Product category



Redline Athletics Franchise Costs, Fees & Profits

Redline Athletics Franchise Costs, Fees & Profits (2024)

Here’s what you need to know if you’re interested in opening a Redline Athletics franchise.

|

KEY FRANCHISEE INFORMATION

Here are the most important stats to know for franchisees.

NUMBER OF LOCATIONS

52

INITIAL INVESTMENT

$325,000 – $1,040,000 

ROYALTY FEE

7.00%
revenue

REVENUE PER YEAR

$836,000

Redline Athletics was founded in 2010 in San Juan Capistrano by John Leonesio, who has a notable background in the fitness industry, including founding the successful Massage Envy franchise. The franchise began with a focus on training young competitive athletes, particularly figure skaters, which quickly garnered attention for its effective training methodologies and professional environment.

This led to the development of a franchise model aimed at providing comprehensive athletic development and training for athletes aged 8 to 18, emphasizing not just physical training but also character development and community building. The headquarters of Redline Athletics is located in Scottsdale, Arizona. The franchise model started expanding in 2014, catering to a niche in the fitness industry that focuses on specialized, customized athletic training for the youth.

Redline Athletics distinguishes itself from other fitness and athletic training facilities by offering training and mentorship by highly accomplished athletes, former professionals, and specially certified trainers. This approach ensures that young athletes receive high-quality, focused training that pays dividends in their athletic performance and personal development.

Number of locations

TOTAL UNITS
52
FRANCHISED UNITS
52

Find the most profitable franchises on

Initial investment

INITIAL INVESTMENT
$325,000 $1,040,000 

Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.

Franchise fees & Royalties

ROYALTY FEE
7.00%

Initial Franchise Fee

The Initial Franchise Fee for a Redline Performance Center is $49,000.

Royalty Fee

The Royalty Fee is 7% of Gross Revenues, collected bi-monthly.

Advertising Fund Contribution

Currently, 1% of Gross Revenues is contributed to the Franchisor’s Advertising Fund, which may be increased to 2% at the company’s discretion.

Local or Regional Advertising Cooperatives

The fees for Local or Regional Advertising Cooperatives vary without limitation, expected to be approximately $500 per month.

Local Market Advertising

The Local Market Advertising requirement is between $3,200 and $4,500 per month.

Technology Fee

The initial setup fee for the proprietary franchise management software (“Redline Software”) is $699, with an ongoing monthly Technology Fee of $699.

Renewal Fee

A Renewal Fee of 25% of the then-current Initial Franchise Fee is payable upon renewal of the Franchise Agreement.

Profits

Find the most profitable franchises on

How to apply

1. Initial Research and Inquiry

  • Start by gathering as much information as possible about the Redline Athletics franchise opportunity.
  • Visit the official Redline Athletics franchise website and other relevant franchise directories or websites.
  • Submit an inquiry form on the Redline Athletics franchise website to express your interest and receive more detailed information.

2. Review Franchise Disclosure Document (FDD)

  • Once your initial inquiry is received and reviewed, you may be provided with a Franchise Disclosure Document (FDD).
  • Carefully review the FDD to understand the investment requirements, fees, training and support, obligations, and earnings potential.
  • Consider consulting with a franchise attorney or advisor to help interpret and evaluate the FDD.

3. Initial Interview and Qualification

  • Participate in an initial interview or qualification process with the Redline Athletics franchise development team.
  • This may involve completing a more detailed application and discussing your business background, financial qualifications, and motivation for owning a Redline Athletics franchise.

4. Discovery Day and Franchise Approval

  • Attend a Discovery Day at the Redline Athletics headquarters or a designated location, where you will meet the corporate team and possibly other franchisees.
  • This is an opportunity to ask questions, understand the company culture, and assess if the franchise is the right fit for you.
  • Following Discovery Day, if both parties are interested in proceeding, you will receive approval to become a Redline Athletics franchisee.

5. Secure Financing

  • Review your financing options for the initial franchise fee, equipment, and other startup costs.
  • Redline Athletics may offer financing assistance or recommendations for third-party financial institutions like Guidant Financial.
  • Ensure you have adequate capital for the investment and working capital for the initial phase of the business.

6. Site Selection and Lease Negotiation

  • Work with the Redline Athletics team to identify a suitable location for your franchise based on demographic studies, market analysis, and other factors.
  • Once a site is selected, negotiate lease terms with the help of Redline Athletics or your own real estate advisor.

7. Training and Pre-Opening Preparation

  • Complete the required training program provided by Redline Athletics, which may cover operations, marketing, sales, and other essential aspects of running the franchise.
  • Follow the pre-opening checklist and timelines provided by Redline Athletics to set up your facility, hire staff, and prepare for launch.

Disclaimer

Disclaimer: This content has been made for informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.

All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial and/or legal advice, nor does any information in the article constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.

Interested in buying a Redline Athletics franchise?

Download the financial plan built with the latest Franchise Document.

0