IMAGE Studios, a franchisor of upscale turnkey salon suites for beauty professionals, is evaluating acquisitions, said founder and CEO Jason Olsen.

The MPK Equity Partners-backed company, based in Salt Lake City, has grown organically to date but is now looking to purchase other salon suites it can convert to the IMAGE brand, with an aim to grow revenue by at least 10% annually through M&A, Olsen said.

Ideal targets would open new markets and have between two and 10 locations, according to the CEO. Areas of interest include Chicago and Phoenix, as well as California, Texas, and Florida, he said. Olsen said IMAGE could grow to 120 to 150 locations in California alone.

Deals could be funded through cash and debt, Olsen said.

IMAGE offers turnkey salon suites for independent beauty professionals, featuring a high-end aesthetic similar to concepts in LA, New York, and Miami. It provides business coaching, mentorship, and training to help beauty entrepreneurs scale and sustain their businesses, as well as an app for running their businesses.

The company has 135 locations in 26 states, of which two are corporately owned. It expects to open 40 new franchise locations in 2026, 45 to 50 in 2027, and 55 to 60 in 2028, Olsen said.

The business is projecting systemwide revenue of about USD 61m in 2026, up from just shy of USD 46m last year, according to Olsen. Its EBITDA margin falls within the industry average of 35% to 45%, he said.

Valuation multiples in the franchise space for “strong brands with a growth history” are generally in the mid-teens of EBITDA, the CEO added.

IMAGE has a goal to reach systemwide revenue of USD 100m by 2028 or 2029, at which time it should be positioned to explore exit options, according to Olsen. A sale to a strategic player is the most likely scenario, though he did not rule out a new private equity buyer. MPK Equity acquired a majority stake in March 2024.

The CEO noted Wellbiz Brands, a beauty and wellness franchise platform whose brands include Elements Massage, Drybar, Amazing Lash Studio, Fitness Together, and Radiant Waxing, as an example of a logical potential buyer.

While most peers focus on hair, Olsen said IMAGE attracts a broad mix of beauty and wellness professionals, including hairstylists, barbers, medical spa professionals, estheticians, tattoo artists, makeup artists, nail artists, and massage therapists.

Roughly 50% of IMAGE’s studios are rented by spa professionals and other “beauty-adjacent” specialists, allowing IMAGE to do business across a variety of sectors and “create a high rate of client referrals” among professionals within the same salon, he added.

IMAGE studios range in size between 5,000 and 8,000 square feet, with the average studio at 5,800 square feet and containing 32 studios, Olsen said. Each location sees 1,600 to 1,800 women come through its doors per month.

Olsen founded IMAGE in 2009 and began franchising in 2016. The company charges an initial franchise fee of USD 64,500, a 6% royalty fee, and a 2% marketing fee. Average unit volume for 2024 was USD 380,000 to USD 396,000 for newer locations and more than USD 500,000 for established locations.

According to Olsen, there are roughly 3,600 salon suites in the US, of which around 1,800 to 1,900 are franchises and the rest mom-and-pop operators.

Sola Salon Studios is the largest player in the space, with more than 750 locations, he said. Other peers include 10 Point Capital-backed Phenix Salon Suites; My Salon Suite, a division of Propelled Brands, which is backed by LightBay Capital and Freeman Spogli; and Salons by JC.

The CEO pointed out that MPK Equity was a previous investor in Sola, which was acquired by TSG Consumer Partners-backed Radiance Holdings in 2020.

Olsen said he foresees increased consolidation over the next two to four years, as several private equity-backed platforms reach their natural exit windows.

IMAGE has 12 corporate employees. The company uses law firm Plave Koch and accounting firm Bangerter, Lund & Associates. Its debt provider is Security National Bank. Harrington Park Advisors advised on its sale to MPK.