What is the estimated total initial investment range for an Itan franchise if the equipment is leased?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF EXPENDITURE 1 | AMOUNT | METHOD OF | WHEN DUE | TO WHOM PAYMENT IS TO BE MADE |
|---|---|---|---|---|
| PAYMENT | ||||
| Development Fee 18 | $129,500 to $199,500 | Lump sum | At time you sign ADA | |
| Initial Investment to Open First Salon | [If Lease Equipment] $230,694 to $427,064 [If Purchase Equipment] $405,194 to $785,564 | This is the total estimated initial investment in Table A above less initial franchise fee, which is included in development fee. | ||
| Total Estimated Initial | $360,194 to $626,564 (if lease equipment) | |||
| Investment | $534,694 to $985,064 (if purchase equipment) |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 15–18)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the estimated total initial investment to open an Itan salon, if the equipment is leased, ranges from $360,194 to $626,564. This figure includes the development fee, which ranges from $129,500 to $199,500. The initial investment to open the first salon, with leased equipment, is estimated to be between $230,694 and $427,064.
Itan also provides a breakdown of the estimated initial investment, detailing specific expenditures. If a franchisee chooses to lease the Sun Spray Spa Equipment, the estimated cost is between $20,000 and $40,000, which includes the initial payment and the first three monthly lease payments. The initial franchise fee is $49,500. Other significant costs include construction ($150,000 to $250,000), lease deposit ($1,800 to $8,000), and additional funds for the first three months of operation ($10,000 to $40,000).
Prospective Itan franchisees should note that these are estimates and actual costs may vary. Factors such as the location of the salon, local market conditions, and specific choices made by the franchisee can impact the final investment amount. Itan recommends that franchisees develop a detailed budget with the assistance of a professional and submit an initial investment report after opening to help refine future estimates.