Frequently asked questions:
Do I need any experience in this business?
Retail business experience or any prior business ownership is not necessary. You do not need to be a hair stylist to run this business. Chop Shop offers a comprehensive training and support package to enable any motivated individual regardless of their background. The franchise partners, who will be most successful in the Chop Shop business, are people with a positive attitude and excellent communication skills. We are looking for people who have a very strong desire to be successful in their own business. One must appreciate and recognize the value of working within a franchise system and team environment.
Who are the owners of Chop Shop?
Co-founders Michael Procter and Daniel Hudon have known each other since childhood and have been friends for 20 years. Michael Procter has a knowledge base and understanding of systems, operations and customer service. Daniel Hudon has been a hairdresser for over 17 years and has trained with some of the top stylists in the industry. Together they opened the first Chop Shop in 2005 and it became an instant success. They since have opened four Chop Shop locations in B.C. and are featured in a nationwide television series of the same name.
Who are Chop Shop’s typical customers?
Chop Shop currently service a loyal clientele of young and affluent customers ranging from 18 – 35. The Chop Shop can offer something for everyone, a quality customer experience that is both professional and unique. Our exclusive products and services are here to serve a wide range of customers of all ages and walks of life. Specializing in everything from timeless classics, to cutting edge styles, and daring to set new trends.
What is the greatest strength of Chop Shop?
Our greatest strength is our ability to provide a professional hair service in a unique atmosphere. We pride ourselves on attention to detail and quality control, however we still keep the shop fun and relaxed. We pride ourselves on our independent spirit, which has really set the Chop Shop apart from any other business.
How do your prices compare to the market place?
The Chop Shop is proud to provide a great service at an affordable rate, providing quality and customer care. With it's affordable pricing the Chop Shop targets the value conscious customer.
Who determines new locations?
Team Chop Shop! We employ a team of real estate and location experts who have connections in locations with outstanding potential.
Does Chop Shop offer training and support for its franchise partners?
Absolutely. The key to success with us is the excellent training and support we provide. We offer instruction broken into easy to digest program modules, along with training in our headquarters covering all facets of our business systems and operations. In addition, we will spend time on-site to help you open your new Chop Shop. This instruction will include a full range of educational programs focusing on a wide variety of techniques i.e. colouring, cutting, customer service and everything in between. It is our mandate that education and proper training is the foundation of everything we do.
How are you involved in your local communities?
The Chop Shop prides itself on growing sustainable roots within the communities it serves. We support local artists, community groups and have been a part of many different charities through the years.
How Green is Chop Shop with the environment?
The Chop Shop participates in all local recycling programs plus we offer a rebate on the return of any empty Chop Shop products.
Is there an operations manual?
An operations manual is provided to all franchises and sets out the procedures and systems in place to operate a successful Chop Shop franchise. Our operations manual is confidential and proprietary documentation and only authorized franchise partners will have access to this valuable information.
How do I order my inventory and hair products?
Most products are purchased directly from the Chop Shop Head Office distribution centre. Brands not supplied through Chop Shop Head Office are purchased through a variety of authorized distributors that we have predetermined payment terms and discount structures with.
What is the initial franchise fee?
The initial franchise fee is $28,000 paid in full on the signing of the franchise agreement. It covers the right to use the brand and systems, exclusive rights to sell our total line of Chop Shop products and resources associated with the agreement.
How much are the royalties?
Royalties are 6% of gross sales payable per month. This covers ongoing training and support and marketing initiatives through Chop Shop resources.
What type of advertising does Chop Shop provide and what does this cost me?
Chop Shop provides an advertising budget annually and will provide direction on the recommended spending within your local area.
The cost of this advertising is 1% of sales per month for your 1st year and 2% of sales in your 2nd and following years.
We will match your approved advertising campaign up to 100%.
What is involved with a new store’s Grand Opening advertising program?
The Chop Shop has opened each new location up with a bang! This being said, each franchise agreement allocates a budget for a grand opening promotional program. These funds are targeted specifically to raise awareness toward the opening of a new store.