From the filings
Software purchasing authority at Hammer & Nails The Hammer & Nails Salon Group rests with its Chairman, John Choi, based on the most recent FDD. The brand does not mandate a specific technology stack, leaving procurement decisions open at the unit level. With 37 franchised locations, the addressable market is modest but concentrated, offering a direct path to the top decision-maker.
For software vendors selling into US franchise brands.
Live signals
Franchisor behaviours
29 requirements the franchisor states in this filing, each in its own words; 3 explicit no's; 2 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 will have independent access to all of the information and data that is electronically transmitted on your point of sale system and will have access to all data related to the financial performance of your Shop.
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
within 30 days of the end of each calendar month Franchisee shall submit to Franchisor monthly financial statements and other reports related to the operations of the Franchised business
How the franchisor buys
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 8
We also reserve the right to change or add designated suppliers from time to time at our option upon written notice to you.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
195762Item 8
During the fiscal year ending December 31, 2025, we earned $195,762 in rebates from suppliers related to franchisee purchases including rebates related to White Space, Meyer Spa, The Factory Design Group, ADP, Collins Mfg. Co. and Huntington National Bank.
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 receive rebates, payments and other material benefits from suppliers based on your purchases and we reserve the right to institute and expand rebate programs in the future.
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?
80Item 8
We estimate that your purchase of goods and services from us or our approved suppliers, or that must conform to our specifications, will represent approximately 90% of your total purchases in establishing your Shop and approximately 80% of your total purchases in the continuing operations of your Shop.
Does the franchisor charge a fee to evaluate a proposed supplier?
YesFranchise agreement
shall pay to Franchisor a Supplier Evaluation Fee per requested product, service, equipment, supply, supplier and/or distributor to be considered
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
If we require that an item be purchased from an approved supplier and you wish to purchase it from a supplier we have not approved, you must submit to us a written request for approval.
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesFranchise agreement
In the event of the termination of this Agreement, for any reason, that the accounts related to all telephone numbers associated with the Franchised Business and all rights in and to the telephone numbers associated with the Franchised Business, shall, at Franchisor’s election, be transferred to Franchisor.
Franchise management
Must the franchisee participate in a customer-satisfaction or net-promoter survey program?
YesFranchise agreement
Franchisor, in Franchisor’s Reasonable Business Judgement, shall exclusively select the Reputation Management Services to be used by Franchisee and to determine and select the websites, social media sites, reporting services, surveys, and service platforms to be included in any evaluation and/or determination of…
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesFranchise agreement
Franchisor shall undertake reasonable efforts to minimize the impact of any inspection on the operations of the Franchised Business.
Can the franchisor change the operations manual and brand standards unilaterally?
YesItem 11
At all times, we reserve the right to supplement, modify and update the Manuals.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 11
Although you are responsible for selecting a site for your Shop Location you must obtain our approval of your Shop 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 use any websites, web-based media or digital media unless expressly approved by us in writing.
Is a minimum grand opening advertising spend required?
YesItem 7
You must spend a minimum of $23,000 to $30,000 during the period that is 120 days before and 30 following the opening your Hammer & Nails Shop to promote your grand opening.
Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?
YesFranchise agreement
On-going, and on a monthly basis, Franchisee must spend not less than the greater of: (a) $2,500 per month, or (b) 3% of Franchisee’s monthly Gross Sales on the local marketing of the Franchised Business within and/or targeted to Franchisee’s Designated Territory.
Must the franchisee participate in a customer loyalty or rewards program?
YesFranchise agreement
participate in, offer, redeem, and honor, without the offset to any fees due to Franchisor, all Gift Card and customer loyalty programs designated by Franchisor
Must the franchisee participate in a regional advertising cooperative when one exists?
YesFranchise agreement
If Franchisee’s Shop or Designated Territory is located within the geographic area of an Advertising Cooperative, franchisee must participate in and contribute to the Advertising Cooperative.
Operations
Must equipment be purchased from designated or approved suppliers?
YesFranchise agreement
(d) exclusively purchase and use equipment, supplies, promotional materials, point of sale systems and Business Management Systems designated by Franchisor and subject to Franchisor’s specifications;
Payments
Must the franchisee use a payment processor or merchant-services provider designated or approved by the franchisor?
YesItem 8
Credit Card Processing – You must use our designated supplier and vendor for credit card processing which may be integrated with the point of sale system that we designate.
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesItem 6
ITEM 6 OTHER FEES Type of Fee (Note 1) Amount Due Date Remarks Royalty (Notes 2 and 3) 6% of Gross Sales Bi-Monthly (twice Will be debited automatically from per month) your bank account by ACH or other means designated by us.
Must the franchisee participate in a gift card program?
YesFranchise agreement
issue, sell, redeem, honor, and accept, without the offset to any fees due to Franchisor, all Gift Cards designated by Franchisor and participate in, offer, redeem, and honor, without the offset to any fees due to Franchisor, all Gift Card and customer loyalty programs designated by Franchisor
People
Does the franchisor require minimum staffing levels or specific roles?
YesItem 15
At all times, your Shop must be managed and supervised on-site by either a Managing Owner 37 Hammer & Nails FDD March 30, 2026 or Operating Manager.
Must employees wear uniforms specified by the franchisor?
YesItem 11
For the protection of the System, you must ensure that all employees wear and maintain the proper uniforms with our approved System branded apparel and uniforms including, but not limited to, the apparel and uniforms comprising System Supplies.
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesItem 8
Currently you are required to purchase, license and utilize a Zenoti point of sale system with one configured hardware terminal.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesItem 11
We will have independent access to all of the information and data that is electronically transmitted on your point of sale system and will have access to all data related to the financial performance of your Shop.
Sales and CRM
Must the franchisee use a CRM system designated or approved by the franchisor?
YesFranchise agreement
(3) Point of Sale (POS) System and Software Fee – Throughout the Term of this Agreement, Franchisee shall pay to Franchisor, Franchisor’s affiliates, or Franchisor’s designees on-going weekly, monthly, and/or per use POS system and software fee respecting Franchisee’s license and use of the designated customer…
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 11
We may require your owner(s) and your designated manager, if applicable, to attend additional training programs and seminars or refresher course, from time to time.
Is attendance at an annual convention or conference mandatory for the franchisee?
YesItem 11
If we hold an annual meeting or conference, you and/or your principal owners (if you are entity), and your general manager (if applicable) must attend.
Who buys here
The decision-maker a vendor sells to at this scale, and the gaps they’re paid to close, derived from our data by segment and unit count, not a guess.
The franchisor's owner/CEO decides; an ops or franchise-development lead may evaluate.
Hammer & Nails The Hammer & Nails Salon Group operates 37 franchised locations, with no company-owned units disclosed in the 2024 FDD. For a software vendor, this represents a compact but focused target list. The brand sits in the personal services segment, where appointment booking, POS, and customer management tools are critical daily drivers. Because the system is entirely franchised, every location is a potential software buyer, but the path to adoption likely runs through a single gatekeeper at headquarters.
Year-over-year unit growth is not disclosed, and average unit volume (AUV) is absent from the filing. This lack of public financial performance data means vendors must rely on direct discovery conversations to size the per-unit budget opportunity. The initial franchise term is 10 years, with a 10-year renewal available to Area Representatives who meet specific conditions, including signing the then-current Area Representative Agreement.
The 2024 FDD lists only one executive in Item 1: John Choi, Chairman. In a system of this size and structure, the Chairman is the most likely buyer for any enterprise-level software decision. There is no CIO, CTO, or VP of Operations on file, which suggests a lean leadership team where technology evaluation falls directly to the top. Vendors should prepare concise, ROI-driven pitches tailored to a single decision-maker who oversees brand standards and franchisee support.
No operator footprint is mapped in our corpus, meaning we cannot identify multi-unit franchisees who might influence or accelerate adoption from the field. This reinforces the HQ-centric buying model.
The FDD does not capture any mandated or recommended technology systems. There are no named POS providers, booking platforms, or operational tools listed in the filing. This absence is a double-edged signal: it means incumbents are not locked in by franchisor mandate, but it also means vendors must sell the value proposition unit by unit or convince the Chairman to set a new standard.
Without a mandated stack, the current technology landscape is effectively unknown from public filings. A vendor’s first step should be to map what franchisees are using organically and identify pain points that a unified or upgraded solution could address.
Item 8, which typically outlines procurement restrictions and designated suppliers, is not extracted in the FDD data on file. This leaves the procurement model undefined—whether franchisees are free to choose any vendor, must buy from approved lists, or are subject to rebate programs is not publicly stated. Vendors should clarify this directly in initial conversations.
The renewal structure offers a timing signal. Area Representatives operate under a 10-year initial term and can renew for an additional 10 years by giving notice, complying with the ARA, signing the then-current ARA, signing a release, and meeting current qualifications. The renewal ARA may contain materially different terms, but fees will not exceed those charged to similarly situated renewing Area Representatives. This decadal cycle creates natural inflection points where system-wide technology standards could be revisited.
The 2024 Franchise Disclosure Document is the foundational source for understanding the legal and operational contours of the Hammer & Nails system. It contains the franchise agreement, fee schedules, territory rights, and the limited executive and procurement data summarized here. For software vendors, the FDD is a starting point—it confirms the absence of tech mandates and the central role of the Chairman, but it leaves many commercial questions unanswered. The embedded PDF viewer below provides direct access to the filing for your own due diligence.
FranCloud helps SaaS vendors rank and prioritize franchise systems like Hammer & Nails based on tech stack signals, decision-maker access, and unit economics. When you are ready to build a ranked target list, FranCloud can point you to the systems where your software fits first.
Questions vendors ask
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FDD alert
We’ll email you the moment Hammer & Nails The Hammer & Nails Salon Group files a new annual FDD, usually the freshest signal of a vendor change.
Operator footprint
14 operators run 14 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Top states by locations
| CA | 4 |
|---|---|
| FL | 2 |
| TX | 2 |
| OH | 2 |
| AZ | 1 |
Related Personal services brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.