Destination Athlete Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Destination Athlete is a franchise supplying athletic equipment, apparel, and team gear to schools, teams, and athletes. Franchisees run a sales operation serving team accounts through team stores and direct sales, in-store or online.
FranchiseVerdict summary · 2026
A Destination Athlete franchise requires a total initial investment of $28K – $109K, including a $20K – $65K franchise fee and an ongoing 5.0% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $28K – $109K
- 2nd pct Health & Fitn…
- Avg gross sales
- N/A
- Royalty
- 5.0%
- 1st pct Health & Fitn…
- Units
- 296
- 93rd pct Health & Fitn…
- SBA charge-off
- N/A
Quick verdict · Health & Fitness · color = vs category peers
Green = favorable by >10% vs Health & Fitness avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $28K – $109K including a $20K franchise fee, 5.0% ongoing royalty.
- RETURNSAudited financial statements (Exhibit E) referenced but the statement schedules are not present in the extracted document text; only the auditor and statement types (balance sheets, statements of operations, changes in shareholder's equity, cash flows) are disclosed.
- RISKVerdict A (Strongest tier), verdict score 71/100 (higher is better).
- DATANo 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
Corporate structure & franchisor financials
- Legal entity
- Destination Athlete, LLC
- Parent company
- Harbor Endeavors, LLC
- CEO title
- Founder and Chairman
- Douglas D. Dickison
- Incorporated in
- NJ
- HQ
- 104 Main Street, Lebanon, NJ 08833
- Auditor
- Tropeano & McGrady, PC
- Audited financials
- Franchisor revenue
- $1.3M
- vs $900K prior year
Overview
About
- CEO
- Douglas D. Dickison
- Headquarters
- NJ
- Founded
- 2008
- FDD year
- 2026
- States available
- 29
Can you afford it, and what does the money buy?
Entry cost runs 88% below the typical health & fitness franchise.
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $20K | $20K |
| Working capital (3–6 mo) | $6K | $36K |
| Equipment, build-out, other | $2K | $53K |
| Total initial investment | $28K | $109K |
Source: Destination Athlete 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $28K – $109K
- Top 40% of category vs category
- Liquid capital req'd
- $6K – $36K
- Top 40% of category vs category
- Franchise fee
- $20K – $65K
- Top 40% of category vs category
- Royalty
- 5.0%
- tiered · typical 6–8%
- Ad fund
- Up to 2% of gross sales (not yet implemented; franchisor …
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Technology fee | $2K |
| Transfer fee | $15K |
| Renewal fee | $15K |
| Total fee load | 7.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Destination Athlete did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one Destination Athlete unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
252%
Above the 30–60% band. Verify revenue is per-unit average
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
Audited financial statements (Exhibit E) referenced but the statement schedules are not present in the extracted document text; only the auditor and statement types (balance sheets, statements of operations, changes in shareholder's equity, cash flows) are disclosed.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 7.0% — below the Health & Fitness average of 8.4%.
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Operator retention
System expanding at 13.8% CAGR over 3 years across 296 units — operators are staying and new ones are joining.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Health & Fitness averages
How Destination Athlete Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 296
- Opened
- 16
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +13.8%
- Net unit change over 3 years
- 3-yr CAGR
- +13.8%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 31
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 3
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 8 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).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- $1.2M
- Median loan
- $623K
- 50th percentile
- Charge-off rate
- N/A
- limited sample (2 loans) — rate not shown below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 2
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
High opacity on profitability, modest growth trajectory, and lack of financial disclosure make this a CAUTION-tier franchise with significant unknown risks.
Litigation (Item 3)
No litigation pending or anticipated to be filed against Destination Athlete or Mr. Dickison.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Tropeano & McGrady, PC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 71 / 100 verdict
- 01MEDNo average revenue or net income disclosed (Item 19 missing) — impossible to assess profitability or ROI
- 02MINORSlow unit growth of 5.7% YoY suggests market saturation or franchisee underperformance in a 296-unit system
- 03MINOR10-year term is longer than industry standard (typically 5–7 years), reducing franchisee flexibility and exit options
- 04MINORProtected territory undefined in scope — risk of encroachment or unclear protected area boundaries
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 7.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Territory type | exclusive |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Online sales rightsℹ | Granted |
| Franchisor can compete | No |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 100 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | New Jersey |
| Jury trial waiver | Yes |
| Governing law | NJ |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation pending or anticipated to be filed against Destination Athlete or Mr. Dickison.
Items 10, 11
Training & Operations
- Classroom training
- 40 hrs
- On-the-job training
- 80 hrs
- Training location
- Lebanon Township, Hunterdon County, New Jersey (franchisor corporate offices) and apparel supplier (NJ) and franchisee location
- Ongoing training
- Required
- Time to open
- 2 mo
- From signing to launch
- Site selection
- Franchisee selects; franchisor must approve
- Franchisor financing
- Offered
- Item 10
- POS system
- QuickBooks and Franchise Management System (FMS)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: QuickBooks and Franchise Management System (FMS)
Item 20 · call current owners
Franchisee Contacts
11 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Destination Athlete · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Destination Athlete franchise?
The total investment to open a Destination Athlete franchise ranges from $28K – $109K, with an initial franchise fee of $20K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Destination Athlete franchise owners earn?
Destination Athlete does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the Destination Athlete FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Destination Athlete FDD and qualifies whose outlets they describe.
What is Destination Athlete's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Destination Athlete (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Destination Athlete franchise locations are there?
As of their most recent FDD filing, Destination Athlete has 296 total units in the United States, including 296 franchised units and 0 company-owned units. 16 new units were opened in the latest reporting year.
Is Destination Athlete a good franchise to buy?
FranchiseVerdict rates Destination Athlete as a A-grade franchise with a verdict score of 71 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
Are you the franchisor?
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.