Hair Success franchise unit economics
Hair Success franchisees run a salon, a med spa and spa, a salon and spa, or a spa without a salon, under the HAIR SUCCESS mark.
Hair Success franchise at a glance
Hair Success’ 2026 FDD, issued 17 September 2026, makes no financial performance representation in Item 19, so it gives no sales or profit figure. A Hair Success franchise costs $1,019,800 to $4,668,600 to open, depending on the format. Hair Success charges a royalty of 6% of monthly Gross Revenues, with a minimum of $1,500 a month.
- A Hair Success franchise costs $1,019,800 to $4,668,600 to open, depending on the format, including the $65,000 initial franchise fee, according to the 2026 FDD.
- A Hair Success salon, med spa and spa costs $2,489,800 to $4,668,600, a salon and spa $1,677,800 to $3,095,300, and a spa only $1,019,800 to $2,068,300.
- Hair Success charges a royalty of 6% of monthly Gross Revenues, with a minimum royalty of $1,500 a month from the sixth full month after signing.
- Each Hair Success franchisee must spend at least 2% of Gross Revenues a month on local advertising, and Hair Success has no advertising fund at present.
- Hair Success had no franchised outlets and 1 company-owned outlet, in North Dakota, at the end of 2025, and projects 6 franchised openings in the next year.
These figures come from Hair Success's 2026 Franchise Disclosure Document, as the brand reported them, and were read by Averan Advisors.
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Talk to Averan → Move your books and accounting to Averan →- The Hair Success FDD contains no financial performance representation. Item 19 of the Hair Success FDD says Beauty Enterprises does not make representations about past or future financial performance. A buyer of an existing Hair Success outlet may be given that outlet’s actual records.
- Hair Success offers three formats at three price ranges. A Hair Success salon, med spa and spa costs $2,489,800 to $4,668,600, a salon and spa $1,677,800 to $3,095,300, and a spa only $1,019,800 to $2,068,300. The Hair Success initial franchise fee is $65,000 for each format.
- Real estate improvements are the largest Hair Success cost. The Hair Success real estate improvements line is $2,000,000 to $3,600,000 for a salon, med spa and spa, 80.3%* of the low estimate, and assumes no landlord build-out allowance.
- The Hair Success minimum royalty is $1,500 a month, or $18,000* a year. The 6% Hair Success royalty passes the minimum at $25,000* of monthly Gross Revenues, or $300,000* a year. The Hair Success minimum starts in the sixth full month after signing, whether or not the outlet is open.
- Hair Success had no franchised outlets at the end of 2025. Hair Success began franchising in 2026. Hair Success projects 6 franchised salon, med spa and spa openings in the next year: 2 in Minnesota, 2 in Missouri, 1 in Montana and 1 in North Dakota.
Revenue
What the Hair Success FDD discloses about revenue
The Hair Success FDD makes no financial performance representation. Item 19 of the Hair Success FDD says Beauty Enterprises does not make representations about a franchisee’s future financial performance or the past financial performance of company-owned or franchised outlets. The Hair Success FDD gives no average revenue, median, range or profit figure for any outlet.
A buyer of an existing Hair Success outlet may receive that outlet’s records. Item 19 says that if you are purchasing an existing outlet, Hair Success may provide the actual records of that outlet.
The Hair Success minimum royalty sets a floor on payments to the franchisor. A Hair Success franchisee pays at least $1,500 a month of royalty from the sixth full month after signing, $18,000* a year, and the 6% Hair Success royalty is higher than the minimum above $300,000* of annual Gross Revenues.
The Hair Success additional funds line covers three months of costs. The Hair Success Item 7 estimate of $100,000 to $250,000 includes payroll, rent, security deposits and utilities for the first three months, and excludes an owner’s draw and any royalty.
Formats
Hair Success formats, territory and opening timeline
| Format | Services | Square feet | Low | High |
|---|---|---|---|---|
| Salon, med spa and spa (Type 1) | Salon, med spa and spa services | 10,000 to 12,000 | $2,489,800 | $4,668,600 |
| Salon and spa (Type 2) | Salon and spa services | 6,000 to 8,000 | $1,677,800 | $3,095,300 |
| Spa only (Type 3) | Spa services | 3,000 to 5,000 | $1,019,800 | $2,068,300 |
Source: Hair Success FDD, Items 1 and 7. The franchisee chooses one format, the Selected Business. Square feet are the Item 7 assumptions for real estate improvements.
A Hair Success franchisee chooses one of three formats. Hair Success operating rules are generally the same across the formats, and a Hair Success salon, med spa and spa costs the most to open and run.
Hair Success med spa services fall under medical rules. The Hair Success FDD says med spa services are generally considered the practice of medicine, which can mean a medical license to own a med spa, a supervising physician and nursing rules.
A Hair Success Protected Territory generally holds about 600,000 to 1 million people. The Hair Success territory is not exclusive, and the Hair Success franchisor may run or license salons, spas and med spas under other marks inside it.
Hair Success expects six to twelve months from signing to opening. The Hair Success franchisee must have an approved site within 210 days and a lease or purchase within 270 days, or Hair Success may terminate the agreement.
Outlets
Hair Success outlets and projected openings, December 31, 2025
| State | Franchised, open | Company-owned, open | Signed, not yet open | Projected franchised openings |
|---|---|---|---|---|
| Minnesota | 0 | 0 | 0 | 2 |
| Missouri | 0 | 0 | 0 | 2 |
| Montana | 0 | 0 | 0 | 1 |
| North Dakota | 0 | 1 | 0 | 1 |
| All | 0 | 1 | 0 | 6 |
Source: Hair Success FDD, Item 20. Every outlet and projected opening is a salon, med spa and spa (Type 1). Item 19 gives no results by outlet, so this section shows where Hair Success outlets are open and projected.
Hair Success had one outlet at the end of 2025, a company-owned salon, med spa and spa in North Dakota. The Hair Success FDD says an affiliate, The Salon Professionals Academy Fargo Inc., has run a Hair Success salon, med spa and spa in Fargo since 1984.
Hair Success projects 6 franchised openings in the next year. The Hair Success projections are 2 in Minnesota, 2 in Missouri, 1 in Montana and 1 in North Dakota, all salon, med spa and spa outlets.
The Hair Success FDD lists the size of the investment as a risk. The Hair Success FDD states that a franchisee’s initial investment exceeds the franchisor’s members’ equity at December 31, 2025.
Brand charges
Brand charges
| Charge | Amount | When | A year |
|---|---|---|---|
| Royalty Fee | 6% of monthly Gross Revenues; minimum $1,500 a month from the sixth full month after signing | Monthly | At least $18,000* |
| Advertising Fund | None at present; may be set up at up to 2% of monthly Gross Revenues | Monthly | – |
| Local Advertising Requirement | At least 2% of monthly Gross Revenues, paid to third parties | Monthly | – |
| Technology Fee | None at present; up to $250 a month if the franchisor supplies software | Monthly | – |
| Monthly Website Fee | $119 a month, paid to the website vendor; up to $500 if the vendor changes | Monthly | $1,428* |
| Annual conference | $250 to $400 an attendee | Yearly | – |
Source: Hair Success FDD, Items 5 and 6. Without an Item 19 average there is no sales figure to divide by, so Averan does not compute a total fee as a percentage of sales. The royalty and the local advertising minimum come to 8%* of Gross Revenues. Fees not based on Gross Revenues may rise each year with the Consumer Price Index.
The Hair Success royalty is 6% of monthly Gross Revenues, with a $1,500 monthly minimum. The Hair Success minimum starts in the sixth full calendar month after signing, whatever the opening date or the revenue.
Hair Success has no advertising fund at present. If Hair Success sets one up at 2% of monthly Gross Revenues, the Hair Success local advertising requirement falls to 1%.
Hair Success affiliates may earn fees on the site and the build. A Hair Success affiliate broker may earn up to 6% of the rent for the first three years of the lease and up to 3% after, and a Hair Success affiliate construction manager may earn 2% to 4% of the construction value, if the franchisee uses them.
Hair Success charges a $20,000 transfer fee and renewal costs of up to $5,000. If Hair Success terminates the agreement for cause, the franchisee owes liquidated damages based on 24 months of royalties.
Cost to open
Cost to open
| Line | Salon, med spa and spa, low | high | Salon and spa, low | high | Spa only, low | high |
|---|---|---|---|---|---|---|
| Initial franchise fee | $65,000 | $65,000 | $65,000 | $65,000 | $65,000 | $65,000 |
| Website fee | $1,800 | $1,800 | $1,800 | $1,800 | $1,800 | $1,800 |
| Real estate improvements | $2,000,000 | $3,600,000 | $1,200,000 | $2,400,000 | $600,000 | $1,500,000 |
| Equipment and furnishings | $150,000 | $550,000 | $150,000 | $250,000 | $150,000 | $175,000 |
| Exterior building signage | $14,000 | $40,000 | $14,000 | $40,000 | $14,000 | $40,000 |
| Initial training attendance | $2,500 | $5,000 | $2,500 | $5,000 | $2,500 | $5,000 |
| Computer equipment, phone and alarm systems | $35,000 | $45,000 | $35,000 | $45,000 | $35,000 | $45,000 |
| Inventory to begin operating | $25,000 | $45,000 | $25,000 | $30,000 | $15,000 | $30,000 |
| Utility deposits and other prepaid expenses | $2,000 | $6,000 | $2,000 | $6,000 | $2,000 | $6,000 |
| Insurance | $8,000 | $10,000 | $2,000 | $6,000 | $2,000 | $4,000 |
| Licenses and permits | $500 | $800 | $500 | $500 | $500 | $500 |
| Professional fees | $5,000 | $8,000 | $5,000 | $10,000 | $5,000 | $10,000 |
| Initial opening marketing and advertising | $25,000 | $30,000 | $25,000 | $30,000 | $25,000 | $30,000 |
| Materials and supplies | $6,000 | $12,000 | $2,000 | $6,000 | $2,000 | $6,000 |
| Additional funds, 3 months | $150,000 | $250,000 | $150,000 | $200,000 | $100,000 | $150,000 |
| Total as printed | $2,489,800 | $4,668,600 | $1,677,800 | $3,095,300 | $1,019,800 | $2,068,300 |
Figures as filed. The 15 lines add to the printed totals, except the salon and spa low estimate, whose lines add to $1,679,800* against the printed $1,677,800. The cover says $65,000 of each total is paid to the franchisor or an affiliate. The real estate estimates assume no landlord build-out allowance.
Discounts available
- Hair Success may reduce royalties and waive initial fees for future locations for franchisees who buy in the first year Hair Success offers franchises.
- Hair Success may reduce royalties for franchisees who develop and run several locations.
From Item 5 of the Hair Success 2026 FDD. The costs on this page use the full initial franchise fee for one unit, before any discount.
Hair Success estimates $2,489,800 to $4,668,600 for a salon, med spa and spa. A Hair Success salon and spa is $812,000 to $1,573,300* less, and a Hair Success spa only a further $658,000 to $1,027,000* less.
Hair Success real estate improvements run $600,000 to $3,600,000 across the formats. For a Hair Success salon, med spa and spa, the line is 80.3%* of the low estimate. The Hair Success estimates cover design, demolition, carpentry, fire protection, HVAC, electrical and plumbing work.
The $65,000 Hair Success initial franchise fee is paid in two halves. The Hair Success franchisee pays $32,500 at signing and $32,500 by the day before opening. The Hair Success fee is 2.6%* of the salon, med spa and spa low estimate and 6.4%* of the spa only low estimate.
Hair Success relied on its affiliates’ salons, spas and med spas for the estimates. The Hair Success FDD also cites management experience and industry trends.
Locations
Locations, 2025
| Outlet type | Start of 2025 | Opened | Closed or transferred | End of 2025 |
|---|---|---|---|---|
| Franchised | 0 | 0 | 0 | 0 |
| Company-owned | 1 | 0 | 0 | 1 |
Figures as filed. Item 20 covers 2025 only. No Hair Success franchise agreement was signed for an outlet not yet open at December 31, 2025.
Hair Success had no franchised outlets at the start or end of 2025. Hair Success had one company-owned outlet, a salon, med spa and spa in North Dakota.
Beauty Enterprises, the Hair Success franchisor, was organized in North Dakota on July 12, 2022. The Hair Success FDD says the franchisor has sold and supported Hair Success franchises since 2026 and has never run a Hair Success outlet itself.
Hair Success has no former franchisees and no franchisee confidentiality agreements. The Hair Success FDD lists no trademark-specific franchisee organization.
Questions we get asked
Questions owners ask
How much does it cost to open a Hair Success franchise?
The 2026 Hair Success FDD estimates $2,489,800 to $4,668,600 for a salon, med spa and spa, $1,677,800 to $3,095,300 for a salon and spa, and $1,019,800 to $2,068,300 for a spa only. Each Hair Success estimate includes the $65,000 initial franchise fee.
What fees does Hair Success charge?
Hair Success charges a royalty of 6% of monthly Gross Revenues, with a minimum of $1,500 a month from the sixth full month after signing. Hair Success franchisees spend at least 2% of Gross Revenues on local advertising and pay $119 a month for a website.
How much does a Hair Success franchise make?
The Hair Success FDD does not say. Item 19 makes no financial performance representation, so there is no average, median or profit figure for any Hair Success outlet.
How many Hair Success locations are there?
Hair Success had no franchised outlets and 1 company-owned outlet, in North Dakota, at December 31, 2025. Hair Success projects 6 franchised openings in the next year.
Does a Hair Success outlet have to include a med spa?
No. A Hair Success franchisee chooses a salon, med spa and spa, a salon and spa, or a spa only. The Hair Success formats with a med spa must meet medical licensing rules.
How long does it take to open a Hair Success outlet?
Hair Success expects six to twelve months from signing to opening. The Hair Success franchisee must have a site approved within 210 days and a lease or purchase within 270 days.
Questions worth putting to Hair Success
These are questions the filing leaves open. An owner or a buyer can put them to the franchisor directly.
- Is the revenue in Item 19 gross sales or collected revenue, and how many locations sit below the average?
- What separates the highest-selling locations from the lowest: territory, years open, staffing, or the owner?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- At what level of sales do the minimum charges stop applying and the percentage take over?
- How many Hair Success locations closed, were sold, or changed hands last year, and why?
Run your own numbers.
The Franchise Numbers Check runs the same checks on your own numbers. It scores where you stand and compares you with Item 19 of your brand’s FDD. It works out what one location earns and spends, and builds a 13-week cash forecast. It also checks whether you are ready to open another one. It is free and it runs in your browser.
Launch the diagnostic →Reporting for a Hair Success owner
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Questions owners ask next
The figures above raise these, and each one is answered on its own page.
- At what level of sales does a minimum fee stop costing me more than the percentage?It works out the sales level where a minimum fee stops applying.
- How much cash do I fund before a new location covers its own costs?It builds a 13-week forecast for the months before break-even.
- What does this location earn on the money I put into it?It works out the payback period and cash-on-cash return for one unit.
- How much of Item 19 can I rely on?It explains what an Item 19 financial performance representation tells you and what it leaves out.
Where these figures come from
Every figure here comes from Beauty Enterprises, LLC’s 2026 FDD and is unaudited by us. We are unaffiliated with the brand. Calculations of our own are labeled where they appear. The figures describe past performance at other businesses and are not a projection of yours. This page is an educational summary. It is not an offer to sell a franchise, and it is not financial, legal or tax advice. Hair Success is a trademark of its owner. How Averan reads a Franchise Disclosure Document.
These figures come from the brand's disclosure. They are not a forecast, an offer to sell a franchise or advice. Source: Beauty Enterprises, LLC, 2026 Franchise Disclosure Document, issued 17 September 2026.