CAMP Margaritaville logo

CAMP Margaritaville Franchise

Audited Financials
HospitalityEst. 1997Orlando, FL
www.margaritaville.com

Risk Score

Pending analysis

Investment Range

$4,504,850 - $58,467,850

Franchise Fee

$75,000

Min Cash Required

$300,000

Total US Locations

5

Business Summary

Camp Margaritaville operates upscale RV resort destinations under the CAMP MARGARITAVILLE® brand. These resorts provide RV camping sites, cabin rentals, and high-end amenities. They focus on offering exceptional service with modern technology, design, and food and beverage services, typically located in popular leisure travel areas.

Corporate History

Margaritaville RV Resorts, LLC is a Delaware limited liability company and a subsidiary of Margaritaville Enterprises, LLC, which itself is a subsidiary of Margaritaville Holdings LLC. Margaritaville Holdings LLC was formed in September 1997. Margaritaville RV Resorts, LLC began offering franchises for Camp Margaritaville Resorts in July 2021. Prior to franchising, affiliated entities had already entered into trademark license agreements for Margaritaville-branded RV resorts.

Financial Overview

Investment Range

$4,504,850 - $58,467,850

Franchise Fee (Low)

$75,000

Franchise Fee (High)

$75,000

Minimum Cash Required

$300,000

Royalty %

5%

Marketing %

1.5%

Equipment Costs (Low)

$1,250,000

Equipment Costs (High)

$4,250,000

Working Capital

$400,000

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

Margaritaville Holdings LLC, the parent company and guarantor for Camp Margaritaville, received an unqualified audit opinion for its financial statements for the years ended December 31, 2024, and 2023, indicating that the statements present fairly in all material respects. The company reported net income of $19,891,345 in 2024 and $27,784,671 in 2023, showing profitability. It maintains a healthy current ratio, with current assets of $47,243,511 and current liabilities of $15,811,903 as of December 31, 2024. While the company has significant debt (total notes payable of $142,526,517 in 2024), it was in compliance with its financial covenants. A notable aspect is a substantial accumulated 'Partners' deficit' of $(113,444,304) in 2024, despite recent profitability. In 2023, the company received over $20 million in life insurance proceeds which were used to pay down debt.

Financing Details

Camp Margaritaville does not offer any direct or indirect financing to franchisees. It also does not guarantee any notes, leases, or obligations for franchisees.

Performance Metrics

Total US Locations

5

Franchised Units

5

Corporate Units

0

Franchising Since

2021

Legal & Compliance Analysis

Recent Litigation

Yes

Bankruptcy

No

Litigation Count

3

Litigation Summary

Camp Margaritaville's affiliate, Margaritaville Enterprises, LLC, and its parent, Margaritaville Holdings LLC, along with certain executives, have been involved in three legal matters. One case, Boss Investments Ltd. v. Margaritaville of Bahamas, LLC, concerned a trademark sub-license agreement related to a Bahamian resort. This case was filed in October 2018 and settled by December 2020. Another case, Stephen W. and Catherine C. Shultz v. Margaritaville Enterprises, LLC, involved allegations of fraud and deceptive practices related to cottages at a Margaritaville Resort in Florida, filed in April 2021. This lawsuit was settled and dismissed in April 2023. A third administrative proceeding involved Margaritaville Hotels & Resorts, LLC (another affiliate) and the California Department of Financial Protection and Innovation. In March 2020, this affiliate entered a consent order for failing to file a notice of exemption and pay fees for three hotel sales in California, agreeing to pay a $7,500 penalty.

Bankruptcy History

Margaritaville RV Resorts, LLC has no bankruptcy history to report.

Agreement Terms

Initial Term

20 years

Renewal Term

10 years

Renewal Conditions

To renew their franchise, Camp Margaritaville franchisees must provide written notice of intent 12-18 months prior to expiration, not be in default, maintain ownership of the site, pay a $50,000 renewal fee, agree to remodel the resort to current brand standards, execute the then-current form of franchise agreement, and sign a general release of claims against the franchisor and its affiliates.

Training & Support Program

Franchisor Assistance

Before opening a Camp Margaritaville Resort, the franchisor assists with reviewing and approving the site, the project's overall scope and scale, and the design elements for any branded restaurants, bars, or retail stores. It also reviews and approves all preliminary and final plans and specifications, including furniture, fixtures, equipment, and technology plans. The franchisor provides branded marketing materials and toolkits, initial training for key management personnel, and access to an online operations manual. During operation, Camp Margaritaville offers periodic additional training, conducts regular inspections through its Quality Assurance Program, and provides operational advice based on franchisee reports and inspections. It also maintains and administers the Marketing Program, allows the use of its intellectual property and confidential information, takes action to protect trademarks, and may hold annual conventions for franchisees. Franchisees are required to participate in various mandatory programs covering reservations, marketing, loyalty, internet, and financial reporting.

Initial Training Hours

152

Training Location

A franchisor-selected Margaritaville-branded venue for offsite management training and on-site at the franchisee's Resort for task force training.

Ongoing Support

After opening, Camp Margaritaville provides ongoing support through optional additional training programs for management personnel, periodic inspections under its Quality Assurance Program, and operational advice based on franchisee reports and inspections. The franchisor also maintains and administers the Marketing Program, allows continued use of its intellectual property and confidential information, takes action to protect trademarks, and may host annual conventions. Franchisees are required to participate in all mandatory systemwide programs, including reservation services, rate and inventory management, advertising, loyalty programs, internet and computer systems, training, website/CMS platforms, social media, group sales referral programs, amenity day pass software, photography/videography, and financial reporting. They must also have a dedicated public relations resource.

Franchise Requirements

Ideal Candidate Profile

Camp Margaritaville expects only business entities, not individuals, to acquire its franchises. These entities should have owners (individuals or other business entities) who possess the necessary business experience, aptitude, and financial resources to operate a resort. The franchisee entity or its approved management company must ensure that its General Manager, food and beverage manager, sales director, and any other salaried employee in a director or higher-level position (Key Personnel) devote all their working time to supervising the resort's day-to-day operations.

Industry Experience Required

No

Management Experience Required

No

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

Commercial

Owner Participation

Absentee Allowed

Territory Type

Non-Exclusive

Territory Size Requirements

Camp Margaritaville franchisees typically do not receive an exclusive territory. However, in special circumstances and by mutual agreement with the franchisor, an "Area of Protection" may be granted. This Area of Protection defines the immediate area surrounding the Camp Margaritaville Resort, using geographic references such as streets, or a radius or driving miles from the resort, depending on its location. The specific size of the Area of Protection is determined by mutual agreement, considering the resort's size and location, to establish a commercially reasonable competitive area. This judgment may vary in different settings like urban, suburban, or specialized travel destinations. If granted, the franchisor will not open or authorize another Camp Margaritaville Resort with the same or similar branding within this Area of Protection for a specified term, typically 5 years from the resort's opening. This protection does not extend to other lodging brands or types of lodging properties licensed or franchised by the franchisor's affiliates.

Staffing Notes

Camp Margaritaville expects only business entities to acquire franchises. The franchisee entity, or its approved management company, is responsible for hiring and properly training all resort personnel, including Key Personnel such as the General Manager, food and beverage manager, and sales director. Key Personnel must devote all their working time to supervising the resort's daily operations and cannot hold concurrent positions at other lodging facilities. The General Manager and other management personnel are not required to have an equity interest in the resort.