About Fantastic Sams Development Agent Program - Standard Franchise
The Fantastic Sams Development Agent Program Standard offering provides franchise rights to recruit and support Fantastic Sams salon owners within a defined territory.
Part of the Fantastic Sams International Corporation family, which has been in the franchise business since 1974, this program carries franchise fees ranging from $35,000 to $75,000.
Development agents play a critical role in the Fantastic Sams network by identifying and screening prospective salon owners, then providing ongoing support services to help those salon locations succeed.
Fantastic Sams Development Agent Program - Standard Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $35,000 to $75,000 | One-time payment upon signing |
| Royalty Fee | Not applicable for Development Agent of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Not applicable | National brand fund |
| Total Investment Range | $49,000 – $102,000 | Includes build-out, inventory, working capital |
The investment range of $49K–$102K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (Not applicable for Development Agent) and marketing fee (Not applicable) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| DA Fee (Note 1) | $35,000 | $75,000 |
| Training Fee | $500 | $500 |
| Travel & Living Expenses While Training (Note 2) | $1,500 | $3,000 |
| Professional Fees (Note 3) | $3,500 | $6,000 |
| Technology System (Note 4) | $1,000 | $2,500 |
| Insurance (Note 5) | $2,000 | $4,000 |
| Miscellaneous cost (basic office supplies, business cards, broker registration fee, and other miscellaneous start-up costs) | $1,500 | $3,000 |
| Additional Funds – 3 Months (Note 6) | $4,000 | $8,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $1,000 multiplied by the number of Franchised Salons then |
| Renewal Fee | $1,000 multiplied by the number of Salons that you agree to cause to be opened during the successor development term |
| Technology Fee | $150 per year |
| Audit Fee | Not disclosed |
| Networking Fee | $150 per year |
| Interest | 18% or the highest legal rate |
| Late Payment Fee | $25 for each week (or portion thereof) |
| Supplemental Training | Our then-current per person training fee (currently, not charged), plus expenses |
| Annual conference registration fee | Estimated to be $300 per person |
| Insurance Premiums | Estimated to be $2,000 to $4,000 (for 3 months), plus 15% |
| Costs and Attorneys’ Fees | Will vary under circumstances |
| Indemnification | Will vary under circumstances |
| Contribution for Legal Actions | 40% of the reasonable attorneys’ fees and costs we incur |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Salon Fundamental Training and New Owner Training generally last between 3 and 7 days; Development Agent Training generally lasts between 3 and 5 days. |
| Classroom Training | 40-74 hours |
| On-the-Job Training | 0 hours |
| Training Location | At our offices in Woburn, MA (or an alternative location) or virtually |
| Additional Training | The franchisor may require employees who provide training to Salon franchisees to attend and complete Initial Franchisee Training, Development Agent Training, and other designated training programs. Development agents may also be required to implement employee training programs using prescribed standards. Owners, managers, and other employees may be required to attend conferences or supplemental/refresher training programs. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive (Limited Territorial Protection) |
| Exclusive Territory | No |
| Territory Size | Typically, a population range of 700,000 to 1,500,000 people for developing 20 Salons, based on a density of 35,000 to 75,000 people per Salon. |
| Description | The DA Territory, DA Fee, and development schedule are identified in the Development Agent Agreement before signing, with a map or description attached. The size and population are determined by various factors including core customer base, demographics, size, and business climate. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years (Agreement Term), with a 5-year Development Term within it |
| Renewal Term | 1 successor Development Term of 5 years |
| Renewal Fee | $1,000 multiplied by the number of Salons you agree to cause to be opened during the successor development term |
| Renewal Conditions | To renew, you and your owners must be in full compliance with all agreements, agree to any proposed territory modification, agree to a new development schedule, pay the successor development term fee, provide requested information, meet current financial/operational criteria, and sign the then-current Development Agent Agreement and ancillary agreements, including general releases. |
| Transfer Fee | $1,000 multiplied by the number of Franchised Salons then operating in the Territory |
| Transfer Conditions | Conditions for transfer include the proposed transferee meeting franchisor's standards (including not owning/performing services for a Competitive Business), satisfactory terms of transfer, completion of initial training by transferee, assumption of all duties/obligations by transferee, payment of all monetary obligations to franchisor, transferor not being in default, submission of all required reports/documents, and transferor signing general releases. |
| Termination for Cause | The franchisor can terminate for various defaults, including material misrepresentation, failure to complete training, failure to satisfy development schedule, abandonment, unauthorized transfer, conviction of certain crimes, misappropriation of confidential information, violation of laws, making unauthorized financial performance representations, failure to attend meetings, allowing a franchisee to sign a lease without approval, failure to communicate, making unauthorized changes to documentation, failure to submit reports/payments, failure to maintain insurance, failure to pay taxes, or three or more breaches within 12 months. |
| Non-Compete Period | During the Agreement Term and for two (2) years after termination, expiration, or transfer |
| Non-Compete Details | During the term, you and your owners may not have an interest in, be employed by, advise, or support any Competitive Business anywhere; interfere with franchisor's relationships with vendors/suppliers; or divert business opportunities. After termination/expiration/transfer, for two years, you and your owners may not have an interest in a Competitive Business within your DA Territory, a 5-mile radius of it, or a 2.5-mile radius of any Salon; interfere with franchisor's relationships; or provide products/services to development agents/franchisees. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The Development Agent Business must at all times be under your or your owners’ direct supervision. You must faithfully, honestly, and diligently perform your obligations, continuously exert best efforts to promote and enhance your DA Business, and avoid conflicts of interest. Owners and their spouses may be required to personally guarantee obligations. |
| Required Suppliers | Currently, the franchisor is the only approved supplier of Unit Franchise Agreements, Salon FDD, franchise sales materials, and advertising materials (Documentation) for soliciting franchisees. In the future, the franchisor may require the purchase of certain Technology System components from designated vendors, which may be limited to the franchisor or its affiliates. |
| Supply Restrictions | Development agents are not permitted to contract with alternative suppliers for required items. The franchisor may require the purchase of certain components of the Technology System and maintenance/support services from itself or its affiliates. |
| Franchisor Revenue from Suppliers | As of the issuance date, the franchisor and its affiliates do not derive revenue, rebates, or other material consideration from third-parties based on purchases or leases by development agents; however, they reserve the right to do so in the future without obligation to share such revenue or benefit. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligation. |
Fantastic Sams Development Agent Program - Standard Franchise Earnings — Item 19
Fantastic Sams Development Agent Program - Standard does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Fantastic Sams Development Agent Program - Standard Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Fantastic Sams Development Agent Program - Standard System Growth
Fantastic Sams Development Agent Program - Standard currently operates 4 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 0 | 0 | 0 |
| 2021 | 0 | 0 | 0 |
| 2022 | 4 | 0 | 4 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 12 states: CA, IL, IN, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by Barclais CPA, LLC for year ending December 31.
Fantastic Sams Development Agent Program - Standard Franchise — FAQ
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