Great Clips^®

Personal Care • Year: 2026

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What Is Great Clips?

Great Clips is a franchise that licenses the operation of GREAT CLIPS® salons, specialized retailers offering haircare and personal grooming services and products. The operational model is brick-and-mortar salons at franchisor-approved Authorized Locations (ordinarily in or near shopping centers, free-standing units, or other Non-Traditional Locations). It serves individual consumers (men, women and children) and the core service bundle is limited haircare services and a limited selection of products designated by Great Clips, delivered in a distinctive retail environment.

Great Clips Franchise: Pros and Cons

The franchisor’s 100 training and support score-well above typical in Personal Care-signals strong hands-on training that shortens ramp time and reduces operational guesswork, but 98 reacquired outlets, plus 4 terminations and 1 non-renewal, suggest elevated franchisee turnover and significant exit risk for operators.

Pros

The 100 training and support score is well above typical for Personal Care, meaning you get strong, hands-on training and field support that shortens ramp time and reduces operational guesswork.

The initial franchise fee is $20,000 - well below what's common in Personal Care - and initial fees are refundable (an uncommon benefit), which lowers your upfront cash requirement and downside during the build-out phase.

The system size (4,439 total franchised outlets) is well above typical for Personal Care, giving you scale benefits like brand recognition, established supply chains, and a large peer network to learn from.

Cons

98 reacquired outlets - well above typical for Personal Care; combined with 4 terminations and 1 non-renewal, this pattern points to notable operator turnover and franchisee exits from the system.

Company-owned units: 0 - well below typical for Personal Care; the franchisor does not operate locations themselves, which limits their ability to test new ideas, iterate operational systems, and maintain firsthand awareness of day-to-day running a location.

Lawsuits & Legal Risk

100

Excellent

Great Clips reported no material legal proceedings,

Territory Protection

51/100

Good

Great Clips grants a non‑exclusive protected territory-generally a 0.75‑mile radius (0.1 mile in dense areas) around the salon with Non‑Traditional Locations excluded and relocations subject to franchisor consent. Great Clips retains the right to develop additional units in the surrounding market, sell via e‑commerce/alternative channels, and operate under different trademarks.

Training & Support

100

Excellent

Great Clips provides a focused 63-hour training curriculum designed to prepare operational staff for launch, with no trainee slots included in the initial franchise fee. Training includes on-site launch support for operational readiness that is provided by Great Clips and may carry additional fees; travel and living expenses are the franchisee's responsibility.

Franchisee Stability

62/100

NORMAL

Great Clips receives a Normal Stability Score. Three-year turnover of 2.53% falls below the typical Personal Care franchise (around 3%), and it is lower than many industry peers who more commonly report turnover nearer the mid single digits. Out of 337 total exits, ceased operations dominated with 315, alongside 11 terminations, 11 non-renewals, and no franchisor buybacks, reflecting primarily owner-run closures rather than franchisor reclamations.

The dominance of ceased operations suggests location-level economics were the main cause, with operators choosing to close underperforming sites rather than widespread franchisor enforcement; this can reflect local rent or labor pressures, changing local demand, or retirements among long-time owners. Beyond its industry-relative position, a 2.53% three-year turnover rate is genuinely exceptional in absolute terms across all of franchising. The broader retention picture is solid for industry context.

Unit Growth Analysis

Great Clips is essentially flat at 4,439 units after four years (a net loss of eight locations), signaling system-wide saturation. For a new owner that means a predictable, well-supported business where upside comes from improving local operations and margins rather than territory growth - you’re buying a steady job with limited expansion potential, so plan for competition in mature markets and focus on execution.

How Much Does It Cost to Open a Great Clips Franchise?

Opening a Great Clips franchise requires a total initial investment of $187,800 to $289,900, according to the 2026 Franchise Disclosure Document. This range covers the franchise fee, real estate, equipment, training, and initial working capital needed to launch and operate through the early months.

Minimum Investment

$187,800

Franchise Fee

Real Estate

Equipment & Assets

Reserves

Training

Other

Maximum Investment

$289,900

Minimum Investment Breakdown

Franchise Fee$20,000

Real Estate$71,100

Equipment & Assets$44,700

Reserves$20,000

Training$1,500

Other$30,500

Maximum Investment Breakdown

Franchise Fee$35,000

Real Estate$87,800

Equipment & Assets$64,600

Reserves$60,000

Training$2,500

Other$40,000

Investment Analysis

This investment analysis is coming soon. Have ideas for other analyses you'd like us to add? Get in touch.

The initial investment amounts shown are estimates only. Actual costs may vary based on location size, business model, and multi-unit ownership arrangements. We recommend reviewing the full Franchise Disclosure Document for complete details.

How Much Do Great Clips Franchise Owners Make?

Great Clips franchise locations reported average gross sales of $399,179 and median gross sales of $382,316 in 2026, based on financial performance data disclosed in Item 19 of the Franchise Disclosure Document.

Average Gross Sales:

$399,179

Median Gross Sales:

$382,316

High Gross Sales:

$1,099,873

Low Gross Sales:

$37,920

Sample Size:

4147

Percent Attaining Average:

44.8%

Audit Status:

Unaudited

Franchise vs Corporate Performance: Only franchised salon data is provided; franchised salons show average total sales of 399179 and an average operating cash flow of 82637 for 2024, with no company-owned outlet comparison available in Item 19.

Performance Variability Analysis: Sales are highly skewed with a low of 37920, a high of 1099873 and a mean (399179) above the median (382316), and only 44.78% of salons exceeded the average, indicating notable variability and a tail of high performers.

Data Scope and Limitations: Expense and cash flow figures come from a smaller reporting subset of 2175 salons and the underlying sales and expense submissions were not independently audited or verified by Great Clips or its accountants.

Frequently Asked Questions

Is Great Clips a good franchise to own?

Whether Great Clips is a good franchise depends on your goals, experience, and local market. Key factors from the 2026 FDD: Great Clips operates 4439 locations, received a legal risk score of 100/100, a training and support score of 100/100. Financial performance data is disclosed in Item 19. Prospective franchisees should review the full Franchise Disclosure Document and consult with a franchise attorney before making any investment decision.

Is a Great Clips franchise worth the investment?

The value of a Great Clips franchise investment depends on factors such as location, operator experience, and market demand. The initial investment ranges from $187,800 to $289,900. Great Clips disclosed average gross sales of $399,179 in 2026. The system reported 4 terminated units in 2026. Franchise investments carry inherent risk, and prospective buyers should conduct thorough due diligence before committing capital.

What is the failure rate of Great Clips franchises?

In the 2026 FDD, Great Clips reported 4 terminated franchises and 1 non-renewals out of 4439 total locations. Franchise closures can result from many factors including market conditions, operator decisions, lease expirations, and franchisor enforcement actions. The FDD's Item 20 provides the most detailed unit turnover data.

How long does it take to break even with a Great Clips franchise?

Break-even timelines for Great Clips franchises are not disclosed in the 2026 Franchise Disclosure Document. Break-even periods vary significantly based on initial investment level, local market conditions, operating costs, and revenue ramp-up speed. Prospective franchisees should build a pro forma financial model using Item 7 cost estimates and, where available, Item 19 financial performance data from the FDD.

Is Great Clips a franchise or a corporate-owned business?

As of the 2026 FDD, Great Clips operates 4439 franchised locations and 0 company-owned locations. Franchise opportunities are available through the franchisor's disclosure process.

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