Is
Drybar
a franchise?
Drybar is an iconic franchise that has revolutionized the beauty industry by specializing in professional blowouts, creating a unique and enjoyable experience for its customers. Founded in 2010 by Alli Webb in Brentwood, California, Drybar has quickly become a well-known brand in the haircare sector. Drybar started franchising in 2010, allowing entrepreneurs to become part of its growth and success.
At Drybar, customers can choose from a menu of blowout styles, each named after a cocktail, such as "The Mai Tai" for beachy waves or "The Cosmo" for voluminous curls. The franchise prides itself on providing a comfortable and luxurious environment where customers can relax and enjoy their blowout experience. What sets Drybar apart from its competitors is its exclusive focus on blowouts, ensuring that they excel in this specialized service, leading to consistently exceptional results.
How many
Drybar
franchises
are there?
What are the
Drybar
franchise
fees?
Initial Franchise Fee
The initial franchise fee for Drybar is $50,000, payable as a lump sum upon signing the agreement.
Royalty Fee
Franchisees pay a monthly royalty fee of seven percent (7%) of the Shop's Gross Receipts.
Brand Marketing Fund
A contribution of 2% of Gross Receipts is required for the Brand Marketing Fund, subject to potential increases.
Technology Fee
A technology fee of $750 per month covers various technology-related services, starting two months before the Shop's opening.
Default Fee
In case of default, franchisees must pay a fee between $250 and $2,500.
Monthly Management Fee
In cases of abandonment, default, or termination, a monthly management fee of up to $7,500 plus direct out-of-pocket expenses is charged.
Local Advertising Fee
Franchisees must allocate a minimum of 2% of Gross Receipts each month for approved advertising and marketing.
Note: The fees presented here can be found in the Item 5 of the Franchise Disclosure Document. For a complete list of all the fees borne by the franchisee, please consult the Franchise Disclosure Document.
How much does
it cost
to start a
Drybar
franchise?
Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.
Does
Drybar
provide
training
to its
franchisees?
Drybar franchise provides a comprehensive training program for its franchisees, encompassing various aspects necessary for operating a franchise successfully:
Initial Training Program
- Franchisees, along with their Operating Partner and Designated Manager, must attend and satisfactorily complete the initial training program before the opening of their shop.
- The training program, typically offered concurrently with the Shop Educator Program, begins about ten weeks before the shop's opening date.
Site Selection Assistance
- The franchisor provides guidelines and counseling to help franchisees select a suitable location for their shop.
Additional Training or Seminars
- The franchisor may offer additional training programs, seminars, conferences, and training events, for which franchisees may be required to pay fees.
Manager Training Program
- A manager training program may be offered to franchisees, with a current fee of $500 per day per attendee, plus costs.
Does
Drybar
provides
territory
protection?
The Drybar franchise offers territory protection to its franchisees within a specified "Protected Area," typically defined as a 1.5-mile radius around the franchised business. Within this area, the franchisor agrees not to establish or operate other Drybar shops, provided the franchisee adheres to the franchise agreement. However, this territorial protection does not extend beyond the Protected Area, as the franchise is non-exclusive.
Franchisees have the right to select their shop location within a designated non-exclusive "Search Territory," but this does not grant them any exclusive territorial rights beyond identifying a potential shop site.
Can a
Drybar
franchise
be run as
a passive
investment?
The Drybar franchise document does not explicitly allow for passive investment. It emphasizes active involvement from franchisees or designated managers in the day-to-day operations. If the franchisee is a legal business entity, an individual with at least a 25% ownership and voting interest must be designated as the "Operating Partner" and be approved by the franchisor.
There is a need for franchisees, especially if they are the Principal Owner, to actively participate in the franchise's daily affairs. This includes attending franchisee meetings, seminars, and supplemental training sponsored by the franchisor.
