Bottom line
- Total investment $266K – $318K including a $40K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $2.3M/year (median $2.3M). Estimated payback in 0.9 years.
- Rated MODERATE with a risk score of 62/100.
- No protected territory and the franchisor reserves the right to compete in your area. Clarify territorial boundaries before signing.
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 Superior Play Systems unit return on the cash you put in?
Unlevered ROIC · per unit
112%
Above typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Superior Play Systems units return on equity?
Equity IRR · 5-yr
28.1%
3.45× MOIC
Year-1 DSCR
2.89×
EBITDA ÷ debt service
Equity required
$10.9M
on $22.7M purchase
Total debt
$11.8M
SBA $5.0M + senior + seller note
Overview
About
Superior Play Systems franchisees operate commercial playground equipment sales, installation, and maintenance services. Day-to-day activities likely include direct B2B sales to schools/municipalities, project management/installation oversight, and ongoing customer service. Revenue model appears project-based rather than recurring subscription.
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 · 17 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
Superior Play Systems presents meaningful caution due to franchisor going concern status, minimal unit growth, unprotected territory, and thin profit margins relative to initial investment.
Score breakdown · what drove the 62 / 100 rating
- 01HIGHGoing Concern warning indicates financial distress at franchisor level despite positive unit economics
- 02MINOROnly 7 units with unknown growth trajectory suggests stalled or contracting system
- 03MINORUnprotected territory creates direct competition risk from other franchisees in same market
- 04HIGHNo disclosed litigation is unusual for franchise systems; may indicate incomplete disclosure or young system
- 05MINORHigh investment-to-net-income ratio ($266k-$318k investment against $329k avg net income) leaves minimal margin for error
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
21 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Superior Play Systems · FDD (2023) PDF