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Thoughts needed-kinda long

Just wanted everyone's thoughts. I've been renting a space in a small day spa for about two months. Originally, my friend and I went in together, each paying half. We each had our own separate contracts. After a month, my "friend" flaked and got out of the contract. The owner of the spa can't pay the rent without having every renter in the place. She has asked me to consider paying full price or bringing in another therapist. I've posted ads and can't find another therapist to go in there. I know, just starting out, that I cannot pay the entire amount on this room. Here's the thing. I just found out yesterday that the owner filed bankruptcy on her business. She works there only part time, the spa is open by appointment only. She's an esthitician. She's keeping the spa open on another name. I'm stuck in the contract until June. After that, I'm not sure what to do. I'm having an extremely difficult time building my clientel. I knew it wouldn't be easy, I expected that, but I was also hoping to get the foot traffic from the spa but that isn't happening with Open by Appt only. My preference is to own my own practice in a spa. I would really like the exposure in being in a busier place. I love the spa I'm in. Except for the open by appt and the fact that the room is small (10X12), I love it. My question is, what should I do? Should I take a commission job? Should I find another spa when my lease is up? Should I rent just an empty office building (same price, or less than what I'm paying now) Or should I just be patient? I have one regular client that comes and he pays my rent. I'm averaging about $300 a month income so far. My full rent is $400 and I'm paying $200 right now.

Replies to This Discussion

Permalink Reply by Darcy Neibaur on January 28, 2010 at 8:18pm

Misty you are only obligated to fulfill your contract not the other one. So you are not obligated to pay the full rent. I love the Spa industry as well and have only worked in that setting. I am working part time now while I also build a private practice. Whatever decisions you make will be the correct ones for you. Hang in there and Don't give up.

Permalink Reply by Gloria Coppola on January 30, 2010 at 8:06am

Misty,
I agree with Darcy that you should not be obligated for the other contract altho I understand the owner is "asking" you to because they are financially hurting obviously. If she is going to claim bankruptcy she should not expect you to honor the contract. In my opinion, that is not fair to have you work so diligently to create a business and then they might go out?

As for partners sharing space. I have heard your story all too much in this industry over almost 25 years. It is difficult to find a 'true' partner.

I would ask the owner since they filed bankruptcy if you can get out of the contract earlier. I would look for a place that suited you better and where you can get the exposure you need to build your practice. Remember to NEVER count on any other business to build your business. YOU must build your business. Therapists often think someone is going to supply them clientele and get disappointed. You have to network a lot!

Read my blog about a successful massage student of mine. Maybe this will encourage you.

http://massagecareers.blogspot.com/2010/01/successful-practice.html

Permalink Reply by Misty Van Staaveren on February 1, 2010 at 10:46pm

Update: Today my rent was due. The owner owed me $65 for a gift certificate I redeemed so she told me to take it out of my rent. So I did. She leaves a message on my voicemail wondering where the full rent is? Wondering why I didn't pay the full amount like we talked about. I never had agreed on anything concerning the other half of the contract and I even left her a note with the rent telling her we'd have to find another therapist to fill the other half. Then, I have a new client sitting in the waiting room and she comes in this morning talking about paying rent and then scolds me for mistakenly throwing some lemons away in the recycle bin out back and now we might be fined. In front of my new client!! Oh man.

Permalink Reply by Darcy Neibaur on February 1, 2010 at 11:26pm

Owner sounds like a snake. Can you any way get out of the contract?

Misty Van Staaveren said:

Update: Today my rent was due. The owner owed me $65 for a gift certificate I redeemed so she told me to take it out of my rent. So I did. She leaves a message on my voicemail wondering where the full rent is? Wondering why I didn't pay the full amount like we talked about. I never had agreed on anything concerning the other half of the contract and I even left her a note with the rent telling her we'd have to find another therapist to fill the other half. Then, I have a new client sitting in the waiting room and she comes in this morning talking about paying rent and then scolds me for mistakenly throwing some lemons away in the recycle bin out back and now we might be fined. In front of my new client!! Oh man.

Permalink Reply by Mike Hinkle on February 2, 2010 at 2:38am

Hi Misty! I'm sorry I did not see this before now. You are under no obligation for your friends contract in any way. So forget about that one. The owner has no footing to make you pay anything above your contract. Next, you say your friend got out of her contract, how? Did she just walk away and forget it? Tell your boss"NO" the next time she ask you for money for anyone else, but you.

The owner should not have gotten herself into a situation where she can't make it without every room rented. But that is not your concern. You are there to build your business and that's it. Do not post anything for her. It is her job to get renters.

If she filed bankruptcy, it is only a short matter of time, she will probably close her doors. She won't make it til June.

Keep paying the $200 and look for another workplace. That is my recommendation. And go get more clients. Hand out those cards. Meet new friends! Ask friends to trade in the area. Write an article about that CE you just finished. You can do this!

Permalink Reply by Mike Hinkle on February 2, 2010 at 2:47am

Stand your ground. And next time , walk into another area or outside if she starts in front of a customer. I was an owner and I tried never to council or ask questions that would affect my therapists clients. That proves this woman is going to fail. She is breaking her part of the contract that says she will promote you. That is not promoting you at all.

I would at this point (having the grounds to take her to court with the customer as a witness) tell her to do her job and you will continue to stay. But if she doesn't back-off and do her job, you will tear up your contract and walk. She is disrespecting you in front of customers that would have return for services, yet now may not. This is serious. It is your career. Do not let an unprofessional landlord start you on the wrong path.

If she is bankrupt, she has no money to do anything legally, anyways. She needs you, more than you need her!

It's up to you!

Misty Van Staaveren said:

Update: Today my rent was due. The owner owed me $65 for a gift certificate I redeemed so she told me to take it out of my rent. So I did. She leaves a message on my voicemail wondering where the full rent is? Wondering why I didn't pay the full amount like we talked about. I never had agreed on anything concerning the other half of the contract and I even left her a note with the rent telling her we'd have to find another therapist to fill the other half. Then, I have a new client sitting in the waiting room and she comes in this morning talking about paying rent and then scolds me for mistakenly throwing some lemons away in the recycle bin out back and now we might be fined. In front of my new client!! Oh man.