Exploring How Much Do Salon Owners Make?

At Pure Glow, one of the most common questions we receive from franchise candidates is: “How much money can I make as a Pure Glow franchisee?” While the Federal Trade Commission (FTC) restricts us from making speculative income projections, we are proud to provide insight into the actual performance of the first Pure Glow location in Back Bay, Boston.  Our Back Bay location was opened in 2015 and is close to celebrating its 10th anniversary.

Located on the second floor of the bustling Newbury Street retail area in the heart of Boston, this studio has demonstrated impressive profitability despite facing a few challenges. Here’s how the numbers break down.

Performance Metrics: Revenue, Profit, and Margins

• Revenue: In 2023, our Back Bay location generated an annual revenue of $666,761.97. While this location operates out of a compact 470-square-foot space, it demonstrates the revenue-generating potential of the Pure Glow brand. More than 96% of that revenue was from the delivery of services, while the remaining 4% was from retail product sales.

• Net Profit: After factoring in all business expenses including rent, imputed franchise royalty and brand fund fees, and labor costs, the studio’s net profit was $260,982.48, illustrating the importance of efficient management in maintaining profitability.

The Importance of Managing Labor Costs

One of the key factors influencing profitability in any beauty franchise is labor cost management. Our Back Bay location generally has two treatment rooms but expands to three on peak days, such as Wednesdays and Thursdays. This flexibility allows us to maximize revenue without incurring unnecessary overhead.

By strategically staffing and managing labor around high-demand periods, Pure Glow franchisees can enhance profitability. This is particularly important in the beauty services industry, where labor is a primary cost driver.

The Efficiency of Airbrush Tanning: 3 Services Per Hour

One of the unique advantages of an airbrush tanning franchise is its efficiency in delivering services. At the Back Bay location, we can perform three services per hour at a stated retail rate of $85 per session. This is a significant advantage over other beauty services, such as hair or facials, which typically take between 45-90 minutes per session and often do not achieve the same average ticket price.

This ability to deliver multiple services in a short period not only maximizes revenue but also ensures that each appointment slot is fully utilized.

Overcoming Location Challenges

While our Back Bay studio is profitable, it faces challenges that franchisees are unlikely to encounter. The location is on the second floor of a building, a layout we typically wouldn’t approve for franchise locations, as it can reduce walk-in traffic. Additionally, the 470-square-foot space is smaller than our recommended footprint, but the flexibility of using two to three rooms for services has allowed the studio to maintain high efficiency.

Despite these hurdles, the Back Bay location continues to thrive, proving that even in non-ideal circumstances, the Pure Glow business model is resilient and profitable.

Why Pure Glow is a Smart Investment

Few beauty services offer the opportunity to perform three services per hour at an average rate of $85 per service, giving Pure Glow a unique edge. This is further supported by our streamlined operational model, designed to minimize costs and maximize service capacity.

As Pure Glow expands, we continue to refine our business model to promote profitability across all locations. Our focus on efficiency, premium service offerings, and labor cost management creates a formula that stands out in the beauty franchise landscape.

If you’re considering joining the Pure Glow family, take confidence in the fact that our first studio in Back Bay laid the groundwork for a scalable, profitable business model.

Please keep in mind that the financial information presented in this blog post is a subset and you should refer to Item 19 of the 2024 Pure Glow Franchise Disclosure Document (the “FDD”) for the entire financial performance representations disclosure. The gross revenue and net profit figures described above are based on unaudited financial information prepared for 2023. Some outlets have sold and/or earned these amounts. Your individual results may differ. There is no assurance that you’ll sell or earn as much.

For more information about our franchise opportunities, visit Pure Glow Franchise Information.