MERLE NORMAN COSMETICS
Merle Norman Cosmetics, Inc. franchises independently-owned retail stores called 'Studios' that sell high-quality proprietary skin care, color cosmetics, and related products manufactured by the franchisor, while providing free individualized makeover lessons and customer instruction. The business model centers on distributing Merle Norman products through these Studios, with franchisees required to purchase initial inventory packages, adhere to merchandising and operational standards, and focus primarily on MN Products. The target market includes consumers seeking cosmetics priced between department stores and drug stores, emphasizing personalized service and product education in a professional studio environment.
Disclaimer: This information was extracted using AI from public Franchise Disclosure Documents and should be independently verified. This is not financial or legal advice. Always review official FDD filings before making investment decisions.
Overview
Financial Requirements
No royalty or ad fund + $300/yr ($25/mo) POS support required first year + optional $28/mo email marketing + $14/mo SMS + $144/yr social media
Franchise Stats
Financial Performance
Item 19 Financial Performance
This franchise did not provide Item 19 financial performance data.
Be careful if you are interested in investing. The lack of financial performance representations may indicate limited data or varying results across franchises.
Extracted Item 19 Section
How MERLE NORMAN COSMETICS Compares to Other Specialty Retail Franchises
Key Insights
- One of the lowest investment costs in Specialty Retail (ranked #1 of 46)
- #1 largest franchise system in Specialty Retail
- Lower than average SBA loan default rate in Specialty Retail
| Franchise | Investment Range | Franchise Fee | Royalty | Locations |
|---|---|---|---|---|
MERLE NORMAN COSMETICS Current | $48K - $260K | N/A | N/A | 797 |
| CORNWELL | $80K - $324K | N/A | N/A | 793 |
| BATTERIES PLUS | $263K - $497K | $45K | 5.0% | 604 |
| PET SUPPLIES PLUS | $537K - $2.0M | $50K | 3.0% | 502 |
| WILD BIRDS UNLIMITED | $227K - $379K | $40K | 4.0% | 340 |
| YOUR CBD STORE | $96K - $151K | $20K | 2.0% | 275 |
Specialty Retail Average 46 franchises | $285K - $708K | $38K | 5.0% | - |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 46 Specialty Retail franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2024)
Outlets by state across the United States
+34 more states
SBA Loan History
Historical SBA 7(a) loan data for MERLE NORMAN COSMETICS franchisees (2010 - 2025)
Loans by Year
* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.
Franchisee Contacts
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Due Diligence
Litigation (Item 3)
No litigation involving franchisees reported in the FDD.
Bankruptcy (Item 4)
No bankruptcy history reported in the FDD.
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
How much does it cost to open a MERLE NORMAN COSMETICS franchise?
The total initial investment to open a MERLE NORMAN COSMETICS franchise ranges from $47,566 to $260,437.
How many MERLE NORMAN COSMETICS franchise locations are there?
As of the 2025 FDD, MERLE NORMAN COSMETICS has 797 franchise locations. The company has been franchising since 1934.
Can you get an SBA loan for a MERLE NORMAN COSMETICS franchise?
Yes, SBA loans are available for MERLE NORMAN COSMETICS franchises. Historical data shows 35 SBA 7(a) loans have been approved for MERLE NORMAN COSMETICS franchisees, with an average loan amount of $91,074. The historical default rate is 8.6%.
Is MERLE NORMAN COSMETICS a good franchise to buy?
MERLE NORMAN COSMETICS shows several positive indicators: established brand with 797+ locations, low SBA loan default rate. However, franchise success depends on many factors including location, local market conditions, and owner involvement. We recommend speaking with existing franchisees and consulting with a franchise attorney before making a decision.
Interested in MERLE NORMAN COSMETICS?
Talk to a franchise advisor to get personalized guidance and learn if MERLE NORMAN COSMETICS is the right fit for you.
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