Town Square Franchise FDD, Profits & Costs (2025)

Town Square is an innovative franchise that launched in 2014 in San Diego, California. It brings together coworking spaces, event venues, and recreational areas to create a hub for fostering connections and supporting local businesses.

With its headquarters in San Diego, Town Square began franchising in 2018, extending its successful model to communities nationwide. The franchise provides a range of services, including adaptable coworking spaces, event planning and hosting, and activities that engage and unite the community.

What differentiates Town Square from competitors is its commitment to creating dynamic, interactive environments that promote collaboration and networking among local entrepreneurs and residents.

By blending modern amenities with a strong focus on community, Town Square offers a unique alternative to traditional coworking spaces and event venues.

Initial Investment

How much does it cost to start a Town Square franchise? It costs on average between $847,000 – $1,387,000 to start a Town Square franchised facility.

This includes expenses for construction, equipment, furnishings, and initial operating costs. The exact amount varies based on several factors, including the size and layout of the Town Square location, the geographic area, and whether the franchisee opts to lease or purchase the property.

Type of ExpenditureEstimated Amount
Initial Franchise Fee$99,500
Travel and Living Expenses While Training$1,500 – $7,000
Lease, Utility, and Security Deposits$30,000 – $60,000
Building Permit$2,000 – $30,000
Construction$500,000 – $800,000
Signage$10,000 – $22,200
Furniture & Fixtures and Equipment (including Computer System)$35,224 – $64,298
Supplies$10,000 – $20,000
Grand Opening and Initial Advertising$10,000 – $20,000
Business Licenses$1,000 – $3,750
Legal/Professional Fees$30,000 – $45,720
Insurance$13,000 – $25,000
Recruitment$5,000 – $15,000
Additional Funds (3 months)$50,000 – $100,000
Project Management Fee$25,000
Architecture Design$25,000 – $50,000
TOTAL$847,224 – $1,387,268

Average Revenue (AUV)

How much revenue can you make with a Town Square franchise? A Town Square franchised business makes on average $1,042,000 in revenue (AUV) per year.

Here is the extract from the Franchise Disclosure Document:

Town Square Franchise fdd item 19 extract

This compares to $920,000 yearly revenue for similar assisted living franchises.

Below are a few competitors in comparison:

Town Square franchise competitors

Town Square Franchise Disclosure Document

Frequently Asked Questions

How many Town Square locations are there?

As of the latest data, Town Square operates seven franchised locations and one company-owned center, totaling eight facilities across the United States. This expansion reflects the growing demand for innovative adult day care services that blend reminiscence therapy with engaging environments for seniors.

What is the total investment required to open a Town Square franchise?

The total investment required to open a Town Square franchise ranges from $847,000 to $1,387,000.

What are the ongoing fees for a Town Square franchise?

Town Square franchisees pay a 7% royalty fee on gross sales for access to the brand’s systems and support. They also contribute a 1% marketing fee, which funds advertising and promotional efforts to enhance brand visibility and attract customers.

What are the financial requirements to become a Town Square franchisee?

To become a Town Square franchisee, you need a minimum net worth of $500,000 and at least $250,000 in liquid capital. These requirements ensure franchisees have the financial stability to successfully operate the business.

How much can a Town Square franchise owner expect to earn?

The average gross sales for a Town Square franchise are approximately $1.04 million per location. Assuming a 15% operating profit margin, $1.04 million yearly revenue can result in $156,000 EBITDA annually.

Who owns Town Square?

Town Square is owned by SH Town Square Franchising, Inc., a company specializing in adult daycare and memory care services. The leadership team is headed by CEO and Founder Peter Ross, who also co-founded Senior Helpers Franchising.

Disclaimer

Disclaimer: This content has been made for informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.

All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial and/or legal advice, nor does any information in the article constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.

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