Risk Score
Pending analysis
Investment Range
$647,000 - $1,630,000
Franchise Fee
$75,000
Total US Locations
30
Business Summary
FunBox offers franchises for individuals and entities to own and operate FunBox amusement parks, which can be either indoor or outdoor entertainment businesses. These parks feature inflatable play equipment, interactive games, and offer related services and merchandise to the public under various FunBox brand names. Franchisees operate these businesses following FunBox's proprietary methods and systems.
Corporate History
FunBox Franchise, LLC was established as a Nevada limited liability company on March 15, 2021. It began offering franchises in April 2022. The company is wholly owned by FunBox Holdings, LLC, which was formed in 2019. An affiliate, Giant Inflatable Systems, LLC, is the exclusive approved supplier for the inflatable amusement park equipment required by FunBox franchisees.
Financial Overview
Investment Range
$647,000 - $1,630,000
Franchise Fee (Low)
$75,000
Franchise Fee (High)
$75,000
Royalty %
8%
Marketing %
2%
Equipment Costs (Low)
$532,000
Equipment Costs (High)
$1,260,000
Working Capital
$30,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The FDD highlights that FunBox's financial condition, as shown in its financial statements, raises questions about its ability to provide services and support to franchisees. The company had a member's deficit of $214,649 at the end of 2024.
Financing Details
FunBox does not offer any direct or indirect financing to its franchisees. Franchisees must secure their own funding through banks or other lenders, and FunBox does not guarantee any notes, leases, or obligations.
Performance Metrics
Total US Locations
30
Franchised Units
29
Corporate Units
1
Avg Square Footage
17,000
Franchising Since
2022
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
FunBox has no litigation to report in this document.
Bankruptcy History
FunBox has no bankruptcy history to report in this document.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their franchise, FunBox franchisees must provide written notice at least 180 days before their current agreement expires. They must be in full compliance with all agreements with FunBox and its affiliates, without any repeated defaults. Franchisees are required to renovate and reequip their FunBox Business to meet current system standards and image, including addressing any existing deficiencies and adding new products or services. They must also meet the qualifications for new franchisees, complete any additional training, sign a new franchise agreement (which may have different terms, including a modified territory and a renewal fee instead of an initial franchise fee), and execute a general release of claims against FunBox.
Training & Support Program
Franchisor Assistance
Before opening, FunBox assists franchisees with reviewing proposed sites and lease agreements (for Indoor Parks), provides suggested staffing guidelines and a confidential operations manual. For Indoor Parks, prototype construction plans or buildout guidelines are provided. FunBox also sells inflatable components, supplies, inventory, and software. After opening, FunBox may provide information on new developments and improvements, offer additional training programs, advise on operating problems, and offer guidance on pricing for products and services. FunBox maintains sole control over digital marketing efforts, and franchisees are generally prohibited from independent digital marketing without consent, though templates may be provided if approved.
Initial Training Hours
34
Training Location
A hybrid of online and telephone instruction, at FunBox headquarters or another designated location, and on-site assistance at the franchisee's location.
Ongoing Support
After opening, FunBox provides ongoing support to franchisees by offering information on new developments, techniques, and system improvements. It also provides suggested staffing guidelines and operational instructions for new employees. FunBox may offer additional training programs that franchisees are required to attend and advises on operating problems based on franchisee reports or inspections. FunBox may also offer guidance on pricing for products and services. FunBox maintains sole control over digital marketing and requires franchisees to participate in all regional promotional campaigns.
Franchise Requirements
Ideal Candidate Profile
FunBox seeks qualified individuals or entities to operate its amusement parks. The ideal FunBox franchisee is an owner-operator who is actively involved in the day-to-day management, dedicating a minimum of 40 hours per week to on-premises supervision. For business entities, a Designated Principal owning at least 50% of equity must be appointed, responsible for daily operations and binding the entity. If an individual, the Designated Principal must have at least a 10% interest in the franchise. Franchisees are expected to comply with legal, insurance, and regulatory requirements.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
retail
Owner Participation
Full-Time
Territory Type
Non-Exclusive
Territory Size Requirements
FunBox territories are determined by the franchisor based on factors like households, traffic, competition, accessibility, population density, and other demographic factors. While each territory is different, they generally include a population of approximately 50,000 children aged 2 to 17. Indoor Park territories are defined by the physical boundaries of the site, while Outdoor Parks operate within a certain geographic area at approved venues.
Staffing Notes
FunBox provides suggested staffing guidelines and operational instructions for hiring and training employees. However, all hiring decisions, conditions of employment, and responsibility for proper training rest solely with the franchisee. Each FunBox location must be under the direct, on-premises supervision of a Designated Principal, a fully trained manager, or a fully trained assistant manager approved by FunBox. Managers must successfully complete specific portions of the initial training program.