Do the labor costs reported by Face Foundrie include a salary for the owner?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
The labor costs include payroll and professional fees.
These figures do not include salary for the owner, but do include the salary for a Salon Manager.
These figures also do not include a management fee paid to our affiliate for certain administrative expenses, as that is an expense that would not apply to the operation of a franchised Facial Bar.
In 2024, the Edina location averaged 24-28 employees on payroll, the Minneapolis location averaged 18-20 employees on payroll, and the Maple Grove location averaged 18-20 employees on payroll.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 59–69)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, the labor costs reported for the corporate Facial Bars do not include a salary for the owner. However, these costs do include the salary for a Salon Manager. This is important for prospective franchisees to understand because the financial performance figures presented are based on the performance of corporate Facial Bars, and these figures do not reflect an owner's salary.
This means that a franchisee who plans to work as the owner-operator of their Face Foundrie location should factor in a salary for themselves when projecting their potential earnings. The FDD indicates that the labor costs include payroll and professional fees, but explicitly excludes the owner's salary. This distinction is crucial for accurately assessing the profitability of a franchised Face Foundrie business.
Furthermore, the FDD clarifies that the figures also do not include a management fee paid to Face Foundrie's affiliate for certain administrative expenses, as this fee would not apply to franchised Facial Bars. In 2024, the Edina location averaged 24-28 employees on payroll, the Minneapolis location averaged 18-20 employees on payroll, and the Maple Grove location averaged 18-20 employees on payroll. Therefore, a prospective franchisee should consider these factors and conduct their own independent investigation to determine the potential costs and expenses they will incur in operating their Face Foundrie franchise.