Rubbish business deal

[NetteNails]

Hey geeks,

I'm kinda bummed about what's been going on recently. Ok here goes:

I rent a room in a salon and I offer pedicures, manicures and I mainly do gel extensions and gel overlays. The lady that brought me into the salon was actually a customer of mine. But she went into business with someone who basically funded the whole thing. Obviously we have a bond and I was used to talking to her about things. This lady is a hairdresser and she's opened a hair salon. Now her business partner is not happy with her and propositioned me to be the salon manager. But really and truly they just want to hustle in on my business because they see my business is starting to expand.

I don't feel right about it at all and feel that I've betrayed the hairdresser (even tho I declined their offer). But they keep hounding me and keep wanting to talk to me about it. Although the hairdresser claims that the business is going well it's actually not. She hardly ever gets paid and she's regretting the whole thing. I personally do not want to be associated with any of them anymore but the room I have currently is amazing and not far from home.

What do I do?

 

[PamieD]

Smile sweetly, say "no thanks" and continue doing your own thing. Worth keeping an eye out for other places to go to if it all falls apart.

 

[NetteNails]

Smile sweetly, say "no thanks" and continue doing your own thing. Worth keeping an eye out for other places to go to if it all falls apart.

Hey Thanks for replying !!!!

The business partner keeps hounding me tho with her husband and it's really making me feel uncomfortable. I feel it's kinda killed my vibe there too! I'm so torn but I am looking for somewhere else now

Xx

 

[Baggybear]

Just say "thanks for the offer, I have considered it but it is not the direction I want to go with my business".

 

[NetteNails]

Just say "thanks for the offer, I have considered it but it is not the direction I want to go with my business".

This is what I said to them however they still want to talk about this deal. I don't get it I just want to do nails and be happy [emoji4]

 

[surf girl]

You are right to feel like that! Stick to your guns here what is the proposition they've offered if you don't mind me asking? I guess currently you just rent the area?

 

[NetteNails]

You are right to feel like that! Stick to your guns here what is the proposition they've offered if you don't mind me asking? I guess currently you just rent the area?

That's fine I'll paste it below [emoji116][emoji116][emoji116] I do indeed just rent a room at the back of the shop

Hi Shernette
It took longer to come up with a satisfactory proposal which will meet the needs of both the owner and yourself.
We have taken into account all the points you have raised. And after looking at a few options this is what our thoughts are:
1. You manage the shop and all its activities
2. You will have access to the whole shop floor area + all the existing equipment (except the basement - as this is not useable at present. We will re-negotiate once it becomes a useable area)
3. You work closely with us to re-design / re-position the shop and the marketing
4. We will provide all the support you need and we will be responsible for repairs
5. To do all the above the return will be as follows:
You take 70% of all the salon takings (except Nail) and give the owners 30%
You take 80% of the Nail takings and give the owners 20%
You pay the workers 40% commission out of the 70% - (You keep 30%)
You supply the products ( or you may decide to give the workers 50% out of the 70% and they provide the products - which mean you keep 20%)
You pay all the expenses of the salon (Rent/ and bills) every month.
We will review the deal every 6 months.
We will put in place some new system to keep accurate records of all salon takings and outgoings

Please consider the above and let me know if this workable. According to my calculations it should be an attractive deal for you to expand the business/ recruit whoever you want and get a reasonable profit .
I will wait for your reply.
Regards
Vik

 

[Minkeybox]

So Basically, you have been fab at running your sucessful little business.

They have been shite, & they now want you to pick up the pieces & responsibility! Tell them to do one lol!

They have even worded the email like they are doing YOU a favour! You need to be sterner (is that a word?!) and tell them in no uncertain terms that you are happy as you are & if they dont back off you will find rental space elsewhere.

This has made me really (unreasonably as its nowt to do with me) angry pmsl! Xx

 

[Carlalouise]

Sounds to me like they are trying to push all their responsibility and expense on to you! They obviously think they're being clever making the proposition sound wonderful, however you know that they are not doing very well and are now looking for a get out!!

It's a real shame but I would get yourself sorted and out of there as soon as possible!

Good luck

 

[NetteNails]

So Basically, you have been fab at running your sucessful little business.

They have been shite, & they now want you to pick up the pieces & responsibility! Tell them to do one lol!

They have even worded the email like they are doing YOU a favour! You need to be sterner (is that a word?!) and tell them in no uncertain terms that you are happy as you are & if they dont back off you will find rental space elsewhere.

This has made me really (unreasonably as its nowt to do with me) angry pmsl! Xx

Yeah that's is how it comes across in the email!!! I literally laughed out loud when I finished reading it. I do really feel to leave.

 

[NetteNails]

Sounds to me like they are trying to push all their responsibility and expense on to you! They obviously think they're being clever making the proposition sound wonderful, however you know that they are not doing very well and are now looking for a get out!!

It's a real shame but I would get yourself sorted and out of there as soon as possible!

Good luck

So now I've learned that they want to get a beautician in. And that they are going to be at the front of the shop. I really don't understand how they can put a beautician in the window I mean it's so open [emoji52]

I certainly wouldn't want to get a facial or massage in the window.

I think they are clutching at thin straws here.

 

[Minkeybox]

I do think you should at least start to look elsewhere hun, even if they back off now it has flagged warning bells for me about how they may be to deal with in the future (pillocks spring to mind!)

They have shown you no respect at all, they havent respected your wishes, they havent been remotly humble in their approach & if they keep on its bordering on Harrassment.
Stick to your guns poppet & dont be worn down xx

 

[Minkeybox]

Their actions scream of desperation & you dont want them taking you down with them! Xx

 

[BannerPenguin]

That deal is terrible. If you had self employed staff under that agreement you'd go bust. They want a cut of the money without paying any bills etc. Madness.

 

[NetteNails]

That deal is terrible. If you had self employed staff under that agreement you'd go bust. They want a cut of the money without paying any bills etc. Madness.

I like how they said " we will be responsible for repairs"

 

[Baggybear]

Get out of there ASAP please. Looks like they are willing to try anything to keep going (probably because they have signed a long tenancy agreement for the shop and will have to pay big time if they leave early) but they have no business sense, you know it is not a good deal no matter how they try to spin it and you know they are trying to take advantage of you - make sure you look for somewhere else as a matter of urgency as they won't be able to keep going as a business like this for much longer and you don't want to be there when it all goes wrong.

 

[RED STAR]

LOL

 

[rippersroo]

Another vote from me for you to get out asap. Your business is expanding and theirs is imploding. Don't be dragged down with them like others have said. Maybe even do mobile for a while til you find somewhere?
By the sounds of it your clients will stick with you so I would go for it if I was you to get away from the harassment and their business going down the pan! Good luck X

 

[wonderwoman]

what the bejeeesus! please run!

You should send an email, " After careful consideration, this deal us not viable for my future business model. Thank you for considering me, but i have to decline."

Choose something along the lines of that, dont bother getting into figures, just pinprick one aspect as in supplying products and factoring losses, its not worthwhile venture. I basically would try to imply the exact opposite to what they're trying to push you to do. so i would say well you guys have made me see its soooo hard and well, i dont think i would want to expand, im happy doing what im doing. Hopefully buys you some time to look elsewhere. xoxo

 

[surf girl]

Sounds to me like a case of they need you more than you need them! Leave, that's a hideous proposition x