Startup cost
$151k–$237k
TRUiC Business Ideas
How to Start a Contender Esports Franchise
Decision Snapshot
Contender Esports Franchise
Idea Score
50
Profit margin
14%
Break-even
18 mo–36 mo
Time to launch
12 wk–36 wk
Demand trend
Stable
5-yr failure rate
—
Capital intensity
High
Time commitment
Full time
Part 1 - How to start a Contender Esports Franchise business - Background
A Contender eSports Gaming Center is a place for people to gather and watch their favorite video game players compete. This franchise opportunity provides owners with everything they need to succeed, including special gaming stations. Their proprietary technology was designed by experts with over 30 years of experience in the gaming industry.
You may also be interested in additional unique business ideas.
Our guide is in 3 parts:
- Part 1 - How to start a Contender Esports Franchise business - Background
- Part 2 - Our planner tool to see if this idea is the right fit for you
- Part 3 - Action plan to get started
What are the costs involved in opening a contender esports franchise?
Owners need to have liquid assets of at least $50,000 and a net worth of $300,000 to become an owner. Estimated costs to open a franchise are between $150,700 and $237,080. Major costs include the initial franchise fee ($39,000) as well as the costs of furniture, gaming stations, PCs, and gaming consoles.
Total costs can vary depending on local real estate prices and the cost of required permits.
What are the ongoing expenses for a contender esports franchise?
Franchise owners need to account for the cost of employee salaries, business insurance, permit fees, and commercial insurance. They may need to upgrade or replace machines. Owners are also required to pay a 5% royalty fee for all weekly sales, and 2% of all weekly sales to an advertising fund. You’ll also need to set aside 2% of gross weekly sales for your own personal advertising efforts.
Who is the target market?
Contender eSports has found that the target demographic are men between the ages of 16 and 35. Because guests will need to have some degree of disposable income, Contender eSports aims for locations where the average income is high enough to meet their fee structures.
How does a contender esports franchise make money?
Owners charge customers a fee to watch games and use the special gaming stations. The idea is to get enough ‘regulars’ into your store so your revenue stays consistent from month to month.
How much can you charge customers?
Charges may vary based on location and initial investment costs.
How much profit can a contender esports franchise make?
Profits depend on location, marketing, and general management. While Contender eSports Gaming Center does not release individual profit estimates, they do allow owners to consult with a development manager and existing franchise members about their numbers. This can help you estimate your own profits before opening the store.
How can you make your business more profitable?
Franchise owners can sell Contender brand merchandise, such as shirts or related gear. They may also consider holding special events to draw casual video game players into the store and potentially gain more regular customers.
Day-to-Day and Growth
What happens during a typical day at a contender esports franchise?
Owners will oversee the general events of their business. From employee management to scheduling games, owners may be asked to pitch in whenever and wherever their assistance is needed. You’ll likely spend a portion of the day strategizing and marketing your business so you can grow your clientele.
What are some skills and experiences that will help you build a successful contender esports franchise?
Franchise owners don’t need any formal education to get started, but Contender recommends having some experience in marketing and branding. The right person will be a spirited entrepreneur who’s willing to do whatever it takes to build their customer base.
What is the growth potential for a contender esports franchise?
A recent eSports match drew 57 million people, which is three times more than the 2018 NBA finals. The market for eSports is exploding, whether the general public understands it or not. Even if you think you live in an area where video games are not revered, you may be surprised at how many customers (and potential customers) there are who want to take their hobby from their home to the streets. Based on current projections and past revenue, the eSports market is expected to top $900 million this year.
What are some insider tips for jump starting a contender esports franchise?
Contender eSports Gaming Center franchisers will be given the training and materials they need to market and succeed in their business. They can use the trusted Contender name as a springboard to begin attracting customers. This brand name is well known for providing customers with the games they want and the technology to see them in living color. However, owners will still need to exercise some degree of creativity if they want to help their business stand apart. Owners who immerse themselves in the world of eSports will start to see certain patterns emerge that they can use to capture their public’s interest.
Because eSports is still relatively new, some entrepreneurs may struggle with the best way to get the word out about their business. Part of your job will be experimenting with the people in your area to see what they respond to. For example, are guests primarily coming for a sense of community, or a chance to learn more about how to play their favorite games? Maybe they want to celebrate the best players in the industry, or perhaps they’re just looking for better technology than they have at home. From there, owners can design marketing campaigns that speak directly to their base.
How and when to build a team
You’ll want to have a team ready from the moment you open. Look for people who are up-to-date on video games so they can provide suggestions and feedback about how to grow your business. You may need to hire a designated manager to keep up with daily operations while you concentrate more on taking the business to the next level.
Part 2 - Is a Contender Esports Franchise business the right fit for you?
Business Evaluation & Strategy Tool
We'll walk you through the four pillars every business needs: Points of Leverage, Marketing Strategy, Financial Model, and Personal Compatibility. At the end you'll see a personalized report and your action plan below will be tailored to your answers.
Step 1 of 4 — Points of Leverage
Every viable business has natural advantages. Below are common leverage points across four categories. Pick the ones that apply to your Contender Esports Franchise business. We've pre-suggested a few based on your idea — review and adjust.
Step 2 of 4 — Marketing Strategy
Without a way to connect with customers, even great businesses fail. Pick the channels you plan to use to reach your customers.
Step 3 of 4 — Financial Model
Enter your monthly baseline costs — the minimum overhead to keep the business running. Then we'll calculate how many sales per month you need to break even.
Step 4 of 4 — Personal Compatibility
A business that doesn't fit your life will fail no matter how good the numbers look. Tell us how this business fits you.
Your Contender Esports Franchise Evaluation Report
Complete the four pillars and your personalized summary will appear here.
Points of Leverage
Marketing Strategy
Financial Model
Personal Compatibility
Part 3 - Action plan to launch your Contender Esports Franchise business in 90 days
Nine concrete steps to take you from idea to open business, grouped into 30-day phases. Complete the planner above and we'll highlight what's most important for your situation.
First 30 days — Foundation
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Form your legal entity
An LLC keeps your personal assets separate from business debts and lawsuits — the most common reason small business owners choose this structure. Sole proprietorships and partnerships do not provide this protection.
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Get an EIN and register for taxes
Apply for your free Employer Identification Number through the IRS, then register for any state or local taxes that apply to your business (sales tax, franchise tax).
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Open a business bank account and credit card
A dedicated business account is required to maintain personal asset protection. Mixing personal and business finances ('piercing the corporate veil') can void your LLC's liability shield.
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Set up business accounting
Recording expenses and income from day one makes tax filing easier and lets you see when the business is actually profitable. Use software (QuickBooks, Wave) or a part-time bookkeeper.
Days 30–60 — Compliance & Risk
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Get permits and licenses
State and local requirements vary widely. Brick-and-mortar businesses typically need a Certificate of Occupancy; service businesses may need specific professional licensing; food businesses need health permits.
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Get business insurance
General Liability Insurance is the most common starting point. If you'll have employees, most states require Workers' Compensation. Specific industries need additional coverage (product liability, professional liability, etc.).
Days 60–90 — Launch
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Define your brand
Your brand is how customers perceive and remember you. A clear name, logo, and visual identity make every later marketing decision easier and protect you legally as you grow.
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Create your business website
Every legitimate business needs a website. Social media pages are not a substitute — you don't own the platform. Modern website builders mean you can launch a clean site in a weekend without a developer.
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Set up your business phone system
A dedicated business number keeps your personal life private, makes the business look legitimate, and lets you route calls professionally. Cloud phone services start under $20/month.