1. WHAT IS THE INITIAL FRANCHISE FEE?
   $50,000 per salon.
    
2. WHAT ARE THE ONGOING FEES?
   Royalties are 4% of gross sales for the first year, 5% for the second year and 6% the third year and every year thereafter. Everyone pays a 1% advertising fund fee in addition to being required to spend a minimum of 4% of gross sales on advertising.
    
3. HOW MUCH WILL MY SALON COST?
   Costs associated with leasing and building out a Desert Sun Tanning Salon vary according to the square footage, materials, fixtures, layout, and equipment you choose, as well as the architect, construction company, and vendors you hire to do the work. The estimated start-up cost for a Desert Sun Tanning Salon is $368,300 - $610,500, which includes everything but the tanning beds (this cost includes the franchising fee). We can give you a better idea of what to expect after our initial meeting.
    
4. WHAT ARE MY CHANCES OF SUCCESS?
   Backed by our name, our commitment to quality, and our track record, each Desert Sun Tanning Salon has the potential for substantial success. In the end, however, every store is only as good as its owner. Our most successful owners draw on our experience, tap our resources, and use our tools in conjunction with a personal passion for growing the business.
    
5. HOW LONG WILL IT TAKE FOR ME TO OPEN MY STORE?
   Approximately 6-9 months from when you sign your franchise agreement. Generally it takes 90-180 days to select a site, negotiate a lease and take possession of the space from the landlord. After that it generally takes about 90 days to get your permitting and make it through the construction and simultaneous training phases of your project.
    
6. HOW WOULD YOU DESCRIBE A DESERT SUN TANNING SALON?
   Walk into any Desert Sun Tanning Salon, and you’re likely to be struck by its pleasant design, professional appeal, and attractive layout. You may also be impressed by the visual experience of the interior tanning area. Although each salon has many unique characteristics, we provide owners with form layouts, recommendations, and photos to help them settle on their store’s ultimate look. We invite you to visit our web site to view existing stores.
    
7. WHAT TYPE OF PERSON REPRESENTS THE TYPICAL DESERT SUN OWNER?
   There is no typical owner, but the best ones take risks and share a willingness to work hard to make the business all it can be.
    
8. WHAT ABOUT COMPETITION?
   Although there are several other tanning salon companies in the industry, few match our professional image, our level of quality, customer service, owner support, and employee training. Nor do other salons match our systematic approach to sales and marketing, which enables us to penetrate the market and expand our customer base with special offers and high-value promotions.
    
9. WHO ARE YOUR CLIENTS?
   One of the first things we do when you become an owner is provide a demographic analysis of sites under evaluation and a market analysis of your potential customer base. Generally speaking, a study of 2,400 salons nationwide shows that 69.6 percent of active customers for indoor tanning salons are female, 30.4 percent are male. Of the female customers, approximately 64.6 percent are between the ages of 18 and 49 years old. On average, salons have more than 1,800 active customers in their databases.*
    
10. HOW WILL I GENERATE BUSINESS?
    There is an enormous market out there. With your hard work and our expert advice, virtually every image conscious person is a potential customer. Some of the most effective forces for driving business to your salon will include:
     
    • Marketing and advertising initiatives
    • spotlighting promotions
    • Direct Mailers
    • The Desert Sun web site
    • Radio ads, television ads, outdoor and other market wide media.
    • Local sponsorships and charitable events

*Looking Fit Magazine – Tanning Fact Book 2005/2006