Pigtails & Crewcuts
Bottom line
- Total investment $130K – $283K including a $30K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $324K/year (median $311K).
- Rated STRONG with a risk score of 44/100. SBA loan default rate of 0.0% across 53 loans (below the industry average).
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one Pigtails & Crewcuts unit return on the cash you put in?
Unlevered ROIC · per unit
24%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Pigtails & Crewcuts units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$584K
on $2.9M purchase
Total debt
$2.3M
SBA $1.5M + senior + seller note
Overview
About
Franchisees operate children's salon locations offering haircuts, styling, and grooming services in a play-based, entertainment-focused environment. Daily operations include staff scheduling/training, inventory management (hair products, supplies), customer booking/retention, and maintaining branded cleanliness/safety standards. Most locations are high-traffic retail requiring significant labor costs and lease commitments.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 24 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 phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Small, slowly-growing children's haircut franchise with opaque unit economics, no disclosed net income data, and minimal financial transparency raises questions about franchisee ROI and system sustainability.
Score breakdown · what drove the 44 / 100 rating
- 01MEDNet income not disclosed in FDD — unable to validate actual profitability or ROI against $130k-$283k investment
- 02MEDAnemic unit growth of 2.6% YoY suggests market saturation or franchisee struggles; 80 units is small system with limited scale advantages
- 03MINORAverage revenue of $324k against 5% royalty + operating costs (rent, staff, inventory) leaves questionable margin — no Item 19 financial performance representation to verify
- 04MINORWide investment range ($153k spread) indicates highly variable startup costs and unit economics; lack of transparency on what drives this variance
- 05HIGHGoing Concern status is False but franchisor profitability/runway not disclosed — insufficient information on corporate financial health
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
78 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Pigtails & Crewcuts · FDD (2025) PDF