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We Play Loud Franchising Corporation

Company Information

24350 Swartz Drive Lake Forest, CA. 92630

[email protected]

We are a Nevada corporation formed on January 7, 2019 to franchise kids indoor playground business using the name WE PLAY LOUD KIDS’ PLAYGROUND ("Playgrounds"). We do not do business under any other name. Our principal business address and telephone number are 24350 Swartz Drive, Lake Forest, CA 92630; (949) 328 9616. Our agents for service of process are listed on Exhibit E.

We offer franchises for the operation of Playgrounds which will operate large kids indoor playgrounds which are specifically designed to keep children happy for hours. Playgrounds will use the WE PLAY LOUD KIDS' PLAYGROUND trademark and other designated trademarks, trade names, service marks and logos (“Marks”). Both We and the Company have developed a comprehensive system for the Playgrounds (the “System”) which includes valuable know-how, trade secrets, distinctive interior designs, trademarks, copyrights, proprietary products and software, confidential electronic and other communications, marketing programs and other business procedures as well as Our confidential Manual (the “Manual”). Each Playground will use Our System and operate according to Our standards, specifications, operating procedures and rules as contained in Our Manual (the “System Standards”). The typical Playground includes a variety of activities such as a giant 4 person wave slide, foam ball fountain, foam ball dumping basket, bridges, pyramid obstacles, web net bridges, spinning plates, play panels, foam ball loading machine, 2 level tube slide, designated toddler area, electronic floor gaming machine and more (the “Equipment”). You must purchase a package of equipment for Your franchised Playground which will be sold to You by Our Affiliate, WLPE. You will also need signage, accessories and supplies such as flooring and mats, furniture, artwork, logo themed merchandise and other branded items. WLPE and You will agree upon the appropriate package for Your Playground. The Playgrounds are designed for children 51 inches and under, and specifically cater to children up to eight years old. You must adhere to the mandatory safety standards set forth in Our Manual. Our Equipment is innovative and state-of-the-art as well as highly reliable and Playground safety is one of Our highest priorities. You must actively insure all such protocols are strictly followed especially regarding equipment usage and weight limitations. Each Playground must offer some form of approved food and beverages to its users, which may vary under the circumstances and specific needs of the Playground, from simple prepackaged snacks, pizza or other specialty line, a café or a full service restaurant (collectively, a “Café”). A typical Café's seating area is between 400 square feet to 500 square feet. Each Playground will typically employ 8 to 12 part-time and fulltime employees, each one of which must be good at dealing with children and their families. A typical Playground will be approximately 10,000 square feet to 14,000 square feet. The exact size depends on the demographics of its trade area and what is available for rental. Each Playground will typically be located in a small shopping center or strip center, which can be easily found and accessed. Operating hours are at a minimum 10:00 a.m. to 6:00 p.m. Monday – Sunday. Playgrounds are closed Christmas Day, July 4th, New Year's Day and Thanksgiving Day, and open all other holidays.

FDD Effective Date Action

Franchise Rating

Franchimp Summary Rating

3/10

Investment Accessibility

3/10

Franchise System Development

Year Units at Start of Year Units Opened Units Terminated Non-Renewals Re-Acquired by Franchisor Ceased Operations Units at End of Year

Employee Contact Database

# Name Position Email Phone

Summary of Investment Costs

Upfront Franchise Fees

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Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.

These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.

While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.

Total Investment Costs

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Ongoing Fees

Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.

These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.

Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.

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