What if I told you there’s a franchise with:
- Industry leader
- ZERO Employees
- Recurring Revenue
- HUGE Tax Benefits
- $215k+ EBITDA (top performers)
Let’s dive into IMAGE Studios, a luxury salon-suite brand:
IMAGE converts ~5,000 sq ft of retail or office into ~30 salon studios, which are rented by the week to beauty professionals such as hair stylists, estheticians, nail techs, and massage therapists who operate their own businesses within their studios.
You’re the landlord.
IMAGE Studios is the top-of-the-line brand surround by "lower tier" competitors such as Sola Salons, Salons by JC, Phoenix Salons etc.
This attracts the high-end professionals, who serve high-end clients and are able to pay premium rents :)
Earnings Potential
Item 19 of the 2025 FDD provides a ton of great financials. I love it when brands are this transparent with their numbers
Here are the locations that achieved 90%+ occupancy:
Average did $500k of revenue with $217k (43%) after "key expenses."
Debt payments are NOT included in these “key expenses” since it’ll vary depending on how you finance.
Note that there is no payroll line. Most franchisees have zero employees. Tenants have keys to open and close.
They provide the same revenue & expenses at 80-90% occupancy, 70-80%, and below 70%.
My favorite chart shows the average revenue by month during the opening year.
Opening a studio is a huge investment. Having insight into other owners’ ramp-up periods helps build confidence during the most nerve-racking times.
In 2024, franchisees went from $9k in month 1 to $33k in month 6 to $51k in month 12.
Start-Up Costs
There is a huge variation depending on the size of the location.
The smallest studio (3,800 sq ft) starts at $832k. The largest studio (7,000 to 8,000 sq ft) is $1.7M
The system average is 5,600 sq ft.
Most franchisees put down ~30% ($250-500k) and finance the rest. Many landlords give "Tenant Improvement" dollars, reducing the total cash investment.
The franchisor helps with real estate selection, drawings, and construction from start to finish, making it easy for franchisees who have never managed a project like this.
Tax Benefits
This is not financial advice. You should never make an investment for tax purposes. The investment should stand strong on its own. Any tax benefit is just icing on the top.
This concept has some amazing tax benefits for high-income earners.
It’s all around “bonus depreciation.”
Let’s say I invest $1M to build a location with $850k going towards the buildout + furniture, fixtures & equipment.
I put down $300k and finance the rest.
The IRS allows me to expense 60% of $850k, creating a $510k write-off in the first year.
So, let’s say I made $500,000 through another business or W2 job; I'd have a deduction for $510,000, obliterating any taxes I paid (or would’ve paid).
Trump has talked about returning back to 100% (up from 60%) which would give me a $850,000 write-off against other income 🤑.
If I didn’t make $850k+, the incremental losses would continue to the next year.
Then, I can use the cash saved by not paying taxes as a down payment to build another studio, giving me another huge write-off the next year.....then repeat.
(This is the exact playbook I followed in rolling up the Midas shops between 2018 to 2022. We saved a TON of cash via bonus depreciation that we used to re-invest back into the business).
Next Steps
IMAGE Studios has ~100 studios open, with 250+ awarded.
They want high-net-worth individuals, such as C-suite executives, investors, commercial property owners, and other business owners, to continue their nationwide expansion.
Complete this short form to learn more.
I’ll check if your market is open + connect you to the founders.
Cheers
Brian