Dear Disgruntled:
The key word is “contract.” A contract is basically an enforceable promise. A well-written contract will state clearly both parties’ responsibilities and include a breakdown of what expenses are covered. As a booth renter you are a small business owner and are responsible for issuing 1099s, keeping business records, and carrying the required insurance. You could incur operating expenses such as advertising, phone, credit card processing, and cleaning service, just to name a few. Depending on how your contract is written, the salon owner may have you make a single payment with a breakdown of how much each expense is costing you.
Example:
Rent $350
Phone line $50
Cleaning $50
Beverage bar $25
Advertising $150
______________________
Total payment: $625
Or your contract might read that you are responsible to pay each expense separately.
Example:
Monthly checks will be written to each vendor to cover the follow expenses:
Salon owner/rent $350
Mary Joe/receptionist $100
USA Phone Systems $50
Merry Maids $50
Beverage bar (cash) $25
Advertising fund $150
It isn’t right for the salon owner to randomly charge you for things that weren’t previously agreed on. If new situations arise such as the need to advertise because business has taken a sudden dip, the owner should approach each booth renter and a new agreement should be reached. If it isn’t a one-time expense and it becomes reoccurring, then the contract should be amended.
I also suggest having an escape clause built into your contract that allows you or the salon owner a way out of the contract if something unforeseen occurs such as an illness.
Veteran nail tech Shari Finger — owner of Finger’s Nail Studio in W. Dundee, Ill. — fields reader questions in the areas of salon management and workplace politics. If you have a question for Shari, e-mail it to judy.lessin@bobit.com.