The Barbershop (The Guys' Place)
Bottom line
- Total investment $207K – $353K including a $40K franchise fee, 5.0% ongoing royalty.
- Average unit revenue of $465K/year (median $463K).
- Rated MODERATE with a risk score of 60/100.
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 The Barbershop (The Guys' Place) unit return on the cash you put in?
Unlevered ROIC · per unit
34%
In Yale's "attractive" band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 The Barbershop (The Guys' Place) units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.5M
on $7.4M purchase
Total debt
$5.9M
SBA $3.7M + senior + seller note
Overview
About
Franchisees operate full-service barbershops offering haircuts, shaves, grooming services, and retail products. Daily operations include managing 3-8 barber employees, scheduling appointments, maintaining sanitation/licensing compliance, and driving walk-in and repeat clientele through marketing and customer service.
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 12 · 10 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
10
states with franchisees (per FDD Item 12)
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
A small, slow-growing barbershop franchise with undisclosed profitability, financial uncertainty, and high capital requirements relative to system size.
Score breakdown · what drove the 60 / 100 rating
- 01MEDNo Item 19 (Average Net Income) disclosed — impossible to validate ROI on $207k-$352k investment
- 02MINORAnemic unit growth of 2.1% YoY suggests market saturation, recruitment challenges, or franchisee dissatisfaction
- 03HIGHGoing Concern = False indicates potential franchisor financial instability or operational restructuring risk
- 04MINORHigh initial investment ($40k fee + $207k-$352k total) with no profitability transparency creates misalignment
- 05MINOR50-unit system is small and vulnerable to economic downturns in discretionary personal services
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
50 numbers
One-time purchase · CSV download · Validation questions included
FDD download
The Barbershop (The Guys' Place) · FDD (2025) PDF