SafeSplash Swim School
Bottom line
- Total investment $24K – $1.5M including a $55K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $1.1M/year (median $932K). Estimated payback in 2.9 years.
- Rated MODERATE with a risk score of 63/100. SBA loan default rate of 0.0% across 51 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 SafeSplash Swim School unit return on the cash you put in?
Unlevered ROIC · per unit
19%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 SafeSplash Swim School units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.8M
on $8.9M purchase
Total debt
$7.1M
SBA $4.4M + senior + seller note
Overview
About
SafeSplash franchisees operate swim schools providing swimming lessons, water safety training, and aquatic programs to children and adults. Day-to-day operations include managing instructors, scheduling classes, maintaining pool facilities, recruiting students, and ensuring safety compliance.
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 · 37 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
SafeSplash presents HIGH RISK due to contracting franchise system (-12.6% YoY), active sexual assault litigation with indemnification exposure, unclear unit economics with massive investment variance, and absence of Item 19 disclosure data.
Score breakdown · what drove the 63 / 100 rating
- 01MINORUnit count declining 12.6% YoY (119 units) indicates system contraction and potential franchisee dissatisfaction
- 02HIGHActive litigation involving alleged sexual assault creates severe liability exposure and reputational risk for all franchisees
- 03MINORHigh initial investment range ($24K-$1.48M) with wide variance suggests inconsistent unit economics and unclear scaling model
- 04MINOR6% royalty on $1.1M average revenue = ~$66K annual royalty burden reduces net income from $259K baseline
- 05MINORNo Item 19 financial performance data limits ability to validate average revenue/income claims across unit types
- 06HIGHFranchisor indemnification counterclaim suggests potential liability shift to franchisees in litigation scenarios
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
97 numbers
One-time purchase · CSV download · Validation questions included
FDD download
SafeSplash Swim School · FDD (2025) PDF