V's Barbershop
Bottom line
- Total investment $290K – $690K including a $40K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $582K/year (median $564K).
- Rated STRONG with a risk score of 53/100. SBA loan default rate of 0.0% across 14 loans (below the industry average).
- No protected territory and the franchisor reserves the right to compete in your area. Clarify territorial boundaries before signing.
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 V's Barbershop 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 V's Barbershop units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.6M
on $8.1M purchase
Total debt
$6.5M
SBA $4.1M + senior + seller note
Overview
About
Franchisees operate full-service barbershops offering haircuts, beard trims, shaves, and grooming services. Day-to-day operations include managing 2-6 barber chairs, scheduling appointments, staff scheduling, inventory management of hair products and supplies, and direct customer service. Revenue depends on chair utilization rates, average service pricing, and local market density.
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 · 19 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
V's Barbershop presents CAUTION-level risk: opaque financials, stagnant unit growth, unprotected territories, and undisclosed net income prevent accurate ROI assessment and suggest systemic profitability concerns.
Score breakdown · what drove the 53 / 100 rating
- 01MEDNo Item 19 (Average Unit Volume) disclosed — impossible to assess profitability or ROI; average revenue of $581,838 provided but net income withheld raises transparency concerns
- 02MEDMinimal system growth (3.3% YoY) with only 62 units suggests weak franchisee recruitment and retention; stagnant expansion indicates limited brand momentum
- 03MINORWide investment range ($290K-$690K) with no clear cost breakdown — high variance suggests inconsistent unit economics or location-dependent performance
- 04MINORUnprotected territory creates direct competition risk; franchisees in same market will cannibalize each other's revenue and customer base
- 05MINORTiered royalty structure (6% up to $600K, then 3.5%) incentivizes underreporting revenue; franchisor has financial motive to dispute gross sales figures
- 06MINORHigh upfront fees relative to unit growth — $40K franchise fee in slow-growing 62-unit system suggests recruitment struggles and potential cash flow dependency on fees rather than royalties
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
62 numbers
One-time purchase · CSV download · Validation questions included
FDD download
V's Barbershop · FDD (2026) PDF