table_specific

On what page can I find information about Franchisee Training and Assistance for Beauty Bungalows?

Beauty_Bungalows Franchise · 2025 FDD

Answer from 2025 FDD Document

[Item 11: FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING]

ITEM 11. FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING

Except as listed below, we are not required to provide you with any assistance.

Pre-Opening Obligations

Before you open your Beauty Bungalows Franchise, we will:

Designate your Protected Territory in writing and approve, if it meets our standards and specifications for approval, the location selected solely by you to be used for the operation of the Beauty Bungalows

Franchise. If your site is not already known and approved by us when you sign your franchisee agreement, then we will specify in your franchise agreement the Site Selection Area in which you must select a Site. Upon selection of an approved site, we will designate your Protected Territory based upon our then-current methods of territory determination set forth in the Manuals. (See Sections 4 and 10 of the Franchise Agreement).

Provide you with access to an electronic copy of our confidential operating Manual, which contains mandatory and suggested specifications, standards, operating procedures, and rules.

The Manual is confidential and remains our property.

We may modify the Manual from time to time, but the modification will not alter your status and rights under the Franchise Agreement. (See Section 7.04 of the Franchise Agreement).

We have included a copy of the Table of Contents of our Manual as Exhibit F to this Disclosure Document.

The Manual currently contains 188 pages.

Provide advice about selecting and analyzing a Site for the Franchise.

Your Site must meet our minimum requirements as set forth in the Manuals for square footage, layout, visibility, and other factors that we may determine from time to time.

Site selection is your responsibility, but we will assist you in the site selection process by considering population density, traffic patterns, and proximity of the proposed site to other Beauty Bungalows or any other reasonable criteria.

You must secure a Site that we have approved by signing a lease or purchase agreement within ninety (90) days of the date of this Agreement.

We may extend the deadline for acquisition of a Site by 90 days in our sole discretion, and we may require you to pay a $2,500 extension fee and execute a general release as a condition of us agreeing to grant such extension.


[Item 11: FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING]

Advertising Council

Currently, we have not formed any council of Beauty Bungalows franchisees, but we may do so in the future. We have the right to form, change, dissolve, or merge franchisee advisory council(s). When established, the Beauty Bungalows Franchise Advisory Board ("BBFAB") will provide us with general input but will not have decision making authority or the ability to obligate us to any particular course of action outside of our obligations set forth in the Franchise Agreement. Council members may be selected for any characteristics, such as region and experience. We will give due consideration to all input from the council, but we retain the ultimate decision-making authority and responsibility for all matters. If we submit a matter for approval by the BBFAB and that matter is approved by a majority vote of the BBFAB, that approval will be fully binding on you.

We have no obligation to spend any amount on advertising and promotion in your Area or Territory.

Computer Systems, Proprietary Software, and Internet Access

We do not currently require you to purchase any particular brand of computer hardware to establish or operate the Business, but we do specify the standards for computer and communication equipment and Internet access. The minimum hardware requirement is a laptop or desktop computer with 4 GB RAM, a 128 GB Hard Drive, internet access, the ability to run the business management software we designate, and the ability to run basic business function software programs such as Microsoft Office and bookkeeping software. This hardware may be obtained from any computer reseller such as Staples, Office Depot or Best Buy and will cost from $500 to $1,000.

Beauty Bungalows Franchising, LLC You must provide us real-time internet access to the information contained in the computer system and/or the software utilized in the operation of your Beauty Bungalows Franchise. However, we will be restricted to the information relating only to your Beauty Bungalows Franchise. Beauty Bungalows has the

2025 FDD 23

contractual right to pull the necessary data from your computer, but as a practical matter would be unable to do so without your cooperation. Beauty Bungalows will not have the right to access other types of data on your computer and does not have the ability to access it independently. Neither we nor our affiliates have any obligation to provide ongoing maintenance, repair, upgrades or updates to any computer system or software.


[Item 11: FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING]

Beauty Bungalows Franchising, LLC We will not use the Fund or any MAM Program(s) for advertising that is principally a solicitation for the sale of Beauty Bungalows Franchises, but we reserve the sole right to pursue any franchisee or business opportunity that results from any MAM Program or any use of the Fund, including marketing, promotional, public relations, and advertisement activities. We reserve the right to include notations in any advertisement or marketing platform, including websites or mobile applications, that Beauty Bungalows Franchises are

2025 FDD 22

available (or similar phrasing) along with contact forms or informational pages. We did not collect any contributions to the Fund in our previous fiscal year.

We may develop advertising internally, or contract with local, regional, or national agencies to develop advertising for the brand fund.

Regional Advertising Cooperative

We may establish a Marketing Cooperative in a geographic area in which two or more Beauty Bungalows are located. The Marketing Cooperative's members include all Beauty Bungalows franchises operating in the geographic area, including those operated by us and our affiliates, if applicable. We may require you to join a Marketing Cooperative existing or established in a geographic area encompassing your Beauty Bungalows franchise. We will determine how any Marketing Cooperative is organized and governed, but the Marketing Cooperative's members are responsible for its administration and determination of contribution levels, provided your required contribution to the Marketing Cooperative will not exceed 2% of your Beauty Bungalows Franchise's location's monthly Gross Revenue. Each Marketing Cooperative will operate under written governing documents prepared by us or our designee. Such documentation will be made available to members of the Marketing Cooperative upon reasonable request. Marketing Cooperatives will prepare an annual unaudited financial statement and make it available to members upon reasonable request. All material decisions of the Marketing Cooperative, including contribution levels, will require the affirmative vote of at least 51% of all Beauty Bungalows operating within the Marketing Cooperative's area (including those that we and our affiliates operate, if any), with each Beauty Bungalows franchisee group receiving one vote. We may form, modify, change, dissolve, or merge Marketing Cooperatives. Funds contributed to a Marketing Cooperative will not be utilized to solicit new franchise sales. Any fees you pay to a Marketing Cooperative will count towards your Local Area Marketing Requirement, though the fees imposed by the Marketing Cooperative may exceed your required Local Area Marketing Requirement obligation.

Advertising Council


[Item 11: FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING]

Ongoing Assistance

During the operation of the franchised business, we will:

    1. Offer you a reasonable amount of continuing advisory services by telephone during normal business hours. We may also provide additional trainings or conferences, for which you may incur a fee. We may also provide to you visits by our field representative, but any additional on- site consultation or advisory services you request may incur a fee. (See Sections 8.01, 8.05, and 8.06 of the Franchise Agreement).
    1. We will include information about your Beauty Bungalows Franchise on our website. (See Section 8.11 of the Franchise Agreement).
    1. Provide marketing, promotional materials, and services to you. Materials provided may include video and photography, copy-ready print marketing materials, posters, mailers, banners social media graphics and copy, digital advertising collateral, and miscellaneous items. You will receive one sample of each at no charge. If you want additional copies, you must pay duplication costs. We may use either national advertising agency or a regional advertising agency and marketing agencies and internal staff to create advertising. You may develop marketing materials for your own use, at your own cost. We must approve the marketing materials in advance and in writing within fifteen days from receipt. We reserve the right to utilize marketing and photography/videography developed by you for the use of all Franchisees without any payment or other compensation to you. (See Section 9.02 of the Franchise Agreement).
    1. We may hold periodic regional or national conferences to discuss on-going changes in the industry, operational techniques, studio rental developments, training, bookkeeping, accounting, advertising programs and new service procedures. We may require you to attend these conferences at our then-current conference attendance fee, currently $500 per attendee. If we charge a conference fee, you will be required to pay the fee regardless of your attendance at the conference (See Item 6). You must pay all of the travel and living expenses for you and any other employees who attend. These conferences will be held at our corporate headquarters or at another location chosen by us. We estimate the cost of the travel and living expenses to attend the conferences to be between $1,500 and $3,000. We may provide other trainings/conferences from time to time, and you may be required pay an Additional Training Conference

[Item 11: FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING]

We may extend the deadline for acquisition of a Site by 90 days in our sole discretion, and we may require you to pay a $2,500 extension fee and execute a general release as a condition of us agreeing to grant such extension.

We will approve or disapprove your proposed Site within 30 days after we receive notice from you of your proposed Site. (See Section 8.02 and 10.01 of the Franchise Agreement).

If you enter into a ADA with us, then upon execution of the ADA, we will designate an exclusive Development Area within which you will develop and establish franchised locations.

You must execute our then-current form of franchise agreement for each franchised location to be developed under an ADA.

For each franchised location under a Franchise Agreement executed pursuant to an ADA, we will approve the Site, and provide the site selection assistance, in accordance with such Franchise Agreement as summarized in this Item 11 and in Item 12.

We generally do not own your premises and lease it to you. (See Sections 1.1 and 3.1 of ADA.)

Upon your request, provide you advice about the negotiation of the lease or purchase of a location for your Beauty Bungalows Franchise, which will be leased or purchased by you from independent third parties.

We do not own premises that are then leased to you.

We are not acting as your direct representative or attorney in lease negotiations and our assistance in no way constitutes a representation or warranty with respect to the lease or purchase. (See Section 8.02 and 10.01 of the Franchise Agreement)

Provide information regarding our pre-approved salon equipment vendors, design firms and beauty supplies for your opening inventory and supplies used in the Business.

We do not deliver to or install any of these items in your Business.

We will advise you regarding the planning and execution of a grand opening event at or around the time of opening your Beauty Bungalows Franchise.

We are under no obligation to assist you in establishing prices, such as setting minimum and/or maximum prices at which you must sell products and services.

Prior to opening your Beauty Bungalows franchise, we will provide training to you as follows:

TRAINING PROGRAM


[Item 11: FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING]

Our training materials will consist of the Operations Manual, real-time, or recorded virtual training sessions delivered via video conference, online database or other learning management system, and live instruction. We conduct our training programs at least once per calendar quarter, but we reserve the right to hold training more or less often. You or your designated Manager must attend training, but we do not charge an additional fee for this training or service unless more than three persons are attending. You will, however, be required to pay the travel and living expenses for you, your designated Manager, and your employee(s) who attend training. All training, except any on-site training, will be held at our corporate headquarters in Costa Mesa, California virtually, or at another designated location. You must complete this training to our satisfaction or repeat this training, at no cost, prior to commencing operation of your Beauty Bungalows Franchise. Training is conducted or supervised by our CEO, Traci Hawkins. Ms. Hawkins has been our CEO since our formation and has been working in the salon services industry since 2005. Training may also be conducted by one or more of our staff trainers, all of whom have at least 1 year of experience in the salon services industry. After satisfactorily completing this initial training, there is no mandatory training requirement, however, you may be required to attend mandatory conferences (See Item 11 and Sections 8.04 and 8.05, Franchise Agreement).

We may also provide to you on-site initial training at your Beauty Bungalows Franchise location and assistance with respect to opening activities within the first four weeks of the operation of your Franchise at no additional cost to you, but we are under no obligation to do so. (See Section 8.07, Franchise Agreement).

  1. Approve, if it meets our standards and specifications for approval, plans submitted for the design of your Franchise. Construction or remodeling, if needed, should begin as soon as possible after signing the Franchise Agreement, but, in any case, will not begin later than twelve months after signing the Franchise Agreement. You must purchase cabinetry, doors and interior signage, and design services from our approved supplier(s)

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 23–30)

What This Means (2025 FDD)

According to Beauty Bungalows' 2025 Franchise Disclosure Document, Item 11, titled "Franchisor's Assistance, Advertising, Computer Systems, and Training," contains information regarding franchisee training and assistance. Specifically, page 22 and 23 of the FDD also contain information regarding assistance, advertising and computer systems. Item 11 outlines both pre-opening obligations and ongoing assistance that Beauty Bungalows provides to its franchisees.

Prior to opening, Beauty Bungalows offers assistance with site selection, access to their confidential operating manual, and advice on site analysis. During the operation of the franchise, Beauty Bungalows offers continuing advisory services via telephone, inclusion of the franchisee's location on their website, marketing and promotional materials, and periodic regional or national conferences.

The training program includes the Operations Manual, virtual training sessions, and live instruction. The CEO, Traci Hawkins, or staff trainers conduct or supervise the training programs. Franchisees or their designated manager must attend the training. While there is no additional fee for the training itself (unless more than three people attend), franchisees are responsible for covering travel and living expenses for themselves, their manager, and any employees attending the training. After completing the initial training, attendance at mandatory conferences may be required.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.