D1 SPORTS, D1 SPORTS TRAINING

Item 7 lays out the initial investment from $480,557 to $933,432 for 4,000-5,000 sq ft facilities, including the $59,500 franchise fee—positioning D1 as a mid-range play in fitness franchising. Ongoing fees bite at 7% royalties plus 2% brand fund, layered with $320/month GPS software and $700-750/month tech services, which could squeeze margins if volumes lag. Item 19 shines with average gross revenues of $679,601 and median $626,384 across 127 franchised units (2 corporate), translating to estimated profits of $256,531-$789,542; that's solid for a brand franchising since 2015, especially with 91 locations in 2023 jumping 40% to 127 in 2024, 54 projected new units, just 1 non-renewal, and 10 transfers signaling stability.

Growth looks primed under Princeton Equity Group, but litigation in the FDD flags risks: multiple franchisee suits alleging fraud on profitability, semi-absentee ops, support shortfalls, and cost misrepresentations, plus one franchisor arbitration for breach and non-compete. For owner-operators targeting student-athletes and adult fitness seekers in Franklin, TN HQ's network, these revenues suggest strong ROI potential if you nail local marketing and ops—median sales imply breakeven within year one for top performers, but vet those lawsuits closely as they underscore execution hurdles in a competitive youth sports space.