Does Itan evaluate sites proposed by the franchisee for their Salon?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
Before you open your Salon, we will:
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- Evaluate sites you propose for your Salon, as discussed below under "Site Selection". (§7.1)
Site Selection (§7.1 & 7.2)
A typical Salon is 1,500 to 2,000 square feet (1,700 square feet is recommended) with 10 to 15 rooms. Salons are generally located in strip centers, preferably in close proximity to tenants that generate significant traffic including gyms, grocery stores, hair and nail salons, dry cleaners, coffee shops, etc. Salons should be highly visible, easily accessible and located on the ground floor with direct access from parking.
We do not select the site for your Salon and we do not purchase the premises and lease it to you. You must identify and obtain our approval of the site for your Salon within 90 days after signing the Franchise Agreement. We may terminate your Franchise Agreement if you fail to meet this deadline or if we cannot agree on a site.
Your Salon must be located within the Site Selection Area identified in Part C of ATTACHMENT "A" to the Franchise Agreement and conform to our minimum site selection criteria. You must send us a complete site report that includes all information we require about your proposed site. We try to approve or disapprove sites within 30 days after we receive the required materials. Your site is deemed disapproved if we fail to issue our written approval within the 30-day period. We consider the following factors when reviewing proposed sites:
- general location, visibility, size, condition and characteristics of the building
- parking and accessibility
- traffic counts and patterns
- existence and location of competitive businesses and anchor tenants / traffic generators
- general character of the neighborhood, local demographic data and economic indicators
- Lease Addendum terms
If we approve your site before signing the Franchise Agreement, we will list the address in Part D of ATTACHMENT "A" to the Franchise Agreement. Otherwise, we will list the address of your approved site in a Site Approval Notice that we send to you after approving your site. If you sign an ADA, we must approve the site for each Salon you develop applying our then-current site selection criteria.
We do not review the terms of your lease. If you lease the premises for your Salon, you must use best efforts to cause your landlord to sign the Lease Addendum attached to the Franchise Agreement as ATTACHMENT "C". The Lease Addendum is designed to protect our interests. If your landlord refuses to sign the Lease Addendum in substantially the form attached to the Franchise Agreement, we may either (a) waive the Lease Addendum requirement (or the provisions disapproved by the landlord) or (b) require you to find a new site for your Salon. You and the landlord must sign the lease and Lease Addendum within 60 days after we approve your site.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 22–31)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, Itan does evaluate sites proposed by the franchisee for their Salon. Itan does not select the site or purchase/lease the premises for the Salon; the franchisee is responsible for identifying a site for Itan's approval within 90 days of signing the Franchise Agreement. Failure to meet this deadline or agree on a site may result in termination of the Franchise Agreement. The Salon site must be within the Site Selection Area specified in ATTACHMENT "A" of the Franchise Agreement and meet Itan's minimum site selection criteria.
The franchisee must submit a complete site report with all required information about the proposed site. Itan tries to approve or disapprove sites within 30 days of receiving the required materials; failure to issue written approval within this period results in automatic disapproval. When reviewing proposed sites, Itan considers factors such as the general location, visibility, size, condition, characteristics of the building, parking, accessibility, traffic counts and patterns, the existence and location of competitive businesses and anchor tenants, the general character of the neighborhood, local demographic data, economic indicators, and Lease Addendum terms.
If Itan approves the site before the Franchise Agreement is signed, the address will be listed in Part D of ATTACHMENT "A" to the Franchise Agreement. Otherwise, the address of the approved site will be listed in a Site Approval Notice sent after approval. If the franchisee signs an Area Development Agreement (ADA), Itan must approve the site for each Salon developed, applying its then-current site selection criteria. Itan does not review the terms of the franchisee's lease. The franchisee must use best efforts to have their landlord sign the Lease Addendum attached to the Franchise Agreement as ATTACHMENT "C", which is designed to protect Itan's interests. If the landlord refuses to sign the Lease Addendum, Itan may either waive the requirement or require the franchisee to find a new site. The lease and Lease Addendum must be signed by the franchisee and landlord within 60 days of site approval.