Sport Clips
Sport Clips offers men's haircuts in sports-themed locations with multiple TVs showing sports programming. Known for its quick-service model and male-focused haircutting, Sport Clips operates in the competitive hair salon franchise market.
About Sport Clips
Sport Clips franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a Sport Clips franchise ranges from $226,800 to $580,500 for one store. This includes a mandatory payment of $69,500 to $95,500 that must be paid to the franchisor or affiliate [p.1].
What is the initial franchise fee?
The initial franchise fee varies based on the number of units you are purchasing: - $30,000 for the first store. - $24,500 for the second store. - $15,000 for the third and any additional stores purchased under a Multi-Unit Development Agreement (MUDA). [p.26]
What are the ongoing royalty and advertising fees?
The ongoing royalty fee is a weekly payment of 6% of Net Sales, where Net Sales include all sales through the Franchised Business but exclude returns and taxes collected from customers [p.239]. For advertising, the franchisee receives materials at no additional charge and can request more advertising if desired, though this must be paid for separately by the franchisee [p.37].
How long is the initial franchise agreement, and can I renew it?
The initial term of the franchise agreement is not specified in the provided excerpts. However, after the initial term, as long as there is no default and all conditions for renewal are met, you will have a First Right of Refusal to renew your franchise within the Protected Territory [p.236].
Can I sell or transfer my franchise, and what does that require?
According to [p.6], a franchisor can refuse to permit the transfer of ownership of a franchise except for good cause, which is defined to include various factors but is not limited to those specified. Additionally, if you sell your business to an existing Sport Clips franchisee, there are specific fee structures involved; selling one store costs $2,500 and each additional store $1,000 [p.23].
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the agreement on any grounds available by law [p.75]. Additionally, the franchisor may terminate for good cause, which includes the failure of the franchisee to comply with lawful provisions of the franchise agreement and not curing such failure after being given written notice and a reasonable opportunity to cure, which cannot exceed 30 days [p.6].
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts.
Do I get an exclusive or protected territory?
Yes, you receive an exclusive territory during the initial 5-year term of your Franchise Agreement. The territory is defined as the lesser of a 1-mile radius around your location or a radius that encompasses a population of 25,000 people. During this period, the company cannot sell any franchises nor open any Company-owned Sport Clips stores in your territory [p.45].
What training and ongoing support does the franchisor provide?
The franchisor provides an initial training program generally offered once a quarter at their office in Georgetown, Texas. This mandatory program must be completed to their satisfaction approximately 5 months before opening the business. Additionally, managers and employees need to sign a confidentiality agreement to protect trade secrets. Ongoing support includes requiring that any new manager or employee complete relevant training programs as needed, though previously trained individuals may not have to repeat training if deemed unnecessary by the franchisor. [p.47, p.253, p.42]
How many franchised outlets are there, and how many have closed or been terminated?
Based on the provided excerpts, as of 2025, there were 86 franchised stores in markets such as Central Texas, Southern Nevada, Oklahoma, Arkansas, and New York. However, this number does not include 6 nonmature Company-owned stores that opened since Q4 2024, nor the two temporarily closed Company-owned stores or the five Company-owned stores in New York that are also excluded. The excerpts do not specify exact numbers of outlets that have closed or been terminated, only stating that information about franchisees who have had their outlets terminated, canceled, sold, or otherwise ceased to operate can be found in a chart provided for buyers exiting the franchise system [p.68].
Does the franchisor share any financial performance or earnings information?
The franchisor, Sport Clips, Inc., does not make any financial performance representations except for the preceding one. They do not authorize their employees or representatives to make such representations either orally or in writing [p.56]. However, if you are purchasing an existing outlet, they may provide actual records of that outlet's performance [p.56].
What am I restricted to selling, and where must I buy supplies?
You are required to purchase all equipment, supplies, and inventory from approved vendors as specified by the company [p.29]. You are not allowed to sell goods or services over the Internet or by mail except in accordance with the Company's Operating Manual [p.47].