What employment decisions and functions is the My Salon Suite franchisee solely responsible for?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee is solely responsible for selecting, retaining, and paying Franchisee's employees; the payment of all invoices for the purchase of goods and services used in connection with operating the Franchised Business; and determining whether, and on what terms, to obtain any financing or credit which Franchisee deems advisable or necessary for the conduct of the Franchised Business.
Franchisee agrees to pay all current obligations and liabilities to vendors, lessors, and creditors on a timely basis.
Franchisee agrees to indemnify Franchisor if Franchisor is held responsible for debts owed by Franchisee if Franchisor elects to pay any of Franchisee's obligations to preserve the relationship between vendors and franchisees.
Franchisee agrees to make prompt payment of all federal, state, and local taxes, including individual and corporate taxes, sales and use taxes, franchise taxes, gross receipts taxes, employee withholding taxes, FICA taxes, personal property and real estate taxes arising from Franchisee's operation of the Franchised Business.
Franchisee agrees to indemnify Franchisor if Franchisor is held responsible for these taxes.
Source: Item 23 — RECEIPTS (FDD pages 95–230)
What This Means (2025 FDD)
According to My Salon Suite's 2025 Franchise Disclosure Document, the franchisee has several key responsibilities related to employment and financial obligations. Specifically, the franchisee is solely responsible for selecting, retaining, and paying their employees. This means the franchisee has full autonomy in deciding who to hire, how to manage them, and what to pay them, within the bounds of applicable labor laws.
In addition to employment-related responsibilities, the My Salon Suite franchisee is also responsible for managing the financial aspects of their business. This includes paying all invoices for goods and services used in operating the franchised business. Franchisees also determine whether to obtain financing or credit and on what terms. They are obligated to pay vendors, lessors, and creditors on time and must indemnify My Salon Suite if the franchisor is held responsible for the franchisee's debts.
Furthermore, the franchisee is responsible for the prompt payment of all federal, state, and local taxes, including individual and corporate taxes, sales and use taxes, franchise taxes, gross receipts taxes, employee withholding taxes, FICA taxes, personal property, and real estate taxes arising from the operation of their My Salon Suite franchise. The franchisee also agrees to indemnify My Salon Suite if the franchisor is held responsible for these taxes. These stipulations highlight the franchisee's independence and accountability in managing their business's operations and finances.