After the 13th month, what is the minimum Royalty Fee that a My Salon Suite franchisee must pay?

According to My Salon Suite's 2025 Franchise Disclosure Document, franchisees are obligated to pay a royalty fee. For new or conversion centers, the royalty fee structure varies over time. During the initial six months of operation, franchisees pay a reduced royalty fee of 2.75% of Gross Revenues. This reduced rate is designed to allow franchisees to invest more in initial marketing efforts. From the 7th through the 12th month, the royalty fee increases to 5.5% of Gross Revenues.

Starting in the 13th month and continuing for the remainder of the franchise agreement, the royalty fee is the greater of $1,000 or 5.5% of the new Center's or Conversion Center's Gross Revenues. This means that even if 5.5% of a franchisee's Gross Revenues is less than $1,000, they are still obligated to pay a minimum of $1,000 as the royalty fee.

The royalty fees are due on the 10th day of the month following the month for which the fee applies, and payment is typically made via electronic transfer. Franchisees must authorize electronic transfers before commencing operations. While electronic transfer is the standard method, My Salon Suite retains the right to change the payment method at any time.