INVESTMENT

While the initial fee for a typical franchise agreement is $49,500, current employees of CHOP Barbershops as well as industry professionals holding a barber’s or cosmetology license may qualify for a scholarship up to $15,000.

Item description

Stores are typically located in trade areas that match the demographic profile of Our customers and range in size from 1,200 to 1,800 square feet. Any location You lease will have to be built out to Our specifications. These costs vary significantly from locale to locale, and Your initial cash outlay will depend on whether You choose to purchase or lease the site for Your barbershop, whether You receive a leasehold improvement tenant allowance from Your landlord, or the landlord agrees to prepare the space on your behalf, and the amount of work needed to bring the space up to our specifications. 

In order to protect Our brand and aid You in outfitting Your location, We will personally outfit Your location with furniture, lighting, fixtures, and décor necessary to further Our brand. The cost of this outfitting will be determined by the layout and design of Your location but will be in the range of $90,000. A breakdown of what is offered will be provided in Our eHub, as well as in an attachment to Your Franchise Agreement. 

In order to equip Your store with necessary equipment and supply, we will provide you a shopping list and required and/or recommended vendors which may include Us or Our Affiliates. It is Your responsibility to ensure you have purchased all necessary items for the opening of Your store. 

This estimate covers all costs for a grand opening day event with food and drinks for customers, travel and lodging for the owners to attend your events and aid in your grand opening week, and advertising materials and/or campaigns to announce your location’s opening and kick off Your Store’s marketing efforts. 

The range in the chart reflects the amount of additional working capital You will need during the first three months of operation. This total amount is based upon Our and Our Affiliate’s own historical experience and information we have obtained relating to the construction of similar retail spaces. We cannot guarantee that You will not incur additional expenses in starting the as we business that may exceed this estimate. This estimate also includes such items as initial payroll and payroll taxes, royalties (as described in this Disclosure Document), additional advertising, marketing and/or promotional activities, repairs and maintenance, bank charges, miscellaneous supplies and equipment, initial staff recruiting expenses, state tax license fees, deposits, and prepaid expenses (if applicable), and other miscellaneous terms as offset by the revenue generated by Your Barbershop. Your costs will depend on factors such as how closely you follow our methods and procedures, your management skills, experience and business acumen, local economic conditions, the local market for our products and services, the prevailing wage rate, competition, and the level of sales reached during the startup phase of the business.