Sky ZoneFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Sky Zone franchise requires a total initial investment of $2.2M – $4.7M, including a $75K franchise fee and an ongoing 6.0% royalty[2]. Per the 2024 FDD, average unit revenue was $2.9M[2]. SBA 7(a) loans show a 13.0% charge-off rate across 163 loans[1]. Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $2.2M – $4.7M
- 41st pct Recreation & …
- Avg gross sales
- $2.9M
- 20th pct Recreation & …
- Royalty
- 6.0%
- 6th pct Recreation & …
- Units
- 193
- 41st pct Recreation & …
- SBA default
- 13.0%
- system-wide median varies by category
Quick verdict · Recreation & Entertainment · color = vs category peers
Green = >15% above Recreation & Entertainment avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
17% cash-on-cash return (based on EBITDA). Within the 15-30% range most franchise investors consider acceptable.
Bottom line
- Total investment $2.2M – $4.7M including a $75K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $2.9M/year (median $2.9M), with an estimated 17% cash-on-cash return (based on EBITDA).
- Verdict B (Above Average) with a risk score of 60/100. SBA loan charge-off rate of 13.0% across 163 loans (above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Sky Zone Franchise Group, LLC
- Parent company
- CircusTrix Holdings, LLC
- Incorporated in
- MO
- HQ
- 86 N. University Avenue, Suite 350, Provo, Utah 84601
- Auditor
- PricewaterhouseCoopers LLP
- Audited financials
- Franchisor revenue
- $20.4M
- vs $20.5M prior year
Overview
About
Sky Zone franchisees operate indoor trampoline parks featuring open-jump areas, dodgeball courts, foam pits, and ancillary attractions (fitness classes, birthday parties, special events). Day-to-day operations include facility management, staff scheduling, customer safety/waiver processing, marketing, and revenue management across membership, walk-in, and event bookings.
- CEO
- Shawn Hassel
- Headquarters
- UT
- Founded
- 2008
- FDD year
- 2024
- States available
- 39
FDD Item 7 · 2024 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $75K | $75K |
| Working capital (3–6 mo) | $50K | $150K |
| Equipment, build-out, other | $2.1M | $4.5M |
| Total initial investment | $2.2M | $4.7M |
Source: Sky Zone 2024 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$434K
15.0% margin
Unlevered ROIC
12%
EBITDA / total invested capital
Payback
8.2 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $2.2M – $4.7M
- Near category avg vs category
- Liquid capital req'd
- $50K – $150K
- Better than avg vs category
- Franchise fee
- $75K – $75K
- Better than avg vs category
- Royalty
- 6.0%
- Gross Sales · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
- Payback period
- 5.9 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $11K |
| Transfer fee | $38K |
| Renewal fee | $19K |
| Total fee load | 8.0% of rev |
Financial Performance
- Avg gross sales
- $2.9M
- Per unit, per year
- Median gross sales
- $2.9M
- Avg ebitda
- $583K
- Reported as EBITDA in FDD Item 19
- Cash-on-cash
- 16.9%
- Based on EBITDA / investment midpoint
- Item 19 type
- gross_sales
- Sample size
- 31 units
- vs category median 5 · large
- Range (low → high)
- $1.4M→$6.3M
- Cohort dispersion (min → max)
- Transparency
- 7 / 5
- vs category median 4 / 5 · above
Compared against 176 Recreation & Entertainment brands
Revenue is only 0.8x the investment. This means each unit may take 5+ years to recoup the initial outlay at typical margins.
vs Recreation & Entertainment averages
How Sky Zone Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 193
- Opened
- 10
- Last reporting year
- Closed
- 2
- Turnover rate
- 1.0%
- Company-owned
- 67
- Corporate units in the system
- % franchised
- 65%
- vs corporate-owned
- Net growth (yr3)
- +6.8%
- Net unit change last year
- 3-yr CAGR
- +7.7%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 7
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 38 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 163
- Loan volume
- $265.3M
- Median loan
- $1.4M
- 50th percentile
- Charge-off rate
- 13.0%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 91.2%
- 5-yr charge-off
- 10.5%
- Loans approved 2021+
- Active lenders
- 58
- Defaults
- 14
Vintage analysis
Sky Zone charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Sky Zone presents moderate-to-cautious risk due to elevated litigation exposure, slow unit growth, high capital requirements relative to returns, and absence of audited financial disclosures, warranting deep franchisee validation before investment.
Audited financials (Item 21)
Yes · PricewaterhouseCoopers LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 60 / 100 rating
- 01HIGHMultiple litigation matters including IP infringement, member disputes with fiduciary duty claims, unfair competition arbitration, and regulatory consent order suggest governance and compliance issues
- 02MINORSlow unit growth of 6.8% YoY with 193 units indicates market saturation or franchisee performance challenges in a maturing system
- 03MINORHigh initial investment range ($2.18M–$4.72M) against average net income of $836K yields 2.5–4.7 year payback with significant capital at risk
- 04MEDMissing Item 19 financial performance representations limits ability to validate disclosed average revenue and net income figures across actual franchisee cohorts
- 05HIGHLitigation pattern suggests internal conflicts between franchisor and franchisees, affiliate entities, and management—indicating potential operational friction
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | Population |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Missouri |
| Litigation count | 4 |
Items 10, 11
Training & Operations
- Classroom training
- 46 hrs
- On-the-job training
- 27 hrs
- POS system
- Roller
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Roller
Item 20 · call current owners
Franchisee Contacts
143 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Sky Zone · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Sky Zone franchise?
The total investment to open a Sky Zone franchise ranges from $2.2M – $4.7M, with an initial franchise fee of $75K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Sky Zone franchise owners earn?
According to Item 19 of the Sky Zone FDD, the average gross sales per unit is $2.9M. The median is $2.9M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Sky Zone's franchise failure rate?
Based on SBA 7(a) loan data, Sky Zone has a charge-off rate of 13.0% across 163 loans, meaning 13.0% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Sky Zone franchise locations are there?
As of their most recent FDD filing, Sky Zone has 193 total units in the United States, including 117 franchised units and 67 company-owned units. 10 new units were opened in the latest reporting year.
Is Sky Zone a good franchise to buy?
FranchiseVerdict rates Sky Zone as a B-grade franchise with a risk score of 60 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.