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Guide 9 min read Updated July 25, 2026

Cost to Start a Sola Salon Studios Franchise in 2026

Sola Salon Studios franchise startup costs run $750K–$1.85M for a salon-suite rental real estate concept. Franchisees build and lease out private salon suites to independent beauty professionals — a commercial real estate model with recurring rental income and no direct beauty service delivery.

Sola Salon Studios franchise costs at a glance

Total investment $750,000–$1.9M
Franchise fee $55,000
Royalty 5.5%
Liquid capital required $200,000
Net worth required $750,000
Source: Sola Salon Studios Franchise Disclosure Document (FDD) · as of 2026-07-25. Figures vary by market and site; verify against the current FDD before signing.

Key takeaways

  • Total estimated startup cost: $750,000–$1,850,000 (salon-suite rental franchise)
  • Franchise fee: $55,000
  • Ongoing royalty: 5.5% of gross revenues; marketing fund contribution applies
  • 600+ locations across the US; largest salon-suite franchise network
  • Franchisee operates the real estate — not a direct beauty service provider
Ready to fund your Sola Salon Studios franchise?

Total startup cost breakdown

Per the current FDD filed under the FTC Franchise Rule (16 CFR Part 436), total estimated initial investment for a Sola Salon Studios franchise runs $750,000–$1,850,000. The investment range is higher than most beauty franchise concepts because franchisees are building a multi-suite commercial space:

  • Franchise fee: $55,000
  • Real estate and leasehold improvements: $500,000–$1,200,000 (build-out of 20–40 individual salon suites, shared reception, common areas, plumbing, electrical, HVAC)
  • Fixtures, built-ins, and suite furnishings: $80,000–$200,000 (suite cabinetry, shampoo bowls, mirrors, and shared amenity buildout)
  • Signage and branding: $10,000–$30,000
  • Technology (tenant management, lease tracking, property management software): $5,000–$15,000
  • Training and travel: $5,000–$15,000
  • Grand opening marketing: $10,000–$25,000
  • Working capital (3 months): $50,000–$150,000
  • Permits, licenses, insurance, and professional fees: $35,000–$60,000

Ongoing fees

Sola Salon Studios charges a 5.5% royalty on gross revenues plus marketing fund contributions. Revenue is pure rental income — each occupied suite generates weekly or monthly rental payments from the tenant beauty professional. At full occupancy (typically 80–95%), a 30-suite facility generates substantial recurring rental revenue. Occupancy rate is the primary variable — franchisees must actively recruit and retain independent beauty professionals as tenants. Turnover in any individual suite creates a short vacancy period before re-leasing.

Financing options

At $750K–$1.85M, Sola Salon Studios requires more substantial capital structuring than smaller franchise concepts. Financing paths:

  • SBA 7(a) loan: Covers franchise fee, leasehold improvements, suite build-out, and working capital per the SBA 7(a) program. Maximum SBA 7(a) loan is $5M — the Sola investment range fits standard SBA 7(a) structures.
  • SBA 504 loan: For operators acquiring commercial real estate for their Sola facility, the SBA 504 program provides below-market fixed-rate financing on up to 40% of the real property component alongside a conventional first mortgage.
  • Conventional commercial real estate loan: Many Sola franchisees structure the build-out as a commercial real estate transaction given the real-estate-centric nature of the business model.
  • Equipment financing: Suite fixtures, built-ins, and plumbing can be financed separately to preserve working capital.
  • Working capital line of credit: Supports occupancy ramp-up period, initial marketing to recruit beauty professional tenants, and operating expense coverage before full occupancy is reached.

Realistic ROI timeline

Salon-suite real estate concepts at the $750K–$1.85M investment level typically target breakeven within 36–54 months depending on how quickly full occupancy is achieved. The occupancy ramp — from opening to 80%+ occupancy — is the primary driver of ROI timeline. Sola's national brand recognition among beauty professionals accelerates tenant recruitment relative to independent salon-suite concepts. Once at 80%+ occupancy, the recurring rental revenue model generates strong and predictable cash flow. Franchisees in markets with high independent beauty professional density and limited salon-suite competition reach stable occupancy faster.

Who's a good fit

Sola Salon Studios suits operators with commercial real estate, property management, leasing, or multi-unit business backgrounds. This is a real estate business, not a beauty service business — franchisees manage tenant relationships, leases, facility maintenance, and occupancy rather than any direct service delivery. Financial benchmarks are significantly higher than other beauty concepts: net worth of $750K+ and liquid capital of $200K+ are typical minimum requirements. Markets with large populations of independent beauty professionals — stylists, estheticians, nail technicians — seeking to exit booth rental or salon employment for private studio independence are the primary demand driver.

What lenders look for in a Sola Salon Studios franchise application

Sola is a real estate business in franchise clothing. Lenders underwrite it with a hybrid lens — SBA franchise eligibility plus commercial real estate occupancy underwriting. At $750K–$1.85M, this is a large deal with a 12–24 month occupancy ramp. Key underwriting factors per SBA Standard Operating Procedure 50 10 7:

  • Debt service coverage ratio (DSCR) — stabilized vs. ramp-period: SBA guidelines require a minimum 1.15× DSCR; lenders underwriting salon-suite real estate concepts model DSCR at projected stabilized occupancy (typically 80%+). Year-one DSCR at 40–60% occupancy may be below 1.0×. Lenders want to see (a) adequate working capital reserves to bridge the ramp period and (b) a documented tenant pipeline — independent beauty professionals actively seeking suite space — to support the ramp projection.
  • Equity injection: SBA minimum is 10%. At Sola's investment range ($750K–$1.85M), lenders typically require 20–30% from documented borrower funds — $150K–$555K in verified personal assets. The higher equity expectation reflects commercial real estate underwriting standards applied alongside SBA guidelines. Borrowed equity typically does not count.
  • Tenant pipeline documentation: Sola franchisees recruit independent beauty professionals as suite tenants. Lenders will ask for a documented pre-opening tenant pipeline — letters of intent or signed early-occupancy agreements. Pre-leased suites reduce occupancy ramp risk and improve lender confidence in the cash flow pro forma.
  • Lease term alignment: Sola builds require a long-term commercial lease (typically 10–15 years). Lenders verify that the master lease term is aligned to the loan amortization and includes renewal options. Short remaining lease terms are an underwriting obstacle regardless of build-out quality.
  • Operator background: Commercial real estate, property management, leasing, or multi-unit business management backgrounds are the strongest operator credentials for Sola. Experience managing tenant relationships and commercial facility operations is evaluated alongside franchise operating experience.

Apply for franchise financing

ClearValue Lending works with salon-suite and commercial real estate franchise operators on SBA 7(a), SBA 504, conventional commercial real estate loans, and equipment financing. Start at small business financing or apply for franchise financing at Find my match. Your file routes to the funding partners best matched to your file.

Sources

  • SBA 7(a) loans — maximum $5M — cover franchise fees, leasehold improvements, build-out costs, and working capital for franchise concepts including salon-suite real estate operations. — SBA 7(a) Loan Program
  • SBA 504 loans provide below-market fixed-rate financing on the real property component of commercial real estate transactions — available when franchisees acquire rather than lease their facility space. — SBA 504 Loan Program
  • All franchise cost and fee disclosures are governed by the FTC Franchise Rule requiring a Franchise Disclosure Document (FDD) be delivered at least 14 days before signing. — FTC Franchise Rule — 16 CFR Part 436
  • Qualifying suite fixtures, built-ins, and equipment placed in service during the tax year may be immediately expensed under IRS Section 179. — IRS Publication 946

Frequently asked questions

How much does a Sola Salon Studios franchise cost in 2026?
Per the current FDD, total estimated initial investment runs $750,000–$1,850,000. The build-out of 20–40 individual salon suites with dedicated plumbing, electrical, and HVAC is the primary cost driver — significantly higher than most beauty franchise concepts.
What does a Sola Salon Studios franchisee actually do?
Sola franchisees are real estate operators. They build and manage a salon-suite facility, recruiting and leasing individual private suites to independent beauty professionals — stylists, estheticians, nail technicians, massage therapists. The franchisee collects rental income; they do not provide beauty services directly.
What is the Sola Salon Studios royalty rate?
Sola charges a 5.5% royalty on gross revenues plus marketing fund contributions. Revenue is rental income from occupied suites.
Can I finance a Sola Salon Studios franchise with an SBA loan?
Yes. SBA 7(a) loans (up to $5M) cover the build-out and working capital. SBA 504 is available for operators acquiring commercial real estate. At $750K–$1.85M, many operators structure a combination of SBA and conventional commercial real estate financing.
How many suites does a typical Sola Salon Studios location have?
A typical Sola location has 20–40 individual private salon suites. At 80–95% occupancy, the rental income from 20–40 suite tenants creates a predictable recurring revenue base. Occupancy ramp speed is the primary ROI driver.
What DSCR do SBA lenders require for a Sola Salon Studios franchise loan?
SBA guidelines set a minimum DSCR of 1.15×; lenders underwriting Sola Salon Studios model DSCR at projected stabilized occupancy (80%+). Year-one DSCR at 40–60% occupancy may be below 1.0× — lenders bridge this with working capital reserves and documented tenant pipeline. Pro formas should show year-one ramp DSCR and year-two stabilized DSCR separately. Lenders will stress-test against 60% occupancy for DSCR coverage. Source: SBA Standard Operating Procedure 50 10 7 (sba.gov).
How much equity injection is required for a Sola Salon Studios SBA loan?
SBA requires a minimum 10% equity injection. At Sola's investment range ($750K–$1.85M), lenders typically require 20–30% from documented borrower funds — $150K–$555K in verified personal assets — reflecting commercial real estate underwriting standards applied alongside SBA guidelines. In a 504 + 7(a) structure, the SBA 504 component on the building requires a 10% borrower contribution; the 7(a) component requires separate equity injection. Borrowed equity generally does not count. Source: SBA Standard Operating Procedure 50 10 7 (sba.gov).
How long does it take a Sola Salon Studios franchise to break even?
Salon-suite real estate concepts at Sola's $750,000-$1,850,000 investment level typically target breakeven within 36-54 months, depending on how quickly the facility reaches full occupancy. The occupancy ramp from opening to 80%+ occupancy is the primary driver of ROI timeline.
Summary:

Sola Salon Studios franchise startup costs run $750K–$1.85M for a salon-suite rental real estate concept. Franchisees build and lease out private salon suites to independent beauty professionals — a commercial real estate model with recurring rental income and no direct beauty service delivery.

This article is for educational purposes and is not financial, legal, or tax advice. Rates, fees, qualification requirements, and product availability are illustrative ranges that vary by lender, market conditions, and individual business profile. ClearValue Lending is a funding platform; all financing is subject to lender partner approval and terms. Always read your contract end-to-end and verify specific numbers before signing.

https://clearvaluelending.com/franchises/sola-salon-studios/cost-to-start

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