Spa-Business

Strip mall sold, businesses bumped

Tenants must vacate by the end of the year

Seven local businesses are being asked to relocate as a west-side strip mall is being sold and demolished.
Bob and Judy Lewis, who own the strip mall at 821 Jackson Blvd., informed the tenants last week of the sale and asked that they evacuate by the end of the year.

The Lewises wouldn’t comment on what might replace the strip mall, but some business owners said they had heard a fast-food restaurant was considering the location.

“I was kind of surprised,” said Dory Kent of Emy’s Salon and Day Spa, who has a business in the location near the west-side Safeway. “I expected to be here for a long time.”

Vicki Barlean of Cakes & More and Quilt Time is facing the challenge to find a place big enough for her two businesses.

“I’m sure I’ll find something,” she said. “I’m tickled to death for the landlords,” who Barlean said were retiring.

Ted French, owner of Rapid City Hearing Aid Center, said the news knocked the wind out of him. His company would have been celebrating its 20th year at that location, but now will have to do it somewhere else.

“When I first heard about it, I felt bad. I was bummed,” said French, who likes the location. “Onward and upward,” he said. “The office is small. We’re looking for a bigger and better office with higher visibility. We’re trying to be positive.”

Betsy St. Pierre of Magic Touch Beauty Salon was sad when she found out.

“It’s been 46 years as a beauty shop. That’s a lot of history,” St. Pierre said. Most of her customers already know about the change, and now, St. Pierre has found a new place a couple blocks away. “I hate to lose my little shop.”

It doesn’t take long to walk from one end of the strip mall to the other, creating a feeling of a close-knit mini-community.

“We all get along so well,” St. Pierre said. “I hope to have as good of neighbors as I have here.”

The news was difficult for at least one customer Thursday.

“I’m disappointed,” said Jodi Mills of Rapid City, whose daughter, Jordan, was getting her hair cut at Emy’s Salon and Day Spa. “It’s inconvenient,” she said about the move. “We know what’s here and where it’s at.”

Businesses in the strip mall at 821 Jackson Blvd.:

* Magic Touch Beauty Salon

* American Family Insurance

* New Image Styling Salon

* Black Hills Appraisal

* Cakes & More

* Quilt Time

* Emy’s Salon and Day Spa

* Rapid City Hearing Aid Center
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Tags: Spa Business, Spa Closing, Spa Closings by Spavelous
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Maumee spa employees suddenly without jobs

Just months after celebrating its 5-year anniversary, Adagio day spa is now closed.
This came as a surprise to both employees and clients who say they had no idea the salon in the 3300 block of Briarfield was even closing.

Now, more surprises as Problem Solver Mika Highsmith finds checks are now bouncing.
“This is all my work stuff,” says Stylist Holly Tedrick. Tools for the trade were blow dryers and brushes that Tedrick used to store inside Adagio’s day spa.
But now that the door is locked.

Her tools are outside along with dozens of frustrated and confused employees and clients who had no idea it was coming. “Clients are walking up thinking they have appointments. Nobody knows,” says Tedrick.
“It was a complete shock,” says Stylist Kristi Feuerstein. Kristi doesn’t need another surprise. “My husband doesn’t have a job. He works at Delta at the airport,” she explains.

Her latest paycheck bounced. 

Now she has to bounce back in this tough economy. “This can’t be happening. How can we both lose our jobs in like a week of each other?”

Not knowing how or why, Feuerstein says, “Nobody called us. No management.”
Problem Solver Highsmith contacted the owner of Adagio, who has not returned our calls. The company who runs the building also had no comment

She did find eight pending liens filed in the Lucas County Court of Common Pleas by the State of Ohio Department of Taxation.

“We just had a meeting last month. They said everything was great… and it’s just a smack in the face. I feel like I’ve been lied to,” Tedrick tells us.

Highsmith was told by employees the owner is in Florida right now. She is supposed to be in town on Saturday, July 19. Employees say they’ve been told they will get their money. In the meantime, most of the employees say they plan to press charges.

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Tags: Day Spa, Ohio Spas, Spa, Spa Closing by Spavelous
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Escape Medical Spa Closes
You Ask, We investigate a popular spa and salon in Green Bay closes its doors leaving hundreds of dollars worth of gift certificates… invalid and customers angry.

NBC26 Reporter Mitch Weber took your questions straight to the owner of Escape Medical Spa and Salon. The owners wouldn’t talk to us on camera, but Jeff Huguet told us they tried to keep the doors open, but declining business and financial issues didn’t leave them with any choice. The status of the gifts cards is still in limbo as they try to figure out… How they reimburse customers.

The Huguets also tell us they are trying to help their employees find other jobs and are trying to contact customers with upcoming appointments.

Statement from Escape Medical Spa:

Escape Medical Spa, 2401 Holmgren Way in Ashwaubenon, has closed due to current economic conditions and financial issues. “We did everything we could to keep the doors open, but declining business and the resulting financial issues did not leave us a choice,” said Jeff Huguet, who owns Escape, along with his wife, Nancy.

The Spa closed on Saturday, October 25, 2008. “We helped our employees find other jobs in the area and they have helped us contact as many people as possible who had upcoming appointments,” explained Jeff Huguet. The status of outstanding gift cards is still pending as the firm works out the details.

“We want to thank our employees and our customers for their business over the years; their support was greatly appreciated,” said Nancy Huguet. “This is incredibly difficult for us, not just financially but emotionally, as we love this community and we regret that we let people down.”

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This is why it is so critical that you NEVER purchase a spa gift certificate from a single location.  You should always purchase a spa gift card that is backed by Visa or American Express and may be redeemed at Thousands of locations.

Why Give a Spavelous Spa Gift Cards?

Spavelous Spa Gift Cards are the most widely accepted spa gift card and may be redeemed at any day spa, resort spa, destination spa or salon that accepts Visa® cards.
With Spavelous Spa Gift Cards there are no limitations on what spa services, spa products or spa packages that you may redeem it for. You may use them on discounted spa services and spa packages.
Spa Gift Cards may be personalized with recipients name and a special message.
Send a free e-card to your spa gift card recipient.
You may check your balance on line or using a toll free number.
Spavelous Spa Gift Cards give your gift recipient the choice of where and how they spend it.
You never have to worry about a spa closing or changing ownership because Spavelous Spa Gift Cards may be redeemed at any day spa, resort spa, destination spa or salon that accepts Visa® cards.

Tags: Spa Closing, Spa Closings by Spavelous
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It looks as if the summer has been hard on Scottsdale Spas with another spa closing. 

On their website, the owners Margo and Alsion Zelenski, left a final note.  I would like to commend them for keeping their clients informed and providing information on their employees.  Unlike Massagiano which disconnected the web and the telephone. 

Below is the information from their website:

As of Saturday, August 9th, The Massage & Esthetics Studio has been forced to close its doors.  Unfortunately, the slow economy and the enormous increase in competition has made it impossible for us to continue.

We are devastated, and deeply apologetic to all our loyal clients and staff.  It has been our pleasure to serve you for the last 5 years.

Sincerely,

Margo Zelenski

Alison Zelenski

Contact your massage therapist from The Massage & Esthetics Studio

Here is the contact information for our available therapists, if you would like to contact them for services.  They have also offered to accept outstanding gift cards and series for a limited time at 50% off the normal price.  Please contact them for details.

Lora Vance  (602) 525-4553

    LVance70@cox.net

Teralin Dillman  (623) 418-9560

     terak24@msn.com

Kylah Alford  (602) 677-0971

     Kylah.Alford@gmail.com

Katie Guisinger  (480) 789-9055

      noeone143@msn.com

Bre Terry  (480) 252-2441

     TBTerry311@yahoo.com

Carrie Bawol  (480) 797-6519

     Carrie.Bawol@asu.edu

Sonya Rangel  (480) 285-8685

     SRangel7@cox.net

Offer from Bella Tu Day Spa

Bella Tu Day Spa in Scottsdale is offering The Massage & Esthetics Studio clients a first time massage for just $49.  Please contact them to schedule an appointment or for their policy regarding accepting current MES gift cards at a discounted rate: 

Tags: Spa Closing, Spa Closings by Spavelous
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Apparently Massaggiano Spa in Scottsdale Arizona has gone out of business.  Closing it doors on Monday May 12th due to financial difficulties.  

The telephone has been disconnected and their website www.massaggiano.com now hosts online ads. According to godaddy records, the site was placed to auctioned on 8/25/08 http://64.233.169.104/search?q=cache:SaztxnzpOcsJ:https://www.tdnam.com/trpItemListing.aspx%3Fmiid%3D15971531+Massaggiano+%22closing&hl=en&ct=clnk&cd=5&gl=us

The Better Business Bureau, noted Aug 18, 2008 … Massaggiano Day Spa … has gone out of business and the gift certificates are now invalid. …

A spa gift certificate is a wonderful gift, but do not take a chance that your spa will close, go out of business or have new owners. Spavelous is a safe spa gift card that you can give with confidence. It is accepted at any spa where Visa is accepted

 
According to a press release from last year a franchise was sold for Gilbert. 

If you know anything about this closing please let us know.

SCOTTSDALE-BASED MASSAGGIANO, THE MASSAGE SPA, SELLS NEW FRANCHISE TO OPEN IN GILBERT
Michelle Novak, founder and president of Massaggiano, The Massage Spa, an award-winning membership-based massage spa franchise based in Scottsdale, Ariz. has awarded her latest franchise to Gilbert, Ariz. resident Barbara Reed. The new location is scheduled to open in April, and will be located in Higley Park Commons on the northeast corner of Ray and Higley roads in Gilbert.

 
Reed, who was aspiring to become a physician, decided that her true passion could be better expressed through starting her own health-related business. Thus began her search for an opportunity to help people pursue wellness and balance in their lives through alternative therapies.

 
“Massaggiano is the perfect choice for me as a business owner,” said Reed. “Being a long time massage customer, I found the Massaggiano concept to be exactly aligned with my expectations
of service; Michelle has perfected the massage spa experience.”

 
Novak began Massaggiano in 2004 as a solo entrepreneur, always with the vision of franchising the concept. National franchise opportunities are available. More information can be found at
www.massaggiano.com.

 
“The massage and spa industry is booming and continues to grow each year, making Massaggiano a perfect choice for anyone looking for a successful franchise opportunity,” said Novak. “The Massaggiano concept is particularly attractive to women entrepreneurs and unlike other industries, the spa industry is timeless and resilient to change – a great massage will never lose its touch.”

 
Novak is also an advisory board member of the Women’s Franchise and Distribution Forum, an international non-profit organization whose mission is to connect results-oriented female
franchisees and prospective franchisees to essential tools, tactics and strategies designed to position them for personal and professional success. The group’s goal is to be the premier knowledge and networking resource for women in business regarding US and international franchising, licensing and distribution.

 
The Massaggiano concept provides guests with an exceptional experience by offering a consistently great massage in a beautiful, relaxing Tuscan-style setting, with award-winning customer service, at great membership prices. Massaggiano, winner of the Best Massage Award in 2006, is a member of the International Spa Association, the International Franchise Association and the Better Business Bureau. More information on Massaggiano’s franchise opportunities can be found at www.massaggiano.com. More information about the Women’s Franchise & Distribution Forum can be found at www.womensfranchiseforum.com.

Tags: Spa Closing, Spa Closings by Spavelous
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Jason Alan Fetcher, dba Nu-U Day Spa And Salon, dba Nu-U Sunbath, dba Nu-U Dayspa, dba Fetcher Development, 210 S. Napier, Greenland; Chapter 7; $618,782 debt filed Aug. 6; $9,613 assets

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Tags: Spa Bankruptcy, Spa Closing, Spa Legal Issues by Spavelous
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Hair no more….

Regis to close 160 salons in effort to shave operating costs

Edina MN-based Regis Corp. said Wednesday it will close about 160 underperforming salons in the United States, Canada and United Kingdom in the next six months as it tries to cut costs. Four of the stores will be in Minnesota, though a company official declined to offer specific locations.

The stores make up less than 2 percent of the chain’s 8,500 company-owned salons, which operate under the names Regis Salons, MasterCuts, Cost Cutters, Supercuts and Trade Secret, among others.
The closings come in addition to the 200 or so low-performers that Regis typically shuts down each year when leases run out, Regis CEO Paul Finkelstein said. The company said it would offer employees jobs in nearby salons.

“Every store that opens isn’t a home run,” said Stan Pohmer, a Twin Cities retail consultant. “At some point you have to identify your chances of turning them around. … It’s just good business management to go in and cut out the low-hanging fruit that’s sucking all your resources out. It’s not something that hints at problems endemic with the company.”

Regis expects to shutter 100 stores at regional malls, 40 at strip malls and 20 in the United Kingdom. About a third of the closings will come from the struggling Trade Secret stores, the rest from a “myriad of brands,” Finkelstein said. Many of the stores were located in malls that were struggling or in strip centers that had lost major tenants.

None of the 2,178 SmartStyle salons that operate in Wal-Mart SuperCenters will be closed, Finkelstein said.
Regis expects to record a pretax charge of $20 million to $25 million to close the stores before the end of their lease terms, a cost Finkelstein said will ultimately boost profits by reducing the drain on time and resources.

Regis said it will write down $4.5 million, or 6 to 7 cents a share, in the fourth quarter, which ended June 30. The remainder of the charges will be recorded in the first half of the fiscal year.
Shares on Wednesday closed at $26.81, down almost 2 percent, in a day most of the market’s major indexes closed down by a similar amount.

Regis has spent the past 18 months focusing on internal efforts to reduce costs, including consolidating contracts for janitorial services and office supply vendors and reducing the number of small parcel posts.
Combined with price increases across nearly 6,000 locations, Finkelstein said, the measures helped boost third-quarter net income.

Meanwhile, Regis is pushing forward with new concepts despite cutting its new-store construction in half as consumers make fewer visits to the salon for haircuts, products and other services.
On Aug. 8, Regis plans to open what Finkelstein describes as a “quality, high-end barbershop” called Raze, located off of Hwy. 62 and Shady Oak Road in Minnetonka. Haircuts will run $25 to $30, and come complete with hot towels, Internet access, bottled water and other amenities.
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This is why it is important that if you are purchasing a Spa or Salon gift card that you purhase on e tat is good at any spa or salon that accepts Visa like the Spavelous Gift card, you do not have to worry about the business going out of business or closing.

Spavelous Spa Gift Cards may be redeemed at any Spa or Salon that accepts

Visa® cards.

Why Give a Spavelous Spa Gift Card?

Spavelous Spa Gift Cards may be redeemed at any day spa, resort spa, destination spa or salon that accepts Visa® cards

With Spavelous Spa Gift Cards there are no limitations on what spa services, spa products or spa packages that you may redeem it for. You may use them on discounted spa services and spa packages.

Gift Cards may be personalized with recipients name and a special message

Send a free e-card to your spa gift card recipient.

You may check your balance on line or using a toll free number.

Spavelous Spa Gift Cards give your gift recipient the choice of where and how they spend it. You never have to worry about a spa closing or changing ownership because Spavelous Spa Gift Cards may be redeemed at any day spa, resort spa, destination spa or salon that accepts Visa® debit cards.

Tags: Spa Closing, Spa Closings by Spavelous
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BANKRUPTCY FILING

As the economy slows, the nationwide Solana chain of 50-plus franchised medical spas has locked its Irvine headquarters, filed for Chapter 7 bankruptcy, shut down its Web site, and disconnected its phone.  Their website indicates that another site is being developed by Higher Images.  Higher Images is a SEO and Internet Marketing and web design company.

The following is from a Medspa Blog:

Solana Medspas is out of business?

Sunday, June 29, 2008, 10:15:16 AM | Jeff Barson

Neither the company’s chief executive, William Maya, nor its bankruptcy attorney could be reached for comment.

The company founder, John Buckingham of Mission Viejo, said he sold Solana on Nov. 20 to a private equity company in San Clemente and could not speak in detail about its current status.
Buckingham remained a director of the company, which helped entrepreneurs set up medical spas that provided spa services plus non-invasive cosmetic medical procedures such as Botox injections.

As recently as March, Buckingham predicted that the nation’s economic slowdown would help Solana MedSpas by freeing up new retail locations for its medical spas.
In an interview with CNN/Money, he said he was “excited about taking advantage of this year’s store vacancies to open another 20 locations in malls.”

At that point, he said Solana had 50 spas “located in upscale strip centers and lifestyle centers, which are typically open-air malls.”
In May, Solana struck a deal with cosmetic-laser company Cutera Inc. of Brisbane, Calif., which declared Solana the “preferred provider” for its products at medspas nationwide.
That announcement said Solana “has sold over 70 stand-alone retail med spas with others scheduled to be opened in 2008” and had established a new division, Solana MD, to open aesthetic spas in doctors’ offices.
Solana’s filing said it had $370,028 in liabilities but assets of only $11,713.

FRANCHISE ADS

Solana MedSpa franchises are still listed as for sale on franchising Web sites, with a total investment of $400,000 to $780,000.

The Franchise.com site, for example, says:
Solana MedSpas has forged a new medical spa model by combining cutting-edge aesthetics and wellness technologies with traditional spa therapies in a retail environment.
In a short period of time, Solana MedSpas has become a nationwide leader in medical spa development with a growing network of uniquely branded medical spas. With an emphasis on regulatory compliance, healthcare innovation, education, marketing and customer service, Solana MedSpas has emerged as the fastest growing developer of MedSpas in the US.

The Chapter 7 bankruptcy filing means that the company will be liquidated, not reorganized.

BANKRUPTCY DETAILS
Solana’s current owner is Strategic Connections L.P., which is listed in the July 7 bankruptcy filing as “c/o WEM Management Company, 422 Avenida Salvador, San Clemente.”
The company’s largest listed creditor is its owner, which had floated it a $160,000 loan.
Solana said it had income of $456,989 so far this year from its consulting services to owners and operators of spas.
It paid Maya $161,112 in salary from Nov. 24, 2007, through June 24, the bankruptcy filing said. Buckingham’s salary for that period was $148,918.
The one company-owned medical spa, Resolutions, A Solana Medspa, also filed for bankruptcy under its legal name, Solana Medspa Development LLC.
The Resolutions medspa, located in a Rancho Santa Margarita shopping center, closed suddenly two weeks ago without explanation, said a hairdresser working in the adjoining hair salon.
The medspa listed assets of $11,713 and liabilities of $121,329. It cited $0 as the value of its unsold inventory of cosmetics, cosmeceuticals and Botox, which were purchased for $51,388.
Irvine-based Allergan, the maker of Botox, is its largest creditor. The medspa owes Allergan $49,260, the filing said.
The Resolutions spa had income of $225,555 so far this year, its filing said.

Tags: MedSpa, Medical Spa, Spa Bankruptcy, Spa Closing, Spa Closings by Spavelous
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This article is brought to you by Spavelous.com. http://www.spavelous.com

Customers of former spa will get money back

When Spa 151 on the River closed without warning in late January, hundreds of customers were left holding worthless gift certificates and gift cards.

Good Example of Why you should only purchase Spavelous Spa Gift Cards and Spa Gift Certificates!

On Tuesday, after almost four months of investigation and negotiation, Missouri Attorney General Jay Nixon announced those consumers will get their money back. Ashli and Scott Rowland, owners of the spa, and Brent Wills, a one-time business partner of the Rowlands, agreed to pay up to $103,000 in restitution.

The agreement will be enforced by the Cole County Circuit Court, where Nixon’s office filed a copy of the settlement. In addition, the Rowlands and Wills will pay $4,000 to the state to cover the cost of the investigation.

Since the spa closed, 358 consumers have filed complaints with the attorney general’s consumer affairs hot line, said John Fougere, press secretary to Nixon.

The voluntary agreement requires the Rowlands to pay $15,000 each and Wills to pay $30,000 into a restitution fund that will be managed by Nixon’s office. Should claims for restitution exceed $60,000, the Rowlands and Wills will be liable to cover up to $43,000 in additional claims, Nixon’s office said in a news release.

Spa 151’s troubles began during the divorce proceedings between Scott and Ashli Rowland. Late in January, Scott Rowland came to the spa, announced he was taking over from his estranged wife and changed the locks, according to several employee accounts. He told employees they could not honor the gift cards or certificates or accept credit cards. The employees, who as contract workers received a share of each sale as part of their pay, refused those terms, did not return to work, and the spa closed.

In an interview with the Southeast Missourian a week later, Ashli Rowland promised to make full restitution to all gift card and gift certificate holders. She promised at that time to set up a post office box to receive the cards and certificates.

But as complaints mounted, Rowland became impossible to reach and Nixon’s office promised to make her keep the promise.

“Consumers who paid up front for Spa 151 gift certificates did in good faith and had no reason to believe that the business was about to close,” Nixon said in the prepared statement announcing the refund deal. “Businesses that accept full payment up front for services to be delivered to consumers in the future have an obligation to deliver those services or provide refunds, regardless if they’re going out of business or experiencing financial problems.”

Neither Ashli nor Scott Rowland, both of whom have moved to Ashland, Mo., according to court records, could be reached for comment Tuesday. Neither could Wills, who operates an insurance brokerage in Jackson.

When Spa 151 closed, Wills said he had no responsibility for the operation of the business or the actions that forced it to close. He did acknowledge he was originally a partner in the spa and held a continuing interest in the property.

Putting it behind him

Investigators with Nixon’s office also found that Wills was not involved in the business when it closed.

“During our investigation it became fairly obvious that Mr. Wills hadn’t been involved in the business for some time,” Fougere said. “But he was willing to pay $30,000 to put this behind him.”

A new spa with no connection to the Rowlands or Wills, eDen Spa & Boutique, has opened at 151 S. Spanish St. The owner is Kristina Schumer.

Spa 151 operated at 151 S. Spanish St. for a little more than two years.

The refunds will be sent by the attorney general’s office from funds deposited by the Rowlands and Wills, Fougere said. Many of the complaints focused on gift cards sold in the periods immediately before Christmas and Valentine’s Day.

Of the initial $60,000, $7,392 will be used to reimburse credit-card companies that have already charged back the gift certificate purchases.

The additional $43,000 will be paid if claims exceed $60,000. Each of the Rowlands and Wills are liable for the amount, and Wills has opened a letter of credit with First Midwest Bank in Jackson with the attorney general’s office as the beneficiary to guarantee the payments.

Consumers who have already filed complaints with Nixon’s office and those who file complaints within the next 90 days are eligible for the refunds. Consumers seeking refunds will be required to provide proof of their purchase, Fougere said.

To file a complaint, call the consumer affairs hot line at 800-392-8222 or go to the attorney general’s Web site at www.ago.mo.gov.

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Tags: Day Spa, MO Day Spa, Spa Closing, Spa Gift Cards, Spa Gift Certificates by Spavelous
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