Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

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FDD Talk 2014: Our Latest Views on Great Clips’ Average Revenues, Expenses, and Operating Cash Flow

by Franchise Chatter on September 10, 2014

in Franchise Earnings, Salon Franchise

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In this FDD Talk post based on Great Clips’ 2014 FDD, you will find the answers to the following questions:

  • What were the average gross sales, expenses, and operating cash flow of certain Great Clips units in 2013? How many units were included in the sample and what were the criteria for their inclusion?
  • How many Great Clips units were excluded due to insufficient data? If these units were included, what effect would it have on the median total sales and operating cash flow?
  • How did Great Clips obtain the sales and expense data used in Item 19? Why was certain information annualized?
  • What is the average number of Great Clips salons per franchisee who has operated Great Clips salons more than 5 years?
  • How does Great Clips define the following terms:  Revenues, Labor, Occupancy, Products, Continuing Franchise Fees, Advertising, Other Expenses, and Operating Cash Flow?
  • How do newly opened stores perform in terms of average sales and cash flow compared to units included in the sample below?
  • Do markets with many Great Clips units typically perform better or worse than markets with few existing Great Clips units?
  • What are Franchise Chatter’s latest views on the financial performance of Great Clips salons?

Great Clips Basswood Crossing

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