Updated February 11, 2020.
Detailed Estimates of Amazing Lash Studio Franchise Costs Based on Item 7 (Estimated Initial Investment) of Amazing Lash Studio’s 2019 Franchise Disclosure Document
1. Initial Franchise Fee: $39,000
- When you sign a Franchise Agreement to develop a single Studio, you must pay the franchisor an Initial Franchise Fee of $39,000. You must pay the Initial Franchise Fee as a lump sum by wire transfer.
- If you are signing the Franchise Agreement under an Area Development Agreement under which you or your affiliate previously paid a Development Fee, then you may not be required to pay an Initial Franchise Fee at the time you execute the Franchise Agreement.
2. Lease Review: $3,000 to $5,000
- Before signing any lease, sublease, or other agreement to secure possession of any site (a “Lease”), you must also submit a final complete copy of the proposed Lease to the franchisor.
- The Lease must contain certain provisions the franchisor requires, pursuant to the form of Lease Rider attached to the Franchise Agreement.
- The franchisor’s approval of your Lease is subject to the franchisor’s receipt of the Lease Rider, without modification or negotiation, executed by you and the landlord.
3. Leasehold Improvements (net of landlord tenant allowances): $68,534 to $249,977
- Amazing Lash Studio businesses are typically located in commercially-zoned shopping or entertainment areas.
- The amounts reflected above assume that you will lease the premises for your Amazing Lash Studio and do not include costs of land acquisition and construction of a building.
- The leasehold improvements estimate is based on the cost of adapting the franchisor’s prototypical architectural and design plans to a facility containing approximately 1,200 to 1,600 square feet.
- The estimates above assume that the landlord will provide connections to adequate electrical, gas, water, and sewage service. Your actual costs may or may not include site preparation and finish-out costs, depending on the arrangements you negotiate with your landlord.
4. Cabinetry and Millwork: $17,200 to $29,900
5. Furniture, Decor, Lighting, and Other Equipment: $14,600 to $21,400
- Estimates include all millwork, furniture, fixtures, and equipment to be used in your Amazing Lash Studio, including trade dress, interior art work, and design elements. All millwork, furniture, fixtures, and equipment must meet the franchisor’s System Standards.
6. Monthly Software and Technology Licensing and Support Fee: $875 to $1,400
- The franchisor currently charges a Software and Technology Licensing and Support Fee of $175 per month for the time period between when you sign your Franchise Agreement and your Opening Date.
- The franchisor estimates it will take you 150 to 240 days to open your Amazing Lash Studio, so the total amount of Software and Technology Licensing and Support Fees you must pay before opening will range from approximately $875 to $1,400.
7. Computer Hardware and Software: $19,300 to $24,300
- Computer Hardware and Software includes: (a) estimated purchase costs or monthly lease cost of computer hardware and software (including back office software and point-of-sale software meeting the franchisor’s specifications and provided by the franchisor’s designated supplier or other manufacturer approved in writing by the franchisor); and (b) PCI compliance hardware and equipment that you must purchase or lease from the franchisor’s designated supplier and use in the operation of your Amazing Lash Studio.
8. Initial Training Costs (for you or your Principal Owner): $250 to $3,000
- The franchisor provides its Training Program to your Key Personnel for no registration fee, but you are responsible for all of your out-of-pocket costs for sending such individuals to attend the Training Program, like travel, lodging, meals, and wages.
- The franchisor does not require you to appoint a General Manager, therefore the figures in the table represent only the estimated cost for one individual (you or your Principal Owner, if you are a business entity) to attend the Training Program.
9. Security Deposits: $2,250 to $8,426
- If you do not own retail space adequate to open your Amazing Lash Studio, you must lease or rent the retail space from a third party.
- Amazing Lash Studios are typically located in shopping or entertainment areas and require approximately 1,200 to 1,600 square feet. Estimated monthly lease payments range from $2,250 to $8,426 (including common area maintenance payments) depending on the size, condition, and location of the leased premises.
- Your landlord may require a security deposit before leasing the premises to you, which is typically equal to one month’s rent.
- Some utility companies also may require a security deposit before commencing services. The franchisor estimates the total amount of utility security deposits to be approximately $300 to $800.
10. Architectural Plans and Design (including Site Plan and Design Fees): $3,100 to $9,025
- You must use an architect and design vendor approved by the franchisor.
11. Signage: $10,000 to $15,000
- All interior and exterior signage used at, or in connection with, your Amazing Lash Studio must conform to the franchisor’s System Standards. The cost of the signs varies depending on the type, size, and location of the sign, and may also be affected by shipping costs, as well as local zoning and other ordinances and regulations and landlord restrictions.
12. Initial Studio Inventory and Supplies: $22,300 to $27,600
- The franchisor estimates that this range will cover the cost of product inventory (including eye lashes and related products), supplies, and other miscellaneous items for approximately the first 90 to 120 days of operations.
- You must purchase from the franchisor’s affiliate specific eye lash and related products for the operation of your Amazing Lash Studio.
13. Grand Opening Marketing (minimum spend): $10,000
- You must conduct a grand opening promotion for your Amazing Lash Studio in accordance with the franchisor’s System Standards.
- You will pay third-party advertising vendors directly, but all grand opening advertising must be agreed upon by you and the franchisor in advance, and all advertising must conform to the franchisor’s System Standards.
- This entire grand opening marketing amount must be spent during the period beginning 10 days before your Opening Date and ending 60 days after your Opening Date.
14. Business Supplies: $250 to $1,500
- The franchisor estimates that this range will cover the cost of various office and business supplies needed to operate an Amazing Lash Studio for approximately the first 90 to 120 days of operations.
15. Business Permits and Licenses: $500 to $2,000
- The cost includes the licenses and permits required to operate an Amazing Lash Studio in your location. The license and permit requirements are specific to the state and city/town in which your Amazing Lash Studio is located.
- Certain states may require that you file and post a bond, the estimated cost of which is not included in the table.
16. Insurance: $1,000 to $3,000
- You must obtain insurance coverage from the franchisor’s approved suppliers with the limits required by the franchisor. Your landlord may require additional insurance.
- Under the franchisor’s required insurance program, you pay 20% of the annual premium up front and the remaining premiums for the year in equal installments on a monthly basis.
- The estimate shown in the table reflects the initial 20% payment, which you will pay before your Amazing Lash Studio opens. However, franchisees have the option of paying the entire annual premium up front. If you elect to pay your entire annual insurance premium up front, these figures will be higher.
17. Professional Fees: $2,500 to $5,000
- The franchisor recommends that you retain an attorney to advise you on this franchise offering. You may also wish to retain an accountant to help you evaluate this franchise offering.
18. Additional Funds (3 months): $10,000 to $27,000
- The range of estimated costs represents your estimated initial start-up expenses (other than the amounts separately identified in the table), which include payroll costs (excluding a draw or salary for you or your manager if you are not the manager), lease payments, marketing expenses, uniform expenses, the costs of supplies, and other operating expenses.
- These estimates do not include managerial salaries or any payment to you or your Principal Owner, and assume that you have not engaged a General Manager.
19. Total: $224,659 to $482,528
- The franchisor relied on the experience of (its predecessor) ALSF’s affiliate-owned Amazing Lash Studio businesses and ALSF’s experience assisting franchisees in establishing franchised Amazing Lash Studio businesses along with the franchisor’s affiliates’ many years of business experience in selling Elements and Fitness Together franchises to compile these estimates.