Will My Salon Suite provide notice before charging a non-compliance fee?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor will provide written notice to Franchisee before charging the non-compliance fee.
Source: Item 23 — RECEIPTS (FDD pages 95–230)
What This Means (2025 FDD)
According to My Salon Suite's 2025 Franchise Disclosure Document, My Salon Suite will provide written notice to a franchisee before charging a non-compliance fee. This fee may be charged if the franchisee is in default of any provision of the Franchise Agreement and fails to cure the default after receiving notice from My Salon Suite.
The non-compliance fee is 2.5% of the franchisee's Gross Revenues. Of this, 2% is payable to My Salon Suite in the same manner as the Royalty Fee, and 0.5% is payable to the Brand Building Fund in the same manner as the Fund Contribution. This fee continues until the franchisee cures the default.
The FDD specifies that the noncompliance fee is in addition to any other applicable fees or penalties outlined in the Franchise Agreement. This means that franchisees could face multiple financial consequences for a single default. Franchisees should be aware of the conditions that could trigger this fee and the importance of promptly addressing any defaults to avoid the additional financial burden.