Cost Cutters Family Hair Care vs Hair Cuttery Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of Cost Cutters Family Hair Care vs Hair Cuttery including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees
	Cost Cutters Family Hair Care Franchise	Hair Cuttery Franchise
Investment	$148,930 - $316,700	$120,500 - $283,000
Franchise Fee	$39,500	$15,000 - $25,000
Royalty Fee	6%	4.5-5%
Advertising Fee	4%	-
Year Founded	1982	1974
Year Franchised	1982	2004
Term Of Agreement	15 years	10 years
Term Of Agreement	15 years	10 years
Renewal Fee	-	25% of franchise fee
Business Experience Requirements
	Cost Cutters Family Hair Care Franchise	Hair Cuttery Franchise
Experience	General business experience Marketing skills Retail/service industry experience useful	-
Financing Options
	Cost Cutters Family Hair Care Franchise	Hair Cuttery Franchise
	In-House/3rd Party	In-House/3rd Party
Franchise Fees	No/No	No/Yes
Start-up Costs	No/Yes	No/Yes
Equipment	No/Yes	No/Yes
Inventory	No/Yes	No/No
Receivables	No/No	No/No
Payroll	No/No	No/No
Training & Support
	Cost Cutters Family Hair Care Franchise	Hair Cuttery Franchise
Training	On-the-job training: 46.5 hours Classroom training: 24 hours Additional training: As needed	-
Support	Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Franchisee Intranet Platform	-
Marketing	Co-op Advertising Ad Templates Regional Advertising Social media SEO	-
Operations	Franchisees required to buy multiple units/master licenses; 95% of all franchisees own more than one unit Number of employees needed to run franchised unit: 6 - 8 Absentee ownership of franchise is allowed. (20% of current franchisees are owner/operators)	-
Expansion Plans
	Cost Cutters Family Hair Care Franchise	Hair Cuttery Franchise
US Expansion	Yes	-
Canada Expansion	No	No
International Expansion	No	No

Company Overviews

About Cost Cutters Family Hair Care

In 1963, Joe Francis opened the first The Barbers Hairstyling for Men salon in Minnesota. Five years later, the salons began styling women's hair. In 1982, Francis diversified even more, founding family salon Cost Cutters. Twelve Cost Cutters centers opened that first year, and six years later, the 300th salon opened. Today, Cost Cutters is owned by Regis Corporation, a Minneapolis-based company that also owns a host of other hair salons, including City Looks, Regis Salons, Supercuts and We Care Hair.

Veteran Incentives  $2,500 rebate on first-store franchise fee

#244 in Franchise 500 for 2020.

About Hair Cuttery

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.