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Beauty/SalonLimited DataItem 19: ✓ DisclosedHigh Confidence · 85/100FDD data: 2025 · Fresh

House of Colour Franchise Cost and Profit

FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for House of Colour.

Based on 2025 FDD · 9 filings in corpus

FranchiseIQ Score
75
B
Moderate-Low Risk
Composite score from 3 risk dimensions. Click for breakdown ↓
Health Score
B+
80/100
5/7 metrics · High confidence
Full analysis unlocks:
✓ Cash-on-Cash return
✓ Payback period
✓ SBA default rate
✓ Red flags assessment
✓ Comparable franchises
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Cost and profit at a glance

How much does a House of Colour franchise cost and make?

Based on FDDIQ's FDD corpus, a House of Colour franchise shows an estimated initial investment of $33K – $52K. The franchisor does not provide enough Item 19 data for a clean profit estimate. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.

Startup Cost
$33K – $52K
Total initial investment
Profit / Revenue
Item 19 not disclosed
FDD Item 19 signal
Payback Signal
Estimate unavailable
Modeled return metric
SBA Default Rate
0.0%
Loan repayment history
Compare franchise costs →Estimate franchise ROI →Check SBA default rates →Browse Beauty/Salon franchises →Compare similar franchises →

Quick fee read: $30K franchise fee · 6% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.

Free decision snapshot

Before you talk to House of Colour, check the numbers buyers usually miss.

The unlocked report ties this brand's FDD disclosures to SBA outcomes, Item 20 movement, fee load, missing-data labels, and buyer assumptions — so you can decide whether this is worth deeper diligence.

FDD disclosure qualitySBA default outcomesItem 20 unit movementFee/cost stressComparable brands
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Total Investment Range$33K – $52K
MinMid: $43KMax

Key Metrics

Franchise Fee
$30K
Royalty Rate
4%
Ad Fund Rate
2%
Total Burden
6.0%
Royalty + ad fund
Units (2023)
212
Net Unit Growth
→ -
Year over year
Cash-on-Cash Return
~8–15%
Annual estimated return
Payback Period
~5–12 yrs
Break-even timeline
SBA Default Rate
0.0%
vs ~7.2% industry avg
Median Revenue
~$800K–$2M
Item 19 disclosed
Premium Data

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CoC ReturnPayback PeriodSBA Default RateMedian RevenueEbitda MarginRisk Score
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Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.

House of Colour vs. Beauty/Salon Average

MetricHouse of ColourBeauty/Salon Avg
SBA Default Rate0.0%▲7.2%
Cash-on-Cash Return - 15.5%
Total Investment$43K$250K

Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.

SBA Loan Performance

Real lending data from SBA 7(a) loans (2018-2019). 2 loans across 2 states.

Default Rate
0.0%
Low Risk
Total SBA Loans
2
2 states
Total Loan Volume
$2.5M
SBA 7(a) approved
Avg Loan Size
$1.3M
Per franchisee
Loan Status Breakdown
1
Paid in Full (50%)
1
Currently Active
0
Charged Off
$0
Total Charged Off ($)
● Paid● Active● Charged Off

Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.

Compare

House of Colour vs The Barbershop A Hair Salon For MenHouse of Colour vs The Great American BarbershopHouse of Colour vs LASHBAR

Similar Franchises · Beauty/Salon

The Barbershop A Hair Salon For Men
Limited Data
$207K–$353K
The Great American Barbershop
Limited Data
$265K–$413K
LASHBAR
Limited Data
$159K–$249K
The Barbershop A Hair Salon For Men
$207K – $353K
The Great American Barbershop
$265K – $413K
LASHBAR
$159K – $249K
SAFESPLASH BRANDS, LLC d/b/a STREAMLINE BRANDS
$945K – $1.3M

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Questions to Ask Before You Sign

5 data-driven questions every House of Colour franchise buyer should ask.

  1. 1.What is House of Colour's SBA default rate compared to its competitors?Learn more →
  2. 2.Does House of Colour disclose Item 19 financial performance representations?Learn more →
  3. 3.What is the net unit growth trend over the past 3 years?Learn more →
  4. 4.What is the franchisee termination and transfer rate per Item 20?Learn more →
  5. 5.What do the FDD litigation disclosures (Item 3) reveal about franchisor legal history?Learn more →
Generate attorney questions for House of Colour →Validation call guide →
Data sourced from publicly filed Franchise Disclosure Documents (FDDs) submitted to state franchise regulators. SBA loan data from public SBA 7(a) records. Information reflects the most recent FDD filing in our database and may not reflect current terms. Always verify with the franchisor's current FDD before making any investment decision. Not legal or financial advice.

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