Buy an indoor playground franchise if you want to run the format the franchisor sells and can afford its percentage of every sale for as long as you operate. Build independently if your own concept, with your cafe, equipment and party packages, is the point. The systems I read in their 2026 disclosure documents sell three different formats: The Little Gym is classes and memberships, We Rock the Spectrum is a sensory gym with open play, classes and parties, and Pump It Up is inflatable party arenas. Decide which format you want to run before you compare franchise fees.
The initial fee is only part of the opening budget. Royalties and required marketing spending then come out of every month’s sales, including months when the venue loses money.
Three indoor playground franchise formats compared
The table uses the 2026 Franchise Disclosure Documents (FDDs) filed with the Minnesota franchise registry, read on October 25, 2026. These are three different business models, not a complete list of indoor play franchises. Investment is Item 7, fees are Items 5 and 6, and financial performance data is Item 19.
| The Little Gym | We Rock the Spectrum | Pump It Up | |
|---|---|---|---|
| FDD issued | April 24, 2026 | April 27, 2026 | April 20, 2026 |
| Format | Classes and memberships | Sensory gym: open play, classes, parties | Inflatable arenas, party rooms |
| Site size | 2,800–4,200 sq ft | Generally 3,500–10,000 sq ft | About 9,000–11,000 sq ft |
| Item 7 total | $420,324–$722,773 | $178,525–$388,425 | $104,200–$762,190 |
| Initial fee | $59,500 | $65,000, equipment package included | $30,000 |
| Royalty | 8% of gross sales; $2,500 monthly minimum after the introductory period | 5% of gross revenue | 6% of gross revenue |
| Marketing | 1% national fund plus 5% local, currently | No fund established as of Dec. 31, 2025 | 2% brand fund, currently, plus annual local spending of the greater of 2% of gross revenue or $12,000 |
| Item 19 | Sales and EBITDA by quartile | None | Gross revenue only |
| Franchised units, end of 2025 | 255 | 117 | 39 |
Read the Pump It Up range with care. Its $104,200 low end includes $0 of leasehold improvements; the high end allows up to $450,000 for that line. A site that needs tenant-funded construction won’t fit the low-end assumption. The stated low total also doesn’t match the table: its line items sum to $134,200, which is $30,000 more than the $104,200 printed in Item 7 and on the cover, so ask the franchisor which fee or cost the low figure leaves out.
What royalties add after opening
The Little Gym’s second-quartile reporting gyms averaged $749,539 in 2025 gross sales. Applying the 8% rate to that revenue gives about $59,960 a year, roughly equal to the $59,500 initial fee. Required marketing currently adds another 6% of sales. Together, that’s 14% of gross before other fees, with a higher effective percentage when the monthly royalty minimum applies. Local marketing is spending on your venue’s promotion, rather than another royalty paid to the franchisor.
The $2,500 monthly floor starts the day after 180 days following the grand opening. Once it applies, it exceeds 8% in any month with gross sales below $31,250. Twelve months subject to that floor would mean at least $30,000 in royalties. Annual average sales alone won’t tell you which months trigger it.
Pump It Up’s 2025 reporting units averaged $658,892 in gross revenue. Applying its 6% royalty and current 2% brand fund contribution gives about $52,700 a year, compared with the $30,000 initial fee, before required local marketing spending.
An independent venue avoids franchise royalties and brand-fund contributions, but still needs its own marketing budget. You also arrange design, equipment sourcing and staff training yourself. Compare those costs with the specific assistance promised in the franchise agreement and described in Item 11.
What each FDD lets you underwrite
The Little Gym provides the most detail of these three. Its fiscal 2025 Item 19 table includes 166 reporting gyms, compared with 255 franchised units at year-end; the other 89 were excluded, 39 because they weren’t open the full year and 50 for incomplete data, including closures. Average gross sales by quartile run from $1,043,656 down to $321,067, and reported average EBITDA margins from 35.0% down to –8.8%. EBITDA means earnings before interest, taxes, depreciation and amortization; it isn’t take-home cash. The FDD’s “other costs” line includes royalties, so don’t subtract them again when using its EBITDA figures. Use the lower-revenue quartiles to test how your plan handles weaker sales.
Pump It Up reports gross revenue only, with no costs. Its 37 reporting rotation or double units averaged $658,892 in 2025; the reported averages for 2024 and 2023 were $735,075 and $812,241. The 2025 median was $562,318 and the range ran from $258,095 to $1,748,951. These annual averages aren’t necessarily a same-store sales comparison. The system also shrank from 48 franchised units at the start of 2023 to 39 at the end of 2025.
We Rock the Spectrum makes no financial performance representation. The system grew from 96 to 117 franchised units in 2025, with 25 openings and 4 terminations. That tells you about system growth, not individual venue profitability. You’ll need to gather revenue and cost information directly from franchisees to build a financial model.
When a franchise fits and when to build independently
A franchise fits when its operating model matches what you want to sell and its support addresses work you’d otherwise have to develop yourself. A class-led gym needs a class schedule and enrollment model; a party-led venue depends on selling and running party slots. The Little Gym’s equipment package and ten-year minimum lease are commitments to include in that decision. You’re buying the constraints along with the brand.
Build independently if control over your equipment, layout, cafe or party packages is central to the concept and you can develop the operating model yourself. Open play alone doesn’t decide it: We Rock the Spectrum offers it within a sensory-gym model. For your own concept, use the categories in our startup cost guide to request local quotes. Compare the same premises, build-out scope and working-capital period across both options. Build the revenue and capacity model in a business plan before you set a budget.
What to check in the FDD
For a franchise sale covered by the FTC rule, you must receive the FDD at least 14 calendar days before signing a binding agreement with, or paying, the franchisor or an affiliate. Use that review period to examine the obligations behind the headline figures.
- Item 20 provides outlet histories and franchisee contacts. Call former owners as well as current ones the franchisor suggests. In 2025, The Little Gym reported 5 units that ceased operations and 1 non-renewal, and We Rock the Spectrum reported 4 terminations.
- Read the lease requirements and Item 8’s supplier restrictions alongside the equipment quote. Identify purchases you must make through designated suppliers and whether alternatives need approval.
- Item 17 and the agreement explain renewal, termination and transfer terms. Include the cost and conditions of leaving or selling the business in your comparison.
