Varsity ZoneFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Varsity Zone franchise requires a total initial investment of $204K – $269K, including a $60K franchise fee. Per the 2025 FDD, average unit revenue was $1.4M[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $204K – $269K
- 70th pct Home Services
- Avg gross sales
- $1.4M
- 38th pct Home Services
- Royalty
- N/A
- Units
- 6
- 13th pct Home Services
- SBA default
- 0.0%
- system-wide median varies by category
Quick verdict · Home Services · color = vs category peers
Green = >15% above Home Services avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Each dollar invested generates 5.8x in gross revenue, well above the typical 1.5-2.5x range.
Started franchising in 2024. Newer systems carry more uncertainty but may offer better territories.
The franchisor's auditor raised doubt about continued operations. This is a serious risk signal.
Bottom line
- Total investment $204K – $269K including a $60K franchise fee.
- Average unit revenue of $1.4M/year.
- Verdict A (Top Quintile) with a risk score of 42/100.
- Auditor disclosed a going-concern note, which 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
- HPB HVAC LLC
- Parent company
- JEZ Investments LLC
- Predecessor
- Amped Services Plus
- Prior franchisor entity
- Incorporated in
- PA
- HQ
- 2525 N. 117th Avenue, Omaha, Nebraska 68164
- Auditor
- Forvis Mazars, LLP
- Audited financials
- Franchisor revenue
- $212K
- vs $869K prior year
- ⚠ Going-concern note
- Disclosed in FDD 2025
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
Affiliated brands
- HorsePower Nation
- HPB HVAC Holdings
- HPB Automotive Sales
- HPB Accounting
- HPB Blinds and Shutters
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Varsity Zone appears to operate youth sports training, athletic development, or sports facility franchises. Franchisees likely manage day-to-day operations including coaching/training services, facility management, member/client scheduling, and local marketing to generate the $1.38M average revenue reported.
- CEO
- Anthony Hulbert
- Headquarters
- NE
- Founded
- 2023
- FDD year
- 2025
- States available
- 1
FDD Item 7 · 2025 filing · 22 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Feenot refundable | $60K | $60K | |
| Insurance (90 days)not refundable | $5K | $8K | |
| Tuition Feenot refundable | $5K | $5K | |
| Travel and Living Expenses while Trainingnot refundable | $2K | $4K | |
| Emerging Business Academynot refundable | $10K | $10K | |
| Opening Packagenot refundable | $5K | $7K | |
| Initial Inventory Packagenot refundable | $5K | $8K | |
| Rent and Utilities (90 days)not refundable | $7K | $15K | |
| Vehiclesnot refundable | $36K | $41K | |
| Licenses Certificates and Permitsnot refundable | $0 | $5K | |
| Professional Feesnot refundable | $1K | $11K | |
| Technology Feenot refundable | $3K | $3K | |
| Special Software Feenot refundable | $900 | $900 | |
| Contact Center Feenot refundable | $1K | $4K | |
| Dues and Subscriptionsnot refundable | $0 | $1K | |
| Leasehold Improvementsnot refundable | $0 | $5K | |
| Brand Marketing Feenot refundable | $16K | $16K | |
| Initial Marketing Expenditure and Local Advertising Expenditure (90 days)not refundable | $20K | $20K | |
| Digital Management Feenot refundable | $2K | $2K | |
| Accounting Services Feenot refundable | $2K | $2K | |
| Total initial investment | $204K | $269K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$138K
10.0% margin
Unlevered ROIC
52%
EBITDA / total invested capital
Payback
23 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $204K – $269K
- Below avg, review vs category
- Liquid capital req'd
- $20K – $40K
- Near category avg vs category
- Franchise fee
- $60K – $60K
- Near category avg vs category
- Royalty
- Greater of: (i) tiered percentage of Gross Revenue Collec…
- Ad fund
- 3.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 3.0% of gross sales |
| Technology fee | $1K |
| Transfer fee | $12K |
| Renewal fee | $12K |
| Inventory (initial) | $5K – $8K |
| Total fee load | 8.0% of rev |
Financial Performance
- Avg gross sales
- $1.4M
- Per unit, per year
- Median gross sales
- N/A
- Item 19 type
- Historical
- Sample size
- 1 units
- vs category median 25 · small
- Transparency tier
- revenue_only
- Categorical assessment of disclosure depth
- Reporting year
- 2024
- Fiscal year the figures cover
- Transparency
- 5 / 5
- vs category median 4 / 5 · above
Compared against 349 Home Services brands
Revenue is 5.8x the investment midpoint. At typical franchise margins, this suggests a payback under 3 years.
vs Home Services averages
How Varsity Zone Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 6
- Opened
- 6
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
3-year detail · Item 20
- Opened (3yr)
- 6
- Transfers (3yr)
- 0
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.
Available to sell in · Item 12
- California
- Hawaii
- Illinois
- Indiana
- Maryland
- Michigan
- South Dakota
States where the franchisor is registered to sell new franchises (FDD registration filings).
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- $325K
- Median loan
- $325K
- 50th percentile
- Charge-off rate
- 0.0%
- rates vary by category · see methodology
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
- 1
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Varsity Zone's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 1 lenders with concentration factor
- Per-state charge-off rates across 1 states
- Startup risk premium and job creation velocity
- 1-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Micro-franchise system with pending fraud litigation, undisclosed profitability, going concern status, and governance disputes creates substantial operational and financial risk despite protected territory and reasonable initial investment.
Litigation (Item 3)
2 case reference(s): 2 pending, 0 settled.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Forvis Mazars, LLP⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: Yes
Score breakdown · what drove the 42 / 100 rating
- 01MINOROnly 6 units system-wide with unknown growth trajectory suggests minimal scale and market validation
- 02HIGHActive litigation including fraud allegations against affiliate and governance disputes at parent company level indicates serious legal/operational instability
- 03MEDNet income not disclosed in FDD despite $1.38M average revenue — lack of profitability transparency is a major red flag
- 04HIGHGoing concern notation combined with pending arbitration over ownership disputes suggests potential financial or structural viability issues
- 05MEDTiered royalty structure with $500/month minimum means early-stage franchisees may pay 5-6% effective rate on thin margins with no disclosed profit data
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Population-based |
| Protected territory | Yes |
| Territory population | 200,000 |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 1 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Pennsylvania |
| Litigation count | 2 |
View Item 3 litigation summary
2 case reference(s): 2 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 83 hrs
- On-the-job training
- 22 hrs
- Training location
- On-site and at franchisor location
- Franchisor financing
- Not offered
- Item 10
- POS system
- ServiceTitan
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: ServiceTitan
Item 20 · call current owners
Franchisee Contacts
18 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Varsity Zone · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Varsity Zone franchise?
The total investment to open a Varsity Zone franchise ranges from $204K – $269K, with an initial franchise fee of $60K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Varsity Zone franchise owners earn?
According to Item 19 of the Varsity Zone FDD, the average gross sales per unit is $1.4M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Varsity Zone's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Varsity Zone (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 Varsity Zone franchise locations are there?
As of their most recent FDD filing, Varsity Zone has 6 total units in the United States, including 6 franchised units and 0 company-owned units. 6 new units were opened in the latest reporting year.
Is Varsity Zone a good franchise to buy?
FranchiseVerdict rates Varsity Zone as a A-grade franchise with a risk score of 42 out of 100, 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?
If you represent Varsity Zone, you can request corrections or provide updated information.
Claim this brandOther Home Services franchises
Compare similar franchise opportunities in the Home Services category
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.