It is probably rooted in "good intentions", but there is a reason the smaller "clubs" pop up; travel distance, players/parents feel jilted by not making the big club's elite team, do not feel the coaching is up to snuff, etceteras, etceteras. Many of these are the same regardless of club size.
The smaller clubs will still exist as they just pay a bigger club to register their players/teams and then they will handle uniforms, coaches, bonds, and the rest. Just do not have a "home" field to play league games. Bigger clubs make a tidy sum for just registering and the smaller clubs still have their teams, logos, and independence.
