Lashkind logo

Lashkind Franchise

Audited Financials
Beauty & Personal CareEst. 2022Toronto, CA
www.wearelashkind.com

Risk Score

Pending analysis

Investment Range

$209,280 - $299,750

Franchise Fee

$15,000

Total US Locations

14

Business Summary

LASHKIND operates full-service beauty businesses that specialize in products and services for eyelashes and eyebrows. These businesses feature a distinctive interior and exterior design, offering a unique trade dress to the public.

Corporate History

LASHKIND Franchise, Inc. was incorporated in Delaware in November 2022 to offer LASHKIND franchises and to own and operate LASHKIND businesses through its affiliates. While LASHKIND Franchise, Inc. itself has not directly operated in this line of business, it began offering LASHKIND franchises on March 17, 2023. The company is a subsidiary of Blo Blow Dry Bar Holdings, Inc., which is majority-owned by NSF Blo, LLC. LASHKIND is affiliated with several other franchise brands through common control, including Mync Lash and Brow Bar (Canada), Blo Blow Dry Bar (Canada and US), Central Bark (canine care facilities), Duck Donuts, Federal Donuts (donut, fried chicken, and coffee shops), and Green Home Solutions (indoor environmentally preferred solutions).

Financial Overview

Investment Range

$209,280 - $299,750

Franchise Fee (Low)

$15,000

Franchise Fee (High)

$45,000

Royalty %

6%

Marketing %

2%

Equipment Costs (Low)

$98,300

Equipment Costs (High)

$140,000

Working Capital

$15,500

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

LASHKIND Franchise, Inc.'s financial statements indicate that the company has been advanced funds from related parties, and these advances are non-interest bearing with no formal repayment terms. This reliance on related party financing has led to a special risk disclosure in the FDD, which explicitly states that LASHKIND's financial condition, as reflected in its financial statements, calls into question its financial ability to provide services and support to franchisees.

Financing Details

LASHKIND Franchise, Inc. does not offer any direct or indirect financing to its franchisees. This means that LASHKIND will not provide loans, guarantee a franchisee's notes, leases, or other obligations, or offer any payment plans for franchise fees or other costs. Franchisees are responsible for securing all necessary funding through third-party lenders or other sources.

Performance Metrics

Total US Locations

14

Franchised Units

12

Corporate Units

2

Avg Square Footage

850

Franchising Since

2023

Agreement Terms

Initial Term

10 years

Renewal Term

10 years

Renewal Conditions

To renew their LASHKIND franchise, franchisees must have substantially complied with all material provisions of their Franchise Agreement throughout the initial term. They must also have the right to maintain possession of their approved location, or an approved substitute, for the duration of the renewal term. All capital expenditures required to keep the Franchised Business uniform with the LASHKIND System's current standards must have been made. Franchisees must have satisfied all monetary obligations to LASHKIND and its affiliates on time and not be in material default more than twice during the initial term. They must provide written notice of their intent to renew within a specific timeframe (9 to 12 months before expiration), pay a renewal fee equal to 25% of the then-current initial franchise fee, meet LASHKIND's current franchisee qualifications, comply with any updated training requirements, and sign LASHKIND's then-current Franchise Agreement and a general release of claims against LASHKIND and its affiliates.

Training & Support Program

Franchisor Assistance

Before a LASHKIND franchise opens, LASHKIND designates a Protected Territory for the franchisee and provides criteria to help select a suitable site, which LASHKIND must approve. LASHKIND reviews and approves the franchisee's lease or purchase agreement for the site and assists with the build-out of the Franchised Business. Franchisees receive an initial orientation and training program at their location, and LASHKIND provides a confidential operations manual. LASHKIND also reviews the franchisee's Grand Opening Advertising campaign and may collect and manage these funds on the franchisee's behalf. Once open, LASHKIND provides ongoing general advice and guidance via telephone, email, and newsletters, based on its industry experience. LASHKIND may conduct periodic on-site visits to advise on operations and management. It also makes available ongoing training and changes to the LASHKIND System. LASHKIND periodically provides formats for advertising and promotional materials and approves all advertising used by franchisees. LASHKIND also provides modifications to its operations manual and may establish minimum or maximum prices for services and products.

Initial Training Hours

101

Training Location

Initial training is a hybrid program consisting of remote brand and operations training, classroom training in San Diego, California, and on-site training at the franchisee's location just prior to opening.

Ongoing Support

After opening, LASHKIND franchisees receive ongoing general advice and guidance through telephone, email, facsimiles, and newsletters. LASHKIND may conduct periodic on-site visits to consult, assist, and guide franchisees on various aspects of operation and management, preparing written reports and charging for 'secret shopper' visits. LASHKIND also provides operations assistance and ongoing or refresher training programs as deemed necessary, which may be mandatory. It communicates system improvements and provides formats for advertising and promotional materials. Franchisees are required to participate in a designated 'first-year coaching program' during their first twelve months of operation and may be required to attend annual business meetings or conventions.

Franchise Requirements

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

Protected

Territory Size Requirements

LASHKIND franchisees are granted a Protected Territory. For urban areas, the minimum size is 3 blocks surrounding the location, and for suburban areas, it is a one-mile radius. The exact size of the Protected Territory is determined by LASHKIND once the franchisee's location is selected. While LASHKIND commits not to establish or license other LASHKIND businesses within this Protected Territory, it retains the right to sell proprietary products through its website and mail order within the territory and may operate other distribution channels or competitive brands.

Staffing Notes

LASHKIND requires that its Franchised Businesses always operate under the direct full-time supervision of the owner or an approved, designated manager who has completed LASHKIND's initial training program. While owners may hire a manager to oversee daily operations, the principals of the entity (if a corporate franchisee) must still be actively involved in the daily running of the business. LASHKIND also specifies that franchisees must designate and retain the number of personnel required in the operations manual or other written communications. All employees who have access to LASHKIND's trade secrets or confidential information, including managers and professional staff, may be required to sign non-disclosure and non-competition agreements.