The Picklr, the franchised indoor pickleball club brand, filed for Chapter 11 bankruptcy protection on October 10, seeking a court-supervised restructuring of Picklr Inc.
According to Sports Business Journal, an investor group led by franchisee Tom Neale has committed $4.5M in debtor-in-possession financing and would sponsor the reorganization.
The filing follows bankruptcy filings by five Picklr franchisees ahead of the announcement and a corporate staff reduction that CEO Jorge Barragan described as a temporary step to prepare for restructuring.
In a company update, Picklr Inc. said its clubs remain open, members are playing and franchise partners, who own and run their clubs, are operating as usual. The update put the financing commitment at $4.5M, subject to court approval, and said the funding would let the company resolve early growth commitments.
Founded in 2021, The Picklr began franchising in 2023 and has grown to more than 70 domestic locations, along with facilities in Australia, Canada and Japan.
Barragan told Sports Business Journal the company agreed to guarantee facility lease payments for some early franchisees. He said about 40 locations have such agreements and that the obligations became untenable for the parent company. Barragan told Sports Business Journal that Picklr signed “too many corporate guarantees” and that he takes responsibility for it. He said the bankruptcy process gives the company a way to work with landlords to renegotiate leases.
According to financial statements in the company’s franchise disclosure document, The Picklr posted a net loss of $4.4M on $10.3M in revenue in 2025. Total liabilities stood at about $19M as of the end of March. The bankruptcy filing lists roughly $760,000 in creditor claims related to guarantees.
No locations will close as a direct result of the bankruptcy, though Barragan expects the system to contract. He said the goal over the next 18 months to two years, as a shakeout plays out, is to position franchisees for a long runway through the terms of their leases.
For insights into how the industry is responding to the news of The Picklr’s financial challenges, click here.
Gain a competitive advantage
Subscribe to Pickleball Innovators for insider tips, expert insight and the latest trends to help your pickleball business thrive.
Jordan Meek is a staff writer for Pickleball Innovators, where she covers the rapidly evolving business of pickleball — from facility growth and technology to player experience and industry strategy. A graduate of Denison University with a degree in Journalism, she joined Peake Media in 2025 and brings a passion for storytelling and curiosity to every piece. Jordan is driven to spotlight the leaders shaping the sport and uncover insights that help operators thrive in the fastest-growing game in America. Reach her at jordan@peakemedia.com.
