TourScale Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
TourScale is a travel and recreation franchise that owns and operates tour and activity brands offering guided local experiences. Franchisees run tour operations, managing bookings, guides, and customer service.
FranchiseVerdict summary · 2026
A TourScale franchise requires a total initial investment of $140K – $211K, including a $30K – $50K franchise fee and an ongoing 6.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $140K – $211K
- 13th pct Recreation & …
- Avg gross sales
- N/A
- Royalty
- 6.0%
- 7th pct Recreation & …
- Units
- 36
- 36th pct Recreation & …
- SBA charge-off
- N/A
Quick verdict · Recreation & Entertainment · color = vs category peers
Green = favorable by >10% vs Recreation & Entertainment avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $140K – $211K including a $50K franchise fee, 6.0% ongoing royalty.
- RETURNSThe figure shown was the annual gross sales attributable to ONE 15-passenger Trolley Pub vehicle (printed p.48) — a per-asset figure, and for the cheapest of four concepts the system operates. A single franchise may run multiple vehicles across concepts, and no per-outlet average appears anywhere in Item 19.
- RISKVerdict B (Above average), verdict score 56/100 (higher is better).
- GROWTHSystem growing at 108.3% CAGR over 3 years with 36 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- TourScale Franchising, LLC
- Parent company
- TourScale, LLC
- Ultimate parent
- TourScale Enterprises, LLC
- Predecessor
- TourScale Enterprises, LLC (TSE)
- Prior franchisor entity
- CEO title
- Co-Chief Executive Officer
- Kai Kaapro
- Incorporated in
- Arizona
- HQ
- 323 West Davie Street, Raleigh, North Carolina 27601
- Auditor
- Neal, Bradsher & Taylor, PA
- Audited financials
- Franchisor revenue
- $320K
- vs $400K prior year
Overview
About
- CEO
- Kai Kaapro
- Headquarters
- NC
- Founded
- 2020
- FDD year
- 2025
- States available
- 12
Can you afford it, and what does the money buy?
Entry cost runs 87% below the typical recreation & entertainment franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $50K | $50K |
| Working capital (3–6 mo) | $15K | $50K |
| Equipment, build-out, other | $75K | $111K |
| Total initial investment | $140K | $211K |
Source: TourScale 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $140K – $211K
- Top 40% of category vs category
- Liquid capital req'd
- $15K – $50K
- Top 40% of category vs category
- Franchise fee
- $30K – $50K
- Top 40% of category 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
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $200 |
| Transfer fee | $25K |
| Renewal fee | $25K |
| Total fee load | 8.0% of rev |
What do units actually make?
Source: FDD 2025 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
TourScale did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one TourScale unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
54%
Within the 30–60% "attractive franchise" band
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
The figure shown was the annual gross sales attributable to ONE 15-passenger Trolley Pub vehicle (printed p.48) — a per-asset figure, and for the cheapest of four concepts the system operates. A single franchise may run multiple vehicles across concepts, and no per-outlet average appears anywhere in Item 19.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 8.0% (near the Recreation & Entertainment average).
Disclosure
Item 19 reports Historical gross sales averages by business/seat type rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System expanding at 108.3% CAGR over 3 years across 36 units — operators are staying and new ones are joining.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Recreation & Entertainment averages
How TourScale Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 36
- Opened
- 7
- Last reporting year
- Closed
- 2
- Terminated
- 1
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 12.0%
- Company-owned
- 11
- Corporate units in the system
- % franchised
- 69%
- vs corporate-owned
- Net growth (3-yr)
- +108.3%
- Net unit change over 3 years
- 3-yr CAGR
- +108.3%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 7
- Closed (3yr)
- 2
- Terminated (3yr)
- 1
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 2
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 12 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
12
states with franchisees (per FDD Item 12)
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- $172K
- Median loan
- $172K
- 50th percentile
- Charge-off rate
- N/A
- limited sample (1 loan) — rate not shown below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Two litigation matters on a small 36-unit system: a 2024 breach-of-promissory-note default judgment (~$284,000 awarded to franchisor) and a 2016 investor fraud/breach dispute settled in 2017. No bankruptcy or going-concern; financials not disclosed in profile. Turnover elevated at 12%.
Audited financials (Item 21)
Yes · Neal, Bradsher & Taylor, PA
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 56 / 100 verdict
- 01HIGH2 litigation matters incl. fraud allegation and ~$284K judgment
- 02MINORSmall 36-unit system with 12% turnover
- 03MINORNo franchisor financials in profile
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | Driving distance radius or zip codes |
| 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 | No |
| Jury trial waiver | Yes |
| Governing law | Arizona |
| Litigation count | 2 |
Items 10, 11
Training & Operations
- Classroom training
- 9 hrs
- On-the-job training
- 15 hrs
- POS system
- Xola
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Xola
Item 20 · call current owners
Franchisee Contacts
43 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
TourScale · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a TourScale franchise?
The total investment to open a TourScale franchise ranges from $140K – $211K, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do TourScale franchise owners earn?
TourScale does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the TourScale FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the TourScale FDD and qualifies whose outlets they describe.
What is TourScale's franchise failure rate?
SBA 7(a) loan charge-off data is not available for TourScale (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many TourScale franchise locations are there?
As of their most recent FDD filing, TourScale has 36 total units in the United States, including 25 franchised units and 11 company-owned units. 7 new units were opened in the latest reporting year.
Is TourScale a good franchise to buy?
FranchiseVerdict rates TourScale as a B-grade franchise with a verdict score of 56 out of 100 (higher is better), 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.
For franchisors
Are you the franchisor?
If you represent TourScale, you can request corrections or provide updated information.
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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.