Posted on: 15 June 2021

Get your contracts right to ensure your success

Most businesses rely on contracts in some capacity to ensure their business can run smoothly, and the personal care sector is no different.

Contracts for businesses in the hair and beauty industry are often less about securing clients, and more about protecting business operations to make sure that a salon can keep operating.

In this article, we are looking at the kinds of contracts that businesses in the personal care sector will need to use, and how to make sure your contracts are protecting your business. The information in this article is of a general informational nature, so for specific examples and in-depth contract information you should contact a trained professional.

Contracts in the personal care sector

Take a look at some of these contracts that are frequently used in the personal care sector to keep operations running smoothly. Do you need to adopt some of them into your business?

Contracts for your business premises

If you are renting a premises to run your salon from, you should have a contract with your landlord that outlines the terms of your tenancy.

This is something that your landlord will normally supply for you, but you should make sure to thoroughly read through the terms of the contract before agreeing to the lease. If there is anything you are unhappy with, you may be able to negotiate different terms with your landlord, which should be changed in the version of the contract that you both sign.

If you are buying the premises for business use, you will usually have a contract through the mortgage company you are using, or with the person or company you are buying the building from. For your own peace of mind when buying a property, have a legally qualified professional to manage your contracts if you can.

Contracts of employment

If you have staff, or you’re looking to take staff on, they should have a contract of employment, even if the workers are on a freelance basis. A contract of employment should be given to your team member within two months of their appointment, but if possible on the first day of their employment which may help them settle in better.

In a contract of employment, you should include:

  • Hours of work.
  • Their rights in regards to leave; parental, sickness or holidays.
  • Training requirements.
  • Performance Improvement Procedures.
  • Use of work telephones and/or other personal devices whilst working.

Contracts of employment must also be provided to apprentices.

Renting a chair or room

It is common practice for salons to rent out a chair or room to freelance hairdressers or beauty therapists, which is a cost effective way of taking on a member of staff temporarily to help you out with clients.

When you hire out your chair or space within your salon, you should have a rental agreement with the person who is hiring from you. In this type of contract, you should outline the following:

  • How much you will charge for the hire of your chair or space within your salon.
  • The services that the person hiring will be allowed to provide.
  • The level of insurance protection the person should have.
  • Information on rules, such as mobile phone use, and a dress code, if required.

Contract guidance with your 24/7 business toolkit

Premierline customers have access to the Zywave 24/7 business toolkit through the Premierline+ Customer Benefits package.

The Zywave 24/7 business toolkit has plenty of articles and templates you can use to support the running of your business.

Salon insurance with Premierline

Insurance can be difficult to arrange for your business, especially if you’re not sure what you’re looking for. The huge range of ever-changing treatments also makes it difficult to know what kind of hair and beauty insurance you need for your business, which is why using an insurance broker, like Premierline is so beneficial.

At Premierline, our experts will assess your business’ needs and arrange a bespoke beauty salon insurance or hairdressers insurance package that covers your business  whether you own a tanning salon, hair salon, barber shop or are a freelance hairdresser. Get in touch to speak with one of our insurance advisors who work with some of the UK’s most well-known insurance providers to find you the right cover for the right price. 

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The information and tools contained in this guide are of a general informational nature and should not be relied upon as being suitable for any specific set of circumstances. We have used reasonable endeavours to ensure the accuracy and completeness of the contents but the information and tools do not constitute professional advice and must not be relied upon as such. To the extent permitted by law, we do not accept responsibility for any loss which may arise from reliance on the information or tools in our Insight Hub.