Does Gross Revenue for Camp Margaritaville include revenue from Merchandise sales?
Camp_Margaritaville Franchise · 2025 FDDAnswer from 2025 FDD Document
Gross Revenue. "Gross Revenue" means, for each calendar month following the opening date of the Resort (or any component thereof or prorated portion thereof), all revenue, income and proceeds derived from the operation and management of the Resort.
These amounts include: (a) all revenue, income and proceeds derived from the operation and management of the Resort; (b) "Gross Food and Beverage Revenue" which includes all revenue from any Margaritaville branded restaurants and any other food and beverage services at the Resort; and any and all room service, banquet and catering revenues; (c) revenue from all Merchandise sales; (d) resort fees, destination fees, and mandatory surcharges for facilities; (e) revenue from any Amenities; and (f) any other revenue arising from use of the Camp Margaritaville Intellectual Property pursuant to this Agreement.
Source: Item 6 — OTHER FEES (FDD pages 20–34)
What This Means (2025 FDD)
According to Camp Margaritaville's 2025 Franchise Disclosure Document, Gross Revenue does include revenue from merchandise sales. Gross Revenue is defined as all revenue, income, and proceeds derived from the operation and management of the Resort. This definition specifically includes revenue from all Merchandise sales.
For a Camp Margaritaville franchisee, this means that all revenue generated from merchandise sales at the resort contributes to the Gross Revenue figure. This figure is important because it is used to calculate royalty fees and marketing fees payable to Camp Margaritaville.
The FDD also specifies certain exclusions from Gross Revenue, such as taxes collected from guests and paid to governmental authorities, gratuities paid directly to staff, and adjustments to revenue in conformance with GAAP and the Uniform System of Accounts for the Lodging Industry. However, revenue from merchandise sales is not listed as an exclusion and is explicitly included.