Looking for Advice on Multi-Unit Wellness & Skincare Franchise in Los Angeles

October 22, 2025

by a searcher from California State Polytechnic University - Pomona in Los Angeles, CA, USA

Hi everyone, it has been a while since I explored a deal... I’m currently evaluating an acquisition of four locations of a wellness and skincare franchise in the Los Angeles area. I’m hoping to connect with someone who has experience in: Valuing multi-unit service or franchise businesses (wellness, fitness, medspa, salon, etc.) Understanding key drivers like customer churn, staff turnover, and customer acquisition costs Spotting red flags in recurring-revenue consumer service models Structuring deals or transitions when buying corporate-owned locations from a franchisor If you’ve operated, acquired, or advised in this space, I’d love to hop on a quick 20–30 minute Zoom to learn from your experience before I submit an offer. Any introductions or advice would be hugely appreciated.

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Reply by a professional
from Michigan State University in Los Angeles, CA, USA

Hey Ahmad, would love to help. I have a domain experience in this and also live in Los Angeles. Please reach out to me at redacted and we can set up a time.

Reply by a lender
from Cornell University in Los Angeles, CA, USA

Hi Ahmad, great to meet you. If you’re planning to acquire four existing franchise locations, the SBA 7(a) loan program is usually a strong fit for this type of transaction. These loans are built for established, cash-flowing franchises and can cover the purchase price, closing costs, and even working capital to help with the transition. Most lenders will ask for around 10% of the total project cost as your equity injection. In some cases, part of that can come from the seller as a full-standby note allowing you to bring down your required equity to 5% of the total project cost. It’s also worth confirming that the franchise brand appears on the SBA Franchise Directory (https://www.sba.gov/document/support--franchise-directory) since that is required for eligibility. During underwriting, lenders will focus on each location’s cash flow after accounting for manager salaries, rent, royalties, and ad fund contributions. They’ll want to see steady EBITDA and a plan for retaining staff and customers. When buying corporate-owned units, the SBA views it as a full change of ownership. You will need a clear purchase agreement and transfer letters from the franchisor. We have a lot experience financing franchises via the SBA. If you ever need help talking through a deal, I am happy to help. We work with all the major SBA lenders. The bank pay us after your loan closes, so this is a 100% free service for you.You can email me directly at redacted or schedule a meeting with me: https://cal.com/francodeguzman/30min. Look forward to chatting!

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