Franchise

Key Points for Franchise Discussion

  1. Franchise Fee & Term
    • One-time franchise fee: ₹5,00,000 (valid for 5 years, non-refundable).
    • Renewal fee after 5 years: ₹1,00,000.  
  2. Investment Requirement
    • Minimum investment: ₹15,00,000 onwards (depends on salon size & location).
    • Covers interior design, equipment, furniture, branded décor, consumables kit, and setup as per brand standards.
  3. Monthly Royalty
    • ₹25,000/month, payable by 5th of every month.
    • Includes brand usage, backend support, training, and centralized promotions.
    • Late fee: ₹1,000/day; 3 months non-payment may lead to termination.
    • Royalty increases 5% annually.
  4. Location & Premises
    • Space required: 600–1000 sq. ft. in high-footfall commercial areas.
    • Franchisor approves final location and executes complete interiors.
  5. Operational Guidelines
    • Services limited to hair care, skin care, manicure, pedicure (no body spa/massage).
    • Consumables & grooming materials must be purchased only from Franchisor.
    • Staff must wear approved uniforms; hygiene and professional behavior mandatory.
  6. Training & Staffing
    • Compulsory training for staff before launch (conducted by franchisor).
    • Refresher trainings provided; expenses of travel, food & stay for staff borne by franchisee.
  7. Marketing & Promotions
    • Centralized online promotions handled by franchisor.
    • Franchisees get ready-made professional content for local ads.
    • Independent advertising requires franchisor’s written permission.
  8. Other Conditions
    • Lock-in period: 12 months (franchisee can’t close before that).
    • Must sustain at least 24 months financially, even at break-even.
    • No other salon brand allowed within 5 km radius.
  9. Legal & Compliance
    • Franchisee must handle licenses, GST, labor compliance, etc.
    • Disputes resolved via arbitration in Guwahati.