From the filings
Cost Cutters runs 405 US salons — 329 franchised, 76 owned and operated by Regis Corp. — under Regis Corporation alongside Smartstyle and Holiday Hair. The FDD mandates the Zenoti point-of-sale and back-office system and SVS, while offering the recruiting platform Paradox on an elective basis, keeping the core technology decision at corporate.
For software vendors selling into US franchise brands.
Live signals
4% component; full terms unconfirmed
Complete royalty terms are not confirmed for the selected filing.
These are recorded percentage components. Each has its own base and conditions; the chart does not state the total payment or confirm ad-fund completeness.
1recorded components (FY2026)
15% reference
Franchisor behaviours
28 requirements the franchisor states in this filing, each in its own words; 2 explicit no's; 4 questions the text does not settle, which is not a no.
Accounting
Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?
YesItem 11
We and our designee have continuous, unlimited, independent access to all operational information on the Computer System.
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
The FRANCHISEE’S quarterly financial statements will be delivered to COST CUTTERS by the FRANCHISEE within thirty (30) days after the end of the quarter and the annual financial statements will be delivered within ninety (90) days of the FRANCHISEE’S fiscal year end.
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesFranchise agreement
The FRANCHISEE will purchase exclusively from COST CUTTERS’ designated and/or approved suppliers (which may include COST CUTTERS and its affiliates) all hair care products, supplies, and merchandise, including, without limitation, all retail inventory, backbar and shop supplies to be used or sold by the FRANCHISEE in…
Is there a franchisee advisory council, association or committee?
YesItem 11
Cost Cutters has established an advisory council composed of five Cost Cutters franchisees who are elected by all the Cost Cutters franchisees (the “Cost Cutters Council”).
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 8
We periodically may modify Brand Standards, which may accommodate regional or local variations, and those modifications may obligate you to invest additional capital in the Cost Cutters Salon and/or incur higher operating costs.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
We and/or our affiliates may derive revenue—in the form of promotional allowances, volume discounts, commissions, other discounts, performance payments, signing bonuses, rebates, marketing and advertising allowances, free products, and other economic benefits and payments—from suppliers that we designate, approve, or…
Item 8 gives this proportion in one of two shapes: separate percentages for establishing the business and for operating it, or one figure covering "establishing and operating" together. Where they are separate, answer with the operating percentage; where the passage gives only the combined figure, answer with that. What percentage of the franchisee's purchases must come from designated or approved suppliers?
5Item 8
Collectively, your purchases and leases from us or our affiliates, from designated or approved suppliers, or according to our standards and specifications represent about 5% of your overall purchases and leases to establish and then to operate the Cost Cutters Salon.
Does the franchisor charge a fee to evaluate a proposed supplier?
YesItem 8
You must pay upon request any actual expenses we incur to determine whether the items, services, suppliers, or distributors meet our requirements and specifications, which we will decide within 90 days of your request.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
If we approve any supplier or distributor you recommend, we may authorize other Cost Cutters Salons to buy or lease any Operating Assets, products, or services from that supplier or distributor without compensating you.
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesFranchise agreement
The FRANCHISEE acknowledges that COST CUTTERS has the absolute right and interest in and to all telephone numbers and directory listings associated with the Marks, and the FRANCHISEE shall F-20 2025 immediately direct the telephone company and/or any other applicable local carrier and all listing agencies to transfer…
Data and IT
Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?
YesItem 11
independently determining what is required for you to comply (and then complying) at all times with the most-current version of the Payment Card Industry Data Security Standards, and with all laws (including privacy laws) governing the use, disclosure, and protection of Consumer Data and the Computer System, and…
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesItem 9
s. Inspections and audits Articles 7.19 and 19.4 of Franchise 6 and 11 Agreement
Can the franchisor change the operations manual and brand standards unilaterally?
YesFranchise agreement
COST CUTTERS reserves the right to revise the Manual at any time during the term of this Agreement.
Must the franchisor approve the franchisee's site or location before opening?
YesFranchise agreement
The FRANCHISEE will not lease, purchase or otherwise acquire a site for the Franchised Location until: (1) the proposed site has been reviewed and approved in writing by COST CUTTERS for FRANCHISEE’S Franchised Location
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesItem 11
You may not develop, maintain, or authorize any Digital Marketing or Social Media mentioning or describing the Cost Cutters Salon or displaying any Marks without our prior written approval and, if applicable, without complying with our Brand Standards for such Digital Marketing and Social Media.
Is a minimum grand opening advertising spend required?
YesFranchise agreement
The FRANCHISEE will be required to spend a minimum of Five Thousand Dollars ($5,000) to implement and conduct grand opening advertising, marketing, public relations and promotional programs for its Cost Cutters Business which have been approved by COST CUTTERS in writing.
Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?
YesItem 11
You must spend at least 1% of your Gross Revenues for local advertising and promotion of your Cost Cutters Business.
Must the franchisee participate in a customer loyalty or rewards program?
YesItem 8
You must also participate in, and comply with, the requirements of any of our other customer loyalty programs as well as use our mobile or digital-ordering and franchise system applications and other digital channels.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
Despite these procedures, we may limit the number of approved suppliers and distributors, designate sources you must use, and refuse your requests for any reason, including because we already have designated an exclusive source (which might be us or our affiliate) for a particular item or service or believe that…
Payments
Must the franchisee use a payment processor or merchant-services provider designated or approved by the franchisor?
YesItem 11
Integrated processing is required for its use.
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesFranchise agreement
I hereby authorize Regis Corporation to initiate Electronic Funds Transfer (EFT) or Automated Clearing House (ACH) transactions against my checking/savings account and I instruct the financial institution named below to honor said transactions.
Must the franchisee participate in a gift card program?
YesItem 11
We have implemented a gift card program with our approved vendor, SVS, and you must participate in that gift card program and sign the Participation Agreement.
People
Does the franchisor require minimum staffing levels or specific roles?
YesItem 15
The Salon must have at least 1 on-site manager, whether that individual is you or another Salon manager.
Must employees wear uniforms specified by the franchisor?
YesFranchise agreement
The FRANCHISEE will require its employees to wear the standard attire or uniforms approved by COST CUTTERS.
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesFranchise agreement
FRANCHISEE must use the then current computerized point of sale cash register system and franchise back office system designated by COST CUTTERS.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesItem 11
We and our designee have continuous, unlimited, independent access to all operational information on the Computer System.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesFranchise agreement
The FRANCHISEE will be required to pay COST CUTTERS the then-current training fee charged by COST CUTTERS for any additional training attended by the FRANCHISEE or its employees.
Is attendance at an annual convention or conference mandatory for the franchisee?
YesFranchise agreement
The FRANCHISEE will attend the annual convention conducted by COST CUTTERS for Cost Cutters franchisees during each year of this Agreement.
Complete royalty terms are not confirmed.
Questions vendors ask
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Ownership
Ownership: Regis Corporation.
Sibling brands
Related Personal services brands
Primary franchise filings · updated September 2026. Read the original filing for definitions, conditions, and qualifications.