Fantastic Sams International Corporation (“Fantastic Sams”) is one of the world’s largest full-service hair care franchise organizations, with over 1,300 salons located throughout the United States and Canada. The company’s first salon opened in Memphis, Tennessee in July 1974, and it began franchising in 1976. The company operates both as a direct franchisor and through a three-tier system in which it has geographic regions run by regional owners, who then license individual franchises within their regions. The company also operates a distribution business for a salon-quality private label line of hair care products.
The company was owned by Opal Concepts, Inc., which was in bankruptcy. Pouschine Cook saw an opportunity to take a sound, profitable division and separate it from its troubled parent company. As a stand-alone entity, the company was stable and poised for growth and represented an attractive consolidation platform.
Pouschine Cook partnered with a regional owner to purchase the assets from bankruptcy.
Pouschine Cook rolled up its sleeves to work with management in four key areas: corporate governance, operational effectiveness, human capital and strategic planning.
Since the investment, the management team has been strengthened and broadened, a new haircare product line has been introduced, education and training has been improved through the establishment of “Fantastic Sams University” and the company has reacquired certain regions.