In this exclusive Franchise Chatter FDD Talk post, you’ll learn the following:

Section I – Estimated initial investment (franchise costs) for a V’s Barbershop franchise, based on Item 7 of the company’s 2024 FDD

Section II – Initial franchise fee, royalty fee, and marketing fee for a V’s Barbershop franchise, based on Items 5 and 6 of the company’s 2024 FDD

Section III – Number of franchised and company-owned V’s Barbershop outlets at the start of the year and the end of the year for 2021, 2022, and 2023, based on Item 20 of the company’s 2024 FDD

Section IV – News updates on the V’s Barbershop franchise opportunity

Section V – Presentation and analysis of V’s Barbershop’s financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2024 FDD, including information on the:

• 2023, 2022, and 2021 average and median gross sales for the franchised V’s Barbershop locations that have been open for at least 3 years as of December 31, 2023

• 2023, 2022, and 2021 average and median gross sales for the franchised V’s Barbershop locations that have been open for at least 1 year as of December 31, 2023

Section VI – Key ratios, comparables, computations, and analyses for the V’s Barbershop franchise opportunity (exclusive content for Platinum subscribers)

Section I – V’s Barbershop Franchise Costs

• Initial Franchise Fee:  $40,000
• Initial Training Fee:  $0 to $5,000
• Initial Real Estate Expenses:  $2,500 to $14,500
• Travel and Living Expenses While Training:  $0 to $2,000
• Your Attorneys’ Lease Review Fee:  $5,000
• Space Planner Fee:  $950 to $1,550
• Architect Fees:  $5,000 to $12,000
• Project Management Fees:  $0 to $30,000
• Leasehold Improvements:  $125,000 to $222,000
• Furniture, Fixtures, Equipment, In-Store Artwork, and Signage:  $119,800 to $201,900
• Computer Hardware and Software:  $3,500 to $6,500
• Initial Barber Supplies and Inventory:  $15,000 to $20,000
• Employee Uniforms:  $250 to $1,000
• Grand Opening Advertising:  $5,000
• Initial Insurance Premiums:  $500 to $1,500
• Permits and Licenses:  $500 to $2,000
• Utility Deposits and Installation:  $500 to $1,500
• Miscellaneous:  $1,500 to $6,000
• Additional Funds/Working Capital for 3 Months:  $1,500 to $25,000
• Total Estimated V’s Barbershop Franchise Costs:  $326,500 to $602,450

Section II – V’s Barbershop’s Initial Franchise Fee, Royalty Fee, and Marketing Fee

• Initial Franchise Fee:  $36,000 to $40,000
• Royalties:  6% of Gross Sales up to $500,000; 3.5% of Gross Sales above $500,000
• Advertising Payment:  between 1% and 3% of Gross Sales

Section III – Number of Franchised and Company-Owned V’s Barbershop Outlets

Franchised

2021

• Outlets at the Start of the Year:  51
• Outlets at the End of the Year:  53
• Net Change:  +2

2022

• Outlets at the Start of the Year:  53
• Outlets at the End of the Year:  55
• Net Change:  +2

2023

• Outlets at the Start of the Year:  55
• Outlets at the End of the Year:  58
• Net Change:  +3

Company-Owned

2021

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

2022

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

2023

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

Section IV – News Updates on the V’s Barbershop Franchise

Section V – Financial Performance Representations (Average Revenues and/or Profits) for the V’s Barbershop Franchise (Item 19, 2024 FDD)

Part 1 – Unaudited Reported 2023, 2022, and 2021 Average and Median Gross Sales Per Unit for 47 Franchised V’s Barbershops Open at Least Three Calendar Years as of December 31, 2023

• Each of the V’s Barbershops identified in the charts below were open for at least three calendar years as of December 31, 2023. The chart does not include 11 V’s Barbershop locations that were not open for three calendar years as of December 31, 2023. Each of the excluded V’s Barbershop locations opened for business on or after January 1, 2021.

2023

• Average Gross Sales:  $542,750
• Median Gross Sales:  $519,529
• Highest Unit Gross Sales:  $1,134,269
• Lowest Unit Gross Sales:  $170,098
• Number of Units:  47
• Number of Units That Attained or Exceeded the Average Set Forth Above:  21 (45%)
• Number of Units That Did Not Attain or Exceed the Average Set Forth Above:  26 (55%)
• Number of Units That Attained or Exceeded the Median Set Forth Above:  24 (51%)
• Number of Units That Did Not Attain or Exceed the Median Set Forth Above:  23 (49%)

2022

• Average Gross Sales:  $496,998
• Median Gross Sales:  $452,399
• Highest Unit Gross Sales:  $1,049,455
• Lowest Unit Gross Sales:  $135,781
• Number of Units:  42
• Number of Units That Attained or Exceeded the Average Set Forth Above:  18 (43%)
• Number of Units That Did Not Attain or Exceed the Average Set Forth Above:  24 (57%)
• Number of Units That Attained or Exceeded the Median Set Forth Above:  21 (50%)
• Number of Units That Did Not Attain or Exceed the Median Set Forth Above:  21 (50%)

2021

• Average Gross Sales:  $429,656
• Median Gross Sales:  $372,271
• Highest Unit Gross Sales:  $906,107
• Lowest Unit Gross Sales:  $132,243
• Number of Units:  39
• Number of Units That Attained or Exceeded the Average Set Forth Above:  16 (41%)
• Number of Units That Did Not Attain or Exceed the Average Set Forth Above:  23 (59%)
• Number of Units That Attained or Exceeded the Median Set Forth Above:  20 (51%)
• Number of Units That Did Not Attain or Exceed the Median Set Forth Above:  19 (49%)

Part 2 – Unaudited Reported 2023, 2022, and 2021 Average and Median Gross Sales Per Unit for Franchised V’s Barbershops Open at Least One Calendar Year as of December 31, 2023

• Each of the V’s Barbershops identified in the charts above were open for at least one calendar year as of December 31, 2023. The chart does not include one V’s Barbershop location that closed in 2021, one location that closed in 2022, two that closed in 2023, and five locations that opened in 2023 as these locations do not provide sufficient data to be included in this financial performance representation.

2023

• Average Gross Sales:  $523,463
• Median Gross Sales:  $507,170
• Highest Unit Gross Sales:  $1,134,269
• Lowest Unit Gross Sales:  $170,098
• Number of Units:  53
• Number of Units That Attained or Exceeded the Average Set Forth Above:  24 (45%)
• Number of Units That Did Not Attain or Exceed the Average Set Forth Above:  29 (55%)
• Number of Units That Attained or Exceeded the Median Set Forth Above:  27 (51%)
• Number of Units That Did Not Attain or Exceed the Median Set Forth Above:  26 (49%)

2022

• Average Gross Sales:  $477,912
• Median Gross Sales:  $442,486
• Highest Unit Gross Sales:  $1,049,455
• Lowest Unit Gross Sales:  $135,781
• Number of Units:  52
• Number of Units That Attained or Exceeded the Average Set Forth Above:  23 (44%)
• Number of Units That Did Not Attain or Exceed the Average Set Forth Above:  29 (56%)
• Number of Units That Attained or Exceeded the Median Set Forth Above:  26 (50%)
• Number of Units That Did Not Attain or Exceed the Median Set Forth Above:  26 (50%)

2021

• Average Gross Sales:  $409,398
• Median Gross Sales:  $372,829
• Highest Unit Gross Sales:  $906,107
• Lowest Unit Gross Sales:  $97,594
• Number of Units:  50
• Number of Units That Attained or Exceeded the Average Set Forth Above:  21 (42%)
• Number of Units That Did Not Attain or Exceed the Average Set Forth Above:  29 (58%)
• Number of Units That Attained or Exceeded the Median Set Forth Above:  25 (50%)
• Number of Units That Did Not Attain or Exceed the Median Set Forth Above:  25 (50%)

• The term “Gross Sales” means the aggregate amount of sales of all products and services, and all other receipts or receivables whatsoever, from all business conducted either: (i) upon or originating from the premises of the Franchised Business or (ii) under the Trademarks, whether or not upon or originating from the premises of the Franchised Business; without deduction for uncollected or uncollectible credit accounts and without allowances for bad debts.

• In addition, the term “Gross Sales” includes the proceeds received or realized by the franchisee or his affiliates in connection with any business interruption insurance maintained by or for the benefit of the franchisee or his affiliates.

• Notwithstanding the foregoing, the term “Gross Sales” will not include the amount of any taxes imposed by any governmental taxing authority directly on sales and collected from customers (if such tax is added to the selling price and actually paid by the franchisee to such taxing authority), any credit granted by the franchisor to the franchisee under any coupon redemption or similar promotion, or any refund or credit given with respect to any products returned or exchanged by a customer (provided that the sales price thereof was included in Gross Sales).

• Further, the term “Gross Sales” will not include receipts or receivables with respect to gift cards, as sales of products and services paid for with gift cards will be included in Gross Sales at the time such sales occur.

• Some Units have earned this amount. Your individual results may differ. There is no assurance that you’ll earn as much.

Section VI – V’s Barbershop Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️