Roosters and Roosters Men s Grooming Center
Roosters Men's Grooming Center offers full-service grooming for men, including haircuts, under the ROOSTERS MEN'S GROOMING CENTER brand. Known for specialized male grooming services, this franchise operates in the personal care and beauty industry.
Roosters and Roosters Men s Grooming Center franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a Roosters Men's Grooming Center franchise, including the Development Fee but excluding any initial franchise fees, ranges from $265,690 to $432,390. This is detailed on [p.1] of the FDD.
What is the initial franchise fee?
The initial franchise fee is non-refundable and deemed fully earned upon payment, with the amount not specified in the excerpts. For new franchisees or existing franchisees developing Shops under the Development Agreement, there are no initial franchise fees charged for Shops to be developed in California until all pre-opening obligations are met and the business is open. [p.32, p.244-246]
What are the ongoing royalty and advertising fees?
Ongoing royalty and advertising fees include a 1% monthly fee based on gross sales, which must begin in the first full month after your shop opens for business. This fee can be increased up to 2% of monthly gross sales [p.27]. These fees are recognized as revenue when the sales occur [p.93].
How long is the initial franchise agreement, and can I renew it?
The term of the initial franchise agreement isn't specified in detail within these excerpts. However, the agreement may be renewed based on the terms provided by the current standard form of franchise agreement offered to new franchisees at the time of renewal [p.152]. This new agreement could include different terms compared to this one, such as a higher royalty fee or increased advertising expenditures [p.152].
Can I sell or transfer my franchise, and what does that require?
You can sell or transfer your franchise, but it requires the prior written approval of ROOSTERS. This approval is not unreasonably withheld, especially if the transferee is an existing Roosters franchisee in good standing. The transfer must also comply with several conditions, including full payment of all monetary obligations to ROOSTERS and meeting managerial, financial, and business standards set by ROOSTERS [p.210].
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the franchise agreement on any grounds available by law [p.259]. This includes legal grounds permitted under state law as specified in multiple sections including [p.270], [p.266], and [p.274].
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts. The provided FDD sections discuss escrow arrangements for initial investments if the franchisor's net worth is less than $100,000 [p.6] and potential future increases in investment requirements [p.219], but do not detail specific financial requirements such as net worth or liquid capital needed to qualify as a franchisee.
Do I get an exclusive or protected territory?
No, you do not receive an exclusive territory. The FDD states that you may face competition from other franchisees, outlets owned by the company, and competitive brands controlled by them [p.52]. Additionally, it is noted that you are prohibited from soliciting other franchisees for any other business or investment activity [p.52].
What training and ongoing support does the franchisor provide?
The franchisor provides an Initial Training Program that includes both classroom, on-site, and online components [p.132]. This program is mandatory for the franchisee, its managers, and up to two employees [p.132]. The franchisor also offers periodic updates, extensions, or expansions of the training requirements, which may include on-the-job training at a designated location approved by the franchisor [p.132]. Additionally, the franchisor reserves the right to provide other mandatory ongoing training programs or seminars as it deems appropriate in its sole discretion, subject to the terms and conditions stated in Section V(F) of the agreement [p.132]. The franchisor is responsible for tuition and materials but not for travel, meal, lodging, or other expenses incurred by franchisees during these trainings [p.132].
How many franchised outlets are there, and how many have closed or been terminated?
This isn't specified in the excerpts.
Does the franchisor share any financial performance or earnings information?
Yes, the franchisor does provide financial performance information [p.62]. However, this information is limited to actual records of existing outlets that you are considering purchasing and cannot be used for projections unless supplemented with specific circumstances [p.63]. The franchisor also requires that any other financial performance information received should be reported to them and relevant regulatory bodies [p.63].
What am I restricted to selling, and where must I buy supplies?
You are generally not restricted to selling specific items but must ensure that any products or services you use or sell meet the franchisor's minimum standards and specifications. You may have to buy or lease certain items from the franchisor or a limited group of suppliers they designate, which could be more expensive than other options [p.3, p.38]. However, there are procedures for requesting alternative suppliers if their offerings do not meet your needs [p.37].