Franchise Ownership for Athletes: Opportunities and Risks

By Panayiotis Constantinou, Nicosia, Cyprus

For athletes thinking about life after sport, there is a recurring fantasy: an income stream that flows without the physical toll. A business that does not need to be invented from scratch. And a brand that is already trusted. Enter: franchise ownership.

It is easy to see the appeal. The systems are in place.  The product is proven. And unlike startups, franchises offer structure—training, branding, supply chains—right out of the gate. For many athletes, that structure mirrors the environment in which they have thrived: show up, follow the plan, execute. But franchise ownership is not a guaranteed win. Behind every success story is someone who did the homework—and behind every closed shop is someone who did not.

Let us unpack, therefore, what makes franchise ownership such a tempting path for athletes—and why it needs to be approached with the same discipline that made you a pro.

1.     Proven Blueprint, But Not a Passive One

Shaquille O’Neal, the former basketball player, is widely hailed as the poster child of athlete franchising.

At one point, he owned over 150 Five Guys, 17 Auntie Anne’s, and numerous Papa John’s and Krispy Kreme locations. But here is what most people miss: Shaq did not just buy names—he embedded himself in operations. He showed up. He listened and learned the playbook behind the brand.

Lesson:

• Franchises are not vending machines—you do not just insert cash and walk away.
• Success depends on execution, oversight, and local market strategy.
• Know the business inside out before signing anything—and be ready to treat it like a job.

Franchises are turnkey, not autopilot.

2.     Branding Power with Built-in Fans

When LeBron James, another basketball player, bought a stake in Blaze Pizza in 2012, he did not just bet on an emerging fast-casual trend—he became the trend. His investment (reportedly under US$1 million (around €850,000) turned into a US$35+ million (around €29.9 million) windfall, in part, because he aligned himself with a brand whose voice matched his own: young, fast, and slightly rebellious.

What worked:

• He promoted Blaze authentically—on social media, in interviews, even skipping team pizza deals to eat at his own stores.
• The partnership felt genuine, not forced.

Athletes are natural brand amplifiers. When their values align with the franchise mission, the result is synergy—not just sponsorship.

3.     Accessibility and Affordability—But do the Maths

Not every athlete has LeBron money. But many franchises are priced accessibly, especially in sectors like fitness, home services, or food & beverage. Venus Williams, the former tennis player, for example, has invested in Jamba Juice franchises as part of her diversified portfolio. Others—like former NFL player Sidney Rice—have turned to Wingstop or Domino’s.

But affordability is not everything.

• Franchise fees, royalties, real estate costs, and staff expenses can add up quickly.
• Some “affordable” franchises are in saturated markets with slim margins.
• Return on investment may take years, not months.

Get a financial advisor or franchise consultant to model costs realistically. What looks like a quick win can quietly become a slow bleed.

4.     Local Market Knowledge Matters

Drew Brees, the former American Football player, became a multi-unit operator for Jimmy John’s and Dunkin’ in the Southern US—a region where he had visibility, credibility, and deep community ties. His success was not just about sandwiches or coffee. It was about placing those brands where they would already resonate.

Key insight:

• Geography is not neutral. A fitness brand that thrives in Los Angeles might flop in the Midwest.
• Your influence may boost traction in your hometown, college town, or team market—but not everywhere.
• Franchise success is hyper-local.

So, do not just follow the national numbers. Scout your own backyard.

5.     Watch for the Fine Print and Franchise Fatigue

Not every franchise story ends with a ribbon cutting. Athletes like Deuce McAllister and Vince Young, former American Football players, faced legal and financial troubles from poorly managed or misunderstood franchise ventures. Some fell into traps like:

• Overestimating profit margins.
• Undervaluing daily management needs.
• Being bound by restrictive franchise contracts with little room for innovation.

You must:

• Read every clause. Especially those about fees, territory exclusivity, and termination rights.
• Talk to other franchisees—get the unfiltered version of what the business demands.
• Decide if you are buying a job, a business, or just a logo—and whether that is what you want.

A franchise is only as strong as your understanding of it.

Final Word: Franchise with Purpose, Not Just Capital

Franchise ownership is not just a fallback for retiring athletes—it is a strategic bridge between brand equity and business longevity. When chosen wisely and managed attentively, a franchise can be the first step towards building a broader portfolio or even creating your own original ventures later on.

But do not confuse familiarity with simplicity. Just because you have eaten at a place does not mean you should own it. Treat franchising like a professional contract: do the due diligence, study the playbook, and enter with intention.

A franchise can give you a head start—but it still demands a strong finish!

For further information, log onto The Sports Financial Literacy Academy at: ‘www.moneysmartathelete.com’

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