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1,687,000 RUR
Starting investments
7 months
Payback period
125 sq.m.
65,6%
Profitability
To implement the project, 1,687,700 rubles will be required. starting investments. The return on sales will be 65.6%, and the payback period is 7 months.
1. Project summary
Objective of the project– opening of a beauty salon in Rostov-on-Don, capable of providing residents of the city with high-quality skin, face, and body care services, as well as hairdressing services.
The financial model was calculated for a beauty salon located in the Sovetsky district of Rostov-on-Don. Potential clients of the salon are city dwellers with average incomes, mainly women from 25 to 40 years old and older, as well as men and children.
The main services of the beauty salon are:
4. Body skin care
5. Solarium
6. Sale of cosmetics
To implement the project, 1,687,700 rubles will be required. starting investments. Part of the investment budget is planned to be raised through loan funds, which will amount to 200 thousand rubles.
*data for 3 years of work
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The implementation period of the investment stage, including obtaining permits, repairs and redevelopment, purchase of equipment and consumables, is calculated for the period from March to May 2016. The start of sales is scheduled for June 2016. Reaching the planned sales volume at 30% load – 4 months.
2. Description of the industry and company
The goal of this project is to open a beauty salon that meets the principles of highly professional service in Rostov-on-Don. Clients are offered a wide range of services in the following areas: hairdressing services (haircut, styling, coloring, chemistry), manicure and pedicure, nail extensions, cosmetology, massage. According to the marketing agency Global Reach Consulting, the beauty salon market is estimated to be rapidly growing. The greatest concentration of beauty salons exists in millionaire cities - Moscow, St. Petersburg, Novosibirsk, Krasnoyarsk. Rostov-on-Don, according to 2GIS experts, holds 5th place in the number of beauty salons. There are 77 salons for every 1,000 women. The growth in the number of beauty salons can be explained by an increase in demand for their services. According to Reports and Reports, the number of women visiting beauty salons and salons increased from 4% to 40% in the 15 years from 2000 to 2014. Visiting salons is no longer associated by the population with expensive services for the elite; services have become available to a huge number of people from the middle class. The acceleration of the pace of life, as well as the need for quality services, has forced many women, instead of tidying themselves up at home, to turn to beauty salons, which is much simpler and more convenient.
The beauty salon is a premises on the ground floor of a multi-storey residential building on the first line of houses with a separate entrance and sign. The salon area is 125 sq. meters. The salon has a hairdressing room, a manicure and pedicure room, a beauty parlor, a massage room, a nail extension and make-up area, as well as a solarium, an administration and staff rest area. The salon is open to clients from 9.00 to 21.00, seven days a week. The work schedule of employees (service personnel) is 2/2 shifts.
The management structure consists of an administrative department, which is represented by 2 salon administrators: a senior administrator and an assistant administrator. The service staff is represented by six general-purpose hairdressers, a cosmetologist and a massage therapist.
The cost of repairs, redevelopment and interior equipment is 982.7 thousand rubles. Taking into account the start-up costs for registering an enterprise, the personnel selection procedure, marketing activities, as well as working capital of the investment period (500 thousand rubles), the cost of the project will be 1,687,7000 rubles.
To implement the project, it is planned to attract 1,487,700 rubles. loan funds, which will amount to 88% of the project cost. The remaining 11% will be taken from the founder's own savings. The loan is attracted for 2 years (24 months) at an annual interest rate of 22%. This loan provides a deferment on payments for 3 months, after which the loan funds are repaid monthly for 21 months. The amount of the fine in case of late payments will be 2.5% interest.
Individual entrepreneur (individual person) was chosen as the form of ownership. The taxation system is simplified, in which the object of taxation is income reduced by the amount of expenses at a rate of 15%.
3. Description of services
The beauty salon provides services in 6 main areas. Among them:
1.Hairdressing services (men's, women's, children's haircuts)
2. Manicure and pedicure (care, extensions, design, correction)
3. Cosmetology services (skin care and facial cleansing, eyebrow care, eyelash care, hair removal, makeup remover, peeling)
4. Body skin care
5. Solarium
The salon's competitive advantages include a wide range of services provided, a relatively low price, affordable to the majority of the population, and quality of service. The price segment of the project is average. At the same time, the quality of services is above average, which is the main means of attracting customers and increasing their loyalty. The salon's price list contains about 120 items. All salon services are presented in Table. 1.
Table 1. List of beauty salon services
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The provision of beauty salon services will require obtaining permits from Rospotrebnadzor, as well as permission from the State Fire Supervision of the Russian Federation.
In addition to services, the salon carries out retail trade in cosmetics (20 product items). The main advantage over buying in a regular store is the opportunity to receive on-site advice from a specialist on the features of the product. The list of products sold is given in Table. 2.
Table 2. Products sold
4. Sales and marketing
The salon's activities are aimed at the vast majority of the population of Rostov-on-Don, namely the population with an average level of income. The beauty salon will function to satisfy people's needs for high-quality haircuts, styling, curling and coloring, manicures and pedicures, beauty treatments, and massages. The main requirements for beauty salons are an increased level of professionalism, speed and quality of service, convenient location, convenient work hours. All these requirements are planned to be the fundamental principles of the salon’s operation.
The salon's target audience is young people aged 18 to 35 years, who make up 70% of the clientele. About 20% are people aged 35 to 45 years, another 10% of clients are teenagers and older people. The main consumers of services are the female part of the population (up to 70%). In the Sovetsky district of the city there are 178 thousand residents, of which the share of the working population is about 60%. Taking into account the pricing policy of the establishment, the location and solvency of the population, the potential clients of the salon are about 50-80 thousand people.
There are 260 beauty salons in the Sovetsky district, including economy-class hairdressers. The main competitors include salons located in an area of 400 m from the salon. These are 16 competitors, 8 of which can be classified as indirect competitors and another 8 as direct competitors. The first eight are: 4 economy and middle class hairdressing salons, 1 nail studio, 3 salons offering services in two main areas (hairdressing services and cosmetology or hairdressing services and manicure). The second eight are beauty salons that offer 3 or more areas of services (hairdressing services, manicure and pedicure, cosmetology, massage, solarium, etc.). An analysis of their strengths and weaknesses in comparison with the interior design is given in Table. 3.
Table 3. Competition factors
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As can be seen from the table, the salon planned for opening has a number of advantages compared to direct competitors, offering a much wider range of services, operating in the middle price segment, with the quality of services being above average. It is also worth noting the convenient work schedule for the population and favorable location.
The provision of services is carried out using a preliminary telephone appointment or on a first-come, first-served basis without an appointment. Social networks (Facebook, VKontakte, Instagram) were chosen as the main channel for attracting customers. This choice is due to the lack of fixed costs (maintaining groups) and the large concentration of the target audience (targeted advertising). It is planned to allocate up to 6 thousand rubles to maintain the work of groups and accounts and fill them with content. per month.
At the same time, great importance is attached to other methods of creating a salon image, including: development of a corporate logo, creation and SEO promotion of a website (15 thousand rubles), printed handouts - advertising leaflets (10 thousand rubles), creation of an external sign ( 30 thousand rubles), advertising in a glossy magazine (15 thousand rubles) and so on.
5. Production plan
The beauty salon is located in the Sovetsky district of Rostov-on-Don with a population of 178 people. (3rd largest out of 8). The immediate surroundings of the salon are predominantly multi-storey residential buildings, the so-called sleeping quarters. The location of the salon was chosen on a busy street on the first line of houses. Near the salon there is a public transport stop (90 m), buildings with office space and banks (150 and 180 m), shopping areas, cafes and supermarkets (from 75 m).
The salon rents an area of 125 sq. meters. The premises include: a reception area with a wardrobe and reception desk (11 sq. m.), a hairdressing salon (26 sq. m.), a room for washing, coloring, curling hair (12 sq. m.), an area for makeup and eyelash extensions (8 sq. m.), manicure and pedicure room (12 sq. m.), cosmetic room (12 sq. m.), massage room (16 sq. m.), solarium (15 sq. m.), utility room storage room for disinfectants (3 sq. m.), rest room (10 sq. m.). Rental cost – 75 thousand rubles. per month The duration of the agreement with the lessor is 3 years.
Costs for launching a salon, including expenses for repairs and redevelopment of the premises (240 thousand rubles), recruitment of personnel (10 thousand rubles), purchase of equipment (782.7 thousand rubles), installation of equipment (60 thousand rubles) , opening marketing campaigns - 70 (thousand rubles) and other intangible assets will amount to 1,187,700 rubles. The costs of equipping a beauty salon are shown in Table. 4.
Table 4. Equipment costs
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Responsibilities for ensuring the functioning of the beauty salon are assigned to the administrative staff, senior administrator and assistant. The staff includes six general-purpose hairdressers working in shifts, a cosmetologist and a massage therapist (see Table 5. The salon is open from 9.00 to 21.00, seven days a week. Accounting has been outsourced.
It is planned to recruit only persons whose professional level is confirmed by a diploma of appropriate training. The completed educational course must be certified by a diploma, and the educational institution that issued it must have a license for secondary or higher professional education. The main requirements for employees are professional competence, a responsible attitude to business, communication skills, and the ability to work with people.
Table 5. Staffing and wage fund
Fixed operating costs are based on the purchase of consumables. Fixed expenses include rent (75 thousand rubles), payroll, marketing expenses (on average 30 thousand rubles), utility bills, electricity and garbage removal (total about 11 thousand rubles). The level of sales will be influenced by the influence of seasonality with the traditional decrease in demand in summer, as well as increased recognition of the salon. The sales plan, taking into account seasonality and a gradual increase in cabin occupancy to 80-85% over three years of operation, is presented in Appendix 1.
6. Organizational plan
The project implementation period from the moment of registration procedures and obtaining permits to the start of sales is 3 months. The opening of the beauty salon is scheduled for early June 2016.
The project manager is the business owner. He carries out strategic planning, searches for new ways of promotion, and performs analytical work on key performance indicators. The senior salon administrator, who carries out daily management functions, reports directly to him. Subordinate to the manager are the service personnel: hairdressers, cosmetologist, massage therapist. Accounting is carried out by a third-party specialized organization.
7. Financial plan
The costs of the preparatory period (1187.7 thousand rubles) include:
Registration, expenses for obtaining permits, paperwork - 25 thousand rubles.
Repair and redevelopment of the premises - 240 thousand rubles;
Purchase of equipment – 782.7 thousand rubles;
Installation of equipment – 60 thousand rubles;
Personnel selection – 10 thousand rubles;
Basic period expenses include:
Rent – 75 thousand rubles;
Payroll – 248.3 thousand rubles.
Accounting – 10 thousand rubles.
Purchase of consumables –
Utilities – 7 thousand rubles;
Payment for electricity – 2.5 thousand rubles;
Administrative expenses – 2.5 thousand rubles;
Garbage and hair removal – 1.5 thousand rubles;
Financial indicators for revenue, cash flow, and net profit are given in Appendix 1. Calculations are based on the planned salon load of 30% in the first four months and achieving 85% load within 3 years of operation due to the increase in salon recognition.
8. Project effectiveness assessment
The implementation of the project will require a high level of start-up costs, which is directly related to the wide range of services provided, and consequently the purchase of expensive equipment and consumables. However, with increasing payback and reaching planned sales volumes, the risks become minimal.
The payback period of the project will be 7 months, the discounted payback period will be 7 months. It should be noted that the project will begin to generate profit from the first month after the start of sales. Project effectiveness indicators calculated for a three-year period are shown in Table. 6.
Table 6. Project performance indicators
9. Risks and guarantees
In the course of its activities, the salon may encounter certain risks that must be taken into account in its work. An assessment of the severity of the consequences and possible measures to prevent them are given in Table. 7.
As my practice of developing business plans for such projects and their subsequent implementation by “customers” shows, as in many service businesses, the main problem is sales planning, which depends on several main factors.
These are: location, availability of qualified specialists, and pricing. The design of the salon, the presence of ultra-modern equipment, the interior, of course, plays a role, but the Client, in most cases, goes “to the Master”, and not to the “sign”. And if the Master is geographically located “conveniently” for the client, if the service and his skill meet the Client’s request, then these factors, in most cases, transform casual visitors to the salon into regular ones.
As a rule, if a Master goes to work for another organization or opens his own salon (at the same time taking great risks), then from 50 to 80% of his regular clients “leave” him. This fact, although it lies on the surface, must be taken into account when forming a team of specialists.
You also need to keep in mind that if the premises are owned, this makes the business more competitive than one in which the premises are leased. We must not forget such truisms that without serious marketing research it is not worth starting the implementation of such projects.
My experience shows that studying the market and competitors significantly increases the likelihood of success of a given business, both in the present and in the future. Makes it more durable and resilient!
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When writing this article, we tried to develop for you a detailed business plan for a beauty salon, describe the main organizational features of this type of business, calculate a financial model and analyze the effectiveness of this project in accordance with international business planning standards (UNIDO).
The article consists of eight sections, each of which provides answers to the most frequently asked questions and helps potential owners understand in more detail all aspects of the salon business. We hope this information will be useful to you.
Project idea (Summary)
The idea of the project is to open a beauty salon. In order to implement it, we will need to develop a concept for the future establishment, decide on the premises, draw up all the necessary documentation, make repairs, purchase and install equipment, draw up a marketing action plan and hire staff. In addition, it will also be necessary to calculate the main economic indicators and, based on them, assess the potential efficiency and possible risks associated with the implementation of the project.
First, let's define the initial information:
- The proposed location is a densely populated residential area in a city with a population of 500 thousand people or more;
- Interior area – 108 sq. meters (the premises are under long-term lease);
- Opening hours: daily from 9.00 to 21.00;
- Planning horizon (time period during which the effectiveness of this business plan will be assessed) – 5 years;
- Discount rate – 14%;
- Organizational and legal form – Individual entrepreneur;
- Tax system – Simplified (15% income minus expenses);
- The establishment's staff is 15 people;
- The estimated volume of investment is 4.2 million rubles;
- The source of investment is the owners’ own funds.
It is expected that the beauty salon will provide a wide range of services in all main areas of the beauty industry:
- Hairdressing services;
- Hair coloring services;
- Hair curling and styling;
- Mani Pedi;
- Cosmetology services;
- Facial care;
- Solarium;
- Massage, etc.
Also, all clients will be able to purchase all kinds of cosmetics for personal care if they wish.
Project Concept (Project Description)
The beauty salon project will target visitors with an average income, who should make up the bulk of the population of the city area chosen for location. As a rule, most of the potential clients of such establishments are people living within walking distance.
Maximum proximity to potential clients was chosen as a key location criterion. The opening establishment will be located on the ground floor of a residential building near the central boulevard of a densely populated area of the city. When choosing a location, you should pay attention to such criteria as:
- Proximity to transport infrastructure (the presence of nearby metro stations, railway stations and busy stops is an undeniable advantage);
- Proximity to the city’s pedestrian arteries (central streets, boulevards and alleys);
- The presence of dense residential buildings in the location area;
- Availability of convenient access roads and parking spaces where you can leave your car;
- Development of adjacent infrastructure (shopping centers, shops and restaurants).
Structure of space use
To provide the stated list of services in a beauty salon, you will need to post:
- Hairdressing salon – 25 sq.m.;
- Manicure and pedicure room – 12 sq.m.;
- Cosmetologist's office – 18 sq.m.;
- Solarium – 5 sq.m.;
- Massage room – 12 sq.m.
Also, part of the area will be occupied by utility and administrative premises:
- Reception area – 16 sq.m.;
- Staff rest room – 8 sq.m.;
- Utility rooms – 12 sq.m.
The total area including all premises will be 108 square meters. m.
Table 1. Structure of space use
| The name of a room | Area, sq.m. |
|---|---|
| Total: | 108 |
| Hair salon | 25 |
| Cosmetologist's office | 18 |
| Manicure and pedicure room | 12 |
| Massage room | 12 |
| Solarium | 5 |
| Reception area | 16 |
| Staff break room | 8 |
| Utility rooms | 12 |
The beauty salon will be open daily from 9.00 to 21.00, which should help increase the number of potential clients.
The average bill for services provided will vary depending on the direction:
- Hairdressing services – 900 rubles;
- Cosmetology services – 1500 rubles;
- Massage – 1600 rubles;
- Manicure, pedicure – 900 rubles;
- Solarium – 25 rubles;
- Sale of cosmetics – 1100 rubles.
To start operating, you will need to register with the tax authority of the subject in which you plan to open. The best option for the organizational and legal form of a beauty salon is to use the status of an individual entrepreneur using a simplified taxation system (15% income minus expenses). In addition to registering a legal entity, you will need to go through several steps, such as:
- Ensure that the premises comply with fire safety regulations;
- Obtain an expert opinion from the sanitary and epidemiological service;
- Register with Rostekhnadzor;
- Obtain a GOST-R certificate of conformity.
Organizational plan
The staff of the future beauty salon will consist of two categories: administrative and production.
Administrative staff are the people necessary for the normal functioning of the salon and maintaining its activities. It will include:
- Administrators;
- Accountant;
- Cleaning woman.
The production staff are the craftsmen and stylists who will provide the services. Composition of production personnel:
- Stylists;
- Cosmetologists;
- Manicure and pedicure specialists;
- Massage therapists.
Administrators working on a 2/2 schedule will receive 30 thousand rubles monthly. Accountant responsible for maintaining accounting records and timely submission of accounting and tax reporting – 20 thousand rubles per month. Cleaning lady – 18 thousand rubles per month. The remaining employees will receive a percentage of the services they provide:
- Hairdresser-stylist – 40%;
- Cosmetologist – 40%;
- Manicure and pedicure specialist – 40%;
- Massage therapist – 35%.
Table 2. Personnel
| Name | Quantity | Salary, thousand rubles. | Total, thousand rubles |
|---|---|---|---|
| Total: | 15 | ||
| Administrator | 2 | 30 | 60 |
| Accountant | 1 | 20 | 20 |
| Cleaning woman | 1 | 18 | 18 |
| Hairdresser-stylist | 5 | ||
| Cosmetologist | 2 | 40% of the cost of the service provided | |
| Manicurist | 2 | 40% of the cost of the service provided | |
| Massage specialist | 2 | 35% of the cost of the service provided | |
The wages of hairdressers and stylists will account for 39% of the wage fund. The share of cosmetologists in the payroll is 15%. Another 14% will come from the salaries of massage therapists. The share of manicure and pedicure specialists is 13%. Administrator salaries will require 12% of total costs. Accountant – 4%. And the remaining 3% will go to pay the cleaning lady.
One of the most important points is purchasing all the necessary equipment. To organize a full-fledged operation of a beauty salon, you will need equipment of the following categories:
- Hairdressing salon equipment;
- Equipment for cosmetology room;
- Manicure and pedicure room equipment;
- Massage room equipment;
- Solarium.
The hairdressing salon will be equipped with three mirrors, three hydraulic chairs, one children's chair, two hairdressing sinks, three carts with tools, two dryers, one climazon, a hairdressing vacuum cleaner and an air sterilizer. The total cost is 353 thousand rubles.
Table 3. Hairdressing salon equipment
| Name | Quantity, pcs. | Cost, thousand rubles. | Total, thousand rubles |
|---|---|---|---|
| Total | 17 | - | 353 |
| Hydraulic barber chair | 3 | 16 | 48 |
| Barber chair for children | 1 | 10 | 10 |
| Hairdresser wash | 2 | 19 | 38 |
| Tool trolley | 3 | 3 | 9 |
| Barber mirror | 3 | 7 | 21 |
| Suchoir | 2 | 13 | 26 |
| Climazon | 1 | 60 | 60 |
| Hairdressing vacuum cleaner | 1 | 16 | 16 |
| Air sterilizer | 1 | 5 | 5 |
| Other equipment | - | 120 | 120 |
To organize a cosmetology office, you will need a cosmetology chair, a trolley, a chair, a magnifying lamp, a towel warmer, a screen and a sterilizer. It will also be necessary to purchase the following hardware cosmetology equipment:
- Ultrasonic peeling device;
- Device for myostimulation;
- Apparatus for electrolysis;
- Microdermabrasion device;
- Vacuum therapy device.
The total cost of equipment for the beauty salon will be 393 thousand rubles.
Table 4. Beauty salon equipment
| Name | Quantity, pcs. | Cost, thousand rubles. | Total, thousand rubles |
|---|---|---|---|
| Total | 12 | - | 393 |
| Cosmetology chair | 1 | 70 | 70 |
| Cosmetology trolley | 1 | 8 | 8 |
| Ultrasonic peeling device | 1 | 27 | 27 |
| Device for myostimulation | 1 | 45 | 45 |
| Electrolysis device | 1 | 55 | 55 |
| Microdermabrasion machine | 1 | 43 | 43 |
| Vacuum therapy device | 1 | 41 | 41 |
| Chair for cosmetologist | 1 | 8 | 8 |
| Magnifier Lamp | 1 | 12 | 12 |
| Towel warmer | 1 | 14 | 14 |
| Screen | 1 | 5 | 5 |
| Sterilizer | 1 | 5 | 5 |
| Other equipment | - | 60 | 60 |
The equipment for a manicure and pedicure room will include a manicure table, a chair, a manicure apparatus, an extractor hood, an ultraviolet lamp, a manicure lamp, a pedicure apparatus, a pedicure chair, a trolley, a bathtub and a vacuum cleaner. Their total cost will be 233 thousand rubles.
Table 5. Manicure and pedicure room equipment
| Name | Quantity, pcs. | Cost, thousand rubles. | Total, thousand rubles |
|---|---|---|---|
| Total | 12 | - | 233 |
| Manicure machine | 1 | 15 | 15 |
| Hood for manicure table | 1 | 5 | 5 |
| UV lamp | 1 | 3 | 3 |
| Manicure table | 1 | 8 | 8 |
| Armchair | 1 | 14 | 14 |
| Lamp for manicure | 1 | 7 | 7 |
| Pedicure machine | 1 | 77 | 77 |
| Pedicure chair | 1 | 19 | 19 |
| Ring lamp magnifying glass | 1 | 9 | 9 |
| Pedicure cart | 1 | 17 | 17 |
| Pedicure bath | 1 | 6 | 6 |
| Pedicure vacuum cleaner | 1 | 8 | 8 |
| Other equipment | - | 45 | 45 |
To provide massage services, you will need to purchase a couch, a screen and a table for tools and cosmetics with a total cost of 62 thousand rubles.
Table 6. Massage room equipment
| Name | Quantity, pcs. | Cost, thousand rubles. | Total, thousand rubles |
|---|---|---|---|
| Total | 3 | - | 62 |
| Massage couch | 1 | 18 | 18 |
| Screen | 1 | 6 | 6 |
| Table for tools and cosmetics | 1 | 8 | 8 |
| Other equipment | - | 30 | 30 |
A vertical solarium will also be installed at a cost of 350 thousand rubles.
In addition to the above, it will be necessary to equip a reception area and a rest room for staff. The cost of equipment for these two zones will be 149 thousand and 38 thousand rubles, respectively.
Table 7. Reception area equipment
| Name | Quantity, pcs. | Cost, thousand rubles. | Total, thousand rubles |
|---|---|---|---|
| Total | 11 | - | 149 |
| Reception desk | 1 | 19 | 19 |
| Administrator's chair | 1 | 6 | 6 |
| Cash machine | 1 | 15 | 15 |
| Coffee table | 1 | 11 | 11 |
| Sofa | 1 | 15 | 15 |
| Armchair | 2 | 6 | 12 |
| Wardrobe | 1 | 14 | 14 |
| Showcase for selling cosmetics | 2 | 7 | 14 |
| TV | 1 | 23 | 23 |
| Other equipment | - | 20 | 20 |
Table 8. Breakroom equipment
| Name | Quantity, pcs. | Cost, thousand rubles. | Total, thousand rubles |
|---|---|---|---|
| Total | 5 | - | 38 |
| Sofa | 1 | 14 | 14 |
| Armchair | 2 | 4 | 8 |
| Table | 1 | 8 | 8 |
| Cooler | 1 | 8 | 8 |
| Other equipment | - | 10 | 10 |
Below is a general breakdown of equipment costs.
Equipment for a cosmetology office accounts for 25% of total expenses. The share of the hairdressing salon is 22%. Manicure and pedicure room – 15%. Massage room – 4% of all expenses. Solarium – 22%. Equipment for the reception area and lounge – 10% and 2% respectively.
Marketing plan
The key elements of a beauty salon's marketing plan will be the establishment's pricing policy and advertising promotion strategy.
The success and profitability of a business depends on the correct pricing policy. When determining prices for services provided, you should first pay attention to the following factors:
- The market price established in the proposed location area (prices of competitors for similar services);
- Costs arising from the provision of a particular service (it is also necessary to calculate the profitability of the services provided).
When forming a pricing policy, you can resort to one of the following strategies:
- Set the price below the market price. Many of the newly opened beauty salons are resorting to this strategy. Most clients of beauty industry enterprises are quite conservative and reluctant to change their specialists, so it will be quite difficult to lure such a client to a newly opened establishment. Price is one of those factors that can influence the client’s opinion about changing the salon.
- Set the price above the market price. This pricing strategy should be used by beauty salons targeting luxury clients. For such people, price is not a determining factor; on the contrary, a high price will only emphasize the quality and exclusivity of the services provided.
- Set the market price. In this case, you need to clearly think through and work out the advantages that will set you apart from your competitors. It is necessary to make several “tricks” that would encourage potential clients to give their preference to your salon. As a rule, such “tricks” are a customer loyalty program and a wider list of services provided (the use of new techniques and practices in the beauty industry).
Do not forget that this type of business is subject to seasonality: both annual (demand for services provided increases in the spring and decreases in the summer) and weekly (the peak in demand for beauty salons occurs on weekends, and the decline in the first days of the week). To level out serious fluctuations in load, it is necessary to use a flexible pricing system, resorting to various discount programs.
Advertising is the main tool in the hands of beauty salon owners, with which they can inform potential clients about the opening and the services provided. In order for the salon to be successful and be able to attract the required number of clients, it is necessary to pay great attention to the advertising strategy.
At the initial stage, the most popular ways to promote a salon using advertising are:
These steps should help promote the salon and attract potential clients at the initial stage.
Schedule (Project Implementation Schedule)
The schedule for the implementation (opening) of a beauty salon can be divided into the following step-by-step stages:
- Selection of premises and conclusion of a lease agreement;
- Registration of a legal entity (LLC or individual entrepreneur);
- Interior design development and renovation work;
- Purchase and installation of all necessary equipment;
- Personnel selection, website development and advertising campaign.
The first task facing future beauty salon owners is to find suitable premises. The premises must meet all necessary criteria. To simplify this stage, you can seek the help of professional realtors.
After the premises have been selected and a lease agreement has been concluded, it is necessary to register a legal entity. The most common forms of registration of a legal entity when opening a beauty salon are Limited Liability Company and Individual Entrepreneur.
In parallel with the registration of a legal entity, it will be necessary to order the development of an interior design and carry out the entire range of necessary repairs.
After the repair is done, you will need to order and install the equipment.
Also, do not forget about selecting qualified personnel and carrying out a set of marketing activities, including developing a website and conducting an advertising campaign.
It is expected that the implementation of all these actions will take about three months, after which the beauty salon will begin to fully function.
Financial plan
Investments in the project
To implement this project, it will be necessary to invest 4.18 million rubles. It is assumed that the personal funds of the owners of the establishment will act as a source of investment.
Table 9. Total investments in the project
| Investment item | Volume of investments, thousand rubles. |
|---|---|
| Total: | 4180 |
| Registration of a legal entity | 20 |
| Obtaining permits | 90 |
| Selection of premises | 50 |
| Interior design development | 85 |
| Room renovation | 640 |
| Purchase and installation of ventilation and air conditioning systems | 320 |
| Site development | 45 |
| Recruitment | 25 |
| Advertising | 220 |
| Purchase of equipment | 1578 |
| Delivery and installation of equipment | 90 |
| Inventory of cosmetics | 200 |
| Working capital until self-sufficiency | 817 |
As can be seen from the table above, the main item with a specific share of 38% of total investments is the purchase of equipment. Delivery and installation of equipment will take another 2% of the total investment. In addition to the equipment in the rented premises, it will be necessary to make repairs (15%) and install ventilation and air conditioning systems for the premises (8%). 
Part of the investment will go to maintaining the normal functioning of the beauty salon at the initial stage - 19%. These types of costs include renting premises for the first 4 months, staff salaries for the first month of work, paying for utilities and other services. The remaining 18% will be required for: registration and obtaining permits, selection of premises, development of a design project, website development, personnel selection, advertising and the purchase of inventory of cosmetics.
Income
It is expected that the first quarter will be spent entirely on resolving all organizational issues related to the opening, and the beauty salon will begin to fully operate in the second quarter. The establishment's occupancy in the second quarter will be 29%. After which the load will continue to increase until it reaches the design capacity (reaching the design capacity is planned in 1.5 years from the start of the project).
The income portion will be generated through the sale of services divided into the following groups:
- Hairdressers;
- Cosmetology;
- Mani Pedi;
- Massage;
- Solarium;
- Sale of cosmetics.
The services provided by the salon are described in more detail in the table below.
Table 10. Price list
| Revenue item | Average cost, rub. |
|---|---|
| Hairdressing services | |
| Women's haircut | 900 |
| Men's haircut | 600 |
| Children's haircut | 400 |
| Hair coloring | 1100 |
| Hair highlights | 1100 |
| Hair tinting | 1000 |
| Laying | 900 |
| Straightening | 1000 |
| Perm | 1200 |
| Cosmetology | |
| Makeup | 1500 |
| Face cleaning | 1300 |
| Depilation | 900 |
| Piercing | 1700 |
| Tattoo | 4000 |
| Peeling | 1900 |
| Facial care | 2000 |
| Mani Pedi | |
| Manicure | 600 |
| Nail modeling | 1200 |
| Strengthening nails | 1000 |
| Nail polishing | 100 |
| Nail polish removal | 50 |
| Varnish coating | 100 |
| Pedicure | 1200 |
| Modeling toenails | 1200 |
| Nail extensions | 1700 |
| Massage | |
| Classic massage | 1200 |
| Acupressure | 1600 |
| Anticellulite massage | 1800 |
| Chocolate wrap | 2000 |
| White clay wrap | 2000 |
| Solarium | |
| One minute | 25 |
| 60 minute subscription | 1200 |
| Other | |
| Sale of cosmetics | 1100 |
On average, the cost of hairdressing services will be 900 rubles, cosmetology services - 1500 rubles, manicure, pedicure - 900 rubles, massage 1600 rubles, solarium - 25 rubles per minute, and the average bill for sold cosmetics is 1100 rubles.
The bulk of income (39%) will be generated from the provision of hairdressing services. Cosmetology will bring 17% of total revenues. Massage and manicure rooms will generate 14% of revenue each. Solarium – 3%. And the sale of cosmetics will bring an additional 13% of total revenue.
Expenses
All costs can be divided into two groups:
- Fixed costs;
- Variable costs.
Fixed costs of a beauty salon include:
Variable costs include:
- Salaries of hairdressers-stylists (40% of the cost of services provided), cosmetologists (40% of the cost of services provided), as well as manicurists (40% of the cost of services provided) and massage therapists (35% of the cost of services provided);
- General business expenses – 2% of revenue;
- The cost of purchasing the necessary materials is from 5% to 25% of the cost of each specific service;
- The markup on cosmetic products sold is 100% of the purchase price.
The cost will consist of 46% of labor costs, 23% of the cost of renting premises, as well as payments for utilities, telephone and Internet, 19% of the cost of purchasing necessary materials, 5% of depreciation, 3% - commercial expenses and 2% taxes.
Tax system
The financial model is based on the assumption that a simplified system with a rate of 15% (income minus expenses) will be used as a taxation system.
Break even
The break-even point is reached at revenue of 2.2 million rubles per quarter (which is equal to 34% load). At 34% utilization, revenue from services provided begins to exceed total costs (fixed and variable) and the project reaches positive cash flow from operating activities.
Revenue and net profit
The graph below shows revenue dynamics over 5 years. 
As can be seen from the above graph, the beauty salon will begin to function fully only in the second quarter. Gradually increasing the volume of revenue, by the 8th quarter it is planned to reach the maximum occupancy level, after which the revenue indicator will depend on changes in seasonal factors.
The graph below shows the dynamics of net profit over 5 years. 
The beauty salon will be unprofitable for the first three quarters. The establishment's first quarterly profit is planned for the fourth quarter. After which the profit figure will vary from 300 to 800 thousand per quarter, depending on the seasonal demand for the services provided.
Project effectiveness analysis
To analyze the effectiveness of the project, it will be necessary to calculate the following indicators:
- Net cash flow;
- Net present value;
- Payback period (Pay-Back Period);
- Discounted Pay-Back Period;
- Profitability Index;
- Internal rate of return.
Net cash flow (NCF) is the difference between positive and negative cash flows from a project.
This indicator is calculated for a certain period of time (in our case, the planning horizon is 5 years).
This indicator can also be characterized as the amount of cash remaining after satisfying all the cash needs of an investment project (net cash flow reflects the amount of cash that can be distributed among the owners of the company without threatening its future activities).
Net cash flow is the sum of cash flows from an organization's investing, operating, and financing activities.
The higher the net cash flow value, the more attractive the project is in the eyes of potential investors. 
As can be seen from the above graph, net cash flow (NCF) after 5 years will be 10,983 thousand rubles.
Net present value (NPV) is the discounted (reduced to a certain point in time) difference between all cash inflows and cash outflows.
NPV shows the current amount of income that an investor expects to receive after cash inflows, reduced by the amount of cash outflows, recoup the initial investment in the project.
If the net present value is greater than zero, then the investment is economically justified, but if the NPV is less than zero, then investing in this project is unprofitable.
Using net present value, it is convenient to evaluate the effectiveness of alternative investment projects (for the same initial investments, a project with a large NPV is preferable). 
As can be seen from the above graph, net present value (NPV) after 5 years will be 6026 thousand rubles.
Payback period (PBP) is the period of time required for the revenues generated by a project to cover the investment costs incurred at the beginning of the project.
The payback period is determined by the point in time at which the net cash flow (NCF) becomes (and subsequently remains) non-negative.
The main disadvantage of this indicator is that it does not take into account the receipt of funds after the reimbursement of the initial expenses incurred.
Payback period (PBP) of the project is 2.19 years.
Discounted Payback Period (DPBP) is the period of time required for the revenues generated by a project to cover the investment costs incurred at the beginning of the project, subject to discounting.
The discounted payback period is determined by the point in time at which the net present value (NPV) becomes (and subsequently remains) non-negative.
Discounted payback period (DPBP) in our case is 2.45 years.
Profitability index (PI) is the ratio of discounted cash flows from the implementation of an investment project to the discounted amount of investment.
Profitability Index (PI) is 2.93.
The internal rate of return (IRR) is the interest rate that causes the net present value (NPV) to be zero. The internal rate of return is used to calculate the rate of alternative investments.
Internal rate of return (IRR) of the project63,5 %.
A summary list of performance indicator values is presented in the following table:
Table 11. Project performance indicators
| Performance indicator | Meaning |
|---|---|
| Net Cash Flow (NCF) | 10983 thousand rubles. |
| Net present value (NPV) | 6026 thousand rubles. |
| Payback period (PBP) | 2.19 years |
| Discounted payback period (DPBP) | 2.45 years |
| Profitability Index (PI) | 2.93 |
| Internal rate of return (IRR) | 63,5% |
Risk analysis
Each investment project is subject to a certain set of internal and external risks. Their implementation can negatively affect the profitability of the project, and sometimes even lead to its closure. In order not to become a hostage to such a situation, we will consider the most likely risks associated with the activities of a beauty salon, and also provide several effective ways to combat them.
The risk of loss of competitiveness of communications due to increased activity of competitors in the fight for customers.
The opening of a beauty salon may affect the activation of competitors, which may lead to the loss of some potential customers.
The most productive ways to combat this type of risk are:
- A well-developed marketing plan;
- Correctly structured pricing policy of the establishment;
- High level of services provided;
- Clear loyalty program;
- Variety and attractiveness of the services provided.
The risk of high turnover (loss/poaching) of personnel and a decrease in the level of services provided.
The professionalism of the staff plays an important role in attracting and retaining new clients. The quality of personnel directly affects the level of services provided and, accordingly, directly affects profitability.
Ways to prevent this risk:
- Effective staff motivation system;
- System for monitoring the level of services provided;
- Increasing loyalty of staff to management and customers to the establishment.
The risk of reducing the purchasing power of potential customers.
As a rule, this type of risk is associated with crisis manifestations in the economy. To mitigate such risks, it is necessary to be flexible, both in pricing policy and to have the opportunity to influence the reduction of key business expenses:
- When paying for labor, it is advisable to use the piecework method of calculation;
- if necessary, be able to switch to another brand of cosmetics used in the salon.
Risk of losing the loyalty of the customer base.
This type of risk is probably one of the main ones. Since the loyalty of regular customers is a key criterion influencing the success of a salon business. Loyalty is a thing that can be developed over years, but lost in one moment. To prevent this from happening it is necessary:
- Constantly maintain quality;
- Monitor customer satisfaction with service quality;
- Adapt to customer tastes and preferences;
- React to all conflict situations that arise during the operation of the institution.
The risk of technological lag caused by the emergence of new techniques and services in the beauty industry.
The beauty industry does not stand still and every year more and more new advanced techniques and technologies appear. In order to keep up with this process, it is necessary to constantly improve and develop, updating the list of services provided. The most effective way not to lose competition in the market for new trends in the beauty industry is constant participation in thematic exhibitions and master classes.
- Production plan
- Opening technology
- Similar business ideas:
A typical business plan for opening a beauty salon using the example of Ulyanovsk.
The goal of this project is to open a modern beauty salon in Ulyanovsk. It is expected to provide services such as haircut, styling, chemicals. perm, manicure, pedicure. Despite great competition, the demand for these services is steadily growing, since it is not decent to appear in society without a good hairstyle, manicure-pedicure, and well-groomed face.
A typical business plan for opening a beauty salon using the example of Ulyanovsk
Description of the beauty salon project
The goal of this project is to open a modern beauty salon in Ulyanovsk. It is expected to provide services such as haircut, styling, chemicals. perm, manicure, pedicure. Despite great competition, the demand for these services is steadily growing, since it is not decent to appear in society without a good hairstyle, manicure-pedicure, and well-groomed face. It is difficult to achieve such an effect at home, and an important factor is saving time, effort and receiving positive emotions. Analysis of the real and potential market for services shows the presence of unsatisfied demand for such services in Ulyanovsk.
The amount of investment required to implement the project is 410,000 rubles.
Which OKVED code to indicate when registering a business at a beauty salon
To carry out the activities it is planned register as an individual entrepreneur(IP). The main activity for the entrepreneur will be OKVED 93.02 “Provision of services by hairdressing and beauty salons.” The taxation system is a single tax on imputed income (UTII).
The beauty salon will be located in a rented premises with an area of 40 m2: Client reception area (hall) - 12 m2, hairdressing salon with two chairs - 20 m2, combined manicure and pedicure room - 8 m2. No renovations to the premises are required.
The beauty salon will operate in two shifts from 9:00 to 19:00 without a break for lunch, on weekends from 9:00 to 16:00.
How to select personnel for work
It is planned to create 5 jobs in the beauty salon:
- Master - universal, 2 people;
- Manicurist, 1 person;
- Cleaning lady, 1 person;
- Administrator (accountant), 1 person.
The cleaning lady's working day is not standardized, therefore, by agreement, she has the right to come and carry out wet cleaning of the salon during her shift, i.e. at 14-00 and by the end of the working day, i.e. at 18-00. Once a week, her duties include general cleaning. The administrator works from 9-00 to 19-00 five days a week.
To provide high-quality services and gain the trust of clients, it is planned to hire only qualified craftsmen (we recommend reading the article: “ How to hire an employee correctly - step-by-step instructions"). Since it is known that the client goes not so much to the salon as to a specific specialist. Therefore, to improve their level, future employees will undergo regular advanced training courses. In the future, the salon plans to open its own master class, where young masters will learn professionalism. This will bring additional profit to the company.
Staffing schedule for the beauty salon according to the business plan:
| No. | Job title | Quantity | Salary per month | Payroll fund, months. |
| 1 | Master - all-rounder | 2 | 15 000 | 30 000 |
| 2 | Manicurist | 1 | 15 000 | 15 000 |
| 3 | Cleaning woman | 1 | 6 000 | 6 000 |
| 4 | Administrator | 1 | 12 000 | 12 000 |
| Total | 5 | X | 63 000 | |
Every year it is planned to increase wages by an average of 10%.
Description of products and services offered
The organization will provide the following services:
- Haircut for men, women and children;
- Coloring and perm;
- Highlighting, toning;
- Treatment, hair care;
- Wedding and evening hairstyles;
- Manicure, pedicure, SPA - pedicure and manicure;
- Nail extension;
- Paraffin therapy, massage;
- Treatment, nail care.
Price list for men's haircuts, rubles:
- Tennis – 160
- School age tennis – 150
- Canadian – 140
- Sports — 130
- Model - 180
- Creative – 200
- For nozzle No. 1 - 90
- Naked - 70
- Hedgehog playground – 220
- Drawing – From 50
The average cost of one service is 150 rubles Price list for women's haircuts, rubles:
- Creative – 290
- Bangs – 60
- Length trimming – 120
- Children's haircut up to 5 years old - 120
- Model - 190-250
- Styling (depending on hair length) – 250-400
- Hairstyles – From 500
- Children's hairstyles - From 300
- Highlighting through a cap – 300
- Highlighting (depending on hair length) 500-700
- Coloring - From 500
- Coloring in 1 tone (depending on hair length) - Up to 500
- Root painting – 190
- Perm (depending on hair length) - From 280 to 420
- Long-term styling (depending on hair length) - From 500 to 600
The average cost of one service is 350 rubles Price list in a manicure salon, rubles:
- Classic manicure – 180
- Hardware manicure – 300
- European manicure – 280
- Nail polish – 40-860
- Design with varnish (1 nail) 20-35
- Wedding design – 450
- Nail extension – 600-850
- Correction of nar. nails - 350-400
- Repair of bunk beds nails (1 nail) – 60-80
- Eyebrow and eyelash tinting – 70
- Eyebrow correction – 70
- Pedicure – 300-400
The average cost of one service is 300
Download beauty salon business plan
Marketing plan for a beauty salon
The salon will be located in the mall, where there is a high level of traffic and there is no competition among similar services. The shopping center is located in a busy part of the city and has convenient access roads, which will ensure a constant flow of customers to the salon.
To increase attendance, the following events are planned:
- advertising in the media (newspaper, radio, Internet);
- advertising in specialized magazines;
- production of business cards;
- ordering a colorful salon sign.
Prices for the organization's services are aimed at people with average and lower income levels.
Production plan
In order to provide quality services, only those masters who have certificates of completion of professional courses for hairdressers and makeup artists (3-month courses) will be employed.
Do I need permission to open this business?
Before starting work, it is planned to obtain permission from the SES and Fire Safety Service. To do this, a letter with the following content will be sent to these services: “I ask you to allow me to open a hairdresser...”.
The SES will provide a lease agreement and medical records of the masters. The SES has its own requirements for salons: mandatory hair disposal, washing of towels and availability of sanitary certificates for all employees. Only after receiving all permits is it planned to begin the organization’s activities.
The fixed costs of our organization, according to the calculations of the business plan, are presented in the following table:
| No. | Expense item | Amount per month, rub. | Amount per year, rub. |
| 1 | Salary | 63000 | 756000 |
| 2 | PF for employees | 18900 | 226900 |
| 3 | Rent | 15000 | 180000 |
| 4 | Consumables | 10000 | 120000 |
| 5 | Public utilities | 4000 | 48000 |
| 6 | Advertising | 2000 | 24000 |
| 7 | Others | 4000 | 48000 |
| 8 | UTII (tax) | 3426 | 41112 |
| 120326 | 1 443 912 |
Planned volume of services per month:
| No. | Name | Number of services per day | Average price, rub. | Amount per day, rub. | Amount per month, rub. |
| 1 | Male haircuts | 6 | 150 | 900 | 27000 |
| 2 | Women's haircuts | 8 | 350 | 2800 | 84000 |
| 3 | Manicure salon | 8 | 300 | 2400 | 72000 |
| Total | 22 | X | 6100 | 183000 |
Total average revenue per working day will be 6,100 rubles, per month the amount will be 183,000 rubles.
How to start a beauty salon business
To begin activities, the following activities must be carried out:
- Register individual entrepreneurship;
- Conclude a premises rental agreement;
- Conclude agreements for the purchase and installation of necessary equipment. At this stage it is planned to spend 345,000 rubles;
- Purchase the necessary consumables and tools to carry out the activity.
- Obtain the necessary permits to start activities;
- Select highly qualified personnel.
List of main stages of project implementation and the need for financial resources for their implementation:
| No. | Name of the project stage | start date | expiration date | Stage cost |
| 1 | Lease contract | 01.01.13 | 10.01.13 | 15000 |
| 2 | Purchase and installation of equipment | 01.01.13 | 15.01.13 | 345000 |
| 3 | Purchasing consumables and tools | 01.01.13 | 15.01.13 | 50000 |
| 4 | Getting permission | 01.01.13 | 20.01.13 | |
| 5 | Recruitment | 01.01.13 | 20.01.13 | |
| TOTAL | 410 000 | |||
How much money is needed to start this business?
To implement the project, a financial investment of 410,000 rubles is required. These funds will be used to purchase equipment that will be used for the operation of the beauty salon. For tax purposes, the income of an entrepreneur providing hairdressing services will be taxed at single tax on imputed income. The type of activity under this taxation system is planned to be established as “Provision of services by hairdressing and beauty salons” (Clause 2 Article 346.26 of the Tax Code of the Russian Federation). The tax amount under the UTII system will be: (7500 * 6 * 1.372 * 0.37) * 15% = 3426 rubles. 57 kopecks per month. The tax amount per year will be 3426.57*12=41118.84 rubles. Entrepreneurs also pay insurance contributions to the Pension Fund of the Russian Federation and compulsory medical insurance funds in an amount determined based on the cost of the insurance year. The cost of an insurance year is determined as the product of the minimum wage (minimum wage), established at the beginning of the financial year for which insurance premiums are paid, and the rate of insurance contributions to the corresponding state extra-budgetary fund, increased by 12 times. The amount of insurance premiums for individual entrepreneurs in 2013 is equal to:
- Contribution to the Pension Fund 5,205 * 2 * 26% * 12 =32,479.20 rubles
- Contribution to the FFOMS 5,205 * 5.1 * 12 = 3,185.46 rubles
- Total: 35,664.66 rubles per year.
- Contribution to the Pension Fund of Russia 63,000 rubles. × 22% = 13860 rubles;
- Contribution to the FFOMS is 63,000 rubles. × 5.1% = 3213 rubles;
- Contribution to the Social Insurance Fund is 63,000 rubles. × 2.9% = 1827 rubles.
In total, monthly insurance premiums for employees will be 18,900 rubles.
How much can you earn by opening a beauty salon?
Planned economic indicators of the organization's activities: Revenue: 183,000 rubles per month Fixed expenses: 120,326 rubles per month Profit: 62,674 rubles per month Profitability: 52% Project payback: 6.5 months
COSTINGS:
| N p/p | Name of expense item | Amount, rub. |
| 1 | Dressing table "Accord plus" | 30000 |
| 2 | Mirror "Accord-4" | 12400 |
| 3 | Hydraulic chair "Status" | 29660 |
| 4 | Hair wash with chair “Image” | 28500 |
| 5 | Master's chair | 9140 |
| 6 | Children's chair "Piggy" | 4700 |
| 7 | Foot rest for client | 4800 |
| 8 | Hanger | 850 |
| 9 | Reception desk | 32000 |
| 10 | Coffee table | 6200 |
| 11 | Waiting chair (triple) | 4600 |
| 12 | Sofa "Monica" | 16800 |
| 13 | Dry heat cabinet | 14300 |
| 14 | Sterilizer with timer | 5300 |
| 15 | Ural Federal District Bactericidal chamber “Microcid” | 12300 |
| 16 | Suchoir | 14100 |
| 17 | Climazon | 29500 |
| 18 | Hair salon trolley | 9200 |
| 19 | Three section screen | 6990 |
| 20 | Pedicure. - cosmetics Armchair “Nadine” | 43900 |
| 21 | Pedicure bath | 5600 |
| 22 | Armchair cushion “Nadine” | 2340 |
| 23 | Manicure pillow | 820 |
| 24 | Table "Comfort" | 12100 |
| 25 | Paraffin bath | 3800 |
| 26 | Lamp for manicure | 940 |
| 27 | Hood for manicure table | 7000 |
| 28 | Varnish stand | 3500 |
| 29 | Tools and Supplies | 50000 |
| TOTAL | 395 000 | |
We recommend download beauty salon business plan, from our partners, with a quality guarantee. This is a full-fledged, ready-made project that you will not find in the public domain. Contents of the business plan: 1. Confidentiality 2. Summary 3. Stages of project implementation 4. Characteristics of the object 5. Marketing plan 6. Technical and economic data of the equipment 7. Financial plan 8. Risk assessment 9. Financial and economic justification of investments 10. Conclusions
How to choose equipment for business
Depending on the services provided, equipment should be selected:
- For economy class you need to purchase a chair, bedside table, shelving unit, and sink. You can’t do without a mirror and tools.
- For a salon in which manicure will be additionally performed, it is worth adding a table, a bath, an ultraviolet lamp, and sterilizers to the standard list;
- To run a full-fledged beauty salon, you need special-purpose chairs, mirrors, a refrigerator, cabinets for tools, couches for performing manipulations, and equipment.
When choosing furniture, you must adhere to a single style. A beauty salon is a special place, which is distinguished not only by its neatness, but also by its design. Interior products will help create a specific ambience.
What documents are needed to open
The cabin conditions must comply with San PiN 2.1.2631-10. For SES it is necessary to issue:
- Instrument sterilization log;
- Agreements for waste disposal;
- Agreement with the laundry for the maintenance of consumables - napkins, sheets;
- Ventilation maintenance contract.
Directly in the salon there should be a book of complaints and suggestions, copies of permits received from the sanitary service and fire inspection.
Which taxation system should I indicate when registering?
The choice of taxation system depends on the direction of the business. When providing household services - haircuts, manicures, eyebrow design, it is advisable to give preference to UTII. If the salon will provide cosmetic procedures - simplified tax system.
Opening technology Beauty business: how to open a cosmetology...
It seems that creating beauty salons has recently become as fashionable as vacationing in Courcheville and driving a Hummer there. Every month, 2-3 new establishments appear here and there. Cosmetology exhibitions have responded sensitively to the beauty boom. Among the stands with new cosmetic lines and equipment, signs appeared that read “consultations on opening beauty salons.” Most of the visitors at the last exhibition crowded where the usual drawing board stood and dozens of projects of new showrooms opened over the past year were hung.
From my conversation with consultants, it turned out that only every fourth beauty salon is opened by the owner with the desire to make money, in other cases it is either a beautiful toy as a gift for a beloved woman, or an inheritance for a daughter, or a desire to have a “pocket salon” for yourself and for friends. Quite often, a salon business begins with a man running his own business giving money to a woman so that she can do a beautiful job, not get bored at home, and feel happy and grateful to her benefactor. Many newcomers to the salon business do not have management experience in the beauty industry, and do not even imagine what is happening “on the other side of the barricades” of salon life. As a result, a quarter of salons go bankrupt in the first year of life, and another quarter never becomes profitable, barely making ends meet, periodically replenishing funds from sponsorship purses.
Of course, for those who view the salon business in advance as a non-refundable investment, a toy for the woman they love, then this article will not help. But if you take the opening of a beauty salon seriously and immediately start playing by the rules, then you can consistently receive more than thirty percent of the invested capital from your new business.
Let's evaluate the market
The salon business belongs to the fast-growing category. Remember, from Soviet times we only inherited hairdressers and the only Beauty Institute on Novy Arbat. Today in Russia there are more than 3,000 beauty salons that, in addition to banal haircuts, also provide a variety of cosmetic procedures. Is it a lot or a little? In little Italy, 110,000 beauty salons get along quite well, and they even passed a law prohibiting the opening of a new salon within two hundred meters of existing ones. With the growth of the middle class of Russians, whose standard of living is approaching Western standards, in terms of our population, tens of thousands of new salons are required.
The growth in the number of beauty salons is facilitated by the fact that in society it has become indecent to appear unkempt, unkempt, and old. Now Russians not only cut their hair, dye their hair, and take care of their nails, but also en masse have begun to shape their figure, rejuvenate their skin, and fight stress and cellulite. Up to a quarter of today's beauty salon clients are previously unusual visitors - men, puzzled by the fight against hair loss, beer belly and chronic fatigue. Young people also flocked to salons, seeking to tidy up the blooming skin of adolescence. Over the past two years, thirty percent of women aged 30 to 40, who previously visited beauty salons only as clients of a hairdresser, for the first time took courses in expensive cosmetic procedures - skin rejuvenation, figure correction, etc. Clients have come to understand that home care in terms of effectiveness cannot be compared with salon procedures; moreover, the salon saves time, effort and adds positive emotions from communicating with beauty masters.
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How much milk does a cow give?
The revenue of modern beauty salons ranges from twenty to fifty thousand dollars a month, and after deducting expenses, the owners can have from three to twenty thousand dollars in net profit. The size of the beauty salon matters. The smaller the size of the salon, the less profit is made, because according to SES standards, each salon must have auxiliary areas that do not bring in money. A cabin size of 120 to 180 meters is considered to be quite optimal.
Let's make an economic calculation of a small beauty salon with an area of 120 sq.m., which contains:
- The client reception area (hall), which also serves as a mini-store selling home care cosmetics, is 12 square meters.
- Hairdressing salon for two chairs - 15 sq.m. meters.
- Combined manicure and pedicure room - 8 sq. meters.
- Three universal cosmetologist’s offices, where equipment for figure correction, ultrasound peeling, and oxygen mesotherapy is also installed - 12x3 = 36 sq. meters.
- Massage room, where body wraps are also performed - 9 sq. meters.
- Solarium - 6 sq. meters.
- Auxiliary premises (sterilization room, warehouse, director's office, staff rest room) - 26 sq. meters.
Why such large offices and auxiliary areas, you ask? Look at the SES standards issued in June 2003!
Monthly income of a beauty salon, USD
| Service | Max quantity per day | Service price | Revenue per month | Consumption of materials, % | Consumption in USD | Profit from the service | |
| Hairdresser 2 chairs | 24 | 40% | 15 | 4320 | 15% | 648 | 3672 |
| Mani Pedi | 12 | 30% | 25 | 3000 | 15% | 450 | 2550 |
| Cosmetologist | 8 | 50% | 30 | 3600 | 30% | 1080 | 2525 |
| Massage | 12 | 30% | 25 | 3000 | 5% | 150 | 2850 |
| Peeling | 12 | 20% | 40 | 2880 | 5% | 144 | 2736 |
| Solarium | 48 | 20% | 10 | 2880 | 20% | 576 | 2304 |
| Complex for correction | 20 | 30% | 30 | 5400 | 0,50% | 27 | 5373 |
| Ultrasound peeling | 12 | 10% | 30 | 1080 | 5% | 54 | 1026 |
| Wraps | 12 | 20% | 30 | 2160 | 5% | 108 | 2050 |
| Mesotherapy | 30 | 10% | 50 | 4500 | 25% | 1125 | 3375 |
| Selling cosmetics in the lobby | 3000 | 66% | 2000 | 1000 | |||
| Total: | avg.28% | 35820 | 6362 | 29458 |
Staff payment
| Speciality | Salary | Payment amount* | Qty | Total* |
| Cosmetologist | 25-60% from turnover | 1000 | 2 | 2000 |
| Doctor | 100 USD + 2% from turnover | 1000 | 2 | 2000 |
| Aestheticians | 80 USD + 1% from turnover | 400 | 4 | 1600 |
| Massage therapists | 20-50% from turnover | 600 | 2 | 1200 |
| Manager | 200 USD + 4% on profit | 1000 | 1 | 1000 |
| Administrator | 150 USD + 1% from turnover | 600 | 2 | 1200 |
| Accountant | 200 USD (part-time) | 200 | 1 | 200 |
| Cleaning woman | 150 USD | 150 | 1 | 150 |
| Manicure | 40-45% of turnover | 500 | 2 | 1000 |
| Hairdresser | 20-40% from turnover | 500 | 4 | 2000 |
| Total: | 21 | 12350 |
* - average for Moscow beauty salons
Total operating costs
The monthly net profit of the beauty salon (excluding taxes) is 5,746 USD.
Per year – 68952 USD
Directors of beauty salons will object to me that the indicated figures for salon occupancy are underestimated. I did this on purpose. It’s better that the new salon earns more than what is written here. If, of course, he manages to attract more clients, and most importantly, retain them, then he will earn a lot more. Of course, for each region the figures for prices, salaries and salon occupancy vary. Use these tables, plug in your numbers and get a prototype of a business plan for your future salon.
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Step number zero. Where to begin?
Have you decided to open a beauty salon? Then the first thing you should do is go to the Canaries. This is not a joke, because the next six months will pass in your troubles. Once you've returned to activity, rested and tanned, it's time to get started.
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Step 1. It all starts with an idea
If you were opening a restaurant, where would you start? Is it with the selection of premises, equipment or with the search for personnel? Of course not! First, you decide what kind of cuisine you will offer to the consumer - Russian, European, Georgian or some exotic one.
Likewise, a beauty salon starts with choosing the treatments you are going to offer to clients. There are hundreds of options, but they can be roughly divided into three groups:
- Image (hairdressing services, manicure, pedicure, tanning, tattoo, piercing, etc.).
- Medical (correction of facial and figure imperfections, rejuvenation, anti-cellulite programs, etc.).
- Relaxation (massage, thalassotherapy and SPA, light therapy, aromatherapy, etc.).
In the late 90s, salons focused mainly on image procedures, that is, on creating immediate visual appeal for clients. They offered hairdressing services, manicures, pedicures, make-up and several cosmetology programs for the face - mainly superficial or deep cleansing of the skin or, in everyday language - “cleaning”, as well as massage, masks according to skin type (or age) and professional cosmetic lines (salon and home care). There were almost no body programs offered in salons. We only learned about the existence of cellulite in the 90s, so body care in many salons was limited to massage.
Modern trends in the beauty market, in addition to the above “classical” components, require the presence of a larger number of medical and relaxation procedures in the salon:
- Areas related to therapeutic and preventive manipulations of the face and body (mesotherapy, peelings, anti-aging programs, anti-cellulite programs).
- Manipulations aimed at non-invasive sculptural correction of the face and body (volume reduction, modeling of facial and body contours, tissue tightening, bust lifting, etc.).
- Measures to reduce the amount of fat deposits (non-invasive and needle electrolipolysis).
- SPA procedures.
- Massage with various types of wraps.
- Solarium, which is a good addition in terms of expanding the range of services, but is by no means the procedure on which they relied.
Hairdressing and related services today are classified as important, but not essential. As life has shown, salon owners are reducing the number of hairdressing chairs, because medical and physiotherapeutic procedures have turned out to be much more profitable than classical ones. Practice has shown that every square meter occupied by figure correction or mesotherapy brings three times more than a meter of a hairdressing salon.
Most beginners stumble at the first step. The motive for an erroneous choice of salon concept is often copying the price list of services from your favorite beauty salon, your own preferences for certain procedures, and the desire to follow the latest fashion in the beauty industry.
In the first case, the remake is always worse than the original, which means it is not able to drag clients to the new salon, because they simply have no reason to change their usual place. In the second case, something like a tanning studio is born, where the unlucky owner installs about five solariums and nothing else, and then is surprised that they are ten percent occupied. In the third case, at the last exhibition, several overseas miracle units of space design are purchased, which, as a rule, are able to perform well only a few individual procedures, but not a complete program for eradicating some problem of the body or face. And the client, as Arkady Raikin said, does not need a well-sewn button, but for the suit to fit.
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Step 2: Highlight
Modern salons benefit from a wide range of services, so that a busy client does not have to run around to other establishments, but can get all the services in one place. But a new salon definitely needs to acquire one or two “zest” that no one else around has. That is, add something to the range of services designed to become the “highlight of the season” in the list of services. To do this, they choose an area of specialization, and, of course, equipment and specialists who can comprehensively solve these problems. For example, having chosen figure correction as the main feature of the salon, you should acquire equipment that can provide myostimulation, lymphatic drainage, isometric shaping, vacuum massage, etc. Each of these elements complements and enhances the correction process. And vice versa - the absence of one of these elements can nullify attempts to achieve results. Non-surgical methods of figure and face correction using Izojay class devices are very effective as a “highlight”, such as:
- breast lift by several centimeters;
- formation of the “Brazilian butt”;
- elimination of double chin.
You can also choose some newfangled trend as a “trick”. At first, local clients will confuse the SPA with a regular sauna, in which there is only a “sauna-swimming pool-beer-girls”, but then they will see many differences between a sauna and a SPA:
- instead of a font, swimming pool or low-power jacuzzi - a SPA hydromassage bath with powerful jets massaging the right points of the body;
- instead of random music or radio - a carefully selected relaxing music program;
- instead of the smell of dampness - aromatherapy;
- instead of beer - a large selection of herbal teas and mineral water;
- instead of a random massage therapist - highly professional massage programs (manual and hardware).
In addition, in the SPA area, clients will enjoy thalassotherapy procedures (mud peeling, wraps, VICHI shower and much more). When clients feel that a visit to the SPA allows, without leaving anywhere, as if to spend a day in Baden-Baden and Karlovy Vary, forget about the passage of time, about worries, about stress, to make the body and soul as light as a feather, most of them will forever remain a fan of the new salon.
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Step 3. Think about yourself
We're going to make money, after all. Therefore, when choosing a set of services for a future salon, let’s choose those on which you can make money. The profitability of hairdressing services, for example, cannot be compared with medical ones. And we would like to see as much profit as possible from every meter of the salon, right?
Compare for yourself:
A haircut lasts about forty minutes, for which the client will pay an average of 300 rubles, of which the hairdresser takes 100 rubles, plus shampoo, conditioner, electricity, water, etc. are consumed. There are also administrative expenses, advertising costs, etc. With the average daily workload of a hairdresser being 30-40 percent, the monthly income of one chair is unlikely to be more than 30 thousand rubles.
During the same time, one mesotherapy session brings in revenue of three thousand rubles. After deducting consumables and wages, the salon owner’s income will be one and a half thousand rubles. Ten times more than from a haircut! Even if a mesotherapist is on average three times less busy than a hairdresser, the salon owner will receive not 15, but 45 thousand rubles at the end of the month. In addition, at a time when the mesotherapist does not have registered clients, various other procedures can be performed in the same office.
Thus, a meter of a cosmetology salon, by definition, brings in several times more profit than a meter of a hairdressing salon.
In order to determine which of the procedures can bring greater returns per square meter, you need to take the profitability of each of the services and divide them by the square footage of the office, taking into account SES standards. Since in some offices we can purchase and install several types of equipment at once (just as in a hairdressing salon you can do not only haircuts, but also hair coloring, and a manicure salon can do nail extensions), this simple technique can tighten the work schedule of the offices. In other words, if there is no appointment for a massage room, but a client appears for a body wrap, then the room will make a profit for a related procedure.
How much profit can a meter of area give under various procedures?
| Salon | Mani Pedi | Massage | Cosmetologist's offices (2) | Body correction room | |
| Revenue | 4320 | 3000 | 3000 | 3600 2880 peeling 4500 meso |
5400 |
| Material costs | 648 | 450 | 150 | 1080 144 1125 |
27 |
| Staff costs | 2000 | 1000 | 1200 | 2000 800 |
800 |
| Overheads* | 1118 | 596 | 671 | 1788 | 894 |
| Profit | 554 | 954 | 979 | 4043 | 3679 |
| Number of meters of area | 15 | 8 | 9 | 24 | 12 |
| Profit per meter | 37 | 120 | 108 | 168 | 306 |
| Rating, place | 5 | 3 | 4 | 2 | 1 |
* Overhead costs (7,000) are distributed for each meter of working space plus the hall (94 sq. m.)
* As a result, each meter carries a load of $74.5 per month.
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Step 4. Buy or rent?
There are many arguments for purchasing premises for a beauty salon. Let's start with the fact that investing in real estate is already a profitable investment. In the worst case scenario, even if your salon business fails, the premises will always remain your property. In addition, a simple calculation shows that in two to three years of rent you will pay the landlord the same amount as if you had bought these spaces.
But there are other arguments:
- the most difficult permits to obtain, such as a sanitary certificate, firemen's permit and medical license, are issued in relation to the salon address indicated on them. When you change location, you lose several months to get new approvals.
- if you change your address, you will lose the lion's share of clients.
- the landlord understands that you are “on the hook”, and you become completely dependent on him. The rest is a matter of the landlord’s conscience.
Are there any conscientious landlords? Dating.
Having selected the premises, you need to return to the concept and adapt the developed idea for the future salon to the needs of local clients. Chances are your concept will change. Ask yourself:
- If there are several banks located near you, are anti-cellulite programs necessary? After all, the age of bank employees, as a rule, does not exceed 25 years?
- If you are located near a university, would you offer anti-aging treatments to students rather than solutions to youthful skin problems?
- if your salon is located in a business center, would you offer piercings and tattoos rather than a SPA area?
These questions may seem funny, but, alas, very often salons open without any research. Few people try to identify target groups and choose the set of services that is dictated by demand.
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Step 5. Competitive environment
The concept of the salon needs to be adjusted depending on the competitive environment. Find all the beauty salons in your three-kilometer area (take a map, draw a circle and plot all the salons). Next, under the guise of a resident who has recently moved to the area, visit each competitor and ask the administrator to show you the salon, write down:
- service list;
- price list;
- evaluate advertising activity;
- evaluate the level of service;
- appreciate the politeness and training of the administrator.
Don’t be fooled if you don’t see clients in the salon - in good salons, clients do not wait for their turn, but, having arrived by appointment, immediately go to the offices.
Don’t be lazy to call each salon and listen to how they talk to the client on the phone. Try signing up for some procedures (then you can cancel the registration - “changed your mind”). If convenient (usually evening) hours are busy, then the salon is doing well.
Make a brief description of each salon. Overlay the list of services of your future salon with the lists of competitors, and identify similar procedures in which the client most likely will not see the zest for which he would come to a new salon.
The first paragraph contains basic project data.
Sample:
Activities: beauty services.
Location: indicate the city and district in which the enterprise is opening, and the population.
Area: 70 square meters.
Ownership form: rent
Schedule: 9:00-21:00
, seven days a week.
Services:
- Hairdressing salons (including hair extensions);
- Manicure and pedicure (including nail extensions);
- Epilation;
- Cosmetology, including hardware;
- Body care (wraps, massage);
- Tanning in the solarium.
Market analysis
Target audience: people aged 18-45 years. At the same time, most of the clientele are women 20-35 years old (about 70%), about 20% of visitors are people 35-45 years old, the remaining 10% are elderly people and teenagers.
The most successful choice of location is a residential area, built up with multi-storey buildings. In this case (subject to placement in a large city), approximately 30-40 thousand people will become potential clients of the establishment.
Before starting work, analyze all institutions located in the area, their list of services and pricing policy. Develop your own advantage for each competitor. For example, a “protection” from a large establishment will be a service that only you offer, a bright sign, and affordable prices.
Business organization
This paragraph provides a description of registering business activities, obtaining permits, and choosing a taxation system.
We open an individual entrepreneur with simplified taxation. OKVED codes:
- 93.02 Providing services in hairdressing and beauty salons (this includes standard hairdressing procedures, makeup, manicure).
- 93.04 Physical education and health activities (massages, solarium).
- 85.14 Other health activities.
- 52.13 Other retail trade in non-specialized stores.
- 52.33 Retail trade in cosmetics and perfumes.
A package of documents with which you can start working: permits from the Sanitary and Epidemiological Station, State Fire Inspectorate. For cosmetic procedures, hair removal, massage, a medical license is required. When calculating how much it costs to open a beauty salon, start with these costs.
Marketing plan
To get clients to come to you, develop competitive advantages. For example, an average price segment with high quality, a wide range of procedures, discounts and bonuses for regular customers.
Image and advertising
To start such a business from scratch, you will need:
- Outdoor sign (about $500);
- Development of corporate identity, logo ($100-150);
- Website development and promotion ($150-350);
- Printed handouts: leaflets, business cards ($150);
- Placement in a popular women's magazine (about $300).
Promotion channels
You can effectively promote your establishment using a website and communities on social networks (VKontakte, Facebook, Instagram). The most important channel is the clients themselves, “word of mouth”.
Sales promotion methods
You can increase demand and attract attention with promotions:
- Opening ceremony with a drawing of gifts and distribution of certificates with discounts.
- Sale of gift certificates. Especially relevant for the holidays - February 14, March 8, New Year. The target audience is men who want to give a gift to their beloved, and women who choose a gift for a friend.
- When ordering a set of procedures, the first procedure is free of charge. This will help the visitor to be convinced of the effectiveness of your methods and will not be deterred by an “unreasonable price.”
Pricing
Taking into account the establishment’s orientation towards the average (and slightly above average) price category, we are developing a price list. Let's give an almost ready-made example with the most profitable and popular services (prices are indicated in dollars):
Salon
- A haircut. Women's - 7-8, men's - 5;
- Laying - 4-5;
- Toning - 8;
- Highlighting - 13;
- Lamination - 15;
- Hair straightening - 23;
- Perm - 30-38;
- Hair extensions - 70-120.
Makeup
- Daytime - 13;
- Evening - 23;
- Wedding - from 25;
- Eyelash extensions - 23;
- Eyebrow extension - 30;
- Eyebrow correction – 4.
Nail care
- Manicure – 5;
- Pedicure – 11;
- Paraffin therapy – 4;
- Nail extension – 12-30 depending on the technology.
Depilation and hair removal
- Depilation of the lower leg – 8;
- Depilation of thighs – 8;
- Hand depilation – 8;
- Armpit depilation – 6;
- Classic bikini – from 8;
- Deep bikini – 18;
- Electrolysis – 16/hour;
- Laser hair removal - 4.5/1 sq. cm;
- Photoepilation – from 55.
Cosmetology
- Ultrasonic facial cleansing – 26;
- Whitening with vitamin C – 15;
- Facial massage – 12;
- Facial peeling – 30-60;
- Correction of facial wrinkles (Botox, Relatox, Xeomin) - 4/unit;
- Anti-rosacea program – 29-38;
- Lip augmentation with Botox - 5/unit (about 150 - full course).
Body care
- Massage – from 13;
- Lymphatic drainage massage – from 23, general – 70/hour;
- Vacuum roller massage – 15/session;
Wrap
- Honey – 20;
- Algal – 23;
- Chocolate – 23;
- Thermal wrap – 46.
Solarium
3-4/10 minutes.
Production plan
In order for an institution to generate good income, it is necessary to place as many jobs inside as possible.
Premises requirements:
- Separate entrance;
- Water supply is cold and hot. Water should flow not only into utility rooms, but also into the work area;
- Good lighting - daylight plus artificial light - only about 30-35 lamps;
- Flow ventilation and air conditioning system;
- Fire safety system.
The project provides for the correct division of the premises into zones:
- Reception, wardrobe – 9 sq.m. m;
- Hairdressing salon – 15 sq.m. m;
- Makeup artist area – five square meters;
- Manicurist area – 6 sq. m;
- Massage room – 11 square meters;
- Cosmetology room – 10 sq.m. m;
- Solarium – eight square meters;
- Utility room – 3 sq.m. m;
- Shower room - three square meters.
Renting such a space will cost about $900 per month.
Technical base
The most important investment is equipment. Opening a beauty salon requires the purchase of the following equipment and furniture for the establishment (prices in dollars):
The waiting area
- Reception desk – 300;
- Cash register – 180;
- Computer, telephone – 300;
- Wardrobe for things – 230;
- LCD TV – 240;
- Sofa – 150;
- Coffee table – 70.
Hair salon
- Two armchairs– 300-400. A good selection of inexpensive hydraulic seats is provided by the Image Inventor brand.
- Workplace with mirror(two) – 300. Image inventory or Panda.
- Suchoir– 150. An inexpensive one can be purchased from the Profreshenie company, a more expensive and better quality option is from the Italian company Vision.
- Climazon(two) – 550. In the middle price category, Polish “Harmony”, Italian EGG, Ceriotti are popular.
- Armchair with sink– 240. The best and inexpensive manufacturers – Image-master, Image-inventor.
- Washing– 130. Recommended and high-quality for little money - Italian Laguna, “Sonata” from Image Inventor.
- Sterilizer– 55. Sanity, Germix.
- Cart(two) – 96. Modus, Artecno.
Nail care salon
- Manicure table – 90. The best options are offered by Artecno, Madison, Euromedservice.
- Stand – 110. Artecno.
- Manicure machine – 300. Saeshin, Euromedservice.
- Manicure hood – 60. Ultratech.
- UV lamp – 50. Germix, Yoko.
- Chairs (two) - 330. Lemi, SalonISPA.
- Wax melters, equipment for paraffin therapy - 100. Yoko, Madison.
- Shelves – 75. Lemi, Armando.
- Pedicure bath – 30. Polaris, Freezing.
- Pedicure machine – 1000. Podomaster, Unitronic.
Makeup
- Armchair – 40. Image master, Lemi.
- Mirror and table – 230. SalonISPA, J-Mirror.
Cosmetology salon
- "Toplazer" for photoepilation - 4600.
- Vacuum roller massage device "Diflexi" — 5300.
- Pressotherapy device "Bloomoon" — 2300.
- Ultrasonic peeling device SILVER FOX – 320.
- Master's chair – 75. Madison, Gezatone.
- Couch – 200. Madison, Image Inventor.
- Cosmetologist's table – 120. Lemi.
Body care
- Thermal blanket SILVER FOX – 300.
- Electric massage couch – 200. Cesare Qaranta, Belberg.
- Massage therapist table – 40. Belberg, Diakoms.
- Wrap couch (spa couch) – 1800-2000. Relatively inexpensive and convenient options are Libya, SPA SUITE, SAVONAGE, SMERALDO.
Solarium
Vertical - 8000. Optimal and time-tested options - Luxura, MegaSun, SmartSun.
Horizontal – 9000. Luxura, MegaSun, ErgoLine.
In addition, there are still a lot of smaller acquisitions that need to be made.. These include cosmetics, tools, consumables, and uniforms for workers (three sets per person).
Most often, craftsmen come to work with their own set of tools. But in any case, it’s worth knowing which brands offer the highest quality tools and consumables in the beauty industry. The “face” of an enterprise greatly depends on the brands whose products it works with.
Hair cosmetics and hair care tools:
- Schwarzkopf;
- Loreal;
- London;
- Goldwell;
- ORGANIC SYSTEMS;
- Estel;
- Wella;
- Dickson;
- BaByliss;
- Moser;
- Hairway.
Cosmetics and makeup tools:
- Divage;
- Faberlic;
- INGLOT;
- Clinique;
- L'Oreal;
- Max Factor;
- Maybelline;
- Yves Rocher;
- SIGMA;
- Mary Kay.
Nail tools and supplies:
- Mertz;
- LaFrez;
- Solingen;
- Zinger;
- Redmond;
- Vitek;
- Scarlett.
Cosmetics for body wraps:
- Algotherm;
- Bleu
- Arabia Organic.
Organizational plan
The staff includes:
- Administrator;
- Manager;
- Cleaning woman;
- 4 universal hairdressers (work in shifts);
- 2 manicurists;
- Cosmetologist;
- Masseur.
Accounting is outsourced. All employees must have a document confirming their professional level; specialized education is required for a cosmetologist.
Only the administrator, manager and cleaning lady receive a salary. All craftsmen receive a percentage of the work performed - 30% from the cost of the service + tip.
Launch plan
It will take 4-6 months to open a business. Work on its launch consists of the following stages:
- Business registration;
- Rent and renovation of premises, finishing;
- Technological and engineering design, carrying out necessary communications;
- Obtaining permits and licenses;
- Purchase of equipment and consumables, installation of equipment;
- Personnel search;
- Advertising campaign.
Also by, for completeness.
Risks
Before the beginning it is worth assessing the possible risks and develop ways to overcome them.
- Emergence of new competitors. It is necessary to maintain a high level of service, improve quality and expand the range of procedures.
- Deteriorating market situation, decreased solvency. It will help to develop additional proposals, introduce special programs, and conduct promotions. It is important to build a base of regular customers. In any situation, a woman will want to be beautiful, so you won’t lose visitors.
- Theft. Security alarms and property insurance will help you avoid this.
Financial plan
Let's understand the financial model of the business.
Capital costs ($)
- Registration with the Federal Tax Service, obtaining permits – 1000;
- Rent for a year in advance – 11 thousand;
- Interior design development – 1500;
- Engineering design – 700;
- Process design – 400;
- Repair of the building, premises – 2500;
- Installation of communications, fire safety systems, video surveillance systems, lighting – 3000;
- Decoration, purchase of decorative items – 3000;
- Appliances, furniture, equipment – 38 thousand;
- Purchase of consumables – 3000;
- Advertising – 1500;
- Unforeseen expenses - 2000.
Total– 68 thousand dollars.
Monthly costs (USD)
- Payroll fund – 1500 (masters work piecework);
- Accounting – 250;
- Purchase of consumables – 1000;
- Advertising – 200;
- Utility bills (including garbage removal) – 100;
- Unforeseen expenses – 150.
Total– 3200 dollars.
Efficiency and income
Efficiency calculations are carried out based on the fact that in the first months the salon will be occupied by 30-40%. This figure increases to 50-60% by the end of the first year and to 85% by the middle of the third as the establishment’s popularity grows. Peak sales are spring and December. The decline is observed in the summer due to the holiday season.
Based on the above prices, the average check is about 20-40 dollars. Revenue in the first 4-6 months will be about 7 thousand dollars, and the net profit (including the salaries of the craftsmen) will be about 2000 $. Positive development dynamics allow us to reach revenues in the region of 24-30 thousand dollars in two to three years.
Only a detailed plan can begin to act. All events must be scheduled literally week by week. and stick to the schedule. Then the return on business will be optimal.