About D1 Sports Franchise
Franchisees own and operate D1 Training Facilities offering athletic-based scholastic and adult group training, coaching, personal training, and related products and services.
Facilities are typically 4,000-5,000 sq ft with the average being approximately 4,300 sq ft.
D1 Sports Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $59,500 | One-time payment upon signing |
| Royalty Fee | 7% of Gross Sales (minimum $1,950-$2,950/month escalating) of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Greater of $250/month or 2% of monthly Gross Sales (Brand Fund) | National brand fund |
| Total Investment Range | $480,557 – $933,432 | Includes build-out, inventory, working capital |
The investment range of $481K–$933K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (7% of Gross Sales (minimum $1,950-$2,950/month escalating)) and marketing fee (Greater of $250/month or 2% of monthly Gross Sales (Brand Fund)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $59,500 | $59,500 |
| Opening Support Fee | $29,500 | $29,500 |
| Initial Marketing Spend | $12,000 | $20,000 |
| Leasehold Improvements | $233,765 | $561,156 |
| Real Estate Services Fee | $5,000 | $5,000 |
| Furniture and Fixtures | $1,500 | $3,000 |
| Equipment (D1 Equipment affiliate) | $69,000 | $69,000 |
| Cardio Equipment | $0 | $16,341 |
| Opening Inventory and Supplies | $4,250 | $5,000 |
| Computer Equipment and Software | $5,000 | $8,000 |
| Training Expenses | $500 | $3,000 |
| Security Deposit | $5,714 | $26,453 |
| Three Months Rent | $9,828 | $54,482 |
| Professional Fees, Permits and Licenses | $4,000 | $6,000 |
| Insurance Premium | $6,000 | $12,000 |
| Additional Funds (3 months) | $35,000 | $55,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $7,500 per territory (Franchise Agreement); $7,500 per territory (Area Development Agreement) |
| Renewal Fee | $15,000 (Successor Franchise Fee, in lieu of then-current initial franchise fee) |
| Technology Fee | $320/month GPS Software (affiliate) + $700-$750/month Tech Shared Services Fee (includes MindBody, Scorpion, ProfitKeeper, website, intranet, email) |
| Audit Fee | $15,000-$20,000 if audit/inspection triggered by failure to provide reports or underreporting by 3%+ |
| Local Marketing Requirement | $100/day minimum, subject to 10-20% annual increases |
| Local Advertising Cooperative | Up to 1.5% of Gross Sales (not yet formed) |
| Non-Compliance Fee | $1,000 (3rd infraction), $5,000 (4th+) |
| Management Fee (step-in) | 3% of Gross Sales plus costs and expenses |
| Additional Training | $1,000/week virtual or $500/day on-site, subject to 10%/year increase |
| Annual Conference Fee | Estimated $1,000 |
| Remodel Fee | Estimated $3,000 |
| Relocation Fee | $10,000 |
| Vendor/Equipment Testing | $1,500-$2,000 |
| Insurance (if franchisor obtains) | $2,500-$12,000 |
| Liquidated Damages | Greater of $72,000 or NPV of Royalty + Brand Fund + Local Ad Coop for 2 years post-termination |
| Interest on Late Payment | 18% per annum or max allowed by law |
| Bad Payment Fee | $100/occurrence |
| Site Selection/Territory Change | $1,000 |
| Inventory Replenishment | Varies (D1-branded apparel from franchisor/affiliates) |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately 1 week (75.5 hours total: 37.5 classroom + 38 on-the-job) |
| Classroom Training | 37.5 hours |
| On-the-Job Training | 38 hours |
| Training Location | Nashville, Tennessee or other designated location |
| Additional Training | Optional on-site assistance prior to opening at franchisor cost. Additional training $1,000/week virtual, $500/day on-site (subject to 10%/year increase). Must complete training at least 3 months before opening. Operations Manual: 10 courses, 78 lessons, 10.5 hours online. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Designated (non-exclusive) |
| Exclusive Territory | No |
| Territory Size | 0.20 mile to 3-mile radius from Premises based on qualifying household density; approximately 7,500 households and/or 10,000 people aged 5-24 |
| Description | You will not receive an exclusive territory. Your Designated Territory is non-exclusive and may overlap with other franchisees. Franchisor will not open or license another D1 at a permanent physical premises within your Designated Territory. However, franchisor retains extensive rights including: operating/franchising D1 outside your territory, establishing similar businesses under different marks within your territory, using the D1 marks through e-commerce and other channels within your territory, allowing D1 at non-traditional locations (schools, rec centers) within your territory, acquiring competing businesses, and developing personal training-focused concepts (D1 Strive) that may operate under the D1 marks within your territory. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 10 years (one successive term) |
| Renewal Fee | $15,000 (Successor Franchise Fee) |
| Renewal Conditions | Written notice 180-270 days before expiration, no violation during term, full compliance at time of election and renewal, maintain possession of premises or secure approved substitute, franchisor still granting D1 franchises, pay $15,000 successor fee, sign then-current Franchise Agreement (may have materially different terms including different fees), sign general release |
| Transfer Fee | $7,500 per territory |
| Transfer Conditions | Written request with all documents, all monetary obligations paid, no default, in compliance with System Standards, transferee meets qualifications, transferee and General Manager complete training, transferee signs then-current Franchise Agreement, transferee upgrades business within 90 days, $7,500 transfer fee per territory, both parties sign general releases. Franchisor has 30-day right of first refusal. |
| Termination for Cause | Curable: 72 hours for law violations (no health/safety risk), 10 days for non-payment, 15 days for failed quality audit, 30 days for other defaults. Non-curable: material misrepresentations, failure to locate site (150 days), failure to sign lease (180 days), failure to open by deadline, failure to complete training, abandonment, 2nd+ failure to meet minimum royalties, felony conviction, conduct affecting reputation, transfer violations, loss of right to premises, failure to pay taxes, repeated defaults (even if cured) |
| Non-Compete Period | 2 years |
| Non-Compete Details | 2 years post-termination/expiration. Neither franchisee nor owners (including spouses, domestic partners, children) may have any involvement in a Competitive Business within 10-mile radius of the Premises or within 10-mile radius of any other D1 Training Facility in operation at the effective date of termination/expiration. Competitive Business includes athletic-based scholastic/adult group training, coaching, personal training, and related goods/services, or any franchise/license business offering such services. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | Not required to personally supervise but recommended. Must designate a Designated Representative who owns at least 5% and has decision-making authority. Must appoint a full-time General Manager (not required to have equity interest) who may not engage in other business activities that conflict. Business must always be supervised by someone who completed training. All owners must sign guaranty; spouses must consent. |
| Required Suppliers | Must purchase D1-branded strength equipment from affiliate D1 Equipment ($69,000). Must use affiliate CPM for construction project management (6.5% of build-out). Must use affiliate GPS for software ($320/month). Must purchase apparel inventory from franchisor/affiliates. Must use approved real estate, site review, design and architectural services. Must purchase field turf from designated suppliers. |
| Supply Restrictions | 25-50% of initial investment and 90-100% of ongoing expenditures restricted to franchisor specifications |
| Franchisor Revenue from Suppliers | In 2024 fiscal year, received $796,050 from approved vendors for required franchisee purchases/leases (8.27% of total revenue of $9,630,239). Receives 5-10% rebates on apparel, branded marketing, construction management, flooring, and training equipment; 5-47% rebates on recruiting vendors, bookkeeping vendors, background check providers, and required sales/CRM software. |
D1 Sports Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
D1 Sports 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.
D1 Sports System Growth
D1 Sports currently operates 127 franchised locations and 2 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 21 | 4 | 79 |
| 2023 | 20 | 3 | 90 |
| 2024 | 48 | 0 | 127 |
Transfers: 10 | Closures: 10
Public Figures (Item 18)
The following public figures are associated with this franchise: Marques Colston, Chris Paul, Peyton Manning, Tim Tebow, Philip Rivers, Michael Oher, Roy Hibbert, Rudy Gay, Von Miller, Joe Nathan, Chipper Jones, Jeff Green, Randall Cobb, Barry Cofield, Jacob Hester, Jeff Teague, Josh Hill, Sammy Watkins, Tre Boston, Jaylen Watkins
State Registrations
Registered in 16 states: CA, CT, HI, IL, IN, MD, MI, MN, NY, ND, OR, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
D1 Sports Franchise — FAQ
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