2026 FDD Issued Jul 9, 2026 Minnesota Commerce (CARDS) Checked Oct 22, 2026
Floyd's 99 Barbershop Franchise Cost (2026)
A Floyd's 99 Barbershop franchise costs an estimated $399,500 – $772,500 to open, according to Item 7 of the 2026 Franchise Disclosure Document (FDD). That total includes the $49,500 initial franchise fee (Item 5) and covers this format: Standard Barbershop (1,200 to 1,600 sq ft). Item 6 lists royalty: 6% of Gross Sales, subject to the conditions below.
- Total investment
- $400K – $773KItem 7 source and qualifications
- Franchise fee
- $49.5KItem 5 source and terms
- Royalty
- 6% of Gross SalesItem 6 conditions and fee bases apply
- Brand fund
- 1.5% – 3% of Gross SalesItem 6 conditions and fee bases apply
- Liquid capital
- $500KFranchisor website, checked October 29, 2026
- Net worth
- $1.5MFranchisor website, checked October 29, 2026
- Units (2025)
- 143Item 20 source and scope
- Franchise exit rate
- 1% / yrCalculated 3-year average; definition and source
What stands out about Floyd's 99 Barbershop
Item 7 assigns the largest startup expense to building, tenant improvements and rent. The estimate assumes a retail shop with barber chairs, while the FDD says the franchisor typically offers a multi-shop development agreement rather than a single-shop franchise. A buyer should compare the development schedule and required fees with the single-shop investment table.
Item 6 requires both national marketing contributions and a local advertising allocation, with a cap on their combined share of Gross Sales. A regional co-op could redirect part of the local allocation. The point-of-sale license also has monthly and annual payment options, a separate web services charge and usage charges for messages above the included allowance.
Item 19 separates mature shops from newer shops. Its mature franchised net-revenue median is $874,280, but the FDD defines that figure differently from the Gross Sales used for royalties. Item 20 shows 7 franchised openings and 1 cessations in 2025; company-owned locations declined as two were sold to franchisees.
What are the initial franchise fees and financial requirements for Floyd's 99 Barbershop?
Item 5 lists an initial franchise fee of $49,500 for Floyd's 99 Barbershop. Check the cited Item 5 for payment timing, discounts and format-specific terms.
These minimums come from the franchisor’s website, not from the FDD, and can change: Floyd's 99 Barbershop franchise page (checked October 29, 2026).
Item 5 (PDF pages 15-16) sets the initial franchise fee at $49,500 for a single shop. Multi-unit development agreements require $49,500 for the first and second shops plus a $15,000 development fee per additional shop (reducing subsequent franchise fees to $34,500). Qualified military veterans receive a 25% VetFran discount off the first shop initial fee ($37,125).
Source: Floyd's 99 Barbershop 2026 FDD, Item 5, PDF p. 15.
How much does it cost to open a Floyd's 99 Barbershop franchise? (Item 7)
Source: Floyd's 99 Barbershop 2026 FDD, Item 7, PDF p. 22.
Item 7 of Floyd's 99 Barbershop’s 2026 Franchise Disclosure Document estimates the total cost to open one standard barbershop (1,200 to 1,600 sq ft) at $399,500 – $772,500. This total includes the initial franchise fee.
| Expense Category | Low ($) | High ($) |
|---|---|---|
| Initial Franchise Fee | $49,500 | $49,500 |
| Building, Tenant Improvements and Rent | $185,000 | $400,000 |
| Equipment, Furnishings, Finishes and Supplies | $50,000 | $90,000 |
| Signs | $14,000 | $55,000 |
| Point-of-Sale System, Software, Office Equipment, Audio/Video, IT and Electronics | $12,000 | $30,000 |
| Opening Inventory and Supplies | $8,000 | $14,000 |
| Security Deposits, Utility Deposits, Business Licenses | $5,000 | $12,000 |
| Initial Advertising and Marketing Campaign | $25,000 | $25,000 |
| Initial Training: Travel and Living Expenses | $4,000 | $8,000 |
| Insurance | $2,000 | $3,000 |
| Professional Fees | $5,000 | $15,000 |
| Additional Funds - 3 months | $40,000 | $71,000 |
| Total | $399,500 | $772,500 |
Item 7 (PDF pages 22-26) outlines setup expenditures for a retail shop of 1,200 to 1,600 square feet accommodating 10 to 12 barber chairs. Physical construction and tenant improvements represent the largest single expense.
What ongoing royalties and fees does Floyd's 99 Barbershop charge? (Item 6)
Source: Floyd's 99 Barbershop 2026 FDD, Item 6, PDF p. 16.
Item 6 of Floyd's 99 Barbershop’s 2026 FDD lists the charges below. Recurring charges and charges triggered by a transfer, renewal or other event have different conditions. Read each fee’s basis and notes before comparing rates.
How to read an Item 6 fee table.
| Fee Type | Amount / Rate | Payment Frequency | Notes & Source |
|---|---|---|---|
| Royalty | 6% of Gross Sales | Every period | 6% of Gross Sales, collected weekly. Gross Sales excludes approved discounts, sales taxes, and specified merchandise and service refunds. (Item 6, PDF p. 16) |
| National Marketing Contribution | 1.5% – 3% of Gross Sales | Every period | Currently 1.5% of Gross Sales weekly; may rise to 3% on 90 days notice. Together with the local allocation it cannot exceed 4%. Certain existing franchisees owe 1%. (Item 6, PDF p. 16) |
| Local Advertising Allocation | 1% – 2% of Gross Sales | Every period | Spend an average of 1% to 2% of Gross Sales locally each calendar quarter. National plus local allocations cannot exceed 4%; some local funds may be redirected to a co-op. (Item 6, PDF p. 16) |
| Regional Advertising Co-ops | 0% – 2% of Gross Sales | When it applies | Not currently assessed; if a co-op is formed in the shop area, contributions may reach 2% of Gross Sales and the local advertising allocation falls proportionally. (Item 6, PDF p. 17) |
| Marketing Agency Services | Varies | When it applies | Optional agency materials or services at actual third-party vendor cost. (Item 6, PDF p. 17) |
| Interest and Late Charges | Varies | When it applies | $25 late charge plus interest at the lesser of 1.5% per month or the legal maximum on overdue payments. (Item 6, PDF p. 17) |
| Costs of Inspection and Audit | Varies | When it applies | Audit costs and interest at the lesser of 1.5% per month or the legal maximum in the specified understatement, reporting, collection, or noncooperation cases. (Item 6, PDF p. 17) |
| Transfer Fee | $7,500 | When it applies | $7,500 plus $5,000 for each undeveloped franchise under a development agreement. (Item 6, PDF p. 18) |
| Relocation Fee | $5,000 | When it applies | Due before an approved move to another location. (Item 6, PDF p. 18) |
| Renewal Fee | Varies | When it applies | 20% of the then-current initial fee for a first single franchise. The FDD says it currently waives an initial franchise fee on renewal, not this renewal fee. (Item 6, PDF p. 18) |
| Extensions of Development Schedule | $5,000 | When it applies | First extension is free if granted; second extension costs $5,000. (Item 6, PDF p. 18) |
| Trainer Expenses | $200 – $400 | When it applies | $200 to $400 per trainer-day plus travel, if a trainer visits at the owner's request. The rate may increase under the FDD terms. (Item 6, PDF p. 18) |
| Additional Site Plan Fees | $100 | When it applies | $100 per hour if excessive changes to the local architect's plans are required. (Item 6, PDF p. 18) |
| Additional Assistance Fee | $250 | When it applies | $250 per day plus travel and living expenses for requested or required on-site help; the rate may increase under the FDD terms. (Item 6, PDF p. 18) |
| Inventory Purchases | Varies | When it applies | Current published prices for required inventory purchased from the designated supplier. (Item 6, PDF p. 19) |
| Alternate Suppliers - Testing and Inspection Costs | Varies | When it applies | Actual testing cost and reasonable investigation cost when proposing an unapproved item or supplier. (Item 6, PDF p. 19) |
| Technology and Support Services Fee | $190 per month | Every period | Currently $190 per month to a third-party technology support provider; subject to increase on notice. (Item 6, PDF p. 19) |
| POS System License and Related Fees | Varies | Every period | License is currently $2,835 annually if paid upfront or $262.50 monthly, plus a $300 one-time fee and $40 monthly web services. Extra usage costs $0.03 per text above 1,000 and $0.002 per email above 5,000 monthly; options may add costs. (Item 6, PDF p. 19) |
| Licenses for Owner/User Email Accounts | Varies | When it applies | Additional accounts beyond one shop account and two owner/user accounts are billed at current third-party prices. (Item 6, PDF p. 20) |
| Technology Fee | $125 per month | When it applies | $125 per month if activated after at least 30 days notice; this fee was not being charged on the FDD issue date. (Item 6, PDF p. 20) |
| Network, Firewall, Internet and Failover Services | $405 per month | Every period | Currently $405 per month plus local taxes for required third-party network services, subject to increase on notice. (Item 6, PDF p. 20) |
| FLOYD'S 99 Shop Phones | $55 per month | Every period | Currently $55 per month plus applicable taxes and telecommunications fees for shop phone lines, subject to increase on notice. (Item 6, PDF p. 20) |
| Costs and Attorneys' Fees | Varies | When it applies | Costs depend on the nature of a franchise agreement default. (Item 6, PDF p. 21) |
| Indemnification Under Franchise Agreement | Varies | When it applies | Reimbursement for covered claims arising from operation of the shop. (Item 6, PDF p. 21) |
| Insurance Premiums | Varies | Every period | Required coverage costs vary by location and insurer; the owner must reimburse premiums the franchisor pays on its behalf. (Item 6, PDF p. 21) |
| Training for New Principal Managers/Operators | $3,500 | When it applies | $3,500 tuition plus living expenses for a new principal manager/operator; rate may increase under the FDD terms. (Item 6, PDF p. 21) |
| Step In Management Fee | 5% of Gross Sales | When it applies | 5% of Gross Sales plus management expenses only if the franchisor exercises its step-in rights. (Item 6, PDF p. 21) |
| Liquidated Damages | Varies | When it applies | On termination for uncured defaults, lost future royalties based on the average monthly royalties owed over the preceding 24 months times the remaining contract months; no stated cap. (Item 6, PDF p. 22) |
Explore annual fees and payback assumptions
This fee schedule cannot be reduced to the calculator’s simple sales-based formula. Enter your own assumptions and check them against the Item 6 terms.
Floyd's 99 Barbershop startup investment and modeled fees over 10 years
Item 19 Annual Net Revenue excludes approved discounts and sales taxes, while Item 6 Gross Sales also deducts specified refunds. The two bases cannot be equated. Item 6 also has variable, conditional, and alternative technology costs, and the national and local advertising allocations have a combined cap. Automatic total fee estimates are withheld. See the fee amounts and definitions in Item 6 above. Open the calculator with your own assumptions.
Item 20: Floyd's 99 Barbershop franchised outlet history
Source: Floyd's 99 Barbershop 2026 FDD, Item 20, PDF p. 57.
Item 20 Table 3 reports 72 franchised outlets at the end of 2025. The company-owned table reports a further 71 outlets. Our calculated average annual franchised exit rate is 1% across the 3 reported years, using the definition below.
| Year | Franchised at Start | Opened | Reported Exits | At End | Franchise Exit Rate (%) |
|---|---|---|---|---|---|
| 2023 | 52 | 10 | 0 | 62 | 0% |
| 2024 | 62 | 5 | 1 | 66 | 1.6% |
| 2025 | 66 | 7 | 1 | 72 | 1.5% |
Franchised units went from 52 to 72 over 3 years (+20).
Reported exits include terminations, non-renewals, franchisor reacquisitions and other cessations. A reacquired outlet may continue operating. How we calculate the exit rate. How to read the Item 20 outlet tables. Compare Floyd's 99 Barbershop’s exit rate with other brands.
3 units changed owners in 2025.
How much do Floyd's 99 Barbershop franchise owners make? (Item 19)
Source: Floyd's 99 Barbershop 2026 FDD, Item 19, PDF p. 52.
Item 19 of the 2026 FDD reports median Annual Net Revenue (Mature Franchised Shops) of $874,280 (2025, 44 franchised shops open at least two years as of January 1, 2025). Besides sales, Floyd's 99 Barbershop’s Item 19 reports “Average Annual Operating Profit EBITDA (Mature Franchised Shops)” and “Median Annual Operating Profit EBITDA (Mature Franchised Shops)”. Each figure follows the franchisor’s own definition in Item 19, which decides which costs are deducted and whether an owner’s salary is one of them. None of them is necessarily an owner’s take-home pay.
See every Floyd's 99 Barbershop Item 19 figure, with its period and sample.
Payback calculator (enter your own assumptions) Check any inputs against this record’s Item 7 startup costs and Item 6 fee rules.
How to interpret Floyd's 99 Barbershop’s Item 19 figures and sample limits.
How long is the Floyd's 99 Barbershop franchise agreement term?
Source: Floyd's 99 Barbershop 2026 FDD, Item 17, PDF p. 47.
The standard Floyd's 99 Barbershop franchise agreement runs 10 years.
Item 17 gives a 10-year initial term. A qualifying successor franchise uses the term and other conditions in the then-current agreement; the FDD does not promise two fixed 5-year renewals. Renewal may require remodeling, a fee, a new agreement, and a release.
How long does it take to open a Floyd's 99 Barbershop franchise? (Item 11)
Source: Floyd's 99 Barbershop 2026 FDD, Item 11, PDF p. 39.
Item 11 of the 2026 FDD states the time from signing the franchise agreement to opening: approximately 9 to 12 months.
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Frequently Asked Questions about Floyd's 99 Barbershop
- How much does it cost to open a Floyd's 99 Barbershop franchise?
- Item 7 of the 2026 FDD estimates $399,500 – $772,500 for a shop. Building, tenant improvements and rent create the widest cost line; equipment and the initial advertising campaign are separate. The $49,500 initial fee is included.
- What royalties and marketing fees does Floyd's 99 charge?
- Item 6 lists a 6% of Gross Sales royalty and a current 1.5% – 3% of Gross Sales national marketing contribution. The national rate can rise on notice, and local advertising has a separate required allocation within the combined cap. Required network and point-of-sale charges have their own terms.
- What net revenue does Floyd's 99 disclose?
- Item 19 of the 2026 FDD reports $874,280 as the median annual net revenue for 44 mature franchised shops in 2025. This is not a statement of owner profit or a projection for a new shop.
- What is the contract term for Floyd's 99 Barbershop?
- Item 17 states a 10-year initial term. A qualified owner may seek a successor franchise under the then-current agreement after meeting the renewal conditions and paying the renewal fee.
Sources
Floyd's 99 Franchising, LLC Franchise Disclosure Document, issued July 9, 2026, as filed with the Minnesota Commerce (CARDS). Read the source FDD PDF. How to get this FDD yourself.
- Item 5: cited PDF p. 15
- Item 6: cited PDF p. 16
- Item 7: cited PDF p. 22
- Item 19: cited PDF p. 52
- Item 20: cited PDF p. 57
- Agreement term (Item 17): cited PDF p. 47
Page references for Floyd's 99 Barbershop use the PDF viewer's digital page count, not printed page headers. Some viewers download the document instead of opening the referenced page.
If the state document viewer does not open, use Minnesota Commerce's public filing instructions to look up the filing by franchisor name and document date.
Document & verification changelog
- October 29, 2026: Record updated.
- October 22, 2026: Source check completed against the recorded FDD.
- October 22, 2026: Initial cost profile published from the 2026 Franchise Disclosure Document (issued July 9, 2026).