Start a Rhea Lana's Franchise in 2024

Franchise 500 Rank: N/R Not ranked last year

Initial investment: $29K - $46K

Units as of 2024: 122 16.2% over 3 years

Do you have a passion for kids' fashion? So does founder and president Rhea Lana Riner. As a young mother of three, she struggled to find high-quality kids’ items on a budget. After inviting a few friends over to swap used children's clothing, she stumbled on overwhelming demand.

The Rhea Lana’s company was born in 1997 with the motto and focus on family, friends, and affordable fashion. Since franchising in 2008, Rhea Lana’s is an award-winning company with over 90 individually owned locations in dozens of states.

Why You May Want to Start a Rhea Lana’s Franchise?

Franchisees with Rhea Lana’s all tend to have one thing in common—a flexible lifestyle. By allowing franchisees to run the business part-time, Rhea Lana’s fits into all types of families, from full-time working parents to stay-at-home parents. In fact, the majority of franchisees at Rhea Lana’s are moms. Powered by the community, franchisees can connect with other moms who are looking for budget-friendly clothing options for their children.

Franchisees will work their Rhea Lana’s franchise from a storefront. If your dream is to have a business while focusing on your family, joining Rhea Lana’s could be a perfect fit.

What Might Make a Rhea Lana’s a Good Choice?

To be part of the Rhea Lana’s team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. You should also be prepared for ongoing fees that will include royalty and potential renewal fees.

When you join Rhea Lana’s, a team member will train you at one of their events, and someone from their corporate team will even attend your first event. The company provides a point of sale program and a bar-coded inventory system. The brand will set up your website and send you marketing materials. You'll get a corporate mentor, access to weekly webinars, and much more to support you on your journey with opening a Rhea Lana’s franchise.

How To Open a Rhea Lana’s Franchise

If you're ready to share your passion for consigning clothes with the world, submit a franchise inquiry form. If the brand approves, they'll reach out to you and set up a phone call that shouldn’t last much longer than an hour. Their representative can answer any of your initial questions about the opportunity.

If you like what you hear, they'll send over the Franchise Disclosure Document for you to review. When you're ready, you'll submit an official application and recommendation letters. You'll also verify that you can meet their financial requirements.

Before Rhea Lana’s approves your application, you'll have a final call with a Rhea Lana’s team member. This is your chance to talk about your "why" behind setting up your business. You'll talk about your background, goals, and why you'd be a good match for the used children's clothing brand. If all goes well, you'll pick out your location and take a step towards selling clothes as unique as the kids who'll wear them.

Company Overview

About Rhea Lana's

Industry	Children's Businesses
Related Categories	Children's Retail, Miscellaneous Children's Businesses, Miscellaneous Retail Businesses
Founded	1997
Parent Company	Rhea Lana's Franchise Systems Inc.
Leadership	Rhea Lana Riner, President & CEO
Corporate Address	2765 Blaney Hill Rd. Conway, AR 72032
Social	Facebook, LinkedIn, Instagram, YouTube, Pinterest, TikTok

Business Overview

Franchising Since	2008 (16 years)
# of employees at HQ	29
Where seeking	This company is offering new franchises throughout the US.
# of Units	122 (as of 2024)

Information for Franchisees

Here's what you need to know if you're interested in opening a Rhea Lana's franchise.

Financial Requirements & Ongoing Fees

Here's what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.

Initial Franchise Fee Definition: The initial fee paid to a franchisor to join their system What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.	$19,500
Initial Investment Definition: The total amount necessary to begin operation of the franchise What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.	$28,675 - $45,900
Royalty Fee Definition: A ongoing fee paid to the franchisor on a regular basis. What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.	3%-1%
Ad Royalty Fee Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts. What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.	$175/event
Term of Agreement Definition: The length of time your franchise agreement will last. What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.	5 years
Is franchise term renewable?	Yes

Financing Options

Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.

In-House Financing	Rhea Lana's offers in-house financing to cover the following: franchise fee

Training & Support Offered

Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.

On-The-Job Training	12.25 hours
Classroom Training	16.25 hours
Ongoing Support	Newsletter Meetings & Conventions Toll-Free Line Grand Opening Online Support Security & Safety Procedures Lease Negotiation Field Operations Site Selection Proprietary Software Franchisee Intranet Platform
Marketing Support	Ad Templates National Media Regional Advertising Social Media SEO Website Development Email Marketing Loyalty Program/App

Operations

Additional details about running this franchise.

Is absentee ownership allowed?	No
Can this franchise be run from home/mobile unit? Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.	No
Can this franchise be run part time? Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.	Yes
Are exclusive territories available? Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened. What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.	Yes