Good Morning Wolf Pack,

Today’s newsletter highlights Uni K Wax, a franchise brand built on a proprietary wax formula nobody else has, and a recurring membership model that turns one-time customers into monthly regulars.

Enjoy!

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FRANCHISE OF THE WEEK

Uni K Wax

Fast Facts

Background

• HQ: Aventura, Florida

• Founded in 1993, franchising since 2006

• Uni K Wax operates unisex waxing studios built around a proprietary, all-natural elastic wax applied at body temperature, with locations concentrated in Florida and New York

Location Trends

Franchise Fees

• Royalty: 7% of gross sales

• Brand Fund: 2% of gross sales

• Franchise Fee: $49,500 for a first studio (multi-unit discounts available at 3+ licenses)

Financial Overview

The below chart discloses information on Uni K Wax franchised locations that were open and operating for the full 2023 calendar year.

The Wolf's Take

Uni K Wax has been doing this for over 30 years, and now it's got the needed support behind it.

Conscious Capital Growth and Exaltare Capital bought in back in 2023, and the executive chair is the same person who scaled Amazing Lash Studio from 70 units to over 200 before its sale.

The proprietary elastic wax applies at body temperature and stretches across larger sections of skin, which means faster sessions and a completely different customer experience than a standard hard-wax salon.

Add a membership model on top of that, and you've got recurring revenue in a category people used to treat as one-off.

It’s probably worth pointing out, though, that the spread between top and bottom performers is wide.

Top-third studios are clearing over $1M, but the bottom third sits around $435,000, and that's a meaningful gap depending on which territory and which operator you land next to.

At a $366,000 to $635,000 investment, you want to be landing closer to the top third, rather than the bottom.

The brand is also only 34 locations deep, all concentrated in Florida and New York, so you're betting on a national expansion plan (50 new studios a year) executing, instead of a system that's already proven itself across dozens of markets.

Overall, this is a legitimate beauty-industry niche with the right backing.

Resources

• Uni K Wax Franchise Opportunities

• Why This Franchise Exec Decided to Buy Uni K Wax — Entrepreneur

SMB TWEET OF THE WEEK

Lifestyle Businesses - Justin Welsh

This tweet from Justin Welsh should be a constant reminder for people building a business who have been fed this idea for years that you need to make hundreds of millions to be successful.

More than ever, the ultimate luxury is having more free time to spend with the people and hobbies you care about.

WOLF BITES

• NASA's Perseverance rover just completed a full marathon on Mars 🚀

• DeepSeek is reportedly in talks to raise $1.5B ahead of a possible IPO 💰

• IBM stock just had its worst trading day since Black Monday 1987 📉

• Seven teenagers told NPR what it's like growing up with AI 🎓

• Wall Street is suddenly pricing in real odds of a Fed rate hike this month 📈

• House passes bill to ‘ditch the switch’ and make daylight saving time permanent ☀️

• England faces Argentina in World Cup semi final with winner set to play Spain ⚽

That’s it for this edition of The Wolf Report. Feel free to reply with any questions or feedback. Thanks and see you next week!

— The Wolf