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We are a contemporary, full service salon with the added convenience of walk-in service. At Magicuts, our clients receive high-end style without the high-end cost. Conveniently located within Zellers department stores and suburban shopping centres across Canada, Magicuts markets to adults, 25 to 54, as well as families with children. The fusion of innovative service and quality with affordable pricing has made Magicuts a highly recognized and profitable brand for 25 years.
Franchisor Background
Year Established: 1982
Franchising Since: 1982
Operating Units: |
| Franchised Units: | 90 | | 62.5% | | |
| Company-Owned Units: | 54 | | 37.5% | | |
| | ______ | | _____ | | |
| Total Operating Units: | 144 | | 100% | | |
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Geographic Distribution: |
| U.S.: | 0 | | 0% | | In 0 States |
| Canada: | 144 | | 100% | | In 9 Canadian Provinces |
| International: | 0 | | 0% | | In 0 Foreign Countries |
| | ______ | | _____ | | |
| Total: | 144 | | 100% | | |
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North America: |
| States/Provinces with the largest number of operating units: |
| Density | Units | | | | |
| 1. British Columbia | 24 | | 2. Ontario | 82 |
Registered in Following Registration States:
Financial Requirements
Investment: |
| Minimum Net Worth: | $300K + 100K Liquid Assets |
| Cash Investment: | $110.5K-165.5K |
| Total Investment: | $110.5K-165.5K |
| Average Total Investment: | $138K |
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Fees: |
| Initial Franchise Fee: | $22.5K |
| Average Franchise Fee: | $22K |
| On-Going Royalty: | 6% |
| Average Royalty: | 6% |
| Advertising Fee: | 3% |
Average Number of Employees: 5-7 Full-time, 2-4 Part-time
Space Needs (in square footage): 800-1,000
Preferred Sites: Strip Center
Other Sites:
Encourage Conversions? Yes
Earnings Claims Provided? No
Listed in the SBA Registry? No
Support and Training
| International Franchise Association: | Yes |
| Canadian Franchise Association: | Yes |
| Franchisee Association/Member: | No |
| Size of Corporate Staff: | 20 |
| Site Selection Assistance? | Yes |
| Lease Negotiation Assistance? | Yes |
| Financial Assistance? | Yes, Indirect |
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Marketing Support: |
| Co-Op Advertising: | Yes |
| National Advertising: | No |
| Regional Advertising: | No |
| Local Advertising: | No |
| Marketing Materials: | Ad Slicks, Brochures, Catalogs, Coupons/rebates, Direct Mailers, Emails, Promotional Items, Radio Ads, Site Signs, Television Ads, Trade Show Exhibits, Videos |
| Additional Services: | Grand Opening, In-house Marketing, Marketing Research, Newsletter, Online Extranet, Press Releases, Sales Strategies |
| Other Marketing Support: | None Specified |
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On-Going Support: |
| Central Data Processing: | Not Applicable |
| Central Purchasing: | Not Applicable |
| Field Operation Evaluation: | Included in Fees |
| Field Training: | Included in Fees |
| Initial Store Opening: | Included in Fees |
| Inventory Control: | Not Applicable |
| Franchisee Newsletter: | Included in Fees |
| Regional or National Meetings: | Included in Fees |
| 800 Telephone Hotline: | Included in Fees |
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Training: |
| 1. On-Site | | | 2. Classroom | 1 Week |
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Franchisee Qualifications
| Ranked from 1 (unimportant) to 5 (important): |
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| Financial Net Worth: | 5 |
| General Business Experience: | 5 |
| Specific Industry Experience: | 1 |
| Formal Education: | 3 |
| Psychological Profile: | 4 |
| Personal Interview(s): | 5 |
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Minority Representation
Units Owned by Minorities: |
| African-American: | N/A |
| Asian-American: | N/A |
| Hispanic: | N/A |
| Native American: | N/A |
| Other: | N/A |
| Specific Minority: | N/A |
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Terms of Contract
| Term of Initial Contract: | 10 Year(s) |
| Term of Renewal Period: | 5/5 Year(s) |
| Passive Ownership: | Not Allowed |
| Area Development Agreements? | Yes, for 1 Year(s) |
| Sub-Franchising Contracts? | No |
| Franchisees Allowed to Expand Within Territory? | Yes |
Expansion Plans
Projected New Units Over Next 12 months: 18
| U.S.: | No |
| Canada: | Yes, All Canada except Quebec |
| Overseas: | No |
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