Child having fun at Urban Air

How to Fund Your Urban Air

Having a plan for how you’ll finance your Urban Air Adventure Park will help facilitate a smoother Discovery Process leading up to signing a franchise agreement. Consider these funding options for your market-leading entertainment destination.

How much it costs to open an Urban Air

It’s imperative to calculate how much you can expect to spend to open your new franchise. This helps you narrow down financing options and ensure Urban Air’s franchise investment is feasible for you.

Based on Urban Air’s 2021 Franchise Disclosure Document (FDD) item 7, the typical initial investment for a new Urban Air Adventure Park ranges from from $2,771,750 to $4,332,280 (Park 2.0) and $4,384,000 to $5,935,655 (Park 2.5). This amount includes the initial franchise fee of $75,000. It also encompasses the expected real estate and construction costs as well as the cost of attractions.

However, the exact amount you’ll need to invest in your Urban Air Adventure Park might vary. Factors like the real estate market in your territory, the size of your park and the attractions you start with will influence your initial investment.

Feel free to ask questions as you speak to our representatives during the discovery process and as you review the FDD provided. We want every franchisee to feel confident in their investment and understand where, exactly, their money is going.

Popular financing options for Urban Air franchisees

Given the size of the average initial investment, future Urban Air franchisees usually need financing options that give them access to large sums. The following funding methods are most popular among our business owners.

SBA loans

Loans through the Small Business Administration (SBA) are the most common tool used by Urban Air Adventure Park owners. SBA loans are some of the most desirable loans in the franchise world because they help business owners access lots of money with more favorable terms.

The SBA does not administer loans itself. Instead, the SBA guarantees a portion of the loan amount for a lending partner. The lending partner then provides the funding after approval. Business owners can access funding up to $5 million with an SBA 7(a) loan—one of their most popular loan options.

ROBS

If you have a pre-tax retirement account(s) like a 401(k), you can opt to use those funds for your new business. Using a Rollover as Business Startup (ROBS), entrepreneurs are able to roll existing retirement funds into a new 401(k) and invest in shares of their new business.

The funds used in ROBS are penalty-free and not a loan. This makes it possible to fund a business without debt or to reduce the total debt you take on. You’ll need to work with a third-party ROBS administrator to create and maintain your ROBS plan. Many franchise owners do a combination of SBA funding and ROBS funding to open their new business, especially since ROBS funding can meet the lender requirements for non-borrowed equity injection and post-close liquidity.

Investor/operator relationship

Urban Air’s business model allows entrepreneurs to come together to jointly own a park. Investors can contribute the financial resources necessary to open a park remotely, while a local operator steps up to launch the business.

If you have a passion for the Urban Air model but don’t have access to funding, consider partnering with an investor. You can forge a partnership on your own, or our franchising team may be able to help you find one.

Conventional loans

Conventional loans through a bank or financial institution may allow you to access Urban Air financing with standard market terms. Unlike SBA loans, these loans are not guaranteed and may have higher interest rates or less-favorable repayment schedules. However, they are still a viable option for opening your own park!

Urban Air does not offer financing for our franchises directly. However, we do maintain relationships with trusted small-business lenders and financial organizations. By speaking with our franchising representatives, you can learn more about these lenders’ funding requirements. We’ll introduce you to them to begin the financing process.

Get ready to launch with Urban Air

Funding your Urban Air Adventure Park doesn’t have to be a headache. There are a multitude of financing options available to you. Plus, our franchising team will be with you every step of the way during the discovery process to answer questions and guide you on your path to ownership.

Are you ready to take the next step with Urban Air? Request more information to speak with a representative and explore our innovative franchise opportunity!

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