Pigtails & Crewcuts was founded by Wade Brannon who, after recognizing the franchise’s potential during his children’s visits, acquired the franchising rights in 2004. The company is headquartered in Atlanta, Georgia, which serves as the central hub for its franchise operations.
From the onset, Pigtails & Crewcuts began its journey in the franchising world, expanding its presence and offering entrepreneurial opportunities to individuals seeking to invest in a family-friendly business model. The franchise specializes in providing stress-free and enjoyable haircut experiences for children aged zero to 12.
Pigtails & Crewcuts stands out in the competitive market through its child-centric approach, creating a fun and engaging environment for its young clients. This includes specialized services and a salon atmosphere designed to make children comfortable and entertained during their visits, which differentiates it from traditional salons that may not cater specifically to the unique needs of children.
Number of locations
Here’s how many Pigtails & Crewcuts there are in the US today.
TOTAL UNITS 71 |
FRANCHISED UNITS 69 |
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Pigtails & Crewcuts | |
FRANCHISE FEE | $30,000 |
ROYALTY FEE | 5.00% |
INITIAL INVESTMENT | $100,000 – $256,000 |
AVERAGE REVENUE | $290,000 |
Initial investment
Here’s what you can expect to spend to start a Pigtails & Crewcuts franchise.
Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.
Franchise fees & Royalties
Here are the main ongoing fees the franchisor will ask you to pay going forward to run the franchise.
Initial Franchise Fee
The initial franchise fee for a Pigtails & Crewcuts Salon franchise is set at $30,000, which is to be paid as a lump sum at the time of signing the Franchise Agreement. This fee is designated as non-refundable.
Royalty Fee
Franchisees are required to pay a Royalty Fee amounting to 5% of their Gross Sales. This fee is due on the 10th day of each month, reflecting the Gross Sales of the previous month.
Advertising Fee
An Advertising Fee, which constitutes 2% of Gross Sales, is also mandated. The due date for this fee aligns with that of the Royalty Fee.
Renewal Fee
A Renewal Fee of $2,500 is applicable for franchisees wishing to renew their Franchise Agreement, payable before the renewal process.
Transfer/Assignment Fee
In the event of a franchise transfer or sale, a Transfer/Assignment Fee of $5,000 is charged, due prior to the completion of the transfer. No fee is levied for transfers to an entity under the franchisee’s control.
Late Fee and Interest
A standard late fee of $100, alongside an interest rate of either 18% per annum or the maximum lawful rate, is imposed on overdue amounts, payable immediately upon demand. The late fee can be increased to $200 with proper notice.
Revenue & Profits
Here’s how much revenue and profits you can make with a Pigtails & Crewcuts franchise.
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Pigtails & Crewcuts | |
FRANCHISE FEE | $30,000 |
ROYALTY FEE | 5.00% |
INITIAL INVESTMENT | $100,000 – $256,000 |
AVERAGE REVENUE | $290,000 |
Franchise pros and cons
The Pros:
- Site selection and construction: The franchisor assists its franchisees in identifying a viable business location. Also, it helps them in the design and buildouts of their ideal salons as well as lease negotiations.
- Marketing and advertising: The brand offers its franchisee a complete marketing and collateral package to reach a large customer audience. These include national media, social media and regional advertising and loyalty programs.
- Extensive training: Pigtails & Crewcuts provides its franchisees with an extensive training program for their franchise owners and their staff. It trains them about its business concept, best salon practices and equipment use and prepares them for a successful launch of their salons.
- Exclusive territory protection: The franchisor allows its franchisees to operate in a protected territory. Under the agreement, it does not license any other franchise or operate competitive units in the development market.
- Financial assistance: The brand has established relationships with third-party sources to help finance the franchise fee, startup costs and ongoing costs of its franchisees.
- Multiple income streams: The franchisor offers its franchisees a variety of channels to add fun to their services and increase earning potential. These include throwing birthday parties and carrying a large selection of unique gifts, along with a custom line of children’s hair care products.
- Extensive corporate and ongoing support: The brand provides its franchisees with a turnkey package and proven system to establish and grow their salons. Franchisees get access to business insights and a network of successful business partners.
The cons:
- Not a home-based business opportunity: The franchise does not present a home- or mobile-based investment. Franchisees must have an established office space, retail facility, or warehouse.
- Not a passive investment: The franchisor does not allow absentee ownership. The franchisees must be actively involved in the operations of their salons.
- Not a part-time business: A Pigtails & Crewcuts franchise cannot be run on a part-time or side business basis. Franchisees must adhere to the parent company’s working hours.
- Competition from other kid hair salon franchises such has Cookie Cutters and Sharkey’s Cuts For Kids to name a few.
How to open a Pigtails & Crewcuts franchise
Opening a Pigtails & Crewcuts franchise involves several steps, designed to ensure you are a good fit for the franchise. Here are the main steps to follow to open a Pigtails & Crewcuts franchise.
1. Initial Inquiry and Information Gathering
- Explore the Concept: Begin by understanding what Pigtails & Crewcuts offers, its business model, and what makes it unique in the children’s salon industry.
- Initial Contact: Reach out to the Pigtails & Crewcuts franchise team to express interest and request more detailed information about the franchising opportunity.
2. Review Franchise Disclosure Document (FDD)
- Receive and Review FDD: Upon expressing interest, you will receive the Franchise Disclosure Document which contains crucial details about the franchise, including financial performance, fees, and legal obligations.
- Due Diligence: Carefully review the FDD to understand your rights and obligations as a franchisee. This is a good time to consult with a franchise attorney or advisor.
3. Discovery Day and Meeting the Franchise Team
- Attend Discovery Day: Pigtails & Crewcuts typically invites potential franchisees to a Discovery Day at their headquarters in Atlanta, Georgia, or at an operational salon location.
- Meet the Team: This is an opportunity to meet the corporate team, understand the company culture, and ask in-depth questions about the business and operational model.
4. Franchise Application and Approval Process
- Submit Application: Complete the franchise application form with all required personal and financial information.
- Approval Process: The franchise team will review your application, conduct background checks, and assess your suitability for becoming a franchisee.
5. Financial Arrangements and Agreement
- Secure Financing: If you haven’t already, secure the necessary financing to cover the franchise fee, start-up costs, and operational expenses until the business becomes profitable.
- Sign Franchise Agreement: Once approved, you will sign the franchise agreement, which formalizes your commitment to the franchise and outlines the terms of your business relationship with Pigtails & Crewcuts.
6. Location Selection and Lease Negotiation
- Site Selection: Work with the Pigtails & Crewcuts team to identify a suitable location for your salon, taking into consideration demographics, competition, and local demand.
- Lease Negotiation: Once a location is identified, you will negotiate lease terms with the landlord, often with assistance from the franchisor.
7. Training and Support
- Comprehensive Training: Participate in Pigtails & Crewcuts’ training program, which covers all aspects of running the franchise, including operations, marketing, and financial management.
- Ongoing Support: Take advantage of the ongoing support provided by the franchisor, including marketing strategies, operational improvements, and access to an established network of franchisees.
Disclaimer
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