Former NBA center Theo Ratliff and Corlex Capital want to change the way restaurant investments are made.
Corlex, a Black-owned private equity firm, is working with the ex-athlete to raise money to support a restaurant franchising fund. The target is pro athlete investors.
Cortex and Ratliff can get a new franchisee started with a $100,000 investment, and aim to raise $5 million per fund.
“A lot of people want to be in the franchise industry but don’t have the know-how or the ability to run a franchise, and that’s what Corlex is bringing to the table,” Ratliff said on Tuesday. “The quick-service restaurants have been booming in this market.”
To help manage the franchises, Corlex takes a percentage of sales and charges royalty fees. The firm currently operates 10 Wingstops and will look to add more as investors tag along.
Athlete investment in restaurant franchises isn’t new. Investors like Junior Bridgeman — the basketball player turned fast-food tycoon — have set a standard for what it means to take advantage of an opportunity like the one Corlex and Ratliff are offering.