Can My Salon Suite terminate the Brand Building Fund?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
Although the Brand Building Fund is intended to be of perpetual duration, Franchisor may terminate the Brand Building Fund.
The Brand Building Fund will not be terminated, however, until all moniesin theBrandBuilding Fund have been expended for advertising or promotional purposes or returned to contributing respective contributions.
- (4) If Franchisor elects to terminate the Brand Building Fund, Franchisor may, in its sole discretion, reinstate the Brand Building Fund at any time.
If Franchisor chooses to reinstate the Brand Building Fund, the reinstated Brand Building Fund shall be operated as described herein.
Source: Item 23 — RECEIPTS (FDD pages 95–230)
What This Means (2025 FDD)
According to the 2025 My Salon Suite Franchise Disclosure Document, My Salon Suite may terminate the Brand Building Fund. However, the FDD stipulates that the Brand Building Fund will not be terminated until all monies in the fund have been expended for advertising or promotional purposes, or returned to contributing franchisees based on their respective contributions.
My Salon Suite also reserves the right to reinstate the Brand Building Fund at any time, should it elect to terminate it. If reinstated, the Brand Building Fund will operate as described in the franchise agreement.
This clause provides some assurance to franchisees that contributions to the Brand Building Fund will be used appropriately, even if My Salon Suite decides to discontinue the fund. Prospective franchisees should consider the implications of the fund's potential termination and reinstatement, and how this might affect marketing and brand support for their individual My Salon Suite locations.