Skin Type Solutions

4500 Biscayne Boulevard, PenthouseMiami, Florida 33137

[email protected]

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The following information describes the Skin Type Solutions franchise program, portions of which are discussed in greater detail in subsequent sections of this Franchise Disclosure Document You, as an independent business person, assume all of the risks of the business venture since business is not generated by one party for the other You must rely on your own business judgment in deciding whether or not to purchase a Skin Type Solutions franchise The STS franchise program is available to any size franchisee and is not based on referrals, volume or the value of franchisee's business We authorize qualified entities (franchisees) to operate Skin Type Solutions Displays (STS Displays) within their own primary business pursuant to a written franchise agreement (the “Franchise Agreement”, attached as Exhibit “B” to this Disclosure Document) Each franchisee is also provided a free on-line sales internet selling site (“Franchisees Internet STS Store”), which will be managed and operated by us or our then exclusive STSA Product distributor Skin Type Solutions Displays are located within the existing business premises of our franchisees STS Displays implement our business system, under the name and service mark “Skin Type Solutions” along with the other service marks, pending patent and copyrights (described and set forth in Article 13 & 14 herein) in order to exclusively sell Skin Type Solutions Approved skincare products (STSA Products) Franchisees Internet STS Store will sell authorized STSA Products duplicating each franchisees' in office product line and pricing enabling patients to re-order their" STSA products as more specifically described in Item 8 STS Displays are miniaturized retail businesses and include a permanent shelving, graphic and signage installation on an empty office wall ranging in size from 55 square feet to 70 square feet or mobile kiosks, all designed to fit m almost any business premises The franchisee is responsible for posting that it is the owner and has a financial interest in its STS Display STS Displays provide the opportunity for a franchisee to develop an additional profit center for its existing business without materially increasing its fixed and variable costs Our franchise program does not charge any royalty fees The Franchisor's income is derived from (i) initial franchise fees, (ii) our profit share or processing fee from the sale of STSA Products topical products and injectable products (from the revocable injectable amenity program via service fees and rebates) sold to franchisees by us or our authorized manufacturers, suppliers, vendors and distributors, and unknown undeveloped income sources yet unknown Franchisees are required to purchase their STSA products from the Franchisor or its authorized distributor provided the STSA product is sold at the lowest price available Typically, all topical and injectable product purchases are paid by STS franchisee's credit card charge at the time of purchase The STSA Products that will be sold in the STS Displays are skincare products that have been approved by Us and classified to be efficacious to one or more of the 16 Baumann Skin Types® STSA Products contain the right ingredients for each Skin Type, contain sufficient amounts of active ingredients to be effective, do not contain counterproductive ingredients, are formulated effectively, are packaged to maintain stability of the active ingredients, are cosmetically elegant (smell good and feel good) and have received positive responses from those who have used them The STSA Products may include brands currently on the market and sold elsewhere or may be brands exclusive to the Franchisor Presently existing are STSA Products that are existing rebranded skin care products with an exclusive brand controlled by Franchisor or its affiliates or newly invented skincare products, all of which will be referred to in this disclosure document as Skin Type Solutions “proprietary skincare products” 8 STSA Products are marketed and sold thru the education and application of the patent pending Baumann Skin Typing System This analysis enables STS Displays to provide customized scientifically validated advice for individuals of every skin color, ethnicity, age, and sex Use of the Baumann Skin Typing System and the purchase ofSTSA Products by franchisee's patients/customers/consumers (hereinafter referred to herein as consumers) enable them to achieve (i) proper skincare recommendations, (ii) real assistance identifying skin type and condition, (iii) easier to follow simplified beauty and health routines Our franchise program contains restrictions and limitations on your business operations as it is structured to create a profit center derived from only your consumers and their families and friends, (i) you are restricted as to whom you may sell STSA Products (see Item 8), (ii) you are restricted as to where you may sell STSA, Products (see Item 8), (ill) you are restricted as to the type and nature of your advertising and marketing activities (see Item 11), (iv) there are restrictions as to the prices charged on Franchisee Internet STS Store (see Item 8) and (v) you are restricted as to whom you may purchase your STSA Product inventory (see Item 8), STS Shelving and STS Graphics and Signs (see Item 8)