Ultimate Sports Bar & Grill logo

Ultimate Sports Bar & Grill Franchise

Audited Financials
Food and BeverageEst. 1994Waite Park, MN
www.ultimatesportsbargrill.com

Risk Score

Pending analysis

Investment Range

$370,000 - $838,500

Franchise Fee

$40,000

Total US Locations

1

Business Summary

Ultimate Sports Bar & Grill franchisees operate a sports bar and grill concept. These establishments offer a variety of food items alongside cocktails and are intended to be run out of a single location or on the same property.

Corporate History

Ultimate Sports Bar & Grill, Inc., an affiliate of Ultimate Sports Bar Franchise, LLC, was formed in Minnesota on February 17, 1994, and has been operating a sports bar and grill similar to the franchise concept since May 1994. Ultimate Sports Bar Franchise, LLC itself was formed more recently on February 28, 2023, and began offering franchises in the same year.

Financial Overview

Investment Range

$370,000 - $838,500

Franchise Fee (Low)

$40,000

Franchise Fee (High)

$40,000

Royalty %

5%

Marketing %

1%

Equipment Costs (Low)

$215,000

Equipment Costs (High)

$530,000

Working Capital

$45,000

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

Ultimate Sports Bar Franchise, LLC's auditors issued an unqualified opinion on its financial statements as of February 29, 2024. However, the franchisor's financial condition, showing total assets and cash both at $100, is highlighted in the FDD's Special Risks section, which calls into question the franchisor's financial ability to provide services and support to franchisees.

Financing Details

Ultimate Sports Bar Franchise, LLC does not offer any direct or indirect financing to its franchisees. The franchisor also does not guarantee any notes, leases, or other obligations of the franchisee.

Performance Metrics

Total US Locations

1

Franchised Units

0

Corporate Units

1

Franchising Since

2023

Agreement Terms

Initial Term

10 years

Renewal Term

10 years

Renewal Conditions

To renew their franchise agreement, Ultimate Sports Bar & Grill franchisees must meet several conditions. These include fully complying with all provisions of the Franchise Agreement, making necessary capital expenditures to maintain uniformity with the System, satisfying all monetary obligations owed to the franchisor or its affiliates, and not being in default of any agreement. Franchisees must also provide timely written notice of their intent to renew, sign the franchisor's then-current franchise agreement (which may have materially different terms), comply with current franchisee qualifications and training requirements, and sign a general release. A renewal fee of 35% of the then-current initial franchise fee is also required.

Training & Support Program

Franchisor Assistance

Ultimate Sports Bar Franchise, LLC provides several forms of assistance to its franchisees. Before opening, the franchisor offers an initial training program for the franchisee and two managers, along with opening assistance and guidance. Franchisees receive the Operations Manual and assistance with pricing, equipment, signage, fixtures, initial inventory, and supplies. The franchisor also provides limited help with conforming premises to local codes, obtaining permits, and construction or remodeling. They offer assistance in determining the type and number of employees to hire. After opening, franchisees receive ongoing advice, problem discussions, and general guidance via phone and electronic correspondence. The franchisor also makes ongoing training available and provides updates to the Operations Manual.

Initial Training Hours

132

Training Location

Affiliate location in Waite Park, MN or another designated franchisor training center

Ongoing Support

After opening, Ultimate Sports Bar Franchise, LLC provides ongoing support to its franchisees through various channels. Franchisees receive advice, problem discussions, and general guidance via telephone and electronic correspondence. The franchisor also makes ongoing training programs, seminars, conferences, conventions, or webinars available as needed, though franchisees are responsible for the associated costs including a $500 National Franchise Convention Fee. Updates and modifications to the Operations Manual are also provided.

Franchise Requirements

Ideal Candidate Profile

Ultimate Sports Bar Franchise, LLC looks for individuals with strong financial resources and a background in business and the industry. For those interested in becoming area developers, the franchisor also considers their experience in the industry, business experience, and marketing and sales plans. The franchisee or a designated manager is required to dedicate at least 40 hours per week to the day-to-day operations of the business.

Industry Experience Required

No

Management Experience Required

Yes

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

Retail

Owner Participation

Supervisory

Territory Type

exclusive

Territory Size Requirements

Ultimate Sports Bar Franchise, LLC defines territories based on a specific geographic region, which they approve using criteria such as radius, zip codes, or natural/political boundaries. A typical territory will usually include a 5-mile radius around the franchisee's outlet.

Staffing Notes

Ultimate Sports Bar & Grill provides assistance and guidance on the type and number of employees to hire. However, franchisees are solely responsible for all aspects of employee management, including hiring, firing, compensation, payroll taxes, and day-to-day supervision and control. The franchised business must always be under the direct supervision of either the franchisee or an approved on-site Designated Manager, who must dedicate at least 40 hours per week to managing operations.