Write a salon business plan

A Business plan is a well structured formal statement that helps you to achieve your business goal, which and when followed correctly. Generally, a business plan doesn’t exceed 12 pages. A typical salon business plan must contain the following things:

  1. 2Q – Qualitative and Quantitative Goals
  2. Vision and mission statement
  3. Roadblocks to success
  4. Staffing strategies
  5. Measures to overcome Roadblocks
  6. The legal procedure for register your Business
  7. Financial plan ( loan, fundraising, etc.)
  8. Marketing plan
  9. Profit and Loss analysis
  10. Break-even analysis

License and Legal activities

To start a salon, one must have the following permits,

  1. State Cosmetology or Beautician’s License
  2. Salon Retail Seller Permit
  3. Salon Business Operation License
  4. Federal Employer Identification Number (EIN)
  5. Certificate of Occupancy

If you are not familiar with the legal formalities, it is better to consult a Lawyer. The total cost varies around $12,000, out of which cosmetology license costs more.



Customer retention is only possible if you satisfy or exceed a level that they expect from you. Without customer satisfaction, nothing is possible in Business. In a million-dollar business like a salon, customer retention plays a massive role in increasing profit. To achieve customer satisfaction, an owner must train their employees in such a way that they treat customers with the utmost care.


Cost Estimation

There are 2 types of cost estimation,

  1. One-time Costs: One-time fees are those costs that are unlikely to occur again and again. Some of the examples of one-time charges are License cost, business operator license, certificate of occupancy.
  2. Maintenance or recurring costs: Maintenance or recurring charges are the cost that repeats itself over a while. Some of the examples of maintenance costs are Labour wages, Purchasing beauty products, and more.


Is a degree mandatory for salon business?

Generally, it is not mandatory to have a degree from a beauty school or a cosmetology school. A degree in a beauty school or from a reputed cosmetology school enhances your skills and broadens your understanding of the Business both technically and financially. It also helps you to jot down a unique strategy that makes you stand tall from the rest of your pack.

If you are running a family business, then a degree may not be a factor to worry since you will be familiar with the nook and corner of the Business. But in the case of First Generation Entrepreneurship, it is preferable to master in your desired field. So make sure you have complete knowledge about every step of this salon business
“In business, the more you engulf yourself, the more you drench yourself in Profit.”


The best strategy for a salon business in 2020

In this Digital World, with the incorporation of modern technologies, the salon business has changed drastically. Some of the advanced technology that is mandatory for a salon is as follows :

  1. Personalized real-time mobility
  2. Integrated marketing
  3. Salon Based Appointment Filing Systems
  4. Automated Loyalty Programs
  5. Hair Colour Management System
  6. Online Client Survey

It proves that the salon Business has grown into a digitalized structure that resembles a typical professional environment. Apart from selecting the location of Salon, hiring professionals, owners should also concentrate on Digital aspects. The only way to Prosper in Salon Business in this Digital era is “Digitalized Planning.”

If you tend to look upon the strategy of the great Pioneers in this field, such as Great clips, Super Cuts, Sport Clips, the digitized plan sets them apart from others. Moreover, they have a well-organized Salon Appointment scheduling Software that minimizes the tedious effort of manual work.


Staff Management

While hiring employees for salon businesses, make sure you hire the ones who are talented as well as experienced. (1-5 years). Every employee should be well disciplined as they interact with the customers. Thus, while hiring employees, it is a must to cross-check their attitude, discipline, and other characteristic elements that are necessary for the salon business.


Inventory Management

To manage cosmetic as well as beauty products, you need an inventory. In the case of small businesses, you can use your home as an inventory. Also, one must make sure that you are aware of all the products in the catalog.


The secret sauce to a successful Salon

Believe it or not, the secret sauce to every Business is marketing. “People don’t buy your products or services; they buy your stories.” The same applies to the salon business. Even if you don’t have the right marketing strategy, whatever quality service you may offer, but you won’t attract a crowd. Ultimately you will just be another ship that sails on the same ocean.

“Mark your Presence with a Powerful Marketing Strategy”

People should celebrate coming to your Salon rather than considering it as a duty. Below are the top three Marketing Strategies that you can enroll in your spa, and Salon can follow:

Promotions and discounts can improve sales by 15% – Generally, to attract lower-middle-class people, it is essential to offer Discounts.

Digital Marketing is all set to bring 90% of mobile traffic – The rate of use of smartphones has gone to a great extent. It is a must to have a Digital Marketer who can Promote your promotions to a broader scale.
Make your target audience as women since Women have the love towards Fairness and Fragrance.

Generally, Women are easily attracted to Fragrance and style. The study says, The average woman spends about $44 per month. Thus promoting your Salon with women-centric ads increases sales.


Salon appointment scheduling process

Several software companies in America can help you in salon appointment scheduling, which prevails to be the backbone of customer happiness in this industry. Customers generally prefer to schedule their appointments online with just one click. Based on several factors such as online bookings, live time availability of dates, automated reminders.

With GoSchedule, you can quickly provide your customers with an excellent user-friendly experience that creates a remarkable impact on your Salon. Also, some of the unique features that your customers can relish by using GoSchedule salon appointment fixing software are as follows:


Online Bookings

Most clients prefer to reach out by online means to save time. GoSchedule analyzed this effective method and has framed the SoftwareSoftware in such a way that it allows clients to schedule, reschedule, or cancel their appointment bookings through a specialized app.


Automated Reminders

GoSchedule’s Spa and Salon appointment software has this beautiful reminding system that sends Automated text Messages as well as Emails to the Customer regarding their appointments.



A good relationship with your client generally helps in retaining your Customer. Go schedule’s Exclusive Software provides you with the Contact details of your Customer, which usually helps you to create awareness to your customers regarding the promotion offers, seasonal offers.


Booking experience

It has a user-friendly and secure interface so that your customers can schedule their appointment with a single touch.


Advertising Franchise

“Rome was not built in a Day”
Advertising is the second most challenging aspect in the salon business, the first one being choosing an appointment billing Software. Firstly you have to make a considerable sum of profit and portray to others that the brand you have is trustworthy as well as profitable. 

Unlike other businesses, retail Business requires a massive amount of money for branding and other aspects. Thus never fail to create brand awareness right from Day 1.


How to create brand awareness for your Salon?

The following are the three critical steps to create brand awareness for your Salon.

  1. Getting on partnerships with local channels which have relatively a decent TRP rating
  2. Roping up a celebrity for advertisements
  3. Creating digital campaigns such as Facebook campaigns, Instagram Ads, and more.

Thus, to prosper in the competitive market of America, especially in a million-dollar business like the beauty industry, a salon owner must have clarity about all the topics that are discussed and implement all the procedures with correct planning.