Renter’s contract

redlottie13

JUST BE NICE
#1
Hi all. So all of my staff bar one have agreed to go self employed. I have fallen out of love with my salon and if this continues to be drama I will be close and reopen a small room which is all I ever wanted.....but we got so popular Ive been playing catch up constantly.

Employing staff has been the worst mistake I've made and it doesn't matter how kind you are you get walked over, if you are assertive your a bi*ch.

So can anyone please give me any recommendations /tips and advice please. I'll have 4 staff paying a set rent

Do you agree having a contract written up is a good idea? I get them through nhf anyway.....

Are they allowed to work in another salon as well as mine or is this a conflict of interest?

Thanks all
 

rachelizabeth

Well-Known Member
#2
Have you read the thread at the top of the business section, guidelines for determining self employment? That should answer some of your questions. They’re not your staff anymore so they’re pretty much allowed to do what they want when it comes to running their business. The clients they do belong to them. I’m pretty sure they’re allowed to work in another salon too as they’re not your employee anymore so it isn’t really classed as a conflict of interest, as the clients they treat are no longer your clients. I’d definitely get a contract written up and be careful you’re not treating them as employees (I.e, telling them what hours to work, what to wear etc) as you can get in trouble with hmrc. Hope this helps a bit :)
 

#3
Hi all. So all of my staff bar one have agreed to go self employed. I have fallen out of love with my salon and if this continues to be drama I will be close and reopen a small room which is all I ever wanted.....but we got so popular Ive been playing catch up constantly.

Employing staff has been the worst mistake I've made and it doesn't matter how kind you are you get walked over, if you are assertive your a bi*ch.

So can anyone please give me any recommendations /tips and advice please. I'll have 4 staff paying a set rent

Do you agree having a contract written up is a good idea? I get them through nhf anyway.....

Are they allowed to work in another salon as well as mine or is this a conflict of interest?

Thanks all
Don't be discouraged you have to much work to do. Yes you should definitely put them under a contract I normally recommend a 1 year contract that you can terminate at any time in the event it doesn't work out. You also need to have a non-compete clause no they can't work in another salon offering services, and freelance work should be approved. Make sure to have a non-disclosure agreement.

In any business everything rises and falls on you and I can tell by this thread you are overwhelmed take time and reflect on why you opened the salon in the first place. Spend sometime in your salon alone and see what if you pull inspiration from yourself and what your ideal vision, client and salon will look like if you truly try refocusing your energy.
 

Haircutz

Super Moderator
Staff member
#4
You also need to have a non-compete clause no they can't work in another salon offering services, and freelance work should be approved. Make sure to have a non-disclosure agreement.
You can’t add a non competition clause when you’re just the landlord renting out a chair. If the stylist wants to work in a different salon everyday, that’s up to them.
 

#5
You can’t add a non competition clause when you’re just the landlord renting out a chair. If the stylist wants to work in a different salon everyday, that’s up to them.
Oh ok that must be w
You can’t add a non competition clause when you’re just the landlord renting out a chair. If the stylist wants to work in a different salon everyday, that’s up to them.
She stated that one decided to become self employed and 4 will pay a set rent which means she's converting them to booth renters however it appears to me that she is normally a commissioned salon which is why i stated that freelance work should be approved. From her statement it also appears she's being forced to deal with independent contractors not that she wanted to, which is why i said she needed to reflect on what she wanted overall
 

#6
You can’t add a non competition clause when you’re just the landlord renting out a chair. If the stylist wants to work in a different salon everyday, that’s up to them.
Not to mention she stated employing staff not hiring independent contractors
 

Haircutz

Super Moderator
Staff member
#7
Not to mention she stated employing staff not hiring independent contractors
Employment Rules are far more strict in the U.K. than the USA. You can’t ask staff to pay their own tax, NI, etc. and then treat them as employed. That’s illegal.
 

#8
Employment Rules are far more strict in the U.K. than the USA. You can’t ask staff to pay their own tax, NI, etc. and then treat them as employed. That’s illegal.
I totally understand I wasn't suggesting that but as a commissioned salon they are employees...we are speaking to different sides your speaking to the stylist that want to go rogue, i am speaking to the overall model she has in place not the one her stylist want her to have in place. I work with so many salons that are attenpting to do what's best for the stylist instead of their business and it's why they are failing. They are afraid of losing them however in most cases you have to stick to your guns and if they don't like it let them walk...
 

#9
I totally understand I wasn't suggesting that but as a commissioned salon they are employees...we are speaking to different sides your speaking to the stylist that want to go rogue, i am speaking to the overall model she has in place not the one her stylist want her to have in place. I work with so many salons that are attenpting to do what's best for the stylist instead of their business and it's why they are failing. They are afraid of losing them however in most cases you have to stick to your guns and if they don't like it let them walk...
They aren’t her employees though, they are self employed. So they’re not her stylists or her staff, and she can’t legally treat them like they are. They are now simply renters, renting space to work in her premises
 

#10
They aren’t her employees though, they are self employed. So they’re not her stylists or her staff, and she can’t legally treat them like they are. They are now simply renters, renting space to work in her premises
If she sticks to the model she had and let them go she will be. Again i am not telling her to have them sign anything but a contract. I am explaining that she shouldn't allow stylist to dictate how she wants to run her salon....find ppl who fit with her model which clearly is a commissioned salon being forced into a booth rental model. I have stated this over and over. Because i don't know her financial situation and i can sense they are running over her if she was my client I would advise letting them go in the first place for the mere fact they will continue to bully her. You mean to tell me when you're reading her question you don't see how none of this is her idea.....she's being forced out of her own business and that is unacceptable. If they don't like it they should leave and that's it. She has to first figure out as a salon owner what she wants to do and not stray from that just because your staff decides they now want to be self employed.
 

Haircutz

Super Moderator
Staff member
#11
If she sticks to the model she had and let them go she will be. Again i am not telling her to have them sign anything but a contract. I am explaining that she shouldn't allow stylist to dictate how she wants to run her salon....
I understand what you’re saying but the fact is, the law is totally different in the UK and you’d be fined a hefty sum by the Tax inspectorate if you tried to operate by those rules over here.
 

#12
So she can't have commissioned hairstylist sign paperwork? I am not talking about the renters m..
 

#13
So she can't have commissioned hairstylist sign paperwork? I am not talking about the renters m..
Redlottie13 has stated in her original post that all of her staff (except for one) are self employed. They are not commissioned hairstylists. She is asking for advice on contracts for the stylists that are now self employed
 

#14
Redlottie13 has stated in her original post that all of her staff (except for one) are self employed. They are not commissioned hairstylists. She is asking for advice on contracts for the stylists that are now self employed
 

#15
Ok when she reads this she will take the feedback that helps and leave what doesn't.
 

Haircutz

Super Moderator
Staff member
#16
So she can't have commissioned hairstylist sign paperwork? I am not talking about the renters m..
No, you’re either fully employed and managed by a salon owner who decides how they want the salon to run but in return they have to pay you holiday pay (minimum 5.6 weeks paid holidays per year) sick pay, maternity pay etc.

Or you’re self employed and you operate your own independent business within the salon setting your own prices, what products to use, what hours and days you want to work. etc.

You cannot sign away your legal rights. Workers have a greater degree of legal protection over but there is still more to be done. Zero hours contracts are still allowed, which I think needs to be made illegal.
 

TheDuchess

Well-Known Member
#17
You can have an overall brand as a salon chair landlord. There is a salon near me that has a great look and professional service - there are no employees at all. The landlord runs the front of house and manages the business.

Definitely have contracts including notice periods.

Have a look at the write ups on The Hunters Collective.

There is no reason why you can't have your own choice of products for your salon and present a unified image. Chair renters can do their own thing if they prefer. Put a lock on your stock cupboard and make clear what supplies are included with the rental and what the stylist is responsible for.

Think about laundry, washing up, cleaning and client refreshments. Make sure that there is an incentive to avoid waste and mess. Some people will take home loo roll and bin bags and scoff client biscuits. You wont be able to deal with this as a staff discipline matter. State what is not included - ie personal use/consumption. You may be a generous boss but no landlord buys loo roll and biscuits for their tenants.

Draw up a GDPR notice and advise clients on booking that their data will be shared by all operatives of the salon and the salon owner for the purposes of booking appointments, providing services and keeping records of treatments and purchases. (You need to check that you are compliant).

Ask for an opt in on first client visit for marketing purposes specific to her regular stylist and/or of general interest such as retail promotions or salon events.

Your independent stylists should separately do this with the client and advise that they will also hold independent records

Agree access times. 24/7? Days when the salon is closed? You might want to specify No arrival before/leave by time, I'd rent by the named day of the week for agreed time slots so if someone wants to go home early they don't save money. And so that you can rent to more than 4 people - if say you have someone who wants to work only evenings/weekends and a chair renter that works strict 9-5 weekdays.

You can't stop staff working elsewhere - as long as they pay the rent it's up to them if they turn up to work.

I'm not familiar with NHF contracts but make sure you cover the services of juniors and trainees - even if it just says that the contract doesn't cover this area and that will be separately negotiated. It will be very confusing for clients if apprentices "belong" to individual tenants, especially if they want a cup of coffee or a sandwich from a shop.

Also make clear what if any front of house/reception services are included with the rent and how new enquiries will be dealt with. Will these belong to your employee as it's your salon?

I yet cheesed off in my business from time to time. Usually when I've been compromised with my clients because someone has repeatedly double booked rooms - or used the last/been ridiculously extravagant/smashed and hidden a product without mentioning this and then turns to me in front of a client and says "where is the...?" The last time I spent 21/2 hours scrubbing dripped wax I banned waxing in that particular treatment room and had a cathartic time dismantling the waxing trolley.

You have to learn to adapt to what works. Trying the same thing until you're exhausted is never the way to turn a business corner. It just postpones the inevitable difficult decision.

Good luck Redlottie I hope you've found the way to get your ex employees to be more willing, proactive and productive. I never understood where the "profit" on my services went until I had my own business and I still wouldn't go back to being an employee although I could probably earn much more. It's because I don't mind working long and late for my business and my clients and I don't put a price on my pride. If I stay late scrubbing a trolley, the reward is that it's clean, not that I've been paid X Or given a pay rise of Y
 

#18
No, you’re either fully employed and managed by a salon owner who decides how they want the salon to run but in return they have to pay you holiday pay (minimum 5.6 weeks paid holidays per year) sick pay, maternity pay etc.

Or you’re self employed and you operate your own independent business within the salon setting your own prices, what products to use, what hours and days you want to work. etc.

You cannot sign away your legal rights. Workers have a greater degree of legal protection over but there is still more to be done. Zero hours contracts are still allowed, which I think needs to be made illegal.
Wow.. first let me say i didn't realize she was in the Uk. I saw this forum and just started reading and answering. Now i get it
 
Top