The franchisor is Winmark Corporation. We offer a Play It Again Sports retail store that sells new and quality used sporting goods equipment and accessories.
Our training program is conducted in a training center in Minneapolis and at the local store level and has three levels. The first level is the New Franchisee Orientation Training (NFOT) is five days long. NFOT is about operating and managing a private retail business, including real estate matters, business plan development, product knowledge, buying used products, the franchisor’s preferred vendor program, and others. On this level, franchisees must attend an online financial management course provided by a third party appointed by the franchisor.
The second level is five days long Concept Training. This level focused on sales and marketing, buying new products, the used product buying philosophy, procedure, computer operation, store management, inventory management, etc.
Third level - in-store training conducted at chosen by the franchisor a Play It Again Sports store. This training will last three days. During their first year, new franchisees will have training visits from time to time. The franchisor may provide additional training at its discretion if it benefits a significant number of franchisees. Additional training programs are recommended to attend.
Territory Granted: The Franchise Agreement granted an “exclusive territory” surrounding the store to a franchisee. Usually, the boundaries of the exclusive territory is a three to a five-mile radius around the store. The boundaries determine Computer modeled mapping which takes into account population density, average household income, consumer traffic patterns. A development area will be designated in the exclusive territory by the franchisor.
Franchisees may choose a development area with the franchisor’s approval. Generally or stores located in urban areas population density of a minimum of 75,000 to 100,000 persons. (Urban areas are metropolitan with a population of more than 250,000 people). For other areas, the exclusive territory of the store typically has a minimum population of 50,000 persons. The franchisor will not open another company-owned store or allow to open Play It Again Sports franchised store in a physical location on the exclusive territory.
Obligations and Restrictions: Franchisees must personally manage the store if they are individual. Franchisees may delegate their operating duties if they own more than one store. Store managers that operating more than one store must complete the second session of the new store training program.
Franchisees' primary job responsibility must be the store operating but it is not prohibited by the franchisor being employed by another company. For those franchisees who are corporate entities or a partnership, one of the partners must hold at least 50% of the capital and voting shares in the legal entity and must personally operate the store.
Franchisees must offer and sell all goods and services required by the franchisors, goods and services that are not approved by the franchisor prohibited to offer to the customers. Franchisees may operate (including merchandise delivery) only at the exclusive territory and odder services to the customers residing in that area, unless otherwise written approval of the franchisor.
Franchisees may not accept in a trade or sell such goods as firearms, knives, baseball, or other sports trading cards or any sporting goods if they believe they may be stolen. Only approved advertising and promotional materials can be used by franchisees.
Term of Agreement and Renewal: The initial term of the franchise is 10 years. Franchisees can renew the Franchise Agreement for an additional 10 years if they meet the renewal requirements.
Financial Assistance: The franchisor offers limited funding or similar assistance in purchasing store inventory. Inventory is purchased to the store through Winmark’s Buying Group in which franchisees may participate.
Through its Wirth Business Credit, Inc. subsidiary, the franchisor may lease franchisees equipment related to the Play It Again Sports store operations If franchisees meet the credit standards. The franchisor may develop a leasing program for the specific assets in which the lease structure is established by the franchisor. The franchisor may sell, assign or discount to any third party any lease, note, or other instrument executed by its franchisees.
Third parties may be immune under the law to any defenses to payment franchisees may have against the franchisor. The franchisor does not fund any part of the initial franchise fees due under the Franchise Agreement and does not guarantee the franchisee's retail lease.