Sola Salon Suites is one of the fastest-growing salon suite franchise concepts in the United States, giving independent beauty professionals a turnkey space to build their own brand without the overhead of a traditional salon. But opening a Sola Salon Suites location requires serious capital, and many aspiring franchisees are surprised by how much funding they need to get started. Whether you are a first-time franchisee or an experienced operator expanding your portfolio, understanding your financing options is the first step toward making your Sola Salon Suites investment a reality.
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Founded in 2004 in Denver, Colorado, Sola Salon Suites pioneered the salon suite rental model that transformed the beauty industry. Instead of working behind a chair at someone else's salon, beauty professionals lease their own private suite inside a Sola location and run their business independently. The franchisee owns and operates the building, collecting rent from stylists, estheticians, nail technicians, massage therapists, and other beauty professionals who occupy the suites.
As of 2024, Sola Salon Suites has more than 600 locations across North America and is consistently ranked among the top franchise opportunities by Entrepreneur Magazine and other industry publications. The model is attractive because the franchisee does not need to manage stylists or handle payroll for beauty professionals. Revenue comes from suite rental income, making it more of a real-estate-meets-franchise play than a traditional service business.
The brand's rapid expansion and consistent performance have made it a compelling choice for investors looking to enter the beauty services industry. However, the buildout-heavy nature of the business model means financing is almost always required.
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Apply Now ->Before you apply for a franchise loan, you need a clear picture of how much the Sola Salon Suites investment will cost. The total investment varies based on location, square footage, and local construction costs, but the Franchise Disclosure Document (FDD) provides ranges that give you a solid planning baseline.
Initial Franchise Fee: The upfront franchise fee for a single Sola Salon Suites unit is approximately $55,000. This fee grants you the right to operate under the Sola brand within a protected territory.
Leasehold Improvements and Buildout: This is by far the largest cost driver. Converting a retail or commercial space into private salon suites requires significant construction work, including framing individual suites, installing plumbing and electrical systems, flooring, cabinetry, lighting, and HVAC modifications. Depending on the size of the location, leasehold improvements typically range from $400,000 to $1,000,000 or more.
Equipment and Furnishings: Each suite must be equipped with salon-grade fixtures, mirrors, styling chairs, wash stations (in some suites), and storage. Equipment costs across a full location can range from $75,000 to $150,000.
Technology and Software: Sola provides franchisees with access to proprietary booking platforms and management tools. Technology-related startup costs are typically between $10,000 and $25,000.
Working Capital: Lenders and Sola itself recommend holding three to six months of operating expenses as working capital while the location fills to capacity. Budget an additional $50,000 to $150,000 for this reserve.
Total Estimated Investment Range: Most Sola Salon Suites franchise agreements indicate a total initial investment between $684,000 and $1,800,000, making this a mid-to-high capital franchise entry.
Important Callout: Why Costs Vary So Much
Location is the biggest driver of cost variation. A Sola franchise in a major metropolitan area like New York City or Los Angeles may cost significantly more due to commercial real estate prices and labor rates. A location in a mid-size Sunbelt city may come in at the lower end of the range. Always get competitive contractor bids and negotiate aggressively on your lease terms before finalizing your financing request.
Because the total investment is substantial, most Sola Salon Suites franchisees use a combination of financing sources rather than a single loan. Here is an overview of the most common options:
The Small Business Administration's flagship loan program is the most popular option for franchise financing across the country. SBA 7(a) loans offer amounts up to $5 million, competitive interest rates, and repayment terms of up to 10 years for working capital or up to 25 years for real estate. Because the SBA partially guarantees the loan, lenders can offer more favorable terms than conventional business loans. Learn more about SBA loan programs on SBA.gov.
If you are purchasing commercial real estate to house your Sola location, the SBA 504 program may be an excellent fit. It combines a conventional loan from a bank with a second loan from a Certified Development Company (CDC), with the SBA backing the CDC portion. This structure allows you to finance large commercial real estate purchases with as little as 10 percent down. Our SBA loan specialists can help you determine whether the 7(a) or 504 program is right for your situation.
Some franchisees with strong credit profiles and significant collateral can qualify for conventional commercial loans without SBA backing. These loans may close faster than SBA loans but typically require larger down payments and carry shorter terms. Small business loans from alternative lenders may bridge gaps or supplement primary SBA financing.
A revolving business line of credit is ideal for managing cash flow during the lease-up period when your location is not yet at full occupancy. Rather than drawing a lump sum, you access funds as needed and repay them as suite rental income increases. This flexibility can be a lifesaver in the early months of operation.
Salon equipment, furniture, and fixtures can often be financed separately through equipment financing arrangements. Because the equipment serves as collateral, these loans typically have lower rates and do not require you to tie up other assets. This frees up your primary loan proceeds for the buildout and working capital.
Sola Salon Suites has relationships with preferred lenders familiar with the brand's FDD and financial model. While these relationships can speed up the approval process, it is always worth shopping multiple lenders to ensure you are getting the best possible terms for your situation.
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Apply Now ->SBA loans are the gold standard for franchise financing, and Sola Salon Suites qualifies as an eligible franchise under the SBA's Franchise Registry. This registration streamlines the approval process because lenders do not need to independently review the franchise agreement for compliance with SBA requirements.
Here is what you can expect from the SBA loan process for a Sola franchise:
Down Payment: SBA 7(a) loans typically require a 10 to 20 percent equity injection from the borrower. On a $1 million project, that means you would need to bring $100,000 to $200,000 in personal funds or other equity to the table. According to Forbes, SBA loans remain the most sought-after financing option for new franchise owners due to their low rates and long terms.
Interest Rates: SBA 7(a) loan rates are variable and tied to the Prime Rate, with a lender spread of 2.25 to 4.75 percentage points. As of mid-2026, effective rates for SBA 7(a) loans are typically in the 8 to 11 percent range, depending on loan amount and term.
Repayment Terms: For franchise buildout and working capital purposes, terms of 10 years are most common. If commercial real estate is included, terms can extend to 25 years, significantly lowering monthly payments.
Timeline: SBA loans can take 60 to 120 days from application to funding. If you need faster access to capital for lease commitments or construction timelines, consider a fast business loan as a bridge while your SBA loan is processed.
What Lenders Look For: SBA lenders evaluating a Sola Salon Suites loan will closely examine your personal credit score (typically 680 or higher preferred), your liquidity, relevant management experience, and the strength of your market analysis. Having experience in real estate, property management, or the beauty industry can strengthen your application.
Pro Tip: Franchise Registry Advantage
Because Sola Salon Suites is listed on the SBA Franchise Registry, lenders can skip certain review steps, potentially shaving weeks off your approval timeline. Always confirm your lender is SBA-preferred or SBA-approved to take full advantage of this.
The physical build-out of a Sola Salon Suites location is what makes it such a capital-intensive franchise. You are essentially converting a raw commercial space into dozens of professionally appointed private studios. This work involves licensed contractors, specialized trades, and custom millwork that can take months to complete.
Separating your equipment and fixture costs from your primary loan can be a smart strategy. Equipment financing allows you to:
Common items financed separately through equipment financing include styling chairs, wash stations, portable sinks, salon carts, storage systems, point-of-sale hardware, and security and camera systems. Depending on the number of suites in your location (most Sola locations have 25 to 70 suites), equipment costs can easily exceed $100,000, making this a meaningful separate financing opportunity.
According to CNBC, equipment financing approval rates tend to be higher than general business loans because the asset itself serves as collateral. This can benefit franchisees who are still building their credit profile or have most of their liquidity tied up in the equity injection for their primary loan.
Preparing a strong loan application for a Sola Salon Suites franchise is a project in itself. Lenders will want to see a comprehensive package that demonstrates your creditworthiness, business acumen, and the viability of your specific location. Here is what you should gather before approaching any lender:
Personal Financial Documents:
Business Documents:
Credit Profile Requirements:
If your credit history has some challenges, you may still qualify through alternative lenders. Crestmont Capital offers bad credit business loans and works with franchisees across the credit spectrum to find solutions that fit their situation. A co-borrower with strong credit or additional collateral can also help offset credit challenges.
According to Bloomberg, the franchise lending market has become more competitive in recent years, with more lenders specializing in franchise-specific underwriting. This specialization means franchisees often get better terms by working with lenders who truly understand the salon suite business model.
Common Mistake: Underestimating Working Capital Needs
Many first-time franchise owners focus all their energy on securing enough money to build out the location and forget that salon suites take time to fill to capacity. Most Sola locations take 6 to 18 months to reach 80 to 90 percent occupancy. Budget generously for operating expenses during this period. Running out of cash before reaching breakeven is the leading cause of franchise failure, not the initial buildout costs.
Sources: Sola Salon Suites FDD, SBA.gov, Crestmont Capital Research
At Crestmont Capital, we specialize in franchise financing and understand the unique financial structure of the Sola Salon Suites model. Unlike generalist lenders who may not be familiar with the salon suite concept, our team has helped salon suite franchisees across the country secure the capital they need to open and grow their locations.
Here is what sets us apart:
Franchise Expertise: We understand that Sola Salon Suites operates differently from a traditional service business. Your revenue comes from suite rentals, not from selling beauty services directly. We know how to model this cash flow and present it to lenders in the most favorable light.
Multiple Loan Products: We work with dozens of lending partners and can match you with the right loan product for your specific situation. Whether that is an SBA 7(a) loan, a conventional commercial loan, equipment financing, or a bridge line of credit, we have options for every stage of your franchise journey.
Speed and Simplicity: Our streamlined application process gets you to a decision faster than going directly to a bank. For franchisees with strong profiles, we can often provide term sheets within 24 to 48 hours. For those who need SBA financing, we manage the process end-to-end so you can focus on site selection and construction planning.
Competitive Rates: Because we work with a wide network of lenders, we create competition for your loan, which drives down rates and improves terms. We never charge you for shopping your deal; we earn our fee from the lender upon closing.
Support from Application to Closing: Salon suite franchise loans involve a lot of moving pieces: the FDD review, lease negotiations, contractor bids, pro forma preparation, and lender underwriting. Our dedicated franchise lending team walks you through every step so nothing falls through the cracks.
Ready to get started? Apply now and a Crestmont franchise lending specialist will contact you within one business day to discuss your options.
The total investment to open a Sola Salon Suites franchise typically ranges from $684,000 to more than $1.8 million, depending on location size, real estate costs, and local construction rates. The initial franchise fee is approximately $55,000, with the majority of remaining costs going to leasehold improvements and buildout.
Can I get an SBA loan to open a Sola Salon Suites?Yes. Sola Salon Suites is registered on the SBA Franchise Registry, which means lenders can approve SBA loans for the franchise more efficiently. SBA 7(a) loans are the most popular choice, offering up to $5 million with competitive rates and terms of up to 10 years for working capital or 25 years for real estate.
How much money do I need to put down for a Sola Salon Suites loan?Most lenders require an equity injection of 10 to 20 percent of the total project cost. On a $1 million project, that means you would need $100,000 to $200,000 in personal funds. Conventional loans outside the SBA program may require a larger down payment of 25 to 30 percent.
What credit score do I need to qualify for a Sola Salon Suites franchise loan?Most SBA lenders prefer a personal credit score of 680 or higher for franchise loans. Some alternative lenders may work with scores as low as 600 to 650. A higher credit score generally results in better interest rates and more favorable loan terms. If your score needs improvement, Crestmont Capital can help you explore your options regardless of credit history.
How long does it take to get a franchise loan approved?SBA loans typically take 60 to 120 days from application to funding. Conventional business loans may close in 30 to 60 days. Alternative lenders and bridge financing can sometimes fund in as little as a week. The timeline depends on how prepared your documentation package is and how efficiently your lender processes the application.
What documents do I need to apply for a Sola Salon Suites loan?You will typically need three years of personal tax returns, a personal financial statement, bank statements, a copy of the Sola Franchise Disclosure Document, your franchise agreement or letter of intent, a site lease or letter of intent, contractor bids for the buildout, and three-year financial projections. The more organized your package, the faster your approval will move.
Can I use equipment financing for salon suite fixtures?Yes. Styling chairs, wash stations, salon carts, storage systems, and technology hardware can all be financed through equipment loans. Equipment financing is often approved faster than SBA loans and can preserve your working capital for operations during the lease-up period.
Do I need prior salon or beauty industry experience to get a loan?Not necessarily. Because Sola Salon Suites is a real-estate-model franchise, experience in property management, real estate, or general business management is often viewed favorably by lenders. That said, lenders will want to see that you have a solid understanding of how the business operates and a credible plan for reaching occupancy targets.
What is a business line of credit and how does it help with a salon suite franchise?A business line of credit is a revolving credit facility that lets you draw funds as needed up to a set limit. For Sola Salon Suites franchisees, it is especially useful during the lease-up phase when suite occupancy is building and monthly rent income has not yet reached full capacity. You draw on the line when needed and repay as rental income increases.
What interest rate should I expect on a Sola Salon Suites franchise loan?As of mid-2026, SBA 7(a) interest rates are typically in the 8 to 11 percent range, depending on loan amount and term. Conventional loans may be slightly higher or lower depending on your credit profile and collateral. Equipment financing rates generally range from 6 to 12 percent. Your specific rate will depend on your creditworthiness, loan size, and lender.
Can I get a Sola Salon Suites loan with bad credit?It is more challenging but not impossible. Some alternative lenders and specialty franchise lenders will work with borrowers who have credit scores below 650 if there is strong collateral, a co-borrower, or other mitigating factors. Crestmont Capital works with franchisees across the full credit spectrum and can help identify the best path forward for your situation.
Does Sola Salon Suites offer in-house financing?Sola Salon Suites does not provide direct in-house financing, but the brand has relationships with preferred lending partners familiar with the franchise model. These partners have already reviewed the FDD and understand the business, which can speed up the underwriting process. However, working with an independent broker like Crestmont Capital ensures you are comparing multiple options and not limited to a single lender.
How do lenders evaluate a Sola Salon Suites franchise loan?Lenders look at several key factors: the strength of your personal credit and liquidity, your management experience, the quality of your selected location and lease terms, your pro forma financial projections, and the overall health of the Sola brand. Because Sola is a well-established franchise on the SBA registry, lenders are generally familiar with the model and have benchmarks for evaluating performance expectations.
What is the typical repayment term for a Sola Salon Suites SBA loan?SBA 7(a) loans used for buildout and working capital typically have repayment terms of 10 years. If you are purchasing the commercial real estate that houses your Sola location, the term can extend to 25 years. Longer terms mean lower monthly payments, which can be important during the lease-up period when rental income is still building.
How profitable is a Sola Salon Suites franchise?Profitability varies by location, occupancy rate, and local market rents. At full occupancy (typically 80 to 90 percent or higher), a Sola Salon Suites franchise can generate strong recurring rental income with relatively low variable costs. Item 19 of the Sola FDD provides historical financial performance data that you should review carefully with a financial advisor before making any investment decisions.
Ready to Finance Your Franchise?
Get fast, flexible franchise financing from the #1 business lender in the U.S. No obligation - apply in minutes.
Apply Now ->Opening a Sola Salon Suites franchise is a significant financial undertaking, but it is one that comes with a proven brand, a well-established support system, and a business model built on recurring rental income. The key to success is securing the right financing from the right lender at the right terms so your monthly debt service does not squeeze you during the critical lease-up period.
Whether you pursue an SBA 7(a) loan, combine equipment financing with a conventional commercial loan, or use a line of credit to bridge your cash flow needs, the most important step is to start the process early. Franchise loans take time, and the sooner you get your documentation organized and your application submitted, the sooner you can break ground and start generating rental income.
Crestmont Capital has the franchise lending expertise, lender relationships, and commitment to customer service to help you navigate this process from start to finish. We work with franchisees at every stage of their journey, from first-time buyers exploring the salon suite concept to multi-unit operators expanding their portfolios. Apply today and let us help you build something extraordinary.
Disclaimer: The information provided in this article is for general educational purposes only and is not financial, legal, or tax advice. Funding terms, qualifications, and product availability may vary and are subject to change without notice. Crestmont Capital does not guarantee approval, rates, or specific outcomes. For personalized information about your business funding options, contact our team directly.