Rank no.113 – First Choice Haircutters – US
Products & Services: Family hair care
Number of Locations: 448
Total Investment: $145K – 210.5K
Began Franchising: 1980
About First Choice Haircutters
In 1980, A. Bud Cowan started First Choice Haircutters as a low-priced hair salon for the entire family, offering a “no appointment necessary” concept for on-the-go customers. Two years later, the company started franchising the concept. First Choice Haircutters is now owned by Regis Corp., which also franchises City Looks, Cost Cutters Family Hair Care, Pro-Cuts, Magicuts and Supercuts.
Startup Costs, Ongoing Fees and Financing
Franchise Fee: $27,500
Ongoing Royalty Fee: 7%
Term of Franchise Agreement: 10 years, renewable
Net Worth: $300,000
Liquid Cash Available: $100,000
85% of all franchisees own more than one unit. Number of employees needed to run franchised unit: 6 – 6. Absentee ownership of franchise is NOT allowed..
|FINANCING TYPE||IN-HOUSE||THIRD PARTY|
How This Franchise Supports Franchisees
Franchise Ranking History
|Type||Public NYSE RGS|
|Founder(s)||A. Bud Cowan|
|Headquarters||Mississauga, Ontario, Canada|
|Number of locations||400+|
|Area served||North America|
|Key people||John Fraser|
First Choice Haircutters is a hairdressing company. The company originated with a single salon in London, Ontario, in 1980 and began franchising about 2 years later. First Choice Haircutters was purchased by Regis Corporation in October 2000. Currently it has over 400 locations throughout Canada and the United States. It is a franchise company, and experienced system-wide sales of nearly $3 billion in 2007. First Choice Haircutters is a subsidiary of Regis Corporation; the largest hair salon chain in the world which also owns other concepts such as Supercuts, Vidal Sassoon, Cost Cutters and SmartStyle.
Company origin and profile
The company headquarters are located in Mississauga, Ontario, although Regis Corporation’s home office is based in Minneapolis, MN. Often located in strip malls, the company describes itself as targeting “value-conscious families”. Most salons are 800–1000 square feet, with a minimum frontage of 15 feet. The salons operate primarily on a “walk-in” or no appointment necessary basis. First Choice Haircutters offers a seven day guarantee on all their products and services.
The Canadian actress Jacqueline MacInnes Wood, who later went on to act in the soap opera The Bold and the Beautiful, made her début in a commercial for the company. She was only eighteen when she played the part of “the hair girl” on the commercial; the ad was still running three years later.
In August 2008, a First Choice Haircutters salon in Bowmanville, Ontario, was hit by an SUV that, for unknown reasons, crashed through the front window. There were no injuries resulting from the accident, as nobody was sitting in the chairs when it happened.