What Are the Startup Costs?

Starting out as a new salon entrepreneur, you can take advantage of multi-unit incentives by entering into a 3-pack, 5-pack or 10-pack agreement, or you can open a single salon if you prefer to scale up at your own pace. This is a great way to carve out your own piece of the market for future growth and opportunities.

Type of
Expenditure
Amount
(Low-High)
Method Of
Payment
When
Due
To Whom Payment
Is To Be Made
Initial License Fee$30,000Lump SumWhen you sign the License AgreementFantastic Sams Franchise Corp (FSFC)
New Owner/SFC Training Fee$500 to $1,000Lump SumBefore your TrainingFSFC
Travel and Living Expenses For You and Your Employees During Training$1,500 to $3,000As IncurredDuring TrainingAirlines, Hotels & Restaurants
Leasehold Improvements
(including architectural fees)
$30,000 to
$125,000
As IncurredBefore you open your SalonLandlord, Suppliers
& Contractors
Rent$1,600 to $7,000Lump SumBefore you open your SalonLandlord & Suppliers
Utility Deposit$500 to $1,500Lump SumBefore you open your SalonUtility companies
Initial Haircare Product Inventory (3 month supply)$8,000 to
$14,000
As IncurredBefore you open your SalonFSFC Other Distributor
Salon Equipment$25,000 to
$37,500
Lump SumBefore you open your SalonSuppliers
Other Equipment, Fixtures, and Furnishings$6,262 to $16,506Lump SumBefore you open your SalonSuppliers
Salon Supplies - Non Technical (3 month supply)$2,500 to $4,500As IncurredBefore you open your SalonSuppliers
Salon Identity and Graphics Kit (interior graphics)$500 to $2,000Lump SumBefore you open your SalonFSFC Other Distributors
Advertising (first 3 months)$7,500 to
$15,000
As IncurredAs ArrangedSuppliers
Insurance$1,000 to
$9,000
Non-refundable as requiredAs IncurredInsurance Company
Additional Funds - 3 Months$30,000 to
$50,000
As IncurredAs ArrangedEmployees, Suppliers & Utilities
TOTAL$144,862 to $316,006
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