What is the initial franchise fee and development fee for each Itan Salon in excess of 7?

According to Itan's 2025 Franchise Disclosure Document, franchisees who purchase more than 7 salon franchises will pay an initial franchise fee of $30,000 per salon. In addition to the franchise fee, a development fee of $261,500 is required, plus an additional $30,000 for each salon in excess of 7.

For a prospective Itan franchisee, this means that expanding beyond 7 salons involves a significant financial commitment. The initial franchise fee covers the right to operate under the Itan brand and utilize their business model. The development fee, on the other hand, likely covers the costs associated with supporting and developing the additional franchise locations.

The structure of these fees incentivizes larger multi-unit developments, but also requires careful financial planning. Franchisees need to consider these costs when projecting their return on investment for each additional salon. It is important to note that these fees are in addition to other startup costs, such as the startup package, and ongoing royalties or other fees outlined elsewhere in the Itan FDD.

It is also important to note that the development fee is nonrefundable, so franchisees should carefully consider their expansion plans before committing to developing more than 7 salons. Prospective franchisees should consult with existing franchisees and carefully review the FDD to fully understand the financial implications of developing multiple Itan salon locations.