2008
9
$90,000
$40,000
$358,500
No
Clubstore Outlet offers a unique retail franchise opportunity in the United States, focusing on providing high-quality, brand-name products at discounted prices. By sourcing overstock and returned merchandise from major wholesale clubs and big-box retailers, franchisees can offer consumers savings of 30–50% compared to traditional retail prices. This business model caters to the growing demand for value-driven shopping experiences, making it an attractive option for aspiring entrepreneurs.
Recession-Resilient Model: In uncertain economic times, consumers seek value. Clubstore Outlet's pricing strategy aligns with this trend, ensuring steady customer traffic.
Proven Product Sourcing: The franchise's established relationships with reputable suppliers ensure a consistent inventory of quality products.
Community Impact: By offering affordable products, franchisees can positively influence their local communities, fostering goodwill and customer loyalty.
Established Year: Clubstore Outlet was founded in 2008 with the vision of providing high-quality brand-name products at discounted prices to value-conscious consumers.
Franchising Since: The brand began its franchise operations in 2015, aiming to expand its footprint across the United States through a replicable, scalable business model.
Founders: The company was founded by Tapp Palmer and his entrepreneurial team, who brought years of retail experience and a deep understanding of the discount retail sector.
Franchise Units: Currently, Clubstore Outlet operates 9 fully functional franchises, with 17 additional locations in development. This demonstrates steady growth and a commitment to expanding its market presence.
Ownership: The company is privately held, allowing it to maintain flexibility and focus on franchisee success rather than shareholder demands.
Brand Journey & Company History: Since its inception, Clubstore Outlet has evolved from a single store concept into a growing franchise system. The brand has built a strong reputation for offering a wide range of products sourced from overstock and returned merchandise from leading wholesale clubs and big-box retailers. Its business model prioritizes affordability and quality, making it a go-to destination for budget-conscious shoppers.
Market Presence in the USA: Clubstore Outlet has a growing presence in the retail franchise sector across the United States, particularly in suburban and urban areas with high foot traffic. Its unique positioning as a discount retail franchise attracts diverse consumer segments, ensuring consistent revenue streams.
Industry Category: Clubstore Outlet belongs to the retail franchise category, focusing on discount retail, overstock liquidation, and consumer goods resale. This positions the franchise in a sector with high demand, especially during economic fluctuations where value shopping becomes a priority.
Additional Information: The brand emphasizes community engagement and accessibility, ensuring that every franchise location serves as a convenient and trusted shopping destination. Its growth strategy includes careful selection of franchisees, comprehensive operational support, and targeted marketing to maintain consistent brand standards.
Clubstore Outlet offers comprehensive support and training programs to ensure that franchisees are fully equipped to operate a successful business. The support system spans pre-launch, operational, marketing, academic, and ongoing assistance, creating a structured framework for long-term success.
Site Selection & Evaluation: Assistance in choosing the most profitable location based on foot traffic, demographics, and competition.
Store Design & Setup: Guidance on store layout, interior design, shelving, signage, and visual merchandising to create an appealing shopping environment.
Inventory Procurement: Help with sourcing initial stock from reliable suppliers, ensuring a broad range of high-demand products at competitive prices.
Regulatory Compliance: Support in obtaining permits, licenses, and local approvals required to operate a retail store.
Day-to-Day Management Guidance: Training on store operations, inventory management, product displays, and customer service best practices.
Point-of-Sale & Technology Systems: Assistance with POS systems, software for inventory tracking, sales reporting, and business analytics.
Supply Chain Coordination: Ongoing advice on inventory replenishment and supplier negotiations to maintain stock availability and profitability.
Local Marketing Strategies: Tools and guidance to implement effective local marketing campaigns, including flyers, events, and community engagement initiatives.
Digital Marketing Assistance: Access to templates and guidance for social media, email campaigns, and online promotions to drive traffic.
Brand Awareness Programs: Assistance in promoting the franchise’s brand identity consistently across all channels.
Initial Training: Comprehensive onboarding program covering retail operations, merchandising, financial management, customer service, and staff management.
Ongoing Learning: Regular workshops, webinars, and updates on industry trends, product knowledge, and sales strategies.
Franchisee Manual & Resources: Access to detailed operational manuals, checklists, and step-by-step guides for running the store efficiently.
Field Visits & Performance Reviews: Regular on-site visits by franchise support staff to monitor performance, provide advice, and suggest improvements.
Problem-Solving Assistance: Support in handling operational challenges, staffing issues, or customer service concerns.
Business Growth Consultation: Guidance on expanding product lines, optimizing pricing strategies, and increasing store profitability.
Summary: Clubstore Outlet’s robust support and training system ensures that franchisees—whether first-time entrepreneurs or experienced retail operators—have the tools, knowledge, and guidance to run a profitable, efficient, and sustainable business. By combining operational training, marketing assistance, and ongoing mentorship, the franchise maximizes the likelihood of success and a strong return on investment.
The ideal Clubstore Outlet franchisee is someone who is motivated, business-savvy, and committed to building a successful retail enterprise. The franchise is designed for individuals who are eager to operate a proven business model while contributing positively to their local community.
Entrepreneurial Mindset: Franchisees should possess a passion for business ownership and a willingness to learn the retail industry.
Retail or Management Experience: Previous experience in retail, inventory management, sales, or business operations is highly advantageous but not mandatory.
Operational Skills: Ability to oversee daily store operations, manage staff, and implement operational procedures effectively.
Investment Readiness: Must have the financial capacity to meet the minimum investment requirement ($90,000) and manage working capital efficiently.
Long-Term Commitment: Prepared to commit to the franchise for several years, understanding that ROI may take 1–2 years to realize depending on location and operational efficiency.
Customer-Oriented: A strong desire to serve the community by providing affordable, high-quality products and excellent customer service.
Adaptable & Coachable: Willing to follow franchise systems, adapt to best practices, and accept guidance from the franchisor.
Motivated & Goal-Driven: Ambitious and driven to grow the franchise and achieve financial success.
Suburban & Urban Areas: Ideal locations include areas with high foot traffic, community engagement, and demand for value-based shopping.
Community Awareness: Understanding of local demographics, shopping trends, and consumer behavior to tailor product offerings effectively.
Integrity & Professionalism: Committed to upholding the brand’s reputation and maintaining consistent quality standards.
Community Engagement: Enthusiastic about building relationships with local customers and contributing positively to the community.
Summary:
Clubstore Outlet is best suited for entrepreneurial individuals or small business investors who are financially prepared, operationally capable, and passionate about delivering value to consumers. By combining business acumen, dedication, and community focus, the ideal franchisee can maximize profitability while helping the brand grow its presence across the USA.
| Financial Item | Details / Range |
|---|---|
| Total Investment Required | $267,700 – $358,500 |
| Minimum Investment | $90,000 |
| Franchise Fee | $40,000 |
| Royalty Fee | 6.5% of gross sales |
| Advertising / Marketing Fee | 1% (currently not being collected) |
| Infrastructure / Store Setup | $150,000 – $200,000 (includes inventory, shelving, signage, POS system, and initial working capital) |
| Working Capital | $50,000 |
| Break-Even Time | 1 – 2 years (depending on location and management efficiency) |
| Expected ROI | Typically 20–30% annually after stabilization |
| Potential Revenue Streams | - Sales of discounted brand-name products across multiple categories - Seasonal promotions and special events - Bulk or wholesale customer sales |
| Franchise Units (Current) | 9 operational, 17 in development |
