Valhallan,
Franchising since 2021 · 6 locations
The initial franchise fee is $39,000. Ongoing royalties are 8%. Valhallan, currently operates 6 locations (6 franchised). PeerSense FPI health score: 65/100.
$39,000
6
6 franchised
Proprietary PeerSense metric
StrongActive capital sources verified for Valhallan, financing
SBA
7(a) Eligible
21d
Avg Funding
P+2.25%
Best Rate
No retainers · Referral fee at closing
FPI Score Breakdown
Growing (10-24 loans)
SBA Lending Performance
SBA Default Rate
0.0%
0 of 11 loans charged off
SBA Loans
11
Total Volume
$1.8M
Active Lenders
2
States
4
Top SBA Lenders for Valhallan,
What is the Valhallan, franchise?
Every parent of a young gamer eventually confronts the same uncomfortable question: is my child spending thousands of hours on video games gaining anything transferable to real life, or just accumulating screen time? Valhallan was built to resolve that tension directly. Founded in 2021 by David Graham — the entrepreneur who also created FranchiCzar, the parent company behind Code Ninjas, which grew into the largest STEM franchise in the nation — Valhallan operates at the precise intersection of youth development and competitive gaming. Headquartered in Pearland, Texas (a suburb of Houston), the company launched its franchise system almost immediately after founding, and within its first month of franchising, awarded 13 franchise locations across major East Coast markets including North Carolina and South Carolina. As of the most recent tracking data, Valhallan operates 6 franchised units in the United States, with all locations franchise-owned and zero company-operated stores — a structure that signals a franchisor committed to scaling through operator partners rather than corporate capital deployment. The brand has awarded 65 territories across North America and 100 in the United Kingdom, making it one of the most geographically distributed youth esports concepts at this stage of growth. The total addressable market for the "Other Amusement and Recreation Industries" category, the NAICS 7139 classification under which Valhallan operates, is valued at approximately $45 billion in the United States alone. For franchise investors evaluating opportunities in the children's enrichment and recreation space, Valhallan represents a first-mover position in a category — structured youth esports training — that has no dominant national franchisor yet. This analysis is produced independently by PeerSense and is not sponsored by or affiliated with Valhallan or FranchiCzar.
The industry environment surrounding the Valhallan franchise opportunity is defined by several converging forces that collectively create one of the more compelling secular growth setups available to franchise investors today. The global recreation services market reached USD 1.41 trillion in 2026 and is projected to climb to USD 1.89 trillion by 2031, registering a compound annual growth rate of 6.03%. Within that broader market, the online and virtual experiences segment is forecast to lead all subsegments with a 6.92% CAGR — the segment most directly aligned with what Valhallan delivers. The "Other Amusement and Recreation Industries" classification itself is growing at a 4.2% CAGR, and the overall recreation market is expected to reach $2.23 trillion in 2030. On the demand side, the consumer data is striking in its specificity: 76% of children in the United States play video games, and 25% of Gen Z leisure time is spent on gaming. A 2021 study documented that 82% of kids aged 12 to 15, 72% of children aged 8 to 11, and 41% of children aged 5 to 7 play video games — which means Valhallan's core customer base is not a niche hobby community but a near-universal youth behavior. Simultaneously, youth participation in traditional organized sports is declining, with kids joining athletic teams less frequently, creating a structural void in structured, team-based youth activities. Parents are actively seeking alternatives that combine entertainment with skill development, and market research consistently shows rising demand for experiential, educational programming that delivers measurable developmental outcomes. The recreation market's growth is further underpinned by rising disposable income, technological advancement, and an accelerating shift away from passive entertainment toward immersive, community-centered experiences. The competitive landscape for youth esports franchises remains highly fragmented, with no single national brand commanding dominant market share — a condition that historically favors early-moving franchise systems with strong operational infrastructure and experienced franchisor backing.
The Valhallan franchise investment requires careful analysis across multiple cost layers, and investors should approach the financial structure with the same rigor applied to any youth enrichment franchise. The initial franchise fee is $39,000, a one-time upfront payment made upon signing the Franchise Agreement that grants rights to the Valhallan trademarks, name, and proprietary business systems. For context, this fee positions Valhallan in the mid-tier range for children's enrichment franchises, below premium education brands that charge $50,000 to $60,000 or more for initial rights. Total initial investment ranges across multiple reported scenarios, with figures spanning from approximately $52,950 on the low end to $329,850 at the upper bound — a wide spread driven primarily by variables including the size of the esports training center, geographic market costs, facility build-out requirements, gaming equipment procurement, technology setup, signage, architect and engineering fees, lease deposits, utility deposits, insurance deposits, and initial operating capital. Specifically, one commonly cited range is $166,060 to $329,850, while a more compact footprint scenario yields ranges as low as $82,950 to $115,400, suggesting that format size and lease structure are the most significant levers controlling total capital deployment. Ongoing fees include a royalty rate of 7.00% of gross sales, which is at the upper end of the 4% to 8% royalty range typical for the recreation and youth enrichment franchise segment. An additional national brand fund fee of 5.00% applies on top of the royalty, bringing the combined ongoing fee obligation to 12% of gross sales — a figure investors must model carefully when projecting unit-level cash flow. Liquid capital of $100,000 is required to qualify as a franchisee. The parent company, FranchiCzar, brings decades of franchising experience and previously scaled Code Ninjas to the largest STEM franchise in the nation, which provides meaningful institutional credibility and operational infrastructure for a brand at this stage of development.
The daily operational reality of a Valhallan franchise centers on delivering structured, curriculum-driven esports training to youth participants in a physical arena setting. Children join as members on a monthly subscription basis and meet weekly at their local Valhallan location to practice, compete in exhibition games, and progress through a structured development system. The core training program is called "the Legendary Path," a nine-level, 18-month customizable journey designed to develop competitive gaming mastery alongside transferable life skills including teamwork, leadership, communication, sportsmanship, perseverance, and community engagement. The curriculum incorporates popular competitive titles including Valorant, Fortnite, Rocket League, and Overwatch — games with massive and active youth player bases — ensuring enrollment relevance for the target demographic. Beyond weekly training sessions and league matches, franchisees generate revenue through birthday parties, camps, and tournaments, creating multiple revenue streams within a single location footprint. A critical structural advantage of the Valhallan model is that franchisees do not need prior gaming knowledge or esports expertise, as the proprietary curriculum and trained coaching staff supply the necessary technical competence — meaning the ideal franchisee is an operator and community builder rather than a gaming specialist. The business model is explicitly designed to be operable on a part-time basis by the owner, which broadens the viable franchisee candidate pool significantly. FranchiCzar provides programming support, industry knowledge, ongoing operational systems, and a framework for continued growth, with particular emphasis on building consistent and scalable onboarding systems that can support rapid multi-unit expansion. Brand president Matt Phillips leads the operational infrastructure at the brand level, complementing founder and CEO David Graham's strategic direction.
Item 19 financial performance data is not disclosed in the current Franchise Disclosure Document for Valhallan, which means prospective franchisees cannot obtain audited average unit volume or profit margin data directly from the FDD. This is a material consideration for investors: without Item 19 disclosure, financial projections must be built from alternative data sources, and any earnings claims made outside the FDD must be substantiated within it by law. One publicly available data point indicates average gross revenue per unit of approximately $75,380, though this figure should be interpreted cautiously given the brand's early stage and relatively small open unit count. Industry benchmarks for children's enrichment franchises with recurring membership models — the closest structural analog to Valhallan's monthly subscription format — typically generate average unit revenues ranging from $250,000 to $600,000 at maturity, depending on membership capacity and supplemental program offerings. The monthly membership model, where children pay a recurring fee to join a team and attend weekly sessions, is structurally favorable for predictable cash flow forecasting, as opposed to transactional or project-based revenue models. At a 7.00% royalty and 5.00% brand fund contribution, a franchisee generating $300,000 in annual gross revenue would remit approximately $36,000 per year in combined fees before accounting for rent, staffing, equipment maintenance, and other operating costs. Prospective investors should conduct thorough franchisee validation interviews — speaking directly with existing operators across different markets — and request any supplemental financial performance representations the franchisor may provide outside the FDD. The FPI Score assigned to Valhallan by PeerSense is 65, categorized as Strong, which reflects the brand's growth trajectory, institutional franchisor backing, and market position relative to other emerging franchise concepts at a comparable stage of development.
Valhallan's growth trajectory from 2021 to the present is one of the most aggressive expansion narratives in the youth recreation franchise sector. In its first month of franchising, the brand awarded 13 franchise locations across East Coast markets — a pace that exceeded the early growth rate of Code Ninjas, the STEM franchise also developed by FranchiCzar, which ultimately became the largest in its category nationally. By March 2023, Valhallan had awarded more than ten additional franchise agreements, including four locations in Las Vegas, Nevada, two in San Antonio, Texas, and new arenas in New York, New Jersey, California, Pennsylvania, and Iowa. The brand has awarded 65 territories across North America and 100 in the United Kingdom, with active recruitment targeting Texas, California, Florida, New Jersey, Arizona, Nevada, and Louisiana as priority expansion markets. Corporate projections call for 100 locations open by the end of 2024 and long-term goals of 1,000 or more units globally — targets that would position Valhallan as one of the largest youth enrichment franchise systems in the world if achieved. The competitive moat Valhallan is constructing rests on several pillars: the proprietary Legendary Path curriculum, which creates a structured and defensible program that is difficult for independent operators to replicate; the FranchiCzar institutional infrastructure, which provides technology platforms, franchise support systems, and operational playbooks refined through prior franchise builds; and the first-mover advantage in the youth esports training franchise category, where no dominant national competitor has yet established the brand recognition and franchisee network density needed to foreclose market entry. Co-Owner of Valhallan Las Vegas Morris Jackson II and the Legacy Leader Group represent the type of established operator partnership that drives credibility in emerging franchise categories. The broader macro shift away from passive entertainment toward structured, community-centered experiential activities — a trend measured across the recreation industry's 6.03% CAGR — provides ongoing tailwind for every open location.
The ideal Valhallan franchisee is a community-oriented operator with strong local networking capabilities, parenting-community engagement skills, and business management experience — prior knowledge of esports or competitive gaming is explicitly not required by the franchisor. Franchisees of record, including David and Leslie Glick who cited the brand's innovative model and its ability to fill a community void for youth gamers as their primary investment motivation, reflect a profile centered on purpose-driven entrepreneurship rather than gaming passion alone. The business model's part-time operability makes it accessible to franchisees who are transitioning from corporate careers or managing complementary businesses. Geographically, Valhallan's strongest target markets are suburban and urban areas with high concentrations of families with children, which aligns with the demographic profile that drives enrollment in youth enrichment programming broadly. The brand is actively recruiting across major U.S. markets — specifically Texas, California, Florida, New Jersey, Arizona, Nevada, and Louisiana — as well as throughout the United Kingdom, where 100 territories have already been awarded. With 65 North American territories and significant U.K. territory awards already committed, investors considering the Valhallan franchise should evaluate remaining territory availability carefully, as first-mover positioning in a given market carries disproportionate value in membership-based youth businesses where community reputation and school-district relationships compound over time. Timeline from signing to opening varies based on facility lease execution, build-out, and equipment procurement, all of which are standard variables in physical-location franchise development.
The investment thesis for the Valhallan franchise opportunity sits at the convergence of three durable trends: the near-universal adoption of video gaming among American youth (76% of children play video games), the documented decline in traditional youth sports participation creating demand for alternative structured team activities, and the 6.03% CAGR growth of the global recreation services market toward a projected $1.89 trillion by 2031. The brand's institutional backing through FranchiCzar — the organization that previously built Code Ninjas into the largest STEM franchise in the United States — provides a level of operational and strategic infrastructure that is rare for a franchise system at this unit count stage. The PeerSense FPI Score of 65 (Strong) reflects the combination of growth momentum, franchisor experience, and market positioning that distinguishes Valhallan from undifferentiated recreation concepts with weaker infrastructure. The absence of Item 19 financial performance disclosure means prospective investors must conduct especially rigorous franchisee validation and independent financial modeling before committing capital, and the combined 12% ongoing fee obligation (7% royalty plus 5% brand fund) warrants careful cash flow analysis at multiple revenue scenarios. For the right investor — a community-connected operator with $100,000 in liquid capital, a service-oriented mindset, and appetite for a first-mover position in an emerging category — the Valhallan franchise opportunity merits serious, structured due diligence. PeerSense provides exclusive due diligence data including SBA lending history, FPI score, location maps with Google ratings, FDD financial data, and side-by-side comparison tools that allow investors to benchmark Valhallan against comparable recreation and youth enrichment franchise concepts with precision. Explore the complete Valhallan franchise profile on PeerSense to access the full suite of independent franchise intelligence data.
FPI Score
65/100
SBA Default Rate
0.0%
Active Lenders
2
Key Highlights
Franchise Financing Resources
Data Insights
Key performance metrics for Valhallan, based on SBA lending data
SBA Default Rate
0.0%
0 of 11 loans charged off
SBA Loan Volume
11 loans
Across 2 lenders
Lender Diversity
2 lenders
Avg 5.5 loans per lender
Payment Estimator
Estimated Monthly Payment
$5,176
Principal & Interest only
Locations
Valhallan, — unit breakdown
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