Sola Salon StudiosFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Sola Salon Studios franchise requires a total initial investment of $1.2M – $1.9M, including a $60K franchise fee and an ongoing 5.5% royalty[2]. Per the 2025 FDD, average unit revenue was $442K[2]. SBA 7(a) loans show a 0.0% charge-off rate across 13 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 21, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $1.2M – $1.9M
- 48th pct Personal Care…
- Avg gross sales
- $442K
- 10th pct Personal Care…
- Royalty
- 5.5%
- 8th pct Personal Care…
- Units
- 729
- 46th pct Personal Care…
- SBA default
- 0.0%
- system-wide median varies by category
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
At 0.3x revenue per dollar invested, this system underperforms the typical 1.5-2.5x range.
Only 0.0% of 13 SBA loans charged off, well below the 16% franchise average.
Bottom line
- Total investment $1.2M – $1.9M including a $60K franchise fee, 5.5% ongoing royalty.
- Average unit revenue of $442K/year (median $420K).
- Verdict A (Top Quintile) with a risk score of 44/100. SBA loan charge-off rate of 0.0% across 13 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Sola Franchise, LLC
- Parent company
- Radiance Holdings, LLC
- Incorporated in
- CO
- HQ
- 300 Union Boulevard, Suite 600, Lakewood, Colorado 80228
- Auditor
- Plante & Moran, PLLC
- Audited financials
- Franchisor revenue
- $19.1M
- vs $21.0M prior year
Affiliated brands
- Style Direct
- Sola Salon Studios California
- Radiance Distribution
- Sola Salon Studios
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Franchisees lease a salon studio space (typically within a larger Sola Salon Studios facility) to independent beauty professionals (stylists, estheticians, nail technicians). Day-to-day operations include managing studio utilities, maintenance, client flow, independent contractor scheduling and compliance, and ensuring brand standards. Revenue derives from lease payments, service fees, and product sales from contracted beauty service providers.
- CEO
- Ben Jones
- Headquarters
- CO
- Founded
- 2003
- FDD year
- 2025
- States available
- 46
FDD Item 7 · 2025 filing · 21 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $60K | $60K | |
| Improvements/Conversions (Gross) | $786K | $1.2M | |
| Architectural Fees | $13K | $35K | |
| Site Evaluation Services | $2K | $4K | |
| Rent or Real Estate | $34K | $121K | |
| Furniture & Fixtures | $205K | $328K | |
| Low Voltage | $6K | $49K | |
| Signage | $12K | $15K | |
| Travel and Living Expenses | $3K | $4K | |
| Site Selection Assistance | $0 | $4K | |
| Property Management Software | $744 | $1K | |
| Utilities | $1K | $22K | |
| Operating Supplies | $1K | $21K | |
| Market Introduction Fee | $20K | $20K | |
| Business Licenses and Fees | $2K | $3K | |
| Technology Fee | $750 | $2K | |
| Insurance | $3K | $5K | |
| Computer Equipment and Software | $1K | $2K | |
| Repairs and Maintenance | $3K | $21K | |
| Labor | $9K | $15K | |
| Total initial investment | $1.2M | $1.9M |
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.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$102K
23.0% margin
Unlevered ROIC
6%
EBITDA / total invested capital
Payback
15.7 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $1.2M – $1.9M
- Near category avg vs category
- Liquid capital req'd
- $20K – $50K
- Better than avg vs category
- Franchise fee
- $45K – $60K
- Near category avg vs category
- Royalty
- 5.5%
- percentage_of_gross · typical 6–8%
- Ad fund
- 1.5%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.5% of gross sales |
| Marketing / ad fund | 1.5% of gross sales |
| Technology fee | $250 |
| Transfer fee | $13K |
| Renewal fee | $8K |
| Total fee load | 7.0% of rev |
Financial Performance
- Avg gross sales
- $442K
- Per unit, per year
- Median gross sales
- $420K
- Item 19 type
- gross_sales
- Sample size
- 625 units
- vs category median 35 · large
- Range (low → high)
- $59K→$1.2M
- Cohort dispersion (min → max)
- Reporting year
- 2024
- Fiscal year the figures cover
- Transparency
- 4 / 5
- vs category median 4 / 5 · typical
Compared against 186 Personal Care & Beauty brands
Revenue is only 0.3x the investment. This means each unit may take 5+ years to recoup the initial outlay at typical margins.
vs Personal Care & Beauty averages
How Sola Salon Studios Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 729
- Opened
- 33
- Last reporting year
- Closed
- 4
- Turnover rate
- 0.5%
- Company-owned
- 69
- Corporate units in the system
- % franchised
- 91%
- vs corporate-owned
- Net growth (yr3)
- +4.6%
- Net unit change last year
- 3-yr CAGR
- +12.8%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 29
- Transfers (3yr)
- 7
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 44 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.
Available to sell in · Item 12
- California
- Illinois
- Indiana
- New York
States where the franchisor is registered to sell new franchises (FDD registration filings).
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 13
- Loan volume
- $10.5M
- Median loan
- $547K
- 50th percentile
- Charge-off rate
- 0.0%
- 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)
- 100.0%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 7
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Sola Salon Studios's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 7 lenders with concentration factor
- Per-state charge-off rates across 9 states
- Startup risk premium and job creation velocity
- 3-year lending trend
Instant access. No subscription.
With a 0.0% charge-off rate across 13 loans, banks have historically viewed this brand favorably for lending.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Sola presents moderate-to-caution risk: substantial upfront capital requirement, undisclosed profitability data, sluggish growth, and operator-dependent compliance responsibilities warrant thorough validation before commitment.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $150,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Plante & Moran, PLLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 44 / 100 rating
- 01MINORNo Item 19 (net income) disclosure limits ability to validate $442K avg revenue translates to acceptable profit margins after $500/mo minimum royalty + operating costs
- 02MINORSlow unit growth of 4.6% YoY in mature salon/spa sector suggests market saturation or franchisee satisfaction issues
- 03MINORHigh initial investment ($1.18M–$1.94M) with 10-year term creates significant capital lock-up and break-even pressure
- 04MINORRoyalty structure ($500/mo minimum) may be problematic for underperforming locations, creating cash flow strain even at low revenue periods
- 05MINORIndependent contractor model (studio rental model) shifts employment/compliance liability to franchisee, creating legal and operational complexity
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 | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| RoFR response window | 120 days |
| Termination notice | 30 days |
| Curable defaultsℹ | 6 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Colorado |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 17 hrs
- On-the-job training
- 0 hrs
- Training location
- On-site and corporate
- POS system
- Rent Manager
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Rent Manager
Item 20 · call current owners
Franchisee Contacts
183 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Sola Salon Studios · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Sola Salon Studios franchise?
The total investment to open a Sola Salon Studios franchise ranges from $1.2M – $1.9M, with an initial franchise fee of $60K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Sola Salon Studios franchise owners earn?
According to Item 19 of the Sola Salon Studios FDD, the average gross sales per unit is $442K. The median is $420K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Sola Salon Studios's franchise failure rate?
Based on SBA 7(a) loan data, Sola Salon Studios has a charge-off rate of 0.0% across 13 loans, meaning 0.0% 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 Sola Salon Studios franchise locations are there?
As of their most recent FDD filing, Sola Salon Studios has 729 total units in the United States, including 39 franchised units and 69 company-owned units. 33 new units were opened in the latest reporting year.
Is Sola Salon Studios a good franchise to buy?
FranchiseVerdict rates Sola Salon Studios as a A-grade franchise with a risk score of 44 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.
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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.