The only limit to our realization of tomorrow will be our doubts of today.A hair salon can be a profitable business. Little blond long hair girl has haircare by stylist. The cost to start up a hair salon business varies depending on the type of business. A small booth salon, where you rent a section of an existing salon as your own business, costs infinitely less than purchasing a large well-known franchise. Both may share similar start-up costs, but the amounts will be different. Equipment In a booth rental situation, the salon supplies the chair, sink and hair dryers as part of the monthly rent. If you are purchasing an existing salon, you can negotiate the price of the equipment as part of the sale and some equipment will be part of the price as a fixture, such as the sinks, receptionist desks, booths and supply area. An existing franchise comes with the necessary equipment while a new franchise will involve an outlay of funds to purchase the equipment. Costs for equipment range from zero dollars for booth rental up to $32,000 at a franchise.
The cost depends on the type of salon, amount of chairs and services offered. Supplies Supplies for a salon can become costly. Not only are there the products for use on the client for services, but there is also the cost of the products you sell. These prices depend on the brands, such as Matrix, Abba, Nexus or OPI, and can go up to $23,000 as an initial cost. Other supplies include sanitizers, perm rods, hair capes, towels, cleaning supplies and a washer and dryer. Most salons require the hair stylist to provide their own scissors, blow dryers, brushes, razors and combs. Some salons provide clippers although many stylists have their own. Business Start-Up Costs A booth rental can require a monthly rent up to $1,000, but it includes insurance, utilities and the business license for the establishment. As a sole business or a franchise, you are required to pay rent, insurance, deposits and utilities. These fees can range up to $10,000. An attorney can be required to negotiate or review the contract for the rent or franchise agreement at an additional hourly cost from $250 an hour or more, Promotion One area you do not want to neglect is the promotion of your new business.
The expenditure of this money can lead to the infusion of cash you will require over the next several months as you build up the business. Promotions can include radio advertising, television advertising, flyers in the mail or left on cars. Promotions prices can vary and range from a couple of dollars for the flyers to hand out up to $15,000 for the television spots. References Entrepreneur: How to Open a Salon or Day Spa; August 2005Fantastic Sam's: Investing In A Hair Salon FranchiseSport Clips: Franchise Opportunities Photo Credits Little blond long hair girl has haircare by stylist. Suggest an Article CorrectionThere's small business — and then there's the 125-square-foot hair salon Tony Hayden operates in College Park."This is the first time I have complete control," Hayden says of his place that's no bigger than most bedrooms. Hayden, 51, is part of the growing trend of people who own individual salons inside buildings that contain upward of 30 other stylists, manicurists and masseurs.
It's a thriving trend around the country and has recently begun expanding in Central Florida.Hayden's business is in an iStudio Salons, one of six in Central Florida. Add the region's seven Phenix Salon Suites buildings and Porte Noire, which opened in Winter Park in May, and there are plenty of places to get a haircut and color without setting foot into a traditional hair salon. Phenix and iStudio also have places scattered throughout the nation, in 12 other states between the two, while the Winter Park Porte Noire is the first of that brand.Tony Hayden Productions is Hayden's own even if he can hear his neighbor's blow dryer humming. Hayden, who has been in the building for three years, has renovated his studio to match his style. A leather couch, a Sputnik light overhead and handmade artwork from the "Beauty School Dropout" scene in "Grease" with Frankie Avalon are accented with elaborate gold sculptures. He wants clients to feel as if they're in his living room.His $1,600 monthly rent is at the top end for the facility, but he knows his corner, street-front location comes at a premium.
Rent includes almost everything, such as utilities and access to washers and dryers, Wi-Fi and cable. "Even though this overhead could be slightly high if you think you're renting a chair, it's fairly low if you think of it as your own business," he said. Chair rentals in traditional hair salons could cost around $225 a week, said Hayden, a 33-year veteran in the hair industry.With chair rentals, a stylist works under someone else's business. At Hayden's shop, however, he is the boss and staff.Alan Peck, managing director of capital markets for Orlando-based Flagship Investment Group, which that opened Porte Noire, said higher-end salons could charge closer to $300, which is about the price of a single studio in the Winter Park business.Single studios, 100 square feet, cost $325 a week, and doubles, 160 square feet, go for $585.The building, with 24 studios, hit full capacity in August, and there's a waiting list for studio space, said Stacey Godard, vice president of operations at Porte Noire.The demand for space is so high at Porte Noire that seven studios at Porte Noire II
, which will open in March in the Dr. Phillips neighborhood, have already been leased. Peck expects the facility to be 70 percent full before it opens.Tara Seya opened her nail bar in the iStudio on Piazza Grande Avenue in Orlando in July. She left her rented chair behind to build a name and brand for herself."It basically prepares me for the full weight of my own business," she said.Seya, who's been doing nails for 17 years, said she convinced her regular clients to follow her, something that's helped pay her $1,100 monthly rent.Hayden and Seya said they keep their studios busy by offering prices comparable to those of stand-alone facilities.If customers aren't saving money, what's driving them to the collective concept?"He's available seven days a week," said Ashley Holtzclaw, as she sat with a head full of foils at Hayden's salon. "That's a huge plus for me."Holtzclaw, who's gone to Hayden for two years, said she prefers the individualized attention that comes with being the only customer in the studio.