OK so let’s face it you found the salon your dreams. It’s beautiful, it’s nice inside, classy, highly desirable place to work. Maybe they’re offering you a ready-made clientele, social media, marketing and maybe even a good commission percentage. BUT they want you to resign a restrictive covenant a.k.a. noncompete. My advice, don’t do it, and here’s why.

First of all, you might be asking what is a restrictive, covenant, or noncompete clause? Well, it’s exactly what it sounds like, you’re making a legal agreement between yourself and the salon about what you can, and cannot do both while you are working for them and even for a determined period of time after. Most of the noncompete clauses, I have seen are non-solicitation of clients, restricted from being able to work in your field of profession, within a determined distance (usually 10 mile radius) of any salon that the company owns. It can also include clauses where even your personal photographs of the work you’ve done in the salon are considered the salons property and not your own to post on Instagram or any other business profile website of your own. These noncompete clauses can last for one to five years in most cases. This can completely eliminate your chances to work in your profession in the area you live, if for any reason, you are no longer working for said salon. They may even have added things like if you even communicate with the clients on any social platform after your termination, you’ll be taken to court and sued.

Now, let me go into the reasons why you do not want to sign one of these restrictive covenants with your salon. Imagine the situation you think you really want to work at the salon for the rest of your life, but after three or four years, like most of us hairdressers, you get the itch to go solo. You want to take your clients and make 100% of the profits not 30, 40 or 50% , but you have already signed this restrictive covenant. You agreed that you will have no contact whatsoever with the clients, you’ll have to move your salon at least 10 miles out of your town, (which will make it formidable for most clients as statistics prove that clients do not travel more than 5 miles out of their way.) And your clause may even include things like all of your photos, color, formulas, etc. are now property of the salon upon you parting ways. If they have multiple salons in your city, it may even take up your entire city, each one having a certain mile radius. Thus eliminating your ability to work anywhere in your city. The clause could be from anywhere between one and five years meaning that if you still want to do hair upon parting ways with the salon, you may just have to move out of your city.
Or what if you get fired? I know that right now you might be in great terms and your boss loves you. Just think though, who knows what could happen. Maybe a few bad client reviews get you in trouble, or even coworkers that are jealous could start rumors. Regardless, something happens and you get let go now what do you do if you can’t even work in your city?
Also consider, what if the situation isn’t what you thought it would be? Maybe the girls you end up working with end up being your worst enemies and not your best friends. Thus causing you to dread every single workday. Now you’re stuck with limited choices, such as moving away or a long commute way out of town, or just to stick it out because now you signed this noncompete clause and you’re stuck with a dilemma.
Regardless of the reason that you may end up terminating your contract with the salon, this non-restrictive covenant remains, and it is not in your favor. No matter how exciting you think this opportunity might be, my advice, to you is to think of your future. Have enough self-respect to walk away. You’ll definitely find an amazing place to work, grow your business and not be restricted, if or when you ever decide to leave. Keep your decisions informed. Happy salon hunting.
