Business View Magazine - November 2024

several ambitious goals. One of the most significant milestones for the brand is reaching royalty neutrality, a point where all operational costs are covered solely through franchise royalties, eliminating the need to rely on franchise sales to stay afloat. For Redline, this milestone is not just about financial stability; it represents the brand’s maturity and sustainability as a franchise network. Pearson estimates that Redline will hit royalty neutrality once it reaches 63 open locations. Achieving royalty neutrality would allow the company to focus on scaling further without the pressure of relying on new franchise sales for operational support. Beyond this milestone, Redline’s long-term goals include hitting 100, 200, and even 300 open locations. 95 BUSINESS VIEW MAGAZINE VOLUME 11, ISSUE 11 REDLINE ATHLETICS

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