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Roosters Men's Grooming Center Franchise ProfileHealth & Beauty Franchises > Hair Salons |
Initial Investment Overview for Roosters Men's Grooming Center
To become a franchisee of Roosters Men's Grooming Center, you'll need to consider an initial investment ranging from $238,966 to $373,608. This includes a franchise fee of $39,500 and a cash requirement of $100,000 to $150,000. It's essential to ensure you meet the net worth requirement of $500,000 to $1,000,000 to qualify for ownership.
Revenue Potential for Franchise Owners
Roosters Men's Grooming Center offers promising revenue potential, with an average annual revenue per unit at $425,928 and a median of $400,034. However, there can be significant variation, with the lowest annual revenue recorded at $37,511 and the highest at $1,364,456. This variability highlights the importance of location and management in maximizing profitability.
Operational Fees and Financial Metrics
Franchisees should be prepared for ongoing operational fees, including a royalty fee of 4% and a marketing fee of 1%. The average operating expenses amount to approximately $224,547, which is about 52.75% of revenue. With a breakeven time of 24 months and an investment payback period of 22 months, financial planning is crucial for success in this franchise model.
Franchise Growth and Market Presence
As of 2023, Roosters Men's Grooming Center operates 82 franchised units, down from 89 in previous years. This trend suggests a need for strategic market entry and operational efficiency. Understanding the franchise’s growth patterns can provide valuable insights for prospective franchisees looking to enter the grooming sector.
Roosters Men's Grooming Center 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:
Roosters Men's Grooming Center 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 |
|---|---|---|---|
| Net Change YoY | -1 | -7 | |
| Franchised Units | 89 | 89 | 82 |
| Net Change YoY | 0 | -7 | |
| Corporate Units | 1 | 0 | 0 |
| Net Change YoY | -1 | 0 |
Initial Investment
The Roosters Men's Grooming Center franchise requires an initial investment ranging from $238,966 to $373,608. This includes a franchise fee of $39,500, ensuring that franchisees receive comprehensive support and brand recognition from the outset.
Financial Performance
Franchisees can expect an average annual revenue of $425,928, with a median annual revenue of $400,034. The revenue potential varies significantly, with the lowest reported annual revenue at $37,511 and the highest at $1,364,456, highlighting the varying performance across different locations.
Royalty and Marketing Fees
Franchisees are subject to a royalty fee of 4% of gross sales and a marketing fee of 1%. These fees contribute to the ongoing support and promotion of the Roosters brand, helping franchisees attract and retain customers.
Breakeven and Payback Period
The average breakeven time for a Roosters franchise is approximately 24 months, with an investment payback period of around 22 months. This timeline indicates a relatively quick return on investment, making it an appealing option for aspiring entrepreneurs.
Franchise Growth
As of 2023, there are 82 franchised units of Roosters Men's Grooming Center, a slight decrease from 89 units in previous years. This trend reflects the brand's focus on maintaining quality over rapid expansion, ensuring that each franchise operates at a high standard.
Operational Expenses
Franchisees should anticipate annual operating expenses around $224,547, which includes costs such as rent, general and administrative expenses, and advertising fund contributions. Understanding these expenses is crucial for effective financial planning and maximizing profitability.
Frequently Asked Questions
The initial investment for a Roosters Men's Grooming Center franchise ranges from $238,966 to $373,608, which includes the franchise fee, equipment, and other startup costs.