---
title: "Why the Big Blue Swim School Franchise Opportunity Appeals to High Net Worth Individuals and Investors"
url: https://burnaze.com/article/2d52c7d5-f92f-40c3-b1f9-077b15ec7735
source: "1851 Franchise"
original_url: https://1851franchise.com/why-the-big-blue-swim-school-franchise-opportunity-appeals-to-high-net-worth-individuals-and-investors-2714140
category: "Fitness"
industry: "Fitness"
topics: ["Emerging brands"]
published: 2020-10-23T20:15:32.000Z
modified: 2026-11-01T02:27:42.309Z
image: https://newimage.1851franchise.com/cdn-cgi/image/quality=85,format=webp,width=1280,height=720/story/featureImage/0f5af70d5521793d745391d11f831c9b6990.jpg
---

# Why the Big Blue Swim School Franchise Opportunity Appeals to High Net Worth Individuals and Investors

**TL;DR:** Big Blue Swim School appeals to high net worth individuals and investors with its high barrier of entry and scalable business model. The brand was founded by Chris DeJong in 2009 and acquired by Level 5 Capital Partners in 2017 to help achieve its goal of growing through franchising.

*originally published in 1851 Franchise on 2020-10-23. [Read the original](https://1851franchise.com/why-the-big-blue-swim-school-franchise-opportunity-appeals-to-high-net-worth-individuals-and-investors-2714140).*

## Story

**National champion swimmer Chris DeJong founded** **Big Blue Swim School** **in 2009, opening the brand’s first pool in Wilmette, Illinois, followed by four additional Chicagoland schools. In 2017, private equity firm** **Level 5 Capital Partners** **was attracted to the emerging brand and acquired a stake to help** **Big Blue Swim School** **achieve its goal of growing through franchising to 150 pools by 2021. Part of Level 5’s decision to partner with the brand came from Big Blue’s high barrier of entry,** **which appeals to experienced, passionate, high net worth investors who are looking to scale their business portfolio****.

The brand’s real estate expertise and leadership support, coupled with its best-in-class consumer offerings and unit level economics, position franchise partners for long-term success.

**Now, an increasing number of entrepreneurs are being drawn to Big Blue and the swim lesson segment. “It has taken a long time for the swim school segment to catch up to consumer demand for a number of reasons — a main one being that the swim lesson segment is expensive,” said DeJong. “If I want to fill a pool in a strip mall, it requires a big lease with prime real estate.

## Investment and support

Because owning a swim school has a high capital cost, it prevented many people from seeing it as a profitable entity, but it’s a business based on a critical need and it can’t be outsourced or automated. Water safety lessons need to exist on a local level and must be provided through personal instruction.** **It’s an industry that is always in demand, making it a smart business investment for high net worth investors****, especially amid COVID-19.”

**Because of the financial requirements to open a Big Blue pool—the total investment necessary to begin operation is $2,329,223 to $3,636,998*—****the brand attracts semi-absentee investors** **with sizable equity who are looking to add a proven business to their portfolios. Big Blue creates the kind of high-performing returns and market longevity that high-income investors look for in a new business opportunity, with the average gross revenue for a Big Blue Swim School with five or more years of operations reported at $2.2 million and an average EBITDA of 31.4% in the 2020 FDD.**

**Several high net worth franchise partners have recently joined the Big Blue system as area developers including** **Erik and Wendy Skaalerud, who will bring five pools to the Denver area****.**

**“When thinking about Big Blue, it is important to remember that the initial investment is higher than most concepts — because of this, it is key that high net worth investors like ourselves have the proper support to ensure that no mistakes are made throughout the development process,” said Erik Skaalerud. “Big Blue is super hands-on throughout the entire process, which leads to a very accurate and reassuring build-out. Plus, the real estate selection is data-driven, so the team ensures that all metrics will be optimized and all costs covered to promote as quick of a ramp up as possible.”**

**While many investors may not come from a background in the swim school segment,** **Big Blue’s leadership team** **fully supports franchise partners through real estate selection, marketing assistance, staffing, training and much more. By offering a solid support infrastructure that positions each pool for optimal success, Big Blue allows** **franchise** **partners to focus on what they love best — creating big, life-changing moments for kids and families.**

**Chris Burden, another Big Blue franchise partner who signed on for a three-unit deal in New Jersey****, agrees that the expertise of the leadership team is a primary factor in creating the confidence needed to commit to the investment. “Talking to the leadership team during Dive-in Day gave me a much deeper understanding of the business opportunity and of Big Blue's competitive advantages in the marketplace,” he said. “The coherence of a company's senior management team is a very important component of success, and I was impressed by how well the team works together.”**

## Business model and returns

**In addition to support from the team, Big Blue’s recession-resistant business model creates a clear path to success for pool owners, with recurring revenue generated through optimized capacity planning and a proprietary enterprise system —** **LessonBuddy™** **— that makes scheduling easier for parents.**

**With this proven model, Big Blue appeals to high net worth individuals because of its ability to** **generate industry-leading ROI in a 2 to 5 year period****. Individuals looking for great returns on their investment can park their capital for a long period of time and see high returns.**

**“Big Blue has high barriers to entry, excellent returns and** **solid lasting power** **in the market,” said Skaalerud. “We feel strongly that Big Blue, even in its very young stage, has implemented a strong strategy and team that supports each owner’s growth and sustainability over time. The caliber and delivery of the service is unmatched. With Big Blue, you truly get what you pay for.”**

***Multi-unit*** ***franchise opportunities*** ***are available for qualified candidates looking for their next big opportunity, and veterans can receive a 10 percent discount on the $80,000 franchise fee. The total investment necessary to begin operation of a new Big Blue Swim School is $2,329,223 to $3,636,998 (refer to item 7 in FDD)" To learn more or inquire about Big Blue Swim School, visit*** ***

****This discloses average annual EBITDA for 3 affiliated BIG BLUE Swim Schools in Illinois during their 1st, 2nd, and 3rd full years of operation and for 2 of those 3 Schools during their 4th and 5th full years of operation. Each School operated for at least 3 full years as of December 31, 2019. 1 (33%) of the 3 Schools exceeded the average EBITDA during each of their 1st, 2nd, and 3rd full years of operation, and 1 (50%) of the 2 Schools exceeded the average EBITDA during each of their 4th and 5th full years of operation.

The start and end dates of the years of operation for each School differ because each opened on a different date. A new franchisee’s results may differ from the represented performance. There is no assurance that you will do as well and you must accept that risk.

These figures appear in Item 19 of our 6/19/2020 Franchise Disclosure Document with other historical financial performance information for these 3 Schools.

## Entities

- 1851 Franchise (publication)
- Fitness (sector)
- franchise opportunity (topic)
- Big Blue Swim School (company)
- Chris DeJong (person)
- Level 5 Capital Partners (investor)
- scalable business model (topic)
- private equity investment (topic)
- high net worth investors (topic)
- swim school segment (topic)

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Originally reported by 1851 Franchise (https://1851franchise.com/why-the-big-blue-swim-school-franchise-opportunity-appeals-to-high-net-worth-individuals-and-investors-2714140). Summarized by Burnaze (https://burnaze.com/article/2d52c7d5-f92f-40c3-b1f9-077b15ec7735).