29 minute read
Heavy lifting
The heavy lifting pays off
Five years in the making, Snap Fitness Doonside is a triumph of tenacity and the fulfilment of a dream for a local boy-turned-franchisee.
Advertisement
For Egyptian-born, Sydney-raised Michael Georgy, setting up in business was always about giving back to the community.
Michael, working with his sister, wife and brotherin-law, has opened the Snap Fitness Doonside gym – the fulfilment of a long-held dream. In fact, the dream was forged between Michael and his sister Shirein back in 2013, even before the siblings had married their partners, who are now involved in the business.
It’s a testament to family and to good old-fashioned tenacity that the gym dream has become a reality.
Michael works in education as a wellbeing and learning adviser. He is a PE teacher and personal trainer with years of experience, having travelled to the US on a soccer scholarship and worked as a personal trainer (PT) in the UK. So it made sense for him to follow the fitness trail when looking to set up in business.
Long road to the right location
A hefty amount of research went into finding exactly the right fitness brand, then began the search for a location and a workable site.
“We opened Doonside in October 2021 and it’s been five years finding the right model and location, and negotiating with the landlord,” Michael says. “We were trying to find the right site first, not just open any gym; it had to be in an area with no competition, good traffic, dense population, and a parking facility.”
In 2018, when Michael and Shirein started the demographic analysis for suburbs around Doonside, then pinpointed a location that had the size and other attributes they were looking for, the pair had no idea the journey to opening their own gym would still be so far off.
“It was another two years of negotiations with the landlord; it’s hard to negotiate with someone when money is not a motivator for them. My brother-in-law and business partner has a background in construction, and he hung in there.
“We were almost there in 2020, pre-lockdown, then after lockdown we started negotiations again; we were already working on a presale campaign when lockdown hit again.
“It was tough, but it was worth the wait,”
Michael continues. “We knew if it got over the line it would be great but the location has exceeded expectations.”
It was thanks to the patience of brother-inlaw Jay Hickman, and Michael’s own belief in the project, that the Doonside option kept bubbling away, when most franchise buyers would have ditched the location long ago.
Connecting with the community
Michael believes it’s the lack of suitable sites in Western Sydney that has kept most gym competitors out of the area. But with the team wanting to provide a positive health and fitness community for local residents, the idea to open Doonside’s first gym had been in the works for many years.
Snap Fitness Doonside is even taking exercise out into the community, with free bootcamps on Saturday mornings.
“Growing up in Doonside, we understand the area and have identified a gap in the market and a need for a community location where people can gather together to socialise and exercise – a place for the youth in the region to come and spend their time,” Michael says.
“It’s great to communicate with the community, which has had a bit of negative publicity recently, and to bring a premium site to the area.”
Just a month into the business – although, he admits, “we’ve had a long time to think about this” – Michael has engaged with local football, soccer and cricket teams, and set up deals with local businesses, including Subway stores.
“Physios, chiropractors and massage therapists, nutritionists – all our business partnerships are local businesses. We’re trying to create a community hub,” he explains.
Chatting with Michael, it’s clear he has a strong sense of community that stretches back to childhood. When his immediate family and other relatives arrived from Egypt, they bought land in Doonside and built their own homes. There are now eight houses in one street owned and lived in by the extended Georgy family.
“I couldn’t be happier, my whole family is part of the gym, my parents have supported the idea from day one, they occasionally help in the gym and train there also.”
The four key players in this business have a handy mix of skills: Michael’s sister, Shirein, brings
business development; his wife, Tamara, adds marketing expertise; and brother-in-law Jay is well-versed in the world of construction.
A premium fitout
And it was Michael’s expertise in fitness training that came to the fore when fitting out the new gym.
“We changed the layout of the gym about 98 per cent from the original design. I redesigned it and we have every body part included in the equipment. A big point of difference is that we have eight squat racks – most gyms only have two,” he says.
The premium aspect extends to the changerooms, with a beauty bar including vanity mirrors, hair dryers and straighteners available for member use.
While the opening is recent news for the Georgy family, the extended period in getting to this point has given them a sharper focus on what’s next. Right now, they are focusing on establishing a good member base and discovering what it takes to keep members happy.
“We’ve had a high focus on member retention from day one,” Michael says. “We make sure they are happy with classes, we will fix any broken equipment straight away.”
Fast forward to the next step and it’s clear that one gym won’t be enough.
“We’ve started to look for a second or third site. Our aim is to create the same community vibe,” Michael says.
Michael’s top 5 tips for franchise buyers
1. Do a lot of demographic and competitor analysis. 2. Do your own research and don’t rely on what you are told; the cost isn’t necessarily what you end up paying. 3. Be prepared for a really tough slog for the first six months. In presale, we worked for four months, 10-hour days, seven days a week. Prepare for intensity. 4. A Snap franchise is great for flexibility and profitability, with really good benefits and passive income. 5. Work in the business for a year before you put in a manager. We split our shifts at the gym between us, each doing six days a week.
5 reasons why Snap Fitness was Michael’s ideal gym brand
1. Snap Fitness is a premium 24/7 model with a premium fitout. 2. It has evolved well in the market. 3. There is a functional area for the functional fit trend, so it competes with a boutique brand like F45 or Orangetheory Fitness. 4. Equipment choice is first class. 5. Classes are one of the biggest points of difference from other 24/7 gyms – HIIT, boxing, zumba, yoga…
A Respected Partner To Global Carriers
Founded in 1999, InXpress has a long history in managing successful businesses around the world. This is combined with the know-how to train and support franchisees in running a sales & business management franchise in freight consultancy. With 450+ franchises, located in 14 countries, the multi awardwinning business continues to grow. InXpress has already established strong relationships with trusted courier partners, providing access to highly competitive rates. This leaves you free to concentrate on building sales, working towards your goals and creating the lifestyle you want.
Tech-Enabled Essential Services
Get the security and freedom you’ve been looking for! In 2020, our franchisees enjoyed the security of working in an essential services industry and operating their businesses as usual, with minimal impact. Plus, being a tech-enabled business means that you - as a business owner - can work from literally anywhere in the world! InXpress’ online shipping portal, Webship Plus, is built on over 21-years of insight into what customers need, saving them hours on their shipping and empowering franchisees with insights into their business performance.
The Inxpress Franchising Opportunity
Build your own successful and profitable start-up business with the freedom to work from anywhere, all with the security of the world’s largest franchisor of global courier services. No experience is necessary to become an InXpress franchisee. All you need is to be sales-oriented and have an aptitude for business. We’ll provide full training, with ongoing business coaching and support.
Recession-resistant, essential services industry Low entry and ongoing costs Proven model for 21 years, constantly evolving Comprehensive training and ongoing coaching No inventory, warehousing, vans or trucks No employee base initially, opportunity to grow Potential to earn unlimited passive income Ability to work from anywhere!
Are you ready to take control of your future?
Contact Ryan 1300 097 857 sales.au@inxpress.com
Shaping the future
Body Sculpting Clinics sets its sights on expansion, with more clinics planned to open in 2022 using the company’s co-ownership business model.
This year is set to be a big one for Body Sculpting Clinics, which aims to nearly double the number of clinics in the chain. Late in 2021 the Sydney-based aesthetics business unveiled a Newcastle outlet, its sixth clinic and the first site outside the New South Wales capital. For 2022 the plan is to focus on opening five sites in key locations including Sydney’s CBD and northern suburbs, as well as capital cities across Australia. Body Sculpting Clinics offers a co-ownership business model, allowing for a lower initial investment and reduced risk to franchisees. It costs between $250,00 and $350,00 to invest in a 50/50 partnership with the franchisor.
There is support for setting up the clinics and fitout, staff recruitment and the purchase of medical-grade devices which give the “masstige” (upmarket but affordable) business a competitive edge.
“We can never sacrifice quality and safety and we need to be price competitive. We’re the Qantas of the market, but at entry level,” says Ben Gialouris, Body Sculpting Clinics co-founder.
The business has created a niche market, as the name suggests, focused clearly on body treatments.
Dominika Gialouris, Body Sculpting Clinics co-founder, says, “We do a few things really well and that always will be our focus. I don’t believe you can be a jack of all trades; you need to be focused
on your specialisation.
“Clients know what we do and that we do it well. We’re growing profitably for franchisees.”
Ben and Dominika say franchisee profitability is crucial to the business as the network of clinics grows.
“We’re here to drive profitable clinics with sustainable growth,” says Ben. “We need to ensure we are scaling at the right pace.
“After years of building and refining our business model and operations, we’re now in a position to offer a premium business opportunity to motivated and dedicated franchise partners interested in investing into the beauty revolution.”
It’s an advantage but not a necessity for franchisees to have medical experience – one successful franchisee is a doctor but another has a corporate/finance background.
Ben says business acumen, the ability to deal with people, to lead and manage are crucial skills.
Finding the right partner
Finding the right partner extends to the suppliers, team members, even clients, Ben explains. “We operate ethically, looking after our team and customers.”
It is also part of the plan to encourage team members to buy their own clinic. One employee recently invested in her own Body Sculpting Clinic.
“She was with us from day one, part-time. We approached her because she has a passion for the business. We wanted to help her grow and take the next step in her life. She’s loving it.
“It’s all about making sure it’s a win-win.”
A cut above
When Michael Herde started his hairdressing training in his dad’s business as a 15-year-old, it was hard to imagine he would be still in the industry 55 years later.
Now he and his business partner Beverly Iterrott are retiring, and selling their Mount Gambier salon after 25 years.
“Bev and I actually trained together with my dad,” Michael says. “We have loved everything about this industry but as we are getting older, it’s time to wind down and enjoy retirement. We are both so invested in the business that even if we left it running in the hands of a manager, we would still try to micro-manage it, so we’ve made the difficult decision to sell.”
The south-eastern South Australian city is a popular tourist destination well known for its limestone, volcanic landscape and crater lakes.
“Mount Gambier is a great place to live, everything is here so it’s a great opportunity for somebody to buy themselves a job and be their own boss,” points out Michael.
“There’s no hard sell, because the great thing about this business is it’s a clean business: you open the door in the morning, you leave at night and you don’t have to do anything else. You don’t have to take work home. We are the only Price Attack in the region, so you are drawing clientele from the surrounding districts, even (when allowed) from across the Victorian border.”
For Bev, it will be a wrench to leave the business after a lifelong hairdressing career.
“I have been wanting to retire for two years now, but I knew I would miss it like crazy, so kept moving the goal posts,” she admits. “But it’s time to spend more time with my grandchildren. The business has been wonderful for us and has supported two families, which speaks to the strength of the industry.”
Not only has the business been fundamental to Bev and Michael’s families, it has helped provide opportunities for locals, with the franchisees training 86 apprentices over the years.
Michael reflects on the benefits of the business model which has so impressed the pair’s accountant.
“The proof is in the fact that we’ve been here for that long: obviously you don’t stay if you’re not doing well at it, and we have loved it. The business is both retail and hair salon: two streams of revenue which stood the test of operating through a pandemic landscape,” he says.
“Our accountant said, ‘I don’t know how you guys do it, your figures progressively go up all the time’.”
While Covid has brought its challenges, for Michael and Bev there have been upsides too.
“I think because people are not travelling as much, they are treating themselves more. I think that will be in place for a long time. Not to mention all the online meetings where people have seen themselves differently on Zoom so have looked at a makeover.”
While the hairdressing professionals have been hands-on in operating their Price Attack franchise the incoming franchisee may not have any experience.
“We could sell to an aspiring hairdresser but you don’t have to be a hairdresser because there is so much happening on the retail front.
“The beauty of buying a franchise is you’ve got support and back-up of a team of professionals from product managers to a marketing team working on your business for you, unlike if you open a business on your own. The training is in place for anybody coming along.”
Michael admits he’d like to see the business forge ahead under the guidance of another passionate franchisee who has long-term ambitions for the Mount Gambier outlet.
“I’d love to see a younger person here who’s going to make some longevity and keep going. You have all of that while being very much a local business.”
Invest in your future with $150K+
Yes, you can buy a food, fitness or hair-and-beauty franchise!
Asolid investment can be the start of a great future as a franchisee.
It’s possible to buy a retail-based business, even one with an established brand presence, for less upfront capital than you might expect. In this investment feature, eight brands that are premises-based outline the costs of investment, showcase their franchise offers, and reveal their plans for the business this year and beyond.
Reunion
A new franchise from the co-founder of F45, offering group training focused on strength, movement and conditioning; elite trainers are involved in the structured and progressive programming.
Founder Luke Istomin says, “Creating community is just as important as our programming. Reunion brings people together whilst helping them achieve their goals with their health and movement training.”
Investment level: upfront franchise fee, turnkey cost
$250,000-$490,000.
Any new offers or deals to incentivise franchise buyers?
An innovative finance structure reduces the initial outlay to $136,000-$243,000. Our franchise journey has just begun and for Inside Franchise Business readers, we are excited to offer special reduced fee rates for our first five franchisees. We have a tiered system in place for franchisees, ranging from $29,000$65,000 for the initial fee, with flat monthly fees.
Number of studios
Five company-owned studios
Franchises planned for 2022
17
What's included in initial training and how long is it?
Eight weeks onboarding that guides you through modules including presales, daily operations, local area marketing, business admin, and preparing you for studio opening.
What assistance do you provide with site selection?
We can assist with site selection and landlords if needed.
How often will a field manager visit franchisees?
The operations team will continue to assist with quarterly studio visits, programming and in-studio coach education.
What product or service innovations will you bring in 2022 to help franchisees boost their businesses?
Members enjoy free access to exclusive digital platforms and programs. Our strong nutritional partnership with Thrive also allows members to have access to meal plans and nutritional advice, along with supplements, apparel, and wearables.
Walkers Doughnuts
A Melbourne-based family business harks back to the glory days of American diners, dishing up a dose of nostalgia with its sugary doughnuts.
Co-founder Rose Stoupas says, “We have a year of planned growth for Walkers as we move from being a solely Victorian brand to opening franchised stores in New South Wales and Queensland. We have worked hard during the past two years during Covid lockdowns to refine and perfect the model and we are poised for strong growth in 2022.”
Investment level: upfront franchise fee, turnkey cost
Franchise fee $50,000 plus GST, turnkey cost $180,000-250,000 (after a landlord’s contribution).
Any new offers or deals to incentivise franchise buyers?
Any fit-out contribution is shared with the franchisee, which can reduce the initial investment by up to one-third.
Number of franchised stores:
13
Franchises planned for 2022
10 new stores
What's included in initial training and how long is it?
Two weeks in store prior to opening and one week handover in the franchisee's own store.
What assistance do you provide with site selection?
We take care of all site selection on behalf of the franchisee.
What assistance do you provide with lease negotiation?
We take care of all lease negotiations on behalf of the franchisee.
What tech tools do you provide for franchisees?
Franchisees have access to Redcat POS and the Polygon reporting system, which provides benchmark reporting as well as training systems and operations hosted on World Manager.
How often will a field manager visit franchisees?
Weekly in the first month then, twice a month or as needed.
How do you monitor franchisee feedback?
We have constant dialogue with our franchisees and also have regular franchisee meetings.
How do you support franchisees in financial distress?
We have an intensive care program to assist franchisees.
What product or service innovations will you bring in next year to help franchisees boost their businesses?
We will be launching our online Loyalty App platform for franchisees, which will enable them to have greater intel and interaction with their customers and understand their customer audience by age and demographic.
Stretchlab
Matt Gordin heads up Boutique Fitness Studios, which has the master franchise rights for US business Stretchlab in Australia.
“Stretchlab is a unique concept in that it complements almost every other fitness brand,” Matt says. “It’s a service that adds value to other fitness modalities, rather than competing against them. Post-lockdown Australians, now more than ever, are focused on their health in a holistic manner and we’re seeing this through current membership attrition numbers.” Comprehensive training and ongoing support. Minimum 20-plus hours of franchisee training during onboarding, excluding flexologist education. This excludes ongoing weekly sales calls and monthly marketing calls.
Investment level: upfront franchise fee, turnkey cost
Franchise fee: $50,000 plus GST for single territory, discounts available for multi-area development. Turnkey cost: $250,000.
Any new offers or deals to incentivise franchise buyers?
First-mover advantage – an opportunity to claim the best territories in Australia.
Number of franchised studios
13
Franchises planned for 2022
20-plus
What's included in initial training and how long is it? What assistance do you provide with site selection?
Our in-house real-estate team helps source and vet sites in conjunction with our property partners – BDC Property Partners.
What assistance do you provide with lease negotiation?
Together with BDC Property Partners, we assist with lease negotiation to ensure the best possible deal.
What tech tools do you provide for franchisees?
We manage and regularly update our in-house learning management system (LMS), which works as an all-in-one resource hub. We also integrate several sales management and marketing management systems.
How often will a field manager visit franchisees?
Most of our training and ongoing education is conducted via internal online resource hubs and virtual flexologist bootcamps; however, once border restrictions allow consistent travel, we will endeavour to visit the studios annually.
How do you garner and monitor franchisee feedback?
We have a monthly CEO call for each of our brands, which is an open forum for feedback and discussions.
How do you support franchisees in financial distress?
We would deal with it case by case. We will help wherever we can and the focus would be on ensuring there is a good team in place and they are hitting their key performance indicators.
What product or service innovations will you bring in 2022 to help franchisees boost their businesses?
We are continually updating our inhouse automation systems to ensure all franchisees are assisted regularly and sufficiently. Our LMS platform will continue to expand, ensuring support, resources, and education are readily available to all franchisees.
Chatime
A leading bubble tea brand from Taiwan, Chatime has built a strong presence in Australia over the last 12 years. Andrew Benefield, chief development officer, says “We are filtering potential business partner interest in putting a Chatime everywhere, to ensure we only end up in the most relevant and successful locations.” survey and discuss our performance with our business partner influencer group. We also use an internal social media-based platform where partners can share all forms of communication.
Investment level: upfront franchise fee, turnkey cost
Approximately $250,000-$350,000.
Any new offers or deals to incentivise franchise buyers?
Fit-out contributions from landlords are passed on to franchisees in full, reducing the entry cost.
Number of franchised stores:
144
Franchises planned for 2022
A total of 34, which includes a number already pre-sold but postponed by Covid construction delays.
What's included in initial training?
The full training program is six weeks, including business training and assistance with recruitment and training of the initial team.
Is there help with site selection?
Assistance includes finding new sites, approving them as potential Chatime locations and negotiating lease terms.
What tech tools do you provide?
An intelligence reporting platform that provides analysis of franchisees’ business and benchmarking against peers.
How often will a field manager visit franchisees?
There is a regular call cycle to assist partners with business performance, and more regular visits for new and struggling partners. The business development manager is with a new partner for the first week of operation to ensure a great working relationship.
How can franchisees give feedback?
We conduct an annual franchise satisfaction
How do you support franchisees in financial distress?
We start by analysing the reasons for their distress and then apply the appropriate strategy in marketing, cost reduction, restructuring, rental relief, or other.
What product or service innovations will you bring in during 2022 to help franchisees boost their businesses?
We are further integrating our contactless ordering app with in-store self-serve kiosk technology to significantly reduce labour costs at the front counter.
And we have a number of exciting co-branding opportunities for 2022, building on successful partnerships with Philadelphia and Oreo.
We will also be accessing the global resources of our Taiwanese parent to deliver new, on-trend drinks.
Price Attack
The retailer has a growth strategy that’s ramping up in 2022, with a particular focus on regional New South Wales and Victoria.
John Pascoe, CEO, says ”As a leading specialist hair care provider and retailer, we will continue our strategy for further market share through rapid expansion, opening three stores in New South Wales in the first quarter of 2022.
“We are committed to driving franchisee profit and expanding the network, with opportunities for franchisees from both inside and outside the network.”
Investment level: upfront franchise fee, turnkey cost
Between $150,000 and $200,000 is the turnkey cost, including the franchisee fee and stock. Our franchise fee is $50,000.
Any new offers or deals to incentivise franchise buyers?
We have identified key locations critical to expansion and are keen to offer incentives and discounts, which will be negotiated case by case.
Number of franchised stores
62
Franchises planned for 2022
10
What's included in initial training and how long is it?
A comprehensive business induction program covering three facets of the Price Attack business model: hair styling and industry appreciation; retail understanding and knowledge; and business intelligence.
What assistance do you provide with site selection and lease negotiation?
We find the site and do all the lease negotiations with the lease in the Price Attack name and license to the franchisee.
What tech tools do you provide for franchisees?
Our shortcuts point-of-sale system is a powerful reporting tool that provides essential stock and customer data to simplify business.
How often will a field manager visit franchisees?
Once a month.
How do you garner and monitor franchisee feedback?
Our online platform Jostle allows for integrated and inclusive communication. Adding to this, our marketing depart-
Fitstop
Fitstop uses athletic-inspired, evidence-based training to create real results for members and business owners. Founder and CEO Peter Hull sees opportunity in integrating business performance data and members’ human performance data into a central system. “This ensures evidence-based and progressive training creates a completely unique offering that continues to garner growth,” Peter says.
Investment level: upfront franchise fee, turnkey cost
Fitstop has an upfront franchise fee of $50,000; the turnkey cost is $200,000250,000.
Number of franchised studios
There are 60-plus across Australia and New Zealand, with 120 agreements signed.
Franchises planned for 2022
Aiming to reach a total of 170 units across Australia and New Zealand.
What's included in initial training and how long is it?
Franchisees are onboarded with reading material, group inductions and e-learning content across all aspects of the back end of the business, progressing to in-location shadow shifts and practical product training.
What assistance do you provide with site selection? What assistance do you provide with lease negotiation?
There is support for lease negotiation to gain incentives from the landlord, comprehensive support for fit-outs, and an extensive fit-out manual. Plus, the franchisor provides reputable industry contacts.
What tech tools do you provide for franchisees?
Tools include a custom-built Fitstop app and an integrated business owner dashboard that provides live updates on the health of businesses. This includes metrics such as member milestones, engagement, weekly payouts, pause and cancellation rates, and high-risk members.
How often will a field manager visit franchisees?
The operations team visits locations at least once a quarter to complete ‘health checks’ with franchisees. ment conducts surveys every month and at the end of each campaign. Our franchisees can raise any concerns or issues. These surveys can also be answered anonymously, allowing for open communication.
How do you support franchisees in financial distress?
We have a legal responsibility not to allow a franchisee to trade if they are insolvent. That being said, we assess each situation case by case and, in the worst-case scenario, will help navigate a distressed store out of its lease, and negotiate a favourable exit for both parties.
What product or service innovations will you bring in 2022 to help franchisees boost their businesses?
In 2021, we kicked off the PA Academy: a new and innovative education platform with a threefold agenda – staff retention through upskilling, increased brand recognition, and recruitment. Salon and retail staff, as well as franchisees, can take advantage of more than 26 education modules, covering off on everything from the latest in colour and styling to stock take and point-of-sale tips.
How do you garner and monitor franchisee feedback?
Through anonymous surveys, an extensive operational rhythm (monthly, quarterly and annual events) and an internal Franchise Advisory Council.
How do you support franchisees in financial distress?
We provide a robust operations team that can diagnose where the business needs help – made easier by strong data collection. On a case-by-case basis, Fitstop also assesses any financial support it can provide.
What product or service innovations will you bring in 2022 to help franchisees boost their businesses?
Fitstop is set to launch a new product offering. The new way of training focuses on the same grounding principles of Fitstop; it uses technology and elevated sessions to generate member results, and this will attract new members.
Right at Home
The home care industry is worth over $40 billion a year – one of the largest markets in Australia. An ageing population, disability services, shorter hospital stays and a preference for ageing at home are fueling the demand for in-home care services.
Right at Home provides a full range of services: companionship, domestic support, personal care, skilled nursing, and allied health services. We do this across the aged-care system, disability, and post-hospital care systems.
Investment level: upfront franchise fee, turnkey cost
The upfront cost is $120,000 for the franchise fee and you will need an additional $80,000 in working capital.
Any new offers or deals to incentivise franchise buyers?
We have finance available for qualified candidates.
Current number of franchised units
There are 33 franchisees covering most of Queensland, a large portion of Sydney and some regional areas of New South Wales, plus Perth and Kalgoorlie.
Target number of franchised units for 2022
Territories are available in regional New South Wales, regional Western Australia, the whole of Victoria, South Australia, Tasmania, and the Northern Territory.
What's included in initial training and how long is it?
Initial training in Brisbane is included in the cost of the franchise and covers bespoke systems, care management, care delivery, recruitment, sales, marketing, operations and managing the business.
The Rightstart program provides intensive support during the start-up phase that underpins the early success of franchisees.
What assistance do you provide with site selection?
Population maps and demographic statistics are available to help with territory selection.
What tech tools do you provide for franchisees?
The franchisor manages search engine optimisation, pay-for-click programs, internet advertising, and social media advertising.
Just Cuts
Amber Manning, CEO, says the Just Cuts hairdressing salon model has been refined over three decades to provide a strong foundation for franchisees.
“Our 2022 forecasts are predicting 20 per cent sales growth for our network of small, family-owned businesses. In October 2021 alone, Just Cuts had the highest website visitation in our 30-plus-year history. “Since we reopened, more than 57,000 new clients have visited a Just Cuts salon for a Style Cut. Becoming a Just Cuts owner brings you unbeatable brand awareness that’s stood the test of time, combined with the latest innovations in technology to future-proof your salon.”
What's included in initial training and how long is it?
Seven in-person or Zoom sessions of two hours each for new owner training. This includes franchisee/trainer introductions and brand basics, operations manual review, workplace health and safety and security procedures, point-of-sale training, marketing, grand opening strategy, and in-salon training sessions.
What assistance do you provide with site selection?
Just Cuts uses an interactive Google Map showing every shopping centre in Australia. All centres are categorised by size and location, and the academy team can directly compare and evaluate foot-traffic estimates, floor plans, and major anchor tenants.
Investment level: upfront franchise fee, turnkey cost
Initial franchise fee payable to the franchisor: $17,500 (kiosk) $35,000 (salon) Total estimated costs: $80,000$270,000.
Number of franchised stores
In Australia, 192; in New Zealand, 28; and in the UK, eight.
Franchises planned for 2022
Another eight in Australia, 12 more for New Zealand, and seven for the UK; five in Taiwan, three in Singapore.
What assistance do you provide with lease negotiation?
The Just Cuts academy team facilitates and negotiates all leases.
What tech tools do you provide for franchisees?
The Just Online POS system tracks wait times across salons, timesheets for staff, daily sales and percentages, and identifies high-performing stylists.
How often will a field manager visit franchisees?
The Op Central compliance platform helps manage audits and tasks online for the Academy Team to review.
How do you garner and monitor franchisee feedback?
Regular text message surveys for instant voting/feedback and a closed Facebook group for owners’ polling and surveys, ‘Owners on the Couch’ Zoom sessions for open forums, and an elected Franchise Advisory Council.
How do you support franchisees in financial distress?
Landlord negotiations for rent concessions if centre performance is a contributing factor. To address salon performance issues, there are checklists and action plans, with training, operations, and local-area marketing support.
What product or service innovations will you bring in 2022 to help franchisees boost their businesses?
In-salon click-and-collect for the Justice range. The Just Cuts app will be updated with new functionalities in 2022, to further grow the loyalty program.
