Cookie Cutters Franchise FDD, Profits & Costs (2025)
Cookie Cutters Haircuts for Kids, established in 1994, is a distinctive franchise in the children’s hair salon industry, known for making haircuts enjoyable for kids.
The franchise began expanding through franchising a year later in 1995 and has developed a unique salon environment featuring in-store playgrounds and video games to create a stress-free experience for both children and their parents.
Cookie Cutters is headquartered in Indianapolis, Indiana. The franchise sets itself apart by offering a fun and interactive haircut experience, complete with fantasy chairs and televisions at each cutting station, allowing children to enjoy cartoons and games during their visit.
This child-friendly approach helps alleviate the common fear and discomfort children might feel about haircuts. Furthermore, the design of the salons is specifically tailored to children, making each visit a memorable one, which in turn fosters customer loyalty and repeat visits.
Initial Investment
How much does it cost to start a Cookie Cutters Haircuts for Kids franchise? It costs on average between $118,000 – $365,000 to start a Cookie Cutters franchised business.
This includes costs for construction, equipment, inventory, and initial operating expenses. The exact amount depends on various factors, including the location, and whether the franchisee chooses to lease or purchase the property.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $40,000 |
| Initial Training Fee | $2,500 |
| Optional Third-party Training | $0 – $1,500 |
| First Month’s Rent | $1,500 – $6,000 |
| Rent, Security Deposit | $1,500 – $6,000 |
| Construction, Leasehold Improvements, Millwork | $15,000 – $125,000 |
| Signage | $5,000 – $15,000 |
| Equipment, Furniture, Playground | $15,000 – $80,000 |
| Computer Hardware/Software | $3,200 – $5,200 |
| Accounting Software | $500 – $1,000 |
| Initial Inventory of Products for Resale | $2,500 – $5,000 |
| Grand Opening and Advertising (First 3 Months) | $10,000 – $15,000 |
| Travel, Lodging, Meals for Training | $2,000 – $3,000 |
| Initial Supplies (Stationery, Business Materials) | $2,000 – $4,000 |
| Business Licenses, Permits, Taxes | $500 – $1,000 |
| Insurance (First 3 Months) | $500 – $1,000 |
| Professional Fees | $500 – $7,000 |
| Artwork | $500 – $2,000 |
| Additional Funds (First 3 Months) | $15,000 – $45,000 |
| Total Estimated Initial Investment | $118,200 – $365,200 |
Average Revenue (AUV)
How much revenue can you make with a Cookie Cutters Haircuts for Kids franchise? A Cookie Cutters franchised shop makes on average $302,000 in revenue (AUV) per year.
Here is the extract from the Franchise Disclosure Document:
This compares to $346,000 yearly revenue for similar hair salon franchises. Below are a few Cookie Cutters competitors as a comparison:
Cookie Cutters Haircuts for Kids Franchise Disclosure Document
Frequently Asked Questions
How many Cookie Cutters Haircuts for Kids locations are there?
As of the latest data, Cookie Cutters Haircuts for Kids operates a total of 116 locations. Of these, 115 are franchise-owned, and 1 is company-owned. This data reflects the ongoing growth of the franchise, which specializes in providing child-friendly haircuts across various regions.
What is the total investment required to open a Cookie Cutters Haircuts for Kids franchise?
The total investment required to open a Cookie Cutters franchise ranges from $118,000 to $365,000.
What are the ongoing fees for a Cookie Cutters Haircuts for Kids franchise?
A Cookie Cutters Haircuts for Kids franchise requires franchisees to pay a 5% royalty fee and a 2% marketing fee, both calculated from gross sales. These fees help support franchise operations and marketing efforts.
What are the financial requirements to become a Cookie Cutters Haircuts for Kids franchisee?
To become a Cookie Cutters Haircuts for Kids franchisee, the financial requirements include a minimum net worth of $250,000 and at least $100,000 in liquid capital.
These financial thresholds ensure that prospective franchisees have the necessary resources to cover initial investments and operating expenses while establishing and growing their franchise location.
How much can a Cookie Cutters Haircuts for Kids franchise owner expect to earn?
The average gross sales for a Cookie Cutters Haircuts for Kids franchise are approximately $0.3 million per location. Assuming a 15% operating profit margin, $0.3 million yearly revenue can result in $45,000 EBITDA annually.
Who owns Cookie Cutters Haircuts for Kids?
Cookie Cutters Haircuts for Kids is owned by Neal Courtney, who became the CEO after initially being a franchisee himself. His leadership has contributed to the brand’s expansion and focus on providing a unique, child-friendly haircut experience.
Disclaimer
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