If an Itan franchisee qualifies for both the Veterans Discount and the Conversion Discount, how are the discounts applied across multiple salon purchases?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
ise provided below.
Veterans Discount
If you qualify for the Veterans Discount, you pay us a $44,550 initial franchise fee for your 1st franchised Salon, which reflects a 10% discount ($4,950). To qualify, a person holding at least a 51% interest in the franchise must be an honorably discharged veteran of any branch of the United States military and provide us with a Form DD-214. If you purchase multiple Salons, the Veterans Discount will only be applied against the 1st Salon you purchase, except as provided below under Conversion Discount.
Conversion Discount
If you convert a Qualifying Conversion Salon to an iTAN Salon, you qualify for the Conversion Discount and pay us a $15,000 initial franchise fee. The Conversion Discount does not apply if you operated the pre-existing tanning salon less than 1 year prior to signing the Franchise Agreement. The Conversion Discount cannot be combined with the Veterans Discount for the purchase of a single Salon. However, if you qualify for the Veterans Discount and your first Salon qualifies for the Conversion Discount, we apply the Conversion Discount to your 1st franchised Salon and we apply the Veterans Discount to the next Salon you purchase that is
not a Conversion Salon.
Source: Item 5 — INITIAL FEES (FDD pages 10–11)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the application of the Veterans Discount and Conversion Discount cannot be combined for a single salon. However, if a franchisee qualifies for both discounts, Itan applies the Conversion Discount to the franchisee's first salon if it qualifies as a Conversion Salon. The Veterans Discount, which is a 10% discount ($4,950) off the initial franchise fee, is then applied to the next salon purchased that is not a Conversion Salon.
For example, if a veteran franchisee converts an existing tanning salon to an Itan salon, they will receive the Conversion Discount for the first salon. If they then purchase another new Itan franchise that is not a conversion, they will receive the Veterans Discount on the initial franchise fee for that second salon. This ensures that the franchisee can benefit from both discounts across multiple salon purchases, even though they cannot be combined for a single salon.
This policy provides an incentive for veterans to join the Itan franchise system and also encourages the conversion of existing tanning salons into Itan locations. It is important for prospective franchisees who qualify for both discounts to understand this application to maximize their savings on initial franchise fees.