Sport Clips Franchise FDD, Profits & Costs (2025)
Sport Clips, a distinguished name in the men’s and boys’ haircare franchise industry, was founded by Gordon Logan in 1993.
The brand’s inaugural store was opened in Austin, Texas, signaling the beginning of a venture that would significantly cater to an underserved niche in the salon industry, specifically focusing on haircuts for men and boys.
Recognizing the potential in this specialized market, Sport Clips began offering franchise opportunities in 1995, expanding its presence rapidly and marking its first franchise store in Houston, Texas.
The growth of Sport Clips has been both strategic and sustained, characterized by a careful expansion approach that ensures new stores are supported adequately. Sport Clips is headquartered at 110 Briarwood Drive in Georgetown, Texas.
Initial Investment
How much does it cost to start a Sport Clips franchise? It costs on average between $289,000 – $475,000 to start a Sport Clips franchised location.
This includes costs for construction, equipment, inventory, and initial operating expenses. The exact amount depends on various factors, including the type of center you choose, the location, and whether the franchisee chooses to lease or purchase the property.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $30,000 – $69,500 |
| Travel and Living Expenses During Training | $1,000 – $2,000 |
| Opening Inventory | $5,000 – $7,000 |
| Fixtures and Equipment | $52,000 – $61,500 |
| Leasehold Improvements | $128,000 – $221,000 |
| Supplemental Services Fee | $3,000 – $5,000 |
| Professional Fees | $3,000 – $8,000 |
| Permits and Licenses | $3,000 – $6,000 |
| Lease Deposit | $0 – $6,000 |
| Signage | $4,000 – $10,000 |
| Miscellaneous Opening Costs | $3,000 – $5,000 |
| Insurance | $1,500 – $4,000 |
| Grand Opening Advertising | $30,000 |
| Additional Funds – 3 Months | $25,000 – $40,000 |
| Total Estimated Initial Investment | $288,500 – $475,000 |
Average Revenue (AUV)
How much revenue can you make with a Sport Clips franchise? A Sport Clips franchised shop makes on average $419,000 in revenue (AUV) per year.
Here is the extract from the Franchise Disclosure Document:
This compares to $343,000 yearly revenue for similar hair salon franchises. Below are a few Sport Clips competitors as a comparison:
Sport Clips Franchise Disclosure Document
Frequently Asked Questions
How many Sport Clips locations are there?
As of the latest data, Sport Clips operates approximately 1,837 locations across the U.S. and Canada. Most of these locations are franchise-owned, with around 1,754 franchised stores and 83 company-owned locations.
These company-owned stores are primarily situated in areas like Central Texas, Southern Nevada, Oklahoma, and Arkansas.
What is the total investment required to open a Sport Clips franchise?
The total investment required to open a Sport Clips franchise ranges from $289,000 to $475,000.
What are the ongoing fees for a Sport Clips franchise?
Sport Clips franchisees are required to pay a 6% royalty fee on gross sales. Additionally, there is a marketing and advertising fee of 5% of gross sales, which covers national and regional promotional efforts to support the brand. These fees are essential for maintaining consistent brand presence and operational support across all franchise locations.
What are the financial requirements to become a Sport Clips franchisee?
To qualify as a Sport Clips franchisee, you need a minimum net worth of $400,000 and at least $200,000 in liquid capital. These financial requirements ensure that franchisees have the necessary resources to successfully operate and grow their business.
How much can a Sport Clips franchise owner expect to earn?
The average gross sales for a Sport Clips franchise are approximately $0.42 million per location. Assuming a 15% operating profit margin, $0.42 million yearly revenue can result in $63,000 EBITDA annually.
Who owns Sport Clips?
Sport Clips is owned by its founder, Gordon Logan, who established the company in 1993. Logan, along with his family, continues to play a key role in the business. His son, Edward Logan, now serves as the President and CEO, carrying forward the family-owned legacy of the company.
Disclaimer
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