News Summary
Hair care giant John Paul Mitchell Systems has announced its relocation from California to Wilmer, Texas. The move aims to establish a global distribution center, creating 80 new jobs and investing over $12 million in the local economy. Texas Governor Greg Abbott highlighted the significance of this relocation for the state’s economic growth. This trend is mirrored by other major companies moving from California to Texas, seeking a more favorable business environment.
Texas – Hair care giant John Paul Mitchell Systems has announced the relocation of its headquarters from Santa Clarita, California, to Wilmer, Texas. This strategic move aims to establish a new global distribution center in Texas and is expected to create 80 new jobs in the local community. The company is projected to invest over $12 million in capital into the Texas economy as part of this transition.
The announcement was made by Texas Governor Greg Abbott, who emphasized the significance of this relocation for the state’s ongoing economic growth. Abbott noted that the creation of new job opportunities, along with the substantial capital investment, underlines Texas’ attractiveness as a business destination and the effectiveness of its economic policies.
In 2022, John Paul Mitchell Systems reported revenues hitting the impressive mark of $1.1 billion. The company is widely recognized for its popular hair care brands, including Paul Mitchell, Tea Tree, and Neuro, which have garnered a loyal customer base worldwide. The decision to move to Texas aligns with other major corporations that have also recently relocated, demonstrating a trend of businesses favoring Texas over California.
Governor Abbott highlighted that the relocation has been facilitated by a $640,000 grant from the Texas Enterprise Fund, which is designed to attract businesses migrating to the state. Additionally, the company stands to benefit from an $8,000 Veteran Created Job Bonus, further incentivizing their commitment to establishing operations in Texas.
Wilmer, a small town with approximately 6,000 residents, is located about 20 minutes outside of the Dallas metropolitan area. This new location positions John Paul Mitchell Systems favorably for logistics and distribution, leveraging Texas’ extensive transportation infrastructure. The move reflects a growing trend among companies looking to mitigate the high taxes and strict regulations present in California, which have prompted several businesses to seek more favorable operating environments.
John Paul DeJoria, the co-founder of John Paul Mitchell Systems, expressed appreciation for the support from Texas officials during this transition. DeJoria has been a resident of Austin for 25 years and is noted for his supportive political contributions to Governor Abbott as part of his engagement in Texas’s business community.
The growing list of corporate relocations to Texas includes notable names such as Chevron, Realtor.com, Yum! Brands (known for KFC), Elon Musk’s Tesla, and SpaceX. These companies have cited various reasons for their relocations, with high taxes and stringent regulations in California frequently mentioned as primary factors influencing their decisions.
John Paul Mitchell Systems continues to maintain three partner schools located in the Bay Area of California, which illustrates their ongoing ties to the region despite the headquarters move. The company’s commitment to education and professional training within the hair care industry remains strong, even as they expand their operational footprint into Texas.
As John Paul Mitchell Systems embarks on this new chapter, the move signifies both a personal and professional commitment to the state of Texas, further establishing its reputation as a business-friendly environment conducive to economic growth and job creation.
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