What are the acceptable methods of payment for fees to My Salon Suite?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
ts**. Upon thirty (30) days written notice by Franchisor, Franchisee must begin sending Franchisor a signed Gross Revenues report (the "Gross Revenues Report") on or before the 5th of each month detailing the following information from the preceding calendarmonth:(i) GrossRevenues ofthe FranchisedBusiness;(ii) Franchisee's calculatedRoyalty Fee and Fund Contribution based on such Gross Revenues; and (iii) any other information Franchisor may require for that reporting period. Franchisor may periodically change the form and content of the Gross Revenues Reports.
F. Method of Payment.
(1) EFT Program. Except for the Initial Franchise Fee, Franchisee shall pay all fees due to Franchisor underthis Franchise Agreement through an electronic fundstransfer("EFT"). At least ten (10) days prior to opening the Franchised Business, Franchisee shall provide Franchisor with: (i) Franchisee's bank name, address, and account number; and (ii) a voided check from such bank account. Contemporaneous with the execution of this Franchise Agreement, Franchisee shall sign and provide to Franchisor and Franchisee's bank, all documents, including Franchisor's form of EFT Authorization Form attached to this Franchise Agreement as Attachment C, necessary to effectuate Franchisor's ability to withdraw fundsfrom such bank account via EFT. Franchisee shall immediately notify Franchisor of any change in Franchisee's banking relationship, including changes in account numbers. Franchisor shall have the right to periodically specify (in the Manual or otherwise in writing) different payees and/or payment methods, such as, but not limited to, weekly/biweekly payment, payment by auto-draft, and payment by check. Franchisor reserves the right to charge a service fee of up to four percent (4%) for any payment paid to it or its Affiliates by credit card.
(2) Non-Submission of Gross Revenues Reports. If the Gross Revenues Report has not been received asrequired by this Franchise Agreement, then Franchisor may process an EFT for the month based on the most recent Gross Revenues Report provided by Franchisee to Franchisor, provided, that if a Gross Revenues Report for the month is subsequently received and reflects (i) that the actual amount of the fee due was more than the amount of the EFT, then Franchisor shall be entitled to withdraw additional funds through EFT from Franchisee's designated bank account for the difference; or (ii) that the actual amount of the fee due was less than the amount of the EFT, then Franchisor shall credit the excess amount to the payment of Franchisee's future obligations.
(3) Right to Modify Payment Interval or Method. Franchisor reservesthe right to modify its method or interval for collecting any fees Franchisee must pay under this Franchise Agreement upon notice to Franchisee, and Franchisor may provide such notice via the Manual or any other manner that Franchisor deems appropriate.
G. Late Payments and Interest. Any amounts due to the Franchisor under this Franchise Agreement, including without limitation, Royalty Fees and Fund Contributions and amounts due for purchases made by Franchisee from Franchisor or its Affiliates, that are not received by Franchisor (or, if appropriate, its Affiliate) by the due date for said payment will bear interest until it is paid in full at the lesser of the rate of one and one half percent (1.5%) per month, or the maximum rate permitted by law. If any check or EFT pa
Source: Item 23 — RECEIPTS (FDD pages 95–230)
What This Means (2025 FDD)
According to My Salon Suite's 2025 Franchise Disclosure Document, franchisees are generally required to pay fees via electronic funds transfer (EFT). The only exception to this is the initial franchise fee. Franchisees must provide their bank details and a voided check to My Salon Suite at least 10 days before opening their franchise. They also need to sign an EFT Authorization Form, which allows My Salon Suite to withdraw funds from their account. Franchisees are responsible for notifying My Salon Suite of any changes to their banking information.
My Salon Suite retains the right to modify payment methods or intervals, including options like weekly/bi-weekly payments, auto-draft, or check payments. They can communicate these changes through the Manual or other written notices. If a franchisee's Gross Revenues Report is not submitted as required, My Salon Suite can process an EFT based on the most recent report available. Adjustments will be made in subsequent payments if the actual fee due differs from the estimated EFT amount.
My Salon Suite reserves the right to charge a service fee of up to 4% for payments made via credit card. If an EFT payment fails due to insufficient funds or a similar issue, the franchisee will be charged a $100 fee per occurrence. Late payments will incur interest at a rate of 1.5% per month, or the maximum rate permitted by law, in addition to a $50 daily late fee for Royalty Fees, Brand Building Fund contributions, or Technology Fees.