News Summary

John Paul Mitchell Systems, a prominent hair care company, is moving its headquarters from Santa Clarita, California, to Wilmer, Texas. This relocation aims to enhance operational capabilities, create 80 new jobs, and invest over $12 million in the local economy. The company has received a $640,000 grant from the Texas Enterprise Fund to facilitate its transition. With a reported revenue of $1.1 billion in 2022, this strategic move underscores Texas’ growing appeal as a business-friendly state, attracting various corporations seeking to thrive.

Texas Welcomes Hair Care Giant John Paul Mitchell Systems

Hair care company John Paul Mitchell Systems has announced its relocation from Santa Clarita, California, to Wilmer, Texas. This strategic move aims to enhance its operational capabilities while generating significant economic benefits in the region. The new headquarters will also feature a global distribution center, contributing to the company’s growth and logistics efficiency.

Job Creation and Economic Impact

The Texas relocation is projected to create 80 new jobs in Wilmer, a town of about 6,000 residents located approximately 20 minutes outside of Dallas. Governor Greg Abbott announced the move, emphasizing that it would involve over $12 million in capital investment in the state. This initiative is anticipated to strengthen the local economy and provide job opportunities in the area.

Support from State Government

As part of the relocation process, John Paul Mitchell Systems has received assistance from the Texas Enterprise Fund in the form of a $640,000 grant. This fund is designed to attract businesses relocating to the state, highlighting Texas’ favorable economic environment. Additionally, the company is eligible for an $8,000 Veteran Created Job Bonus aimed at encouraging job creation for veterans.

Company Overview

John Paul Mitchell Systems is known for its extensive line of hair care products, including popular brands such as Paul Mitchell, Tea Tree, and Neuro. The company achieved a significant milestone by reporting a revenue of $1.1 billion in 2022. The decision to relocate aligns with the ongoing trend of several corporations moving their headquarters to Texas, attracted by the state’s robust economic policies and workforce.

Background Context

Co-founder John Paul DeJoria, who has been a resident of Austin for the last 25 years, expressed appreciation for the support received from Texas officials during this transition. DeJoria has also made notable political contributions to Governor Abbott, indicating a strong relationship between the company and state leadership.

The trend of companies relocating to Texas has been particularly noteworthy in recent years. Many businesses, including notable names like Chevron, Realtor.com, Yum! Brands (KFC), Tesla, and SpaceX, have cited high taxes and strict regulations in California as driving factors for their moves. Collectively, these relocations highlight the increasing appeal of Texas as a favorable environment for businesses seeking growth and sustainability.

Moreover, John Paul Mitchell Systems maintains partnerships with three educational institutions located in California’s Bay Area—specifically in San Francisco, San Jose, and Pleasant Hill. The company’s transition to Texas may influence its operational and educational strategies as it adapts to its new location.

Conclusion

As John Paul Mitchell Systems relocates to Texas, it reinforces the state’s reputation as a growing hub for various industries. The combination of job creation, significant financial investment, and the establishment of a global distribution center sets the stage for a promising future for the company in its new home. The broader implications of this relocation not only benefit the local economy but also highlight the shifting landscape of corporate America.