4 Things You Should Know…Booth/Suite Renting from behindthechair.com

4 Things To Know About Salon Suite & Booth Rental Agreements

“These are four of the hottest topics that continue to keep salon owners and booth renters at odds with one another, and some guidelines to help sort through the questions,” states Judiffier Pearson in her best-selling book, “To Rent or Not To Rent”. If you’re considering booth renting in an established salon, it’s in your best interest to make sure these topics are covered in your rental agreement.

1. KEYS. Although a salon owner is not required to give booth renters keys, there should be a section of your lease agreement that specifies hours of operation in the salon, if you don’t have 24-hour access. You should be allowed to set your own schedule for any hours within the set range of operation. Make sure you have this in writing for legal reasons. If an owner or landlord chances the hours of operation, this disrupts your flow of business.

2. RETAIL. Booth renters have the right to retail their own salon products without interference from the owner/landlord. Because booth renters have their own clientele, the salon owner/landlord should not be soliciting sales from the renters’ clientele. In your lease agreement, if it’s your decision to retail exclusively to your clients, be sure to include language that permits you to do so and protects your business.

3. WALK-IN CUSTOMERS. Walk-ins can be a sticky situation in a traditional booth rental salon, if a system is not set up and enforced properly. There are many ways to distribute walk-ins, such as a rotation or creating a walk-in menu, so clients can view services, pricing and even photos of work offered by the available renters to make their own decision. The most proactive way to build clientele is not to depend on walk-ins, but to market your services. Depending on walk-ins is a lazy, hit-or-miss way to build your business. Put yourself out there and perform services that generate word of mouth referrals.

4. WHAT SHOULD BE INCLUDED IN RENT? In a traditional booth rental set-up, renters should have: a reception/waiting area, work station, chair(s), mirror, storage cabinet, shampoo bowl and hair dryer access, electrical outlets, and phone jacks, if necessary. Some salon owners may decide to offer access to a laundry room and break room. Renters should be responsible for their own “non-structural” items such as towels, business cards, marketing, products and any other supplies used to provide services.

As a booth renter, you’re operating a business within a business, so it’s up to you to make sure your rights are defined and protected by a written agreement. The four hot topics above are important points to include in your rental agreement, along with rental fees, due dates, procedures for lease renewal or notice to vacate, and the responsibility of utilities and liability insurance.

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