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You' ll find useful hints and tips about salons. Read on and learn how to open a salon or take a look at our magazine. It tells you all about successfull Salon management. Enjoy.

Open a salon. What do you need to know...

Start Up Requirements. The amount of capital you need to start the business depend on the type, quality and choice of salon design, rent and utility deposits, fixtures, leasehold improvements, opening inventory, and equipment that you intend to use. Key start-up expense components of a hair and salon business are:
Salon space. Unless you live in a big house with room for a salon and in an area with favorable zoning restrictions, you will need to rent space for your business. Depending on the type of your operations, you may need space anywhere from 500 to 2,000 square feet. Many cities allow salons to be located within a residential area, but with zoning restrictions, it may be difficult to operate a salon as a home business. In particular, some residents may not tolerate the flow of traffic as well as parking in your neighborhood.
Personnel. The number and type of personnel you need to hire will depend on the services that your hair and salon business will offer. Typically, a salon will require one to several stylists and a receptionist. Other personnel that your business may hire include shampoo technicians, barber, nail technician, facialist, make-up artist, and a massage therapist.
Leasehold improvements. You may need to undertake leasehold improvements to your space based on your interior layout, design, and plumbing requirements. Leasehold improvements are defined as the construction of new buildings or improvements made to existing structures by the lessee. As the lessee, you will have the right to use these leasehold improvements over the term of the lease. In many states, however, these improvements will revert to the lessor at the expiration of the lease. Moveable equipment or office furniture that is not attached to the leased property is not considered a leasehold improvement.
Salon Equipment. The equipment you buy will depend on the services you offer. Some of the basic equipment you need to purchase include washing basin, styling chair, hair driers, supply trolleys and manicure sets and aprons. Other equipment you may need include shampoo spray machines; facial bed, hair steaming machines, and other body/skin care instruments. If you are planning to sell beauty products, you also need to invest in inventory. Contact the beauty salon equipment suppliers and check if you can get a good deal. You can also look into alternative sources such as eBay where lower-priced equipment is up for bidding. You can choose to spend anywhere from $2,000 to $30,000 for salon equipment alone. You may also need initial training, professional and licensing fees, and at least three months of working capital. Other start-up expenses may include:
Point of sales software
Merchant account fees (to accept credit cards)
Business license fees and other required documentation (varies by state)
Utilities
Insurance
Professional fees (accountant, lawyer, etc.)
Signage costs
Initial marketing and advertising expenses
Depending on the range of the services you offer and the overall look and design of your salon, you can spend anywhere from $10,000 for a bare bones operation to $100,000 for a full-service outfit to jumpstart your salon business. Success Tips
Keep your clients satisfied. A salon’s best marketing tool is word-of-mouth. If a client is happy with the results, he or she will come back to the your salon; after all, it is all a question of trust. Satisfied clients can then help advertise your business to their friends, family, and colleagues. Word can easily spread about the great look and outstanding personal service that your salon provides. It is important that your business create and maintain the desirable reputation as a quality hair and salon operation.
Choose the right location. Location is critical to the success of your business. You need a location that is strategically situated on one of the busiest streets in your area, if not in a mall. Some salons employing well-known hair stylists (e.g. “stylists to the stars) can put their business anywhere and still clients will flock to them. If you don’t have a well-established reputation in the business and a long list of loyal clientele, find a high-profile location with an easy access from all parts of town.
Offer a clean and safe atmosphere. Salons thrive on an environment that is clean, safe and relaxing where customers can receive prompt and professional service. Cleanliness is a particularly important element that can draw clients again and again. Your clients must be able to trust that the products and tools that you use on them are of top-notch quality and safe. You cannot afford to put your clients at risk from infections, as it could damage your reputation. Irrespective of size, salons should be scrupulously clean with the cleaning, disinfecting and sterilizing of equipment and work areas undertaken several times (not just once) a day, preferably at the start and end of the day and in-between clients. Be sure your towels, footbaths, and other equipments are washed, clean and odor-free.
Convenience. Salons offering a wide range of services in one setting have a distinct advantage over those who offer only one or two types of services. Many clients prefer to have their hair, nails or face done in one place, instead of going to three different places. While you can specialize in one main area (e.g. hair), giving your clients the convenience of a one-stop beauty shop can set your business apart from your competitors.
Hire qualified and trained personnel. The cosmetic procedures performed by untrained personnel may cause health problems to the clients. It is important that you hire only qualified and well-trained beauticians, stylists, and other personnel. Experience may give a beautician the expertise to render treatment, but, without proper training, she would be unaware of the merits and demerits of procedures. It is your responsibility as the salon owner to ensure that your personnel are adequately trained and understand each procedure offered. You need to be aware of the liabilities that you and your business can be subjected to as a result of accidents and botched procedures (from rashes resulting from improper waxing procedure to damaged hair). Check with your insurance company on policies that can protect you and your business from liability and lawsuits that may arise from customer complaints. Also consider providing training classes on a regular basis to your personnel to improve their product knowledge and skills as well as awareness to trends.
Save on personnel costs. Personnel will be one of the biggest recurring expenses of a hair and salon business. To save on expenses, you can arrange for everyone but the receptionist to be contractual workers to be paid a sliding commission scale based on the amount of revenue created.

by Jenny Fulbright

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