15-Location Salon Suite Platform – Majority Recapitalization Opportunity for Sale

Business Description

The Company is a 15-location salon suites platform in the Northeastern U.S. generating approximately $7.5 million of TTM revenue and $1.8 million of earnings after head-office costs. The two existing owners are seeking a majority recapitalization, while retaining a meaningful minority equity position and continuing to operate the business post-transaction. New capital will be used to pursue additional multi-unit acquisition and roll-up opportunities within the broader franchise system.

The portfolio includes approximately 520 private suites, of which roughly 440 are currently occupied, creating a highly recurring and diversified rental revenue stream from independent beauty and wellness professionals. The model has no exposure to stylist payroll, service revenue, or significant retail inventory. With occupancy currently in the mid-80% range, the existing portfolio provides meaningful embedded growth potential, with incremental occupancy expected to generate attractive margins due to the largely fixed nature of rent, royalty, and staffing costs.

Operations are supported by a lean centralized management structure designed to accommodate additional locations without a proportional increase in overhead. Part-time on-site coordinators handle tours and day-to-day tenant interaction, while the two experienced owner-operators bring backgrounds in construction, real estate, and finance and intend to remain actively involved following the transaction. The portfolio is supported by established shopping-center locations, long-term leases, renewal options, and existing landlord relationships.

The recapitalization provides an incoming capital partner with the opportunity to acquire a controlling interest in an established, cash-flowing platform, while partnering with the existing owners to expand the portfolio, improve occupancy, and pursue additional multi-unit growth opportunities.