factual

What is the due date for the Grand Opening fee for a My Salon Suite franchise?

My_Salon_Suite Franchise · 2025 FDD

Answer from 2025 FDD Document

nchise.

OTHER FEES

Type Of Fee (1) Amount Due Date Remarks
Royalty Fee (2) If you are a new Center or a Conversion Center you will pay 2.75% of Gross Revenues for the first 6 months. Beginning the 7 th month through the 12 th month you will pay 5.5% of Gross Revenues for . Beginning the 13th month after your Franchised Business opens through the end of the term of the Franchise Agreement, you will pay the greater of $1,000 or 5.5% of Gross Revenues. On or before The "Royalty Fee" is based on "Gross Revenues" during the previous month. The reduction in the Royalty Fee for the first 6 months is not applicable to the purchase of a Resale Center.
the 10th day of
each month
Brand Building Fund Contribution Currently a minimum of $200 per month. We may increase this up to 2% of your monthly Gross Revenues. Same as This contribution will be used for a "Brand Building Fund" for our use in promoting and building our My Salon Suite franchise brand.
Royalty Fee.
Technology Fee Then-current fee (currently $170 per month for a Franchised Business Same as We may charge you a monthly fee for any custom or proprietary software for use in your Franchised Business.
Royalty Fee
Grand Opening Currently a minimum of $15,000. Upon demand This fee is used to promote and advertise the grand opening of your Franchised Business.
Advertisement (3)
Unauthorized Advertising Fee $500 per occurrence Upon demand This fee is payable to us or, if established, the Brand Building Fund, if you use unauthorized advertising, including websites and social media, in violation of the terms of the Franchise Agreement.
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Site Selection Assistance Then-current fee (currently $500 per day plus travel and living expenses) As incurred We provide 1 initial site tour and training session at no charge. We may send a representative to travel any proposed location for the Franchised Business and provide an on-site evaluation of the premises.
Insurance Policies Cost of insurance premiums and any cost incurred by us On demand If you fail to obtain insurance, we may obtain insurance for you, and you must reimburse us for the cost of insurance obtained.
Initial Training for Additional Persons $2,000 per person As incurred We provide initial training at no charge for up to 2 people. If you desire to bring additional persons, you will incur this fee.
Additional Assistance and Training Then-current fee (currently $500 per day plus travel and living expenses) As incurred We may establish and require you to attend additional training programs for a certain number of days each year. We may charge you for training newly hired personnel, refresher training courses, advanced training courses, and additional or special assistance or training you need or request. See Item 11 for additional information.
Annual Conference Fee (4) Then-current fee (currently $750 - $950 per person). Non-attendance fee is currently $2,000. Upon demand Payable to us to help defray the cost of your attendance at any annual conference of all franchisesthat we choose to hold. This fee is due regardless of whether or not you attend our annual conference in any given year. You will also be charged an additional fee for non-attendance.
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Inspection and Testing The costs we incur in testing/inspecting your proposed product/vendor (estimated to be between $100 to $500) As incurred Payable if we inspect a new product,service, or proposed vendor nominated by you.
ResaleConsulting Fee(5) $7,500 50% on signing Resale Services Consulting Agreement and 50% paid at closing. You may request that we assist you in selling your Franchised Business. The Resale Consulting Fee is due only if you use our services in selling your Franchised Business.
CustomerIssue Resolution Reasonable costs we incur for responding to a customer complaint, which varies On invoice Payable if a customer of the Franchised Business contacts us with a complaint and we provide a refund, or other value to the customer as part of our addressing the issue.
Payment Service Fees Up to 4% of total charge As incurred If payment is made to us or our affiliates by credit card for any fee required, we may charge a service charge of up to 4 % of the total charge.
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Interest Lesser of 1.5% per month or the maximum rate permitted by law As incurred Payable if any payment due to us or our affiliates is not made by the due date. Interest accrues from the original due date until payment is received in full.
ReturnedCheck or Insufficient Funds Fee $100 per occurrence As incurred Payable if any check or EFT payment is not successful due to insufficient funds, stop payment, or any similar event.
Late Fee for Required Payments $50 per day As incurred Payable if you fail to remit any Royalty Fee payment or any Brand Building Fund Contribution when due.
Failure to Submit Required Report $100 per occurrence and $50 per day Your bank account will be Payable if you fail to submit any required report
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Fee debited or financial statement
for
Failure to when
due.
Fines
collected
Submit any are paid to the Brand
requested Building Fund, if
report within 5 established, or us. You
days of request will continue to incur this fee until you submit the
required
report.
Non-Compliance 2.5% On-demand, If you are in default of
of
Gross
Revenues
Fee following your your Franchise Agreement
failure to cure a and you fail to timely cure
default.

Source: Item 5 — Initial Fees (FDD pages 18–28)

What This Means (2025 FDD)

According to My Salon Suite's 2025 Franchise Disclosure Document, the Grand Opening Advertisement fee, which is currently a minimum of $15,000, is due upon demand. This fee is specifically designated to promote and advertise the grand opening of the franchisee's My Salon Suite business.

This means that My Salon Suite can request this payment from the franchisee at any time. It is important for prospective franchisees to be aware of this 'upon demand' payment term, as it differs from fees with fixed due dates. Franchisees should budget accordingly to ensure they have the funds available when My Salon Suite requests the Grand Opening Advertisement fee.

Unlike some other fees that may be paid over time or have specific payment schedules, the Grand Opening Advertisement fee requires franchisees to be prepared for an immediate payment request. Understanding this condition is crucial for managing the initial investment and cash flow during the launch of the My Salon Suite franchise.

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.
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