Profitable Youth Sports Franchise, SBA Qualified
Listing: #SV00055Raj Sathyaseelan
Broker | Silicon Valley
About this Business for sale in Greater San Francisco Bay Area
Profitable Youth Sports Franchise, SBA QualifiedThis youth sports franchise business runs summer camps in partnership with city parks and recreation departments in prime areas. The business owns exclusive rights to two large territories including premium, well-off neighborhoods. The youth sports market size in these neighborhoods is continuing to increase significantly due to rapidly changing demographics. In some of the cities within this area, several new elementary schools are being built to accommodate the growth
It's a home-based business with just a storage facility for the sports equipment. All current equipment is included in the asking price. No monthly rent or lease makes this business attractive for first-time buyers. There is a minimum royalty fee of $800 per month per territory.
This business offers basketball, soccer, baseball, flag football, cheer, golf and track & field camps during summer months. Preschool sports programs are offered on a limited basis during the school year.
Approximately 90% of the revenue is generated from camps run during summer months. Seller also owns another business so spends only a few hours in non-summer months.
The Franchise brand enjoys an extremely strong reputation in the area and the relationships with the cities are long standing.
The business also has a network of 40+ coaches, with many returning each summer to work again an again. All coaches are well-known athletes within the communities, which only serves to bolster the notion that is truly a strong community-based organization. The Franchise also offers comprehensive training and curricula for running the programs so it's easy to train new coaches.
There exists a big opportunity for the new owner is to expand by adding year-round programs. There is enormous demand for after-school programs in every city within this territory. Due to competing demands of another business, the current owner has chosen to only focus on summer camps. However, other territory owners derive approximately 50% of their revenue from year-round activities, which make the upside potential for this business significant.
Owner is relocating but willing to train and offer ongoing support.
*Profit: Sellers Discretionary Earnings, also known as EBPITD (Earnings Before Proprietors Compensation, Interest, Tax and Depreciation). This is the estimated total discretionary earnings (profit) for a business, usually based on historical trading.