Hair & Beauty Salon Chair Rental (Company)

Popular in the hair and beauty industry, Salon Chair Rental Agreements (Company) allow beauty professionals to enjoy the benefits of working in a salon and independence without the inflexibility of being an employee of the salon.

A beauty professional – hairdresser, beauty therapist, or nail care technician – provides their services under these templates agreements through a personal service or other intermediary company (“PSC”). The PSC (not the individual freelancer) contracts with the salon. In each case the PSC contracts with the salon for the right to operate the PSCs beauty business in the salon’s premises using a chair and other equipment made available to it by the salon. The individual beauty professional, on behalf of the PSC, provides services to clients.

There are two alternative versions of the agreement for each type of beauty service.

Firstly, there is a version under which the PSC independently provides services direct to its own clients. Secondly, there is version where, in addition to providing services direct to the PSC’s own clients, it can also provide its services (as a subcontractor to the salon) to any existing client of the salon that the salon refers to the PSC on any occasion.

Where the PSC deals with its own clients, it is paid direct by those clients, and where the PSC deals with a salon client referred to it by the salon, the client pays the salon and the PSC is then paid by the salon.

Where a PSC does not contract with the salon in this way but, instead, the professional directly personally contracts with the salon, a form of agreement in the accompanying Hair & Beauty Salon Chair Rental Agreements should be used instead.

Each of the templates below seek to minimise the risk that IR35, agency worker, employment law, or other legislation will have an adverse impact on the individual professional and/or their PSC. They all take into account recent legal and industry developments, including case law, employment law, IR35 tax rules, and VAT law.

As explained in the information page accompanying each form of contract , use of these (or any other) particular forms of contract can only seek to reduce but cannot actually remove this risk. Professional advice should therefore be sought, and that advice needs to take account not only of the content of the proposed document but also all of the circumstances and arrangements relating to the work, the individual, the PSC and the salon.

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