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Med spa memberships are great for you and your clients – they enable clients to spread the cost of premium treatments and unlock VIP perks and discounts. For you, as a business owner, they equal steady recurring revenue!
However, if you aren’t crystal clear about the terms of membership, they can lead to unwanted payment disputes and cancellation requests. Awkward.
Therefore, a well-structured membership contract for med spas should go hand in hand with any membership you plan to add.
A membership agreement is beneficial for everyone. It protects your med spa from potential legal disputes and revenue loss while setting clear expectations, defining the scope of the membership benefits, and guiding clients on what to expect.
In this guide, we’ll unpack what a sound membership contract should look like. Plus, you’ll also get a free template you can customize. 🎀
Why should med spas offer membership programs?
Membership programs are everywhere. Starbucks, Pret, Sephora, Costco… they all make clients stick around by delivering VIP treatment and unique advantages.
A study found that 9 out of 10 Brits are currently subscribed to at least one loyalty program, and more than 70% of Brits and Americans agree that loyalty programs are a great way for brands to reward customers.
It’s not surprising why so many med spas want to start their own membership program – it brings many benefits:
✔️ Provides stable recurring revenue
✔️ Keeps clients coming back for more
✔️ Cover overheads and acquisition costs
✔️ Keeps your schedule full all year round
✔️ Helps you build strong and long-lasting relationships with clients
Membership programs also encourage clients to be open to spending more and trying out new treatments.
A study published by the American Med Spa Association states that one med spa saw a 35% increase in client spend per visit and a 33% increase in the rate of people using fillers who had never used them before, after introducing a membership program.
So instead of asking why should spas offer memberships, the question should really be: Why aren’t med spas offering membership programs already?
What should be included in a spa membership contract template?
A med spa membership contract should include the following key components to protect both your business and clients.
Membership duration and renewal
The membership duration and renewal specify how long the membership will last (e.g., monthly, quarterly, or yearly) and the expiration date and outline renewal terms.
You might also include the membership start and end date and the due date for membership renewal.
Payment terms and options
The payment terms and options section discusses the membership fee, how and how frequently it will be paid (every month, quarter, year), and other membership terms.
Memberships are usually based on a monthly membership fee. However, you can also provide quarterly or yearly payment options with reduced pricing for clients looking for a long-term commitment with potential cost savings.
You may also include an automatic payment date field stating when membership fees will be collected, which can be filled in or have pre-defined dates selected, like every 1st or 15th day of each month. Also, decide whether any unused credits, services, or discounts can roll over to the next month.
Services included in the membership
This section should clearly outline the specific med spa services, treatments, and discounts that come with the membership.
Specify what’s included in different membership tiers. For example, a Bronze membership could cost clients $50 per month and give them $600 to spend on all treatments and services, complementary skincare products, and a $50 birthday gift voucher.
Outline any discounts on additional treatments not covered in the base membership, for example, 15% off advanced skin treatments or discounted rates on special add-ons.
Lastly, add any additional perks, such as priority booking, seasonal promotions, or access to exclusive events for members only.
Cancellation and refund policies
A well-defined cancellation policy is a must to protect your med spa and set clear expectations with clients. Here’s how to structure this section:
- Cancelation terms: Outline how and when clients can cancel their membership (how do they notify you?) and details like requiring a 30 days’ notice of cancellation before the next billing cycle.
- Early termination fees: Define the minimum commitment period (e.g., six months) and any cancellation fees if the client wants to cancel before that. For instance, they need to pay prorated membership pricing (calculated on a partial period of service) or forfeit certain perks.
- Refund policy: Specify the conditions for when refunds are or aren’t available.
- Freeze or pause option: For clients with special circumstances (e.g., illness, travel, pregnancy), include options to freeze or pause the membership temporarily without losing benefits. Also, limits should be defined, such as one freeze per year for up to three months.
Member responsibilities and obligations
This section helps clients understand their responsibilities and how to get the most out of their membership while respecting med spa rules and guidelines.
Explain that members are responsible for booking their appointments in advance to secure their preferred times.
Also, emphasize that clients need to adhere to the med spa policy, such as:
- Understanding the cancellation policy to avoid fees if they need to reschedule or cancel
- Keeping their payment information up to date, especially for auto-renewing memberships
- Informing your med spa of any changes in their health or skin condition
Termination of membership by the spa
In this section, you can outline scenarios where you reserve the right for your med spa to terminate a membership to protect your policies, staff, and client environment.
The scenarios may include:
- If the client violates in any way the conditions of the membership agreement or your med spa’s rules and regulations.
- If the client doesn’t pay the monthly fee up to 30 days after the due date for payment.
- If the client provided false information when applying for the membership.
- If a client’s health condition presents an ongoing safety risk for certain treatments included in the membership services.
Additionally, you may include a Terms and Conditions section to describe your med spa’s policy and some restrictions.
Liability and consent forms
The liability and consent forms section establishes the legal agreement where the client acknowledges the risks of certain treatments and consents to proceed, reducing the spa’s liability in case of unexpected reactions or outcomes.
It should include:
- A consent form section stating that the client agrees to the above in the membership contract, including the client’s personal details, such as name, contact information, email address, and the members signature.
- The release and waiver of liability section that states that the client acknowledges and understands the membership terms, benefits, and limitations. It also includes a statement that the client releases the med spa from liability for any injury or adverse effects resulting from undiagnosed conditions during treatment.
- A credit card authorization section that contains the member’s credit card details, as well as a statement that the client authorizes your med spa to charge their credit card per the terms of the agreement.
Legal considerations for a med spa membership contract
Before drafting any membership contract, we have to mention that membership or automatic renewal contracts may vary depending on the country and region.
You should always consult legal professionals or MSOs in order to craft a contract tailored to your country’s or state’s laws. Here’s what to keep in mind:
Compliance with local and state regulations
A med spa membership contract must comply with local, state, and federal laws to protect both your business and clients.
It’s essential to consider:
- Medical spa-specific laws
- Membership and recurring payment laws
- Tax and licensing requirements for med spa services, especially memberships bundling medical and cosmetic treatments
Informed consent for medical treatments
Incorporating informed consent clauses in your membership contract is essential to ensure clients understand the potential risks and benefits associated with medical or cosmetic treatments.
At the same time, it provides legal protection for your med spa in case of disputes or complications.
HIPAA compliance and data privacy
The contract should specify how your med spa collects, stores, and uses personal health information (PHI), ensuring that clients’ data is handled confidentially.
It should also state that clients’ data won’t be shared with third parties without explicit permission, except when required by law (e.g., for insurance purposes or in the case of legal investigations.
Spa membership contract template to use
Membership Agreement
Template for download
How to create a spa membership contract
With hundreds or thousands of clients, managing memberships the good old manual way is challenging, to say the least. Especially when that’s on top of all the other tasks you have running your med spa.
With Pabau, you can create and track memberships with ease. Pabau’s membership feature allows you to:
🎯 Keep track of all memberships at a glance from a single dashboard
🎯 Create multiple membership packages to cater to all your clientele
🎯 Review individual clients’ membership programs from their patient record, including when they signed up, their membership tier, and when it expires.
🎯 Build memberships into the online booking process to upsell clients
🎯 Enable clients to keep coming back with reduced financial pressure
🎯 Save clients’ credit card information in the system for renewals
Streamline your spa membership contracts with Pabau
A solid med spa membership contract needs to strike a fine balance.
On the one hand, it should help you build a steady, recurring revenue stream and repeat client visits. On the other, it must outline clear terms and conditions, payment rules, and enable compliance with local laws and HIPAA.
But who’s got time to juggle contracts, track renewals, and stay on top of memberships manually?
This is where you can rely on Pabau for effortless membership management. Built into our all in one practice management software, Pabau’s membership feature will enable you to manage memberships, simply, all from one system.
- Create steady revenue streams
- Encourage repeat visits
- Boost retention – with no extra work and time.
Want to see Pabau in action? Book a demo today and take your memberships from “meh” to magical! 🌟
