Beauty Salon Feasibility Study in the Dallas-Fort Worth-Arlington, TX Metro Area

Larger salon loans than the country sees

Salon borrowers in Dallas-Fort Worth-Arlington take out unusually big loans: the $187,500 median is 1.88x the national median, and half of the 264 loans fall between $71,500 and $332,400. Between FY2017 and FY2026 SBA approved these loans for $74.4 million in all. The area ranks 5 of 546 for beauty salon loans, but salons are only tenth among the 39 classes here. The location quotient of 1.21x shows a modestly higher local share than the national one.

Franchise flags appear on 30.3% of loans, about three loans in ten. Loan Analytics does not print program counts for this cell, which is why neither 7(a) nor 504 has a number on this page. By county, Collin has 71 loans, Dallas 69, Tarrant 66 and Denton 41, while Rockwall has 5.

Lenders holding the paper

SBA's lender list shows who holds each loan at present. Wells Fargo Bank National Association leads, with 22 loans and $4.3 million. PNC Bank, National Association follows with 21 worth $6.8 million, then The Huntington National Bank with 19 worth $4.5 million. Tied at 12 loans each are Newtek Bank, National Association ($4.8 million) and Stearns Bank National Association ($2.3 million). PNC's loans are the largest of the lot on average. These are records of holdings, not guides to anyone's credit policy.

Cancellation after approval hit no fewer than 8.3% of FY2017 to FY2024 approvals. A cancellation ceiling and a loss rate within five years are not printed for this cell, because too few loans stand behind them; no number is printed for either, and neither is zero. The loss floor to date is notable: in the 116-loan group disbursed over FY2017 to FY2021, 12.1% or more are already charged off. Approvals fell to 8 in FY2022, then climbed to 55 in FY2025, worth $17.2 million.

What a Dallas-Fort Worth salon study must test

With loans this size, the study should price the full build-out and not only working capital, so cost needs real attention: plumbing for stations and wash bays, electrical load, and the finish level a brand requires. Revenue depends on chair count, the rent or commission model for stylists, and retail product sales; the study should show the number of stylists the lease can support and the time a new chair takes to fill. The high charge-off floor argues for conservative ramp assumptions. The trade area should be chosen by household income and the presence of competing salons, not by the metro name. Every Dallas-Fort Worth total is built from loans whose county sits on the July 2023 list, which rules out any overstatement.