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Lakmé Salon – Franchisee Information

1. Location & Area


High Street/Mall
Surrounded by good residential area
Ground floor
Site should be commercially approved
Size: 600 sq. ft. carpet area
Good, visible frontage (min x ft)
Parking space
2. Initial Investment

Interior (including civil work, if any, lighting, AC, Plumbing line, flooring etc.) (Executed by
Franchisee partner as per Lakmé Salon design prescribed by Company)
Equipment/ Furniture/ Branding/ signage/ staff uniforms etc.
Products for delivering the services & for retail sales
Start-up Fee paid to Company
IT equipment (PC, printer, router etc)
Lease deposit paid to landlord where ever applicable.
3. Franchisee Agreement Term
Duration: 5 years
• To be renewed at the end of the term on mutual consent of both parties.
• 15% of the Sign-Up Fees amount on prevailing, effective at the time of renewal will be
levied as a renewal fee by the franchisor.

4. Adequate power & water supply: should be made available


5. Royalty
Franchisor i.e. Lakmé Lever Pvt. Ltd. will charge fixed Royalty year on Year on service sale only;
there will be no royalty charged on sale of products. There will also be a monthly charge towards
IT solutions cost
6. Franchisee Earnings
Franchise will retain margins after deducting fixed royalty on service sale
Applicable retail margin on products sale
7. Support
Staff training: Regular Salon staff training is done to ensure that they are equipped to handle all
services and are kept up to date with the latest beauty trends etc. In the case of outstation
training, Salon staff’s travel & stay cost will be borne by the Franchisee.
Store launch support: Every salon launch is jointly supported by the Lakme Lever team, and
contribution towards the launch budget (min 1 lakhs) from franchisee. The launch month will
have a mix of catchment activities, advertising presence in leading publications, lead generation
campaign on digital media & cross promotions with other retailers (subject to presence in the
catchment).
Note: Property should be commercially approved by the Indian Government/Local Authorities, and should have all the
operating licenses required for a salon.

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