For My Salon Suite, what must a franchisee do to exercise the option to own and operate each Additional Franchised Business?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Conditions for Exercising Franchisee's Option. To exercise Franchisee's option for Franchised Businesses after Franchisee's Initial Franchised Business, you must satisfy the following conditions as Franchisor may determine in its sole discretion:
7.1.
You must not be in default of this Agreement, Franchisee's Initial Franchise Agreement, any Additional Franchise Agreement, or other any other agreement between you and Franchisor, and must have fully performed all Franchisee's material obligations under these agreements throughout their respective terms;
7.2 You must have opened Franchisee's Initial Franchised Business and, if appropriate, all subsequent Franchised Businesses, within the time periods prescribed in the Development Schedule;
7.3 Neither this Agreement, nor any of the franchise agreements you previously entered into with Franchisor may have expired or been terminated for any reason;
7.4 You have timely paid any fees or other monies due Franchisor as and when due under the terms of the Initial Franchise Agreement or any other agreement with Franchisor; and
7.5 There must be no change in the effective control of you (by way of change in share ownership, membership, or partnership interest, or otherwise) without Franchisor's written consent.
7.6 You and Franchisee's owners must satisfy Franchisor's then-current requirements for My Salon Suite franchisees, including Franchisor's candidate review processes, standards and financial requirements, as well as Franchisor's franchisee approval process.
Source: Item 23 — RECEIPTS (FDD pages 95–230)
What This Means (2025 FDD)
According to My Salon Suite's 2025 Franchise Disclosure Document, a franchisee must meet several conditions to exercise their option for additional franchised businesses after opening their initial location. My Salon Suite retains sole discretion in determining whether these conditions are met.
First, the franchisee must not be in default of the initial agreement, any additional franchise agreements, or any other agreements with My Salon Suite. They must have fully performed all material obligations under these agreements throughout their terms. The franchisee must have opened their initial franchised business, and any subsequent franchised businesses, within the time periods outlined in the Development Schedule.
Additionally, neither the original agreement nor any franchise agreements previously entered into with My Salon Suite can have expired or been terminated for any reason. All fees and monies due to My Salon Suite must be paid on time under the terms of the Initial Franchise Agreement or any other agreement. Finally, there cannot be any change in the effective control of the franchisee without My Salon Suite's written consent, and the franchisee and their owners must satisfy My Salon Suite's then-current requirements for franchisees, including candidate review processes, standards, and financial requirements, as well as the franchisee approval process.