Nagelstudio zur Franchise-Marke ausbauen

0:00Unternehmer/Gast I own a premium nail salon in San Antonio Texas >> Awesome. >> we do 1.5 million revenue from one location. I would love it to be at 4.5 at some point. But I think this is not the goal. What's stopping me is actually me. I'm the person who's trying to be all over the place. What I was trying to do I was trying to well not was trying I am trying to build an empire pretty much an ecosystem. I'm an influencer on social media and I do really well.

0:28I'm trying to educate nail technicians build an ecosystem, right? Educate them how to do what we do then help them to build the brand on social media use our products our gel line and then eventually when they get to the point when they are ready to open their own nail salon come to us and we will help them to open a profitable nail salon. So my question is how can I structure and manage these multiple layers without losing momentum or focus?

0:57>> Yeah, I might. Yeah. >> Yeah, and without burning out. That's the key. >> Yeah. Yeah, you're doing too much. >> Because one someone told me that I cannot do that and I have to pick one lane. >> So I think everyone would be well served differentiating a vision from your plan. So if I were to say hey I need you to defend this little area around you, you could probably do it pretty okay, right? Now if I said you have to make sure that no one can come in this room, but you got to guard that door and that door, probably be harder cuz you got to run further and further. If I said you have to make sure that no one comes in the parking lot and the entire premise of this building, it'd be a little bit harder. If I said this entire block, it'd probably be close to the edge of where you'd be able to do it. Right now you're trying to protect an entire block, but it's just you.

1:45And so you have your social media side that you're doing. You have education and stuff which is the actual delivery of whatever you're selling as your marketing machine here. And then you have a brick-and-mortar store that has clients and you know, new employees and all this stuff, right? I don't think the vision for what you have is wrong. I do think that it would it would make more sense for you to just franchise the model out and then use your media as the lead gen to have people just directly buy franchises of nail salons from you as long as you nail the model.

2:14Nail it, haha. >> [laughter] >> Uh yeah, I think I think I nailed the model. >> What are your margins? >> Um so, we are at 25% of profit. >> nailed the model. >> Um so, we um it's pretty hard to increase the margins to make more profit. >> to go buy a nail salon. I've done a shitload of diligence on these. Like, I I don't care what the business is. You can for sure make it better. Number one. Number two, the reason that I'm more hesitant around the model is that you're an influencer. And so, do a lot of people come from your social media into the salon?

2:47>> Uh no. So, well well yeah, yeah. We I never I never spent uh a dime on ads uh in 5 years. >> prove something to you then? So, a normal brick and mortar business that runs paid ads will typically expect somewhere between 10 and 30% of their total revenue going towards new client acquisition. If your model were great, then sorry, if your model if you didn't have your social media and the model had to exist on its own, which is what you're going to try and sell to people, remember?

3:18>> Right. >> Then your margin would be zero. >> Well, we are teaching nail technicians how to build their own brand as well because we offer >> You still have a salon, right? That's the 1.5 1. Yeah. >> Yeah, but clients they come uh not because they saw us only on social media, of course, because of word of mouth. We offer an exclusive service, something that no one else offered.

3:42Alex >> But the salon, just so I'm clear, is the salon a nail salon training school or is the salon like you do people's nails? >> We do people's nails. >> Okay, yeah. I'm still I'm still I stand by my first thing. >> Okay. >> Okay. So, we have to improve the model >> Mhm. >> a lot actually. >> Mhm. >> So, we would like you need to get the model to call it 30 or higher and it not be dependent on your your social media to get customers in.

4:08Alex And so, I would know that you had a good model if you said we can't accept new new new nail customers because all of my techs are fully staffed and I have no more chairs and so I'm thinking about do I expand this location >> Mhm. >> or do I do some virtual thing? That would be the questions you'd be asking me if the model was nailed. >> Mhm. Well, at the moment we are fully booked. My issue is >> a big social media influencer, so it's it's different. No, I'm being real. Like >> was not social media influencer all the time, you know.

4:35Alex >> So, were you completely booked out before you social media influencer? Okay. I still don't like the margins. >> So, I would say about 50% goes towards the labor to cover nail technicians paychecks, to cover manager, to cover the recep- to cover the receptionist and I perfected over the time because it used to be 70%. Uh 70% of uh the revenue went towards the uh yeah, went towards the labor only. So, we were not profitable. Then I perfected a little bit, increased the prices twice, and it got better. So, and so far it works for nail technicians because they make really really good money.

5:10>> Yeah, and that's the only way nail salons work by the way. >> Mhm. >> Um Man, I know so much about nail salons. Um I I don't I want to pop the hood and like get really deep, but it'll be not useful to anybody else here. Um >> Long term, I think the play is this needs to get more nailed. I just want to keep saying nailed. Um needs to get more nailed and then we need it basically we need to pull you completely out of it so that it truly runs on its own actually and then you'll put more and more time on the social media side so you can create a national sales motion

5:45>> Mhm. >> to sell people this model >> Mhm. >> and then you'll have a banger of a business. >> Okay, so >> Like you're you're like you're you're close. You have like a couple pieces that are missing, but you have a very valuable infrastructure. >> Mhm. >> You have the right pieces. You have ultimately the product. >> Mhm. >> Franchise sales, right? Yeah. Uh you have a good product >> Mhm. >> and you already have a demand generation machine. So, you have the pieces. We just need to like tweak some of these things >> Mhm.

6:10>> uh so that when they connect money pours out in big chunks on the other side. >> Okay, perfect. Thank you. >> But you're you're super close though. >> So, but do you think it's even possible to manage like multiple like being a coach, being a salon owner, and >> Well, I want you just to erase the word coach from your vocabulary. >> Okay. >> Yeah. So, fundamentally you're going to be an educator online. >> Mhm. >> And then when people say they want to work with you, you're going to say, "I have this $250,000 franchise. You're welcome to buy it, and then I will help you because I will get a percentage of sales forever."

6:39And then you'll be super incentivized, and it'll be really high quality people, and you'll make plenty of money. And if you do that well, which does take some ops, >> Mhm. >> um then you will have you will be able to scale using other people's capital. I mean, fundamentally franchising is just a it's it's just a capital play so that you can open up a hundred locations or a thousand locations over the next ten years um and build something that's really big and really special. >> I was thinking >> you have a lot of the pieces.

7:04>> Uh I was thinking about franchising, but I don't know if it will work because we offer extremely detailed work, and it's really hard to control the quality. So, I feel like someone someone who runs that franchise has to have exactly the same knowledge in this particular technique as I have, but >> Training. >> Train them. >> And that sounds like a hard thing. >> It is. It is. >> But you get what I'm saying where I started with? >> Mhm. >> Like that's your hard problem.

7:30>> Okay. >> And then you'll get paid a hundred million dollars for solving it. >> Okay. >> It's solvable. The good news is that you're AI proof. So, like there's always pros and cons with all this stuff. Like in your business, I mean now if there's also like robots that'll come in and start doing nails and you train them once and then you're good to go. Like the thing is we like this is happening now just for everybody. The next 5 years is going to be [ __ ] nuts and all of business is going to change. It's gone from, you know, I mean, imagine the internet coming again, right? Like that's kind of what's happening and as soon as AI reaches bought like humanoid robots, um like you you will literally train one of these staff techs one time and then they will do it perfect every time.

8:13And then your optimist, you can finance for $200 a month. And it works 24/7. >> Yeah. >> So like there are changes that are going to be coming down the line. I do think that you being really really good at training um nails and the reason that I was going to buy the nail salon um the chain that I was going to buy was because of this. So if you have a service-based business, they had a gamified system for getting the girls up to six figures a year which was huge for girls who just like didn't even have high school diplomas. Like they were loyal as hell. The you know, they took care of the customers. The customers never left. They priced accordingly. They were running 43% net margins. They had five locations um and they were doing more revenue than you're doing. And so per location and that was against across multiple not with the founder magic with no social media influence. So that's why I'm saying like I know there's a whole bunch more inside of your business that we can make better.

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