Risk Score
Pending analysis
Investment Range
$36,500 - $69,900
Franchise Fee
$1,500
Total US Locations
264
Business Summary
i9 Sports franchises operate and manage youth amateur sports leagues, camps, tournaments, clinics, and social activities for individuals under 18 years old. These businesses also market and sell related products such as uniforms and sporting equipment. Franchisees, known as 'Area Developers,' utilize a proprietary system, trademarks, and a billing system to promote and provide these youth sports programs and products within a specific geographic area.
Corporate History
i9 Sports, LLC was initially formed as a Florida corporation in July 2002 and began franchising in November 2003. The company underwent name changes, first to Momentum Franchise Systems Inc. in 2006, then to i9 Sports Corporation in 2007. In October 2021, i9 Sports converted to a Delaware limited liability company and became an indirect, wholly-owned subsidiary of Youth Enrichment Brands, LLC (YEB). i9 Sports is affiliated with several other franchise programs through YEB and Roark Capital Management, LLC, including SafeSplash Brands (Streamline Brands), School of Rock Franchising LLC, and U.S. Sports Camps, LLC.
Financial Overview
Investment Range
$36,500 - $69,900
Franchise Fee (Low)
$1,500
Franchise Fee (High)
$24,900
Royalty %
7.5%
Marketing %
2%
Equipment Costs (Low)
$3,000
Equipment Costs (High)
$4,000
Working Capital
$10,500
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The franchisor's financial condition, as noted in the FDD's special risks section, calls into question its financial ability to provide services and support to franchisees. i9 Sports has guaranteed significant long-term debt of an upstream affiliate, YEB Intermediate Holdings, LLC, totaling approximately $273 million as of December 31, 2024. i9 Sports' assets and franchise license agreements are pledged as collateral for this debt. While i9 Sports is currently unaware of any circumstances that would require it to perform under this guarantee, this substantial contingent liability is highlighted as a risk for potential franchisees.
Financing Details
i9 Sports does not offer any direct or indirect financing options to its franchisees. It also does not guarantee any notes, leases, or other obligations for franchisees.
Performance Metrics
Total US Locations
264
Franchised Units
264
Corporate Units
0
Franchising Since
2003
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Count
3
Litigation Summary
i9 Sports has three disclosed litigation cases, all concerning its affiliates and not i9 Sports directly. In 2019, Arby's Restaurant Group, Inc. and Dunkin' Brands, Inc., which are affiliates of i9 Sports, settled multi-state actions related to 'no-poaching' clauses in their franchise agreements. Both affiliates denied wrongdoing but agreed to remove these provisions and not enforce them in existing agreements to avoid further litigation. Additionally, in September 2019, New York sued Dunkin' Brands, Inc. for alleged failures in notifying customers and investigating data breaches from 2015 and 2018 cyberattacks. Dunkin' Brands, Inc. settled in September 2020 by paying $650,000 and agreeing to maintain an information security program. All these cases are older than three years from the FDD issuance date.
Bankruptcy History
i9 Sports has no bankruptcy history to report.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew, i9 Sports franchisees must: provide written notice of their intention to renew at least 180 days prior to the current term's expiration; ensure their business is in full compliance with current System Standards, including hardware and software maintenance and upgrades; be in good standing, having substantially complied with all agreements with i9 Sports, its affiliates, and suppliers; satisfy all monetary obligations owed; execute i9 Sports' then-current area developer agreement, which may contain materially different terms, including increased royalty fees and advertising obligations; meet current training requirements and financial qualifications for renewing area developers at their sole expense; and sign a general release in favor of i9 Sports and its affiliates. Additionally, they must pay a renewal fee of $5,000 at least 30 days before the agreement expires, plus any expenses i9 Sports incurs related to the renewal.
Training & Support Program
Franchisor Assistance
Before opening, i9 Sports assists franchisees by connecting them to the Billing System and providing Phase I Training, which covers marketing, sales, financial aspects, technology, operations, and program launch. Franchisees also gain access to the operations Manual via an intranet portal, receive a sublicense for the Franchise Manager Software and related hosting services, and get guidance on required business materials and services. They also have access to an online ordering system for uniforms and apparel. After opening, i9 Sports provides ongoing administrative and customer account coordination services through the Billing System. Franchisees receive additional periodic or refresher training and assistance as deemed necessary, continued access to updated Manuals and System Standards, assistance with product and service pricing, and the benefit of a National Brand Fund for advertising. Limited software support, including updates, patches, and enhancements for proprietary software, is also provided.
Initial Training Hours
90
Training Location
Riverview, FL
Ongoing Support
After opening, i9 Sports franchisees receive continuous access to the operations Manual and System Standards, with periodic updates and modifications. The franchisor offers additional periodic, refresher, or remedial training courses as needed, and may provide in-person assistance for a fee. Franchisees are required to attend an Annual Conference to stay updated on new developments and exchange information. Ongoing support also includes guidance on System Standards, recommended business materials, and assistance with pricing. Limited software support is provided for proprietary software, including updates and bug fixes.
Franchise Requirements
Ideal Candidate Profile
i9 Sports seeks qualified and capable candidates to operate its franchises. Ideal franchisees are individuals who will serve as an 'Operating Principal,' having at least a 10% ownership interest and full authority over all business decisions for their franchise. Additionally, a 'Key Manager' (who may also be the Operating Principal or an employee) is required to actively manage the day-to-day operations full-time. Both the Operating Principal and Key Manager must successfully complete required training programs and criminal background checks. Franchisees should be prepared to actively recruit, train, and develop event coordinators, coaches, volunteers, and other personnel needed to conduct youth sports events.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Hands-On
Territory Type
Limited
Territory Size Requirements
i9 Sports territories are defined as contiguous geographic areas based on metropolitan boundaries, street boundaries, zip codes, or housing subdivisions. Each territory is sized by the number of children aged 14 and under, up to a maximum of 79,999, as determined by a third-party demographics and mapping service. Franchisees can purchase additional territory to reach this 79,999 child limit, with a minimum purchase of 5,000 children.
Staffing Notes
i9 Sports franchisees are responsible for recruiting, training, and developing Event Personnel, such as event coordinators, umpires, referees, coaches, league officials, and operations staff. They must employ a sufficient number of qualified and competent personnel in accordance with System Standards. All employees and contractors must successfully pass appropriate screening and criminal background checks, and franchisees are required to implement and enforce risk management policies related to child safety. An Operating Principal (an owner with at least a 10% interest) and a full-time Key Manager are required, with the Key Manager actively managing day-to-day operations. The franchisee is solely responsible for all labor and employment-related decisions.