Rights and responsibilities with chair renting

by | Jun 21, 2019 | Business, Self Employment, SELF/STYLED Business

It’s a topic that’s dominated a lot of conversation when it comes to the rise of freelancers and zero-hour contracts – what sort of rights and responsibilities are you legally entitled to or expected to deliver?

Here we look at where salon owners and freelance chair renters stand

Salon Owners

If you’re renting out a chair within your space there are several obvious bonuses to this – as you are dealing with contracted freelancers, rather than workers or full or part-time employees, you are not required to cover National Insurance contributions, holiday pay, sick pay or pension contributions.

On the flip side, the chair renter is running their own business inside your own – you have no say over their behaviour, the client experience or salon standards, their working hours… and their clients are their own, not yours.

Chair Renters

There are similar benefits and downsides for the chair renters. As a freelancer you are able to work the hours you want and set your own prices. You are not tied to the same product choices and services as the rest of the salon, and you have control over your own training.

However, freelancers are responsible for all of their own client records. Tax and business accounts are dealt with on a solo basis, and you are wholly responsible for your own health and safety, as well as your insurance and public liability – being on the premises of another business does not mean you are covered by them.

Making it work

There are numerous positives and negatives for chair renting, but to make it work you both need to be on the same page. A clear, concise contract is the best way forward, before you enter into a partnership such as this. Clearly lay out what is expected from each party and what will be included, from access to the salon to VAT. Agree on fixed monthly fees or a percentage of takings (or a mix of both), and how either party can end the contract if required.

Whether you are a salon owner looking to open up a new revenue stream or a freelancer seeking a temporary base, be sure to consult legal advice before switching to chair renting. For a full breakdown of what constitutes as a freelancer or contract you can find the governmental employment status explanations HERE.

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