Starting a Salon Business

Discussion in 'Starting a Business' started by daytrader, Mar 21, 2015.

  1. daytrader

    daytrader
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    A friend is about to start a beauty salon business and she has no prior experience running a business like this. She just heard its good business and that its profitable. She now has it buy just buying 2nd hand equipments and rented a space. this is space is somehow strategic though. What can you advice to her in order for salon to operate well?
     
  2. stuartbriscar

    stuartbriscar
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    Congrats to your friend for stepping out and starting her own business!

    I'm assuming that she has the skills and ability to be a beautician and all the things that come along with it.

    There are dozens of tips and strategies I could give her but I'll start with just a few basic ones right now...

    GETTING HER NAME OUT THERE...

    1) Ask for Referrals...
    If people already know her as someone from the salon scene, then this will be easier, but even if she's new to this it's not a problem...

    Tell her to start with friends and family or people she has worked with in the past and tell them, "Hey, I'm starting my business and I'm looking for referrals. If you know anyone [in her target market] who would needs a haircut/color/whatever.. I will give them 10% off on their first visit..." -- something along those lines.. we can work out the script details later...

    2) Use Facebook...
    It's free! Same thing with the referrals.. just make a post telling them that there is a new salon in town and anyone who mentions this post will get 10% or whatever she wants to offer...

    3) There are dozens of forms of advertising out there. Radio can be a little expensive for a startup, but direct mail can be effective... local advertising on facebook can bring fantastic results... getting her business on google is free and highly recommended... just go to Google Business and set up an account

    OTHER USEFUL TIPS

    1) Cash Flow Management
    She needs to have some sort of system so she knows where her money is going and how much is coming in. Quickbooks is pretty simple and effective but she can use whatever.

    2) Time Management
    I'm sure she already has some kind of scheduling system even if it's in a schedule book. I know there is computer software available for scheduling also. I helped a lady set up one for her website--she runs a day spa. It's been great for her.. but hey, if the traditional, paper method works for her then go for it
     
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    #2 stuartbriscar, Mar 23, 2015
    Last edited by a moderator: Mar 23, 2015
  3. daytrader

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    thanks to the tips. she is actually going to school just to learn the skills needed. so currently she is enrolled while also looking for trusted employee on her campus, is this a good idea?
     
  4. JBMedia

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    Well first off, congratulations to your new friend for taking the leap forward and trying something different! That's what business is all about! I don't know much about the salon industry but my first question to her would be, "What kind of salon do you want to own?". Even me not knowing much about salons will tell you that this is a key question as there are different types of salons. Not only in the services they offer, but the quality of the services and especially the quality of the products as well. If her goal is to sell high end salon products with professional services, you will more than likely want to be located in an area that has money. These people definitely buy the top end products and require everything in the world of their service. Your profit margin on these people will be higher, even though the work might be on a higher stress level.

    Second, just out of my keen observations, I've noticed a lot of salons that stay in business for a while and do pretty good are generally located near a grocer/grocery store. Particularly in the same plaza. (This idea is more for the middle class of salons) If your friend is considering a high end salon, I would advise trying to find some stand alone property as this already creates an "upper class" appearance.

    Back to the salon in a shopping plaza. I've noticed a lot of business owners that are successful in this industry do have their salons next to grocery stores that are in a plaza. I'm not sure why exactly. Me being a male it makes no sense to get your nails or hair done and then go grocery shopping. However, I'm a personal banker for these type of business owners and they seem to be doing alright. The only reason I can think of is because of the exposure and foot traffic that grocery stores offer.

    I hope this helps in your research.
     
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  5. atlantisrocks

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    Learning the skills to perform in a beauty salon seems to be what most beautician/cosmetology training facilities offer. See, for example http://www.vlccinstitute.com/ad-cosmetology.aspx

    But, you will see that getting an associates degree in cosmetology will include other courses important for your friend. For example, http://study.com/articles/Beautician_Degree_Certification_and_Training_Program_Information.html lists courses such as:

    Cosmetology concepts and fundamentals
    Salon operations
    Cosmetology design
    Research and reporting
    Cosmetology career development

    If she is not going to a community college where such business courses are offered, she should at least ask her instructors for guidance about operating a salon. They may suggest resources that can be helpful.

    She could also consider opening a franchise salon. A franchise can offer guidelines and advice for becoming successful.

    See http://www.franchisedirect.com/healthbeautyfranchises/hairsalonfranchises/131

    Though opening one of these franchises would require about $70,000 or more.
     
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  6. bburkeconsulting

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    Customer Relationship Management is key. She will live & die by her relationships.
    Perhaps later, if she develops a reputation, then she will have continuous clients due to the quality she delivers, but her relationships and ability to generate referrals and maintain existing clients will be her saving grace during the initial period.
     

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