Fantastic Sams Hair Salon Franchise
Fantastic Sams is a convenient, affordable alternative to high-end salon and budget haircut franchises
The salon and hair-care industry is a multi-billion dollar industry that’s growing by 8% a year. Within that industry, you’d be hard-pressed to find a more stable salon franchise chain than Fantastic Sams, which is the oldest full-service unisex salon franchise in the nation and has grown to more than 1,100 units over the past 40 years.
Fantastic Sams has remained relevant because we specialize in offering affordable options for what full-service beauty salon customers seek. The Fantastic Sams brand you might remember from the 1970s was acquired in 2012 by Dessange International, a premium-luxury, multinational European beauty salon chain.
Our value proposition is simple: We offer customers current styles at affordable prices in a convenient atmosphere. Unlike discount haircut franchises, we serve more women than men, and our average ticket price is much higher, creating larger margins for the same investment levels. (You can open your own Fantastic Sams salon for about $185,000.) We are looking for franchise candidates with a minimum liquidity of $70,000 and a net worth of at least $300,000.
Most new franchise owners take advantage of our Multi-Unit Development Agreements which give pricing discounts on the franchise fee. You will need additional net worth and additional liquid capital to qualify for multiple salons and the franchise fee for 3 salons is $50,000. For 5 salons, the franchise fee is $70,000.
Fantastic Sams franchisees receive the benefits of a recognized and beloved national brand, the security of a large, trend-setting organization and the support of a well-resourced chain. We currently offer a unique financing program in partnership with BanCorp. Franchise candidates that qualify with a credit score above 660, have no bankruptcies and can document the liquid capital required can qualify for loan that can cover as much as 85% of the franchise purchase.
“Owning a Fantastic Sams is an entrepreneur’s dream,” says franchisee Rick Tonet, who has four salons in the Pittsburgh area. “They are not in your face every day. It’s like: ‘Here’s everything you need. If you need help, we’re there for you.’ And I like that.”
Regardless of the economy, there is a constant and consistent demand for quality hair-care services, such as hair styling and coloring, at reasonable prices. When money is tight, customers look for more-affordable alternatives. As Baby Boomers and Gen X’ers are getting older and grayer, more of them are opting to get color treatments more often. About 75% of women in the United States use some sort of color on their hair, and the percentage of men who color their gray hair is on a huge upswing.
A 2010 survey by TRESemme showed that the average woman spends $44,000 to $51,000 during her lifetime on hair care. According to the same study, 83% of those responding said their investment was worth every penny. Put another way, they will keep spending what they normally spend or more. These women want color, cuts, products and a variety of other salon services, and they like to buy them from the same source over a long period of time.
Fantastic Sams is a great alternative to costly, high-end salons. We set up shop in neighborhood shopping centers near where people live, we keep convenient hours, we accept walk-ins and we offer services for men, women and children. We offer families a one-stop family shop, which fosters intense customer loyalty. Four decades later we’re still growing strong with our trend-right salons.
Hair Salon Franchise Opportunities: Why Fantastic Sams Is a Great Investment
Fantastic Sams operates in the middle of the target of a high-growth but still mature $75-billion-a-year salon industry. Hair Salons are big business, especially salons that offer color services in addition to haircuts. Demand for color services has been growing at over 8% a year.
Regardless of the economy, people always need haircuts. Older women want to look younger. Younger women want to look more sophisticated. Everyone wants to look good. Multibillion-dollar industries don’t just go away.
Salon services can’t be replaced by technology, either. You can’t stream them through the internet or outsource them to other countries, and they aren’t subject to a host of dangers and threats that other businesses experience.
Since Fantastic Sams began, the United States has experienced six recessions. Many of our franchisees are 20- and 30-year veterans whose Fantastic Sams thrived through all of them. During tough economic times, women who would normally visit high-end salons look for something more affordable, which is the heart of our sweet spot. So when some salons’ business might drop off, many of our franchisees experience an influx of new customers.
Our business is almost bulletproof, and the business world has noticed.
Among our awards:
No. 47, “Entrepreneur” Top 500 franchises, 2014. We’ve been on this prestigious ranking of the best franchise opportunities for several consecutive years.
No. 151, “Franchise Times” Top 200, 2013. In addition, Fantastic Sams was included in the publication’s Top Personal Care franchise systems.
“USA Today” 50 Top Franchises for Veterans, 2013. We offer a 25% discount on franchise fees for veterans who open multiple salons.
“Inc. Magazine’s” Franchise 500|5000, 2010-2013. Fantastic Sams is included in the compilation of the fastest-growing private companies in America.
Since our purchase by Dessange International, we are growing, and we expect to double or triple our number of locations in the next five to 10 years. Now is a great time to research owning your own Fantastic Sams Hair Salons franchise and click below to get answers to common questions.Learn More »