About Nautical Boat Club Franchise
Nautical Boat Club is a members-only Boating Country Club that offers its members the usage of boats and accessories at designated times and for designated time periods.
Franchisees operate private boat clubs where members pay an initial fee and continuing monthly membership dues to reserve and use a fleet of boats on a first-come, first-served basis.
The target customers are boating enthusiasts in affluent areas near lakes or large bodies of water who want the boating lifestyle without the hassle and expense of boat ownership.
Nautical Boat Club Franchise Cost & Fees
Minimum Investment
$551K
Average Investment
$744K
Maximum Investment
$937K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $55,000 | One-time payment upon signing |
| Royalty Fee | 6% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1% of Gross Sales (Brand Fund Contribution, may increase to 3%); plus the greater of 7% of Gross Sales or $30,000/year for Local Ad Expenditure | National brand fund |
| Total Investment Range | $551,400 – $936,800 | Includes build-out, inventory, working capital |
The investment range of $551K–$937K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of Gross Sales) and marketing fee (1% of Gross Sales (Brand Fund Contribution, may increase to 3%); plus the greater of 7% of Gross Sales or $30,000/year for Local Ad Expenditure) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $55,000 | $55,000 |
| Real Estate | $10,800 | $28,800 |
| Office Rental | $4,500 | $13,500 |
| Leasehold Improvements | $5,000 | $10,000 |
| Fleet Inventory | $390,000 | $650,000 |
| Furniture, Fixtures, and Equipment | $2,500 | $10,000 |
| Computer Hardware and Software | $2,000 | $5,000 |
| Exterior Signage | $2,500 | $5,000 |
| Soft Costs | $2,500 | $5,000 |
| Insurance | $8,100 | $18,000 |
| Boat Outfitting Equipment, Supplies & Toys for 7 Boats | $5,000 | $10,000 |
| Training Costs | $1,500 | $2,500 |
| Security and Utility Deposits | $1,000 | $2,000 |
| Business Licenses | $1,000 | $2,000 |
| Advertising Expenses | $30,000 | $50,000 |
| Additional Funds – Up to 12 months | $30,000 | $70,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | The greater of $27,500 or one-half of the then-current initial franchise fee |
| Renewal Fee | 25% of the then-current Initial Franchise Fee |
| Technology Fee | $300 per month (may range from $0 to $1,000 per month) |
| Audit Fee | Cost of audit plus travel, lodging and meal expenses (if understatement exceeds 3% of Gross Sales) |
| Grand Opening Advertising | $5,000 |
| Additional Training Per Diem | Up to $400 per day per person plus expenses |
| Initial Technology and Operating Platform Fee | $1,450 initial fee |
| Continuing Third Party Technology Fees | $450 per boat per year (Technology Platform); $70/month (QuickBooks); $25/month (Microsoft Office 365); $25/month (Managed Services) |
| Non-Compliance Fees | $250 to $1,000 per deviation |
| Interest | Lesser of 18% per annum or highest lawful rate |
| Late Fee | $25 per day |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 5 to 7 days |
| Classroom Training | 20 to 40 hours |
| On-the-Job Training | 20 to 40 hours |
| Training Location | Nautical Boat Club – Grapevine, Grapevine, Texas (or another designated location) |
| Additional Training | 5 to 7 days of on-site pre-opening and opening assistance; 60 days of post-opening follow-up consultation; periodic conferences; additional training available at $400 per person per day plus expenses |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected (Designated Area) |
| Exclusive Territory | No |
| Territory Size | Typically encompasses a population of 50,000 to 100,000 people and a 5 to 10 mile radius around the Office at the Marina Site |
| Description | Franchisor will not operate or authorize another Nautical Boat Club within the Designated Area while franchisee is in full compliance. However, franchisor and affiliates may establish clubs outside the Designated Area regardless of proximity or competitive impact, and reserve all other rights related to the System and Marks. No exclusive marketing area granted. No rights of first refusal for additional franchises. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | Up to two additional 5-year renewal terms |
| Renewal Fee | 25% of the then-current Initial Franchise Fee |
| Renewal Conditions | Not be in default; satisfactory inspections; written notice at least 12 months prior to end of term; sign new Franchise Agreement (which may have materially different terms); pay renewal franchise fee; sign general release; upgrade club to current standards |
| Transfer Fee | The greater of $27,500 or one-half of the then-current initial franchise fee (plus $1,000 non-refundable deposit at application) |
| Transfer Conditions | Full compliance; transferee qualifies and meets current criteria; all amounts due paid in full; completion of training; transfer fee paid; transferee signs then-current Franchise Agreement; franchisee signs general release and guarantees transferee performance; 60 days prior written notice; franchisor has right of first refusal |
| Termination for Cause | 30 days to cure most defaults; immediate termination without cure for substantial material breaches including abandonment, false records, illegal transfer, multiple breaches, loss of possession, failure to meet Minimum Monthly Royalty, disclosure of Proprietary Information, criminal acts, underpayment, failure to maintain fleet or insurance, failure to use Technology Platform, threats to public safety |
| Non-Compete Period | 2 years after expiration or termination |
| Non-Compete Details | During term: no involvement with competing business (public/private membership boat clubs, boat rental businesses) anywhere in the world. After termination: 2 years, restricted to Marina Site, Designated Area, within 50 miles of Designated Area perimeter, or within 50 miles of any other Nautical Boat Club territory. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Must personally participate in operations and manage the club during the operational period (minimum 7 months per year), spending not less than 40 hours per week at the club. Franchisor may grant the right to employ an approved manager who must complete initial training and have no interest in competing businesses. |
| Required Suppliers | Preferred vendor contracts with Barletta Boat Company, MasterCraft Boat Company, Pontoon Boat LLC (Bennington), Crest Marine LLC, and Malibu Boats LLC for boat purchases. Technology and Operating Platform from Stellar Software LLC. Third-party technology services from Dot Harbor LLC. |
| Supply Restrictions | Must purchase boats from preferred vendors unless variance authorized. All vessels and accessories must meet or exceed minimum specifications in Brand Standards Manual. Must use designated Technology and Operating Platform and third-party software suite. |
| Franchisor Revenue from Suppliers | 3% rebate on boat purchases from preferred vendors; 3% rebate on monthly software fees from Technology Platform vendor. Total supplier rebate revenue in 2021: $53,799 (7.02% of total revenues of $1,005,871). |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Franchisor does not offer direct or indirect financing but may provide names of lenders willing to finance fleet costs upon request. |
Nautical Boat Club Franchise Earnings — Item 19
Average Revenue
$954K
Median Revenue
$748K
Revenue Range
$249K – $3.1M
Sample Size
13 units
Past financial performance does not guarantee future results. Individual results will vary.
Nautical Boat Club Litigation & Risk Flags
Clean Litigation RecordNautical Boat Club 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.
Nautical Boat Club System Growth
Total Units
20
Franchised
20
Company-Owned
0
Nautical Boat Club currently operates 20 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 3 | 0 | 18 |
| 2020 | 1 | 0 | 19 |
| 2021 | 7 | 0 | 20 |
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
$954K
Net Income
$216K
Total Assets
$1.1M
Audited by Certified Public Accountants (Austin, TX firm at 7800 N. Mopac, Suite 105) for year ending December 31.
Nautical Boat Club Franchise — FAQ
The total investment to open a Nautical Boat Club franchise ranges from $551,400 to $936,800, per their Franchise Disclosure Document. This includes the initial franchise fee of $55,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Nautical Boat Club charges a royalty fee of 6% of Gross Sales of gross sales, plus a 1% of Gross Sales (Brand Fund Contribution, may increase to 3%); plus the greater of 7% of Gross Sales or $30,000/year for Local Ad Expenditure contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Nautical Boat Club 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 Nautical Boat Club to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Nautical Boat Club franchise owners report average revenue of $954K and median revenue of $748K. This is based on a sample of 13 units. Past performance does not guarantee future results.
Nautical Boat Club has been franchising since 2012. The FDD shows an investment range of $551,400-$936,800, a 6% of Gross Sales 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 $55,000 and the total investment ranges from $551,400 to $936,800 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 Nautical Boat Club and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Nautical Boat Club or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com