Risk Score
Pending analysis
Investment Range
$276,050 - $603,550
Franchise Fee
$30,000
Min Cash Required
$8,000
Total US Locations
28
Business Summary
The Back Nine operates 24-hour indoor golf simulator facilities for members and the general public. These facilities feature multiple Full Swing golf simulators, offer club fitting services and golf lessons, and provide space for parties and events.
Corporate History
The Back Nine Golf Group, LLC was established in Utah on November 20, 2023. Its predecessor, The Golf Studio, LLC, was formed in October 2020 and initially offered The Back Nine franchises from November 2022 until October 2023. In November 2023, The Golf Studio, LLC sold the assets of The Back Nine system, including its trademarks and 14 existing franchise agreements, to the current franchisor. The Back Nine Golf Group, LLC began offering franchises in November 2023, and its affiliates have been operating The Back Nine outlets since January 2023.
Financial Overview
Investment Range
$276,050 - $603,550
Franchise Fee (Low)
$30,000
Franchise Fee (High)
$50,000
Minimum Cash Required
$8,000
Royalty %
8%
Equipment Costs (Low)
$75,000
Equipment Costs (High)
$401,000
Working Capital
$16,500
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The Back Nine Golf Group, LLC's financial statements for 2023 and 2024 have received an unqualified audit opinion, meaning the financial records are presented fairly. The auditors did not identify any conditions or events that would raise substantial doubt about The Back Nine Golf Group, LLC's ability to continue as a going concern. While the company reported a net loss for 2024 and negative members' equity, it also reported significant cash and substantial deferred revenue, indicating a strong growth phase for the company as initial franchise fees are deferred until locations open.
Financing Details
The Back Nine does not offer any direct or indirect financing to its franchisees. This means franchisees are responsible for securing all necessary loans and financial obligations themselves, as The Back Nine will not guarantee any notes, leases, or other financial commitments on their behalf.
Performance Metrics
Total US Locations
28
Franchised Units
26
Corporate Units
2
Avg Square Footage
3,000
Franchising Since
2023
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
The Back Nine has no litigation history to report. Item 3 of its Franchise Disclosure Document explicitly states that no litigation is required to be disclosed.
Bankruptcy History
The Back Nine has no bankruptcy history to report. Item 4 of its Franchise Disclosure Document explicitly states that no bankruptcies are required to be disclosed.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise agreement, The Back Nine franchisees must notify the franchisor between 3 and 6 months before the current term expires. They must have faithfully followed their original agreement, sign a general release, enter into a new franchise agreement with the franchisor's then-current terms, pay a renewal fee of $5,000, and complete any required retraining.
Training & Support Program
Franchisor Assistance
The Back Nine provides franchisees with pre-opening assistance that includes designating their territory, providing access to initial online training materials and an operations manual, and assisting with the initial training program. The franchisor also provides a list of required equipment and supplies, and recommends pricing parameters for services. During operation, The Back Nine offers additional training sessions (some mandatory), administers advertising programs, conducts inspections to ensure quality, and provides ongoing updates on industry developments, new products, and sales techniques. Franchisees also receive remote support via phone and email.
Initial Training Hours
21
Training Location
Primarily virtual/remote, with some in-person training at the franchisor's headquarters in Washington, UT.
Ongoing Support
After opening, The Back Nine provides ongoing support through optional additional training at headquarters and mandatory refresher training programs or seminars, which may include 12-16 hours of programs annually. The franchisor may also provide additional on-site training and supervision in the franchisee's territory. Other support includes administering advertising programs, inspecting franchises and supplier facilities for quality control, periodic telephone calls to discuss operational issues, providing updated equipment specifications, and recommending pricing.
Franchise Requirements
Ideal Candidate Profile
The Back Nine expects franchisees or one of their owners to be fully involved in the actual day-to-day operation of the business, applying their full-time best efforts to grow the franchise. Alternatively, franchisees may designate a general manager to oversee daily operations, provided the manager successfully completes the initial training program and agrees to the confidentiality and non-competition terms. Active participation in franchisee meetings and supplemental training is also expected.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
retail
Owner Participation
full-time
Territory Type
protected
Territory Size Requirements
The Back Nine territories are defined individually based on factors like population and geographic radius, taking into account political and natural boundaries, demographics, and healthcare expenditures. Each territory is identified by a group of contiguous zip codes and will have a total population of approximately, but not exceeding, 75,000 people.
Staffing Notes
The Back Nine expects franchisees to actively manage their businesses full-time, or to designate a general manager who has successfully completed the initial training program. Franchisees are responsible for training all their personnel according to the standards outlined in the Operations Manual. Any staff members who do not complete the required training satisfactorily are not permitted to work in The Back Nine store. The franchisor also offers employment training as part of its initial training program.