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Deka Lash Franchise ProfileHealth & Beauty Franchises > Cosmetic Services |
What is the Initial Investment for a Deka Lash Franchise?
To open a Deka Lash franchise, the initial investment ranges from $285,900 to $449,350. This includes a franchise fee of $59,900. Potential franchisees should also consider the cash required, which falls within the same range, ensuring they have adequate funds to cover startup costs and initial operational expenses.
What are the Ongoing Fees for Deka Lash Franchisees?
Deka Lash franchisees are subject to ongoing fees, including a royalty fee of 6% of gross sales and a marketing fee of 3%. These fees contribute to the support and resources provided by the franchisor, helping franchisees maintain brand standards and drive customer engagement through effective marketing strategies.
What is the Average Revenue Potential for Deka Lash Units?
Franchisees can expect an average annual revenue of approximately $295,798 per unit. The revenue varies, with the lowest reported annual revenue at $30,645 and the highest at $795,220. This wide range indicates the potential for significant earnings, depending on location, management, and market conditions.
What is the Financial Performance Outlook for Deka Lash Franchisees?
Deka Lash franchisees typically experience a breakeven point within 12 months and can expect to pay back their investment in about 16 months. With a gross profit margin of 95% and EBITDA at 35%, the financial performance outlook suggests a potentially lucrative opportunity for dedicated franchisees willing to invest in their business.
Deka Lash Franchise Financial Requirements
Below, you’ll find an overview of the initial investment needed to launch the business, along with the ongoing fees required by the franchisor to maintain operations over time.
The minimum total assets (minus liabilities) you must possess.
Net Worth Required:
The estimated period to recoup your total investment.
Investment Payback:
The initial fee paid to join the franchise system.
Franchise Fee:
Ongoing percentage of revenue paid to the franchisor.
Royalty Fee:
Regular contribution toward the franchise’s advertising fund.
Marketing Fee:
The estimated timeframe to recover your initial costs.
Breakeven Time:
The total amount required to launch the franchise.
Initial Investment:
The minimum liquid capital you must have on hand.
Cash Required:
The typical yearly revenue generated per franchise location.
Average Revenue:
The middle value of yearly revenue among franchise locations.
Median Revenue:
The largest reported annual revenue among franchisees.
Highest Revenue:
The smallest reported annual revenue among franchisees.
Lowest Revenue:
A broad sector defining similar types of franchise businesses.
Industry:
A more specific division within the broader industry.
Category:
The key individuals guiding the franchise’s strategy and growth.
Leadership:
The official business address of the franchisor’s headquarters.
Corporate Address:
Available financing options to help start the franchise.
Funding Year:
The main organization that owns the franchise brand.
Parent Company:
Deka Lash Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2021 | 2022 | 2023 |
|---|---|---|---|
| Total Units | 96 | 108 | 129 |
| Net Change YoY | 12 | 21 | |
| Franchised Units | 90 | 103 | 123 |
| Net Change YoY | 13 | 20 | |
| Corporate Units | 6 | 5 | 6 |
| Net Change YoY | -1 | 1 |
Franchise Overview
Deka Lash is a premier eyelash extension franchise that specializes in providing high-quality lash services to clients. With a focus on customer satisfaction and a commitment to excellence, Deka Lash has rapidly expanded its footprint, offering a unique business opportunity in the beauty and wellness sector. The franchise is designed for entrepreneurs looking to enter a growing industry with a strong brand reputation and proven operational model.
Investment Details
The initial investment to open a Deka Lash franchise ranges from $285,900 to $449,350, which includes a franchise fee of $59,900. Franchisees are required to maintain a net worth between $300,000 and $500,000. This investment provides access to a robust support system, training, and marketing resources to help franchisees succeed in their business endeavors.
Financial Performance
Deka Lash units generate an average annual revenue of approximately $295,798, with a median revenue of $278,672. The franchise has shown impressive revenue potential, with some units reporting as high as $795,220 annually. The breakeven period is estimated at just 12 months, with an investment payback period of around 16 months, making it an attractive option for potential investors.
Operating Expenses
The average annual operating expenses for a Deka Lash franchise total approximately $62,488, which includes costs for rent, utilities, payroll, and marketing. Understanding these expenses is crucial for franchisees to effectively manage their financial performance and maintain profitability. Efficient cost management can significantly impact the overall success of the business.
Growth Trajectory
Deka Lash has demonstrated consistent growth, increasing its franchised units from 90 in 2021 to 123 in 2023. This upward trend reflects the brand's strong market presence and the increasing demand for eyelash extension services. Franchisees can benefit from this growth by tapping into a rapidly expanding customer base and leveraging the brand's established reputation.
Support and Training
Deka Lash offers comprehensive training and ongoing support to its franchisees, ensuring they are well-equipped to operate their businesses effectively. This includes initial training sessions, access to a dedicated support team, and resources for marketing and operational best practices. The franchise’s commitment to franchisee success is a key factor in its overall business model.
Frequently Asked Questions
The initial investment for a Deka Lash franchise ranges from $285,900 to $449,350, which includes the franchise fee of $59,900 and other startup costs.