Great Clips Franchise Cost and Profits in 2026
By FDDIQ Research Team | April 2026
Based on 2025 FDD Filing
Quick Summary
Cost Breakdown
| Fee | Amount |
|---|---|
| Franchise Fee | $20,000 |
| Total Investment Range | $187,800 - $419,900 |
| Midpoint Investment | $303,850 |
| Royalty Rate | 6.0% |
| Advertising Fund | 5.0% |
| Total Ongoing Fees | 11.0% |
Revenue and Profit Analysis
The median Great Clips franchise generates $382,316 in annual revenue. With estimated margins of 22%, that is approximately $84,109 in annual EBITDA.
Revenue per dollar invested: 1.26x.
Unit Count
SBA Loan Performance
SBA default rate: 2.3% across 298 loans. This is below the franchise industry average (~7-8%).
Frequently Asked Questions
How much does a Great Clips franchise cost?
A Great Clips franchise requires a $20,000 franchise fee with total investment ranging from $187,800 to $419,900. The midpoint investment is approximately $303,850.
How much do Great Clips franchise owners make?
Based on the most recent FDD, the median Great Clips location generates $382,316 in annual revenue. With estimated industry margins of 22%, that translates to approximately $84,109 in EBITDA before debt service.
What is the Great Clips royalty rate?
Great Clips charges a 6% royalty on gross sales plus a 5.0% advertising fund, for a total ongoing fee burden of 11.0%.
Is a Great Clips franchise worth it?
Whether Great Clips is worth it depends on your market, experience, and financial goals. The SBA loan default rate is 2.3%. Review the latest FDD thoroughly and validate with existing franchisees before investing.
What is the Great Clips franchise SBA loan default rate?
Based on SBA loan data, Great Clips has a 2.3% default rate across 298 loans. This is below the overall franchise industry average.
Want the full Great Clips FDD analysis?
Detailed financial data, Item 20 outlet counts, litigation history, and more.
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