How to Finance a Salon 809 Franchise: Dominican Hair Salon Costs
By Chris Cornella
A Salon 809 franchise loan funds a full-service Dominican-style hair salon, a format known for wash-and-set services, roller sets under hood dryers, blowouts and treatments focused on healthy hair. That service menu shapes everything a lender looks at: the number of shampoo bowls and dryers, the plumbing and electrical work in the build-out, and the stylist team that drives revenue.
This article explains what to look for in the Franchise Disclosure Document (FDD), what drives the cost of opening, what the brand’s SBA Franchise Directory note means, and which loan options fit a new salon, an existing location or a second unit.
US Professional Funding is not affiliated with, sponsored by or endorsed by Salon 809; the name is used only to describe the business. Figures in the franchisor’s disclosure document can change, loan programs and terms vary by lender and borrower, and every loan is subject to approval. Nothing here is legal, tax or investment advice; review the current FDD and franchise agreement with a franchise attorney and an accountant.
Salon 809 Franchise Loan at a Glance
- Concept: a Dominican hair salon offering an ethnically diverse range of services, with an emphasis on hair health, cleanliness and customer service.
- Founder: owner and founder Jeimy Flournoy, who built the brand in the Maryland area before offering franchises.
- Stage: an emerging franchise system that has sold franchise territories with ongoing franchisor support.
- Fee, royalty and investment: not confirmed on franchisor pages we could verify; see Items 5, 6 and 7 of the current FDD.
- Cost drivers: leasehold build-out with heavy plumbing and electrical work, shampoo stations, hood dryers, styling stations, retail displays and payroll during the ramp-up.
- SBA Franchise Directory: listed under code S6788, with a note about the Rider to Lease Agreement.
What Is Salon 809?
Salon 809 is a Dominican hair salon brand founded by Jeimy Flournoy. Dominican salons are known for techniques such as roller sets, blowouts and silk presses that create smooth, healthy-looking hair, often without chemical straightening. Salon 809 describes its focus as long-term hair care, cleanliness and close customer relationships, and it serves clients with a wide range of hair types and backgrounds.
After building its salon business, the company began franchising and announced the sale of its first franchise in Maryland. Founder statements stress that the brand is built on relationships with customers and that franchisees receive support to ease the stress of business ownership.
Why lenders view it the way they do. Salon revenue depends on stylists, client retention and appointment volume. An emerging brand gives a lender fewer system-wide results to compare against, so the buyer’s own salon experience, the strength of the local market and a realistic hiring plan carry extra weight. Our article on financing an emerging franchise explains how lenders approach younger systems.
Salon 809 Franchise Costs
Because Salon 809’s fee, royalty and total investment are not confirmed on franchisor pages we could verify, this section explains where each cost appears in the FDD and what drives it.
Initial franchise fee. Item 5 lists the fee, when it is due, refund terms and any reduced fee for additional salons. Lenders usually treat it as an intangible cost paid from the buyer’s cash or included in an SBA 7(a) loan.
Real estate and build-out. Most salons lease storefront space in shopping centers or neighborhood retail strips. A Dominican-style salon needs multiple shampoo bowls with hot water capacity, drainage, dedicated circuits for hood dryers and blow dryers, good ventilation, a reception and retail area, and comfortable waiting space. Converting an existing salon can reduce plumbing costs, while a raw shell usually costs more.
Equipment and furniture. Expect shampoo bowls and chairs, hood dryers, styling chairs and stations, mirrors, rolling carts, hot tools, a commercial water heater, laundry equipment for towels, sterilization equipment and reception furniture.
Opening inventory. Professional hair care products for services, retail inventory, towels, capes and supplies must be stocked before opening.
Working capital. Stylist payroll or commissions, rent and marketing continue while the salon builds its client book, so additional funds for the first months are essential.
Total investment. Item 7 shows the estimated initial investment range. Look for these line items:
- Initial franchise fee
- Leasehold improvements, plumbing and electrical work
- Shampoo stations, hood dryers and styling stations
- Furniture, fixtures, mirrors and signage
- Computer, booking and point-of-sale systems
- Opening product and retail inventory
- Training, grand opening marketing, deposits, insurance and licenses
- Additional funds for the initial operating period
Organize your loan request in the same categories so a lender can see how each dollar will be used.
Ongoing Fees and How They Affect Your Loan
Item 6 lists recurring fees, which typically include a royalty, a marketing or brand fund contribution, technology or booking software fees, and fees for transfers, renewals and extra training. Check whether fees are a percentage of sales or flat amounts.
How lenders factor fees in. In a salon, the largest costs are usually stylist compensation, rent and products. Lenders deduct royalty and marketing fees from projected revenue, then test whether the remaining cash flow covers loan payments. Retail product sales and repeat-visit schedules can strengthen projections when supported by a clear plan.
Franchisor Requirements for New Owners
Salon 809 sets its own net worth, liquidity and experience requirements and shares them during discovery. Expect the franchisor to look for commitment to the brand’s standards of cleanliness, service and hair health, and to ask whether you will run the salon yourself or hire an experienced salon manager. Item 15 of the FDD describes whether the owner must personally participate.
A typical path includes an inquiry, an introductory call, review of the FDD, conversations with leadership and current franchisees, and signing the agreement, followed by site selection, build-out and training. Lenders usually want the signed franchise agreement or an approval letter before closing.
Ways to Own a Salon 809
A new salon. Most buyers in an emerging system will open a new location. That is a start-up loan underwritten on the FDD, the buyer’s experience, the lease and projections. See our overview of franchise start-up financing.
Buying an existing salon. If a franchised location is for sale, a lender can underwrite actual revenue, client retention and stylist stability, subject to franchisor approval of the transfer. Read our guide to buying a franchise resale.
Converting an independent salon. An owner of an independent salon might ask whether the franchisor allows conversions. If it does, financing may cover the fee, remodeling and rebranding, and lenders can review the salon’s existing results.
Financing Options for a Salon 809 Franchise
SBA 7(a) loans. Because Salon 809 is on the SBA Franchise Directory, buyers can pursue an SBA 7(a) loan for build-out, equipment, the franchise fee, inventory and working capital in a single package.
SBA 504 loans. If you buy the building that houses your salon, an SBA 504 loan can finance owner-occupied real estate. Most salons lease, so this applies only when you own the property.
Conventional term loans. Buyers with strong credit, collateral or existing businesses may use conventional business loans, especially for a second salon.
Equipment financing. Shampoo bowls, hood dryers, styling stations and water heaters can be financed or leased separately. Learn more about franchise equipment financing and leasing.
Working capital and lines of credit. Salon traffic can rise around holidays, graduations and special events and slow at other times. A line of credit can cover payroll and inventory during slower weeks. Explore franchise working capital options.
Seller financing on resales. A seller may carry part of the price on an existing salon, which can help keep the seller involved while clients transition. Any seller note must be acceptable to the senior lender, is typically subordinate to it, and loan programs may limit its terms.
SBA Loans for Salon 809 Franchisees
The SBA Franchise Directory lists brands whose franchise agreements have been reviewed for SBA eligibility. A listing does not approve a borrower; it means the franchise relationship does not block an SBA-guaranteed loan.
Salon 809’s listing. The brand appears under code S6788 with one note: when the real estate where the franchise business is located will secure the SBA-guaranteed loan, the Rider to Lease Agreement may not be executed. In plain English, the franchisor’s lease rider, which can give the franchisor certain rights over the premises, cannot be signed if the property itself is collateral for the loan. This mainly matters if you or an affiliated company own the building. Share the note with your attorney and lender early.
Loan size. The SBA 7(a) program maximum is currently $5 million, though program rules can change. A single salon request is normally sized to the Item 7 budget and projected cash flow. Our SBA loan calculator can help with early payment estimates for planning only.
How Lenders Evaluate a Salon 809 Deal
Personal credit and financial history. Lenders review credit, tax returns and debts and usually require personal guarantees.
Net worth and liquidity. Lenders want cash for the equity injection plus reserves left after opening.
Industry and management experience. Cosmetology licensing, salon management or Dominican styling experience strengthens the request. If you are not a stylist, show how you will recruit and keep skilled staff.
Business plan and projections. Model the number of chairs, stylists hired by month, services per stylist per day, average ticket, retail sales and client retention, with a realistic ramp-up.
The FDD and franchise agreement. Lenders review the term and renewal rules in Item 17, territory rights, any franchisor financing in Item 10, and whether Item 19 includes financial performance representations. Our guide to how lenders read a Franchise Disclosure Document explains which items matter most.
Site and lease. Lenders want a lease term, with options, that covers the loan, and will check the SBA directory note against the lease documents.
Resale financials. For an existing salon, expect to provide several years of financial statements, sales reports and stylist rosters.
Salon Equipment and Water Systems
Wash-and-set services make hot water and drying capacity critical. Undersized water heaters or too few dryers can create bottlenecks that limit how many clients a salon can serve each day. Plan the build-out around peak appointment times, ask about warranties and service contracts, and match equipment financing terms to each item’s useful life.
Multi-Unit Growth
Owners who want a second or third salon should finance each step on proven results. Lenders will review the first salon’s performance, stylist retention and the owner’s management bench before funding the next. Our article on multi-unit franchise financing explains the process.
Real-World Scenarios
A licensed stylist opening her own salon. An experienced stylist with a loyal client base signs a franchise agreement, leases a former salon space and uses an SBA 7(a) loan for the build-out, dryers and working capital.
An investor with a salon manager. A business owner hires an experienced Dominican-style salon manager and finances the equipment package separately to keep cash available for payroll.
A buyer acquiring an existing location. A buyer purchases a franchised salon; the lender reviews past results, the seller carries a small subordinate note and the franchisor approves the transfer.
An owner who buys the building. A franchisee purchases a small retail building with an SBA 504 loan and works with counsel on the directory’s lease rider note.
Common Mistakes to Avoid
- Underestimating plumbing, hot water and electrical costs
- Projecting full chairs before stylists are hired
- Leaving too little working capital for payroll during the ramp-up
- Signing a lease before the franchisor and lender review it
- Overlooking the SBA directory note on the lease rider
For more pitfalls, read our guide to franchise loan mistakes.
Next Steps to Finance Your Salon 809 Franchise
Step 1: Request the current FDD. Review Items 5, 6, 7, 10, 15, 17 and 19 with your advisors.
Step 2: Confirm owner requirements. Ask about net worth, liquidity and experience thresholds.
Step 3: Talk with franchisees and leadership. Ask about build-out costs, stylist hiring and the opening ramp.
Step 4: Speak with a financing specialist. Learn which loan types fit and how much cash you need.
Step 5: Secure a site. Gather a letter of intent, contractor bids and equipment quotes.
Step 6: Apply and close. Submit your loan package and coordinate the franchise agreement, lease, build-out and training.
Salon 809 Franchise Loan FAQs
How much does it cost to open a Salon 809 franchise?
Item 7 of the current FDD lists the estimated initial investment. Costs depend on space size, condition and local construction prices.
What are the franchise fee and royalty?
Item 5 lists the initial fee and Item 6 lists the royalty, marketing and other recurring fees.
How much liquid capital do I need?
The franchisor sets its own thresholds, and lenders also expect an equity injection plus reserves.
Can I get an SBA-backed Salon 809 franchise loan?
Yes. Salon 809 is listed on the SBA Franchise Directory under code S6788, so qualified buyers can apply for SBA 7(a) or 504 loans, subject to approval.
Can I finance salon equipment separately?
Yes. Equipment financing or leasing can cover shampoo bowls, dryers, styling stations and water heaters.
Do I need to be a stylist?
Check the FDD and ask the franchisor. If you are not a stylist, lenders will want to see an experienced manager and a hiring plan.
Can a first-time owner get a Salon 809 franchise loan?
Yes, with franchisor approval, solid reserves, relevant experience and a realistic plan.
Does Salon 809 offer financing?
Item 10 of the FDD discloses any franchisor financing. Most buyers arrange their own.
How long is the franchise term?
Item 17 lists the term, renewal options and transfer conditions.
Does the FDD include financial performance information?
Review Item 19 of the current FDD to see whether it includes financial performance representations.
Final Thoughts
A Salon 809 franchise loan finances a skilled team and a water-intensive salon as much as a storefront. Buyers who review the current FDD closely, budget carefully for plumbing, dryers and payroll, and understand the SBA lease rider note put themselves in a strong position to open well.
US Professional Funding helps franchise owners and buyers finance start-ups, acquisitions, equipment and working capital. Learn more about our franchise financing solutions.
