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Beauty franchises: Laser Clinics Australia

Sarah Stowe

If you’re looking to purchase a beauty franchise, Laser Clinics Australia (LCA) is a leading beauty brand with a unique franchise model. LCA franchises run an owner/operator model. Image: LCA  

Specialising in candela laser hair removal services and cosmetic injectables, Laser Clinics Australia targets a core demographic of teenage girls to women and men in the 50s bracket.

Tim Sinclair, general manager, says that LCA entered the industry six years ago with four brand value propositions: treatments that work, convenience, safety and value.

Trends in the US and Europe are important in the development of services, particularly for cosmetic injectables. Sinclair says the brand is across the trends from equipment suppliers.

Franchisee profitability is encouraged with LCA’s unique franchise model; 50 percent company ownership, and 50 percent franchisee ownership.

“If the franchisee doesn’t make money, we don’t make money,” says Sinclair.

LCA franchises run an owner/operator model, meaning that franchisees need to work in the franchise. Multi-unit franchising requires franchisees to physically work across all their outlets. Sinclair says that word of mouth and subsequent special offers to clients drives growth.

And sites also play a part.  

“The majority of clinics are in shopping centres and high foot traffic areas with high visibility,” says Sinclair.

An LCA franchise starts at an initial investment cost of $420,000 (with 50 percent share with the company) for a five to six treatment room clinic.  Initial costs cover starting franchise fees, fit out, furniture, IT set up, equipment, retail and professional stock.

“We now offer the option for the clinic to apply for finance on the laser equipment.”

Sinclair says the major challenge that come with being a franchisee are that the lifestyle benefits of running a business are not upfront, so there are some hard yards at the start, especially when managing a single gender workforce (female) in the 18-25 age bracket. He adds that common misconceptions about buying a beauty franchise are that a beauty background is needed.

In fact, he says an ideal franchisee is passionate about service, understands the importance of selling, has good people skills, and understands business fundamentals.

His advice for potential franchise buyers looking for a beauty franchise is to look for high demand systems and speak to existing franchisees.

“Weigh up the competitive offers in the same space,” he advises.

Sound like your kind of franchise? Take the next steps to becoming a Laser Clinics Australia franchisee.