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The Actual Touch n Glow Franchise Cost
Statista projects that the beauty industry will grow in the coming years. As more avail of beauty services, beauty studios and chains may need to meet the growing demand. One of the chains that can provide these services is Touch n Glow. For now, they might not be a household name yet, but potential franchisees can consider this beauty chain as an opportunity. But how much does a Touch n Glow franchise cost?
In this article, know more about the Touch n Glow franchise, its cost, and other requirements to start one.
Touch n Glow Franchise Overview
Bakersfield, CA, is the home of Touch n Glow since 2015. Avtar Singh is the founder and current CEO. Meanwhile, Sherry Joshan is the co-founder and Vice President. As the business continued to flourish, the founders saw the need to grow their business model and turn it into a franchise. According to Entrepreneur, Touch n Glow started franchising units in 2019.
Presently, there are less than 10 Touch n Glow units nationwide. Potential franchisors can see this as an opportunity because of the volume. And since, its franchise development is still in its infancy, there’s still more room for growth.
In terms of what franchisees can offer, it will depend on the type of franchise they choose. Touch n Glow presents two opportunities: Standard and Express.
The Standard franchise allows franchisees to open a salon or branch out a current esthetician practice by offering lash extensions and eyebrow threading services. Plus, they can even sell skincare products. Aside from those mentioned earlier, franchisees will also provide these services:
- Facials
- Makeovers
- Henna Tattooing
- Eyebrow Tinting
If a potential franchisee has a salon, they can select the Express franchise. However, it’s not mandatory to have a salon to avail of this franchise type. Instead, they can set up in malls where they could serve more clients.
This franchise type can boost sales and reach new customers because of the services offered. Speaking of which, the only services included for this franchise type are eyebrow threading and henna tattooing.
Are you interested? You can use their contact form and submit details for the Touch n Glow franchise you might set up.
Before we discuss the Touch n Glow franchise cost, know what other requirements you need to fulfill.
Training
Franchisees will undergo a combined 81-hour training program. One is the 25-hour classroom training, and the other is 56 hours of on-the-job experience. The franchisor will provide demonstrations, operations manual, and videos to aid the franchisee during the training. Plus, the franchisor will conduct extra on-site training before opening or during the grand opening.
Aside from that, the franchisor will provide more training resources through a newsletter. This will help ensure they get updates regarding operations. Plus, there might be additional training programs conducted via phone, online meetings, or videos. If needed, the franchisor may require the franchisee and its partners to attend a training program for management and operations purposes.
Territory and Obligations
Franchisees may only set up a Touch n Glow franchise in the specified location indicated on the Franchise Agreement (FA). They also won’t receive an exclusive territory from the franchisor. If franchisees established an approved site in a protected area, they would get limited rights. The franchisor will set a three-mile area for that.
Meanwhile, those looking to expand their business or set one up in a non-traditional area will not get a protected area. Plus, the franchisor can make exceptions in the three-mile rule because of the area and, potentially, population.
A franchisee or non-owner manager should be present for the operations of the franchise at all times. In addition, the franchisee should also delegate a manager. Plus, for those establishing a standard franchise, having a full-time esthetician is a must upon opening.
The franchisor requires franchisees to offer only approved services, use the approved furniture and signage, and conduct approved business activities. However, in cases where non-business related activities might be done, franchisees must submit written consent.
As for terms, the franchisor will grant an initial five-year term for all franchisees. As per renewal, franchisees may do so, provided they fulfill the requirements needed. In this case, the franchisor may agree to two five-year terms.
The Touch n Glow Franchise Cost
So far, a Touch n Glow franchise wouldn’t cost you millions. In fact, a Touch n Glow franchise cost ranges from $81,410 to $141,250. That is the estimate by the beauty chain for a Standard franchise. On the other hand, for an Express franchise, it ranges from $21,350 to $56,830.
The franchisor doesn’t also grant financial assistance to franchisees.
Check the tables below on your initial investment and other costs that you’ll have to shoulder when franchising a Touch n Glow.
Your Investment
| Name of Fee | Low | High |
|---|---|---|
| Initial Franchise Fee | $15,000 | $19,500 |
| Technology | $0 | $5,500 |
| Equipment, Furniture and Fixtures | $4,000 | $22,500 |
| Real Estate | $0 | $10,200 |
| Leasehold Improvements | $0 | $25,000 |
| Utilities | $0 | $500 |
| Signage | $600 | $12,000 |
| Start Up Inventory | $900 | $4,500 |
| Staffing | $0 | $3,900 |
| Uniforms | $100 | $500 |
| Insurance | $0 | $2,000 |
| Travel, Lodging and Meals for Initial Training Program | $750 | $3,000 |
| Licenses, Permits, Certifications and Other Professional Fees | $0 | $2,150 |
| Operating Expenses and Additional Funds | $0 | $30,000 |
| ESTIMATED TOTAL | $21,350 | $141,250 |
Other Costs
| Type of Fee | Amount |
|---|---|
| Royalties | 4.5% of gross revenues or a flat $300 for the express model per calendar month (whichever is greater); or 4.5% of gross revenues or a flat $800 for the standard model per calendar month (whichever is greater) starting immediately once the business is open for operation. |
| System Advertising Fee | 1% of monthly gross revenues per calendar month starting immediately once the business is open for operation. |
| Local Advertising | Minimum of $1,500 per quarter starting immediately after the opening of the business for operation. |
| Interest and Late Charges | 1.5% per month or maximum rate allowed by law, plus $25 provided the interest rate cannot exceed the maximum legal rate. The highest interest rate allowed in California is 10% per annum. |
| Additional Training | $200 per person per day or costs of third-party charges. |
| Audit Expenses | Cost of Audit Fees plus interest @ 18% per annum (1.5% per month) up to the maximum interest allowed by law. The highest interest rate allowed in California is 10% per annum. |
| Costs and Attorney’s Fees | Varies. |
| Liquidated Damages Fees | Calculated based on the average monthly royalty fees and the average monthly system advertising contributions paid to the franchisor during the previous 12 months. |
| Indemnification | Varies. |
| POS System and Ongoing Support Fee | Currently $100-$120 per month for POS usage, software and ongoing support. |
| Web Page Edits, Updates, Changes, Maintenance and Promotion Fee | Currently at $65-$125 per hour that may be necessary to update and/or promote the web page. |
| Product, Vendor and Equipment Testing Fee | $100 per product or vendor; $300 for equipment testing |
| Renewal Fee | None. |
| Transfer Fee | A flat fee of $5,000 when franchisees transfer a part of the business (less than 49% of all the assets) or a flat fee of $10,000 when they transfer all the business (more than 49% of all the assets). If transferee came from the franchisor’s lead database, franchisees may be required to pay the then-current referral fee plus any costs associated with applicable broker fees. |
| Resale Fee | Varies. |
| Temporary Management | Actual costs. |
| Conference Fee | Conference fee, travel, transportation, lodging, meals and incidental expenses in addition to compensation of the people franchisees send to any conferences. Will vary under circumstances. There will be a registration fee for conferences not to exceed $500 per person although the franchisor will attempt to keep the cost down so it does not exceed its cost. |
| Refresher Training and/or Continuing Education | Varies. Refresher or continuing education is estimated not to exceed $200 per person per day plus the franchisee’s travel expenses or the franchisor’s expenses if it comes to the franchisee’s location. |
Did You Know?
- Once you sign the FA, you can open a Touch n Glow franchise in two weeks. After contacting them for a potential franchise venture, you can open one after four steps. So first, you can already choose a site, then lease it. After this, the site will be developed then the location will be open to the public. The final part of their franchise timeline is ongoing training.
- Customers who sign the Guest Book on their Touch n Glow Beauty Salon website can get rewards and other discounts. They can even avail of deals on Groupon.
- Apart from the initial Touch n Glow franchise cost, franchisees can expect to spend on marketing efforts. Part of this is setting up a website and using tried-and-tested strategies that can increase foot traffic.
- Current franchisees may buy other Touch n Glow franchises. They can buy a franchise for $10,000.