Franchise Details;

Directwigs.com is the retail arm of Perfection Hair UK Ltd, which has been supplying wigs and hair pieces to trade customers for over 15 years.

In 2003 we saw an opportunity to use the internet and mail order to deal directly with clients in a way that gives them access to our full range of wigs and hair pieces in a comfortable and confidential manner. We established directwigs.com to fill this gap in the market and, in just 2 years, our sales growth has led to a need to expand the retail coverage in the UK. We are making directwigs.com available as a franchise to selected individuals who can help us to meet customer demand.

The market for wigs and hair pieces is in growth. Wigs, hair pieces and extensions have increasingly become a fashionable and desirable accessory in the past 2 decades. Modern lifestyles and life choices lead many people to use them on either a permanent or temporary basis. The growth is also driven by the unfortunate incidence of natural or medically triggered alopecia, and the side effects associated with cancer treatments.

Both Perfection Hair UK Ltd and directwigs.com were founded by Dr Michael Ross PhD who continues to run them to this day. Dr Ross has over 30 years experience in the hair care sector in which he is well known and respected. His knowledge spans all areas of hair loss and includes hair treatments and transplants as well as the cosmetic remedial solution offered by wigs and hair pieces.

His work in Harley Street, giving help and advice to hair loss sufferers, has given him valuable insights into the needs of people using wigs and into product design and quality standards.

Our franchise pack provides all the information you should need to decide whether this is the business format for you.

On the following pages we explain what a franchise is, what the directwigs.com franchise can offer you, including likely franchise costs and income, and how to progress this opportunity.

The directwigs.com product range includes wigs, toupees, and hair pieces.

We offer over 200 styles for men and women, all of which can be supplied in any of over 30 colours. The range we offer means that our customers can achieve a look which replicates their own natural style and colour or they can choose to make a fashion statement with a complete change of length, colour or style.

All our styles are available in fibre which gives customers good quality at an affordable price. As many of our customers prefer to invest more to achieve the best possible, tailored result, we offer the service of made to order in human hair which can be combined with a colour matching option.

The benefit we offer customers extends beyond our extensive range and bespoke services. To wear a wig, toupee or hair piece with confidence, it needs to be comfortable and natural looking. We achieve this by using a very thin, transparent, monofilament

mesh which can be covered with a lower density of fibres or hairs. This gives an amazingly natural finish which is so much more discreet and comfortable than traditional designs.

The retail price of our products is a key factor in our success. We know that our franchisees need to remain competitive and that our customers will look for affordability and value. Our retail prices start from just £40 for ladies fibre wigs and £119 for made to order wigs in human hair. Our range for men is available from £60 for wigs and £99.95 for toupees.

Underpinning the quality and value of our product range is our Customer Satisfaction Guarantee. We offer customers the choice of a full refund or product exchange on all standard wigs, toupees and hair pieces.

Whilst this offer cannot be extended to the made to order items, we do encourage customers to purchase and try their preferred style in fibre first and to return it to us with their bespoke order.

With a franchise you are buying a business format.

What that means is that a well-established company, in this case directwigs.com, is offering the opportunity to trade under its name and branding.

The advantage of a franchise for a potential franchisee is that the business model is tried and tested. The franchisor will already have gone through the risky early months of establishing a brand new business idea. They will have invested time and money into brand design, product development and marketing communications. They will also have investigated supply routes, and have an established and cost-effective supplier base, meaning you do not have to do this.

By choosing to invest in a franchise, you take out some of the x-factor of starting your own business. There is already a product with a proven market and a tested business model.

That does not mean that there is no risk involved in setting up a franchise, but the risk is normally lower than in setting up your own business from scratch.

For a person with the right attitude and skills, it is an ideal route into self-employment.

Who can run a franchise?

In theory, anyone can run a franchise. However, you will need to have a positive attitude to self-employment and an aptitude for growing your customer base.

You need to be able to commit to the working hours required to fulfil the franchise agreement and to put in a consistent level of work. Ideally self-motivated, you will have good interpersonal skills, a commitment to good service and an understanding of customer care.

Generally, you need the skills and attitude which would be required of anyone working in a retail environment.

There are no lower or upper age limits for someone to operate a successful franchise – it is all about having the right attitude, the right skills, and the right training. You bring along the attitude, and the franchisor helps you with the training.

We are offering directwigs.com as a franchise opportunity because we simply cannot reach all the potential clients in the country.

We will offer you an exclusive geographic area, with no other directwig.com franchisees operating in it.

There are different levels of franchise available, offering you the flexibility to invest at a level which suits you. This also allows you to plan to work the hours you want according to your income needs.

You can run your franchise in a number of ways:

• From home with clients making appointments

• As a mobile business – taking stock to customers

• From stands at exhibitions or fairs

• Within a hairdressing or beauty salon

• From your own retail unit – small or large

The size of the exclusive area will reflect the level of franchise you select– so if you are investing in a mobile unit, then your exclusive territory will be smaller than someone operating from a large retail premises.

Unlike many franchises, you can choose to work either full time or part time.

You do not need to be a hairdresser.

The flexibility of the business allows you to start a smaller, mobile or home based franchise and move to premises once you have built up your client base, or to start straight away from a retail base.

If you chose to start from a home based or mobile unit, you will need to hold a driving licence and to have a car or van with load capacity for 1 – 2 large samples boxes .

You will need to generate your own customer base as well as developing the leads which come through our website.

Whilst we have a steady source of customers looking for an outlet, these leads will not make the business sustainable on their own.

Franchise Costs.

The start up cost of a directwigs.com franchise is £4,000. In addition to this, there is an on-going cost linked directly to the sales levels you achieve. The on-going cost equates to 7% of your sales value and is payable monthly.

On top of the franchise fee, you will need to purchase opening stock to use as samples and for display purposes. We offer three levels of opening stock:

So, the minimum franchise cost to get you started is £6,000.

In addition to the cost of the franchise, there may be other expenses to meet such as purchasing a car or van, and leasing your premises.

Franchise Income  

It is hard for us to forecast your income. It will depend on a range of factors all of which are specific to each franchisee:

• the level of franchise you choose
• whether you work on a full or part time basis
• the mix of products you sell
• how quickly you establish a client base
• how many clients, and therefore sales, you win 

We would predict that income achievable in the first year could be as much as £7,000 for a mobile unit and £40,000 for a large retail outlet.

As the profit margin achievable varies by the type of product, you can influence your profit levels by managing the product mix you sell. We have provided some examples of sales and profit which you can use as a base for your business plan. Please note that these figures do not take account of overheads such as vehicle lease or purchase, premises lease or purchase and the ongoing operating costs .

on around 3 sales per week, you could turnover £24,000.00 with a profit of around £7,000.00, or on 8-9 sales per week you could turnover £116,000.00 and a profit of £45,000.00, or recoup your £6,000.00 franchise cost in around 7 weeks.

We recommend that you discuss your business plan with your accountant or bank manager.

If you are interested in a directwigs.com franchise and want more information then please contact us and we will be happy to di scuss any questions you might have.

If you have decided that you would like to progress with a directwigs.com franchise, please complete the enclosed information form and return it to us.

We will then send you further confidential information, while considering your application.

Once your application has been approved, the next steps are:

• We agree with you:

• the level of franchise which suits you
• your trading location
• the size of opening stock you require

We can then confirm the cost of the franchise which allows you to arrange finance if necessary.

• We agree with you the size and parameters of your exclusive trading area.

• You establish your business – we can give you advice at this stage, but you should also consider appointing an accountant and solicitor to guide you through the early stages of your business.

• We draw up the franchise contract which both of us sign.

• We deliver pre-franchise training.

• We agree your opening order with you and deliver your stock and stationery.

• We deliver setting-up training.

• We provide a client list and leads for your area, and advice to help you construct an appropriate marketing plan.

• You start running your business

• We meet within 2 months to see how you are managing, and provide any further support.

Any Other Questions?

Please feel free to contact us with any query you have that is not covered in this document or for a general discussion about our franchising opportunities.

By post:

P.O. Box 1006 , Swindon. SN3 6BE

By email:

franchise@directwigs.co.uk

By phone:

01793 632152

Application Form

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