Athletes HQ

The franchise fee of $25,000 is significantly lower than the typical range of $39,500-$55,000 for sports and recreation franchises. What accounts for this below-market pricing, and are there plans to adjust this fee?

Given the franchise has only 3 units with a 3-year history, what is the franchisor's target growth rate over the next 5 years, and what support systems are in place to manage rapid expansion?

The non-compete radius of 50 miles is double the typical range for this category. How was this distance determined, and what is the rationale for the broader geographic restriction?

With 9 renewal conditions reported (above the typical 6-8), can you provide a detailed list of all conditions that must be met for franchise renewal, and what is the failure rate for renewals?

The total potential contract term of 30 years (10 initial + 2 × 10 renewals) exceeds the typical 20-year maximum. What happens if a franchisee wishes to exit before the end of their initial 10-year term?

Can you explain the structure and reasoning behind the 9 renewal conditions, and provide examples of franchisees who have failed to meet renewal requirements?

The transfer fee of $5,000 is below market. Are there any other costs or approval processes associated with transferring a franchise that are not reflected in this fee?

With zero reported litigation over 3 years, can you confirm whether this reflects genuinely no disputes, or whether disputes were resolved through the mandatory arbitration clause without formal documentation?

Given the mandatory arbitration requirement and individual-only dispute resolution (no class actions), how many franchisees have pursued arbitration against the franchisor, and what were the outcomes?

The financial obligations clause mandates minimum royalty payments regardless of sales levels. What is the typical minimum royalty amount, and how frequently do franchisees fall short of projected sales?

Late payment interest is listed at 0.5% per week (26% annually). Can you provide examples of how often franchisees incur late fees, and what the average accumulated interest charges are?

All owners and spouses must provide personal guarantees covering financial obligations. How many franchise agreements are currently in place, and have any personal guarantees been enforced?

Can you provide detailed unit-level financial data for all 3 current franchisees, including gross sales, net profit, and operating expenses, to verify the reported average of $887,544?

The termination clause allows franchisor action for monetary defaults with only a 10-day cure period. How many franchisees have received termination notices for any violations, and what were the outcomes?

Since the system has grown from 1 to 3 units in 3 years with zero closures, are there any upcoming unit openings or closures planned that prospective franchisees should know about?

What training and ongoing support is provided, and how does the franchisor ensure quality and brand consistency across such rapid growth?

The renewal fee of $2,500 is charged at renewal. Are there any other renewal-related costs such as updated equipment, facility upgrades, or rebranding expenses required?

Given the exclusive territory protection, how are territory boundaries defined, and what happens if demand grows beyond a single franchisee's capacity in their exclusive area?