Franchising Since: 2005
Headquarters: Middletown, Pennsylvania
Estimated Number of Units: 330
Franchise Description: Soccer Shots Franchising LLC is the franchisor. The franchisor offers franchises for an elective youth soccer education program that teaches and promotes soccer and character development to children, primarily ages 2 to 8 at various locations, including childcare centers, preschools, parks and community centers, camps or after school or summer programs.
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Territory Granted: When franchisees sign their Franchise Agreement, they will receive a defined territory as set forth in the data sheet to the Franchise Agreement. The territory will consist of a population area of approximately 500,000 people. The borders of the territory will be defined by natural and artificial boundaries, including zip codes, county and town lines and rivers, in the franchisee’s local area. Franchisees are prohibited from soliciting and accepting customers outside of the territory, even if the customers are located in a market that has not yet been assigned to either another franchise or a company-owned business, unless they receive prior written permission from the franchisor. Franchisees will not receive an exclusive territory. Continuation of territorial rights depends on the franchisee achieving certain minimum performance standards and satisfying development plans, as set forth in the Franchise Agreement.
Obligations and Restrictions: A person who has completed the initial franchise training to the franchisor’s satisfaction must devote full-time attention to the franchise (the manager). This can be the franchisee, a principal owner or an employee. The manager does not need to have an equity interest in the franchisee entity. If franchisees are a business entity, then they must designate one principal owner that owns at least 25% of, and has the authority to act on behalf of, the franchisee entity that will serve as the point of contact. Franchisees can only offer for sale, and sell to customers, those authorized programs and services as described in the operations manual and only in accordance with the franchisor’s standards outlined therein.
Term of Agreement and Renewal: The length of the initial franchise term is five years. If franchisees are in good standing and meet the conditions for renewal specified in the Franchise Agreement, they may renew their franchise on the then-current terms for three consecutive renewal terms of five years each.
Financial Assistance: The franchisor may offer approved applicants financing on a portion of the initial franchise fee. Current financing terms are defined in the FDD. The franchisor reserves the right to change the current financing terms on an individual basis.
Estimated Initial Investment
| Name of Fee | Low | High |
| Initial Franchise Fee | $36,500 | $36,500 |
| Expenses While Attending Training | $500 | $2,500 |
| Insurance | $1,000 | $2,000 |
| Office Equipment and Supplies | $0 | $2,000 |
| On Field Equipment | $500 | $1,000 |
| Branded Apparel | $400 | $1,000 |
| Prepaid Expenses and Deposits | $100 | $500 |
| Organizational Costs / Professional Fees | $500 | $2,000 |
| Season Prizes and Jersey Costs | $1,000 | $2,500 |
| Marketing Expenses | $100 | $100 |
| Additional Funds - 3 months | $2,350 | $4,200 |
| ESTIMATED TOTAL | $42,950 | $54,300 |
Other Fees
| Type of Fee | Amount |
| Royalty | 7% of monthly gross sales (but in no event less than the minimum royalty). |
| Transfer Fee | 20% of the then current initial franchise fee. |
| Renewal Fee | $5,000 |
| Additional Training or Assistance | $0 - $350 per diem for additional assistance, plus trainer’s costs and expenses. |
| Attendee Additional Training Fee | $0 - $350 per attendee. |
| Local Advertising Requirement | Up to 2% of gross sales. |
| Advertising Cooperative Contribution | Up to 2% of gross sales. |
| Brand Fund Fee | 1% of gross sales. |
| Software License Fee | 2% on first $50,000 of gross sales in each calendar year; 1.75% on next $200,000 in gross sales of each calendar year; 1% on next $250,000 of gross sales in each calendar year; 0.5% on next $500,000 of gross sales in each calendar year; 0.25% on any gross sales over $1,000,000 in each calendar year. |
| Franchise Advisory Council Dues | Annual fee of $100 per franchise. |
| Non-Compliance Fees | $250 to $750 per contractual deviation or default. |
| Late P&L Upload Fee | $50 for the first breach; $100 for the second breach; $150 for the third breach (in any consecutive 12 month period). |
| Insurance | Cost of premium plus a reasonable fee for the expenses the franchisor incurs in obtaining required insurance coverage on the franchisee’s behalf, if applicable. |
| Audit Costs | Costs incurred in conducting audit plus interest. |
| Interest on Late Payments | Interest on overdue amounts from the due date until paid at the lesser of 12% interest per year or the highest lawful interest rate. |
| Collection Costs | The franchisor’s costs of collection for any amounts owed to it that are unpaid and overdue (including attorneys’ fees and court costs). |
| Attorneys’ Fees | Reimbursement for the franchisor’s attorneys’ fees. |
| Late Fee for Reports | $50 for the first month of delinquency and $50 for each month of delinquency thereafter. |
| Returned Check and Insufficient Electronic Funds Fee | $50 per occurrence. |
| Convention Fees | Up to $500 for each attendee who attends the national convention. |
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