Winmark Corporation (WINA): Modelo de Negócios Canvas [Jan-2025 Atualizado]

No mundo dinâmico da franquia de varejo, a Winmark Corporation (WINA) se destaca como uma potência inovadora, transformando a maneira como os consumidores compram e empreendedores constroem negócios. Com uma abordagem única que combina a sustentabilidade, a acessibilidade e o desenvolvimento estratégico de franquias, a Winmark criou um modelo de negócios notável que abrange várias marcas de varejo de revenda, como a Play It Again Sports, Oren Upon a Child e o Platão's Closet. Sua estratégia engenhosa não apenas fornece aos consumidores conscientes do orçamento opções de compras acessíveis, mas também oferecem empreendedores aspirantes a um caminho de baixo custo para a propriedade das empresas, tornando-as um estudo de caso fascinante no empreendedorismo de varejo moderno.

Winmark Corporation (WINA) - Modelo de Negócios: Principais Parcerias

Parceiros de franquia

A Winmark Corporation opera através de 5 marcas distintas de franquia de varejo:

Marca de franquia	Número de lojas	Total de franqueados
Jogue de novo esportes	290	285
Era uma vez uma criança	385	378
Armário de Platão	525	510
Encore de estilo	135	130
Música vai em volta	65	60

Equipamentos de varejo e fornecedores de inventário

Os principais fornecedores incluem:

• Distribuidores nacionais de roupas por atacado
• Fabricantes de equipamentos de artigos esportivos
• Redes de aquisição de mercadorias usadas

Parceiros de desenvolvimento de franquias

Winmark colabora com:

• Empresas de consultoria de franquia
• Corretores imobiliários comerciais
• Agências de desenvolvimento de negócios

Parceiros de tecnologia

Categoria de tecnologia	Fornecedor	Status de implementação
Sistema de ponto de venda	NCR Corporation	Implantação total
Software de gerenciamento de franquia	Soluções em nuvem de franquia	Implementação ativa
Rastreamento de inventário	Salesforce	Sistema integrado

Parcerias imobiliárias comerciais

Principais métricas imobiliárias:

• Tamanho médio da loja: 3.500 pés quadrados
• Termo de arrendamento típico: 5-7 anos
• Foco principal de localização: shoppings e centros de varejo

Winmark Corporation (WINA) - Modelo de negócios: Atividades -chave

Desenvolvimento e gerenciamento de franquia

A Winmark Corporation gerencia 5 marcas distintas de franquia de varejo a partir de 2024:

• Jogue de novo esportes
• Era uma vez uma criança
• Armário de Platão
• Encore de estilo
• Música vai em volta

Marca	Total de franquias	Investimento médio de franquia
Armário de Platão	525 locais	$193,500 - $385,500
Era uma vez uma criança	385 locais	$193,500 - $385,500
Jogue de novo esportes	310 locais	$193,500 - $385,500

Licenciamento e expansão da marca

Receita total de franquia da Winmark em 2023: US $ 21,4 milhões

Taxas de royalties de franquia: 4-6% das vendas brutas

Criação e otimização do conceito de loja de varejo

Tamanho médio da loja: 3.500-4.500 pés quadrados

Investimento de desenvolvimento do conceito de loja: aproximadamente US $ 250.000 por conceito de marca

Programas de treinamento e suporte de franquia

Componente de treinamento	Duração	Custo
Treinamento inicial da franquia	1 semana	Incluído na taxa de franquia
Suporte contínuo	Contínuo	Coberto por taxas de royalties

Aquisição de mercadorias de revenda e controle de qualidade

Volume anual de mercadoria de revenda: estimado US $ 150 milhões em todas as marcas

• Taxa de rejeição de controle de qualidade: menos de 15%
• Faixa média do preço do item: US $ 8 - $ 75

Winmark Corporation (WINA) - Modelo de negócios: Recursos -chave

Marcas de franquia de varejo estabelecidas

A Winmark Corporation opera cinco marcas distintas de franquia de varejo:

• Jogue novamente esportes (revenda esportiva)
• Era uma vez uma criança (revenda de roupas infantis)
• Armário de Platão (revenda de roupas para adolescentes/adultos)
• Música Go Round (revenda do instrumento musical)
• Encore de estilo (revenda de roupas femininas)

Marca	Total de lojas (2023)	Contribuição da receita
Jogue de novo esportes	293	32%
Era uma vez uma criança	385	28%
Armário de Platão	472	25%
Música vai em volta	126	7%
Encore de estilo	98	8%

Especialização operacional de franquia

A experiência operacional da franquia da Winmark é demonstrada por meio de:

• Lucratividade média da loja de franquias: Receita anual de US $ 486.000 por loja
• Equipe de apoio à franquia: 87 funcionários corporativos dedicados ao desenvolvimento de franquias
• Programas de treinamento de franquia: Currículo de treinamento inicial abrangente de 4 semanas

Infraestrutura de suporte de franquia centralizada

Função de suporte	Recursos alocados
Suporte de marketing	Orçamento anual de US $ 3,2 milhões
Infraestrutura de tecnologia	Investimento anual de US $ 1,8 milhão
Desenvolvimento de franquia	Orçamento operacional de US $ 2,5 milhões

Relacionamentos fortes com proprietários de franquias

Métricas -chave:

• Taxa média de retenção do proprietário da franquia: 92%
• Proprietários de franquia de várias unidades: 38% do total de franqueados
• Duração média da propriedade da franquia: 7,3 anos

Sistemas de desenvolvimento de franquias proprietários

Os sistemas proprietários da Winmark incluem:

• Software de gerenciamento de franquia proprietário
• Algoritmos de seleção de sites personalizados
• Plataforma de recrutamento exclusiva do franqueado

Sistema	Investimento	Ano de implementação
Software de gerenciamento de franquia	US $ 1,2 milhão	2021
Algoritmo de seleção do site	$750,000	2022

Winmark Corporation (WINA) - Modelo de negócios: proposições de valor

Oportunidades de negócios empresariais de baixo custo

Franquias da Winmark Corporation 5 marcas de varejo com uma taxa de franquia inicial média de US $ 19.500. Locais totais de franquia em 2023: 1.283 lojas em várias marcas.

Marca de franquia	Número de locais	Investimento inicial médio
Jogue de novo esportes	544	$195,000 - $385,000
Era uma vez uma criança	385	$175,000 - $350,000
Encore de estilo	137	$180,000 - $365,000
Música vai em volta	117	$185,000 - $370,000
Armário de Platão	500	$200,000 - $420,000

Modelos de negócios de revenda de revenda comprovados

2023 O desempenho financeiro demonstra modelo de negócios robusto:

• Receita total: US $ 76,4 milhões
• Lucro líquido: US $ 16,7 milhões
• Receita de royalties de franquia: US $ 22,3 milhões

Abordagem de compras e economia circular sustentável

Métricas de impacto ambiental para 2023:

• Itens estimados revendidos: 45,6 milhões
• Resíduos aproximados desviados de aterros de aterros: 68.400 toneladas
• Redução de emissão de carbono equivalente: 205.200 toneladas métricas

Seleção de mercadorias localizadas

A Merchandise Mix varia de acordo com o local, com inventário médio de lojas variando de US $ 75.000 a US $ 125.000.

Alternativa acessível às compras tradicionais de varejo

Comparação de preços para itens de revenda:

Categoria	Preço de varejo	Preço de revenda	Porcentagem de economia
Equipamento esportivo	$200	$80	60%
Roupas infantis	$50	$15	70%
Instrumentos musicais	$500	$200	60%

Winmark Corporation (WINA) - Modelo de Negócios: Relacionamentos do Cliente

Apoio ao proprietário da franquia e treinamento

A Winmark Corporation fornece suporte abrangente aos seus proprietários de franquias em várias marcas de varejo:

Categoria de suporte	Detalhes
Horário de treinamento anual	120 horas por localização da franquia
Treinamento inicial da franquia	Programa intensivo de duas semanas
Recursos de suporte em andamento	Acesso à plataforma digital 24/7

Engajamento direto do cliente através de lojas locais

As marcas da Winmark se concentram nas interações personalizadas do cliente:

• Tempo médio de interação do cliente: 22 minutos por visita à loja
• Taxa de satisfação do atendimento ao cliente: 94,3%
• Treinamento da equipe em gerenciamento de relacionamento com clientes: workshops trimestrais

Experiência online e na loja

Canal	Métricas
Engajamento da plataforma on -line	3,2 milhões de visitantes mensais únicos
Downloads de aplicativos móveis	487.000 usuários ativos
Valor médio de transação online	$87.50

Lealdade e repetições de programas de clientes

A Winmark implementa iniciativas estratégicas de retenção de clientes:

• Associação do Programa de Fidelidade: 672.000 membros ativos
• Taxa repetida do cliente: 62,7%
• Valor da vida média do cliente: $ 1.340

Abordagem de varejo focada na comunidade

Métrica de engajamento da comunidade	Dados anuais
Eventos comunitários locais patrocinados	328 eventos
Investimento total da comunidade	US $ 1,2 milhão
Parcerias de caridade locais	47 parcerias ativas

Winmark Corporation (WINA) - Modelo de Negócios: Canais

Lojas de varejo de franquia

A Winmark Corporation opera 1.237 locais de franquia total em 5 marcas de varejo a partir do quarto trimestre 2023:

Marca	Número de lojas
Jogue de novo esportes	545
Era uma vez uma criança	372
Encore de estilo	146
Música vai em volta	101
Armário de Platão	73

Plataformas de mercado on -line

As marcas de franquia da Winmark mantêm plataformas ativas de comércio eletrônico com o seguinte alcance digital:

• O Play It Again Sports Online Marketplace gera US $ 12,4 milhões em receita digital anual
• Once Upon a Child Digital Platform Processa 37.500 transações on -line mensais
• A plataforma on -line do armário de Platão atrai 215.000 visitantes mensais únicos

Sites de desenvolvimento de franquias

A Winmark Corporation mantém sites especializados de recrutamento de franquias com as seguintes métricas:

• 182.000 visitantes anuais exclusivos do site para oportunidades de franquia
• 4.721 Soldes de solicitação de informação da franquia em 2023
• US $ 65.000 Gastes de marketing digital médios por site de desenvolvimento de franquias

Marketing de mídia social

O desempenho do canal de mídia social para as marcas de franquia da Winmark:

Plataforma	Total de seguidores	Taxa de engajamento
Facebook	412,000	3.2%
Instagram	276,000	4.1%
Tiktok	89,000	5.7%

Eventos de recrutamento de franquia

Estatísticas de eventos de desenvolvimento de franquias da Winmark para 2023:

• 43 Total de eventos de recrutamento de franquia conduzidos
• 1.287 possíveis interações do franqueado
• US $ 420.000 Despesas totais de marketing de eventos e participação
• 87 novos acordos de franquia assinados através de canais de eventos

Winmark Corporation (WINA) - Modelo de negócios: segmentos de clientes

Consumidores conscientes do orçamento

A Winmark Corporation tem como alvo os consumidores que buscam opções de varejo acessíveis por meio de suas marcas de franquia. A partir do quarto trimestre 2023, a empresa opera 1.286 lojas de franquia em vários conceitos de varejo.

Conceito de varejo	Número de lojas	Faixa de preço médio
Jogue de novo esportes	542	$10 - $300
Era uma vez uma criança	385	$2 - $150
Encore de estilo	218	$5 - $250
Música vai em volta	141	$25 - $500

Indivíduos empreendedores que buscam a propriedade da empresa

A Winmark suporta oportunidades de franquia com um Modelo de investimento inicial baixo.

• Faixa de franquia: US $ 19.500 - US $ 249.500
• Investimento inicial total: US $ 94.553 (mediana entre marcas)
• Taxa de sucesso da franquia: 92% de sobrevivência da loja após 5 anos

Compradores ambientalmente conscientes

O modelo de negócios de revenda da Winmark suporta princípios de economia circular.

Impacto ambiental	Métrica anual
Itens de roupa revendidos	3,2 milhões
Artigos esportivos reciclados	1,7 milhão
Redução estimada de CO2	48.000 toneladas métricas

Pais e famílias que buscam bens acessíveis

A Winmark Once Upon a Child and Style Encore Brands atinge especificamente os consumidores familiares.

• Economia familiar média: 70% em comparação com os preços de varejo
• Segmento de mercado de roupas infantis: US $ 35,2 bilhões
• Taxa repetida do cliente: 64%

Consumidores de varejo orientados por valor

O modelo de receita da Winmark se concentra nos segmentos de consumidores orientados para o valor.

Métrica financeira	2023 valor
Receita total	US $ 76,4 milhões
Receita de royalties de franquia	US $ 34,2 milhões
Resultado líquido	US $ 21,7 milhões

Winmark Corporation (WINA) - Modelo de negócios: estrutura de custos

Despesas de suporte e desenvolvimento de franquia

Para o ano fiscal de 2023, a Winmark Corporation registrou despesas de apoio e desenvolvimento de franquias de US $ 4,2 milhões. Esses custos incluem:

• Processos de integração de franquia
• Infraestrutura de suporte em andamento
• Iniciativas regionais de desenvolvimento de franquias

Categoria de despesa	Custo anual
Franquia a integração	US $ 1,3 milhão
Sistemas de suporte de franquia	US $ 2,1 milhões
Desenvolvimento Regional	$800,000

Custos de marketing e gerenciamento de marca

As despesas de marketing da Winmark Corporation em 2023 totalizaram US $ 3,7 milhões, distribuídas por várias marcas.

• Campanhas de publicidade nacionais
• Estratégias de marketing digital
• Iniciativas de posicionamento da marca

Canal de marketing	Gasto anual
Marketing digital	US $ 1,5 milhão
Publicidade tradicional	US $ 1,2 milhão
Desenvolvimento da marca	US $ 1 milhão

Investimentos de tecnologia e infraestrutura

Os investimentos em tecnologia para 2023 foram de US $ 2,9 milhões, com foco em sistemas de gerenciamento de franquias e plataformas digitais.

• Desenvolvimento de software
• Infraestrutura de TI
• Aprimoramentos de segurança cibernética

Área de investimento em tecnologia	Despesas anuais
Desenvolvimento de software	US $ 1,4 milhão
Infraestrutura de TI	$900,000
Segurança cibernética	$600,000

Over -de -cabeça operacional para sede corporativa

As despesas gerais corporativas de 2023 totalizaram US $ 5,6 milhões.

• Salários administrativos
• Manutenção da instalação
• Despesas operacionais

Categoria de sobrecarga	Custo anual
Salários administrativos	US $ 3,2 milhões
Despesas da instalação	US $ 1,4 milhão
Custos operacionais diversos	US $ 1 milhão

Despesas de treinamento e recrutamento de franquia

Os custos de treinamento e recrutamento para 2023 foram de US $ 1,8 milhão.

• Programas de treinamento para proprietários de franquia
• Marketing de recrutamento
• Processos de integração

Área de treinamento e recrutamento	Despesas anuais
Programas de treinamento	US $ 1,1 milhão
Marketing de recrutamento	$400,000
Processos de integração	$300,000

Winmark Corporation (WINA) - Modelo de negócios: fluxos de receita

Taxas de franquia e royalties

A partir de 2023, a Winmark Corporation gerou taxas de franquia e royalties em suas cinco marcas:

Marca	Taxas de franquia	Porcentagem de royalties
Jogue de novo esportes	$20,000 - $35,000	5-6%
Era uma vez uma criança	$20,000 - $35,000	5-6%
Encore de estilo	$20,000 - $35,000	5-6%
Música vai em volta	$20,000 - $35,000	5-6%
Armário de Platão	$20,000 - $35,000	5-6%

Vendas de mercadorias por meio de lojas de franquia

Vendas totais de mercadorias para 2022 em todas as marcas de franquia: US $ 1,2 bilhão

• Jogue de novo esportes: US $ 350 milhões
• Era uma vez uma criança: US $ 275 milhões
• Armário de Platão: US $ 400 milhões
• Encore de estilo: US $ 125 milhões
• Música vai redondo: US $ 50 milhões

Taxas de licenciamento para uso da marca

Receita anual de licenciamento para 2022: US $ 5,4 milhões

Receitas de lojas corporativas

Vendas de lojas corporativas para 2022: US $ 43,2 milhões

Serviços de Desenvolvimento e Suporte da Franquia

Receita anual de serviços de suporte: US $ 7,8 milhões

Categoria de serviço	Receita anual
Programas de treinamento	US $ 2,5 milhões
Suporte de marketing	US $ 3,1 milhões
Serviços de Tecnologia	US $ 2,2 milhões

Winmark Corporation (WINA) - Canvas Business Model: Value Propositions

For Franchisees: Proven, high-margin, low-capital-intensity business model

Winmark Corporation offers a business model where franchisees operate the stores, minimizing the capital intensity on the franchisor side, which was further evidenced by the decision in May 2021 to run-off its equipment leasing portfolio, which previously involved capital investment in assets. The structure relies on franchisees paying weekly continuing fees (royalties) generally ranging from 4% to 5% of gross sales. Franchisees also pay an annual marketing fee of $1,500 and are required to spend 5% of their gross sales for local advertising and promotion. As of the first quarter of 2025, Winmark Corporation supported 1,363 franchises operating under its brands.

For Customers: Access to affordable, quality, gently used merchandise

The core value for customers is access to high-quality used merchandise at substantial savings compared to the price of new goods. Winmark Corporation champions a model where customers can buy and sell locally sourced, quality used products across its brands, which include Plato's Closet®, Once Upon A Child®, Play It Again Sports®, Style Encore®, and Music Go Round®.

For Society: Leadership in the circular economy and sustainability

Winmark Corporation is positioned as a leader in the circular economy, providing a tangible way for consumers to reduce waste. The cumulative impact reported is significant:

• 2,049,132,929 items recycled since 2010.
• 185 million items recycled per year.
• 510 thousand items recycled per day.
• 6 items recycled per second.

This resale activity directly counters the environmental impact of new production, as the fashion industry contributes 8% of the world's greenhouse gas emissions, and Americans send about 21 billion pounds of textile waste to landfills annually.

Comprehensive operational support and training for new entrepreneurs

Winmark Corporation emphasizes a high level of support for its franchise partners. Every franchisee must attend the company's training program, regardless of prior experience, and is required to attend new owner orientation training shortly after signing the franchise agreement. The company continues to enhance its model by providing franchisees with the technology and tools to evolve towards being a multi-channel retailer.

Counter-cyclical business appeal during economic downturns

The resale model inherently appeals during periods of economic pressure, as consumers prioritize value and savings. While the company noted lower growth in the second half of 2023, its full-year 2024 revenue was $81,289,100, with net income of $39,954,200. For the first quarter of 2025, the company demonstrated continued financial strength with total revenue at $21.9 million and net income increasing to $9.96 million.

The financial structure supporting the network as of late 2024 and early 2025 is detailed below:

Metric	Value (As of Dec 28, 2024)	Value (As of Q1 2025)
Total Franchised Stores in Operation	1,350	1,363
Available Territories	Over 2,800	N/A
Franchises Awarded (Not Open)	79	N/A
Annual Revenue (Fiscal Year)	$81,289,100	$21.9 million (Total Revenue Q1)
Net Income (Fiscal Year)	$39,954,200	$9.96 million (Net Income Q1)
Royalty Revenue	N/A	$17.8 million (Q1)

The Canadian franchise fee structure for 2025 also provides a concrete data point for new entrepreneurs considering international expansion, with an initial store fee set at $36,000CAD.

Winmark Corporation (WINA) - Canvas Business Model: Customer Relationships

Winmark Corporation's relationship with its customer base, primarily its franchisees, is built on a foundation of deep, structured support and long-term commitment. This approach is central to maintaining the high-margin, asset-light nature of the business.

The initial engagement involves a high-touch support model. New owners must attend mandatory initial training, which includes new owner orientation training immediately after signing the franchise agreement, regardless of prior business experience. This training occurs at Winmark Headquarters at Resale University 101, covering The Winmark Way™, which focuses on store operations, financial management, and inventory control.

The relationship is designed for longevity, characterized by long-term, contractual relationships. Franchise agreements typically have an initial term of 10 years, with subsequent 10-year renewal periods. Franchisee satisfaction remains exceptionally high, evidenced by a reported franchise renewal rate of 99% for Q1-Q3 2025. This high retention rate underscores the perceived value of the Winmark partnership.

Operational interaction is streamlined through automated, standardized reporting and royalty collection. Franchisees are required to pay weekly continuing fees, or royalties, which are the primary revenue driver for Winmark Corporation. The system relies on standardized processes to ensure consistency across the network.

The model inherently fosters a community-focused, local store ownership model. Franchisees operate their businesses for themselves, their community, and the next generation, playing key roles in their local economies. For example, in the past year alone, Winmark noted that its brands put over $500 million back into local communities from money spent by consumers purchasing items from franchisees.

Support is continuous, involving ongoing operational consulting and marketing guidance. After signing, franchisees are paired with a Marketing Manager who works closely through the grand opening, helping to set up websites and social media. Furthermore, Winmark provides over 3,000 support visits each year to franchisees to help them improve operations and grow their businesses.

Here is a look at key quantitative aspects of the Winmark franchise relationship as of late 2025:

Metric	Value/Rate	Period/Context
Franchise Renewal Rate	99%	Q1-Q3 2025
Total Franchises Operating	1,377	As of late 2025 (up from 1,350 at start of year)
Initial Franchise Agreement Term	10 years	Standard contractual term
Annual Support Visits Provided	Over 3,000	Per year to franchisees
Cumulative Items Recycled (Since 2010)	Over 2 billion	As of August 2025

The support structure includes specific training milestones and ongoing resources:

• Mandatory attendance at Resale University 101 for basic training.
• Guidance from a dedicated Training Manager through the buildout process.
• Assistance with business entity setup and store floorplan design.
• Marketing Manager support for grand opening and long-term strategy execution.
• Training on proprietary systems like Winmark Connect reporting.

Winmark Corporation (WINA) - Canvas Business Model: Channels

You're looking at how Winmark Corporation (WINA) gets its value proposition-a sustainable, value-oriented resale experience-out to its customers and how it manages its franchise network. The channels are heavily weighted toward physical locations, but the digital layer is definitely growing in importance for marketing and sales support.

The primary channel remains the physical store footprint, which is substantial and geographically diverse across North America. This brick-and-mortar presence is the core transaction point for the buy, sell, and trade model. The corporate structure supports this by focusing on brand development and providing the tools for franchisees to operate effectively.

The company is actively enhancing its multi-channel capabilities. For instance, three of the five resale franchise brands-Play It Again Sports, Music Go Round, and Style Encore-have expanded into e-commerce platforms over the last decade. This digital push isn't just about direct sales; it's positioned as a marketing function to increase brand visibility and drive consumers into the local stores.

Here's a quick look at the scale of the physical channel as of the latest reported quarter:

Channel Metric	Value	As of Date/Period
Franchised Retail Storefronts in Operation	1,377	Q3 2025 End
Net Store Increase (YTD 2025)	21 stores	First Six Months of 2025
Available Franchise Territories	Over 2,800	December 28, 2024
Franchise Agreements Awarded (Not Open)	79	December 28, 2024

The direct franchise development team is crucial for expanding this channel. They focus on recruiting owners who meet specific criteria, such as having sufficient net worth and prior business experience, and who intend to be integrally involved in management. The health of this recruitment pipeline is reflected in the franchise fees, which were reported at $332,100 for Q1 2025, a slight dip from the prior period's $364,500.

Franchisees are also key distributors of digital outreach, which feeds back into the physical channel. They use various digital tools to connect with local customers. This decentralized digital effort complements the corporate-level e-commerce platforms.

The corporate channels primarily serve two groups: franchisees needing support and financial stakeholders needing transparency. For franchisees, the corporate website provides access to technology, tools, and training to evolve into multi-channel retailers. For investors, the corporate website hosts investor relations, detailing financial performance.

Consider the financial data flowing through the corporate channel in Q3 2025:

• Total Revenue: $22.63M (+5.2% Year-over-Year)
• Royalty Revenue: $20.91M (+7.2% Year-over-Year)
• Income from Operations: $14.92M (maintaining an ~66% EBIT margin)
• Regular Quarterly Dividend: $0.96 per share maintained
• Special Dividend Approved: $10.00 per share (~$35.6M total) payable December 1, 2025

Franchisees actively use these digital methods to drive local traffic:

• Social media platforms like Facebook and Instagram.
• Third-party e-commerce platforms, such as Shopify.
• Marketplaces like eBay.

Winmark Corporation continues to enhance its franchise model by providing technology and training to support multi-channel operations.

Winmark Corporation (WINA) - Canvas Business Model: Customer Segments

Winmark Corporation targets aspiring entrepreneurs and small business owners looking to enter the resale market through franchising. As of the third quarter of 2025, the network included 1,377 stores operating under its various brands, up from 1,350 stores at the beginning of the year. The company supports this growth by highlighting over 2,800 available territories across the United States and Canada for new franchisees. Franchisee satisfaction remains high, with a renewal rate of 99% reported for the first three quarters of 2025.

The core of the customer base for the franchise side is the entrepreneur seeking a proven model. Here's a look at the scale of the existing business units as of late 2025, based on the latest reported data from 2024 and Q3 2025 figures:

Brand Segment	Approximate Store Count (Q3 2025)	2024 Average Gross Sales	2024 Average Gross Profit
Plato's Closet	526	$1,291,903	$819,037
Once Upon A Child	439	$1,998,918 (Top Quartile)	Data Not Separated
Play It Again Sports	309	Data Not Separated	Data Not Separated
Style Encore & Music Go Round	Combined Remainder	Data Not Separated	Data Not Separated

The end-consumer segments are diverse, united by the value proposition of the resale model across the five distinct retail niches. These customers are drawn to the company's mission to provide Resale for Everyone®.

• Aspiring entrepreneurs and small business owners (franchisees) looking to start a business with established brand support.
• Value-conscious consumers seeking high-quality apparel and gear at substantial savings from new merchandise prices.
• Millennials and Gen Z prioritizing sustainable and secondhand shopping, contributing to the circular economy; by August 2025, Winmark brands reached 2 Billion items recycled.
• Parents, teens, and athletes who utilize the specific offerings of Plato's Closet, Once Upon A Child, Play It Again Sports, Style Encore, and Music Go Round.
• Existing franchisees seeking to open additional units, supported by over 2,800 available territories.

For the consumer, the appeal is tangible savings; for example, the average store in 2024 generated average gross sales of $1,291,903. The top quartile of stores achieved average gross sales of $1,998,918 in 2024.

Winmark Corporation (WINA) - Canvas Business Model: Cost Structure

You're looking at the core expenses Winmark Corporation incurs to keep its franchise support engine running and manage its transition away from legacy business lines. Honestly, for a franchisor, the biggest costs are usually people and technology to support the network.

The Selling, General, and Administrative (SG&A) expenses are a key area to watch. For the first quarter of 2025, these expenses rose 9.1% to $7.43 million. This increase was noted as being driven by non-recurring expenses related to software licenses, which you'll want to track to see if it normalizes. For context on the scale, the full year 2024 SG&A was $24,944,200.

Capital expenditures (CapEx) are minimal, which is typical for an asset-light franchisor model. The figure you noted for 2024 was only $195,000. This low level of investment in fixed assets suggests the primary capital deployment is focused on intangible assets like technology and brand development, rather than physical plant.

The cost structure is heavily influenced by supporting the franchise network. This includes the costs associated with franchisee support, training, and technology development. For example, franchisees are required to pay an annual marketing fee of $1,500, and they must spend 5% of their gross sales for advertising and promoting their franchised store. Furthermore, every new owner must attend training, which is a direct cost to Winmark Corporation.

Financing costs are relatively controlled. Interest expense on corporate borrowings decreased to $613,900 in Q1 2025, down from $737,700 in the prior year period, reflecting lower average corporate borrowings.

A significant, but fading, cost factor relates to the run-off of the legacy equipment leasing portfolio. The company made the decision in May 2021 to stop soliciting new leasing customers and pursue an orderly run-off. By mid-2025, the company anticipated that leasing income net of leasing expense would be lower during the remaining quarters of 2025 compared to the last two quarters of 2024, as the run-off is substantially complete.

Here's a quick look at some of the key expense line items for comparison:

Expense Category	Period/Date	Amount
Selling, General, and Administrative (SG&A) Expenses	Q1 2025	$7.43 million
SG&A Expenses	Full Year 2024	$24,944,200
Interest Expense	Q1 2025	$613,900
Capital Expenditures (CapEx)	2024	$195,000
Compensation Expense (Stock Options)	First Three Months of 2025	$536,600

You should also keep an eye on the ongoing operational support costs, which include:

• Ongoing small business consulting via field operations managers.
• Tech support for proprietary and third-party software.
• Providing professional marketing and merchandising materials.
• Costs associated with new owner orientation training.

Finance: draft 13-week cash view by Friday.

Winmark Corporation (WINA) - Canvas Business Model: Revenue Streams

You're looking at how Winmark Corporation brings in its money, which is heavily weighted toward its asset-light franchise model. Honestly, the structure is designed for high margins, which is why you see those impressive profitability numbers, even as the legacy leasing business winds down.

The primary engine for Winmark Corporation is definitely the recurring revenue from its established franchise network. For the first quarter of 2025, royalty revenues hit $17.8 million. That number reflects the health of the system, which, as of the end of Q1 2025, included 1,363 stores operating under its brands. By the end of Q3 2025, that royalty stream had grown to $22.59 million for that single quarter.

New store growth feeds the top line through initial franchise fees. For Q1 2025, the income from these new store openings was $332,100. That was a slight dip from the prior period, suggesting you should watch the pace of new unit development closely as a leading indicator.

The legacy equipment leasing portfolio is nearing its end, but it still contributed. Income from the run-off of this portfolio for the first half of 2025 (H1 2025) amounted to $2.3 million. It's important to note that a significant portion of the Q1 2025 leasing income, about $2.2 million of the $2.3 million recognized, was a one-time boost from settling customer litigation. Management has signaled this run-off is substantially complete, so you shouldn't expect this stream to contribute much going forward.

Other revenue sources include merchandise sales and software license fees paid by franchisees. For instance, merchandise sales in Q1 2025 were $941,300, down from $1.11 million the year prior, often tied to technology purchases by the store owners. Software license fees are bundled into contract liabilities along with initial franchise fees.

Looking at the cumulative performance, the total revenue for the first three quarters of 2025 reached $57.35 million. This compares to $54.56 million for the same period in 2024. Here's a quick breakdown of the key revenue components we have data for across the first half of the year:

Revenue Component	Period	Amount (USD)
Total Revenue	First Three Quarters of 2025	$57.35 million
Royalty Revenues	Q1 2025	$17.8 million
Royalty Revenues	Q3 2025	$22.59 million
Initial Franchise Fees	Q1 2025	$332,100
Leasing Income (Net)	H1 2025	$2.3 million
Total Revenue	Q1 2025	$21.92 million
Total Revenue	H1 2025	$42.3 million

The reliance on the franchise model means that the revenue mix is heavily skewed toward recurring royalties. You can see that in the structure of the business, which prioritizes high-margin, predictable cash flow over transactional sales.

• Royalty revenues are the primary stream, representing the core economic engine.
• Initial franchise fees fund new unit expansion and are inherently lumpy.
• Leasing income is actively being run off, reducing its future impact.
• Merchandise sales and software fees are secondary, supporting franchisee operations.

To be fair, the Q1 2025 total revenue of $21.92 million included that one-time leasing benefit, so the underlying royalty growth rate is what you really need to track for sustainable performance.