What is the Development Fee for Salon 6 under the Itan franchise agreement?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
Multi-Unit Discount is set forth below:
| Salon | Discount | Initial Franchise Fee | Development Fee (Imposed under ADA) |
|---|---|---|---|
| Salon 1 | No discount ( |
Source: Item 6 — OTHER FEES (FDD pages 11–15)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the Development Fee for Salon 6 is $231,500. This fee is imposed under the Area Development Agreement (ADA). The ADA requires a minimum of 3 units to be developed.
It's important to note that this fee is in addition to the Initial Franchise Fee, which for Salon 6 is $32,000 after a $17,500 discount. The Development Fee structure varies depending on the number of salons a franchisee commits to developing under the ADA.
Prospective Itan franchisees should carefully consider the financial commitment required for area development, including both the Initial Franchise Fee and the Development Fee, and understand the obligations under the Area Development Agreement.