How Much Do Barbershop Franchises Make? - MassageLuXe

How Much Do Barbershop Franchises Make?

When examining the personal care industry, barbershop concepts like the Sports Clips franchise have carved out an interesting niche. Entrepreneurs may be attracted to the idea of opening a barbershop, due to market growth and the simplicity of the business model. However, based on numbers from IBISWorld, barbershops are a $4.9 billion industry showing slow revenue growth with a CAGR of 0.6%. With that in mind, consider other franchises that fall under the personal care/health and wellness umbrella that provide promising long term growth opportunities like MassageLuXe.

Financial Overview of a Barbershop Franchise

Men’s haircut franchises can offer a stable business opportunity. Based on stats from Profitable Venture Magazine, a barbershop business can cost about $150,000 to get off the ground. Keep in mind, when franchising there are factors that vary like upfront costs, location, size, and brand recognition. Typically, you might expect to invest anywhere from $100,000 to $300,000. This includes franchising fees, equipment, initial lease, and operating capital. The ongoing expenses include royalty fees, which are usually a percentage of the revenue, alongside staffing costs, which are significant since good barbers are the backbone of the business.

Do Barbers Make Good Money?

A fair question to ask: how much do barbers make? In terms of earnings, individual barber salaries can vary, but on average, a full-time barber can make between $30,000 and $60,000 annually, depending on the location and client base. For the franchise owner, profitability depends on the ability to generate high foot traffic and maintain steady client retention. However, revenue can be significantly impacted by local competition and economic downturns, as discretionary spending on services like haircuts can fluctuate.

Comparing Market Saturation and Demand

Barbershops predominantly cater to male clients, providing haircuts, shaves, and other grooming services. The prevalence of men's salon franchises has grown, making it a crowded market in many areas, which means owners must have a strong marketing strategy to stand out and compete for customers.

In contrast, the health and wellness industry is broad, encompassing a variety of services, including massage therapy. A massage franchise, particularly like MassageLuXe, taps into a diverse client base, offering services that appeal to both men and women. This broader appeal can lead to a larger potential market and less vulnerability to the types of competitive pressures seen in more niche markets like barbershops.

Pros and Cons of a Barbershop Franchise


  • Brand recognition: Franchises offer instant brand recognition, which can help in attracting customers.
  • Ownership: Entrepreneurs can enjoy the satisfaction of small business ownership, building their client base as they grow their business.


  • High initial investment: The upfront cost can be steep when you compare against the revenue the location is likely to generate, especially in prime locations.
  • Limited clientele: Primarily targeting male customers can limit revenue sources.
  • Staffing: Owners are dependent on talented barbers to maintain high standards and a strong client base.

Consider a Recurring Revenue Model Like MassageLuXe

When exploring different types of beauty business opportunities, the concept of a recurring revenue business model should be a significant consideration. At MassageLuXe, we operate on a membership model, which provides a more predictable revenue stream compared to the traditional pay-per-service model used by most barbershops. Our model not only smooths out cash flow but also enhances customer retention, as clients invest in wellness on a regular basis.

The demand for massage services has been steadily increasing, driven by growing awareness of the health benefits of regular massage and the general trend towards self-care. IBISWorld figures indicate that massage is a nearly $23 billion industry in the U.S. with a 2.3% growth rate, which is a far better statistic than a barbershop franchise. Unlike barbershops, which require frequent, small transactions, MassageLuXe capitalizes on larger-ticket services and packages, and additional revenue streams like skin care and waxing. This aspect of the business can lead to higher average transactions per visit, with the potential to boost overall profitability for franchise owners.

The wellness industry, particularly massage therapy, also offers significant growth opportunities. The American Massage Therapy Association reports that men and women of all age groups use massage for health and wellness as well as pampering and stress relief, providing a much larger client base.

As a franchise owner, with MassageLuXe, you benefit from our brand name recognition, extensive training, operational support and scalable model, allowing you to start your business on a strong foundation that provides ample growth opportunities and adaptability in a changing market.

If you want to learn more about MassageLuXe, request franchise information and we’ll be in touch, shortly.



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