Sky Zone Franchise Opportunities
Sky Zone is a chain of indoor family entertainment centers in the United States, Canada, Mexico, Australia, India, United Kingdom and Saudi Arabia that features numerous connected trampolines. Visitors of all ages that take a visit to Sky Zone can bounce from one trampoline to another, jump into pits filled with foam blocks and play a trampoline-based version of dodgeball.
Since its launch in 2004 in the Las Vegas Valley, Sky Zone has expanded to 17 states and 3 provinces, with plans for locations in additional states and provinces. In 2013, Sky Zone announced a master franchise license with Strike Bowling Bar to build 10 parks in Australia as well as future parks in New Zealand. There are plans to open in Bahrain, Guatemala, Norway, Oman, Pakistan, Poland, Qatar, and the United Arab Emirates.
How much does Sky Zone franchise cost?
Sky Zone has the franchise fee of up to $60,000, with total initial investment range of $1,343,813 to $2,694,116.
Initial investments: $1,343,813 - $2,694,116
Net-worth Requirement: $1,500,000
Liquid Cash Requirement: $400,000
Sky Zone Initial Investment
Name of Fee | Low | High |
---|---|---|
Initial Franchise Fee | $60,000 | $60,000 |
Lease & Security Deposits | $21,000 | $47,250 |
Leasehold Improvements/Architect | $448,800 | $633,000 |
Signage | $30,325 | $33,881 |
Playing Fields | $427,195 | $452,423 |
Furniture/Fixtures | $22,969 | $30,318 |
Computer Software License and Hardware | $69,088 | $71,171 |
Equipment and Supplies | $122,963 | $124,516 |
Licenses, Dues, Utility Deposits, etc. | $3,000 | $6,000 |
Inventory | $25,439 | $25,439 |
Travel Expenses/Pre-Opening Salaries | $28,535 | $32,535 |
Professional Fees | $4,000 | $12,000 |
Insurance Deposit | $15,500 | $16,300 |
Additional Funds – 3 months | $40,000 | $80,000 |
Grand Opening Advertising | $25,000 | $25,000 |
ESTIMATED TOTAL | $1,343,813 | $1,649,833 |
Ongoing Fees
Initial Franchise Fee: $60,000
Ongoing Royalty Fee: 6%
Ad Royalty Fee: 2%
Support Options
On-The-Job Training: 27+ hours
Classroom Training: 46+ hours
Absentee Ownership Allowed
Number of Employees Required to Run: 40-80
Sky Zone Franchise Info: https://www.skyzone.com
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Sky Zone Franchise Other Fees
Type of Fee | Amount |
---|---|
Royalty Fee | 6% of Gross Sales. |
Advertising Fee | Currently, 2% of Gross Sales. |
Online Marketing Tool Advertising fee | Then-current fee charged by the franchisor’s approved or designated supplier. Currently, $20 per month per user. |
Extension Fee | The then current initial franchise fee. |
Transfer Fee Under Franchise Agreement | 50% of the then current Initial Franchise fee. |
Renewal Fee Under the Franchise Agreement | 25% of the then current Initial Franchise fee. |
Additional Training | Currently, the franchisor reserves the right to charge $500 per day |
Additional Assistance | Currently, the franchisor reserves the right to charge $500 per day |
Audit | The franchisor’s costs and expenses of the audit, including salaries, professional fees, travel, meals and lodging, plus any understated amount with interest. |
Interest on Late Payments | Lesser of 18% annually or maximum legal rate the franchisor is able to charge (e.g., based on where the Park is located) subject to applicable laws. |
Late Report Fee | $100 plus $100 for each day the report is late. |
Testing for Alternate Supplier Approval | Not more than the actual cost of the test. |
Product Purchases and Installation of Playing Fields | Varies based on the products ordered (e.g., Playing Fields (including installation), balls, stickers, wristbands and SkySocks). |
Online POS-Related Fees | Then-current fees charged by the franchisor’s approved supplier for point of sale (POS) system and related software. Currently, the POS-related fees are transaction-based and are calculated as follows: $0.75 per transaction for the first 1,000 transactions, plus $0.50 per each additional transaction |
Technology Suite | Then-current technology or license fee the franchisor charges in connection with the any Technology Suite it develops and/or designate for use in connection with the System |
Taxes | Actual costs |
Annual Convention | Up to $1,000 per person, plus expenses. |
Space Planning Fee | Currently, $350 per floor plan |
Insurance | Cost of the premium plus a reasonable fee for the franchisor’s services in procuring the insurance. |
Indemnification | Amount of the franchisor’s liabilities, fines, losses, damages, costs and expenses (including reasonable attorneys' fees). |
Attorneys' Fees for Review of Park Waivers | Actual costs. |