Premium Racket Sports Club

Description:
The Company is a racquet sports club that offers an extensive array of racquet sports such as tennis, pickleball, squash, and paddle. The Company caters to both junior and adult players by providing a comprehensive suite of services, including court reservations, a variety of clinics, personalized coaching, and opportunities to participate in tournaments, making it a one-stop destination for racquet sports enthusiasts.

Key Aspects:
• Revenue grew at a compound annual growth rate (CAGR) of 8.3%, from 2020 to 2023
• Average adjusted EBITDA margin of 19.7% from 2020 to 2023
• Low customer concentration with the largest customer only accounting for 2.4% of total 2023 revenue
• Recurring membership revenue streams
• The Company hosts United States Tennis Association (USTA) junior tennis tournaments

Opportunities:
• Capitalize on the Company’s growing high margin pickleball service
• Continue to grow the recent addition of paddle, which is expected to be a major factor to the Company’s growth in 2024
• Expand service offerings in the summer months

Headquartered:
• Northeast, US

Current Markets:
• The Company provides a range of racquet sports services tailored for individuals, families, and local organizations within affluent communities across the Northeast, US.

Real Estate:
• The Company operates from a 47,570 sq. ft. sports center leased from an unrelated third party. The sports center includes six tennis courts, which are dual-marked to accommodate twelve pickleball courts, in addition to possessing four dedicated squash courts and two dedicated paddle courts.

Shareholder Ownership:
• The Company is owned by one majority entity (two shareholders under a 50%/50% split) and one minority shareholder. All shareholders are seeking a complete exit after the sale. The two majority shareholders are open to remaining with the Company for a predetermined period to facilitate a smooth transition to new ownership.