FranchiseVerdict
Ace Pickleball Club logo
FV-00066·STRONGExcellent91

Ace Pickleball Club

Formerly known as The Pickleball Club

OtherFranchising since 2023Website
Investment
$818K – $2.4M
90th pct Other
Avg revenue
$1.5M
38th pct Other
Royalty
7.0%
33rd pct Other
Units
11
39th pct Other
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $818K – $2.4M including a $60K franchise fee, 7.0% ongoing royalty.
  • Average unit revenue of $1.5M/year. Estimated payback in 7.6 years.
  • Rated STRONG with a risk score of 44/100. SBA loan default rate of 0.0% across 32 loans (below the industry average).
  • Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.

Item 1 · who you're contracting with

The Franchisor

Legal entity
Ace Pickleball Club Franchise, LLC
Parent company
Ace Pickleball Club, LLC
Incorporated in
Nevada
HQ
33 Mansell Court, Roswell, Georgia 30076
Auditor
Citrin Cooperman & Company, LLP
Audited financials
Franchisor revenue
$57K
vs $519K prior year
⚠ Going-concern note
Disclosed in FDD 2025
Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.

Yale framework · single-unit ROIC

Returns Analysis

Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.

The model · Yale framework

What would one Ace Pickleball Club unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $1,548,287
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $818K–$2.4M
Working capital
$
FDD reports $180K–$235K

Unlevered ROIC · per unit

13%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$232K
EBITDA margin
15.0%
Total invested
$1.8M
Payback
94 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Levered LBO scenario · Yale Crease Capital framing

What would 25 Ace Pickleball Club units return on equity?

Edit assumptions

Equity IRR · 5-yr

39.4%

5.27× MOIC

Year-1 DSCR

2.14×

EBITDA ÷ debt service

Equity required

$3.7M

on $12.4M purchase

Total debt

$8.7M

SBA $5.0M + senior + seller note

SBA 7(a) request ($6.2M) exceeds the $5M program cap. Excess capped automatically; backfill via conventional or equity.

Overview

About

Franchisees operate full-service pickleball club facilities featuring multiple courts, pro shops, and member/drop-in programming. Day-to-day operations include court scheduling/maintenance, member management, instruction/coaching, food/beverage service, and community event coordination to drive court utilization and recurring revenue.

CEO
Joseph Sexton
Founded
2023
FDD year
2025
States available
10

Item 7 · what it costs

The Vitals

Total investment
$818K – $2.4M
All-in to open one unit
Liquid capital
$180K – $235K
Cash you must have on hand
Franchise fee
$60K
Royalty
7.0%
Gross Sales · typical 6–8%
Ad fund
1.0%
typical 3–5%
Total fee load
8.0%
vs 9–13% typical
Payback period
7.6 yrs
From v3 / Item 19

Item 19

Financial Performance

Avg gross sales
$1.5M
Per unit, per year
Median gross sales
Item 19 type
Historical financial results of one affiliate-owned outlet
Sample size
1 units
vs category median 20 · small
Range (low → high)
$106K$151K
Cohort dispersion
Transparency
9 / 5
vs category median 3 / 5 · above
Revenue rank38th
vs Other peers
Investment cost rank90th
Lower investment ranks lower (better)
Royalty rate rank33th
Lower royalty = lower percentile (better)
Unit count rank39th
vs Other peers
Risk score rank6th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
11
Opened
9
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
3
Corporate units in the system
% franchised
73%
vs corporate-owned
2023
8+8
Franchised units
2024
0
Franchised units
2025
0
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 17 states with active franchisees

The Territory Map

Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 17 states
Not registered

States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

Total loans
32
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

44
Risk · 0-100
STRONG44 / 100

Early-stage system with high entry cost, thin unit economics, and unproven growth potential presents moderate-to-significant risk despite favorable litigation and territory protection.

Score breakdown · what drove the 44 / 100 rating

  1. 01MEDOnly 11 units with unknown growth trajectory suggests nascent/stagnant system with limited operating history and unproven scalability
  2. 02MINORHigh capital requirement ($817K-$2.4M) with modest average net income ($213K) yields 3-5 year payback period creating significant financial risk
  3. 03MINOR7% royalty on $1.5M average revenue ($105K annually) plus overhead leaves thin margins; underperforming locations could quickly become unprofitable
  4. 04HIGHGoing concern status indicates financial fragility at franchisor level, raising sustainability questions for support and future viability

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Protected Territory based on zip codes or boundaries
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Optional
Governing law
Nevada

Item 11

Training & Operations

Classroom training
32 hrs
On-the-job training
40 hrs
POS system
pickleballsoftware.com
Operating tech stack

Item 20

Franchisee Contacts

Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.

Franchisee contacts

19 numbers

Locked
(608) 266-••••
WI
(212) 416-••••
NY
(651) 539-••••
MN

One-time purchase · CSV download · Validation questions included

FDD download

Ace Pickleball Club · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above