How to Finance a Floyd’s 99 Barbershop Franchise: Multi-Unit Plan
By Marc Cornella
A Floyd’s 99 Barbershop franchise loan is usually built for more than one shop. The franchisor looks for owners who can manage a multi-unit agreement, prices its development fees by shop, and sets financial requirements well above those of a typical single-salon franchise, so the financing plan has to cover the first build-out while protecting the capital needed for the shops that follow.
This article explains what the franchisor says a Floyd’s location costs, how the multi-unit structure shapes a Floyd’s 99 Barbershop franchise loan, what the brand’s SBA directory notes mean and how lenders evaluate a manager-led barbershop.
US Professional Funding is not affiliated with, sponsored by or endorsed by Floyd’s 99 Barbershop; the name is used only to describe the business. Figures from the franchisor’s disclosure document and website can change, loan programs and terms vary by lender and borrower, and every loan is subject to lender review and approval. Nothing here is legal, tax or investment advice, and buyers should review the current Franchise Disclosure Document (FDD) and franchise agreement with a qualified franchise attorney and accountant.
Floyd’s 99 Barbershop Franchise Loan at a Glance
- Estimated start-up costs: $399,500 to $767,500 per location, according to the franchisor, which points to Item 7 of its 2025 FDD.
- Development fees: $49,500 for each of the first and second barbershops and $34,500 for each additional barbershop, according to the franchisor.
- Financial requirements: a net worth of at least $1.5 million and minimum liquidity of $500,000.
- Multi-unit focus: candidates need the ability to manage a multi-unit agreement, and the franchisor says most franchisees own multiple units.
- Franchisor financing: Floyd’s says it does not offer direct financing.
- System size: over 140 locations nationwide, according to the company; a July 2026 company release reported 144 locations across 19 states with more than 50 in development.
- SBA Franchise Directory: listed as “Floyd’s 99 Barbershop,” with two notes that apply when franchisee-owned real estate secures the SBA loan.
What Is Floyd’s 99 Barbershop?
Floyd’s 99 Barbershop is a Colorado-based barbershop brand founded in Denver in 1999 by brothers Bill, Rob and Paul O’Brien. The company says its first franchise location opened in Dallas, Texas, in 2006, that it reached 99 locations in 2017, and that it has grown from one shop to over 140 locations nationwide. Its July 2026 company release reported 144 locations across 19 states and said the brand remains privately owned and led by its founders.
The concept. Floyd’s positions itself as a fun, edgy barbershop with music-inspired interiors and its own in-shop radio station. Services include cuts, fades, shaves and color, delivered by barbers and stylists in a high-energy setting. The franchisor describes much of its growth as driven by word of mouth.
The ownership model. The franchisor says most of its franchisees own multiple units and asks candidates to live in the market they plan to develop. Owners typically focus on hiring, leadership and growth rather than cutting hair themselves.
Why lenders view Floyd’s the way it does. Lenders generally see a long-running, founder-led system with a service-based revenue model, leased premises and moderate equipment needs. The questions center on build-out costs, how quickly each shop builds a client base, barber recruiting and whether the owner can keep opening shops on schedule. The franchisor’s high capital thresholds tend to produce well-capitalized borrowers.
Floyd’s 99 Barbershop Franchise Costs
Development fees. Instead of quoting a single franchise fee, the franchisor states development fees of $49,500 for each of the first and second barbershops and $34,500 for each additional barbershop. Because fees under a development agreement are often paid when the agreement is signed rather than when each shop opens, ask how and when these fees are due before you size a loan. The FDD’s Item 5 sets out the exact timing and any refund terms.
Real estate and build-out. Floyd’s shops typically operate in leased retail space, so real estate shows up as rent, deposits and tenant improvement negotiations. Build-out is typically one of the largest parts of the budget.
Opening costs and working capital. A new shop needs funds for grand opening marketing, opening inventory, training and payroll while barbers build their client books.
Total investment. The franchisor states that estimated start-up costs range from $399,500 to $767,500 per location, as detailed in Item 7 of its 2025 FDD. Item 7 tables typically break a range like this into development or franchise fees, leasehold improvements, furniture, fixtures and equipment, signage, opening inventory, grand opening marketing and additional funds for the initial operating period.
Read the full Item 7 table in the current FDD for each line item’s range. Because the development fees cover several shops while each shop is built separately, a sound financing plan separates the first shop’s costs from the development fees and later openings.
Ongoing Fees and How They Affect Your Loan
Royalty, brand fund and other fees. Floyd’s ongoing fees, including the royalty, marketing contribution and any technology, transfer or renewal fees, are described in Item 6 of the FDD. Confirm current rates and any fixed minimums.
How lenders factor fees into cash flow. Lenders start with projected service and retail revenue, subtract barber and stylist pay, rent, product costs, royalty and marketing fees, and then look at what remains to cover debt service and the owner’s or manager’s pay. Because a new shop’s sales build over its first months, lenders typically model the ramp month by month and stress-test slower hiring or slower client growth.
Franchisor Requirements for New Owners
Floyd’s publishes clear financial expectations for new franchise partners:
- Net worth: at least $1.5 million
- Liquidity: a minimum of $500,000
- Multi-unit capability: the ability to successfully manage a multi-unit agreement
- Local presence: the franchisor wants candidates to live in the market they plan to develop
- Leadership: strong leadership skills and a commitment to building a team culture
The approval process. Candidates typically submit an inquiry, review the FDD, speak with the development team and existing owners, and complete the franchisor’s approval steps. The franchisor says the process takes about nine to twelve months on average from the start, time buyers can use to line up financing and a site.
What the requirements mean for a Floyd’s 99 Barbershop franchise loan. The liquidity minimum is a franchisor screening standard, not a loan down payment. Lenders look separately at how much goes into the first shop and how much stays in reserve for the second.
Ways to Own a Floyd’s 99 Barbershop
A new multi-unit development. New owners typically sign a development agreement covering more than one shop. The first shop is underwritten on projections, the owner’s experience and the franchisor’s support. Our page on franchise start-up financing explains how we approach new units.
Buying an existing shop. Existing shops sometimes change hands, giving a lender actual sales history and an established client base to underwrite. The buyer still needs franchisor approval of the transfer and should plan for any transfer fee and required updates. Our article on buying a franchise resale covers the transfer process.
Floyd’s 99 Barbershop Franchise Loan Options
SBA 7(a) loans. Because Floyd’s appears on the SBA Franchise Directory, an SBA 7(a) loan is often a practical fit for a first shop. A 7(a) loan can cover leasehold improvements, equipment, fees and working capital, and can also finance the purchase of an existing shop.
SBA 504 loans. Most Floyd’s shops are in leased space, so the SBA 504 program usually fits only when an owner buys the building or a retail condo for the shop. In that case, the directory notes described below come into play.
Conventional term loans. Well-capitalized owners, especially those expanding an established group, may use a conventional business loan. Conventional lenders typically focus on the owner’s track record, existing shop cash flow and collateral.
Equipment financing. Barber chairs, stations, shampoo units, sound systems, signage and point-of-sale hardware can often be financed separately from the build-out, which preserves cash. See our franchise equipment financing and leasing options.
Working capital and lines of credit. A new shop pays rent and payroll before its barbers are fully booked, and a growing group often carries pre-opening costs for the next shop at the same time. A line of credit or working capital loan can cover those gaps. Learn more about franchise working capital.
Seller financing on resales. On a resale, part of the price may be carried by the seller. A seller note must be acceptable to the senior lender and is typically subordinate to it, and SBA program rules may limit how it is structured.
SBA Loans for Floyd’s 99 Barbershop Franchisees
The SBA Franchise Directory lists franchise brands whose agreements have been reviewed for SBA eligibility. SBA lenders generally require a brand to appear on the directory before making an SBA-guaranteed loan to one of its franchisees. A listing clears the franchise relationship for review; it does not approve any borrower.
Floyd’s directory listing. Floyd’s 99 Barbershop appears on the SBA Franchise Directory under code S0661, with two notes:
- Lease documents and owned real estate. When the real estate where the shop is located will secure the SBA-guaranteed loan, the Lease Addendum, Conditional Assignment of Lease and Assignment and Assumption of Lease with Landlord’s Consent may not be executed. In plain English, these documents are designed for a leased location and give the franchisor rights over the lease. If the franchisee or an affiliate owns the property and pledges it as collateral, those lease documents should not be signed for that location.
- No purchase option on collateral real estate. The franchisor may not enforce a purchase option on real estate owned by the franchisee or an affiliate of the franchisee and taken as collateral for the SBA loan. This protects the lender’s collateral position.
For the typical Floyd’s owner who leases a retail space, neither note usually changes the transaction. They matter mainly when an owner buys the building or uses property owned by a related company as collateral.
Program size. The SBA 7(a) program maximum is currently $5 million, though program rules can change.
Application tips. Prepare a business plan with a month-by-month ramp for the first shop, a signed lease or letter of intent, contractor bids, the FDD and your development agreement, personal financial statements and tax returns.
How Lenders Evaluate a Floyd’s 99 Barbershop Deal
Personal credit and financial history. Lenders review credit, tax returns and a personal financial statement, and typically require personal guarantees.
Net worth and liquidity. Floyd’s thresholds set a floor, but lenders also look at the liquidity left after closing for the next shop.
Industry and management experience. Experience leading service teams, retail operations or multi-location businesses strengthens a request.
Business plan and projections. A credible plan for a Floyd’s shop shows the trade area, chair count and staffing plan, the expected ramp in client visits, barber compensation, rent and all franchise fees, with conservative assumptions.
The FDD and franchise agreement. Lenders review the franchise term, renewal and transfer provisions, the development schedule and any default triggers tied to missed opening dates. Our article on how lenders read a Franchise Disclosure Document explains which items matter most.
Site and lease. Lease length, renewal options, rent escalations and tenant improvement allowances all affect risk. Lenders generally prefer lease terms, including options, that extend through the loan term.
Historical financials for resales. For an existing shop, expect to provide several years of profit and loss statements, sales reports from the shop’s point-of-sale system and the seller’s tax returns.
Building and Equipping a Barbershop
The physical shop is a large share of the start-up cost. Build-out typically includes plumbing for shampoo stations, upgraded electrical service for clippers, dryers and lighting, ventilation, flooring and the brand’s music-themed design. Equipment includes barber chairs, cutting stations, shampoo bowls, sterilization supplies, a sound system for the brand’s radio and a point-of-sale and booking system.
Financing equipment separately. Chairs, stations and electronics can often be financed or leased apart from the build-out loan, which reduces cash needed at opening and keeps liquidity available for the next shop.
Multi-Unit Growth and Development Agreements
Floyd’s development fees are structured around multiple shops, and the franchisor expects candidates to be able to manage a multi-unit agreement. That makes growth planning part of the first financing conversation, not something to figure out later.
Financing the first shop. The first loan is underwritten mostly on projections and the owner’s personal financial strength. Leave enough liquidity after closing to fund pre-opening costs for the second shop.
Financing the second and later shops. Once the first shop has operating history, lenders can underwrite its actual cash flow alongside projections for the next shop. Many owners finance each new shop with its own loan, and some later consolidate debt across the group. Read more about financing an area development agreement and multi-unit franchise financing.
Real-World Scenarios
A first-time owner with a corporate leadership background. A former regional operations manager meets the net worth and liquidity requirements and signs a development agreement. She funds the first shop with an SBA 7(a) loan covering build-out, equipment and working capital, and keeps a reserve for the second shop’s pre-opening costs.
Buying an established shop. A buyer acquires an operating shop from a franchisee who is relocating. The lender underwrites the shop’s historical results, the buyer finances the purchase with an SBA 7(a) loan and a small seller note on standby, and Floyd’s approves the transfer.
Owning the building. A multi-unit owner buys a small retail building for a new shop with SBA financing. Under the directory notes, the lease-related franchise documents are not signed for that site, and the franchisor’s purchase option cannot be enforced on the collateral property.
Common Mistakes to Avoid
- Budgeting for one shop when the development agreement commits you to more
- Using all available liquidity on the first shop and leaving nothing for the second
- Underestimating how long it takes to recruit barbers and build their client books
- Signing a lease before the lender and franchisor have reviewed it
- Ignoring the SBA directory notes when buying a building or pledging affiliate-owned property
- Leaving ongoing royalty, marketing and technology fees out of projections
- Agreeing to a development schedule that outpaces your borrowing capacity
For more pitfalls, read about the franchise loan mistakes that slow buyers down.
Next Steps to Finance Your Floyd’s 99 Barbershop Franchise
Step 1: Confirm you meet the requirements. Make sure you have at least $1.5 million in net worth and $500,000 in liquidity, and that you are ready to develop multiple shops in your market.
Step 2: Review the FDD with advisors. Study Items 5, 6, 7, 10, 17 and 19 and the development agreement with a franchise attorney and accountant.
Step 3: Talk with a financing specialist early. Learn how lenders will size the first loan. Our SBA loan calculator gives early payment estimates for planning only, not an offer or approval.
Step 4: Build your plan and projections. Model the first shop’s ramp month by month, then show how the second and later shops fit your capital and borrowing capacity.
Step 5: Secure a site. Work with the franchisor and a landlord on a lease or letter of intent, and obtain contractor bids.
Step 6: Apply for financing. Submit your loan request with financial statements, tax returns, projections, the lease and franchise documents.
Step 7: Close and open. Coordinate closing with the construction schedule, hire and train your team, and keep working capital in reserve for the ramp-up period.
Floyd’s 99 Barbershop Franchise Loan FAQs
How much does it cost to open a Floyd’s 99 Barbershop?
The franchisor states that estimated start-up costs range from $399,500 to $767,500 per location, based on Item 7 of its 2025 FDD. Actual costs depend on the site, build-out and local market.
What is the Floyd’s 99 Barbershop franchise fee?
Floyd’s states development fees of $49,500 for each of the first and second barbershops and $34,500 for each additional barbershop. Confirm payment timing in Item 5 of the current FDD.
What royalty does Floyd’s charge?
Royalty and marketing fund rates are disclosed in Item 6 of the FDD. Review the current document for the rates and any minimums before building projections.
How much liquid capital and net worth do I need?
The franchisor looks for a net worth of at least $1.5 million and minimum liquidity of $500,000.
Can I get an SBA loan for a Floyd’s 99 Barbershop?
Yes, subject to lender approval. Floyd’s is listed on the SBA Franchise Directory under code S0661, so its franchisees can be considered for SBA 7(a) and 504 financing.
Does Floyd’s offer financing?
Floyd’s says it does not offer direct financing. Check Item 10 of the FDD for any financing disclosures.
Can I buy an existing Floyd’s shop?
Yes, when an owner is selling and the franchisor approves the transfer. Lenders underwrite the shop’s actual financial history, which can make a resale easier to finance than a new shop.
Can a first-time business owner get a Floyd’s 99 Barbershop franchise loan?
Yes, if the franchisor approves the candidate and the borrower meets lender requirements. Leadership and multi-location management experience help, along with liquidity beyond the minimum.
How long is the franchise term?
The term, renewal and transfer conditions are set out in Item 17 of the current FDD. Lenders prefer a franchise term that extends well beyond the loan term.
Does the FDD include financial performance information?
Review Item 19 of the current FDD to see whether it includes financial performance representations, and rely on actual financial statements when buying an existing shop.
Final Thoughts
Financing Floyd’s 99 Barbershop shops means planning for a growing group rather than a single location. Owners who budget for the full development commitment, keep liquidity in reserve, model barber recruiting realistically and handle the SBA directory notes early put themselves in the strongest position to open on schedule and grow.
US Professional Funding helps franchise owners finance start-ups, build-outs, equipment, acquisitions and working capital across established brands. Learn more about our franchise financing solutions.
