How Much Do Nail Salons Make?

How Much Do Nail Salons Make?

Are you considering owning a MiniLuxe franchise? One of the most important questions prospective franchisees often ask is: "How much can I earn?" While the Federal Trade Commission (FTC) restricts us from making future income projections, we can offer insight into the historical financial performance of our top-performing studios, helping you evaluate the potential of a MiniLuxe franchise.

High-Performing Studios: A Look at the Top Quartile [1][2]

At MiniLuxe, our top-quartile studios have historically delivered impressive financial results and the ability to generate substantial profits. These studios exhibit similar qualities, but are advantaged by being located in demographically favorable areas with well-established client bases, and achieved the following results over the twelve months ended June 30, 2024 (with comparisons to comparable period ended June 30, 2023):

  • Net Sales: $1.894 million, reflecting >10% organic annual growth overthe prior year($1.714 million), driven by increased services revenue and without any price increases implemented since COVID.
  • Imputed Studio Profit After Royalties: A rounded average of $144,000, a 16% increase from prior year ($124,000). Increased studio profits driven by 10% gross profit increase year-over-yearalong with some operational efficiencies, leading to growth in imputed studio profit rate to 8% from 7%.


As a reminder, these studios have operated since prior to the pandemic and the year-over-year results highlight the ability for MiniLuxe studios to provide strong, consistent profitable returns to its investors, especially when strategically located with a strong balance of demographics to support both the client and supply bases. We estimate that there are 100-150 U.S. locations with similar demographic profiles to the top-quartile studios, presenting strong potential for future franchisees.

The Power of Owner-Operator Involvement

At MiniLuxe, we believe that franchisees who take an active role in managing their studio can maximize profitability and increase retention of talented nail and wax designers. By serving as the owner-operator, franchisees not only foster stronger relationships with their team but can also draw compensation from the studio leader salary included in the Top-Quartile studio results, a further boosting to owner-operator return on investment.

  • Average Studio Leader Salary: The average MiniLuxe studio manager in the Top-Quartile studios earned $83K in the form of salary, benefits and bonuses.
  • Owner-Operator Earnings: For those franchisees who take on the role of operator, the lack of a studio leader would increase profits $83K and bring imputed studio profit after royalties to $227,000 million, or an implied 12% profit margin.


By actively engaging in day-to-day operations, owner-operators can better manage their team, manage their expenses, ensure client satisfaction, and drive business growth. MiniLuxe has seen first-hand the impact of a strong studio leader in driving more profitable results, both through direct oversight of costs as well as strategic management of appointment book and fostering relationships with clients.

Why MiniLuxe?

While important, owning a MiniLuxe franchise goes beyond simply financial gain. It’s about joining a brand and movement that is redefining beauty through clean, ethical practices, and building long-lasting client and designer relationships. Our operational model, built for efficiency and scalability, allows franchisees to focus on providing high-quality services while achieving financial successeach and every year.


Please keep in mind that the financial information presented in this blog post is a subset and you should refer to Item 19 of the 2024 MiniLuxe Franchise Disclosure Document (the “FDD”) for the entire financial performance representations disclosure. The gross revenue and net profit figures described above are based on unaudited financial information prepared for the trailing 12 months from July 2023-June 2024. Some outlets have sold and/or earned these amounts. Your individual results may differ. There is no assurance that you’ll sell or earn as much.


While we cannot provide projections for future franchisee earnings, we encourage you to explore the historical financial performance of our top-quartile studios and imagine the potential of owning your own MiniLuxe location.

Interested in learning more? Visit our Franchise Information Page to get started and explore how you can be part of MiniLuxe’s growing success.

 

[1]All results referenced herein are in US dollars, calculated by taking the average results of the reference period for the referenced studiosfor the trailing twelve months ended June 30, 2024 of the total 19 core MiniLuxe studios that have been operating for 3+ years.  Please see MiniLuxe Franchise Disclosure Document dated October 9th, 2024 for further details.

[2] Top Quartile studios” refers to the top 5 revenue generating studios for the trailing twelve months ended June 30, 2024 of the total 19 core MiniLuxe studios that have been operating for 3+ years.