Upscale beauty salon to expand via franchising

Despite the volatile market that has put a lot out of business, Cebu-based beauty parlor Hollywood Nails Beauty Salon and Spa is still eyeing expansion plans through franchising after a year of operations.

Months after RK Franchising finished putting together its operational manual, Hollywood Nails Beauty Salon and Spa is now ready to accept business partners in different parts of the country, proprietor Terence Connelly said in an interview.

Connelly said that after the successful operation of their business they decided that it is already high time they venture into franchising.

“We looked at franchising because there have been a lot of requests from interested investors which we have asked to wait until the preparatory work is done and legal documents and trademarks are accomplished,” said Connelly.

Hollywood Nails Beauty Salon and Spa is a full service parlor that offers not only the usual nail and hair care services but even spa and a wide range of beautification treatments for both men and women from the A and B segments of the market.

He said that their first year of operations has been quite good despite the fact that their shop is not located inside a major mall.

The first three months of their operations has been a trial and error period but on the succeeding nine months they were able to gain monthly average growth of around five to eight percent through repeat customers, shared Connelly.

Despite being affected by the construction of the Banilad fly-over in Talamban, Connelly said it was still a blessing as residents along their area frequented their salon instead of going to the malls.

Connelly, a British national, is an experienced businessman who founded the Australian investment management and administration company known as Public Securities Nominees Ltd. (PSN) in 1991.

Following the sales of his Australian business shareholding last September 2007, Connelly decided to permanently settle in to Cebu and invest in its growing beauty, health and wellness industry through Hollywood Nails Beauty Salon and Spa together with his wife Gigi Connelly, a trained beautician and therapist from Cebu.

“The beauty salon business is recession proof because there is no downside even with the current crisis. It’s a money market type of business because people go here to relax and get off their stress so in turn we made it a full service salon which completes the concept of beauty, health and wellness,” said Connelly.

But aside from the full service concept of Hollywood Nails Salon and Spa, Connelly will also offer a new homegrown franchise concept called Lush Nails Salon, a specialist service business which will offer state of the art nail care technology such as nail art, nail repair, nail sculpturing, and hand waxing, among others.

He said that the prototype of this venture will soon be opened at Parkmall in Mandaue this December.

Connelly said that their franchising efforts will go full blast next year as they will still intensify their preparations to avoid errors.

For Hollywood Nails Beauty Salon and Spa, Connelly is targeting to open 10 franchised outlets while they expect to open 20 Lush Nails Salon franchised outlets in the next two years.