You don't have to look far to read stories about barbers and salons going out of business due to recent events. While the effects of the virus have been catastrophic on the beauty industry, a silver lining is that the demand for hair services is still there and may come to a head as soon as states start relaxing social distancing orders.
If you would like to ride that wave, you may be looking into how to open a hair salon and get beauty salon insurance coverage.
Opening a hair salon shares several similarities with opening other retail businesses. Below, we give you a quick rundown on pragmatic steps you can expect to take before you can start booking clients!
1. Draft a Business Plan
A business plan allows you to define everything regarding your business including how much start-up costs will be, where you'll source money, what you'll charge for cuts, how you'll market, and more.
The more issues you can discover with your ideas and solve before you have skin in the game, the better. So, take the time to draft up a plan that goes deep into the details.
2. Get Your Structure and Taxes in Order
With your business plan in hand, your next step will be to structure your business and to prepare for taxes. The initial, mandatory step related to tax prep is simple in that all you have to do is apply for an EIN on the IRS website.
Structuring your business can be a little more tricky and may require professional advice. You can read all about various business structures here.
3. Apply for Permits and Licenses
The permits and licenses you'll need to open your salon will vary depending on where you're operating. Talk to your city council's business contact to see what is required of you and how you can go about getting the documentation you need to start cutting.
Today, some states may have you comply with strict Coronavirus prevention protocols before allowing you to open. Be prepared to deal with that additional burden for the foreseeable future.
4. Define Your Brand
There are a lot of salons out there. Why should customers choose to work with yours?
Being able to answer that question effectively is integral to the "how to open a hair salon" process because therein will lie your value proposition. Think hard about what makes you different and ensure that everyone you hire embodies that edge.
5. Open Your Location and Start Promoting
The final step of your salon journey will be to pick your location, get it stocked up, and start marketing your new business. A professional agency can be helpful when it comes to getting the word out. Alternatively, you can self-train in marketing and put what you learn to work at your new salon business.
Now That You Know the How to Open a Hair Salon Basics, Get Started
People spend too much of their lives exploring how to do things and too little of their lives taking action. We hope that this how to open a hair salon overview inspires you to take steps towards starting this rewarding business venture!
