Key Investment Facts
[LAST UPDATED: Aug 16, 2026] · [VERIFIED · FDD]
About Great Clips
Largest salon brand offering affordable, no-appointment haircuts.
Training Program: 2 weeks of initial training included.
Item 19 (Financial Performance Representation): Available — franchisees can view historical earnings data.
Tags: haircuts, salon, affordable, multi-unit
Full FDD Analysis + 5-Year ROI Model for Great Clips
Unlock the complete investment picture for Great Clips:
- FDD Items 5, 6, 7, 19, 20 & 21 fully decoded
- 5-year P&L, break-even, and ROI projections seeded from this franchise's real FDD
- Risk scorecard: turnover, failure rate, fee burden, territory — color-coded
- Unit-count history, Item 20 turnover, and growth trend (where disclosed)
- Red flags & due-diligence checklist
- PDF export for offline review
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FDD Item 7 — Initial Investment Breakdown
Sourced directly from the franchisor's Franchise Disclosure Document under Item 7. The full per-line breakdown including buildout, equipment, working capital and any excluded expenses is in the table below.
Detailed Item 7 investment breakdown is not yet published for this franchise. Refer to the current FDD for the complete line-item investment costs.
FDD Item 6 — Ongoing Royalty & Ad Fund
Recurring fee burden disclosed under FDD Item 6. Royalty + ad fund rates are charged as a percentage of gross revenue and directly compress operator margin.
Item 6 ongoing-fee schedule for this franchise has not been catalogued yet. Consult the most recent FDD for current royalty + ad fund rates.
Territory Availability
Territory terms, exclusivity, and population coverage are disclosed in the FDD Item 12.
Frequently Asked Questions About Great Clips
How much does it cost to open a Great Clips franchise?
The total initial investment for a Great Clips franchise ranges from $181K to $387K. This includes the franchise fee of $20K, plus buildout, equipment, inventory, and working capital. Ongoing royalty fees are 6.00% of gross revenue. Always request the current Franchise Disclosure Document for exact, up-to-date figures.
Is Great Clips a good franchise to buy in 2026?
Great Clips operates in the Retail & Services sector with 4,500 total units. Franchisee satisfaction is rated 78/100, which is above average. Whether it's a good investment depends on your market, capital, and goals. We recommend using our AI Financial Model tool to project personalized returns before making a decision.
Can I run a Great Clips franchise as a semi-absentee owner?
Great Clips typically operates under a semi-absentee model. This means you can hire a general manager to handle day-to-day operations while maintaining other income sources or businesses. Semi-absentee franchises are popular with investors who want passive income.
What is the failure rate for Great Clips franchises?
The reported failure rate for Great Clips is 2.00%, which is below industry averages and suggests strong franchisee retention. Failure rates vary by market and operator experience. Always review Item 20 of the FDD, which discloses franchisee turnover, transfers, and terminations over the past three years.
How does Great Clips compare to other Retail & Services franchises?
Great Clips competes with other brands in the Retail & Services space. Key differentiators include investment level ($181K to $387K), franchisee satisfaction (78/100), and the semi-absentee operating model. Use our franchise comparison tool to see side-by-side data against specific competitors.
How long does it take to break even on a Great Clips franchise?
Based on Great Clips's disclosed minimum investment ($181K) and an $400K average unit revenue (FDD Item 19 — historical, not a guarantee), a rough estimate is 3 years to recoup initial capital at a 15% net margin. This is an estimate only and does not account for ramp-up, debt service, or local market factors.
What's the owner satisfaction score for Great Clips?
Great Clips's owner satisfaction is rated 78/100, sourced from our internal franchisee satisfaction dataset. A score this high is above the franchise-industry median and indicates most operators are satisfied with the franchisor relationship.
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