In recent years, buying a salon suite franchise has soared in popularity, and it’s really no surprise that 2026 is no different. One of the huge benefits is that you can walk straight into a well-established name without having to start at the bottom and work your way up.
However, before you can call yourself a success story, a lot of hard work, commitment, and cash are required in the first instance, and this business is not a perfect match for everyone.
In this guide, we will answer the all-important question, ‘how much does a salon suite franchise cost in 2026 in the USA?’ covering franchise fees, reoccurring expenses, and examples of potential earnings in the hope that you choose your next venture wisely.
What is A Salon Suite Franchise?
A salon suite franchise enables beauty and wellness professionals to run their own business, under their franchisor’s brand. The advantages of this are that the investor does not have to start their company from scratch, as they work under the already successful franchise. In return for using the established name, the investor must pay a number of upfront and recurring fees.
Salon Suites Franchise Cost: A Breakdown
Buying a salon suite franchise is not the same as starting your business from scratch, however, there are still a number of financial obligations you must commit to. Of course, each franchise is different, and these charges will vary, but here’s a rough breakdown of what a salon suites franchise cost. These are estimates as of late 2025:
- Franchise Fee: An upfront fee is charged for the rights of working under the brand. This essentially gets your foot in the door, and depending on the franchise, you may be given some introductory training, be granted system access, or be given any other additional support. The initial fee can vary massively, and ultimately this will depend on how successful and popular the franchise you choose to work is. As a rough approximation, expect to pay anywhere between $30,000 and $85,000. If you’re a veteran, then it could be your lucky day, as some franchises offer a heavy discount.
- Rent or Real Estate: As previously mentioned, you will be required to buy or rent a commercial space that is agreeable to your franchisor. It has to be appropriate to fulfil your duties and be in a desirable location to attract clients. Whether you choose to lease or buy will, of course, alter the price, and the size and location of your space will also dramatically influence your outgoings, but we would suggest setting aside $50,000 to $250,000 for upfront costs, as well as your monthly charge if renting.
- Improvements: Although you could get lucky and find the perfect space, not all units will meet the particular requirements of your franchisor. The most recognizable brands are likely to have higher standards than those less popular, but you could be required to change almost everything, including the plumbing, lighting, flooring, and interior décor. The cost of these can creep up on you and will vary depending on the size of your salon suite, but it is recommended to allow between $135 and $267 per square foot.
- Professional Services: You may need to seek professional support regarding plumbing and electrical work. Additionally, you could be required to pay for building permits or inspections.
- Furniture: You’ll need to purchase all the furniture, fixtures, and equipment required to run a working salon suite. Think salon chairs, washbasins, mirrors, cabinets, electricals, the lot. A rough guide of how much this will cost you is $240,000 to $375,000.
- Advertising: Depending on the franchise, marketing may be handled by the franchisor or by you. If dealt with personally, you may choose to pay for adverts online, printed materials such as flyers and signs, and maybe even fork out for a grand opening event. If this is covered by your franchisor, then they will expect either a monthly percentage of your revenue or a pre-determined fee.
- Insurance: It is your responsibility to make sure that your salon suite is adequately insured, to both the insurers and franchisors satisfaction. This will cover you for downfalls such as accidental damage and business interruption and could cost anything between $1,400 to $4,000 annually.
- Technology: You’ll need certain systems in place to make sure that your new salon suite franchise runs smoothly and securely. Technology such as CCTV, security alarms, phone systems, WIFI, and intercoms could set you back between $10,000 to $40,000.
- Royalties: These are the main source of income for your franchisor, and the percentage of this will vary depending on the size and popularity of the brand. You will be required to pay around 5% – 6% of gross revenue for working under the brand name.
- Employees: You may be a one-man band, in which case, the cost of staff is non-existent. However, if you do choose to employ a select few, then you must consider wages and potentially even hiring costs if you go through a recruitment agency.
- Utilities: Don’t forget your monthly water and electricity bills, which will vary based on your salon suite’s size and your usage.
- Working Capital: As you will not break even for some time, it is vital to have cash reserves to pay your ongoing expenses. A set amount may be advised by your franchisor, but it would be a good idea to have at least $50,000 accessible.
Factors That Affect How Much a Salon Suite Franchise Will Cost in USA
As discussed, each of the above fees will differ due to a number of variables. Here are a few influencing factors below:
- Size of the Franchise: The bigger the name, the bigger the fee. Salon suites franchise cost a lot more if they are a well-established brand with loyal customers. However, although the fees may be larger, you are likely to bring in new clients more easily.
- Real Estate Location: Prime real estate in desirable areas is far more expensive than that off the high street. You may even experience higher rates for building work and utility bills in these areas. Additionally, the size of your suite will also affect your outgoings.
- Improvements: Is your site almost ready to go? Or do you have a lot of construction work ahead of you? The price of materials, labour, and any potential delays will all cost you your hard-earned cash.
- Technology and Security Systems: The type of technology required may be influenced by your size, location, or brand requirements. If many systems are required, then this could become quite costly to install and maintain.
- Brand Standards: Certain franchisors may have stricter standards when it comes to their salons, for example, the specific lighting, branded décor, or furniture items, which will increase your costs.
Revenue Considerations: How Much do Salon Suite Owners Make?
So, now you know the outgoings, we bet you’re wondering how much do salon suite owners make? Let’s look at a fictional but realistic example below that includes all outgoings and potential earnings to help give you an approximate idea of your return timeline:
*Note: These figures are hypothetical and for illustration only*
Initial Outgoings
- Franchise Fee: $50,000.
- Real Estate: $100,000.
- Improvements: $750,000.
- Professional services: $70,000.
- Furniture: $200,000.
- Marketing and Grand Opening: $35,000.
- Technology: $25,000.
- Working Capital: $50,000.
- Total: $1,280,000.
Annual Recurring Costs
- Rent: $120,000.
- Royalties: $35,000.
- Advertising: $14,000.
- Staffing: $50,000.
- Utilities: $35,000.
- Insurance: $9,000.
- Total Annual Cost: $263,000.
As you can see, it almost goes without saying that you need a lot of cash up front and will be responsible for a vast amount of monthly or annual bills. With that being said, let’s take a look at your profit potential:
Annual Net Profits
Average gross revenue for top performing locations – $650,000
Net profit margin – 35%
Typical annual profit – $250,000
Break even in – 18-36 months
Of course, these figures are just an example. However, we hope it gives you a better idea of how much do salon suite owners make, to help you decide whether this is a venture worth taking.
Buying a Salon Suite Franchise: Risks to Look out for
For many, buying a salon suite franchise is a worthy, long-term investment. However, like any new business venture, there are a number of risks you should be aware of before you jump in headfirst. Here are the most important risks to weigh up:
- High Initial Investment Fees: As you can see in our breakdown of initial upfront costs, you need a lot of cash to start off with. Investing this much in one go could be risky, as this capital is hard to recover if the business isn’t as successful as you’d hope it would be.
- Franchise Limitations: As you are operating under a franchise, you don’t fully own your business. Therefore, some decisions are out of your control. Letting someone else take the lead can be a good thing, but if it’s something you don’t agree with, then things could get complicated. For example, you may have to follow strict marketing rules, have little say regarding real estate location or décor, and be tied in to ongoing royalty fees.
- Real Estate: Whether you’ve bought your premises or you’re paying rent, both options are usually a long-term agreement. If your revenue drops, you are still required to pay your commercial lease, or you may choose to be stung with early termination fees. Additionally, your landlord may impose a rent increase that you haven’t budgeted for. If you’ve bought your space, then you’re stuck with the real estate regardless.
- Competition: We mentioned at the start of this piece that buying a salon suite franchise has become increasingly popular. You may be unlucky and start to notice a number of other salon suites open on your patch, striking up competition for business between yourself and the new owners.
- Experience: Many salon suite investors are entering this realm for the first time. Therefore, their inexperience may risk mismanaging cash, misjudging fees, or overestimating potential revenue.
Buying A Salon Suite Franchise in the USA: Changes Coming in 2026
Being a business owner in 2026 is no mean feat, and investing in a salon suite franchise is no exception. Here’s what has changed and what you should look out for:
- Increased Upfront Budgets: Yes, you’ve guessed it. Everything costs more, including materials, labor, technology, and brand marketing. You’ll likely need more capital upfront than those seeking this venture in previous years.
- Ongoing Costs: Utilities, insurance, maintenance, and wages are all on the up, which means a larger impact is had on your net profit margins.
- Competition: We’ve said it before, and we’ll say it again. Trying to stand out above the crowd in an already busy market isn’t easy. You’ll have to think outside the box when it comes to your marketing. This also means that your location is more important than ever, as well as your reviews and customer experience.
- Taking Longer to Break Even: Rising costs and stronger competition mean that you are likely to not bring in as much cash, especially in the early days.
- Finance Difficulties: A tighter criterion has been introduced for certain business models, which makes getting your hands on excess cash more difficult.
How Much Does a Salon Suite Franchise Cost in 2026? Final Thoughts
Taking everything into account of what we have addressed today, a starting salon suites franchise cost is typically around $1,280,000. However, there are a multitude of factors that will influence the cost, including the popularity of the brand, real estate size and location, and a recommended working capital figure.
Additionally, you must be aware of ongoing fees that will affect your net profits, including royalties, marketing costs, rent, and insurance. Investing in a salon suite franchise can offer desirable, long-term benefits; however, the owner must plan carefully, budget well, and choose the right franchise partner. This is especially important in 2026, as costs have risen and businesses have become more competitive.
To help you understand everything involved and start working towards getting into the salon suite franchise game, schedule a 15-minute free consultation with our team.