KOA

Item 7 lays out the financial entry: a $15,000 franchise fee kicks off an initial investment spanning $109,000 to $957,000, heavily influenced by land costs and campground scale in high-demand recreational spots. Ongoing fees bite at 8% royalty plus 2% brand fund and a $1,750 annual admin charge, standard for a network boasting 427 franchised locations alongside 51 corporates. Item 19 shines brightly here, disclosing average gross revenues of $707,151 and a median of $501,821—strong figures for a seasonal operation targeting diverse campers, though profitability hinges on occupancy peaks in summer and strategic off-season events.

System health shows maturity with a -1% dip from 432 to 427 locations year-over-year, yet optimism lingers via 24 projected new units and 20 transfers, against just 6 terminations and 4 non-renewals. SBA data underscores commitment: 54 loans averaging $1,076,952 signal banks' faith in the model. For buyers eyeing specialty lodging, KOA's half-century track record and revenue transparency make it compelling, but probe location-specific seasonality and land acquisition in FDD Items 11 and 19 to gauge true ROI potential.