House of ColourFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A House of Colour franchise requires a total initial investment of $33K – $52K, including a $30K franchise fee. The 2026 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $33K – $52K
- 1st pct Personal Care…
- Avg gross sales
- N/A
- 34th pct Personal Care…
- Royalty
- N/A
- Units
- 312
- 42nd pct Personal Care…
- SBA default
- N/A
Quick verdict · Personal Care & Beauty · color = vs category peers
Green = >15% above Personal Care & Beauty avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Franchised units fell from 312 to 212 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $33K – $52K including a $30K franchise fee.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict A (Top Quintile) with a risk score of 34/100.
- System growing at 47.2% CAGR over 3 years with 312 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- House of Colour USA, Inc.
- Parent company
- House of Colour International Ltd
- Incorporated in
- VA
- HQ
- 7 Bell Yard, London, WC2A 2JR, United Kingdom
- Auditor
- Kezos & Dunlavy
- Audited financials
- Franchisor revenue
- $11.8M
- vs $10.6M prior year
Independent franchisee associations
- Franchise Advisory Council (FAC)
- Franchisee Advisory Board
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Affiliated brands
- House of Colour
- is a United Kingdom limited liability company with a pr
Other brands the franchisor or its parent operates (Item 1).
Overview
About
House of Colour franchisees operate color analysis and personal styling consultancies, providing customers with personalized color palettes and wardrobe recommendations based on seasonal color theory. Day-to-day activities include conducting one-on-one client consultations, delivering color analysis sessions, selling branded color swatches/tools, and potentially offering styling services or workshops.
- CEO
- Allison Van Iten
- Founded
- 2016
- FDD year
- 2026
- States available
- 43
FDD Item 7 · 2026 filing · 9 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee | $30K | $30K | |
| Pre-Opening Marketing | $2K | $5K | |
| Training Expenses | $500 | $3K | |
| Insurance | $350 | $1K | |
| Licensesnot refundable | $50 | $263 | |
| Computers, Software, Office Equipment, Phones | $500 | $3K | |
| Professional Fees | $0 | $5K | |
| Office Supplies, Stationery | $100 | $1K | |
| Additional Funds - 3 Months | $345 | $4K | |
| Total initial investment | $33K | $52K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $33K – $52K
- Better than avg vs category
- Liquid capital req'd
- $345 – $4K
- Better than avg vs category
- Franchise fee
- $30K – $30K
- Better than avg vs category
- Royalty
- Greater of $175 or 4% of Gross Revenues
- Ad fund
- up to 2% of Gross Revenues per month
- Total fee load
- 6.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty (flat) | greater of $175 or 4% of Gross Revenues per month |
| Technology fee | $200 |
| Training fee | $12K |
| Transfer fee | $750 |
| Renewal fee | $2K |
| Total fee load | 6.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Personal Care & Beauty averages
How House of Colour Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 312
- Opened
- 50
- Last reporting year
- Closed
- 16
- Turnover rate
- 5.1%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- +12.2%
- Net unit change last year
- 3-yr CAGR
- +47.2%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 59
- Transfers (3yr)
- 11
- Transfer rate
- 3.5%
- Owners selling to other franchisees
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 35 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.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
House of Colour presents CAUTION-level risk due to undisclosed financial performance data, franchisor going concern flag, and a modest growth rate with compressed margins between fees and total investment.
Litigation (Item 3)
No litigation is required to be disclosed in this Item.
Largest disclosed settlement: $24,500
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Kezos & Dunlavy
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 34 / 100 rating
- 01MINORNo average revenue or net income disclosure (Item 19) — impossible to assess ROI or profitability
- 02HIGHGoing concern status is FALSE — suggests potential financial or operational instability at franchisor level
- 03MINOR12.2% YoY unit growth is modest for a mature system; unclear if this reflects market saturation or underperformance
- 04MINORHigh franchise fee ($30,000) relative to low total investment ceiling ($52,260) creates thin margin for working capital
- 05MINORMinimum royalty of $175/month ($2,100/year) represents 4% of revenues needed just to break even on royalties alone
- 06MINOR5-year term is shorter than industry standard (10 years), increasing renewal risk and uncertainty
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 3 years |
| Allowed renewalsℹ | 2 |
| Territory type | Population-based |
| Protected territory | Yes |
| Territory population | 100,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 1 year |
| Right of first refusalℹ | Yes |
| RoFR response window | 60 days |
| Termination notice | 30 days |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Virginia |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed in this Item.
Items 10, 11
Training & Operations
- Classroom training
- 74 hrs
- On-the-job training
- 65 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
- Site selection
- franchisee
- POS system
- Proprietary point-of-sale (POS)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Proprietary point-of-sale (POS)
Item 20 · call current owners
Franchisee Contacts
100 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
House of Colour · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a House of Colour franchise?
The total investment to open a House of Colour franchise ranges from $33K – $52K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do House of Colour franchise owners earn?
House of Colour does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is House of Colour's franchise failure rate?
SBA 7(a) loan charge-off data is not available for House of Colour (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many House of Colour franchise locations are there?
As of their most recent FDD filing, House of Colour has 312 total units in the United States, including 312 franchised units and 0 company-owned units. 50 new units were opened in the latest reporting year.
Is House of Colour a good franchise to buy?
FranchiseVerdict rates House of Colour as a A-grade franchise with a risk score of 34 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. 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.