Team Up Athletics Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$56,500 - $1,196,750
Franchise Fee
$35,000
Min Cash Required
$10,000
Total US Locations
15
Business Summary
Team Up Athletics operates a custom sports apparel and equipment business. Team Up Athletics sells its products primarily to schools, clubs, leagues, municipalities, universities, and corporate teams.
Corporate History
Team Up Enterprises, LLC, the franchisor for Team Up Athletics, was organized in Utah on August 3, 2021. The brand began offering and awarding franchises in March 2022. Team Up Athletics' parent company, Team Up Holdings, LLC, was also organized in Utah on August 3, 2021. An affiliate, JMS Industries, L.L.C., organized in 2017, operates a Team Up Athletics business similar to the franchised units and has been in operation since 2018. JMS Industries, L.L.C. also supplies sports apparel, screen printing, and equipment to franchisees.
Financial Overview
Investment Range
$56,500 - $1,196,750
Franchise Fee (Low)
$35,000
Franchise Fee (High)
$65,000
Minimum Cash Required
$10,000
Royalty %
5%
Equipment Costs (Low)
$1,000
Equipment Costs (High)
$52,000
Working Capital
$33,750
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Team Up Athletics' financial statements for 2023 and 2022 have received an unqualified audit opinion, indicating they present fairly its financial position. As of December 31, 2023, Team Up Athletics reported $23,305 in cash and cash equivalents and a net income of $147,174 for the year. Notably, Team Up Athletics has a significant receivable of $140,485 from related parties as of December 31, 2023. Interim financials for 2024 show robust growth, with cash increasing to over $713,000 and net income reaching over $767,000 for the period ending August 1, 2024, demonstrating a strong recent financial performance.
Financing Details
Team Up Athletics does not offer any direct or indirect financing to its franchisees. Franchisees are responsible for securing their own funding, and Team Up Athletics will not guarantee any notes, leases, or other financial obligations for the franchisee.
Performance Metrics
Total US Locations
15
Franchised Units
14
Corporate Units
1
Avg Square Footage
3,500
Franchising Since
2022
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Team Up Athletics has not been involved in any litigation that is required to be disclosed in this document. Therefore, Team Up Athletics has a clean legal record with no lawsuits or legal disputes to report.
Bankruptcy History
Team Up Athletics has no bankruptcy history to report for itself, its predecessors, parents, affiliates, or any of its executive officers that is required to be disclosed in this document.
Agreement Terms
Initial Term
5 years
Renewal Term
5 years
Renewal Conditions
To renew their Team Up Athletics franchise, franchisees must be in good standing and not be in default of their agreement. They must also have consistently met all material terms throughout the initial term and complied with operating and quality standards. Franchisees are required to pay a successor franchise fee and modernize their business to meet the then-current brand standards. Additionally, they must sign the then-current successor franchise agreement, which may contain different terms, and execute a general release of claims against Team Up Athletics. Franchisees must provide written notice of their intent to renew between 6 and 12 months before their current agreement expires.
Training & Support Program
Franchisor Assistance
Team Up Athletics provides pre-opening assistance to its franchisees, including designating their search area and territory, and approving commercial sites if a showroom is chosen. Team Up Athletics offers general guidance on site selection, provides written specifications for required items and a list of approved suppliers, and supplies preliminary design plans for showrooms. Franchisees also receive access to confidential operations manuals and have the option to receive up to three days of opening assistance for a fee. Once operating, Team Up Athletics provides ongoing support through manual updates, remote or in-person assistance (for a fee), and maintains a brand website that includes franchisee business information. Team Up Athletics may also host conferences and seminars for franchisees, though attendance is not currently mandatory (travel expenses paid by franchisee). Team Up Athletics may conduct periodic inspections of the franchise business and may suggest retail prices. However, Team Up Athletics does not assist with employee hiring, firing, or related HR matters, leaving these responsibilities solely to the franchisee.
Initial Training Hours
53
Training Location
Kaysville, Utah
Ongoing Support
After opening, Team Up Athletics provides ongoing support to its franchisees through various channels. This includes providing updates to operations manuals, offering remote or in-person assistance upon reasonable request (with a per-day fee plus travel for in-person support). Team Up Athletics ensures franchisees have a dedicated email address for business communications and maintains a brand website that features each franchise's business information. Team Up Athletics may also organize conferences and seminars for franchisees to discuss improvements and business issues, though attendance is not currently mandatory (travel and living expenses are the franchisee's responsibility). Periodic inspections of the franchise business may be conducted, either in person or remotely, to ensure compliance with system standards.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Supervisory
Territory Type
Exclusive
Territory Size Requirements
Team Up Athletics defines franchise territories through written boundaries included in the franchise agreement. These boundaries are determined by various factors such as the number of school districts, high schools, and students, as well as geographic markers, municipalities, population density, ZIP codes, and major roads. Standard franchise territories generally include at least 20,000 high school students, while 'super franchise' territories can contain up to 60,000 high school students.
Staffing Notes
Team Up Athletics requires that franchisees employ adequate personnel to operate the business efficiently, including at least one employee on-site during regular business hours, though this employee does not necessarily need to be a manager. Team Up Athletics does not assist with the hiring, firing, scheduling, or management of franchisee employees; these responsibilities, along with compliance with all federal and state employment laws, fall entirely on the franchisee. While Team Up Athletics may offer a sample employee guide, its adoption and adherence to local laws remain the franchisee's sole responsibility.