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SUPERCUTS
Supercuts franchises retail hair care salons that offer haircutting, styling, shampoos, blow-drys, color services, and sell hair care and styling products under the SUPERCUTS mark and other distinctive marks. The salons operate in strip shopping centers, providing consistent, convenient, high-quality services at low prices to value-conscious customers. Supercuts emphasizes a no-appointment, quick-service model focused on affordable hair care rather than full chemical treatments like perms.
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Franchise Costs
6% royalty (4% first year for new salons) + 5% ad fund + $180/mo (POS software + gift card processing)
Financial Performance
Item 19 Financial Performance
Data Based On: 1,661 franchised outlets open during the period from July 1, 2024, through June 30, 2025, that reported sales in each month of the 12-month period.
* Calculated weighted average gross revenue for all franchised units: (553 units × $478,554 + 554 units × $300,051 + 554 units × $188,594) / 1661 total units = $322,305.65, which is rounded to $322,306 as presented in the table's 'TOTALS' row. The top and bottom quartile revenues are taken from the 'Average Gross Sales' for the 'Top' and 'Bottom' segments respectively.
Extracted Item 19 Section
Avg. Revenue: $322,306
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Unlock financial performance dataSUPERCUTS Franchise Analysis
Supercuts has powered quick, no-appointment haircuts in strip malls for decades, appealing to price-sensitive families with its value-driven model over fancy spa treatments. Item 19 lays bare revenue performance across a large footprint, while SBA loan records and FDD litigation disclosures reveal operational realities many overlook. Yet with system shifts and franchisee disputes bubbling up, does this accessible entry mask risks worth unlocking?
Supercuts began franchising in 1988 under Regis Corporation, building to a peak of 1,935 locations in 2024 before contracting 12% to 1,701 franchise units and 100 corporate stores in 2025—a red flag signaling franchisee exits or closures rather than expansion, underscored by just 1 projected new unit. High non-renewals (108) and transfers (55) point to dissatisfaction or financial strain, eroding system health despite the brand's longevity. Item 20 data reflects this turbulence, advising caution for investors eyeing stability over growth.
Financials start with a $39,500 franchise fee and $185,930-$323,460 total investment (Item 7), plus 6% royalty (4% in year one for new salons), 5% ad fund, and $180/month POS fees. Item 19 shows average gross revenue of $322,306 and median $297,216—solid for quick-service beauty but implying tight margins after fees, especially in competitive strip centers. SBA stats bolster viability with 259 loans averaging $296,459 and a low 2.7% default rate, yet litigation (Item 3) flags collections suits, counterclaims of fraud/misrepresentation under state laws, and settled franchisee payouts for support lapses—watch for ongoing tensions that could impact support and resale value.
Analysis based on the 2025 Franchise Disclosure Document. All figures should be independently verified before making investment decisions.
How SUPERCUTS Compares
Key Insights
- Lower investment than 79% of Beauty & Spa Services franchises
- #2 largest franchise system in Beauty & Spa Services
| Franchise | Investment | Fee | Royalty | Locations |
|---|---|---|---|---|
SUPERCUTS Current | $186K – $323K | $40K | 6.0% | 1,701 |
| SPORTS CLIPS (SINGLE UNIT) | $237K – $581K | $30K | 6.0% | 1,702 |
| DaVi Nails and Em Lash Studio | $61K – $144K | $65K | N/A | 400 |
| PALM BEACH TAN | $648K – $1.1M | $30K | 6.0% | 397 |
| DAVI NAILS | $57K – $125K | $65K | 0.0% | 387 |
| PHENIX SALON SUITES | $721K – $2.4M | $53K | N/A | 367 |
Beauty & Spa Services Average 52 franchises | $413K – $743K | $48K | 6.2% | – |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 52 Beauty & Spa Services franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2025)
Outlets by state across the United States
+35 more states
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Unlock location growth dataSBA Loan History
Historical SBA 7(a) loan data for SUPERCUTS franchisees (2010 – 2025)
Loans by Year
SBA 7(a) loan activity over time
* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.
259 SBA loans on record
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Unlock SBA loan historyDue Diligence
Litigation (Item 3)
Primarily collections actions by franchisor for unpaid royalties, advertising contributions, and rent against franchisees, with counterclaims alleging violations of state franchise acts (Virginia, Minnesota), fraud, and misrepresentations; also franchisee-initiated claims for sales misrepresentations, lack of support, and franchise law violations, mostly settled with payments to franchisees.
Bankruptcy (Item 4)
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
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Unlock due diligence reportsFrequently Asked Questions
The total initial investment to open a SUPERCUTS franchise ranges from $185,930 to $323,460. This includes a franchise fee of $39,500. Ongoing royalty fees are 6.0% of gross sales.
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