Do you want to open an indoor playground business by buying BounceU franchise? If YES, here is how much it cost to open BounceU franchise successfully. If you are looking towards opening a BounceU Franchise, it will be nice for you to have a of what the company represents before going ahead to enquire about the total cost of opening the franchise in your location.

BounceU started operation in 2003 and they began franchising in 2004, about 16 years ago. Lee Knowlton is the CEO and they have their corporate head office at 1860 W. University Dr., #108 Tempe, AZ 85281 and presently they have an estimated 12 franchise units in operation.

Each BounceU facility is an indoor, climate-controlled stadium filled with giant inflatable play structures, accompanied by additional play equipment and video arcade games. In addition to hosting birthday parties and other special occasions, BounceU stadiums also offer “open bounce” sessions to provide franchise owners with an additional revenue stream.

BounceU is a very unique children’s playground franchise. It offers a rare opportunity for those with an entrepreneurial spirit to have the time of their lives while going into business for themselves. When customers enter a BounceU franchise, their faces light up with excitement and the anticipation of participating in a BounceU event shows in their actions.

Potential franchisees have the same reaction when they enter one of our children’s playground franchises. BounceU is really a children’s exercise franchise. All the kids bounce their way towards better fitness. As a children’s playground franchise owner, you can bring another healthy form of entertainment to your community.

The estimated investment required to open a BounceU Franchise is between $129,700-$535,500. There is an initial franchise fee of $35,000-$40,000 which grants you the license to run a business under the BounceU name. Here are areas where you are expected to spend money and the cost associated with it;

Financial Investment Required to Open a BounceU Franchise?

1. Initial Franchise Fee: $352,250 – $769,100

Please note that the current initial franchise fee is $352,250 – $769,100. The initial franchise fee for BounceU locations that are developed under a Development Agreement after the first location is one-half of the current initial franchise fee.

Please note that the Investment Range for a single stadium is $126,647 to $324,947 and the Investment Range for a dual stadium is $178,096 to $624,896. Veteran Incentive is 25 percent off franchise fee.

2. Total Estimated Initial Investment Under the Franchise Program: $126,647 – $624,896

The franchisor relied on its experience from opening a BounceU location in the past and its experience in the weight loss business to compile these estimates.

3. Royalties: 6 percent

“Gross Revenues” include all revenues generated from the provision of any and all services and/ or the sale of any and all products and, whether by the franchisee or a third-party provider, that relate to or arise from the Franchised Business. It does not include taxes collected from customers.

4. POS Hardware and Software: Depends upon vendor and products purchased. (Due Date:  Depends upon vendor and products purchased.)

5. Attorneys’ Fees and Costs: Will vary under circumstances. (Due Date:  As incurred.)

Payable to BounceU if it is forced to retain independent counsel and seek damages or injunctive relief to enforce the Franchise Agreement (whether or not suit is filed) or if BounceU is required to defend your unsuccessful claim against it. Please note that this includes legal fees incurred at the trial level and appellate levels.

6. Equipment, Supply, or Supplier Testing or Inspecting: Fee not to exceed the actual costs of inspecting and testing.

(Due Date:  Due on receipt of invoice.). Please note that This fee covers the cost of testing or inspecting equipment, supplies, or suppliers you propose.

7. Taxes: Amount required to reimburse BounceU for certain taxes imposed on payments to it and the Due Date for this fee On demand.

8. Audit Costs: All costs and expenses associated with the audit, reasonable accounting and legal costs.

9. Costs and Attorneys’ Fees: Will vary under circumstances.

10. Indemnity: Will vary under circumstances.

11. Insurance: Reimbursement of Costs: The franchisor’s out-of-pocket costs.

12. Advertising Fee: If BounceU imposes this fee, you will pay up to 2% of your Gross Sales

Due Date: If BounceU imposes this fee, it will be due on or before Wednesday of each week for the previous week.

  1. Term of Agreement and Renewal: The length of the initial franchise term is 10 years. Two additional 10 – year renewal terms are available, if requirements are met.
  2. Financial Assistance: Neither the franchisor nor any agent or affiliate offers direct or indirect financing to franchisees or guarantees any note, lease or obligation of theirs.

Please note BounceU has relationships with third-party sources which offer financing to cover the following; franchise fee, startup costs, equipment, inventory, and accounts receivable.

In Summary,

  • Initial Investment: $129,700-$535,500
  • Initial Franchise Fee: $35,000-$40,000
  • Cash Required: $100,000
  • Royalty Fee: 6 percent
  • Advertising Fee: 2 percent
Joy Nwokoro