Diesel Barbershop Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$360,550 - $503,050
Franchise Fee
$40,500
Total US Locations
31
Business Summary
Diesel Barbershop Franchising, LLC offers qualified individuals and entities the opportunity to own and operate a distinctive retail hair care outlet called DIESEL BARBERSHOP. These barbershops provide haircutting, grooming, coloring, and barbering services to clients through a staff of trained and licensed professionals. The business operates under the DIESEL BARBERSHOP brand and utilizes a proprietary business system.
Corporate History
Diesel Barbershop Franchising, LLC was organized as a Texas limited liability company on August 9, 2017, under the name Diesel Barbershop Franchising, LLC. The company began offering franchises for the Diesel Barbershop concept in November 2017. The underlying Diesel Barbershop concept originated earlier, with an affiliate named Diesel Barbershop LLC, which was formed in April 2011 and operates barbershops similar to the franchised model.
Financial Overview
Investment Range
$360,550 - $503,050
Franchise Fee (Low)
$40,500
Franchise Fee (High)
$45,000
Royalty %
7.5%
Marketing %
1%
Equipment Costs (Low)
$224,000
Equipment Costs (High)
$339,000
Working Capital
$25,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Diesel Barbershop Franchising, LLC reported a net loss of $1,271,628 in 2023 but achieved net income of $91,650 in 2024. The company has a significant members' deficit, totaling $(2,458,297) as of November 30, 2024, and had a substantial liability of $1,488,106 due to a related party in 2024. While the company recorded a profit in the most recent year, its accumulated deficit and reliance on related party funding are notable aspects of its financial position.
Financing Details
Diesel Barbershop Franchising, LLC does not offer any direct or indirect financing options to franchisees, nor does it guarantee their obligations.
Performance Metrics
Total US Locations
31
Franchised Units
27
Corporate Units
4
Avg Square Footage
1,350
Franchising Since
2017
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Diesel Barbershop Franchising, LLC has no litigation to disclose in Item 3 of its Franchise Disclosure Document. This means there are no reportable legal actions, such as lawsuits, administrative actions, or arbitration proceedings, involving the franchisor or its management that require disclosure.
Bankruptcy History
Diesel Barbershop Franchising, LLC has no bankruptcy information to disclose in Item 4 of its Franchise Disclosure Document. This indicates that neither the franchisor nor its executives have experienced any reportable bankruptcy proceedings.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their franchise agreement, Diesel Barbershop Franchising, LLC franchisees must meet several conditions. They cannot have any uncured material defaults under their agreement or other agreements with the franchisor, and must not have received more than three written notices of material default in the 12 months before renewal. Franchisees must complete any required renovation and modernization of their barbershop, execute the franchisor's then-current franchise agreement (which may have different terms), complete a refresher training course and pay the tuition fee, and have supported the franchisor's training, purchasing, marketing, advertising, and operational programs. Additionally, they must sign a general release in favor of the franchisor, maintain all necessary licenses and insurance, and demonstrate the right to lease their premises for at least five additional years.
Training & Support Program
Franchisor Assistance
Diesel Barbershop Franchising, LLC provides franchisees with both pre-opening and ongoing assistance. Before opening, the franchisor offers site selection guidance, reviews and approves leases, defines the designated territory, and provides access to confidential operations manuals, lists of required items, approved suppliers, and standard building plans. Franchisees also receive an initial training program. After opening, the franchisor may provide additional and remedial training, ongoing consultation and advice (often remotely, but on-site for a fee), approval for advertising and marketing materials, and approval for non-approved products/services or suppliers. Diesel Barbershop Franchising, LLC also administers a Brand Development Fund, maintains a Team Site for updates and training, conducts inspections and audits, and researches new services and products.
Initial Training Hours
99
Training Location
Franchisor headquarters, affiliate barbershop, virtual, and franchisee's barbershop
Ongoing Support
After opening, Diesel Barbershop Franchising, LLC franchisees receive continuing consultation and advice, which can be provided remotely via phone, virtual communication tools, or intranet. On-site assistance is available upon request, subject to an additional training fee. The franchisor reviews and approves all advertising and marketing materials, and also approves or disapproves requests to offer non-approved products/services or use non-approved suppliers. Franchisees may be required to attend an annual conference, for which they pay a fee. The franchisor also displays the franchised business's contact information on its website and administers a Brand Development Fund for system-wide promotion. A Team Site is maintained for updates, webinars, and other training. The franchisor may also conduct inspections and audits of the business, revise the operations manuals, and conduct research on new haircare services, products, and business methods.
Franchise Requirements
Ideal Candidate Profile
Diesel Barbershop Franchising, LLC seeks qualified individuals and entities who are capable independent businesspersons. Ideal candidates should be able to personally participate in the day-to-day management of their barbershop, or appoint a Designated Manager who must be approved by the franchisor and complete initial training. For business entities, all owners and their respective spouses must sign a personal guaranty. Candidates should not be involved in any business activity that is competitive in nature. The success of the Diesel Barbershop franchise will depend largely on the franchisee's business ability.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Retail
Owner Participation
Supervisory
Territory Type
Protected
Territory Size Requirements
Diesel Barbershop Franchising, LLC typically defines a Designated Territory as either a 2.5-mile radius around the approved premises, or a geographical area with a population size of 75,000 people if the barbershop is located in a major metropolitan downtown or densely populated area. The exact size may vary based on the specific location and demographics surrounding the premises.
Staffing Notes
Diesel Barbershop Franchising, LLC requires franchisees to have at least two Designated Managers who personally participate in the day-to-day management of the barbershop. The franchisee or their Operating Principal may serve as one of these Designated Managers, subject to the franchisor's approval. At all times, the franchised business must be managed and staffed with at least one individual who has successfully completed the initial training program. Franchisees are responsible for all decisions related to recruiting, hiring, or firing personnel, including ensuring that all barbers and stylists are independently licensed by the appropriate authorities to perform the approved services. The operations manual provides further guidance on job responsibilities, employee profiles, recruiting, hiring laws, interviewing, employee paperwork, orientation, training, personnel policies, and scheduling to ensure the business is sufficiently staffed and adheres to System standards.