Hollywood Tans vs Massage Envy
Hollywood Tans vs Massage Envy: Hollywood Tans costs $50K to $360K to open; Massage Envy costs $100K to $1.0M. Hollywood Tans has 110 units, Massage Envy has 430. SBA loan history: Hollywood Tans = 159 loans (20.1% default); Massage Envy = 591 loans (6.8% default). The franchise with more SBA funded units, a lower SBA default rate, and a lower royalty load is the safer financing bet; see the comparison below.
Hollywood Tans vs Massage Envy: Capital, Scale & Lending Analysis
Analysis based on 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 $100K for Massage Envy), a 50% spread. Initial franchise fees come in at $50K for Hollywood Tans versus $51K for Massage Envy, Hollywood Tans has the lower entry fee.
System Scale & Tenure
On scale, Massage Envy operates 430 units to Hollywood Tans's 110, roughly 4× the system size. Hollywood Tans has been operating 32 years (founded 1994) versus 24 for Massage Envy (founded 2002), a 8-year tenure gap that affects unit-economics maturity and FDD revision history.
SBA Lending Profile
Massage Envy has the deeper SBA lending track record, with 591 7(a) approvals compared with 159 for Hollywood Tans. Hollywood Tans's peak SBA year was 2001 (39 loans); Massage Envy's peak was 2008 (73 loans). Massage Envy's more recent peak generally indicates fresher lender appetite. Hollywood Tans has the most SBA funded units in NJ, with 42. Massage Envy leads in CA, with 83. Borrowers should pick the brand whose strongest SBA state matches their own state for warmer lender introductions. Average SBA loan size on funded Hollywood Tans deals is $213K vs $423K for Massage Envy, useful as a sizing anchor when modeling your own unit.
Risk Signal
SBA default rates are 20.1% for Hollywood Tans and 6.8% for Massage Envy, Massage Envy has the cleaner SBA loss record by 13.3 points. PeerSense FPI scores come in at 24 (Fair) for Hollywood Tans and 60 (Moderate) for Massage Envy, giving Massage Envy the stronger composite signal across SBA performance, lender appetite, and operational consistency.
Health & Performance
FPI Score | 24/100 | 60/100 |
Health Tier | Limited | Moderate |
Confidence | N/A | N/A |
Lending Trend | Declining | Declining |
SBA Lending
SBA Loans | 159 | 591 |
SBA Volume | – | – |
Default Rate | 20.1% | 6.8% |
Peer Tier | major | major |
Investment & Costs
Total Investment | $50K to $360K | $100K to $1.0M |
Franchise Fee | $50K | $51K |
Royalty Rate | N/A | 6% |
Ad Fund | N/A | 2% |
Liquid Capital | $100K | N/A |
Net Worth Required | $300K | $500K |
Financial Performance (Item 19)
Item 19 Status | Not Disclosed | Disclosed |
System Size & Operations
Total Units | 110 | 430 |
Franchised Units | 110 | 430 |
Company Owned | – | – |
Term Length | N/A | 10 yrs |
Brand Information
Year Founded | 1994 | 2002 |
Franchising Since | N/A | 1960 |
Years Franchising | N/A | 66 yrs |
Headquarters | ASTON (ASTON MILLS), PA | SANTA ROSA, CA |
Category | Other Personal Care Services | Other Personal Care Services |
Website | ||
FDD Year | N/A | 2025 |
Which Is Better, Hollywood Tans or Massage Envy?
Lower upfront capital required
Tie
Hollywood Tans: $50K starting · Massage Envy: $100K starting
More SBA lender confidence
Massage Envy
Hollywood Tans: 159 SBA loans · Massage Envy: 591 SBA loans
Lower SBA default rate
Massage Envy
Hollywood Tans: 20.1% · Massage Envy: 6.8%
Larger system & brand presence
Tie
Hollywood Tans: 110 units · Massage Envy: 430 units
More lender financing options
Massage Envy
Hollywood Tans: 25 unique lenders · Massage Envy: 120 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
Hollywood Tans vs Massage Envy: Franchise Funding Comparison
Comparing Hollywood Tans and Massage Envy is about more than brand preference. It's about which franchise fits your financial profile and funding strategy. Investment ranges from $50K to $1.0M.
Hollywood Tans has 159 SBA loans on record and Massage Envy has 591. Those totals are cumulative history rather than a measure of current appetite. Recent lending activity is trending down for at least one of these brands, so current lender appetite has to be checked deal by deal rather than assumed from the totals.
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.
Hollywood Tans vs Massage Envy, Frequently Asked Questions
Which is a better franchise investment, Hollywood Tans or Massage Envy?
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Which has a lower SBA default rate, Hollywood Tans or Massage Envy?
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Page Review
Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense
- PeerSense is a capital advisory firm that places commercial financing with direct capital sources; it does not lend, fund, or approve loans, and the capital source sets final terms.
- Edward L. Freeman founded PeerSense in January 2020.
- He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
- His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
- In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page
Last reviewed LinkedIn profileAbout Edward Freeman