For Robina Marie Ko, experience is still the best teacher. At age 21, fresh out of college, she took over the family’s hair salon franchise. The self-confessed kikay took to the business well. “When the franchise was sold to us, it was making around P300,000 ($6,301.13) a month. When we took over, it reached P700,000 ($14,702.80),” she said.
Still, Ko had problems with their franchisor. “There was conflict of ideas. They prohibited us to do a lot of things, particularly in marketing. At that time, we already wanted out, but we were still under contract,” she recalled.
A salon franchise on the rise
Her father decided to put up their own hair salon after the contract ended in 2010. Thus, Status Hair Salon was born in November 2011, with Ko and her sister Roseann running the show. Ko poured her knowledge and frustrations into the salon, turning it into a young and hip salon that she always wanted. “I realized that I'm a better fit as a franchisor than a franchisee.”
Ko's so bullish about the business, she opened the hair salon for franchise in June 2015. Using her experience as a franchisee, Ko cobbled together a franchise package she feels will be attractive to franchisees.
The salon’s franchise package starts at P500,000 ($10,503.97), with the franchise and royalty fees waived for the first three months. “We want our franchisees to have the orientation that this is not just for us to make money from them. We want them to sustain and really grow the business. Through that, I believe they will get more value from this later on,” she said, adding Status Hair Salon already has three franchisees in the pipeline.
A one-stop urban salon
And the value extends to their clients as well. Designed to be a one-stop shop, Status Hair Salon boasts of a full range of services, including hair cutting and coloring, waxing, eyelash extensions, manicure and pedicure, as well as traditional and air-brush makeup for all occasions.
They have also been able to keep prices down as their staff are trained to carry out different duties, allowing the salon to keep employee numbers down. The salon also carries in-house product lines to keep costs of inventory manageable.
Total investment: Starts at P500,000 ($10,503.97) for a 20-square-meter salon
Contract term: 5 years
Inclusions: Use of trademark, name, and logo; training; construction and renovation; four stations for clients; furniture and fixtures; initial salon supplies; marketing collaterals, among others
Status Hair Salon
Unit 17B, 17F Olympic Heights Tower 1
Eastwood City, Bagumbayan, Quezon City 1110
+63 998 577 6880
This article was originally published in the June 2015 issue of Entrepreneur Philippines magazine.