FranchiseVerdict
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FV-02123·MODERATEStandard71

Redline Athletics

Formerly known as The Lost Cajun

OtherFranchising since 2025Website
Investment
$99K – $221K
34th pct Other
Avg revenue
50th pct Other
Royalty
Units
34
58th pct Other
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $99K – $221K including a $86K franchise fee.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 64/100. SBA loan default rate of 0.0% across 9 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
Phoenix Franchising Group, LLC
Incorporated in
Arizona
HQ
14000 North Hayden Road, Suite 101, Scottsdale, Arizona 85260
Franchisor revenue
$0
Most recent fiscal 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 Redline Athletics 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: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $99K–$221K
Working capital
$
FDD reports $5K–$5K

Unlevered ROIC · per unit

73%

Above typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$120K
EBITDA margin
16.0%
Total invested
$165K
Payback
16 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

Redline Athletics franchisees operate fitness and athletic training facilities offering strength training, conditioning, sports performance coaching, and athletic membership programs. Daily operations include class scheduling, member management, personal training delivery, facility maintenance, and community outreach to build a local athletic client base.

CEO
Chance J. Pearson
Founded
2025
FDD year
2025
States available
23

Item 7 · what it costs

The Vitals

Total investment
$99K – $221K
All-in to open one unit
Liquid capital
$5K – $5K
Cash you must have on hand
Franchise fee
$86K
Royalty
n/d
Ad fund
1.0%
typical 3–5%
Total fee load
1.0%
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
34
Opened
2
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)
-2.9%
Net unit change last year
3-yr CAGR
+6.2%
Compounded over last 3 years
2023
34-1
Franchised units
2024
35
Franchised units
2025
32
Franchised units

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

Item 20 · 16 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 · 16 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
9
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

64
Risk · 0-100
MODERATE64 / 100

Redline Athletics presents meaningful caution-level risk due to declining unit count, complete absence of financial transparency (no Item 19), undisclosed royalty structure, and a high franchise fee relative to a contracting 34-unit system.

Score breakdown · what drove the 64 / 100 rating

  1. 01MINORUnit count declining 2.9% YoY (34 units) — suggests system contraction or franchisee struggles
  2. 02MINORNo Item 19 financial disclosure — unable to verify revenue/profitability claims; major transparency gap
  3. 03MEDRoyalty rate undisclosed — potential hidden cost structure or ongoing negotiation issues
  4. 04MINORHigh franchise fee ($85,750) relative to small unit base — may indicate franchisor dependent on upfront fees rather than system health
  5. 05HIGHNo 'going concern' statement — suggests franchisor stability not independently verified in disclosure documents
  6. 06MINORWide investment range ($98,725–$221,175) with no clear cost breakdown — budget uncertainty and hidden costs likely

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Territory
Exclusive Development Area
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
1.5 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Arizona

Item 11

Training & Operations

Classroom training
9 hrs
On-the-job training
4 hrs
POS system
MindBody Online Software
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
(513) 267-••••
OH
(310) 600-••••
CA
(910) 723-••••
NC

One-time purchase · CSV download · Validation questions included

FDD download

Redline Athletics · FDD (2025) PDF

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