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Rates
Hobbytown Usa

Hobbytown Usa

Franchising since 1969 · 123 locations

The total investment to open a Hobbytown Usa franchise ranges from $65,862 - $251,800. The initial franchise fee is $75,000. Ongoing royalties are 4.75%. Hobbytown Usa currently operates 123 locations (123 franchised). PeerSense FPI health score: 37/100. Data sourced from the 2025 Franchise Disclosure Document.

Investment

$65,862 - $251,800

Franchise Fee

$75,000

Total Units

123

123 franchised

FPI Score
High
37

Proprietary PeerSense metric

Fair
Capital Partners
72lenders available

Active capital sources verified for Hobbytown Usa financing

SBA

7(a) Eligible

21d

Avg Funding

P+2.25%

Best Rate

No retainers · Referral fee at closing

FPI Score Breakdown

Major Brand (100+ loans)

High Confidence
37out of 100
Fair

SBA Lending Performance

SBA Default Rate

12.7%

17 of 134 loans charged off

SBA Loans

134

Total Volume

$19.9M

Active Lenders

72

States

39

What is the Hobbytown Usa franchise?

Navigating the intricate landscape of franchise investments often presents a formidable challenge for prospective entrepreneurs, who seek not only a viable business model but also a resilient one capable of weathering economic shifts and evolving consumer preferences. The Hobbytown Usa franchise emerges as a compelling opportunity within the specialized retail sector, offering a structured pathway into the robust and passion-driven market of hobby, toy, and game stores. While the corporate entity, HobbyTown Unlimited, Inc., was officially established in 1985 by co-founders Thom Walla, Merlin Hayes, and Mary Hayes, building upon their acquisition of a local Lincoln, Nebraska business in 1980, the brand Hobbytown Usa itself, according to franchise database records, traces its origins to an earlier founding year of 1969, suggesting a deeper historical lineage or a distinct franchising operation. The initial franchise store under the HobbyTown Unlimited banner opened its doors in 1986, quickly laying the groundwork for a significant retail footprint. Headquartered in Lincoln, Nebraska, until a pivotal development on July 26, 2023, when AMain Hobbies, a prominent online and wholesale distributor of RC products, announced its agreement in principle for the acquisition of HobbyTown’s corporate operations, including the Lincoln, Nebraska headquarters and distribution center. This strategic acquisition brought Kendall Bennett, CEO of AMain Hobbies, into the broader leadership structure, while co-founder Thom Walla remains actively engaged in the daily corporate operations of HobbyTown, alongside Bob Wilke, who has served as President since 2009, and Tim Van Ert, Senior Vice President since 2003, overseeing critical functions such as marketing, product database management, point-of-sale software, and office computer operations. However, franchise database records also list the headquarters for Hobbytown Usa as TYLER, TX, and provide a website link of http://www.hudsonintegrated.com, further illustrating the multi-faceted corporate structure or historical evolution of the brand.

The current scale of the Hobbytown Usa franchise network is substantial and indicative of its market leadership. As of the 2025 Franchise Disclosure Document, there are 94 franchised HobbyTown USA locations operating across the United States. Other recent sources from early 2024 and 2023 further underscore this extensive reach, reporting more than 100 locations across 39 states, over 105 franchise locations spanning 39 states, and specifically 106 retail stores in 35 U.S. states, with additional mentions of 106 franchise stores in 35 states. Promotional materials from HobbyTown USA itself present even more ambitious figures, claiming over 160 stores open or under development across the United States, and exceeding 170 HobbyTown franchises open or under development in 43 states, demonstrating an aggressive growth strategy. A 2026 franchise opportunity site independently lists 109 units in operation, while the provided franchise database data specifies 107 franchised units, 0 company-owned units, and a total of 62 units, indicating potential variations in reporting scope or timeframes. Regardless of the precise count, HobbyTown USA is widely recognized as the largest brick-and-mortar hobby retailer in the world, a testament to its dominant market position and extensive geographic penetration. The company’s active pursuit of growth, with a strategic emphasis on expanding into new U.S. markets, particularly in 2023 and beyond, is further amplified by the AMain Hobbies acquisition, which explicitly aims to expand the retail scene across the U.S. Currently, HobbyTown USA maintains its operational focus exclusively within the United States, cementing its position as a domestic market leader in the hobby, toy, and game retail segment, a category that appeals to a diverse range of enthusiasts and offers a stable business proposition for potential franchise investors.

The industry landscape for hobby, toy, and game stores, the core category for Hobbytown Usa, is characterized by its resilience and consistent consumer demand, driven by a blend of nostalgia, community engagement, and the universal appeal of creative and recreational pursuits. While specific total addressable market size and growth rate figures for this precise category are not explicitly provided in the research, general retail analytics suggest a stable and often counter-cyclical performance for passion-driven sectors. Key consumer trends are robustly driving demand for tangible, experiential products offered by the Hobbytown Usa franchise. These include a growing desire for hands-on activities and physical engagement in an increasingly digital world, the enduring popularity of collectibles, model building, and tabletop gaming, and the significant expansion of remote control (RC) products, a segment where AMain Hobbies, HobbyTown’s corporate parent, holds a leading online and wholesale distribution position. The market caters to a diverse range of enthusiasts, from beginners to seasoned hobbyists, ensuring a broad customer base and repeat business for specialized products, parts, and accessories. Secular tailwinds benefiting the Hobbytown Usa brand include an aging population with more leisure time, a renewed interest in traditional crafts and hobbies, and the formation of strong local communities around shared interests, which brick-and-mortar hobby stores are uniquely positioned to foster.

This industry category attracts franchise investment due to its inherently loyal customer base, the potential for high-margin sales on specialized inventory, and the role of stores as community hubs, which builds customer stickiness beyond mere transactional exchanges. The competitive dynamics within the hobby retail sector can be fragmented at the local level, with numerous independent stores, but HobbyTown USA’s designation as the "largest brick-and-mortar hobby retailer in the world" indicates a significant degree of consolidation and market leadership at the national chain level. This scale provides a substantial competitive advantage in terms of purchasing power, brand recognition, and operational efficiencies. Macro forces creating opportunity for the Hobbytown Usa franchise include the ongoing desire for tactile experiences, the growth of organized play and events, and the stability of niche markets even during broader economic fluctuations, as hobbies often provide an affordable form of escapism and entertainment. The acquisition by AMain Hobbies further enhances HobbyTown Usa’s competitive standing by integrating robust online distribution and wholesale capabilities, preparing the brand for an omnichannel future and reinforcing its supply chain against market disruptions, thereby strengthening the overall value proposition for prospective franchisees.

Investing in a Hobbytown Usa franchise involves a distinct set of financial commitments that vary across different reporting periods and sources, reflecting the dynamic nature of franchise offerings and potential for various store formats or development stages. The initial franchise fee is reported with several figures: the franchise database lists a fee of $75,000, which positions it as a mid-tier investment for a well-established retail brand. However, web research findings indicate alternative fee structures, including up to $49,500 for the first unit, with other sources citing $49,000, and a separate 2026 franchise cost and opportunities site listing a significantly lower franchise fee of $20,000. These variations highlight the importance of reviewing the most current Franchise Disclosure Document for precise figures applicable to specific franchise agreements. HobbyTown USA also demonstrates a commitment to military veterans by offering a $10,000 reduction to the initial franchise fee for active and honorably discharged members of the U.S. Armed Forces, making the opportunity more accessible to this deserving demographic.

The total initial investment required to begin operating a Hobbytown Usa franchise also presents a range of figures depending on the source and reporting period, reflecting variables such as store size, location, leasehold improvements, initial inventory, and working capital. The franchise database provides an initial investment range from a low of $65,862 to a high of $251,800, which suggests a highly accessible entry point for some investors, potentially for smaller formats or conversions. In contrast, web research findings indicate a substantially higher investment range, from $350,000 to $620,000, and another source citing $323,000 to $587,500. These higher figures likely account for larger retail footprints, more extensive build-outs, or comprehensive initial inventory packages typical of a full-scale HobbyTown USA store. Prospective franchisees are required to demonstrate significant financial capacity, with a liquid capital requirement of $60,000 and a net worth requirement of $150,000, ensuring they possess the necessary financial stability to launch and sustain operations.

Ongoing fees for a Hobbytown Usa franchise include a royalty rate of 4.75% of gross sales, which is a competitive rate within the retail franchise sector, balancing corporate support with franchisee profitability. While an advertising fund fee is not explicitly available in the provided data, the fact that Tim Van Ert, Senior Vice President, oversees marketing and related operations suggests that there are centralized marketing efforts and potentially associated fees or contributions for franchisees. The total cost of ownership, when considering the various investment ranges and ongoing fees, places Hobbytown Usa as a flexible investment opportunity, potentially ranging from a highly accessible small business venture to a more substantial mid-tier retail enterprise, depending on the specific model and FDD in question. The corporate backing by AMain Hobbies, following its July 26, 2023 acquisition, provides robust support in terms of supply chain and distribution expertise, which can optimize operational costs and enhance inventory management for franchisees. The veteran incentive for the franchise fee suggests that Hobbytown Usa is likely eligible for Small Business Administration (SBA) financing, which can further aid qualified candidates in securing the necessary capital for their investment.

The operating model for a Hobbytown Usa franchise centers on delivering a comprehensive retail experience for hobby enthusiasts, requiring a blend of inventory management, knowledgeable customer service, and community engagement. Daily operations for a franchisee involve overseeing a diverse product range, which typically includes remote control vehicles, model kits, games, trains, rockets, arts and crafts supplies, and related accessories. This requires meticulous inventory control, efficient merchandising, and a strong understanding of product trends across multiple hobby categories. Staffing requirements emphasize the recruitment of individuals who are not only skilled in retail operations but also possess a genuine passion for hobbies, as their expertise and enthusiasm directly contribute to the customer experience and foster a loyal customer base. While the research does not specify various format options beyond brick-and-mortar retail stores, the wide range of investment figures suggests potential variations in store size or build-out complexity. The training program details, including duration, location, and hands-on hours, are not explicitly provided, but a comprehensive program is standard for a franchise of this scale, ensuring franchisees are well-prepared to manage their operations effectively.

Ongoing corporate support is a cornerstone of the Hobbytown Usa franchise system. Co-founder Thom Walla remains actively involved in the daily operations of HobbyTown corporate, providing continuity and institutional knowledge. Bob Wilke, President since 2009, and Tim Van Ert, Senior Vice President since 2003, who specifically oversees departments including marketing, product database, point-of-sale software, and office computer operations, highlight a robust centralized support structure. This indicates that franchisees benefit from corporate-led marketing programs, sophisticated product database management for inventory and sales, and advanced point-of-sale software systems that streamline transactions and data collection. The acquisition by AMain Hobbies on July 26, 2023, further enhances this support, particularly in supply chain management and product sourcing, leveraging AMain's leading position as an online and wholesale distributor of RC products. This integration promises optimized inventory flow from the Lincoln, Nebraska distribution center and potentially better pricing on key product categories. Territory structure is focused on growth, with HobbyTown USA actively pursuing expansion into new U.S. markets, implying that franchisees are typically granted exclusive territories to ensure market penetration and reduce intra-brand competition. While multi-unit requirements or expectations are not explicitly stated, the aggressive growth trajectory and focus on expanding the retail scene across the U.S. suggest that opportunities for multi-unit ownership may be available for qualified and high-performing franchisees. The operating model typically leans towards an owner-operator approach, where the franchisee’s personal passion and involvement can significantly drive local store success and community engagement, though the potential for an absentee owner model is not explicitly precluded by the available data.

For potential investors considering a Hobbytown Usa franchise, it is critical to note that Item 19 financial performance data is explicitly not disclosed in the current Franchise Disclosure Document. This means that specific figures such as average unit revenue, median revenue, or profit margins are not publicly provided by the franchisor within the FDD. In the absence of direct Item 19 disclosures, prospective franchisees must rely on other indicators and industry benchmarks to assess potential unit-level performance. While publicly available revenue data for individual Hobbytown Usa units is not available, the brand's established market position as the "largest brick-and-mortar hobby retailer in the world" strongly suggests a foundation of robust unit economics. This leadership status typically correlates with strong brand recognition, significant purchasing power, and effective operational strategies that drive sales volume and profitability across its network.

The unit count growth trajectory, as evidenced by the varying but consistently high number of franchised locations reported across different sources (ranging from 94 in the 2025 FDD to over 170 in promotional materials, and 107 franchised units in the database), signals a confident and expanding system. This sustained growth, coupled with the strategic acquisition of HobbyTown's corporate operations by AMain Hobbies on July 26, 2023, underscores a clear mission to expand the retail scene across the U.S. Such corporate developments are typically undertaken with a strong belief in the underlying unit-level profitability and scalability of the franchise model. The diverse product offerings, which cater to a wide spectrum of enthusiasts, inherently create multiple revenue streams and foster repeat business, contributing to stable sales performance. While estimated owner earnings or specific profit margins are not available, the resilience of the hobby, toy, and game industry, known for its passionate customer base and steady demand, provides a positive industry context for unit-level performance. The strategic leadership team, including co-founder Thom Walla, President Bob Wilke, and SVP Tim Van Ert who oversees critical operational and marketing functions, implies a well-managed system focused on supporting franchisee success. Without Item 19 data, a detailed payback period analysis cannot be conducted directly from franchisor-provided figures; however, the strong brand equity and ongoing growth suggest a compelling investment for those willing to conduct thorough independent market research and financial projections.

The growth trajectory of the Hobbytown Usa franchise system has been dynamic and expansive, reflecting its ambition to solidify its position as the global leader in brick-and-mortar hobby retail. Unit count trends, while showing slight variations across reporting sources, consistently point to a growing network. The 2025 Franchise Disclosure Document reports 94 franchised HobbyTown USA locations, while other sources from early 2024 and 2023 indicate over 100 locations across 39 states, over 105 franchise locations across 39 states, and 106 retail stores spanning 35 U.S. states. Promotional materials from HobbyTown USA itself claim over 160 stores open or under development across the United States, and over 170 HobbyTown franchises open or under development in 43 states, with a 2026 franchise opportunity site listing 109 units in operation. The franchise database further specifies 107 franchised units, highlighting an active and ongoing expansion. This consistent addition of net new units per year, albeit with varying reported figures, demonstrates a robust development strategy and market acceptance.

Recent corporate developments significantly bolster Hobbytown Usa's competitive standing. The most impactful event was the agreement in principle for the acquisition of HobbyTown's corporate operations by AMain Hobbies, a leading online and wholesale distributor of RC products, announced on July 26, 2023. This acquisition included the Lincoln, Nebraska headquarters and distribution center, and brought Kendall Bennett, CEO of AMain Hobbies, into the leadership structure. This strategic move is designed to create substantial synergies, particularly in supply chain optimization, product sourcing, and omnichannel retail capabilities. The competitive moat for Hobbytown Usa is multifaceted. Its status as the "largest brick-and-mortar hobby retailer in the world" provides unparalleled brand recognition, economies of scale in purchasing, and a robust distribution network, all of which are difficult for smaller competitors to replicate. The diverse product range, catering to a wide spectrum of hobbyists, from model builders to RC enthusiasts and gamers, broadens its appeal and market share. Proprietary technology, such as the point-of-sale software and product database overseen by Senior Vice President Tim Van Ert, provides operational efficiency and a consistent customer experience across the network.

The brand is actively adapting to current market conditions, particularly through its integration with AMain Hobbies, which directly addresses the evolving retail landscape by combining strong brick-and-mortar presence with robust online and wholesale distribution expertise. This positions Hobbytown Usa for enhanced digital transformation, potentially improving inventory management, online-to-offline customer journeys, and overall supply chain resilience. The emphasis on expanding the retail scene across the U.S. indicates a forward-looking strategy focused on market penetration and capturing new customer segments. While specific sustainability initiatives or delivery integrations are not detailed, the strategic corporate changes suggest a proactive approach to maintaining market leadership and relevance in a dynamic retail environment. The continuity of key leadership, with co-founder Thom Walla remaining actively involved and Bob Wilke serving as President since 2009, ensures that the brand's core values and operational expertise are preserved during this period of growth and integration.

The ideal franchisee for a Hobbytown Usa investment is typically an individual with a profound passion for hobbies, combined with a solid foundation in retail operations and business management. While specific experience requirements are not explicitly detailed, a background in managing a diverse inventory, leading a team, and engaging with a specialized customer base would be highly advantageous. The owner-operator model is often beneficial in this sector, as a franchisee's personal enthusiasm can significantly enhance the in-store experience and foster strong community ties, driving customer loyalty and repeat business. However, the available information does not strictly preclude an absentee owner model, depending on the operational structure and management capabilities put in place. Multi-unit expectations or requirements are not explicitly stated, but the brand's aggressive growth strategy, which targets several U.S. markets for franchisee expansion in 2023 and beyond, suggests that opportunities for multi-unit ownership may be available or encouraged for high-performing candidates looking to scale their investment.

Hobbytown Usa operates exclusively within the United States, with available territories actively being pursued across the nation. The brand's presence in 35 to 43 states, as reported by various sources, indicates a broad national footprint and adaptability to diverse geographic markets. While specific information

FPI Score

37/100

SBA Default Rate

12.7%

Active Lenders

72

Key Highlights

123 locations nationwide

Data Insights

Key performance metrics for Hobbytown Usa based on SBA lending data

SBA Default Rate

12.7%

17 of 134 loans charged off

SBA Loan Volume

134 loans

Across 72 lenders

Lender Diversity

72 lenders

Avg 1.9 loans per lender

Investment Tier

Mid-range investment

$65,862 – $251,800 total

Payment Estimator

Loan Amount$53K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$682

Principal & Interest only

Locations

Hobbytown Usaunit breakdown

Total Units
N/A
Franchisee Owned
System Owned
Closed

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