Hello Sugar: An Innovate Franchise Model


What an awesome franchise business model:

  • Scalable
  • Innovative
  • Recurring revenue
  • Low start-up costs

Say hello to HelloSugar

(For non-waxers like me: “sugaring” is less painful than traditional waxing)

Their motto is: “It hurts less here”

Less pain = more recurring customers = 💰

Business Model

A traditional salon takes 9 to 12 months to find, construct & open. You’re betting ~$400k, signing a big lease, and investing a year of your life. All while praying it’ll be a successful location

It’s a huge risk

Brigham Dallas, the founder, came up with a better plan to flip the model upside:

  • Start-up for ~$100k
  • Train your team
  • Build your customer base

You start by renting a single room in a salon suite. A salon suite rents rooms to beauty professionals

Transition into a flagship location within 2 years. This approach dramatically lowers the risk.

If the location rocks, you start looking for a permanent flagship location. If not, you relocate to another neighborhood.

Scalable

Brigham operates 15 locations in Phoenix.

He has multiple District Managers & a CEO who runs the day-to-day. As a franchisee, you could build the same type of business.

There are no receptionists. Customers check in on iPad. Estheticians are paid on commission. This structure lowers your guaranteed payroll & increases margins.

Brigham shares more details about his corporate operation on my podcast from last year.

How much money can you make?

The Item 19 of their 2024 FDD is one of the BEST I’ve ever seen

Providing a table breaking down major expenses for every corporate (affiliate) and franchise location open in 2023.

Flagships:

Corporate & Franchisee Suites

Sales are lower (remember these operated out of a salon suite)

They are showing everything, including some locations that lost money.

Many brands would be afraid to show this — but it’s a reality. Unfortunately, I have multiple stores that lose money.

It’s rare to see this level of transparency in FDDs

Start-Up Costs & Ideal Franchisee

They have multiple options based on your budget & goals

  • Flagship $269k to $615k
  • Just suites (flagship later): $96k to $120k
  • Suite while flagship developed: $304k to $673k

Many franchisees are 25-40 years old, husband & wife teams who love customer service.

They have 100+ units open

Next Steps

I help people buy their first franchise. We arm you with due diligence tools & checklists.

Interested to learn more?

1) We’ll check if your market is open
2) Introduce you to the Hello Sugar team
3) Join my free franchise-buying community
4) Hop on group coaching calls every week with me

100% free to you

👉 Fill out this form

Cheers!

Brian

Brian Beers

Find me on X, LinkedIn
YouTube, Podcast

113 Cherry St #92768, Seattle, WA 98104-2205
Unsubscribe | Preferences

Brian Beers

Get tactical advice every week on finding, operating & scaling franchises.

Read more from Brian Beers

You've been lied to. "Expert" financial advisors tell you to keep your money in stocks, bonds, and mutual funds. They celebrate when your portfolio earns 10-15% in a year. “This is the slow & steady way to build wealth.” They only care about controlling your money to get their 1% fees — not making you wealthy. Real wealth isn't created in the markets. It’s created by owning strong cash-flowing businesses. The financial industry doesn't want you to know this because they can't earn fees from...

Voda is one of the fastest-growing restoration franchises in the country. The highlights: $2.4M sales at the founding location Floor cleaning + restoration Recession-resistant business 80+ franchise owners Let’s dive in: Business Model Voda has two core services: carpet cleaning + restoration. Carpet cleaning provides consistent, predictable revenue that you can start getting immediately. You get paid for these jobs at the time of service. Restoration (water, mold, fire remediation) jobs are...

I wrapped an awesome weekend in Florida with 20 elite franchisees as part of my 8-Figure Franchisee mastermind. 12 lessons learned: 1/ Be intentional Life doesn’t happen to you, it happens for you. Either you’re executing your plan, or you’re executing someone else’s. 2/ Screw incremental growth You don’t need permission to take massive leaps. Your “5-year plan” can happen in 18 months with the right strategy and support. 3/ Cash on Cash is king Return on capital is way more important than...