Great Clips

Founded: 1982 Franchising since: 1983

Established in 1982, Great Clips started franchising in 1983 and now has locations throughout the United States and Canada. Usually located in strip malls, Great Clips hair salons are open evenings and weekends and do not require appointments. On average, franchisees operate three units.

Great Clips sponsors NASCAR Busch Series driver Jason Leffler. The company has also partnered with General Mills, Sprint, Best Buy, Blockbuster, Coca-Cola, Hasbro and DreamWorks.

7700 France Ave. S., #425 Minneapolis, Minnesota 55435

Phone: (800)947-1143 Franchisee Association International Association of Great Clips Franchise

Franchisor is a privately-held company with 255 employee(s); 9 employee(s) in franchise department.

Franchise Growth

Year	U.S. Franchises	Canadian Franchises	Foreign Franchises	Company Owned
2009	2682	56	0	0
2008	2,633	55	0	0
2007	2,544	56	0	0
2006	2,484	57	0	0
2005	2,329	61	0	0

Where Seeking Franchisees
In the U.S. Southwest
Outside the U.S.: Canada

Exclusive territories available.
Territory size: 1.5-mile radius

Special Programs
Great Clips conducts an annual Cut-a-Thon for Kids With Cancer, donating all proceeds to the ChildrenÂ’s Hospitals network.

Total investment: $109.4K-202.5K Franchise fee: $20K

Ongoing royalty fee: 6% Term of agreement: 10 years, renewable

Type of Financing Available

	In-House	Third Party
Franchise Fee	No	No
Startup Costs	No	Yes
Equipment	No	Yes
Inventory	No	Yes
Accounts Receivable	No	Yes
Payroll	No	Yes

Third-party financing source(s): InSource Capital Services Inc., IRH Capital

Qualifications
Net worth requirement: $300K
Cash liquidity requirement: $50K
Business Experience:

• Marketing skills
• Strong management & leadership skills

Operations

• Number of employees needed to run franchised unit: 8 - 10
• Absentee ownership of franchise is allowed. (95% of current franchisees are owner/operators)

Training

• Available at headquarters: 5 days
• At local training center : 3 days & ongoing

Ongoing Support

• Meetings
• Toll-free phone line
• Grand opening
• Internet
• Security/safety procedures
• Field operations/evaluations
• Purchasing cooperatives

Marketing Support

• Co-op advertising

Other marketing support

• Broadcast media

Franchise 500® rank:
#60 (2009); #19 (2008); #43 (2007); #52 (2006); #37 (2005);

Ranked #1 in category in:
2008;

Fastest-Growing Franchises:
#36 (2009); #64 (2008); #23 (2007); #20 (2006); #14 (2005);

America's Top Global Franchises:
#51 (2009); #24 (2008); #46 (2007); #55 (2006); #39 (2005);