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Below is an in-depth analysis and side-by-side comparison of Hair Cuttery vs Roosters Men's Grooming Centers including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $120,500 - $283,000 | $203,250 - $342,350 |
Franchise Fee | $15,000 - $25,000 | $39,500 |
Royalty Fee | 4.5-5% | 4% - 6% |
Advertising Fee | - | 1% |
Year Founded | 1974 | 1999 |
Year Franchised | 2004 | 2002 |
Term Of Agreement | 10 years | - |
Term Of Agreement | 10 years | - |
Renewal Fee | 25% of franchise fee | - |
Business Experience Requirements |
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Experience | - | - |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/Yes | -/- |
Start-up Costs | No/Yes | -/Yes |
Equipment | No/Yes | -/Yes |
Inventory | No/No | -/Yes |
Receivables | No/No | -/- |
Payroll | No/No | -/- |
Training & Support |
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Training | - | On-The-Job Training: 40-56 hours Classroom Training: 50-60 hours |
Support | - | Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection |
Marketing | - | Ad Templates Regional Advertising Social media SEO |
Operations | - | Absentee Ownership Allowed Number of Employees Required to Run: 6 |
Expansion Plans |
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US Expansion | - | Yes |
Canada Expansion | No | Yes |
International Expansion | No | - |
NO LONGER FRANCHISING
For franchisees that enter into a
Development Agreement for the establishment of multiple SALONS, the initial
franchise fee is as follows:
*
First SALON $25,000
*
Second to Fifth SALON $20,000
*
Sixth or more SALONS $15,000
The fee for the first SALON is paid
to us when you sign the Development Agreement. The fees for the additional
SALONS are paid when you sign the Franchise Agreement for each SALON.
In addition to the initial franchise
fee for each SALON, you must also pay us, when you sign the Development
Agreement, a multiple unit development fee of $5,000 multiplied by the number
of SALONS to be developed under the Development Schedule.
For illustrative purposes only, if
you enter into a Development Agreement for ten SALONS, the initial ''franchise
fee and development fee payable to us at the time you enter into the agreements
will be as follows:
Initial Franchise Fee $25,000
Units Two through Ten $45.000 (9 x $5,000)
Total Fees Due $70.000
Multiple unit franchisees can expect
to have additional capital and operating expenses which single unit franchisees
may or may not incur. For example, we may provide our multi-SALON franchisees a
continuing royalty credit of V2 of one percent. To qualify for this credit you
will likely require an office, training capabilities, multi-unit management and
other support personnel. We have not included these additional costs in the
above projections as they will likely not occur with the opening of your first
SALON, nor are they reasonably estimated due to the uniqueness of each
multi-SALON franchisee''s independent business determinations.
Unless otherwise noted above, all of
the above fees are uniform and none of the above fees are refundable to you.
The barbershop was an American cultural icon from the early twentieth century through the late 1960s. For generations, men went to barbershops for a fine haircut and to enjoy great conversations with the barber and fellow clients. Barbers were held in as high esteem as doctors, growing strong, personal relationships with their clients that lasted a lifetime.
The Unisex Solution
As men's style changed, the unisex craze swept across America and barbershops almost disappeared. Men's choices were limited to salons that were devoid of everything they enjoyed about getting a haircut.
Interesting conversation and personal relationships were replaced by cold plastic seats, unpleasant chemical smells, and awkward periods of silence. Stylists often clipped away at lightning speed to move from one client to the next as quickly as possible.
The Barbershop Returns
After more than thirty years of decline, barbering and barbershops are making a comeback. In fact, barbershops are on the rise and growing faster than beauty salons.
* According to U.S. 2000 census statistics, barbering volume grew by at least 10% between 1996 and 2000.