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The hair salon franchise industry was always seen as a feminine industry in the entrepreneurial space. After all, hair salons typically provide pampering services and a space for conversation between acquaintances. Until Gordon Logan came along with the idea for Sport Clips, men and boys simply went to their local barber for a quick trim minus the pampering and community-oriented atmosphere.
In 25 years of franchising, the Sport Clips franchise system has grown to almost 2,000 locations across North America. Each Sport Clips franchise location prides itself on providing a fun and unique atmosphere for their customers. Sports loving fanatics can sit back and relax while they watch their favorite team compete. At the end of each appointment, customers leave with a fresh cut from an expert hair stylist. How did the Sport Clips franchise dream transform into a billion dollar reality? Find out below.
The Sport Clips Franchise Story
Gordon Logan always had a penchant for success. Before founding Sport Clips, the hair salon franchise entrepreneur put his degrees from MIT and UPenn to good use. Logan served in the Air Force as an aircraft commander before working as a financial planner for Price Waterhouse & Co. in Houston, Texas. While living in Texas, Logan owned and operated a handful of hair salons, an experience that proved to be invaluable for his next business venture.
In the early 1990s, the business-savvy entrepreneur recognized that men and boys did not have a space of their own when it came to hair salons. In 1993, the first Sport Clips location opened in Texas as a place for guys to watch the game and get a killer haircut. Logan wanted all customers to feel like “this is my kind of place.”
Over the next two years, Logan surrounded himself with a group of franchise industry veterans to plan out the perfect franchise entry into the market. Sport Clips began franchising in 1995 as one of the only hair salon franchises catering exclusively to males. Since the first location opened in Austin, Texas the Sport Clips franchise has always strived to provide a “championship haircut experience in an exciting sports-themed environment.”
Over the next few years, the Sport Clips franchise brand expanded across Texas and the Southwest. By the end of the decade, Sport Clips franchises were in 50 locations nationwide. In 2007 alone, the innovative hair salon franchise celebrated the opening of both its 400th and 500th franchise. Sport Clips franchises can be found in all 50 states and Canada after the first location opened there in 2012. When asked if he foresaw Sport Clips becoming one of the world’s largest franchises, Logan responded with “Yes, I just didn’t think it would take this long!”
With sports always on the mind, the very core of the Sport Clips team mindset is based on the core values that legendary college football coach Lou Holtz professed: Do Your Best, Do What’s Right, and Treat Others The Way They Want To Be Treated.” The Sport Clips franchise is heavily involved in charities across the nation including Habitat for Humanity, the Boys and Girls Club, and the Gratitude Initiative. As a strong supporter of veterans, Sport Clips has also provided more than 1,500 veterans with scholarships through the “Help a Hero” fundraiser. Sport Clips is also affiliated with Honor Flight Austin, the Aleethia Foundation, and many more.
Why Do Entrepreneurs Win With the Sport Clips Franchise System?
1. Great Freedom
Sport Clips franchisees enjoy a great sense of freedom that few independent business owners ever obtain. Like every other franchise owner, Sport Clips franchisees are their own bosses in an industry that is always in demand.
2. A Flexible Lifestyle
The Sport Clips franchise system employs a manager-managed business model that allows franchisees to work on their business, not in their business. This business model allows franchisees to quit their day jobs and become totally immersed in a winning franchise with excellent brand recognition.
3. Franchisees Benefit from a Wealth of Experience
A franchise cannot last for over 25 years without accumulating a wealth of experience and knowledge in the franchise industry. Under the tutelage of industry veterans, franchisees can rest easy knowing they are being guided by the best. Like every franchise, Sport Clips aids franchisees in training, proprietary technology, marketing, and much more.
4. A Winning Formula
It’s no secret that Sport Clips is a winning formula. With almost 2,000 franchises in operation across North America, entrepreneurs have clamored for their own Sport Clips franchise over the last few decades. Sport Clips touts a 95 percent continuity rate with franchisees, a true marker of franchisee success.
5. Ready-Made Brand Recognition
Perhaps the greatest advantage of owning a franchise is brand recognition. Sport Clips has been an identifiable brand in the hair salon franchise industry since its inception in 1993. Franchisees can begin providing hair services to an established customer base that knows and loves the brand.
Initial Franchise Fee: $25,000 – $59,500
The initial franchise fee to open a Sport Clips varies. The fee ranges from $25,000 to $59,500 and must be paid to the franchisor before opening your Sport Clips franchise. The higher figure refers to an instance where a franchisee wants to open a multi-unit Sport Clips franchise.
Royalty Fee: 6% of Net Sales
Franchisees are required to pay a royalty fee of 6% of net sales. Net sales refers to all revenue generated from business conducted during the reported period. Payment is expected each Monday. Net sales in this instance does not include sales tax.
Estimated Initial Investment Costs: $233,800 – $388,300
|Name of Fee||Low||High|
|Initial Franchise Fee/Development Fee||$25,000||$59,500|
|Travel and Living Expenses While Training||$1,000||$2,000|
|Fixtures and Equipment||$51,500||$61,800|
|Supplemental Services Fee||$3,000||$5,000|
|Permits and Licenses||$1,000||$3,500|
|Miscellaneous Opening Costs||$3,000||$5,000|
|Grand Opening Marketing||$30,000||$30,000|
|Real Estate||See FDD||See FDD|
|Additional Funds (3 months)||$40,000||$75,000|
Average Revenue Per Location: $250,000 – $600,000
The revenue range varies for each Sport Clips location. On average, the majority of Sport Clips franchise owners make between $350,000 and $400,000. Yet, there is a sizable chunk of Sport Clips franchise owners who make over $600,000. Make sure to analyze their FDD before making your decision.
Take the First Steps to Joining the Sport Clips Franchise Team Today!
Sport Clips is the largest hair salon franchise in the industry that primarily targets men and boys. As a franchise with international acclaim, excellent brand awareness, and a huge customer base, it’s no wonder entrepreneurs continue to open locations. Maybe it’s time for you to join this winning team and become a champion in the hair salon franchise space!