Newly formed Atlanta-based private equity firm 10 Point Capital has made a minority investment in Phenix Salon Suites, one of the fastest-growing salon suite franchises in the beauty industry.
WHO: Phenix Salon Suites was launched in 2007 by Gina Rivera in Colorado Springs to provide stylists all the benefits of salon ownership without the expense and hassle. Under the Phenix Salon Suites model, franchisees transform approximately 5,000 square feet into 28-30 individual luxury suites. Each suite is equipped with everything needed to successfully run a salon business at a fraction of the cost. Suites are available to nail technicians, massage therapists, aestheticians, chiropractors, and other service professionals creating a one-stop shop for spa-type services and treatments. Phenix Salon Suites is one of the fastest-growing salon suite franchises in the beauty industry with 200 locations in 26 states and a thriving community of over 5,000 stylists. Franchisee candidates are required to have a net worth of at least $550,000 and liquid capital of over $200,000. The total initial investment ranges from $282,600–$937,500, which includes a $45,000 franchise fee.
10 Point Capital is a private investment group focused on partnering with founders and operating executives of multi-unit and franchise businesses. The Group has deep roots in the franchise industry, 10 Point Capital invests in visionary leaders to build dominant brands. 10 Point Capital helps emerging brands accelerate their growth, not only by providing investment capital, but also using proven strategies to help them evolve into mature, thriving brands.
WHY: The capital infusion will fuel Phenix’s nationwide expansion as part of its aggressive plans to grow to 1,000 locations over the next five years.
IN THEIR OWN WORDS: “Founder Gina Rivera is an icon in the beauty industry known not only for her flare for style, but also for her keen business acumen. Her Phenix Salon Suites make the old ‘booth/chair rental’ model obsolete and make salon ownership a viable option for salon professionals,” said Tom Wells, Managing Partner at 10 Point Capital. “Her revolutionary idea has sparked considerable growth and we’re excited to join alongside her to further develop the Phenix brand and make this exciting concept available to even more salon professionals.”
“The 10 Point Capital team brings not only capital, but also an established track record for transforming emerging brands into great franchised brands. We’re thrilled they see the enormous growth potential of Phenix Salon Suites,” said Rivera, who comes from a family of salon professionals with over 85 years of salon industry experience. “Working closely with the 10 Point team, we can leverage their franchising knowledge and network to ignite franchise development, open more locations, and provide even more stylists the opportunity to own their own business.”
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