What standards must a transferee meet to be approved by My Salon Suite?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
(10) The transferee must obtain, within the time limits set by Franchisor, and maintain thereafter, all permits, and licenses required for the operation of the Franchised Business;
(11) To the extent required by the terms of any leases or other agreements, the lessor or other parties must have consented to the proposed transfer;
(12) The transfer must be made in compliance with any laws that apply to the transfer, including state and federal laws governing the offer and sale of franchises;
(13) The purchase price and terms of the proposed transfer are not so burdensome to the prospective transferee as to impair or materially threaten its future operation of the Franchised Business and performance under its franchise agreement;
(14) (a) Franchisee has corrected any existing deficiencies of the Franchised Business of which Franchisor has notified Franchisee on a punch list or in other communications, and/or (b) the transferee agrees (if the transfer is of this Agreement) to upgrade, remodel, expand and/or refurbish the Franchised Business and to add or replace services, equipment, and/or other items required to operate the Franchised Business, in accordance with Franchisor's then current requirements and specifications for My Salon Suite Franchised Businesses within the time period Franchisor specifies following the effective date of the transfer;
(15) Franchisee must request that Franchisor provide the prospective transferee with Franchisor's current form of disclosure document and Franchisor shall not be liable for any representations not included in the disclosure document;
(16) Franchisor's approval of the transfer shall not constitute a waiver of any claims Franchisor may have against the transferring party;
(17) Franchisor shall have the right to disclose to any prospective transferee such revenue reports and other financial information concerning Franchisee and Franchisee's Franchised Business as Franchisee has supplied Franchisor hereunder; and
(18) In any event, Franchisor may withhold or condition Franchisor's consent to any transfer as Franchisor deems appropriate based on the circumstances of the transfer or otherwise.
Source: Item 23 — RECEIPTS (FDD pages 95–230)
What This Means (2025 FDD)
According to the 2025 My Salon Suite Franchise Disclosure Document, a transferee must meet several standards to gain approval. These include obtaining and maintaining all necessary permits and licenses for operating the franchised business within the time limits set by My Salon Suite. Additionally, if leases or other agreements require consent for the transfer, the lessor or relevant parties must provide it. The transfer must also comply with all applicable laws, including state and federal laws governing franchise sales.
Furthermore, the purchase price and terms of the transfer should not be so burdensome that they impair the transferee's ability to operate the business successfully or meet their obligations under the franchise agreement. The franchisee must also correct any existing deficiencies in the franchised business that My Salon Suite has identified. Alternatively, the transferee can agree to upgrade, remodel, expand, or refurbish the business to meet My Salon Suite's current standards and specifications within a specified timeframe.
My Salon Suite also requires the franchisee to ensure that the prospective transferee receives the current disclosure document and clarifies that it is not liable for any representations not included in that document. Approval of the transfer by My Salon Suite does not waive any claims it may have against the transferring party. My Salon Suite retains the right to disclose revenue reports and other financial information about the franchisee and their business to potential transferees. Ultimately, My Salon Suite reserves the right to withhold or condition its consent to any transfer based on the specific circumstances or other considerations.