About Daycation Franchise
Daycation is a franchise concept that offers curated day use access to luxury hotel pools, spas, and resort amenities for local residents and travelers who are not hotel guests.
The brand taps into the growing demand for affordable luxury experiences by partnering with upscale properties and selling day passes to their facilities.
Daycation began franchising in 2022.
Daycation Franchise Cost & Fees
Minimum Investment
$218K
Average Investment
$308K
Maximum Investment
$398K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $59,000 | One-time payment upon signing |
| Royalty Fee | 7% of Gross Sales or $1,800 per month, whichever is greater of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1% of Gross Sales | National brand fund |
| Total Investment Range | $218,000 – $398,000 | Includes build-out, inventory, working capital |
The investment range of $218K–$398K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (7% of Gross Sales or $1,800 per month, whichever is greater) and marketing fee (1% of Gross Sales) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial franchise fee | $59,000 | $59,000 |
| Rent and Lease Security Deposit | $3,400 | $16,000 |
| Utilities | $500 | $1,200 |
| Leasehold Improvements | $81,000 | $205,000 |
| Market Introduction Program | $4,500 | $9,000 |
| Furniture, Fixtures, and Equipment | $9,000 | $13,000 |
| Computer Systems | $1,200 | $1,800 |
| Insurance | $1,200 | $3,300 |
| Signage | $4,000 | $5,500 |
| Social Services Application | $1,500 | $2,200 |
| Opening Inventory | $4,000 | $7,000 |
| Licenses and Permits | $2,000 | $2,600 |
| Dues and Subscriptions | $400 | $1,000 |
| Professional Fees (lawyer, accountant, etc.) | $1,500 | $3,000 |
| Travel, lodging and meals for initial training | $4,800 | $8,400 |
| Additional funds (for first 3 months) | $40,000 | $60,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $20,000 plus broker fees and out-of-pocket costs |
| Technology Fee | $35 - $100 per month |
| Audit Fee | Actual cost (if non-compliance or under-reporting >3%) |
| Market Cooperative Contribution | Currently none; up to 5% of Gross Sales (1-3% if franchisor has majority vote) |
| Replacement / Additional Training fee | $2,500 |
| Third party vendors | Pass-through of costs, plus reasonable administrative charge (currently none) |
| Non-compliance fee | $500 (initial), then $250 per week |
| Reimbursement | Amount we spend on your behalf, plus 10% |
| Late fee | $100 plus 18% interest per year |
| Insufficient funds fee | $30 |
| Costs of collection | Actual costs |
| Special support fee | $600 per day, plus expenses |
| Customer complaint resolution | Our expenses |
| Special inspection fee | $600, plus out-of-pocket costs |
| Non-compliance cure costs and fee | Out-of-pocket costs and internal cost allocation, plus 10% |
| Liquidated damages | 2 years of Royalty and Marketing Fund contributions or remaining term, whichever is less |
| Indemnity | Our costs and losses from legal action |
| Prevailing party’s legal costs | Prevailing party's attorney fees, court costs, and other expenses |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 98 hours |
| Classroom Training | 40 |
| On-the-Job Training | 58 |
| Training Location | Our Location, Rocklin, CA or Your Location |
| Additional Training | Franchisor may require additional training programs or refresher courses. A fee of $2,500 per day is charged for new general manager training. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Exclusive |
| Exclusive Territory | Yes |
| Territory Size | 50,000 to 100,000 people |
| Description | Typically a radius around the location, but may use other boundaries like county lines, streets, geographical features, or trade area. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Conditions | Franchisee must provide advance notice, be in compliance with all contractual obligations, renovate to current standards, sign the then-current franchise agreement and related documents (including personal guaranty), and sign a general release (unless prohibited by law). |
| Transfer Fee | $20,000 plus broker fees and out-of-pocket costs |
| Transfer Conditions | Transfer fee paid; buyer meets franchisor's standards and is not a competitor; buyer and owners sign then-current franchise agreement and related documents (including personal guaranty); franchisee has paid all monetary obligations and is in compliance; buyer completes training; franchisee and transferee sign a general release; business complies with current system specifications (including remodel, if applicable). |
| Termination for Cause | Franchisor may terminate for cause. Curable defaults include non-payment (10 days to cure) or other breaches (30 days to cure). Non-curable defaults include misrepresentation, false information, bankruptcy, loss of location, violation of confidentiality/non-compete/transfer restrictions, slander/libel, refusal to cooperate with inspection, cessation of operations for more than 5 consecutive days, three defaults in 12 months, cross-termination, felony conviction/accusation, or other non-curable breaches. |
| Non-Compete Period | 2 years |
| Non-Compete Details | During the term, neither franchisee, any owner, nor any spouse of an owner may have an ownership interest in, lend money or provide financial assistance to, provide services to, or be employed by any competitor. Post-termination, for two years, the same restrictions apply within five miles of the former territory or any other Daycation for Seniors business operating at the date of termination. If the territory was not determined, the restriction applies to the Development Area. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | A 'Principal Executive' must be designated, responsible for the business, and must complete initial and any post-opening training. They must make reasonable efforts to attend all required meetings and cannot miss more than three consecutive meetings. If the franchisee is an entity, all owners must sign a Guaranty and Non-Compete Agreement. |
| Required Suppliers | Franchisor has the right to require franchisees to purchase or lease all goods, services, supplies, fixtures, equipment, inventory, computer hardware and software, real estate, or comparable items from franchisor, its designee, or approved suppliers, or according to franchisor's specifications. Specific requirements include franchisor-approved real estate, specific insurance coverage, and franchisor-specified point-of-sale and computer systems. Franchisor provides Franchise Management Software. |
| Supply Restrictions | Franchisor has the right to require franchisees to purchase or lease all goods, services, supplies, fixtures, equipment, inventory, computer hardware and software, real estate, or comparable items from franchisor, its designee, or approved suppliers, or according to franchisor's specifications. Franchisees must request written approval to use alternative suppliers. |
| Franchisor Revenue from Suppliers | Franchisor may derive revenue from required purchases and leases by franchisees. In the prior fiscal year, 0% of total revenue was from required purchases or leases. Franchisor does not currently receive payments from designated suppliers based on franchisee purchases, but the franchise agreement does not prohibit it in the future. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | No financing offered. |
Daycation Franchise Earnings — Item 19
Average Revenue
$1.0M
Median Revenue
$1.0M
Revenue Range
$1.0M – $1.0M
Sample Size
1 units
Past financial performance does not guarantee future results. Individual results will vary.
Daycation Litigation & Risk Flags
Clean Litigation RecordDaycation has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Daycation System Growth
Total Units
3
Franchised
2
Company-Owned
1
Daycation currently operates 2 franchised locations and 1 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 0 | 0 | 1 |
| 2023 | 0 | 0 | 1 |
| 2024 | 2 | 0 | 3 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$23K
Net Income
$-97,480
Total Assets
$27K
Audited by Omar Alnuaimi, CPA for year ending December 31.
Daycation Franchise — FAQ
The total investment to open a Daycation franchise ranges from $218,000 to $398,000, per their Franchise Disclosure Document. This includes the initial franchise fee of $59,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Daycation charges a royalty fee of 7% of Gross Sales or $1,800 per month, whichever is greater of gross sales, plus a 1% of Gross Sales contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Daycation 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 Daycation to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Daycation franchise owners report average revenue of $1.0M and median revenue of $1.0M. This is based on a sample of 1 units. Past performance does not guarantee future results.
Daycation has been franchising since 2022. The FDD shows an investment range of $218,000-$398,000, a 7% of Gross Sales or $1,800 per month, whichever is greater royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $59,000 and the total investment ranges from $218,000 to $398,000 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 Daycation and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Daycation or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com