Is Great Clips right for you?
Scale of Network
4,441 franchised salons in the United States as of year-end 2025, providing broad brand recognition and operational benchmarks.
the financial-performance disclosure Disclosure
Average annual sales of $410,783 reported across 4,158 eligible salons in 2025; 44.44 percent of reporting salons exceeded the average.
Low Real-Estate Intensity
Typical salon size of 900 to 1,200 square feet in vanilla-shell retail locations keeps occupancy costs contained.
About Great Clips
Great Clips, Inc. licenses the operation of specialized haircare and personal grooming salons. Founded in 1982 and headquartered in Minneapolis, Minnesota, the company operates a system of more than 4,400 franchised salons across the United States as of 2025. The model centers on a non-exclusive protected area around each salon and requires franchisees to adhere to strict supply chain, branding, and operational standards.
Great Clips salons deliver walk-in haircuts, styling, and related grooming services in a standardized, high-volume retail format. Operations emphasize convenience, consistent pricing, and efficient staffing models that rely on licensed stylists. Franchisees manage daily salon performance, local marketing participation, and compliance with proprietary systems for recruiting, point-of-sale, and customer data.
The business model
How a Great Clips territory actually makes money at the unit level.
Initial Franchise Fee
The standard initial franchise fee is $20,000 per salon. Additional fees apply under Master Development Agreements ($4,000 per salon) or the Three Star Program.
Ongoing Fees
Royalty of 6 percent and advertising contribution of 5 percent of biweekly gross sales. Local co-op dues average $100 per month. Annual recruiting technology fee is currently $750 per salon.
Initial Investment Range
Total initial investment for a single salon ranges from $187,800 to $419,900. This includes leasehold improvements, fixtures, signage, inventory, grand opening advertising, insurance, and working capital for six months.
Supply Chain Requirements
Franchisees must purchase 90-95 percent of opening inventory and 80-85 percent of ongoing supplies from Great Clips or its designated suppliers. The franchisor earns revenue on product sales and receives certain supplier rebates.
Protected Area
Each salon receives a non-exclusive protected area, typically a 0.75-mile radius (0.1 mile in dense markets). Master Development Agreements can provide exclusive development rights if schedule commitments are met.
System Stability
The network added a net 14 salons over the three years ending 2025 while maintaining low termination rates. No company-owned outlets exist in the domestic system.
Quick facts
Initial franchise fee
$20,000
Total investment range
$187,800 to $419,900
Royalty
6.00% of gross revenue
Marketing fund
5.00% of gross revenue
Founded
1982
Headquarters
Minneapolis, MN
Active US franchisees
n/a
Total US units
n/a
Training & support
What the franchisor + parent platform provide. And what they don't.
What's provided
- +QuickConnect Training program delivered at the franchisee location for new owners and staff.
- +Required training for Designated Operators to be completed within 180 days of signing.
- +Ongoing field support, consulting, and additional training on system standards as needed.
- +Access to online resources, proprietary email, electronic forms, and operational manuals.
- +Support for initial local advertising planning and required participation in system-wide and local co-op marketing programs.
Honest disclosure: what's NOT provided
Great Clips does not provide training on how to cut hair or stylist licensing. Franchisees are responsible for recruiting, hiring, and training licensed stylists. Travel, wages, benefits, and living expenses during training are paid by the franchisee.
Multi-unit growth path
Great Clips offers Master Development Agreements that allow experienced operators to commit to multiple salons within an exclusive development area. Development schedules must be met to maintain exclusivity. Many operators expand by opening additional salons after demonstrating operational proficiency with their first unit. The company reports stable same-store performance across the large existing base.
Capital + financing paths
Most operators use one of these four paths to fund the initial investment.
SBA 7(a) Loan
Many franchisees utilize SBA-guaranteed loans for a significant portion of the initial investment. Great Clips is an SBA registry brand.
Conventional Bank Financing
Commercial banks may finance build-out and equipment for operators with strong personal credit and liquidity.
Third-Party Lender Networks
Franchise-specific lenders familiar with the Great Clips model provide equipment and working-capital facilities.
Personal Capital & Partnerships
Many multi-unit operators combine personal funds, family investment, or private partners to meet equity requirements.
Process timeline: inquiry → grand opening
Typical 12-16 week path from first call to launching your first customer route.
Discovery & Validation
Review the filed disclosures, speak with existing franchisees, and validate market opportunity. Complete initial application.
Franchise Agreement Signing
Pay initial franchise fee of $20,000 plus $5,000 advertising contribution. Select protected area and begin site search.
Site Selection & Lease
Identify and secure 900-1,200 sq ft vanilla-shell location. Submit plans for approval and pay architecture fees.
Build-Out & Setup
Complete leasehold improvements, install fixtures and signage, order opening inventory. Conduct grand opening advertising.
Initial Training
Complete QuickConnect Training at the salon. Hire and prepare initial stylist team. Prepare for opening.
Grand Opening & Operations
Open the salon and begin walk-in service. Participate in local co-op and system marketing. Begin biweekly royalty and advertising remittances.
Ongoing Support
Receive field visits, system communications, and performance reviews. Plan for first remodel in seven to ten years.
Match assessment
Are you a Great Clips match?
12 questions. Math-first. No high-pressure sales call afterwards. Just your match assessment and the reasoning behind it.
Start nowCommon questions
How much does a Great Clips franchise cost?
Total initial investment ranges from $187,800 to $419,900 for a single salon according to the 2025 the filed disclosures. This includes the $20,000 franchise fee, $5,000 initial advertising contribution, leasehold improvements, equipment, inventory, grand opening marketing, insurance, and six months of working capital.
What is the average sales volume of a Great Clips salon?
The the filed disclosures reports average annual sales of $410,783 for 4,158 salons open the full 2025 year. Results vary significantly by location, market, and management. 44.44 percent of the 2,376 salons that submitted detailed data exceeded this average.
Does Great Clips provide financing?
Great Clips does not provide direct financing. Franchisees typically arrange capital through SBA 7(a) loans, conventional banks, or third-party lenders experienced with the brand.
How much are the royalty and advertising fees?
Royalty is 6 percent of gross sales and the advertising fund contribution is 5 percent of gross sales, both remitted biweekly. Local co-op dues average approximately $100 per month.
What is the protected territory for a Great Clips salon?
Franchisees receive a non-exclusive protected area, typically a 0.75-mile radius from the salon entrance or 0.1 mile in dense urban locations. Master Development Agreements can grant exclusive development rights within a larger area if schedule requirements are satisfied.
How many Great Clips locations are there?
There were 4,441 franchised salons in the United States at the end of 2025. The system has shown modest net growth over the past three years with low termination rates.
Do Great Clips franchisees need haircutting experience?
No. Franchisees are not required to be stylists. They must recruit, hire, and retain licensed stylists. The franchisor provides operational training but not technical haircutting training.
How long does it take to open a Great Clips salon?
Typical timeline from signing to opening is four to six months, depending on site availability, permitting, and construction. Master developers may follow a multi-year schedule for additional units.
What is the remodel cycle for a Great Clips salon?
Salons are typically remodeled every seven to ten years at an estimated cost of $20,000 to $80,000 depending on scope and condition.
How does Great Clips compare to other salon franchises?
Great Clips emphasizes walk-in convenience, national brand recognition, and a large existing network. Its model features higher ongoing fees than some competitors but benefits from established supply chain programs and national marketing.
Can I own multiple Great Clips salons?
Yes. The company encourages multi-unit ownership through Master Development Agreements that provide development rights and, when earned, exclusivity within a defined market.
Are Great Clips salons open on weekends and evenings?
Yes. Most locations maintain extended hours including evenings and weekends to capture walk-in traffic and maximize stylist utilization.
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