factual

Does Itan require the Managing Owner to provide onsite management of the Salon?

Itan Franchise · 2025 FDD

Answer from 2025 FDD Document

ITEM 15 OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS

Ownership Participation

You must designate an owner with overall responsibility for the management and operation of your Salon (the "Managing Owner"). The Managing Owner must: (a) be approved by us; (b) successfully complete all training programs we require; (c) dedicate full-time efforts to the Business; and (d) at all times hold at least a 20% ownership interest in the franchise (or the entity that is the franchisee under the Franchise Agreement) unless we waive this requirement. The Managing Owner is not required to provide onsite management of your Salon as long as a trained manager is onsite. Any new Managing Owner you appoint must successfully complete our then-current initial training program before assuming responsibility for the management of your Salon.

We do not require that any of your other owners personally participate in the operation or management of your Business. If you are an entity, each owner (i.e., each person holding a direct or indirect ownership interest in the entity) and the spouse of each owner must sign the Franchise Owner Agreement attached to the Franchise Agreement as ATTACHMENT "D". By signing the Franchise Owner Agreement, the owner (or spouse of the

owner) agrees to: (a) comply with all brand protection covenants, covenants that protect our intellectual property and transfer restrictions in the Franchise Agreement; and (b) guarantee the franchisee'

Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 35–36)

What This Means (2025 FDD)

According to Itan's 2025 Franchise Disclosure Document, the Managing Owner is not required to provide onsite management of the salon if a trained manager is present. The Managing Owner must be approved by Itan, complete all required training programs, dedicate full-time efforts to the business, and maintain at least a 20% ownership interest in the franchise, unless Itan waives this requirement.

You may hire general managers to assist the Managing Owner with onsite management and supervision. General managers must be approved by Itan, complete all required training programs, and sign a Brand Protection Agreement. The Managing Owner is responsible for supervising the general manager to ensure the salon operates according to the Franchise Agreement and Manual.

Either the Managing Owner or a general manager must be present at the Itan salon for at least 40 hours per week. During normal business hours, if neither the Managing Owner nor a general manager is onsite, either must be readily accessible by telephone or email. This provides flexibility in managing the salon while ensuring adequate supervision and accessibility.

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.