What expenses are included in 'General Operating Expenses' for a My Salon Suite franchise?

According to My Salon Suite's 2025 Franchise Disclosure Document, general operating expenses include several categories of cash expenses that a franchisee will likely incur while running the business. These include professional fees for services like accounting or legal advice, costs for repair and maintenance of the premises and equipment, and insurance premiums to cover various business risks. Additionally, franchisees can expect to pay for permits and fees required by local authorities, as well as communication expenses such as telephone and internet services.

Furthermore, general operating expenses for a My Salon Suite location encompass utility costs such as water, sewer, garbage disposal, electricity, and gas. Office-related expenses, advertising and marketing costs to attract and retain clients, technology fees for software or online platforms, and expenses related to the security system are also included. The FDD notes that franchisees may incur other expenses not specifically listed in the definition, and that general operating expenses are cash expenses only, excluding noncash expenses like amortizing equipment.

Prospective franchisees should carefully consider these included expenses when projecting their potential profitability. Understanding which costs are classified as general operating expenses is crucial for accurate financial planning. It is important to note that the franchisor is unable to verify the accuracy of the expense information provided by My Salon Suite franchisees and makes no representations or warranties regarding the same. Franchisees are urged to consult with appropriate financial, business and legal advisors in connection with the information set forth in the FDD.