Deka Lash Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$285,900 - $449,350
Franchise Fee
$19,900
Total US Locations
130
Business Summary
Deka Lash offers a franchise opportunity to operate studios specializing in eyelash extensions, along with related beauty services such as eyebrow tinting, waxing, shaping, and skincare. These high-end studios provide a range of beauty products and services to customers, primarily targeting females, in a competitive market that includes other eyelash extension franchises, independent studios, and spas.
Corporate History
Deka Lash, operating as DL Franchising, LLC, was formed as a Utah Limited Liability Company on September 28, 2015. Initially, the company was named MJ MK Enterprises, LLC before its corporate name changed to DL Franchising, LLC on March 13, 2019. Deka Lash began offering its franchise opportunities in January 2016. In September 2019, the company expanded its franchise offerings into Canada. The brand is supported by affiliates like DL Products, LLC, which supplies products, and DL Studios, LLC, which operates company-owned outlets.
Financial Overview
Investment Range
$285,900 - $449,350
Franchise Fee (Low)
$19,900
Franchise Fee (High)
$59,900
Royalty %
6%
Marketing %
3%
Equipment Costs (Low)
$140,000
Equipment Costs (High)
$244,000
Working Capital
$10,500
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Going concern qualification
Financial Health Notes
The financial statements for Deka Lash indicate a significant concern about the franchisor's financial condition. As stated in the special risks section of the Franchise Disclosure Document, the company's financial health raises questions about its ability to provide services and support to its franchisees.
Financing Details
Deka Lash does not offer direct or indirect financing to new franchisees. However, for existing franchisees who have been with the system for at least 24 months, Deka Lash may offer financing for the Initial Franchise Fee for additional units. This financing can cover up to 50% of the $38,000 initial franchise fee for an expansion territory, offered at a 10% annual interest rate, repaid monthly over 60 months. For example, financing $19,000 would result in an approximate monthly payment of $404. The availability and amount of financing depend on the availability of funds and the franchisee's creditworthiness.
Performance Metrics
Total US Locations
130
Franchised Units
130
Corporate Units
0
Avg Square Footage
1,000
Franchising Since
2016
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Deka Lash has no litigation to report in Item 3 of its Franchise Disclosure Document. This means Deka Lash, its predecessors, parents, or affiliates have not been involved in any material litigation that is required to be disclosed.
Bankruptcy History
Deka Lash has no bankruptcy history to report in Item 4 of its Franchise Disclosure Document. Neither Deka Lash, nor its predecessors, parents, affiliates, or any of its executives have been involved in any bankruptcy proceedings.
Agreement Terms
Initial Term
10 years
Renewal Conditions
To renew their Deka Lash franchise agreement, franchisees must meet several conditions. They need to be in good standing and in full compliance with their current Franchise Agreement, and all monetary obligations must be satisfied. Franchisees must provide notice of their intent to renew between 3 and 6 months before the initial term expires. They are also required to execute a general release that frees Deka Lash from any prior claims, sign Deka Lash's then-current Franchise Agreement (which may have different terms), pay a $3,500 renewal fee, and successfully complete any retraining programs Deka Lash requires at their expense.
Training & Support Program
Franchisor Assistance
Deka Lash provides extensive support to its franchisees both before and after opening. Before opening, Deka Lash offers a four-day initial training program for owners, which can be virtual or in-person. The company provides site selection criteria, guidelines, and counseling, and must approve the franchisee's chosen site before a lease is signed. Deka Lash also furnishes a sample site layout plan and offers guidance on obtaining equipment, signs, fixtures, and initial inventory. After opening, Deka Lash continues to provide operational support through electronic access to its Operations Manual, which is regularly updated. Franchisees receive assistance with operational problems, suggested pricing strategies (though final pricing is up to the franchisee), and specifications for required software and computer systems. Deka Lash may also offer additional training or seminars, and it manages advertising, marketing, and promotional programs for the brand.
Initial Training Hours
46
Training Location
Online (video conference); or in person, normally in Pittsburgh, PA
Ongoing Support
After opening, Deka Lash franchisees receive ongoing support, including electronic access to the Operations Manual with periodic updates to standards and procedures. Deka Lash offers assistance with operating problems and issues, and provides guidance in establishing prices (though the final decision is the franchisee's). The franchisor specifies required software, subscriptions, licenses, tablets, computer systems, and equipment, with franchisees responsible for costs associated with updates or replacements. Deka Lash may also offer optional additional training or seminars. Franchisees are required to attend conventions, for which a fee is charged. Deka Lash provides a Customer Service Center that franchisees must use, assisting with inquiries, appointment setting, memberships, and sales campaigns for a monthly fee. Quality control inspections may be conducted annually or more frequently.
Franchise Requirements
Ideal Candidate Profile
Deka Lash seeks qualified individuals to become franchisees. An ideal Deka Lash franchisee, or their designated Principal Owner, must hold at least 10% ownership, serve as the primary contact for Deka Lash, and possess authority over all studio transactions and dealings. Both the franchisee and their spouse, as well as any studio manager or employees with client access, must be able to pass a criminal background check. Franchisees are expected to actively participate in the daily operations of the business or possess the business management skills required to successfully hire and supervise a manager for day-to-day operations. Franchisees should be in good health and able to devote their efforts to the business. The Principal Owner must have the power to create binding agreements with Deka Lash. All participants who operate in the business but are not formally recognized as owners or employees (e.g., family members) must sign confidentiality, non-disclosure, and non-competition agreements.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
retail
Owner Participation
hands-on
Territory Type
exclusive
Staff Count
4
Territory Size Requirements
Deka Lash franchisees are granted a Protected Area around their Franchised Business. This area is generally a 1.5-mile radius. However, Deka Lash reserves the right to adjust the size of the Protected Area based on the demographics and development of each specific market. For instance, in densely populated urban areas, the protected radius may be smaller than 1.5 miles.
Staffing Notes
Deka Lash franchisees are responsible for hiring, training, compensating, and supervising their employees, ensuring they comply with all applicable laws and maintain professional conduct. The franchisor estimates that a new studio will require approximately 4 full-time lash artists, assuming the franchisee acts as the studio manager. If a separate studio manager is hired, additional payroll expenses will be incurred. All employees who have access to client accounts or as required by local law must pass a criminal background check. Franchisees must train their employees to competently carry out duties and offer excellent customer service, including having any required licenses or certifications. Employees and non-employed participants (e.g., family members) must sign confidentiality, non-disclosure, and non-competition agreements. Deka Lash retains the right to terminate or limit access for non-employed participants and restricts employee access to privileged franchisee-only information without explicit written consent.