Most clubs overpay tax in the year they build and underprice court time in the year they open. We fix both.

We set up the entities behind the club, capture the tax savings a buildout creates, and build an operating model an owner, a lender, or an investor can trust.

Structure

The structure you pick before signing a lease decides who carries the liability, how investors get paid, what a lender will finance, and what you keep when you sell. Our legal team drafts the documents that put the structure in place.

Operating company / property company split. The real estate or leasehold sits apart from the club that runs on it, so a slip-and-fall claim doesn’t reach the building.
Entity and tax elections. Partnership or S corporation treatment, chosen around your investors, how owners are paid, and how you expect to exit.
Investor and partner terms. Contributions, preferred returns, distributions, and buy-sell terms that make the tax result match the deal.

Buildout tax planning

A court buildout is one of the most tax-efficient investments a small business can make, if the costs are tracked the right way from the start.

Bonus depreciation. Courts, lighting, HVAC, and much of the interior work can often be deducted in the year the club opens.
Cost segregation. For clubs that own the building, we identify parts that can be written off over 5, 7, or 15 years instead of 39.
Lease improvements. Work on a leased building treated as qualified improvement property, not depreciated over 39 years.
Credits and incentives. Opportunity Zone, energy, and local incentives where the site qualifies.

Compliance that protects the sale

The problems that cost owners the most surface years later, when a buyer or a lender does diligence.

Sales tax. States tax memberships, court fees, lessons, and events differently. We map what your club owes and set up collection from day one.
Coach and staff classification. Coaches paid as contractors who work like employees are a common audit target. We set up arrangements that hold up.
Member-owned and nonprofit clubs. Tax-exempt clubs face limits on non-member income. We structure padel or pickleball additions so pay-to-play revenue doesn’t put exempt status at risk.

Operating model

We build the numbers an owner runs the club on and a lender or investor underwrites.

Court-hour and membership pricing. Peak and off-peak rates, membership tiers, and the member versus pay-to-play mix.
Utilization and unit economics. Revenue per court hour, break-even utilization, and the levers that move them: leagues, academies, events, food and beverage.
Lender- and investor-ready models. Opening budgets and monthly projections built for SBA lenders, equipment lenders, and equity investors.
KPI dashboard and quarterly review. The handful of numbers worth watching each month, reviewed with you each quarter.

Expansion, sale, and exit

Expansion modeling. Second sites, new sports, and added courts, tested against the existing club’s cash flow.
Sale planning. Asset or equity sale, purchase price allocation, and the steps that raise what a buyer will pay.
Clubs under pressure. With our legal team, we model the options when a lease, a lender, or a partner dispute threatens the club.

Building, expanding, or selling a club?

Tell us where you are. We’ll come back with a written scope and a fixed fee.