We know that utility disruptions impact your business and are a major inconvenience. In the event of a Utiluty Disruption, this is what to expect: Planned Disruption: Any time we are notified about an upcoming repair at or near the salon that may disrupt a utility service, we make every effort to coordinate with that utility provider to pick a day and time that is least disruptive to the salon. Unexpected Disruption: Unfortunately, some situations are beyond our control and cannot be scheduled. An example of this would be a broken main water pipe outside of the salon or transformer that has blown. When these situations arise, our Team works as quickly as possible to report the issues to the proper channels (such as reporting power outages, calling the landlord, gas company, etc). and find out what the estimated restoration time will be. If there is an issue within the salon, our Team is trained to OBSERVE & ASK. Our Team gathers as much information about the problem at hand by observing and asking questions, this helps us get the right person, with the right tools out as quickly as possible. Communication: Whether scheduled or unexpected, we will send a Text Blast out to all Members with the information we have as well as updates as they become available. In the event of an unexpected water shut off: Each salon stocks approximately 10 gallons of bottled water to rinse hair of chemicals. These bottles are commonly stored in the Member's Lounge cabinets or an unlocked closet to ensure access by all at any time of the day. Please Note: A disruption in utility services does not change your weekly rental obligations.

**NO PERSONAL CHECKS, MONEY ORDERS OR CASH WILL BE ACCEPTED** ACH PAYMENTS Via Routing and Account Number (no processing fee) CREDIT CARD PAYMENTS Credit Card payments will include an automatic 3.5% processing fee FEES NSF FEES - $30 DAILY LATE FEE - $20/DAY RENT IS PROCESSED ON MONDAY MORNINGS Note that depending on the payment method selected and your financial institution, it may take 1-5 business days to see the payment process through your account

Paint selections MUST be approved by the Area Manager and an additional $100 paint deposit is required. Curtains hung over any windows must have a plain black or white backing (unless approved by your Area Manager) and need to be floor to ceiling height. Do not apply stickers to the inside of the door on the vinyl. Additionally, do not use products like Goo Gone on the vinyl. Penalties may apply for damage to the vinyl. Please do not hang anything on the outside of your door or windows. We do not allow advertising materials to be displayed in exterior windows. Additionally, we do not allow any sandwich board, pop up or free standing signage in the hallways within the salon. Our landlords do not allow any free standing advertisments (signage, mannequins, banners, etc) outside of the salon. Nothing may ever be hung from a sprinkler head.

UNLOCKING SUITE FEE **SALONS BY JC IS NOT RESPONSIBLE FOR UNLOCKING YOUR DOOR** Subject to $50 Fee for the trip charge, if available NOISE OR RULE VIOLATION FINE Subject to $50 Fine Multiple violations may lead to more serious penalties such as Lease Termination at Salons by JC discretion PAINT DEPOSIT - **REQUEST MUST BE APPROVED BY AREA MANAGER** Deposit amount subject to $100 minimum ACCESS CARD REPLACMENT Lost, stolen or damaged or additional Access Card is $35 DOOR SIGN REPLACMENT $35 Fee LOCKOUT FEE (IN THE EVENT OF PAYMENT DEFAULT) $150 Fine + additional rental payment if applicable

UNLOCKED DOOR HOURS Tuesday – Saturday 9:00am – 6:00pm Sunday – Doors Locked ACCESS CARDS Your Access Card will grant you building access 7 days a week from 6:00am – 11:00pm You are welcome to take Guests during all Access Card hours – please inform your Guests to use the call box to gain access to the building when the doors are locked.

Dispose of garbage inside our assigned dumpster. The dumpster is located behind the building. Do not dispose of suite trash in the member lounge or restroom trash can. Break down all boxes before disposal. Do not leave the back door propped open at any time. Do not leave trash bags in the hallways.

Text Message - The quickest and most frequently used method for Blue Lion to share important information is by "Text Blast". If you opt out from receiving text messages from Blue Lion, you may not receive an important update. Email - emails are used when our message is longer than a text. These emails sometimes go to your junk folder. We always send a text blast letting you know we just sent an important email. Social Media - during times such as the Pandemic & the Winter Freeze, we sent updates out through Instagram & Facebook as information or situations were changing rather quickly. If you're not on social media, don't worry, we will always email/text important messages. Lounge TV's - information is added to the lounge tv's with important information that will also be sent to you through the above platforms

The HVAC equipment is zoned across the salon and not individually controlled within the suites. The temperature of the salon can fluctuate from area to area and suite to suite as well as the temperature outside. Salons by JC will maintain a fair and customary temperature throughout the salon for the building's overall comfort. Your individual preferences on ideal temperature may vary. We will attempt to adjust the temperature if too hot or too cold, however you may need to make adjustments within your suite (such as a sweater, or a fan) to "fine tune" your perfect temperature. If you feel like the A/C or Heat is not functioning properly, please notify your Area Manager. Tips if you are Too Hot Within Your Suite: • Do you have any hot tools on that are not needed at the time? • Are you using any specialty lights that could be turned off for a little while? • Is your door closed? Try opening the door to allow fresh air to circulate inside your suite. • Do you have a window suite? Try lowering your shades during peak sun hours. • How many people are inside the suite? It is recommended to limit the number of guests inside the suite to 1 person for every 35 sq ft due to the amount of body heat each person emits. • Are your clothes or apron made of a "non-breathable" material, such as a leather apron? Consider wearing cotton or another "breathable" material. • Consider bringing a fan to help circulate the air within your suite. Tips if you are Too Cold Within Your Suite: • Leave the door open for a little while for fresh air to circulate within your suite. • Do you have a window suite? Open the shades to allow the sun to warm your suite. • Consider bringing a heater that fits within the salon's guidelines.

• Washers & dryers are complimentary • Use magnets provided to label your washer / dryer • Set personal timers so that laundry is tended to in a timely manner – this helps prevent lost or mistakenly taken laundry • Liquid HD detergent only - Please NO PODS • Salons by JC Housekeepers will help move laundry along by switching loads from washers to dryers and folding towels as a courtesy when time permits in their day. https://static.wixstatic.com/media/70f4a5_33dfb7cc05a64582a90f598b138ad402~mv2.png

We ask that you operate your business in a manner that minimizes disturbances to other Members and their Guests. If you are operating a TV, radio or other device, we ask that you keep your door closed. Please refrain from "construction activity" during normal business hours, such as hanging pictures, using power tools and any other "construction" activities that could disturb the other Member's services. While we try to maintain an atmosphere that is enjoyable for all of the Members, we cannot guarentee that there will not be noise heard through the walls between suites, or from a neighboring business outside of Blue Lion. If you have any questions or concerns about noise in the salon, please contact your Area Manager.

Troubleshooting a slow draining sink: The hair trap might be full, please let the Housekeeper or Area Manager know so it can be emptied. If the problem persists, please notify the Area Manager as soon as possible. When personalizing your suite, please note that we are unable to move existing plumbing. Only licensed and insured plumbers are permitted to do work within the salon, with prior approval from Salons by JC.

Troubleshooting an electrical outlet not working: Press the reset button on the outlet (the button may be located on a different outlet within the suite) If you suspect that a breaker has been tripped, please contact the Housekeeper or your Area Manager. If this problem is happening repeatedly, you may need to reconfigure where you are plugging the items in to balance the electrical load between the 2 circuits in your suite. Changing light fixtures or adding an additional outlet: Only licensed and insured electricians are permitted to do work within the salon, with prior approval from Salons by JC. Nothing may ever be hung from a sprinkler head.

Please help us keep our restrooms beautiful by ensuring trash is disposed of properly. Trash from your suite should not be placed in this trash can or any other common area trash can. It is to be discarded in the dumpster only. If you notice any items that need replenishing, please let the Housekeeper or Area Manager know as soon as possible.

• On or before your move in date, your Area Manager will contact you to provide a key to your studio and access card to the building. • Please refrain from any "construction activity" during normal business hours such as hanging pictures, using power tools, or other activities that could disturb other Member services. • Please note: any damage caused to the hallways or common areas during move in will be your responsibility and must be reported to SBJC within 24 hours.

The License Agreement signed with Salons by JC auto-renews each year for another one year term, unless move out notice is emailed to myaccount@courtstonemgmt.com at least 60 days prior to your Lease End Date. Please see Move Out Notice & Procedures for additional information on this topic. Set a calendar reminder to help you keep up with your automatic annual renewals, and should you choose to move out, this will ensure you submit your notice in a timely manner.

A formal move out notice is an email that contains the following information: • Your name • Location & Suite Number • Reason for moving • Date you plan to vacate the suite Please note rent is charged on Monday's for the upcoming week, if you move out mid-week you will still be charged for the full week. Sunday's are the ideal move out day. The move out notice must be done no later than 60 days prior to your Lease End Date by sending an email to myaccount@courtstonemgmt.com. Verbal or text message notices will not be accepted.

If you are thinking about breaking your lease, please talk to your Area Manager as soon as possible to discuss your options. Broken lease penalties will apply and include any past due rent and unaccrued promotional weeks.

Normal Business Hours for Corporate and Area Managers: Monday - Friday 9AM - 6PM Normal Business Hours for Housekeepers: Tuesday - Saturday 9AM - 6PM Our Team is encouraged to honor our set business hours to spend time with their families and rest. If you call or text after business hours, we will get back to you the next business day. If you have an emergency, please call 833-725-6625 and select the option for After Hours Emergency. Locking yourself out of your suite is not considered an after hours emergency.

If you need a statement for tax purposes or have any questions about your account, please reach out to your Area Manager or email myaccount@courtstonemgmt.com.(mailto:myaccount@courtstonemgmt.com)

Log onto the portal,(https://courtstone.twa.rentmanager.com/applynow) choose Leases from the Menu, download the document to your device.

What is Business Personal Property Tax? Effective January 1, 2004 - in the state of Texas, if you own a business, or have tangible personal property used to produce income, you are required by law to report the personal property used in your business to the Appraisal District. As a courtesy, the appraisal district in January starts mailing rendition forms to businesses known to have been in operation in the prior year. You may receive this form in the mail. Please feel free to reach out to a property tax expert for detailed information specific to your small business. For additional information on what business personal property is, please visit Harris County’s Appraisal District website.(https://hcad.org/hcad-resources/hcad-industrial-personal-property/hcad-business-personal-property/) I've Never Had To Do This Before, Why Now? Salons by JC does not report business listing information to the appraisal districts. Local counties have become more proactive in recent years to locate businesses who are not self-reporting their personal property. What To Do When You Receive a Rendition Form: The Rendition Forms must be completed by the due date stated on the form. You may request an extension that allows additional time to compete and file the form. Once the form has been reviewed by the local Appraisal District, you will receive an appraised value. This will tell you your tax liability that is due January 31st the following year. If you do not agree with the value, it is your right to request a hearing. You should only include your property located in your suite, do not include Salons by JC provided property, we file and pay property taxes annually on these items. If the value of your items amounts to $600 or less, it is unlikely (but possible) that you will receive a tax bill. Tax bills come from the county’s appraisal district, local school district and MUD. Received a Bill? If you do/did not pay your taxes by January 31st, you will continue to receive a bill or notice with penalties and interest accessed. If you have any questions regarding a Rendition Form or tax bill received, please contact the Appraisal District office listed on your paperwork. It is imperative that you pay close attention to the deadlines on the paperwork to avoid missing the deadline to file for an extension, accruing late fees, or protesting your declared tax values.

While services performed in barbershops and beauty salons are not taxable, retail sales are taxable. It is your responsibility to obtain a sales tax permit in order to collect and remit payments to the local tax authority. To Apply, or for further information about Sales Tax Permits, please see the Texas Comptroller's Website.(https://comptroller.texas.gov/help/sales-tax-registration/#skip-scroll)

What is a Mini Salon? A Mini Salon is a room or suite (leased or rented) inside of a Salon Gallery available to be used for cosmetology services. The Mini Salon is a separate establishment operated independently from the Salon Gallery and any other Mini Salons. It must be enclosed with walls and separate from the common areas. Do I need to re-apply for a new Mini Salon license when moving from one suite to another in the same gallery? NO, a new license application and application fee is NOT required. Submit a Cosmetology Notice of Change Form to TDLR (undefined)and include a $25 fee by cashier's check or money order for a new duplicate license. Please make a copy of the form before mailing it in and keep a copy of the cashier's check or money order receipt. If you move to another gallery – i.e., another physical salon address, whether it’s across the street or across town – you will need to re-apply with a new application. But if you are only changing suite numbers, there is no need for a whole new application. I share a suite with another Stylist, do we both need a Mini Salon License? No. Each suite is only allowed to have 1 active Mini Salon license. In this situation, 1 of the Members will register for the Mini Salon license and keep a Sub Contractor form (undefined)with the other Stylist(s) information. This form does not need to be displayed, however during an inspection it may be requested, so it is important to have completed and on hand at all times.

Each Member is responsible to operate their business in compliance with their state's guidelines. TDLR usually contacts us to schedule an inspection. We will announce the planned date/time as soon as it's confirmed, viaText Blast, an email and notice posted in the salon. Here are some common items that inspectors usually look for: Required Postings: • Operator's License • Must have with a photo • Must be hung in plain sight • Must not be expired • Mini Salon (or Mini Barber / Mini Dual) License • Must have correct suite number • Must not be expired • Must be hung in plain sight • TDLR Complaint Sign • TDLR Stop Human Trafficking Sign • Most recent inspection report (If applicable) • You may be asked to show your TDLR Rules and Regulations book(s) • Sanitation Questions Inspectors May Ask: • What do you use to wash your towels? – Correct Answer: Bleach and Detergent • Do you use hot or cold water? - Correct Answer: Hot • How often do you change your barbacide / when was the last time it was changed? – Correct Answer: Every day at the end of the day • All products, bottles, cleaners, etc. correctly labeled • They want to see items such as hair pins, rollers, etc. that are clean, labeled, in a container/drawer along with what is dirty labeled in something separate. • You must have a trash can with a lid • You must have a laundry hamper with a lid • Unless actively working on a client, floor must be clean and free of hair/debris • Unless working on a client, shampoo bowl must be clean and free of hair, bowls, brushes etc. • If you are a barber or hold a dual license, you must have a small sign on your door that says “Barber” – Salons by JC will supply this Please note: This list is not exhaustive of all questions that may come up during an inspection. You are ultimately responsible to know and follow TDLR's rules and regulations. TDLR may show up for an inspection at any time, unannounced. These inspections are mandatory. If you are not at the salon at the time of an inspection, a Salons by JC Team Member will accompany the Inspector while in your suite.