr

49.9%

7.57× MOIC

Year-1 DSCR

1.88×

EBITDA ÷ debt service

Equity required

$492K

on $2.5M purchase

Total debt

$2.0M

SBA $1.2M + senior + seller note

Overview

About

Romp n' Roll franchisees operate indoor play centers for young children, offering classes, open play, birthday parties, and events in a padded, age-appropriate facility. Day-to-day operations include supervising play areas, instructing movement/music classes, managing birthday party bookings, and maintaining equipment safety. Revenue is generated through membership fees, class tuition, party hosting, and retail sales.

CEO
Michael S. Barnett
Founded
2006
FDD year
2025
States available
6

Item 7 · what it costs

The Vitals

Total investment
$322K – $475K
All-in to open one unit
Liquid capital
$18K – $30K
Cash you must have on hand
Franchise fee
$55K
Royalty
8.0%
Gross Sales · typical 6–8%
Ad fund
2.0%
typical 3–5%
Total fee load
10.0%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$410K
Per unit, per year
Median gross sales
$385K
Item 19 type
Gross Sales
Sample size
9 units
vs category median 16
Range (low → high)
$330K$498K
Cohort dispersion
Transparency
4 / 5
vs category median 4 / 5 · typical
Revenue rank32th
vs Education - Children's Programs peers
Investment cost rank61th
Lower investment ranks lower (better)
Royalty rate rank56th
Lower royalty = lower percentile (better)
Unit count rank37th
vs Education - Children's Programs peers
Risk score rank53th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
12
Opened
3
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
2
Corporate units in the system
% franchised
83%
vs corporate-owned
Net growth (yr3)
+42.9%
Net unit change last year
3-yr CAGR
+42.9%
Compounded over last 3 years
2023
10+3
Franchised units
2024
7
Franchised units
2025
7
Franchised units

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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 7 states
Not registered

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.

Total loans
8
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

62
Risk · 0-100
MODERATE62 / 100

Romp n' Roll presents meaningful risk due to undisclosed profitability data (Item 19), franchisor going concern issues, tiny unit base, and high capital requirements relative to unverified returns.

Score breakdown · what drove the 62 / 100 rating

  1. 01MEDNo Item 19 (Average Unit Volume) disclosed—unable to validate $410K revenue claim or profitability
  2. 02HIGHGoing Concern status is FALSE, indicating potential financial/operational instability at franchisor level
  3. 03MINOROnly 12 units with 42.9% YoY growth is modest for a children's entertainment concept; absolute unit count remains very small
  4. 04MINORHigh initial investment ($321.8K–$475.5K) with 8% royalty creates breakeven pressure if revenue drops below $410K
  5. 05HIGHNo litigation disclosed but small franchisee base limits statistical reliability of this claim

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Residential population
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
No
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
No
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Optional
Governing law
Virginia

Item 11

Training & Operations

Classroom training
32 hrs
On-the-job training
19 hrs
POS system
Mindbody Online, QuickBooks Online
Operating tech stack

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

14 numbers

Locked
(727) 877-••••
FL
(412) 736-••••
PA
(919) 766-••••
NC

One-time purchase · CSV download · Validation questions included

FDD download

Romp n' Roll · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above