They’re centers of the community where men can unwind after a stressful day, and they are also now fantastic business ownership opportunities.
The Barbershop Industry
If you’re looking for a stable industry to invest in, look no further. The barber industry, now valued at $4.9 billion, saw an annualized growth rate of 5.3% in the years leading up to 2020.
Men (and women too) are spending on average $30 on each haircut. Given the frequency with which short haircuts need to be maintained, that’s steady revenue from most clientele. And if you also offer hair care products, you can see even higher sales per transaction. In fact, 81% of all men’s grooming products are sold in brick-and-mortar locations like barber shops.
Barbershop Franchise vs. Startup
If opening a barbershop excites you, know that you have two options. You can start a business from scratch, finding commercial real estate, building your marketing plan, ordering equipment and products and then finding clientele. Or you can open a barbershop through an existing franchise program, taking advantage of systems and branding development that has already been done.
The investment you make in a barber shop franchise in part covers the groundwork that has been laid out to ensure that your franchise has a support system in place to help you if you have questions, as well as marketing programs that makes it easier to attract new clientele.
Many business owners find that being franchisees gives them unparalleled potential to rapidly grow a business and thrive, thanks to that support. And if you’ve never owned a business before, a franchise could be the best path to helping you understand the ins and outs of business management and strategy.
Here are a 8 reasons more to consider buying a barber shop franchise.
People Know the Brand
People are particular about who they let cut their hair. As a startup, you and your barbers may be an unknown quantity to potential customers, but if you buy into an existing franchise system, you ride on the reputation of that brand.
The Ultimate Barber has won numerous awards in Virginia for its stellar customer service and top-of-the-line products, and franchisees can leverage that reputation with their own locations.
There Are Systems in Place with Barbershop Franchises
From the outside, running a barber shop business might seem simple enough, but as an owner, you’ll soon realize the number of responsibilities you will take on, from finding and managing a payment processing system to ordering supplies and hiring and training staff.
With a barbershop franchise, all of this is laid out in easy-to-follow systems. You will be given direction on what payment system and technology to use to run your franchise smoothly, and the franchisor will teach you established processes for staffing and training to ensure a consistent experience, no matter who the barber is. You may also be given preferred suppliers for haircutting equipment and products. The fewer decisions you have to make in your barber shop business, the more you can focus on growing it.
Loyalty is Nice…But Not Necessary
The fact that 71% of men stay loyal to their barber for an average of seven years is nice…but what happens if that barber isn’t available or moves? The Ultimate Barber trains each and every barber exactly the same so that, if Ted isn’t available, a client can sit in Bill’s chair and get the same high-quality cut..
Revenues Are Consistent
With a startup barber shop business, you have no way of predicting your revenues. But with a franchise, you can look at historical data for other locations to understand what the potential is for your own location’s revenues.
Plus, having the support of the franchisor can help you find strategies to attract new customers as well as maintain loyal ones, and increase those potential revenues.
And because men get their hair cut on average every 3.8 weeks, you have recurring revenue that isn’t heavily impacted by economic conditions.
Startup Costs for a Barbershop Franchise Are Low
Because of those established franchise systems, it may be more cost-effective to buy a barbershop franchise than opening your own shop. The franchise has streamlined the business model and startup costs, which means you may spend less up front to start seeing those recurring revenue streams.
Technology Can Take You Farther
When you invest in a franchise like The Ultimate Barber, you can leverage the technology tools that attract customers and optimize operations. Our proprietary app lets clients book appointments, check in upon arrival, and win prizes. As a franchisee, your clients will have access to this exclusive app.
Multi-Unit Franchisees Can Multiply Their Revenue Streams
Many franchisees don’t stop after investing in a single barbershop franchise, and go on to open multiple locations with the same brand. Once you establish one barber shop business, it’s easy to replicate that growth under the same established franchise systems and processes. Hiring a manager for each location means you can focus on building your wealth, not managing the day-to-day operations of each franchise.
Support, Support, Support
Opening your own barbershop, you have to rely on yourself to succeed. But part of the perk of buying into a franchise system is having access to a team who is equally invested in your ability to grow. Whether you need ideas for a marketing campaign or have questions about improving sales or customer service, your franchise support team can help.
A Barbershop Franchise Could Be Your Ticket to Financial Freedom
We all dream of building a secure and rewarding future, and for those of us with entrepreneurial tendencies, those dreams are big. Investing in a barbershop franchise can make those dreams a reality — perhaps even better and faster than by opening an independent business on your own.
