About Cruisin' Tikis Franchise
Cruisin' Tikis is a unique entertainment and tourism franchise offering opportunities since 2018.
Each location operates custom built, tiki themed boats that take passengers on scenic cruises around local waterways.
The floating tiki bar experience includes tropical music, festive decor, and the option for guests to bring their own food and beverages, creating a memorable, party style outing on the water.
Cruisin' Tikis Franchise Cost & Fees
Minimum Investment
$81K
Average Investment
$96K
Maximum Investment
$112K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $20,000 (with a 10% discount for qualifying veterans and first responders) | One-time payment upon signing |
| Royalty Fee | 6% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 2% of Gross Sales | National brand fund |
| Total Investment Range | $80,515 – $112,280 | Includes build-out, inventory, working capital |
The investment range of $81K–$112K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of Gross Sales) and marketing fee (2% of Gross Sales) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $20,000 | $20,000 |
| Vessel Purchase | $54,500 | $56,480 |
| Delivery and Marina Costs | $1,000 | $18,000 |
| Dock Rental | $500 | $5,000 |
| Furniture, Fixtures and Equipment | $0 | $500 |
| Branded Merchandise | $40 | $50 |
| Computer System, Equipment and Supplies | $175 | $700 |
| Grand Opening Advertising | $2,000 | $3,000 |
| Miscellaneous Opening Costs | $100 | $300 |
| Signage | $200 | $250 |
| Insurance Premium | $800 | $4,000 |
| Business Licenses and Permits | $200 | $2,000 |
| Additional Funds - 3 months | $1,000 | $2,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $1,000 if the transferee is your then-existing Owners that we have approved. 50% of our then-current initial fee for any other transferee. |
| Renewal Fee | 50% of our then-current initial franchise fee for new Cruisin’ Tikis franchises. If we are then not offering new Cruisin’ Tikis franchises, then the renewal fee will be 50% of last initial franchise fee we charged for a new Cruisin’ Tikis franchise. |
| Technology Fee | $25 to $100 per month (currently not charged) |
| Audit Fee | $1,000 to $5,000 |
| Purchase of Additional Vessels | Currently $54,500 to $56,480, plus applicable sales taxes (which will vary), and the costs of delivery and initial marina fees (estimated to be $1,000 - $18,000) |
| Interest on Late Payment | The lower of 18% per annum or the maximum rate allowed by law |
| Bad Payment Fee | $100 per returned check or ACH denied |
| Non-Compliance Fee | An increase in your Royalty rate of one (1) percentage point |
| Management Fee | 10% of Gross Sales plus costs and expenses |
| Refresher Training | Our then-current fee per person per day. (currently, $500 per day plus expenses) |
| Vendor Testing Fees | Currently estimated to be between $0 and $250. |
| Insurance Reimbursement | Reimbursement of our costs for all mandatory insurance coverage premiums, plus a reasonable fee for our time incurred in obtaining such insurance |
| Indemnification | Costs incurred by us in connection with claims arising from the operation of your Business. |
| Costs and Attorneys’ Fees | Will vary under circumstances |
| Liquidated Damages | An amount equal to the then net present value of the Royalty fees and Brand Promotion Fund contributions that would have become due for the remainder of the term of the Franchise Agreement had the agreement not been terminated. |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | No initial training. Refresher training and annual meetings may be offered. |
| Training Location | At a location that we determine (for refresher/annual meetings) |
| Additional Training | We may conduct annual meetings of Cruisin’ Tikis franchise owners and provide refresher training programs from time to time at a location that we determine. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | Varies based on waterways, population, and tourism. |
| Description | The Designated Territory will usually be described by reference to a map which would include the specific waterways (or portions of waterways) on which you would be authorized to operate your Vessel. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 5 years |
| Renewal Term | 5 years |
| Renewal Fee | 50% of our then-current initial franchise fee for new Cruisin’ Tikis franchises. If we are then not offering new Cruisin’ Tikis franchises, then the renewal fee will be 50% of last initial franchise fee we charged for a new Cruisin’ Tikis franchise. |
| Renewal Conditions | Notice of your election given 90-180 days before the Franchise Agreement expires. No violation of the Franchise Agreement during its expiring term. In full compliance with the Franchise Agreement and all mandatory System Standards at time of election and renewal. We must then be granting franchises for Cruisin’ Tikis Vessels. Payment of renewal fee. Sign our then-current Franchise Agreement. You and your owners sign a general release. |
| Transfer Fee | $1,000 if the transferee is your then-existing Owners that we have approved. 50% of our then-current initial fee for any other transferee. |
| Transfer Conditions | You have satisfied all of your obligations under the Franchise Agreement; the terms of the transfer and the transferee are satisfactory to us; you pay us a transfer fee; all approvals required for the transfer have been granted; you (and your owners) and transferee (and its owners) sign general releases of all claims; and transferee signs our then-current form of Franchise Agreement. |
| Termination for Cause | Only if you or your owners commit one of several violations, including material misrepresentation, failure to satisfy activation schedule, inability to operate, abandonment, felony conviction, violation of transfer/non-compete/confidentiality restrictions, loss of vessel ownership, violation of law, failure to pay amounts due, failure to pay taxes, repeated defaults, insolvency, or failure to pass quality assurance audit. |
| Non-Compete Period | During the Term and for 2 years following termination or expiration |
| Non-Compete Details | During the Term, neither franchisee nor its owners/spouses may have involvement in a Competitive Business, divert business, or duplicate System Standards. For 2 years following termination or expiration, restricted persons may not have direct or indirect interest in a Competitive Business within the Designated Territory, within a 30-mile radius of the Designated Territory, or within a 30-mile radius of any other Cruisin’ Tikis Vessel’s designated territory then open and operating or under construction. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | If you are a legal entity, you must designate, subject to our approval, one of your owners, who is a natural person, to devote a reasonable amount of time to the operation and supervision of your Business. If you (or your Managing Owner) are not supervising your Business on a full-time basis, you must appoint a fulltime manager. Your Business must always be under the supervision of one or more persons who, in our sole discretion, have sufficient prior boating experience. |
| Required Suppliers | You must currently purchase (i) the Vessels from our affiliate, Cruisin’ Tikis Builders; (ii) Vessel delivery services from our affiliate, Cruisin’ Tiki Logistics; (iii) certain components of the Computer System from our designated vendors. Currently, purchase of monogrammed captain’s shirts is optional; however, if you wish to make such purchase, you must buy the monogrammed captain’s shirts from us. |
| Supply Restrictions | We estimate that 95% to 100% of your initial investment and 75% to 85% of your ongoing expenditures will be directed to purchase products and services that will be restricted by us in some manner. |
| Franchisor Revenue from Suppliers | During the 2021 fiscal year (i) our total revenue was $832,710 none of which was derived from sales or leases of goods and services to our franchisees, (ii) our affiliate, Cruisin’ Tikis Builders, derived $1,208,853 in revenue from sales of goods and services to our franchisees, and (iii) our affiliate, Cruisin’ Tiki Logistics, derived $26,950 in revenue from sales of goods and services to our franchisees. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your promissory notes, mortgages, leases or other obligations. |
Cruisin' Tikis Franchise Earnings — Item 19
Cruisin' Tikis does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Cruisin' Tikis does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Cruisin' Tikis Litigation & Risk Flags
1 Pending Action ListedReview the full FDD for details on pending litigation.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Cruisin' Tikis System Growth
Total Units
70
Franchised
65
Company-Owned
5
Cruisin' Tikis currently operates 65 franchised locations and 5 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 26 | 0 | 29 |
| 2020 | 12 | 0 | 41 |
| 2021 | 29 | 0 | 70 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 11 states: CA, IL, IN, MD, MI, MN, NY, OR, RI, VA, WI
Franchisor Financials (Item 21)
Revenue
$833K
Cruisin' Tikis Franchise — FAQ
The total investment to open a Cruisin' Tikis franchise ranges from $80,515 to $112,280, per their Franchise Disclosure Document. This includes the initial franchise fee of $20,000 (with a 10% discount for qualifying veterans and first responders). The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Cruisin' Tikis charges a royalty fee of 6% of Gross Sales of gross sales, plus a 2% of Gross Sales contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Cruisin' Tikis Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Cruisin' Tikis to ensure you have the most up-to-date version.
Cruisin' Tikis does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Cruisin' Tikis has been franchising since 2018. The FDD shows an investment range of $80,515-$112,280, a 6% of Gross Sales royalty, and no Item 19 earnings disclosure. There are 1 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $20,000 (with a 10% discount for qualifying veterans and first responders) and the total investment ranges from $80,515 to $112,280 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Cruisin' Tikis and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Cruisin' Tikis or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com