European Wax Center vs Hollywood Tans
European Wax Center vs Hollywood Tans: European Wax Center costs $328K–$837K to open; Hollywood Tans costs $50K–$360K. European Wax Center has 1,067 units, Hollywood Tans has 110. SBA loan history: European Wax Center = 389 loans (1.8% default); Hollywood Tans = 159 loans (20.1% default). The franchise with more SBA-funded units, lower default rate, and lower royalty load is the safer financing bet, see the comparison below.
European Wax Center vs Hollywood Tans: Capital, Scale & Lending Analysis
Data-driven differentiation pulled from FDD filings and SBA 7(a) loan-level data. Each pairing reflects a unique combination of capital intensity, system scale, and financing path.
Capital Intensity
Hollywood Tans requires the lower minimum capital commitment ($50K vs $328K for European Wax Center), a 555% spread. Initial franchise fees come in at $45K for European Wax Center versus $50K for Hollywood Tans, European Wax Center has the lower entry fee.
System Scale & Tenure
On scale, European Wax Center operates 1,067 units to Hollywood Tans's 110, roughly 10× the system size. Hollywood Tans has been operating 32 years (founded 1994) versus 22 for European Wax Center (founded 2004), a 10-year tenure gap that affects unit-economics maturity and FDD revision history.
SBA Lending Profile
European Wax Center has the deeper SBA lending track record with 389 historical 7(a) approvals versus 159 for Hollywood Tans. European Wax Center's peak SBA year was 2015 (75 loans); Hollywood Tans's peak was 2001 (39 loans). European Wax Center's more recent peak generally indicates fresher lender appetite. Geographically, European Wax Center concentrates in TX (58 SBA-funded units) while Hollywood Tans leads in NJ (42). Pick the brand whose strongest state matches yours for warmest lender introductions. Average SBA loan size on funded European Wax Center deals is $391K vs $213K for Hollywood Tans, useful as a sizing anchor when modeling your own unit.
Risk Signal
SBA default rates are 1.8% for European Wax Center and 20.1% for Hollywood Tans, European Wax Center has the cleaner historical loss profile by 18.3 points. PeerSense FPI scores come in at 60 (Moderate) for European Wax Center and 24 (Fair) for Hollywood Tans, giving European Wax Center the stronger composite signal across SBA performance, lender appetite, and operational consistency.
Health & Performance
FPI Score | 60/100 | 24/100 |
Health Tier | Moderate | Limited |
Confidence | N/A | N/A |
Lending Trend | Declining | Declining |
SBA Lending
SBA Loans | 389 | 159 |
SBA Volume | – | – |
Default Rate | 1.8% | 20.1% |
Peer Tier | major | major |
Investment & Costs
Total Investment | $328K – $837K | $50K – $360K |
Franchise Fee | $45K | $50K |
Royalty Rate | 6% | N/A |
Ad Fund | 3% | N/A |
Liquid Capital | $10K | $100K |
Net Worth Required | $800K | $300K |
Financial Performance (Item 19)
Item 19 Status | Not Disclosed | Not Disclosed |
System Size & Operations
Total Units | 1,067 | 110 |
Franchised Units | 1,062 | 110 |
Company-Owned | 5 | – |
Term Length | 10 yrs | N/A |
Brand Information
Year Founded | 2004 | 1994 |
Franchising Since | 2006 | N/A |
Years Franchising | 20 yrs | N/A |
Headquarters | COPPELL, TX | ASTON (ASTON MILLS), PA |
Category | Other Personal Care Services | Other Personal Care Services |
Website | ||
FDD Year | 2026 | N/A |
Which Is Better, European Wax Center or Hollywood Tans?
Lower upfront capital required
Hollywood Tans
European Wax Center: $328K starting · Hollywood Tans: $50K starting
More SBA lender confidence
European Wax Center
European Wax Center: 389 SBA loans · Hollywood Tans: 159 SBA loans
Lower historical default rate
European Wax Center
European Wax Center: 1.8% · Hollywood Tans: 20.1%
Larger system & brand presence
European Wax Center
European Wax Center: 1,067 units · Hollywood Tans: 110 units
More lender financing options
European Wax Center
European Wax Center: 57 unique lenders · Hollywood Tans: 25 unique lenders
Decision matrix uses publicly disclosed FDD and SBA loan data. Not a recommendation. Your best franchise depends on capital, market, operating capacity, and risk tolerance.
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About These Franchises
European Wax Center vs Hollywood Tans: Franchise Funding Comparison
Comparing European Wax Center and Hollywood Tans is about more than brand preference. It's about which franchise fits your financial profile and funding strategy. Investment ranges from $50K to $837K.
Both brands have active SBA lending histories, European Wax Center with 389 SBA loans and Hollywood Tans with 159. This means proven lender acceptance and established underwriting paths for franchise buyers.
SBA 7(a) loans are the most common franchise funding vehicle, offering up to $5M with as little as 10% down. PeerSense connects franchise buyers with the specific lenders who have approved loans for these brands, not generic referrals, but lenders with actual franchise lending track records.
Data sourced from SBA loan records, Franchise Disclosure Documents, and public filings. Updated regularly. Not financial advice, consult with a lending professional before making investment decisions.
European Wax Center vs Hollywood Tans, Frequently Asked Questions
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