• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Menu
  • Home
  • About
    • About Franchise Chatter
    • Contact
    • Privacy Policy
    • Terms of Service
    • Affiliate Disclosures
  • Subscribers Hub
    • Login
    • New to Franchise Chatter? Start Here
    • America’s Most Lucrative Franchises
    • Franchises Ranked by Average Revenues
    • Franchises Ranked by Average Profits
    • Franchise Winners, Survivors and Losers Last Year
    • FDD Talk
    • Search by Name
  • Top Franchises
  • Franchise Earnings
  • Costs
  • Fees
  • Quiz
  • Search

How Much Is a Great Clips Franchise? How Much Does a Great Clips Franchise Make? + Other FAQs

Published on November 19, 2021 by Franchise Chatter Leave a Comment
in Frequently Asked Questions (FAQs), Salon Franchise



Learn Which Franchises Can Make You Rich

With over 4,400 hair salons across the US and Canada, Great Clips is the world’s largest hair salon brand. Since its foundation in the 1980s, the brand has put an emphasis on value for money, providing inexpensive haircuts in no-frills, stripped-down salons.

Over the past decade, the company has made good use of technology to make its business more efficient and customer friendly. For a decade, customers have been able to use the company’s app to check how busy salons are and add themselves to the wait list for a cut. Other software tracks customers’ visits and haircut preferences to provide them with a more efficient service.

How much is a Great Clips franchise?

The estimated costs of establishing a Great Clips franchise range from $146,750 to $302,400 (Item 7, FDD 2021). This includes initial franchise fees, improvements to a leasehold property to prepare it to be a Great Clips, initial supplies, and the costs of a grand opening.


🎯Find Good Franchises That Are Still AVAILABLE in Your Target Area (Free Tool)



🚀How to Find, Vet & FUND a Good Franchise. Watch Our Webinar Live or the Recording Later (Register Now – It's Free)



💰How Much Franchise Can You AFFORD? Use Our Free Financial Calculator


How much is the Great Clips franchise fee?

The initial franchise fee for a single salon is $20,000. However, there are many ways to get a discount on this, especially if you want to open multiple salons. Under a Master Development Agreement, you can open a string of Great Clips salons for an initial fee of $10,000 each. The Three Star Program lets you set up three franchises for a total initial fee of $35,000 for all three, instead of $60,000. There’s a $5,000 rebate for veterans and other possible rebates through the expediter program, to obtain a specific location for the outlet (Item 5, FDD 2021).

Once a salon is set up, the main fees are a continuing franchise fee of 6% of gross sales and a contribution to the ad fund of 5% of sales, both payable biweekly (Item 6, FDD 2021).

How much does a Great Clips franchise make?

The average gross sales for a Great Clips outlet in 2020 were $299,604 (Item 19, FDD 2021). This 2020 average is down over 20% from the previous year’s average due to COVID restrictions. As those restrictions and customers’ reticence to enter a salon recede, business is likely to recover. Even during periods of economic hardship, consumers continue to spend on personal grooming, making a Great Clips franchise relatively resilient to economic downturns.

Of course, the majority of the gross sales don’t turn into profits, even on a lean franchise like Great Clips. To estimate the earnings you could make from a Great Clips, you need to calculate ongoing costs and deduct these from sales. Comparison with similar franchises can also help in understanding a salon’s value. Franchise Chatter’s in-depth reviews and franchise comparison tools can help with this, providing more detailed information.

How do you franchise a Great Clips?

The path to running a Great Clips franchise starts with an online application covering areas such as your personal experience and financial data.

America's Most Lucrative Franchises of the Year

This is followed by a six- to eight-week period of mutual evaluation. During this time, the company’s representatives will talk with you and evaluate your application to determine whether you’re a good fit. This is also your chance to ask questions and learn more about the company, to assess whether it’s a good fit for you. You’ll be provided with more information and given a chance to follow up on it.

If both sides decide that you’re a good fit, then you’ll sign a franchise agreement and get started setting up your salon. The company has both financial and personal criteria it looks for in potential franchisees.

Personal characteristics:

  • Willingness to follow a system.
  • Entrepreneur and leadership skills.
  • Engaged in operations: Ownership doesn’t require a daily presence in the salon, but you do need to be actively leading.
  • A growth mindset: The company encourages multi-unit ownership.
  • People and community focused.

Financial requirements:

  • Net worth of $300,000 ($500,000 in high-cost markets).
  • Liquid assets worth $50,000 ($75,000 in high-cost markets).
  • Credit score of 675.

Other requirements:


🎯Find Good Franchises That Are Still AVAILABLE in Your Target Area (Free Tool)



🚀How to Find, Vet & FUND a Good Franchise. Watch Our Webinar Live or the Recording Later (Register Now – It's Free)



💰How Much Franchise Can You AFFORD? Use Our Free Financial Calculator


  • Clean background and criminal record.
  • New franchisees must live in an open geographic market.

Is the Great Clips franchise for you?

Great Clips is a good franchise for someone ambitious who wants the opportunity to expand and run multiple units of the same business. The company encourages expansion through mechanisms such as its Master Development Agreement (Intro, FDD 2021), which is designed for franchisees running a chain of salons, and its Three Star Program (Item 7, FDD 2021) which offers a significant fee discount for a franchisee launching three salons instead of just one.

It’s also good for if you want to start your franchise investment while maintaining another job. Many franchisees start their first Great Clips salon while still working full-time jobs, and the company discusses this option on its website. This allows franchisees to get started, gain some experience, and then expand to a multi-unit franchise, letting go of the day job once this becomes financially viable.

The downside of this is that it’s less suitable for a franchisee who wants to focus on a single project, or who gets nervous about leaving the day-to-day management of outlets to others. If the Great Clips model isn’t for you, or you want to learn more about how it compares with competitors, then subscribe to Franchise Chatter for access to our detailed reviews and franchise comparison tools.


🎯Find Good Franchises That Are Still AVAILABLE in Your Target Area (Free Tool)



🚀How to Find, Vet & FUND a Good Franchise. Watch Our Webinar Live or the Recording Later (Register Now – It's Free)



💰How Much Franchise Can You AFFORD? Use Our Free Financial Calculator



Franchises Ranked by Average Revenues and Profits



Franchise Winners and Losers Last Year

Tagged as: Great Clips

Reader Interactions

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Previous post: How Much Is a Massage Envy Franchise? How Much Does a Massage Envy Franchise Make? + Other FAQs

Next post: How Much Is an Anytime Fitness Franchise? How Much Does an Anytime Fitness Franchise Make? + Other FAQs

Primary Sidebar

⚠️Buying a Franchise on Your Own Can Be Overwhelming

✅ Get the guidance and support you need every step of the way (including funding 💵) from an experienced franchise broker at no cost to you.

✅ Fill out this form and a specialist from the Franchise Brokers Association will reach out to you.

🚀How to Find, Vet and FUND a Good Franchise (Webinar)

✅ Is Franchising a Path for You? – Jun. 2 (Fri.), 11 a.m. EST

✅ Essential Services – Great for Good Times and Bad – Jun. 6 (Tues.), 4 p.m. EST

✅ Register Now to Get Free Access to Recordings of Both Webinars

Register Now

⭐️Franchise Chatter is reader-supported. We may receive a commission for leads generated from our site.

As seen in:  New York Times, Bloomberg Businessweek, and CNBC

Login

Remember Me
Register | Lost your Password?
Reminder: Your username and password are case-sensitive.

Need help? Email franchisechatterblog@gmail.com

👍”Your website and you have been instrumental in finding this franchise opportunity and I am overwhelmingly grateful.” (David F., subscriber)

🏆 Best Franchises by Industry

Best Franchises by Industry (All Lists)

Best Gym and Fitness Franchises

Best Pizza Franchises

Best Sandwich Franchises

Best Childcare Franchises

Best Ice Cream Franchises

Best Coffee Franchises

Best Hamburger Franchises

Best Salon and Beauty Franchises

Best Chicken Franchises

Best Smoothie and Juice Franchises

Best Maid Service Franchises

Best Mexican Restaurant Franchises

Best Massage Service Franchises

Best Tutoring Franchises

Best Auto Repair Franchises

Best Auto Oil Change Franchises

Best Asian Restaurant Franchises

Best Pet Franchises

Best Commercial Cleaning Franchises

Best Sports Bar Franchises

Best Baked Goods Franchises

Best Moving/Junk Removal Franchises

Best Mailbox Franchises

Best Apparel Retail Franchises

Best Senior Care Franchises

Best Restoration Franchises

Best Tech Franchises

Best Travel Agency Franchises

Best Trampoline Park Franchises

Best Tools Distribution Franchises

Best Property Management Franchises

Best Real Estate Franchises

Best Automotive Wheels and Tires Franchises

Best Weight Loss Franchises

Best Flooring Franchises

Best Eye Care Franchises

Best Physical Therapy Franchises

Best Acai Bowl Franchises

Best Poké Bowl Franchises

Best Donut Franchises

Best Kitchen and Bath Remodeling Franchises

Best Window Coverings Franchises

Best Plumbing Franchises

Best Home Inspection Franchises

Best Garage Franchises

Best Barbershop Franchises

Best Laundromat Franchises

Best Storage Unit Franchises

Best Car Wash Service Franchises

🚀 Daily FDD Talk Posts

TruBlue Total House Care Franchise

House Doctors Franchise

Rubbish Works Franchise

Mr. Rooter Franchise

Planet Smoothie Franchise

Soccer Stars Franchise

Express Employment Professionals Franchise

beem Light Sauna Franchise

The Lash Lounge Franchise

ARCpoint Labs Franchise

Hawaii Fluid Art Franchise

Snapology Franchise

Spherion Staffing Franchise

Aussie Pet Mobile Franchise

Perspire Sauna Studio Franchise

Code Ninjas Franchise

Merry Maids Franchise

Mighty Dog Roofing Franchise

Mister Sparky Franchise

City Wide Franchise

Maid Right Franchise

Benjamin Franklin Plumbing Franchise

America’s Swimming Pool Company Franchise

Gatsby Glass Franchise

ISI Elite Training Franchise

Blue Moon Estate Sales Franchise

Asurion Tech Repair & Solutions Franchise

Window Hero Franchise

Building Kidz School Franchise

Mint Condition Franchise

Caribou Coffee Franchise

Closets by Design Franchise

Fundraising University Franchise

Mr. Appliance Franchise

Strickland Brothers 10 Minute Oil Change Franchise

Showhomes Franchise

Grand Welcome Franchise

Nutty Scientists Franchise

1-800 Water Damage Franchise

Precision Door Service Franchise

TeamLogic IT Franchise

Lifetime Green Coatings Franchise

Alloy Franchise

British Swim School Franchise

Wallaby Windows Franchise

United Water Restoration Group Franchise

Hallmark Homecare Franchise

Commercial Investors Group Franchise

Sharkey’s Cuts for Kids Franchise

Techy Franchise

Franchise Chatter © 2023