You’ll be amazed at how much time you’ll spend on email, social media and advertising. Developing and implementing a marketing plan.Creating and sticking to a business plan.Here are just some of the things you might need to manage: You need entrepreneurial and management skills in addition to your awesome cut and color skills. You have to be a businessperson as well as a stylist. When you open a salon, everything changes. In a comfortable employee setting, these skills can grow and thrive. Creativity and client interaction are where their passions lie. Taxes including payroll and business taxesĪs a stylist, do you consider yourself an artist or a manager? For many stylists, it’s the former.Inventory for hair care products where margins tend to be higher than salon services.Technology including point of sale and scheduling software.Equipment, including salon supplies, sinks, chairs and dryers.For a 1,000 square foot salon, that would mean over $3,000 per month in rent alone. In Northern Virginia, commercial leases often run over $30 per square foot each year. Real estate (renting a space): monthly lease and a security deposit.For some owners, it’s a risk worth taking, but others find that it’s not worth it when so many reputable salons are hiring with excellent pay and benefits.Īccording to Business News Daily, some of the highest costs of running a salon include: Opening costs alone can reach $60,000, which means taking on debt (unless you’re a genius at saving). What Are The Hidden Costs of Running A Salon?Īccording to the beauty education organization Salt Society, operating expenses can eat up as much as 80 percent of a salon’s revenue. What many stylists learn the hard way is that they’re artists rather than managers. The blog says the average salon profit is 8.2 percent but can range from just 2 percent to 17 percent, depending on how well you manage the salon. According to the blog The Salon Business, the average profit is just $19,000 per year. Profit margins at hair salons are surprisingly slim. And the unexpected price tag of doing business often comes as a surprise. Here’s the bottom line: it’s possible to make a profit running a hair salon, but it’s a lot of work. Opening a salon has enormous costs and surprisingly thin profit margins. Owning a salon is every stylist’s dream, right? When you’re good at what you do, why not do it for yourself instead of someone else? We might think this is true, but it isn’t always the case.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |