Sandbox VR
Formerly known as GloStation
Bottom line
- Total investment $251K – $1.9M including a $50K franchise fee.
- Average unit revenue of $1.7M/year. Estimated payback in 1.5 years.
- Rated MODERATE with a risk score of 55/100. SBA loan default rate of 0.0% across 18 loans (below the industry average).
- System growing at 200.0% CAGR over 3 years with 36 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 Sandbox VR unit return on the cash you put in?
Unlevered ROIC · per unit
24%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Sandbox VR units return on equity?
Equity IRR · 5-yr
33.8%
4.28× MOIC
Year-1 DSCR
2.40×
EBITDA ÷ debt service
Equity required
$5.7M
on $15.3M purchase
Total debt
$9.6M
SBA $5.0M + senior + seller note
Overview
About
Franchisees operate location-based entertainment venues featuring premium virtual reality experiences (Holodecks). Day-to-day operations include customer booking management, VR equipment operation and maintenance, staff training and supervision, facility cleaning/sanitization, and marketing to drive foot traffic. Revenue is generated through pay-per-experience bookings, often positioned as premium entertainment for corporate events, birthday parties, and casual consumers.
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 · 15 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
Sandbox VR presents caution-level risk: rapid unit growth masks recent franchisee litigation, unprotected territory with high ongoing royalties, and unverified financial claims requiring deep due diligence before commitment.
Score breakdown · what drove the 55 / 100 rating
- 01HIGHRecent material litigation with Canadian franchisees settled July 2024, indicating franchise relationship strain and potential operational/support issues
- 02MINORNo protected territory despite high initial investment ($250K-$1.9M), creating direct competition risk from other franchisees or company-owned locations
- 03MINORRoyalty structure heavily favors franchisor ($1,000/month minimum per Holodeck regardless of revenue), creating cash flow pressure during slow periods
- 04MINORRapid 50% YoY unit growth (18→36 units in one year) raises sustainability questions and may indicate market saturation or aggressive recruitment over franchisee success
- 05MEDWide investment range ($250K-$1.9M) with limited clarity on what drives 7.5x variance, suggesting inconsistent site requirements or hidden costs
- 06MINORNo Item 19 financial performance representations provided; average net income of $688,829 is unverified and may not reflect typical franchisee experience
- 07MINORHigh capital intensity (VR equipment) creates technology obsolescence risk and difficulty recouping investment if business underperforms
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
23 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Sandbox VR · FDD (2025) PDF