How Much Does It Cost to Open a Sport Clips Haircuts Franchise?

Opening a Sport Clips* Haircuts franchise requires an estimated initial investment of $236,800 to $580,500, according to the brand's 2026 Franchise Disclosure Document (FDD). And the median investment to open one Sport Clips location was $399,757, making it one of the most useful benchmarks for prospective franchisees evaluating the opportunity.

At first glance, the top end of the investment range can appear significantly higher than the lower end. That's because the maximum estimate includes franchise fees for the rights to develop up to three stores purchased through a multi-unit development agreement (MUDA), while the remaining startup expenses reflect the cost of building a single location. In other words, the investment range accounts for entrepreneurs entering the system with a built-to-scale mindset rather than simply opening one location.

“Our model is designed to allow investors to keep their full-time careers as they grow,” said Vice President of Franchise Development Brent Greenwood. “It's about leading managers, building culture and driving performance.”

Unlike many salon concepts that rely on owner-operators, Sport Clips is built around a manager-led operating structure. Franchisees, known internally as Team Leaders, focus on developing managers, growing teams and scaling their business across multiple locations rather than cutting hair themselves.

Breaking Down the Initial Investment

According to Item 7 of the 2026 FDD, here is how the startup investment breaks down:

The total does not include real estate costs, royalties or ongoing marketing contributions.

One of the largest line items is leasehold improvements, which range from $108,000 to $290,000 depending on construction costs, market conditions and landlord incentives. The investment also includes approximately three months of working capital, helping new franchisees navigate payroll, operating expenses and early-stage business development as they ramp up sales.

Another significant investment is the $30,000 grand opening advertising deposit, which Sport Clips uses to build awareness in the local market through promotions, direct mail, public relations, advertising and other marketing initiatives before and immediately after opening.

Understanding the Franchise Fee Structure

Some new Sport Clips franchisees enter the system through a MUDA, an agreement that gives franchisees the right to develop multiple locations over a specified period.

The current franchise fee structure includes:

• Single-store agreement: $30,000
• Two-store MUDA: $54,500 total ($30,000 for the first store and $24,500 for the second)
• Three-store MUDA: $69,500 total ($30,000, $24,500 and $15,000, respectively)
• Additional stores after a MUDA: $15,000 per license
• Owners with five or more operating stores: $12,500 per additional license

The structure reflects Sport Clips' long-term philosophy of building multi-unit operators rather than one-store owners. The average operator manages more than six stores.

What Isn't Included in the Startup Cost?

Understanding what isn't included in the Item 7 investment estimate is just as important as understanding what is. Real estate costs and rent vary widely depending on market conditions, lease terms and location, so they are listed separately and are not included in the total estimated investment. Sport Clips typically approves spaces ranging from 1,000 to 1,500 square feet, with rents varying by geography and landlord terms.

Likewise, recurring operating fees begin only after the business opens. These are standard across most franchise systems and fund the ongoing support, brand marketing and technology infrastructure that help franchisees run their business day to day.

• Royalty: 6% of net sales per week
• Advertising contribution: currently 5% of net sales per week, subject to current company policy
• Technology fee: 1% of net sales per week, currently capped at no more than $70 per week

Sport Clips also invests in additional operating support for stylist recruitment and ongoing training for stylists and store managers, both of which are factored into the brand's overall operating structure rather than the initial investment figure.

Looking Beyond the Cost of One Store

Like any franchise investment, the startup cost tells only part of the story. Sport Clips has intentionally designed its business model around multi-unit ownership, giving franchisees the opportunity to build leadership teams that oversee multiple locations rather than requiring owners to work behind the chair.

“After being in six different franchise systems, Sport Clips stands out because the model is so simple and easy to manage that I can focus on the big picture instead of the day-to-day, which is what's allowed me to scale across multiple states,” said multi-unit Team Leader Jesse Keyser, who owns more than 30 Sport Clips locations.

And the results speak for themselves. According to Item 19 of the 2026 FDD, 1,645 mature franchised Sport Clips stores that had been operating for more than two years generated average gross sales of $419,485 in 2025, while median gross sales reached $416,189. More than half of the mature locations reported annual sales above $400,000, including 475 stores that exceeded $500,000 and five that generated more than $1 million. Individual results will vary based on factors such as location, labor costs, occupancy expenses, management and execution. 

To find out more information on costs to buy this franchise, please visit https://1851franchise.com/sport-clips.