Renting a room for more than 50% commission?

[emjen]

Hi everyone,

I've just been to have a look in a room to rent at a hair dressers for shellac and a few other bits.

They want 55% commission on all my treatments. I think it is a lot of my hard work. Although no underlying rent. And possibly use another treatment room for massages and facials.

I would be offering a few treatments which they seemed to like the idea of and they are willing to be providing the products or I can. And a reception service with a seperate app. book and deal with advertising and providing the clients. It would be full time.

The room is nice but I have not seen the table yet and there is no door on the room, so no lock. I'm guessing so clients can see what is going on. So I don't want to be leaving my stuff there when I am out of the room.

What do you think? Is it way above average?

 

[Leely]

So they will book all your appointments if you want them too and buy stock and do advertising?

I think that is a very good deal at only 55% of the cost of the treatment.

Where I am it's 60/40 to me and I have to do all my own promotion / booking of clients and buy my own stock.

With regards to the room having no door would this just be where nail treatments are carried out?


Leely x

 

[Steph86]

They have given you a choice who provides products? Let them provide the products for the extra 5%! You wont be as out of pocket. The higher share usually goes to who ever supplies the products.

Ideally as Self employed you should take your own appointments, less confusion or wrong booking timings then. Or give who ever works there very clear instructions on timings, to ask if they need a soak off (if its your work).

You should be a separate business within their premises, & responsible for your own advertising. Although it is also in their favour to advertise you as you are working on a % split.

You also need to be responsible for taking your own payments. & the prices you charge for your services.

Im not sure what you mean its full time? They can not expect you to sit there with no clients & not get paid. You choose your own hours. Just be careful you don't end up being an employee when classed as "self employed". It is illegal & you don't get any benefits of holiday pay etc.

Good luck 😊 xx

 

[emjen]

Thanks for your response ☺️

Thinking about it sound's better the more it swirls in my brain.

The nail treatment room is the one with no door. They are leaving a chair and mirror in the room to do make up and up do's I think. So it might not be just my room?

I will find out more as the week goes on.

 

[emjen]

Hi Steph,

Thanks for your response too. I will be looking into it as they said they would be happy to take payments if I was busy which was a bit off putting.

They want me in late on Wednesdays, all day Thursday, Friday and Saturday til 2. Tuesdays are quiet though. Seems a bit close to employed? :-/

Nothing is set in stone yet, just a lot to think about and can sort out the fine details when I know what I want.

Thanks again ☺️

 

[Steph86]

Yes id be a little wary. They can tell you wednesdays are their late nights, saturdays are busy etc but they cant tell you what hours to work.
If they was paying you an hourly rate then thats expected.
It should be up to you what days/hours suit you... If the room is only available on said days that is also fine to tell you their opening hours.

They cant expect you to work all day wednesday with potentially 0 or very few clients.

People like to employ self employed people as there is no tax/NI, no holiday/sickness leave. If you don't work you don't get paid, so in theory you will be more reliable.

Id maybe ask for a higher % in your favour & you provide the products, you take your own appointments/payments & choose your own prices/hours.

If they aren't ok with that, probably best to walk away.

I know 2 ladies who work on % and they work by appointment only, so they aren't sat around & not getting paid.

Must say if I rent a room I'd only be interested in a set weekly rent to avoid blurring the lines. As realistically they should just be a landlord. On a % split they have a vested interest & start getting involved in your business.

Xx

 

[nailednails]

Personally, I feel that working on % is the same as being an employee, for every single treatment you do you have to split the price, whereas renting a space is exactly that, renting a space, you then find your won clients, work your own hours and generally know your set out going each week...ie £60 rent...I would find the % thing very difficult to work with in the long run. From a business perspective the idea that you are paying someone a % of every sale is much less financially desirable, limits your income and means more work for much less money, regardless them providing equipment or not. Just make sure that if you DO go for it it's absolutely Crystal clear who pays for what, and everyone role in this arrangement...if you run out of a particular product, are they agreeing to buy it/order it in a prompt and efficient way? Are you entitled to take any holidays? X

 

[emjen]

Sorry for the delayed response!

Thank you both for your advice.

I have not heard back from them yet, but I would defiantly be changing a few things if I was going to go ahead,

I think I will give some of the other local hair salons a call to see if there are any rooms around and see what they say.

I guess all they can say is no ☺️

Thanks again.