FranchiseVerdict
Destination Athlete logo
FV-00745·STRONGExcellent81

Destination Athlete

Health & FitnessFranchising since 2008Website
Investment
$28K – $135K
3rd pct Health & Fitn…
Avg revenue
58th pct Health & Fitn…
Royalty
5.0%
1st pct Health & Fitn…
Units
296
94th pct Health & Fitn…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $28K – $135K including a $20K franchise fee, 5.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated STRONG with a risk score of 54/100. SBA loan default rate of 0.0% across 4 loans (below the industry average).
  • No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.

Item 1 · who you're contracting with

The Franchisor

Legal entity
Destination Athlete, LLC
Parent company
Harbor Endeavors, LLC
Incorporated in
New Jersey
HQ
104 Main Street, Lebanon, NJ 08833
Auditor
Tropeano & McGrady, PC
Audited financials
Franchisor revenue
$900K
vs $1.3M prior year

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 Destination Athlete unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: fitness
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $28K–$135K
Working capital
$
FDD reports $6K–$36K

Unlevered ROIC · per unit

226%

Above typical band (30–60%)

0%30–60% Yale band80%
ROIC above 100% usually means the revenue figure is a system-wide aggregate or top-cohort number rather than a single-unit average. Verify the "Revenue · per unit" field against the brand's FDD Item 19 detail tables before relying on this output.

Store EBITDA · annual
$233K
EBITDA margin
31.0%
Total invested
$103K
Payback
5 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.

Overview

About

Destination Athlete franchisees operate athletic retail or team/school athletic supply stores, selling equipment, apparel, and merchandise. They manage inventory, handle direct customer sales in-store, and fulfill orders through team stores and potentially e-commerce channels. Revenue models vary significantly depending on whether franchisees focus on brick-and-mortar retail, team partnerships, or online sales.

CEO
Douglas D. Dickison
Founded
2008
FDD year
2026
States available
29

Item 7 · what it costs

The Vitals

Total investment
$28K – $135K
All-in to open one unit
Liquid capital
$6K – $36K
Cash you must have on hand
Franchise fee
$20K
Royalty
5.0%
Gross Sales · typical 6–8%
Ad fund
2.0%
typical 3–5%
Total fee load
7.0%
vs 9–13% typical

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
296
Opened
16
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
Net growth (yr3)
+5.7%
Net unit change last year
3-yr CAGR
+13.8%
Compounded over last 3 years
2024
296+16
Franchised units
2025
280
Franchised units
2026
260
Franchised units

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

Item 20 · 15 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 · 15 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
4
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

54
Risk · 0-100
STRONG54 / 100

High opacity on profitability, modest growth trajectory, and lack of financial disclosure make this a CAUTION-tier franchise with significant unknown risks.

Score breakdown · what drove the 54 / 100 rating

  1. 01MEDNo average revenue or net income disclosed (Item 19 missing) — impossible to assess profitability or ROI
  2. 02MINORSlow unit growth of 5.7% YoY suggests market saturation or franchisee underperformance in a 296-unit system
  3. 03MINORWide investment range ($28,300–$135,110) indicates inconsistent startup costs and unclear capital requirements
  4. 04MINORDual royalty structure (5% vs. 9%) creates complexity and incentivizes non-internet sales, limiting scalability
  5. 05MINOR10-year term is longer than industry standard (typically 5–7 years), reducing franchisee flexibility and exit options
  6. 06MINORProtected territory undefined in scope — risk of encroachment or unclear protected area boundaries

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Territory
County
Protected territory
Yes
Initial term
10 years
Renewal term
5 years
Online sales rights
Granted
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
Required
Governing law
New Jersey

Item 11

Training & Operations

Classroom training
40 hrs
On-the-job training
80 hrs
POS system
QuickBooks and Franchise Management System (FMS)
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

20 numbers

Locked
(908) 284-••••
Street, Lebanon,
NJ
(770) 990-••••
GA
(217) 782-••••
IL

One-time purchase · CSV download · Validation questions included

FDD download

Destination Athlete · FDD (2026) PDF

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