Does the My Salon Suite franchisor have the power to hire or fire the franchisee's employees?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
hisee must obtain its own local telephone number for use in connection with the Franchised Business, which must be listed under the Proprietary Mark "My Salon Suite" or other listing designated by Franchisor when displayed in any traditional or electronic directory. This telephone number must be used exclusively in connection with Franchisee's operation of the Franchised Business. Any telephone listing Franchisee has in any directory must be approved by Franchisor prior to publication. Upon the expiration, transfer, or termination of this Franchise Agreement for any reason, Franchisee must cease all such use of such telephone number(s) and listings, at Franchisor's option, listing(s) and assign same to Franchisor or Franchisor's designee.
- I. Payment of Debts. 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.
- J. Compliance with Applicable Laws.
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 is responsible for hiring and retaining their own employees. The FDD states that the franchisee is solely responsible for selecting, retaining, and paying their employees. This indicates that My Salon Suite franchisees have the authority to make their own hiring and firing decisions.
However, My Salon Suite does maintain certain training requirements for staff. The franchisee's Franchised Business must always be staffed with at least one individual who has successfully completed My Salon Suite University. If a Designated Manager is appointed to oversee day-to-day operations, that manager must be approved by My Salon Suite in writing prior to hiring and must successfully complete My Salon Suite University before assuming managerial responsibilities.
While My Salon Suite mandates training and may need to approve a Designated Manager, the franchisee retains the direct responsibility for employment decisions and financial obligations related to their staff. This is a fairly standard arrangement in franchising, where the franchisee operates as an independent business owner.