Frenchies Franchise Cost, Revenue & Review 2026
- Investment
- $473K – $550K
- Disclosed sales
- $605K
- gross sales, not profit
- SBA charge-off
- 19.0%
- on 33 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Frenchies is a modern nail salon franchise offering fume-free manicures and pedicures in a clean, upscale space. Franchisees run the salons, managing nail technicians, appointments, and retail.
FranchiseVerdict summary · 2026
A FRENCHIES franchise requires a total initial investment of $473K – $550K, including a $50K franchise fee and an ongoing 6.0% royalty[2]. Per the 2026 FDD, average unit revenue was $605K[2]. SBA 7(a) loans show a 19.0% charge-off rate across 33 loans[1]. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored5 of 7 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $473K – $550K
- 40th pct Retail
- Avg gross sales
- $605K
- 6th pct Retail
- Royalty
- 6.0%
- 20th pct Retail
- Units
- 26
- 14th pct Retail
- SBA charge-off
- 19.0%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Retail · color = vs category peers
Green = favorable by >10% vs Retail median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $473K – $550K including a $50K franchise fee, 6.0% ongoing royalty.
- RETURNSAverage unit revenue of $605K/year.
- RISKVerdict B (Above average), verdict score 56/100 (higher is better). SBA loan charge-off rate of 19.0% across 33 loans (above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHPositive: net +3 franchised outlets in the latest year (4 opened, 1 closed); 8 signed but not yet open (Item 20).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Frenchies, LLC
- Parent company
- BCC Services Intermediate Holding Company d/b/a Head to Toe Brands
- FDD Item 1, page 8 of the 2026 FDD
- Ultimate parent
- BCC Services Holding Company
- FDD Item 1, page 8 of the 2026 FDD
- CEO title
- Chief Executive Officer (of Parent, Head to Toe Brands)
- Meg Roberts
- Incorporated in
- CO
- HQ
- 550 Reserve Street, Suite 380, Southlake, Texas 76092
- Auditor
- Plante & Moran, PLLC
- Audited financials
- Franchisor revenue
- $1.5M
- vs $12.4M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Same owner · FDD Item 1, page 8
2 other brands on this site name BCC Services Holding Company as parent or ultimate parent in their own FDD.
Grouped by the owner's name as each filing prints it (this page: the 2026 FDD). Spelling variants of the same group may be listed apart; a brand is never grouped with an owner its filing does not name.
Overview
About
- CEO
- Meg Roberts
- Headquarters
- TX
- Founded
- 2015
- FDD year
- 2026
- States available
- 12
Can you afford it, and what does the money buy?
Entry cost runs 52% above the typical retail franchise.
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $50K | $50K |
| Working capital (3–6 mo) | $38K | $45K |
| Equipment, build-out, other | $385K | $455K |
| Total initial investment | $473K | $550K |
Source: FRENCHIES 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $473K – $550K
- Middle of category vs category
- Liquid capital req'd
- $38K – $45K
- Top 40% of category vs category
- Franchise fee
- $50K – $50K
- Top 40% of category vs category
- Royalty
- 6.0%
- Set by a formula · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $175 |
| Training fee | $8K |
| Transfer fee | $5K |
| Renewal fee | $3K |
| Inventory (initial) | $18K – $21K |
| Total fee load | 8.0% of rev |
What do units actually make?
Average unit sales run 25% below the retail norm.
Source: FDD 2026 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for FRENCHIES until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
Total invested capital · disclosed
$553K
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one FRENCHIES unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
- Avg gross sales
- $605K
- Per unit/yr · from the Item 19 franchised-cohort breakdown (no single system-wide average disclosed)
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- Average Unit Annual Sales by quartile from Table 1, 'Revenue Comparison by Quartile', covering the 23 studios that operated the entire 2025 calendar year (the Measurement Period) - Quartile 1 average $818,088 across 5 studios (high $980,522, median $778,495, low $737,328), Quartile 2 $687,662 across 6 (high $709,278, median $694,668, low $639,106), Quartile 3 $550,795 across 6 (high $631,044, median $537,538, low $499,394) and Quartile 4 $400,169 across 6 (high $487,669, median $392,567, low $318,537), each printed beside its 2024 comparative and its percent change; studio-by-studio rows give state, station count and open date. A second table, 'Systemwide Revenue by Type', reports Total Revenue of $14,350,743 for all franchised studios operating at any point in the period, split into recurring membership revenue $3,216,491, retail products $258,318 and first-time guests and all other services $10,875,934. No all-system average row is printed.
- Sample size
- 23 outlets
- vs category median 46
- Range (low → high)
- $319K→$981KCited, not corroborated — printed on page 50 of the 2026 FDD. Nothing else in our record independently restates or re-derives it.
- Cohort dispersion (min → max)
- Quartile band
- $400K→$818K
- Bottom 25% → top 25%
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
- Transparency
- 3 / 10
- vs category median 3 / 10 · typical
Compared against 278 Retail brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $605K/year in gross sales. Revenue-to-investment ratio: 1.2x.
Fee burden
Total ongoing fee load of 8.0% (near the Retail median).
Disclosure
Transparency score 3/10 — moderate disclosure depth. Average and range data are available but detailed cohort breakdowns may be limited.
Operator retention
System expanding at 13.0% CAGR over 3 years across 26 units — operators are staying and new ones are joining.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Retail medians
How Frenchies Compares
Category median of published Retail brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 26
- Opened
- 4
- Last reporting year
- Closed
- 1
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 3.8%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +13.0%
- Net unit change over 3 years
- 3-yr CAGR
- +13.0%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Transferred
- 5
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 8
- 0.31 per open outlet · Item 20 Table 5
- Projected new
- 8
- Franchisor's next-year forecast
- Transfer rate
- 19.2%
- Owners selling to other franchisees
- Ceased ops
- 3.8%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 18 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Where the owners are · Item 20 owner list
43 current owners across 18 states; 2 former (terminated, transferred or not renewed) listed separately.
- TX 11
- CO 6
- CA 3
- GA 3
- NC 3
- MI 2
- MN 2
- NM 2
- OH 2
- FL 1
- MO 1
- NJ 1
- +6 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 33
- Loan volume
- $7.5M
- Median loan
- $227K
- average
- Charge-off rate
- 19.0%
- on 33 loans · rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 13
- Defaults
- 4
Vintage analysis
Frenchies charge-off rate by loan vintage
Top lenders financing Frenchies franchisees
Showing 3 of 13 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Frenchies from SBA 7(a) FOIA data.
Top SBA lenders
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | The Huntington National Bank | 11 | $1.8M | 0.0% |
| 2 | Stearns Bank National Association | 7 | $1.8M | 14.3% |
| 3 | U.S. Bank, National Association | 3 | $495K | 0.0% |
| 4 | Wells Fargo Bank National Association | 2 | $509K | 100.0% |
| 5 | Paragon Bank | 2 | $550K | 0.0% |
| 6 | Ameris Bank | 1 | $331K | 100.0% |
| 7 | Patriot Bank, National Association | 1 | $125K | 0.0% |
| 8 | Simmons Bank | 1 | $280K | 0.0% |
| 9 | Choice Financial Group | 1 | $175K | 0.0% |
| 10 | Peach State Bank and Trust | 1 | $250K | N/A |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| OHOhio | 6 | 0 | 0.0% |
| GAGeorgia | 5 | 0 | 0.0% |
| TXTexas | 5 | 2 | 50.0% |
| COColorado | 4 | 0 | 0.0% |
| PAPennsylvania | 4 | 0 | 0.0% |
| CACalifornia | 2 | 0 | 0.0% |
| FLFlorida | 2 | 0 | 0.0% |
| MDMaryland | 1 | 1 | 100.0% |
| MNMinnesota | 1 | 0 | 0.0% |
| NJNew Jersey | 1 | 1 | 100.0% |
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
What could kill this investment?
SBA loans charge off at 19.0% — 19% above the 16.0% national norm, i.e. higher lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Early-stage food concept with small unit base, undisclosed profitability metrics, and high fixed royalty floors that compress margins on modest average unit volumes.
Litigation (Item 3)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
No litigation required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Plante & Moran, PLLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Item 21 states audited financial statements are in Exhibit F for the franchisor (Frenchies, LLC, as of Dec 31, 2022) and for its parent's parent BCC Services Holding Company and subsidiaries (FYE Dec 31, 2025/2024/2023), with a Guarantee of Performance from BCC Services Holding Company. The actual Exhibit F audited balance sheets and income statements are NOT present in the provided text (document ends at the State Appendix exhibits), so no Item 21 figures could be extracted.
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 56 / 100 verdict
- 01MEDNet income not disclosed in FDD Item 19 — inability to validate actual profitability against $472k-$550k investment
- 02MINORModest unit growth of 13% YoY with only 26 total units suggests early-stage or plateauing system
- 03MINORHigh royalty floor ($100/week minimum = $5,200/year) creates fixed cost burden even during slow revenue periods
- 04MINORNo going concern disclosure contradicts typical franchise system maturity expectations for brands seeking $500k+ investment
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 2 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 4 mi |
| Territory population | 50,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 20 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | AAA offices in city where franchisor maintains principal place of business at time arbitration is initiated |
| Jury trial waiver | Yes |
| Governing law | TX |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 34 hrs
- On-the-job training
- 16 hrs
- Training location
- Virtual and/or Dallas, Texas; Studio Opening Training at franchisee's studio
- Ongoing training
- Required
- Time to open
- 12 mo
- From signing to launch
- Site selection
- Franchisee with franchisor approval; franchisor assigns Site Selection Area
- Franchisor financing
- Not offered
- Item 10
- POS system
- Cloud-based POS System (third-party provider)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Cloud-based POS System (third-party provider)
Item 20 · call current owners
Franchisee Contacts
45 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a FRENCHIES franchise?
The total investment to open a FRENCHIES franchise ranges from $473K – $550K, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do FRENCHIES franchise owners earn?
According to Item 19 of the FRENCHIES FDD, the average gross sales per unit is $605K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
Who owns FRENCHIES?
FRENCHIES is franchised by Frenchies, LLC. Its parent company is BCC Services Intermediate Holding Company d/b/a Head to Toe Brands. The ultimate parent named in the FDD is BCC Services Holding Company. Source: FDD Item 1, 2026 filing.
What is Item 19 in the FRENCHIES FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the FRENCHIES FDD and qualifies whose outlets they describe.
What is FRENCHIES's franchise failure rate?
Based on SBA 7(a) loan data, FRENCHIES has a charge-off rate of 19.0% across 33 loans, meaning 19.0% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many FRENCHIES franchise locations are there?
As of their most recent FDD filing, FRENCHIES has 26 total units in the United States, including 26 franchised units and 0 company-owned units. 4 new units were opened in the latest reporting year.
Is FRENCHIES a good franchise to buy?
FranchiseVerdict rates FRENCHIES as a B-grade franchise with a verdict score of 56 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.