How to Finance a Dill Dinkers Franchise: Indoor Pickleball Clubs
By Anthony Cornella
A Dill Dinkers franchise loan pays for an indoor pickleball club: a large leased space turned into dedicated courts with fencing, specialty court surfaces, lighting, an event area and a booking system. That makes it a build-out-heavy fitness deal, where the lease, the construction budget and the membership ramp-up drive the financing more than the franchise fee.
US Professional Funding is not affiliated with, sponsored by or endorsed by Dill Dinkers; the name is used only to describe the business. Figures from the franchisor’s disclosure document can change, loan programs and terms vary, and every loan is subject to approval. Nothing here is legal, tax or investment advice, so review the current Franchise Disclosure Document (FDD) and franchise agreement with a qualified franchise attorney and accountant.
Dill Dinkers Franchise Loan at a Glance
- Concept: indoor pickleball clubs with dedicated courts, programming for every skill level and event space.
- Origins: co-founded by Will and Denise Richards, with the first club opening in Columbia, Maryland.
- Ownership paths: single-club franchises and regional developer territories.
- Revenue streams: court reservations, memberships, clinics, private and semi-private lessons, leagues, tournaments and private events.
- Fees, investment and owner requirements: we could not verify the franchise fee, royalty, Item 7 range or net worth and liquidity requirements from the FDD or the franchisor’s own materials; get them from the current FDD.
- SBA Franchise Directory: listed under code S8132, with a note about the Site Selection Addendum explained below.
What Is Dill Dinkers?
Dill Dinkers is an indoor pickleball club brand started by co-founders Will Richards and Denise Richards, avid players who opened the first club in Columbia, Maryland and added more Maryland clubs before launching franchising. The company describes a fun, friendly, welcoming environment where players of all ages and skill levels can play, socialize and improve.
The club format. Clubs are built around dedicated indoor courts separated by fences, quality court surfaces, an event space and a ball machine, with an online reservation system for members and visitors. Each club has a Director of Pickleball who handles instruction and organizes leagues, tournaments and events.
Growth model. Dill Dinkers has focused its franchise growth on regional developers, who take a large territory, open a flagship club and then develop the territory with their own clubs or independent franchisees. The company has announced development agreements in several states.
Why lenders view it the way they do. Indoor pickleball is a young franchise category, and Dill Dinkers is a young franchise system. Lenders will weigh the operator’s experience, the lease terms and a realistic membership ramp-up more heavily than system-wide history.
Dill Dinkers Franchise Costs
We could not verify Dill Dinkers’ current fees or investment range from its FDD or its own franchise materials, so the sections below describe what the costs consist of. Request the current FDD and use its Item 5, Item 6 and Item 7 figures in your plan.
Initial franchise fee. Item 5 discloses the fee for a single club and any separate development or regional developer fees. Ask how fees are credited or scheduled under a multi-club agreement.
Real estate and build-out. Clubs need large, open, high-ceiling space, often in former retail, warehouse or flex industrial buildings. Leasehold improvements can include demolition, HVAC for a large volume of air, lighting, restrooms, a front desk and lounge, and code upgrades. This is usually the biggest piece of the budget.
Courts and equipment. Court surfacing, nets, posts, divider fencing, ball machines, furniture, audio and video systems and the reservation and point-of-sale technology.
Opening costs and working capital. Pre-opening marketing and founding membership campaigns, staff hiring and training, insurance, deposits, opening inventory for retail items and enough reserves to cover rent and payroll while membership builds.
Total investment. The Item 7 table will show the range and assumptions. Expect line items such as:
- Initial franchise fee
- Lease deposits and leasehold improvements
- Court surfacing, nets, fencing and court equipment
- Furniture, fixtures and signage
- Technology, reservation software and security systems
- Grand opening marketing
- Training travel and expenses
- Licenses, permits and insurance
- Additional funds for the initial operating period
Ask the franchisor what square footage and court count the range assumes, and whether landlord tenant-improvement allowances are factored in.
Ongoing Fees and How They Affect Your Loan
Royalty and brand fund. Item 6 lists the royalty, any brand or marketing fund contribution and any local marketing minimum. These are usually tied to gross revenue, so lenders subtract them before calculating cash available for debt service.
Technology and other fees. Look for software and reservation platform fees, renewal and transfer fees, and any required remodel or refresh obligations.
How lenders factor them in. A pickleball club carries high fixed costs, mainly rent and payroll. Lenders build projections that apply franchise fees to revenue, layer in occupancy and staffing, and test whether the club can carry debt service while membership grows.
Franchisor Requirements for New Owners
We could not verify published minimums for net worth or liquid capital. Expect the franchisor to look for business or management experience, community involvement, the capital to fund a large build-out and, for regional developers, the ability to recruit and support other owners. Confirm the requirements during discovery and in the FDD.
The approval process. Franchise candidates typically move through an inquiry, introductory calls, FDD review, validation with existing owners, a discovery day and franchisor approval before signing. Site approval and lease negotiation follow, and both affect when a lender can close.
Ways to Own a Dill Dinkers
A single club. A new club is a start-up loan underwritten on projections, the lease and the owner’s capital. Our overview of fitness center start-up financing explains how these deals come together.
A regional developer territory. Regional developers open a flagship club and then help add clubs in their territory, earning compensation for recruiting and supporting franchisees. Lenders usually finance the flagship first and treat later clubs as separate requests supported by its results.
Buying an existing club. As the system matures, existing clubs may come up for sale. A resale lets a lender underwrite real membership and revenue data. See our page on fitness center acquisition loans.
Financing Options for a Dill Dinkers Franchise
SBA 7(a) loans. With the brand on the SBA Franchise Directory, an SBA 7(a) loan can combine the franchise fee, leasehold improvements, court equipment and working capital into one loan with a longer term.
SBA 504 loans. If you buy the building, an SBA 504 loan can finance owner-occupied real estate and major improvements. Owning the building also changes the SBA paperwork, as explained below.
Conventional term loans. Owners with strong liquidity and collateral may use a conventional business loan, especially for a later club once the first is performing.
Equipment financing. Court surfacing systems, nets and posts, divider fencing, ball machines, lighting upgrades, audio and video systems and front-desk technology can be financed or leased. Learn more about fitness equipment financing and leasing.
Working capital and lines of credit. Rent and payroll start before membership revenue is steady, and play can shift with seasons and outdoor weather. A working capital loan or line of credit helps cover the ramp-up. See our fitness center working capital options.
Seller financing on resales. On a club purchase, the seller may carry part of the price. A seller note is typically subordinate to the senior loan, and SBA rules may limit its structure.
SBA Loans for Dill Dinkers Franchisees
The SBA Franchise Directory lists brands whose franchise documents have been reviewed for SBA eligibility. SBA lenders generally require a brand to be listed before making an SBA-guaranteed loan to a franchisee, though the listing does not approve any borrower.
The brand’s listing. Dill Dinkers is listed under code S8132. The directory note says that when the real estate where the franchise business is located will secure the SBA-guaranteed loan, the Site Selection Addendum will not be required. In plain English, a Site Selection Addendum is an extra document that addresses the franchisor’s role in approving or controlling the location. If you are buying the property and pledging it as collateral for the SBA loan, that addendum drops out of the closing package. If you are leasing, as most clubs do, expect it to be part of the paperwork.
Program limits and tips. The SBA 7(a) program maximum is currently $5 million, though program rules can change. Prepare the FDD, franchise agreement, lease or purchase contract, construction bids, equipment quotes, a business plan with monthly projections, personal financial statements and tax returns. Our SBA loan calculator can help with early payment estimates, and our article on SBA loans for gyms covers more fitness-specific detail.
How Lenders Evaluate a Dill Dinkers Deal
Personal credit and financial history. Lenders review credit, tax returns and a personal financial statement, and require a personal guarantee.
Net worth and liquidity. Expect to show cash for the equity injection plus reserves, since a large build-out leaves little room for surprises.
Management experience. Experience in fitness, hospitality, sports or multi-unit management helps. A strong Director of Pickleball hire strengthens the plan.
Business plan and projections. Model court utilization by daypart, membership growth, drop-in play, leagues, lessons, events and retail, alongside rent, payroll, franchise fees and utilities.
The FDD and franchise agreement. Lenders review the term, renewal, transfer, territory and development schedule. Our article on reading an FDD for financing explains which items matter.
Site and lease. Lenders want a lease term that covers the loan, clear tenant-improvement terms and a site with parking and access that suit evening and weekend peaks.
Courts and Build-Out Deep Dive
The build-out is where a Dill Dinkers franchise loan is won or lost. Ceiling height, column spacing, lighting levels and HVAC capacity all affect how many courts fit and how comfortable they are. Get a contractor bid based on the franchisor’s prototype, confirm what the landlord will contribute, and add a contingency before you set the loan amount. Court equipment holds some resale value, but leasehold improvements do not, which is why lenders focus on equity and cash flow.
Multi-Unit Growth and Development Agreements
Regional developer and multi-club agreements come with opening schedules. Plan financing for each club before signing, keep reserves after the flagship opens, and expect lenders to want to see the first club’s results before funding the next. Read more about multi-location gym financing.
Real-World Scenarios
A first-time owner leasing a warehouse space. A former corporate manager signs a lease on a flex industrial building. An SBA 7(a) loan covers the franchise fee, build-out, courts and working capital, and the Site Selection Addendum is part of the closing package because the property is leased.
A regional developer opening a flagship. A developer with a large territory finances the flagship with a 7(a) loan, keeps substantial reserves, and plans to use its results to support the next club.
An owner buying the building. An investor-operator buys a vacant building and uses an SBA 504 loan for the property. Because the real estate secures the SBA loan, the Site Selection Addendum is not required.
Common Mistakes to Avoid
- Building projections on full courts from opening day
- Underestimating HVAC, lighting and code upgrades in older buildings
- Signing a lease shorter than the loan term
- Committing to a development schedule without a financing plan
- Ignoring franchise fees tied to revenue when projecting cash flow
- Opening with thin reserves for the membership ramp-up
For more pitfalls, read the fitness center loan mistakes owners regret.
Next Steps to Finance Your Dill Dinkers Franchise
Step 1: Get the current FDD. Confirm the fees, Item 7 range and owner requirements.
Step 2: Review it with advisors. Have a franchise attorney and accountant review the FDD and agreements.
Step 3: Choose your path. Decide between a single club and a regional developer territory.
Step 4: Talk with a financing specialist. Learn how a Dill Dinkers franchise loan would be sized before you sign a lease.
Step 5: Secure the site and bids. Get the lease or purchase contract, contractor bids and equipment quotes.
Step 6: Apply and close. Submit your package, coordinate the lease, franchisor approvals and SBA documents, and plan the pre-opening membership campaign.
Dill Dinkers Franchise Loan FAQs
How much does a Dill Dinkers franchise cost?
We could not verify the current investment range. Item 7 of the FDD shows the estimate; the build-out of a large indoor space is usually the biggest cost.
What is the Dill Dinkers franchise fee?
Check Item 5 of the current FDD, along with any regional developer or multi-club fees.
What royalty does Dill Dinkers charge?
Item 6 of the FDD lists the royalty, marketing contributions and technology fees.
Can I get an SBA Dill Dinkers franchise loan?
Yes, eligible borrowers can apply. The brand is listed on the SBA Franchise Directory under code S8132, subject to lender approval.
What does the SBA directory note mean?
If the club’s real estate will secure the SBA loan, the Site Selection Addendum is not required. If you lease, expect it to be included.
How much liquid capital do I need?
Published minimums were not available for us to verify. Ask the franchisor, and plan for the equity injection plus reserves.
Can I finance court equipment separately?
Yes. Court surfaces, nets, fencing and technology can be financed with equipment loans or leases.
Can a first-time business owner get a Dill Dinkers franchise loan?
It is possible with solid liquidity, a strong plan and capable staff, especially an experienced Director of Pickleball.
Does Dill Dinkers offer financing?
Check Item 10 of the current FDD for any franchisor financing.
How long is the franchise term?
Item 17 of the FDD covers the term, renewal and transfer rules. Lenders prefer a remaining term that covers the loan.
Does the FDD include financial performance information?
Review Item 19 of the current FDD to see whether it includes financial performance representations.
Final Thoughts
A Dill Dinkers club is a large build-out with membership-driven revenue. Owners who confirm costs in the current FDD, negotiate a strong lease, understand the SBA directory note and keep healthy reserves give themselves the best chance at a smooth closing.
US Professional Funding helps franchise owners finance start-ups, acquisitions, equipment and working capital. Learn more about our franchise financing and fitness center financing solutions.
