Amazing Athletes Costs (Only) $50K (2023 Stats)

Undeniably one of the most affordable children fitness franchise, Amazing Athletes only requires an upfront investment of $48,875.

Amazing Athletes is pretty much a small business with 1 or 2 employees maximum (including the franchisee). That explains why one Amazing Athletes makes only $53,000 in turnover per year on average.

But is this a profitable venture? In this article we are looking at Amazing Athletes from the perspective of its latest Franchise Disclosure Document to find out how much profits you can really make with this business. Let’s dive in!

Key stats

Franchise fee$49,500
Royalty fee8.0%
Marketing fee2% to 7%
Investment (mid-point)$75,000
Revenue$58,000 per year
Sales to investment ration.a.
Payback period[franchise_value_investment_payback]
Minimum net worth$30,000
Minimum liquid capital$15,000
Source: FDD 2022

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What is Amazing Athletes?

Amazing Athletes is an American chain of educational sports programs that helps children develop six key areas of motor development through the introduction of the fundamentals of 10 different sports.

It offers physical fitness programs and sports for developing children under the age of 12 to empower them by engaging their inner strengths and abilities.

Headquartered in New York, Amazing Athletes was founded in 2002 by Glen and Janee Henderson.

It began franchising in 2006 and currently has over 145 studios, with over 122 franchises in the US.

Amazing Athletes franchises pros and cons

The Pros:

  • Comprehensive training: Amazing Athletes offers its franchisees detailed 10- to 12-hour on-the-job and 30- to 32-hour classroom training programs to help them understand the concept and run successful fitness studios.
  • Simple franchise designs: The franchise is mobile and does not require franchisees to construct or rent storefronts. This reduces startup costs and improves profitability.
  • Protected territories. The franchisor provides its franchisees with a protected development market. It does not allow other franchises to operate in the designated area.
  • Home-based or mobile opportunity: An Amazing Athletes franchise can be operated from home or a mobile unit. It’s not a must for franchisees to have a fixed office facility.
  • Part-time opportunity: The franchise can be operated on a part-time basis. Franchisees are flexible in designing a schedule that suits them, creating time for their hobbies and family.
  • In-house financing program: The franchisor offers franchisees financing to cover the franchise fee. Also, it provides third-party financing for the franchise fee, equipment and inventory.
  • Multiple income streams: The franchisor provides franchisees with a variety of options to generate income, including hosting classes during class hours, party entertainment, summer camps and offering after-school programs for small children up to age 12. Franchisees appeal to kids, young adults and parents, allowing them to grow their studios.
  • Provides value to schools: The franchise concept complements the need for physical education in schools through the teaching of foundational athletic skills and the basic rules of sports, fitness, health and nutrition.
  • Inspired technology tools: The brand uses technology platforms to support franchisee studios and offer them smooth onboarding. Also, franchisees get access to a mobile app for coaches to help deliver quality lessons.

The cons:

  • No absentee ownership: The franchise does not present a passive investment opportunity. Franchisees must be active in the day-to-day operations of their studios.
  • Competition: The franchise faces a lot of competition from other children franchises such as i9 Sports or even The Little Gym
  • Inconvenience: Since franchisees set their own schedules, this may inconvenience members reducing sales.

How much does a Amazing Athletes franchise cost?

You would have to invest, on average, $42,700 to open an Amazing Athletes franchised business.

Note that this is the investment for a single franchised business offering a standard program. Indeed, there are 2 kinds of programs you can choose for your Amazing Athletes franchise:

  • Standard Program: $42,700
  • Complete AA Program: $55,050

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Here’s the full breakdown of costs per program:

Startup costs (Standard Program)

Startup costAmount
Initial franchise fee$27,000 – $30,000
Training expenses$0 – $2,500
Furniture, fixture and equipment$0 – $500
Insurance and professional services$1,000 – $3,000
Working capital (3 months)$1,000 – $5,000
Other$3,800 – $11,600
Total$32,800 – $52,600
Source: Franchise Disclosure Document 2022

Startup costs (Complete AA Program)

Startup costAmount
Initial franchise fee$36,000 – $40,000
Training expenses$1,000 – $3,000
Furniture, fixture and equipment$0 – $500
Insurance and professional services$1,500 – $3,500
Working capital (3 months)$1,000 – $5,000
Other$5,000 – $13,600
Total$44,500 – $65,600
Source: Franchise Disclosure Document 2022

What is the revenue of a Amazing Athletes franchise?

On average, an Amazing Athletes franchise made $53,000 in annual revenue in 2021.

This is the average sales per franchised business for 89 of the 120 franchised businesses that were open for all of 2021. This is a significant increase vs. 2020 (+39.6%) as the franchisees recovered from the pandemic ($38,168 for 96 franchised Amazing Athletes).

Should you invest in a Amazing Athletes franchise?

If we compare the profits (assuming a 10-15% net profit margin) to the estimated investment cost of $42,700 we obtain a 6 years payback for Amazing Athletes.

In order words, you would repay the initial investment in only 6 to 9 years (to a bank, yourself or other investors) by using the profits generated by the business. This is a good payback period, in line with other fitness franchises.

As such, we do consider that Amazing Athletes is a good franchise investment: the profits are worth investing the $42,700 (on average) upfront.

Yet, keep in mind these numbers are based on the average performance of Amazing Athletes franchises. Therefore, it does not guarantee at all that your franchise would perform as well. When making a decision on choosing a franchise, make sure to consider all factors (not just costs and profits).

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