Image Studios 360 Founders Pitch Lenders on ‘Bulletproof’ Concept
Image Studios 360 leases space to salon professionals such as hair stylists, estheticians and tattoo artists.
Calling his concept the “closest thing to bulletproof” in the industry, Image Studios 360 co-founder Shaun Olsen touted the performance of franchisees and no unit closures since the salon suite company’s founding in 2009 during his presentation March 10 at the Franchise Investment Conference.
“We’re the premier luxury brand of the salon suite industry,” said Olsen, who with brother Jason Olsen began franchising Image Studios 360 in 2015 and have 29 open locations in 11 states. “Our franchisees are doing amazing.”
Average unit sales of five franchise locations open at least 12 months were $297,816 in 2018, according to Item 19 of the company’s franchise disclosure document, with a top-performing location in Royal Palm Beach, Florida, seeing sales of $420,579. Another location in Holladay, Utah, meanwhile, had sales of $218,089. Store-level EBITDA, also known as cash flow, is $99,983, or 33.57 percent.
Most franchisees, many of which are c-level executives with corporate business experience, are absentee owners who keep their jobs and have a spouse or business partner who operate the location in a salon coordinator role, noted Olsen.
Like competing franchises Sola Salon Studios, Phenix Salon Suites and My Salon Suite, Salt Lake City-based Image Studios 360 is a real estate-focused model that leases space to salon professionals such as hair stylists, estheticians and tattoo artists. As it aims to ramp up development—Olsen named an ambitious goal of 300 units by 2023—the company is seeking non-SBA lenders to help finance the buildouts for franchisees.
“We’re looking for a niche lender that sees the stability of what we’re doing,” said Jason Olsen as he noted being open to “creative lending solutions.”
The initial costs to build out and open an Image Studios 360 ranges from $424,450 to $1,090,750 for a typical 5,600-square-foot location.
The Franchise Investment Conference, which continues through March 11 at the Renaissance Dallas at Plano Legacy West Hotel, is where franchise owners, operators, lenders and investors connect with CEOs and other senior executives of leading franchise companies. The Franchise Times-produced event features presentations from more than 40 franchise brands.
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