About Cortz Franchise
Cortz is a specialty construction franchise focused on the building, repair, and resurfacing of sports courts including basketball, pickleball, and tennis courts.
Services include coating, painting, repair, striping, and installation of netting and poles to ensure courts meet standard regulations.
The franchise fee is $50,000, and the brand has been franchising since 2024.
Cortz Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $50,000 | One-time payment upon signing |
| Royalty Fee | 6% of Gross Revenue per month on the first $1,000,000 in annual Gross Revenue, then 4% on annual Gross Revenue over $1,000,001 of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1% of Gross Revenue per month | National brand fund |
| Total Investment Range | $100,122 – $199,842 | Includes build-out, inventory, working capital |
The investment range of $100K–$200K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of Gross Revenue per month on the first $1,000,000 in annual Gross Revenue, then 4% on annual Gross Revenue over $1,000,001) and marketing fee (1% of Gross Revenue per month) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee (Note 1) | $50,000 | $50,000 |
| Training Fee (Note 2) | $0 | $5,000 |
| Travel and Living Expenses (Note 2) | $3,000 | $6,000 |
| Rent or Real Estate (Note 3) | $0 | $1,500 |
| Equipment For Service Vehicle (OU) (Note 4) | $6,000 | $10,000 |
| Service Vehicle (Pickup Truck) (OU) (Note 5) | $3,000 | $60,000 |
| Interior and Exterior Signage (Note 6) | $250 | $1,000 |
| Miscellaneous Opening Costs (Note 7) | $500 | $1,000 |
| Business Licensing, Permits and Legal Fees (Note 8) | $500 | $2,000 |
| Required Initial Product Purchase (Note 9) | $10,000 | $20,000 |
| General Operating Supplies (Note 10) | $0 | $1,000 |
| Advertising/Marketing (3 months) (Note 11) | $1,500 | $3,000 |
| Media and Tech Support (Note 12) | $747 | $747 |
| Insurance (3 months) (Note 12) | $625 | $875 |
| Computer Equipment and Proprietary Software (Note 13) | $0 | $1,720 |
| Additional Funds for Initial three (3) Months (Note 14) | $24,000 | $36,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $0 - $5,000 per Unit |
| Renewal Fee | Currently $5,000 per Unit |
| Technology Fee | $249 per month |
| Audit Fee | Cost of audit plus 1.5% interest per month on understatement or the maximum interest rate allowed by applicable law, whichever is greater. |
| Advertising Materials | $100 - $500 As incurred |
| Initial Training for Additional Persons or new or replacement employees | $2,500 per person. |
| Additional Assistance at Your Franchise | $500 per day (two day minimum) plus travel and living expenses. |
| Conference Fees | Estimated at $250 per person attending live, or $100 for per person for attending virtually. |
| Fees for Lost Manual | Up to $250 |
| Bank Charges and Administrative Costs | Actual Fees incurred by us plus a 10% administration fee |
| Interest | 1.5% per month |
| Liquidated Damages | Will vary under circumstances |
| Collection Costs, Attorneys' Fees and Interest | Interest on overdue amounts from the due date until paid at the lesser of 18% interest per year or the highest lawful interest rate, plus costs of collection, attorneys' fees and court costs, if any. |
| Indemnification | Amount of loss or damages plus costs |
| Computer and Communications Equipment Upgrades and Maintenance | Varies, but usually no more than $1,000 per year. |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately 2 weeks (30 classroom hours, 40 on-the-job hours) |
| Classroom Training | Minimum of 30 Hours |
| On-the-Job Training | Minimum of 40 Hours |
| Training Location | Meadow Vista, CA |
| Additional Training | Additional team members may be trained using manuals and direct on-the-job supervision. Additional on-site assistance requested by franchisee or deemed necessary by franchisor (due to inspection/audit) incurs a fee of $500 per day (two-day minimum) plus travel and living expenses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | Yes |
| Territory Size | Approximately 1,000,000 persons or 50-mile radius |
| Description | A protected territory based on Zip Codes, streets, and other appropriate boundaries, containing a population of approximately 1,000,000 persons or a 50-mile radius, or as mutually agreed. Franchisees operate at least one service vehicle (OU) within this territory and may operate more. Unrestricted option to service residential locations; commercial or government locations require prior written approval. Franchisor will not operate or license other CFSP franchises within the Designated Territory. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 5 years |
| Renewal Term | 5 years |
| Renewal Fee | Currently $5,000 per Unit |
| Renewal Conditions | Franchisee must sign a new agreement, be current in payments, and pay the renewal fee. The new agreement may have materially different terms, but territory boundaries remain the same and royalty rates will not exceed those for similarly situated renewing franchisees. |
| Transfer Fee | $0 - $5,000 per Unit |
| Transfer Conditions | Proposed transferee must qualify, pay the transfer fee, have the purchase agreement approved, arrange for training, franchisee must sign a release, and the new franchisee must sign the current agreement. |
| Termination for Cause | Franchisor can terminate with 90-day written notice for violations such as failure to comply with the System, non-payment of fees, or failure to comply with laws (30 days to cure). Immediate termination without notice for misrepresentation, failure to complete initial training, bankruptcy, abandonment, trademark misuses, unapproved transfers, or felony conviction. |
| Non-Compete Period | 2 years |
| Non-Compete Details | During the term, no involvement in competing business anywhere in the U.S. After termination, transfer, or expiration, no competing business for 2 years within a 50-mile radius from the boundary of the Designated Territory, from any other CORTZ BY FSP company-owned franchise, or on the Internet. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The franchisee or a fully trained and qualified manager must directly supervise and participate in the actual day-to-day operation of the franchise on a full-time basis. Neither the franchisee nor the manager may have an interest or business relationship with any of the franchisor's business competitors. |
| Required Suppliers | Computer Software: Quickbooks (https://quickbooks.intuit.com/). Media and Tech Fee payable to franchisor. All required inventory items, vehicle wrap, equipment, and service vehicle from approved and recommended suppliers or suppliers meeting franchisor specifications and branding. |
| Supply Restrictions | Franchisor must approve any supplier proposed by franchisee. Franchisor reserves the right to disapprove previously approved vendors. Specifications and standards for required purchases are in the Manual. |
| Franchisor Revenue from Suppliers | Franchisor may derive income or other material benefit from required purchases from approved vendors/suppliers through a program of rebates. In fiscal year ended December 31, 2023, no revenue was received from these purchases. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Neither Cortz nor any agent or affiliate(s) offers direct or indirect financing. Franchisor does not guarantee franchisee's note, lease, or obligation. |
Cortz Franchise Earnings — Item 19
Cortz does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Cortz Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Cortz System Growth
Cortz currently operates 0 franchised locations and 1 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 0 | 0 | 1 |
| 2022 | 0 | 0 | 1 |
| 2023 | 0 | 0 | 1 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 30 states: CA, CT, FL, GA, HI, IL, IN, IA, KY, LA, ME, MD, MI, MN, NE, NH, NY, NC, ND, OH, OK, OR, RI, SC, SD, TX, UT, VA, WA, WI
Cortz Franchise — FAQ
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