Risk Score
Pending analysis
Investment Range
$168,150 - $227,700
Franchise Fee
$22,500
Min Cash Required
$30,000
Total US Locations
129
Business Summary
Crown Trophy operates retail locations that sell trophies, plaques, medals, desk accessories, laminations, and promotional items for sporting, education events, and social and business recognition to both retail and commercial customers. Franchisees also have the option to offer signs and related products and services under the 'Signs by Crown' brand.
Corporate History
Crown Trophy, Inc. was incorporated in New York on March 13, 1985. Since its founding, Crown Trophy has offered franchises for retail locations specializing in trophies, plaques, medals, and other recognition products for various events. The brand's affiliate, Crown Awards, Inc., established in 1988, also uses the Crown Trophy proprietary marks for its catalog and internet-based awards business and supplies products directly to Crown Trophy franchisees. The rights to the 'Crown Trophy' trade name were acquired by Crown Trophy, Inc. from Lori's Trophy and Sporting Goods, Inc. in 1985, allowing Lori's to maintain its existing store.
Financial Overview
Investment Range
$168,150 - $227,700
Franchise Fee (Low)
$22,500
Franchise Fee (High)
$35,000
Minimum Cash Required
$30,000
Royalty %
5%
Equipment Costs (Low)
$93,000
Equipment Costs (High)
$139,000
Working Capital
$32,500
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Crown Trophy's financial statements have received an unqualified opinion from its independent auditor, indicating that the financial position, results of operations, and cash flows are presented fairly in all material respects. There are no disclosed concerns about Crown Trophy's ability to continue as a going concern.
Financing Details
Crown Trophy does not offer any direct or indirect financing options to its franchisees, nor does it guarantee any of their lease or note obligations.
Performance Metrics
Total US Locations
129
Franchised Units
129
Corporate Units
0
Avg Square Footage
1,800
Franchising Since
1985
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Crown Trophy has no litigation or arbitration cases to disclose in Item 3 of its FDD.
Bankruptcy History
Crown Trophy has no bankruptcy history to report for the franchisor or its management in Item 4 of its FDD.
Agreement Terms
Initial Term
5 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise agreement, Crown Trophy franchisees must provide written notice between six months and one year before the current term ends. They must be in good standing, meaning they are not in default of any agreements and have paid all financial obligations to Crown Trophy, its affiliates, creditors, and landlords. Franchisees are also required to sign Crown Trophy's then-current franchise agreement, which may have different terms, and perform any necessary renovations to their premises to meet current brand standards. Additionally, they must sign a general release of claims against Crown Trophy and comply with the franchisor's current financial qualifications and retraining requirements.
Training & Support Program
Franchisor Assistance
Crown Trophy provides pre-opening assistance including site selection guidelines and consultation, standard plans and specifications for store design, and an initial training program. They also offer on-site supervision and assistance during the pre-opening and opening phases of the business. Franchisees receive a loan of the confidential operations manual and initial supplies for grand opening. If offering 'Signs by Crown', the franchisor provides approved supplier names for equipment. Ongoing support includes advice and written materials on management techniques, sales, and marketing strategies, a suggested minimum price schedule, and optional in-store assistance for a fee. Crown Trophy also conducts inspections of the store.
Initial Training Hours
64
Training Location
Hawthorne, New York
Ongoing Support
Crown Trophy provides ongoing support through advice and written materials on managing and operating the franchised business, covering sales, marketing, and equipment updates. The franchisor may also provide in-store assistance upon request and conducts store inspections. Franchisees may purchase advertising plans and promotional materials from Crown Trophy. Additionally, franchisees and their managers are required to attend periodic additional training courses, seminars, and a mandatory annual conference that lasts 4 to 5 days. Crown Trophy also maintains a Franchise Advisory Council that meets periodically.
Franchise Requirements
Ideal Candidate Profile
Crown Trophy seeks franchisees who are committed to dedicating their full-time efforts to managing and operating the franchised business. The ideal candidate, or their fully-trained manager, must be present and supervise the operations on-premises. While not explicitly stated as a requirement for initial franchisees, qualities considered for transferees include meeting managerial and business standards, possessing good moral character, business reputation, and credit rating, and having the aptitude and ability to conduct the business, possibly evidenced by prior related business experience. Franchisees must also maintain a competent and trained staff.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Retail
Owner Participation
Hands-On
Territory Type
Limited
Staff Count
1
Territory Size Requirements
Crown Trophy defines each franchisee's territory by starting with their approved store location at the center. The territory is then built by adding zip code territories until it contains either 150,000 people or extends to a 7-mile radius from the store, whichever is smaller.
Staffing Notes
Crown Trophy requires that the franchised business always operates under the direct, on-premises supervision of a manager who has completed the franchisor's training program. This manager may be the franchisee themselves. Additionally, within 60 days of opening, each franchisee must employ at least one full-time staff member, other than the franchisee, who is trained in engraving and trophy assembly. Franchisees are solely responsible for all employment decisions, including hiring, firing, compensation, and scheduling, and must ensure all employees receive adequate training in all aspects of the Crown Trophy System.