beauty shop business plan sample

🎧 Real entrepreneurs. Real stories.

Subscribe to The Hurdle podcast today!

Free Hair and Beauty Salon Sample Business Plan PDF

Elon Glucklich

6 min. read

Updated February 7, 2024

Looking for a free,  downloadable hair and beauty salon sample business plan Word doc  or  PDF  to help you create a business plan of your own? Bplans has you covered.

Keep in mind that you don’t need to find a sample business plan that exactly matches your business. Whether you’re launching an upscale, full-service salon in a bustling city or a neighborhood barbershop, the details will be different, but the bones of the plan will be the same.

Are you writing a business plan for your salon because you’re seeking a loan? Is your primary concern building a clear roadmap for growth? Either way, you’re going to want to edit and customize it so it fits your particular company.

No two salons are alike. Your business model will be different if you’re renting space to independent hairstylists, rather than taking on employees, for example. So take the time to create your own financial forecasts and do enough market research so you have a solid plan for success.

• What should you include in a hair and beauty salon business plan?

Your hair and beauty salon business plan doesn’t need to be hundreds of pages—keep it as short and concise as you can. You’ll probably want to include each of these sections:

• Executive summary
• Company summary and funding needs
• Products and services
• Marketing plan
• Management team
• Financial plan

One of the things that makes a salon business plan different from some service-based business plans is that you might decide to offer a combination of products and services.

Maybe you’ll sell shampoo, beard oil, or other cosmetics and beauty products, in addition to offering services like haircuts, manicures, or massages. If that’s the case, make sure you include your ideas for upselling products to customers to increase the value of every appointment you book.

Here’s an example of a salon business plan outline.

Brought to you by

Create a professional business plan

Using ai and step-by-step instructions.

Secure funding

Validate ideas

Build a strategy

• The 7 elements of an effective hair and beauty salon business plan

1. Executive Summary

The  executive summary  provides a high-level overview of your business plan. It should outline the objectives of your hair and beauty salon, such as to offer high-quality services, to expand the client base, or to break into a new market.

Your salon’s mission statement should describe its purpose and what sets it apart from competitors. For example, you may aim to offer a personalized experience for each customer or provide eco-friendly hair and beauty services.

The keys to success are the factors that will help your salon thrive. These may include a prime location, hiring experienced staff, excellent customer service, or a unique product and service range.

2. Company Summary and Funding Needs

The company summary offers a detailed overview of your salon, including its legal structure , location, and history. Also, it highlights your salon’s funding needs if you are seeking financial support.

Clearly state how much funding you need, what you will use it for, and how it will benefit the salon. For instance, you may need funds to renovate the premises, purchase equipment, or boost marketing efforts.

3. Salon Products and Services

This section should detail the products and services your hair or beauty salon will offer. These may include haircuts, hair treatments, manicures, pedicures, massages, and beauty treatments.

If you plan to retail beauty products such as shampoos, conditioners, or skin care items, include this information too. Highlight any unique services or products that differentiate your salon from competitors.

4. Salon Marketing Plan and Analysis

Your marketing plan should outline the strategies you will use to attract and retain customers. These strategies might include social media advertising, loyalty programs, partnerships with local businesses, and special promotions.

Additionally, you should conduct a thorough market analysis. Understand your target customers, their preferences, and their spending habits. Identify your competitors, their strengths and weaknesses, and how you can differentiate your salon.

5. Salon Management Team

The management team section provides information about the salon’s key personnel. This could include the salon owner, managers, stylists, beauticians, and other staff members. Highlight their roles, responsibilities, qualifications, and experience.

If you plan to rent chairs to independent stylists rather than hiring employees, describe how this arrangement will work and the advantages it offers for your business.

6. Financial Plan and Forecasts

Your financial plan should present detailed financial projections, including revenue, costs, and profitability. Include a cash flow statement, income statement, and balance sheet. This section should clearly demonstrate the salon’s potential profitability and financial viability.

Also, outline your pricing strategy. How have you priced your services and products, and how do these prices compare with competitors? What are your wage costs, and how will they affect your profitability?

7. Appendix

The appendix includes any additional supporting documents that complement your business plan. This might be market research data, lease agreements, employee contracts, or licensing and permit documents.

While not always necessary, the appendix can provide valuable context and proof to support your business plan’s content.

• Crafting a Successful Salon Business Plan: Key Considerations

Understanding your target clientele’s needs is crucial to writing a hair or beauty salon business plan that you can put into action. To ensure your business plan is the foundation of a growing operation rather than just checking boxes, ask yourself whether you’re taking these considerations into account.

1. Comprehensive Services Offering

In the beauty industry, customer preferences vary significantly, and staying versatile in your offerings can help cater to a broader clientele. Include a wide range of services that cater to different demographics. You may also consider offering unique or specialized services that distinguish your salon from others.

2. Pricing Strategy

Pricing can make or break your salon. Competitive pricing attracts customers, but your pricing should also cover your costs and ensure profitability. Effective market research can help you understand the average cost of services in your area, which you can use to set your prices competitively.

3. Salon Atmosphere

The ambiance of a salon plays a significant role in attracting and retaining customers. Consider factors like décor, cleanliness, and customer service when planning your salon.

4. Staff Training and Expertise

Quality service is crucial in the hair and beauty industry since word-of-mouth exposure from existing clients is a major driver of new business. Investing in ongoing staff training ensures that your team stays updated with the latest trends, techniques, and customer service skills.

5. Digital Presence

Although word of mouth is one business driver, many of today’s customers research online before visiting a salon. Having a strong online presence, including a well-designed website, effective search engine optimization and active social media accounts, can significantly boost your business.

• Download your free hair and beauty salon sample business plan PDF

Download this  hair and beauty salon sample business plan PDF  for free right now, or visit Bplans’ gallery of more than  550 sample business plans  if you’re looking for more options.

There are  plenty of reasons  salon business owners can benefit from  writing a business plan —you’ll need one if you’re seeking a loan or investment.

Even if you’re not seeking funding, the process of thinking through every aspect of your business will help you make sure you’re not overlooking anything critical as you grow.

Elon is a marketing specialist at Palo Alto Software, working with consultants, accountants, business instructors and others who use LivePlan at scale. He has a bachelor's degree in journalism and an MBA from the University of Oregon.

Table of Contents

Related Articles

12 Min. Read

Free Amazon FBA Business Plan PDF [2024 Template + Sample Plan]

7 Min. Read

How to Write a Brewery Business Plan + Free Sample Plan

5 Min. Read

How to Write a Personal Shopper Business Plan + Example Templates

13 Min. Read

How to Write a Business Plan for a Daycare Center

The LivePlan Newsletter

Become a smarter, more strategic entrepreneur.

Your first monthly newsetter will be delivered soon..

Unsubscribe anytime. Privacy policy .

Our biggest savings of the year

Black Friday Save 60%

for life on the #1 rated business plan software

on the #1 rated business plan software

on the #1 Business Planning Software

Beauty Salon Business Plan Template

Written by Dave Lavinsky

Beauty Salon Business Plan

You’ve come to the right place to create your beauty salon business plan.

We have helped over 100,000 entrepreneurs and business owners create business plans and many have used them to start or grow their beauty salons.

Below is a salon business plan example to help you create your own beauty salon business plan.

Executive Summary

Business overview.

Major Lengths Beauty Salon is a newly established hair and beauty bar located in Glendale, Arizona that is founded by Jenna Diaz, a local hair stylist and aesthetician that has worked in the industry for over 15 years. Jenna’s knowledge in hair, nail, and facial trends have made her a popular stylist in the community. As her client list continues to grow, Jenna realizes that it’s time for her to open up her own salon.

Major Lengths Beauty Salon will be located in Glendale’s upscale district in a 5,000 square foot retail space. The area is highly trafficked with middle to high income residents who spend on luxury items such as cars, clothes, jewelry.

The beauty salon will offer haircuts and treatments, facials, manicures, and pedicures. Major Lengths will also carry a large selection of hair and beauty products that will be available for purchase. Jenna will have a loyalty program where the top clients will receive discounts on their service as a thank you for remaining loyal and referring other potential clients to the salon.

Product Offering

The following are the services that Major Lengths Beauty Salon will provide:

• Color Treatment
• Healthy Hair Treatment
• Nail Services

Customer Focus

Major Lengths Beauty Salon will target the male and female adult population of Glendale, although the majority of clientele will be women. They will be middle to high income and working in a variety of industries, such as medical, legal, business, education, or other white collar professions. The salon will target stay at home mothers as well who enjoy a day of pampering.

Management Team

Major Lengths Beauty Salon will be owned and operated by Jenna Diaz, a local Arizona hair stylist and aesthetician. Her years of experience and in the industry have allowed her to meet the following talented individuals.

Jenna has recruited a talented nail technician and aesthetician from her previous salon to join her at Major Lengths. Jenna regards them as the best in the industry and knows that their quality of work is up to her high standards. They also have a loyal and large list of clients that will likely follow them to the new salon.

While the three of them will be in charge of their respective department, Jenna will be the head manager to oversee the entire operation of the beauty salon.

Success Factors

Major Lengths Beauty Salon will be able to achieve success by offering the following competitive advantages:

• Latest hair and nail trends
• Modern and comfortable environment
• More selection of each service offered than any other salon in town
• Major Lengths Beauty Salon offers the best pricing in town

Financial Highlights

Major Lengths Beauty Salon is seeking $100,000 in debt financing to open the beauty salon. The funding will be dedicated towards securing the retail space and purchasing the salon furniture, equipment, decorations, opening inventory, and working capital. The breakout of the funding is below:

• Beauty salon build-out: $30,000
• Opening inventory, furniture, equipment, decorations:  $40,000
• Three months of overhead expenses (payroll, rent, utilities):  $15,000
• Marketing costs: $5,000
• Working capital:  $10,000

  The following graph below outlines the pro forma financial projections for Major Lengths Beauty Salon.

Company Overview

Who is major lengths beauty salon.

Major Lengths Beauty Salon is a newly established hair and beauty bar located in Glendale, Arizona. The company is founded by Jenna Diaz, a local hair stylist and aesthetician that has dedicated her career to making women look and feel their best. Throughout her years in the beauty industry, Jenna gained extensive knowledge in hair, nail, and facial trends as well as how to give exceptional customer service to all of her clients. Jenna realizes that men and women invest a lot of time and money into their appearance and she takes extra care to ensure her clients not only feel special, but walk away with their desired result.

Major Lengths Beauty Salon will be located in Glendale’s upscale district in a 5,000 square foot retail space. The area is highly trafficked with middle to high income residents who spend on luxury items such as cars, clothes, jewelry. Some of Arizona’s most expensive homes are within a 15-mile radius from the location. The salon will be decorated with a contemporary style, have modern furnishings, and include a welcoming waiting and reception area, large hair styling room, and separate areas for facials and nail services.

Major Lengths Beauty Salon History

Major Lengths is owned and operated by Jenna Diaz, a local hair stylist and aesthetician who has made her career working in the beauty industry for the past 15 years in Glendale. She has gained extensive knowledge through her continuing education and industry seminars. Jenna has a long list of loyal clientele who will follow her to her new salon. Aside from her beauty salon knowledge and expertise, Jenna has taken local business courses to learn salon management and leading a small team of stylists, manicurists, and aestheticians.

Since incorporation, Major Lengths Beauty Salon has achieved the following milestones:

• Registered Major Lengths Beauty Salon, LLC to transact business in the state of Arizona.
• Has obtained the necessary salon permits and licenses for the state of California.
• Has a lease contract in place for the 5,000 square foot beauty salon.
• Has developed the complete list of salon services and products.
• Has developed the beauty salon’s logo and branding image.
• Began recruiting a team of stylists, manicurists, and nail technicians.

Major Lengths Beauty Salon Products

The following will be the services Major Lengths Beauty Salon will provide:

Industry Analysis

The Beauty Salon industry is expected to increase in size by 2.5% over the next five years. Demand for industry services mirrors broader economic performance, as economic growth boosts consumer spending on personal care products and services. Specifically, new products and services have favorably contributed to industry revenue growth over the majority of the past five years.

Online platforms such as Instagram and Facebook have provided a convenient and low-cost marketing strategy for many stylists and technicians to garner new clientele. Higher service prices and increased consumer spending on high-margin merchandise and services have also fueled revenue growth, as operators capitalize on rising per capita disposable income. Continued growth in household income over the outlook period is expected to drive consumer spending and boost demand for premium personal care services. Moreover, equipped with larger budgets, consumers will likely continue to favor professional salon products and services, such as hair coloring services, over less expensive alternatives sold at drugstores and supermarkets. Environmental sustainability concerns are expected to become more prevalent over the next five years, leading salons to offer a wider array of eco-friendly products that appeal to trending consumer preferences. Specifically, nontoxic products will likely benefit industry revenue, staff and patrons. This growing niche will likely drive hair salon revenue over the coming years.

Customer Analysis

Demographic profile of target market.

The precise demographics for Glendale, Arizona are:

Customer Segmentation

Major Lengths Beauty Salon will primarily target the following customer profiles:

• Stay at home mothers and fathers
• Working professionals
• College students
• Retired females
• Mothers with adult or teenage daughters

Competitive Analysis

Direct and indirect competitors.

Major Lengths Beauty Salon will face competition from other companies with similar business profiles. A description of each competitor company is below.

Hair Xtreme

Hair Xtreme is located on the west side of Glendale and is owned by a local hair stylist with over 30 years of experience. Hair Xtreme specializes in haircuts and hair coloring services as well as hair color correction. The owner is also certified in Balayage highlighting by the prestigious L’oreal SOHO Academy. Hair Xtreme Beauty Salon was established to create a higher level of service in the Glendale community and has amassed a large clientele. The salon is regarded as the go-to salon for anyone looking for extreme color or haircut transformation. The pricing of services are on the higher end of the spectrum and caters to the community in the middle to higher income range.

Hair Xtreme Beauty Salon’s full list of services include haircuts, balayage, ombre, highlights, color retouch, hair treatments, and special occasion styles. The salon is open Tuesday through Saturday and is by appointment only.

The Complete Package

The Complete Package is not only a hair and nail salon in Glendale, but also provides massage treatment, eyelash extensions, and body treatments. The salon is moderately priced and leans to be more affordable to target the population who doesn’t spend lavishly on beauty services, but also occasionally like to get pampered. Owned and operated by a mother and daughter team of hair stylists, The Complete Package is located in a small retail shopping center in the middle of the city. The salon has been in operation for over 20 years and was founded by Kate Beneducci. She was able to bring The Complete Package into operation due to her experience and background in cosmetics, marketing, and management. Every single stylist is a certified cosmetologist and are all required to attend a mandatory training every year to learn the latest techniques.

The Complete Package’s full list of salon services include hair, makeup, eyelash extensions, and nails. The full list of spa services include waxing, facials, microdermabrasion, massage, and body treatments. The salon regularly posts promotions to increase customer loyalty. The Complete Package is open daily by appointment and is able to take walk-ins Friday through Sunday.

Fringe Beauty Salon and Spa

Fringe Beauty Salon and Spa is located on the west side of Glendale, Arizona and was established in 2013 as a premier beauty salon. Fringe caters to the higher income clientele and their pricing is the most expensive in town. The owner relocated to Glendale to start her own beauty salon after working in the beauty industry in New York and Los Angeles for many years. She did hair and salon services for many celebrities and has been known to be the stylist for awards shows such as the Emmys and Oscars.

As a Glendale native, she relocated to her hometown to provide a higher quality of salon services to the community. The full list of services for Fringe Beauty Salon include haircuts, hair treatments, hair color, balayage, ombre, special occasion, manicures, pedicures, massage, facials, eyelash extensions, waxing, and makeup.

With a luxury atmosphere and relaxing spa environment, Fringe Beauty Salon and Spa is frequently booked for those wanting a full day of pampering.

Competitive Advantage

Major Lengths Beauty Salon will be able to offer the following advantages over their competition:

• Friendly and knowledgeable staff who are all trained and experienced in the latest hair and beauty trends.
• Complete list of beauty salon services intended to provide a full day of pampering and relaxation.
• Casual and comfortable environment with a luxurious feel.
• Major Lengths Beauty Salon offers the best pricing in town for the high quality of services provided. Their pricing structure is the most cost effective compared to the competition.

Marketing Plan

Brand & value proposition.

Major Lengths Beauty Salon will offer the unique value proposition to its clientele:

• Complete list of beauty salon services all provided by trained and knowledgeable hair stylists, manicurists, and aestheticians.
• Pricing is affordable and moderate so customers perceive value when visiting the beauty salon.

Promotions Strategy

The promotions strategy for Major Lengths Beauty Salon is as follows:

Website/SEO Marketing

Major Lengths Beauty Salon has hired an advertising firm to develop their branding image and logo. They will also develop the hair salon’s website. The website will include a full list of services, pricing, and pictures. The advertising company will also manage the company’s website presence with SEO marketing tactics so that anytime someone types in the Google or Bing search engine “Glendale beauty salon” or “beauty salon near me”, Major Lengths Beauty Salon will be listed at the top of the search results.

Word of Mouth/Referrals

Jenna Diaz has a long list of loyal clients that have been with her for decades. They will follow her to the new salon and will receive additional clients from their referrals.

Social Media

Once the branding and logo is finalized, Jenna will use social media to her advantage and create social media business pages on all of the popular social media platforms. She will commit to posting daily to increase the list of followers and use it to regularly engage with customers.

Print Advertising

Major Lengths Beauty Salon will invest in professionally designed print ads to display in local magazines and hand out flyers to local businesses.

The pricing of Major Lengths Beauty Salon will be moderate and on par with competitors so customers feel they receive value when purchasing their salon services.

Operations Plan

The following will be the operations plan for Major Lengths Beauty Salon.

Operation Functions:

• Jenna Diaz will be the Owner and Manager of the beauty salon. She will order salon inventory and products, oversee staff, payroll, and manage customer service.
• Melanie Brooks – Head nail technician that will oversee the nail department.
• Fiona Adams – Head aesthetician that will oversee the facial and massage departments.
• Jenna has hired third party companies to manage the bookkeeping, accounting, tax payments, insurance, and legal requirements.

Milestones:

Major Lengths Beauty Salon will have the following milestones complete in the next six months.

8/1/202X – Finalize retail space for beauty salon

8/15/202X – Begin build-out of beauty salon to include stylist stations, facial and massage rooms, and nail service area

9/1/202X – Order opening inventory

9/15/202X – Begin marketing campaign

9/22/202X – Hire staff of hair stylists, nail technicians, massage therapists, and aestheticians

10/1/202X – Major Lengths Beauty Salon Grand Opening Event

Major Lengths Beauty Salon will be owned and operated by Jenna Diaz, a local Arizona hair stylist and aesthetician. Jenna has made an impressive career helping women achieve their desired look and feel. As an Arizona native, Jenna has attended the local beauty college and attends industry trade shows and training seminars annually. She has amassed a large and loyal clientele and has even done hair treatments, cuts, and facials for local celebrities and sports personalities. Jenna is committed to establishing a beauty salon in her hometown of Glendale and making it a place where the women and men flock to when they want the latest hairstyle, manicure, or facial.

While the three of them will be in charge of their respective department, Jenna will be the head manager to oversee the entire operation of the beauty salon. She will also outsource a third party insurance company, CPA, and attorney to take care of her insurance, legal obligations, and tax filings. Jenna will also employ a part time bookkeeper to handle her day to day accounting and payroll of staff.

Financial Plan

Key revenue & costs.

The revenue drivers for Major Lengths Beauty Salon are the sales from hair services, nail services, massages and facials.

The cost drivers will be the overhead costs required to staff the beauty salon. The expenses will be the payroll cost, rent, utilities, salon inventory, and marketing materials.

Funding Requirements and Use of Funds

Major Lengths Beauty Salon is seeking $100,000 in debt financing to open the beauty salon. The funding will be dedicated towards securing the retail space and purchasing the salon furniture, equipment, decorations, opening inventory, and working capital. Jenna will need to allocate funds for the first three months of payroll and operating expenses as well as spend approximately on branding and marketing. The breakout of the funding is below:

Key Assumptions

The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.

• Number of Beauty Salon Services Sold Per Month: 300
• Average Revenue per Month: $20,000
• Beauty Salon Lease per Year: $110,000

Financial Projections

Income statement, balance sheet, cash flow statement, beauty salon business plan template faqs, what is a beauty salon business plan.

A beauty salon business plan is a plan to start and/or grow your beauty salon. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can  easily complete your beauty salon business plan using our Beauty Salon Business Plan Template here .

What are the Main Types of Beauty Salons?

There are a number of different kinds of beauty salons, some examples include: Beauty salon focusing strictly on hair styling, beauty salon offering hair removal services, skin care services, nail services, tanning services, or massage services, and beauty salon offering products.

How Do You Get Funding for Your Beauty Salon Business Plan?

Beauty salons are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding. This is true for a business plan for a beauty salon or a hair salon business plan.

Why do You Need a Business Plan Template?

If you’re looking to start a beauty salon business  or grow your existing salon business, you need a business plan. A hair salon business plan template will help you raise funding, if needed, and plan out the growth of your beauty salon in order to improve your chances of success. Your salon business plan is a living document that should be updated annually as your company grows and changes.

Where Can I Get a Beauty Salon Business Plan PDF?

You can download our free beauty salon business plan template PDF here . This is a sample beauty salon business plan template you can use in PDF format.

Related Sectors and Templates

Beauty Supply Store Business Plan Template Spa Business Plan Template Nail Salon Business Plan Template

Beauty Salon Business Plan Template

If you want to start a beauty salon business or expand your current one, you need a business plan.

Over the past 20+ years, we have helped over 5,000 entrepreneurs and business owners create business plans to start and grow their beauty salons.

Below are links to each section of an example beauty salon business plan template:

Next Section: Executive Summary >

Beauty Salon Business Plan FAQs

What is the easiest way to complete my beauty salon business plan, where can i download a beauty salon business plan pdf, what is a salon business plan or beauty bar business plan.

A business plan provides a snapshot of your salon as it stands today, and lays out your growth plan for the next five years. It explains your business’s goals, business model, the type of services you will offer (beauty services, spa services, nail services, skin care services and/or hair salon services), management team, target market, and a marketing plan for the many ways you can reach new and existing clients. It also includes market research to support your plans and allow you to find the perfect salon location.

A comprehensive financial plan is also key to include so you can show investors the potential viability of your business.

Why Do You Need a Business Plan for a Beauty Salon?

What are the sources of funding for a beauty salon.

With regards to funding, the main sources of funding for a new beauty salon are bank loans and angel investors. With regards to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable. But they will want to see a professional salon business plan. Such a plan will give them the confidence that you can successfully and professionally operate your own business.

The second most common form of funding for any type of salon is angel investors. Angel investors are wealthy individuals who will write you a check. They will either take equity in return for their funding, or, like a bank, they will give you a loan. 

This is all true for a new salon business plan or a plan to grow an existing salon business.

BEAUTY SALON BUSINESS PLAN OUTLINE

• Beauty Salon Business Plan Home
• 1. Executive Summary
• 2. Company Overview
• 3. Industry Analysis
• 4. Customer Analysis
• 5. Competitive Analysis
• 6. Marketing Plan
• 7. Operations Plan
• 8. Management Team
• 9. Financial Plan
• 10. Appendix
• Beauty Salon Business Plan Summary

Other Helpful Business Plan Articles & Templates

Beauty Salon Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business ideas » Beauty Care Industry » Beauty Salon

Are you about starting a beauty salon ? If YES, here’s a complete sample beauty salon business plan template & feasibility report you can use for FREE to raise money .

If you are conversant with the aphorism that says; ‘ looking good is good business’ , then you will agree that those who are at the helms of affair in the beauty trade knows how great and relevant it is to continue to be relevant in the industry.

Suggested for You

• Beauty Salon and Day Spa Business Plan [Sample Template]
• Hair Salon Business Plan [Sample Template]
• 14 Best Types of Mirror for Beauty Salons
• Can You Get a Lease On Salon Equipment With Bad Credit?
• Can You Do Nails Without a License?

As a matter of fact, the art of looking good is one activity nearly all women love to partake in. This is because of the point that they do not like to be seen as shabby looking. It is for this reason that some women do not mind to go to any length to look and feel good.

One of the ways through which these women try to look their best is by making sure they get all their beauty fantasies and desires adequately met.

They see to it that they have the hair done, nails done; they get the best makeup and spa treatments amongst others. This is why the beauty salon business has come to stay for a very long time to come.

If you think that starting a beauty salon is what you want to do, then care must be taken to do the adequate and needful research that will help you operate and launch out at the optimum. Below is a sample beauty Salon business plan template.

A Sample Beauty Salon Business Plan Template

1. industry overview.

A beauty salon trade is one industry that promises to fulfill the fantasies and needs of women who love to look and feel their best at all times.

Some of the offerings at a beauty salon include; hair perming, nail grooming, manicure, pedicure, fixing of hair weaves, braiding, amongst many others.

It is important to note that most beauty salons also offer spa services. This is so that they can give their clients an all-round beauty experience.

There are around 400,000 beauty salons in the united states of America. Those who are employed to offer the services of the nails are known as the hair stylists.

Beauty salons are also known to offer some skin beauty services. Some of these services include; waxing, skin polishing, microderm abrasion and what have you.

Research has shown that those who work in the United States of America make good money from it because of the teeming population of people who seek the services of these beauty salons. The population of people who work at the salons include; immigrants, Africans, Spanish people, and a whole lot more.

The training required for the beauty salon work is small and inexpensive; the work does not require high level of qualification so far as you are able to communicate with your clients without difficulty. In the same vein, the amount of capital is not much compared with if you had to open some other businesses that needed a huge capital base.

2. Executive Summary

Simply Cute Beauty salon is a classy beauty salon that will be opened in Manhattan, New York, America. We have chosen New York because we think that it would be an amazing opportunity to have the crème de la crème in the society and in showbiz visit our nail hub.

The business will be run as a very standard beauty salon coy, and we shall see it that all clients from old to young are given the very best of services. Our services will cover areas such as; hair perming, relaxing of hair, manicure, pedicure, nail painting, nail fixing, nail trainings, fixing of weaves, braiding, and the sales of other beauty related stuff.

We are aware that businesses these days require diverse and sophisticated approaches. This is why we will be sure to be abreast with the creativity and trend which the trade is exposed to.

We shall also be involved in the training of budding entrepreneurs who may want to venture into this industry. Even though starting a nail salon might look really pretty easy to start,   we intend to bring in strict professionalism that will make up stand out.

Simply- Cute Beauty salon is primarily focused to help its clients look their very best at all times. We would try as much as lies within our power to surpass the expectations of people. Our prices would also be very affordable; we do not want to scare our new clients away with our pricing.

As a matter of fact, we plan to lower our pricing so that we can gain good grounds within our startup period. We plan to hire the best hands in the city of New York to help us drive our biasness.

This is one of the reasons why     who do not mind to pay our employees well because we know that we are striving for a goal and that is the goal of gaining loads of clients. In addition, much more than just satisfying our clients, we also want to see new entrepreneurs empowered by us, as they emerge to start their own nail salon business.

We shall also be involved in the sponsoring of various programs that are hosted in the locality which we are located. Shows like fashion shows, hair exhibitions, entertainment shows, amongst many others. This is o that we are able to give a good account of ourselves as we launch out.

3. Our Products and Services

We shall be known to offer strict professional beauty related services at all times. This is so that we do not deviate from our core. Here below are some of our business offerings that we are to be known for in Manhattan New York;

• Fixing of artificial nails
• Braiding of hair
• Fixing of weaves
• Skin waxing
• Skin polishing
• Perming of hair
• Training of budding entrepreneurs
• Sale of nail accessories
• Sale of women accessories
• Sale of makeup stuff

4. Our Mission and Vision Statement

• Our vision is to provide our teeming clients with the best of beauty services, such that is hard to experience in Manhattan, New York.
• We strive to achieve this with our overly trained stylists and attendants and the ambience which our beauty salon has to offer.
• Our mission is to provide professional and creative service to our clients- thereby meeting their beauty needs at all times.

Our Business Structure

At Simply- Cute beauty salon, we know that having a solid structure will make us drive our beauty business really smoothly.

Therefore, we will build a firm business structure that can support the growth of our business. We will ensure that we hire competent hands to help us build the business of our dream. Below is the business structure that we will build simply- cute beauty Salon

• Chief Executive Officer

Salon Manager

• Accountant/Cashier
• Front desk officer
• Hair stylist 1
• Hair stylist 2
• Hair stylist 3
• Sales attendant

5. Job Roles and Responsibilities

Chief Executive Office

• Responsible for providing direction for the beauty salon.
• Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall salon strategy.
• Responsible for building a strong customer care system.
• Responsible for fixing prices and signing business deals
• Responsible for signing checks and documents on behalf of the company
• Evaluates the success of the business.
• Reports to the board about the salon.
• Coordinates training programs for budding entrepreneurs.
• Handle all paper documents for the coy.
• Identifies training and development needs for the employees through job analysis, appraisals and consultation
• Designs job descriptions
• Regularly hold meetings with key stakeholders to review the effectiveness of HR Policies, Procedures and Processes
• Facilitates and coordinate strategic sessions.
• Works directly with the chief executive officer
• Responsible for preparing financial reports, budgets, and financial statements for the organization
• Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
• Responsible for financial forecasting and risks analysis.
• Performs cash management, general ledger accounting, and financial reporting for one or more properties.
• Responsible for developing and managing financial systems and policies
• Responsible for administering payrolls
• Ensures compliance with taxation legislation
• Handles all financial transactions for the company
• Serves as internal auditor for the company

Front Desk Officer

• Receives Visitors / clients on behalf of the organization
• Receives parcels / documents for the company
• Handles enquiries via e-mail and phone calls for the organization
• Distribute mails in the organization
• Handles any other duties as assigned my the line manager

Hair Stylist 1, 2 and 3

• Sees to it that the   client gets exactly what they wanted.
• Creates styles that are creative
• Gives clients a lifetime experience for patronizing

6. SWOT Analysis

Simply- cute beauty salon has engaged the services of a core professional in the area of business consulting and beauty to assist the firm in building a solid beauty one stop shop that can favorably compete in the highly competitive beauty industry.

Part of what our team of business consultant did was to work with the management of our beauty salon in conducting a SWOT analysis for our salon.

Simply- cute beauty salon is very dear and promising to us. We believe that what they have come up with is in our own best interest and that is why we aren’t in any way going to joke with their findings. Here is a summary from the result of the SWOT analysis that was conducted on behalf of simply- cute beauty salon.

Our core strength lies in the power of our team; our workforce. We have a team – made up of the Vietnamese women and other immigrants that can go all the way to give our clients value for their money. We are well positioned and we know we will attract loads of clients from the first day we open our doors for business.

As a new beauty salon in the area we have decided to operate from, it might take some time for our organization to break into the market; that is perhaps our major weakness.

• Opportunities:

The opportunities in the beauty salon industry can be said to be very promising despite the high level of competition that abounds. One of the opportunities is the fact that there are loads of people that engage the services of manicurists, and we will strive to be the leading ones.

Some of the threats that we are likely going to face as a beauty salon operating in the United States are unfavorable government policies, the arrival of a competitor within our location of operations and new trends in trade that often affect patronage.

There is hardly anything we could do regarding this threats other than to be optimistic that things will continue to work for our good.

7. MARKET ANALYSIS

• Market Trends

Quite a number of distinct trends have emerged in recent times in the beauty industry which is why beauty salons are positioning their organizations to attract all and sundry. As a matter of fact, this is one of the things that makes most nail studios to spruce up their creativity level so that they

In this type of business, one of the things that could possibly make one stand out from the competitive crowd is having a top notch customer service. If possible there is the need to place a follow up calls to all clients from time to time. Those who are known to engage in such exercises have come to know that they attract more and more clients as the days go by.

In addition, no matter how bad the economy may be, people still fund or rather still deem it very important to have their nails done. This simply means that there would be more money coming into the coffers of those who operate the business, even though the economy bites hard at the people.

8. Our Target Market

The target market which we are all out to serve are primary the female folks. This is because of the fact that they are the ones who will leave no stone unturned in seeing that they look their best. Whilst some may do this to continue to be attractive to their partners, yet others cannot just do without looking good.

As such, our target market cuts across all sectors.  Also our beauty salon will have a variety of practice areas to help budding nail manicurists grow. Our target market cuts across women of different class and people from all walks of life, local and international organizations as well.

We are coming into the industry with a business concept that will enable us work with the highly placed people and celebrities in the country and at the same with the lowly placed people and smaller businesses.  In other words, our target market is the whole of the United States of America and subsequently other parts of the world. Below is a list of the people and organizations that we have specifically designed our services for;

• Females in the Banks, Insurance Companies and other related Financial Institutions
• Females in Businesses and Entrepreneurs
• College students

Our competitive advantage

A close study of the beauty industry reveals that the market has become much more intensely competitive over the last decade. As a matter of fact it is becoming really tough to break even in this market because of the number of people who are in it.

However, we are also aware that this hasn’t deterred people from braking even and smiling to the bank. This is one of the reasons why we have added other services that are beauty related, this is so that we do not miss out in any way.

Beauty salon may be a new entrant into the business beauty industry in the United States of America, but the management staffs and board members are considered gurus. They are people who are core professionals and licensed and highly qualified beauticians in the United States. These are part of what will count as a competitive advantage for us.

Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category in the industry meaning ;that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives.

9. SALES AND MARKETING STRATEGY

• Sources of Income

It is the wish of every business to generate income at all times and our beauty salon is one of such businesses. Simply – Cute beauty Salon is established with the aim of maximizing profits in the beauty industry and we are going to go all the way to ensure that we do all it takes to attract clients on a regular basis and sign retainer – ship with most of our clients.

Hence, there are several ways through which we plan to make this money at all times. Simply- Cute beauty salon will generate income by offering the following services;

• Fixing of hair weaves
• Skin treatment
• Spa treatments
• Fixing of acrylic nails
• Fixing of French nails
• Sale of other female accessories
• Training people of the art of nail care and fixing
• Home services in all the aspects listed above

10. Sales Forecast

There will always be a need to do some business and sales forecasting as a business. This is because of the drive it gives one to achieve it. In the same vein, simply- Cute beauty salon has several sale projections that we will be all out to achieve.

For as long as there are female folks in New York, we know that we will be able to reach our sales goals in no distant time.

We are well positioned to take on the available market in the U.S. and we are quite optimistic that we will meet our set target of generating enough income / profits from the first six month of operations and grow the business and our clientele base beyond New York City, New York to other states in the U.S. and even the global market.

We have been able to critically examine the beauty market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projection is based on information gathered on the field and some assumptions that are peculiar to startups in New York.

Below is the sales projection for simply- Cute beauty Salon. It is based on the location of our nail salon and the wide range of other addendum services we will be offering;

• First Year-: $100,000
• Second Year -: $250,000
• Third Year-: $700,000

N.B : This projection is done based on what is obtainable in the industry.

• Marketing Strategy and Sales Strategy

We are mindful of the fact that there is stiffer competition amongst nail salons in United States of America; hence we have been able to hire some of the best business developer to handle our sales and marketing. Our sales and marketing team will be recruited based on their vast experience in the industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of the organization.

We will also ensure that our excellent job deliveries speak for us in the marketplace; we want to build a standard beauty business that will leverage on word of mouth advertisement from satisfied clients (both individuals and organizations).

Our goal is to grow our beauty salon to become one of the top 20 salons in the United States of America which is why we have mapped out strategy that will help us take advantage of the available market and grow to become a major force to reckon with not only in the U.S but in the world stage as well.

Simply – Cute beauty salon is set to make use of the following marketing and sales strategies to attract clients;

• Introduce our business by sending introductory letters alongside our brochure to organizations and key stake holders in New York and other parts of the U.S.
• Advertise our business in relevant business magazines, newspapers, TV stations, and radio station.
• List our business on yellow pages ads (local directories)
• Attend relevant international and local expos, seminars, and business fairs et al
• Create different packages for different category of clients.
• Leverage on the internet to promote our business
• Engage direct marketing approach
• Encourage word of mouth marketing from loyal and satisfied clients

11. Publicity and Advertising Strategy

We have been able to work with our in house consultants and other brand and publicity specialist to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market.

We are set to take the consulting industry by storm which is why we have made provisions for effective publicity and advertisement of our beauty based business. Below are the platforms we intend to leverage on to promote and advertise simply- Cute beauty salon business;

• Place adverts our consulting firm on both print and electronic media platforms
• Sponsor relevant TV shows and radio programs
• Maximize our firm’s website to promote our business
• Leverage on the internet and social media platforms like; Instagram, Facebook ,Twitter, LinkedIn, Badoo, Google+ and other platforms (real estate online forums) to promote our business.
• Offer Pro Bono services as part of our community social responsibility via fashion shows, beauty exhibitions and what have you.
• Brand all our official cars.

12. Our Pricing Strategy

One of the ways through which we know that we will be able to get more clients within a short period of time is when our pricing is on the moderate level. Being on the moderate level means that we are able to maximize profit in a ways that doesn’t put holes in the pocket of pour clients.

As such, we are looking at lowering our price a bit below that of our competitors, so that we can gain good grounds in the market and become a household name and a force to reckon with. This is very important because when our pricing becomes too high, the clients may have the options of switching over to our competitors and we do not want that to happen in any way.

So, we are poised to keep our fees below the average market rate for all of our clients by keeping our overhead low and by collecting payment in advance. In addition, we will also offer special discounted rates to newbies and clients who have some special occasions like Birthdays.

This means that for clients whose special days we remember, we will invite them over to the salon on that special day and then offer our services for free to them. We will also make sure that we do not lower our quality in any way because we are offering these services for free.

We are also aware that there are some clients that would need regular home services, as well as need some consultancy and advisory services and assistance on how they can launch their own beauty salon business, we will offer flat rate for such services that will be tailored to take care of such clients’ needs.

• Payment Options

We know too well that we will be dealing with different types of clients, and that is one of the reason why we shall have different payment options to cater to all and sundry. At Simply- Cute Salon, our payment policy will be all inclusive because we are quite aware that different people prefer different payment options as it suits them. Here are the payment options that we will make available to our clients;

• Payment by via bank transfer
• Payment via online bank transfer
• Payment via check
• Payment via bank draft
• Payment with cash

In view of the above, we have chosen banking platforms that will help us achieve our plans with little or no itches.

13. Startup Expenditure (Budget)

Starting a beauty salon trade can be cost effective; this is so because on the average, you are not expected to procure any expensive machines and equipment.

Basically what you should be concerned about is the amount needed to secure a standard office facility in a good and busy business district, the amount needed to furniture and equip the office, the amount needed to pay bills, promote the business and obtain the appropriate business license and certifications. Basically, this is the area we are looking towards spending our start – up capital on;

• The Total Fee for incorporating the Business in New York – $750.
• The budget for Liability insurance, permits and license – $2,500
• The Amount needed to acquire a suitable Office facility in a business district 6 months (Re – Construction of the facility inclusive) – $40,000.
• The Cost for equipping the office (computers, printers, fax machines, furniture, telephones, fittings, safety gadgets and electronics, hair equipment et al) – $2,000
• The Cost of Launching your official Website – $600
• Budget for paying at least two employees for 3 months and utility bills – $30,000
• Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,500
• Miscellaneous – $1,000

Going by the report from the research and feasibility studies, we will need about $150,000 to set up a small scale but standard consulting firm in the United States of America.

Generating Funding / Startup Capital for Simply- Cute Beauty Salon

Simply- Cute beauty salon is going to start as a private business that will be solely owned by Mrs. Andrews. She will be the sole financial of the firm, but may likely welcome partners later which is why he has decided to restrict the sourcing of her start – up capital to 3 major sources. These are the areas we intend generating our start – up capital;

• Generate part of the start – up capital from personal savings
• Source for soft loans from family members and friends
• Apply for loan from my Bank

N.B: We have been able to generate about $50,000 (Personal savings $40,000 and soft loan from family members $10,000) and we are at the final stages of obtaining a loan facility of $100,000 from our bank. All the papers and document has been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

14. Sustainability and Expansion Strategy

It is easier for businesses to survive when they have steady flow of business deals / customers patronizing their products and services. We are aware of this which is why we have decided to offer a wide range of nail beauty services to both big and small clients.

We know that if we continue to deliver excellent hair services and general beauty services, there will be steady flow of income for the organization. Our key sustainability and expansion strategy is to ensure that we only hire competent employees- like the very experienced Vietnamese ladies.

We will create a conducive working environment that will add to the wealth of experience that our team has. In the nearest future, we will explore the options of either merging with other beauty related businesses in the industry, in order for us to increase our market share.

We know that if we implement our business strategies, we will grow our nail salon business beyond New York City, New York to other states in the U.S in record time.

Check List / Milestone

• Business Name Availability Check:>Completed
• Business Incorporation: Completed
• Opening of Corporate Bank Accounts various banks in the United States: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of All form of Insurance for the Business: Completed
• Conducting Feasibility Studies: Completed
• Generating part of the start – up capital from the founder: Completed
• Applications for Loan from our Bankers: In Progress
• Writing of Business Plan: Completed
• Drafting of Employee’s Handbook: Completed
• Drafting of Contract Documents: In Progress
• Design of The Company’s Logo: Completed
• Graphic Designs and Printing of Packaging Marketing / Promotional Materials: Completed
• Recruitment of employees: In Progress
• Purchase of the Needed furniture, office equipment, electronic appliances and facility facelift: In progress
• Creating Official Website for the Company: In Progress
• Creating Awareness for the business (Business PR): In Progress
• Health and Safety and Fire Safety Arrangement: In Progress
• Establishing business relationship with key players in the industry: In Progress

Hair Salon Business Plan Template & PDF Example

• September 4, 2024

Creating a comprehensive business plan is crucial for launching and running a successful hair salon. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your salon’s identity, navigate the competitive market, and secure funding for growth.

This article not only breaks down the critical components of a hair salon business plan, but also provides an example of a business plan to help you craft your own.

Whether you’re an experienced entrepreneur or new to the beauty industry, this guide, complete with a business plan example, lays the groundwork for turning your hair salon concept into reality. Let’s dive in!

Our hair salon business plan is structured to cover all essential aspects needed for a comprehensive strategy. It outlines the salon’s operations, marketing strategy, market environment, competitors, management team, and financial forecasts.

• Executive Summary : Offers an overview of your hair salon’s business concept, market analysis , management, and financial strategy.
• Salon & Location : Describes the salon’s design, amenities, and why its location is appealing to potential clients.
• Treatments & Pricing : Lists the services provided by your hair salon, including treatments and pricing structure.
• Key Stats : Shares industry size , growth trends, and relevant statistics for the hair salon market.
• Key Trends : Highlights recent trends affecting the hair and beauty sector.
• Key Competitors : Analyzes main competitors nearby and how your salon differs from them.
• SWOT : Strengths, weaknesses, opportunities, and threats analysis.
• Marketing Plan : Strategies for attracting and retaining customers.
• Timeline : Key milestones and objectives from start-up through the first year of operation.
• Management : Information on who manages the hair salon and their roles.
• Financial Plan : Projects the salon’s 5-year financial performance, including revenue, profits, and expected expenses.

Hair Salon Business Plan Template (Download)

Fully editable 30+ slides Powerpoint presentation business plan template.

Download an expert-built 30+ slides Powerpoint business plan template

Executive Summary

The Executive Summary introduces your hair salon’s business plan, offering a concise overview of your salon and its services. It should detail your market positioning, the range of hair care and styling services you offer, its location, size, and an outline of day-to-day operations.

This section should also explore how your hair salon will integrate into the local market, including the number of direct competitors within the area, identifying who they are, along with your salon’s unique selling points that differentiate it from these competitors.

Furthermore, you should include information about the management and co-founding team, detailing their roles and contributions to the salon’s success. Additionally, a summary of your financial projections, including revenue and profits over the next five years, should be presented here to provide a clear picture of your salon’s financial plan.

Hair Salon Business Plan Executive Summary Example

Business Overview

A concise overview is pivotal, introducing essential details like the salon’s name, location, and a snapshot of its core services.

These details set the stage for your hair salon, framing its unique characteristics. A unique selling proposition (USP) distinguishes your salon. Whether it’s specialized expertise in hair coloring techniques, a focus on trendsetting styles, or exceptional client service, highlight this USP in your executive summary to showcase your salon’s distinctive value proposition.

Example: “GlamStrands Hair Studio,” strategically positioned in the heart of Trendy City Center, occupies a spacious 2,500 square feet area on Style Avenue. We specialize in a wide spectrum of hair services, including precision haircuts, coloring, styling, extensions, and bespoke event updos. Our USP lies in expertly curated trends and a focus on personalized consultations, ensuring tailor-made hair experiences for every client.

Market Overview

Understanding market dynamics and your position within them is crucial. This section should underscore the potential of the local haircare and styling market, supported by relevant data such as market value and growth rates. Discussing trends, such as the growing demand for innovative coloring techniques or customizable styling services, illuminates your salon’s positioning within the evolving landscape.

Additionally, it highlights the competitive landscape. Identify key competitors and elucidate how your salon stands out amidst the competition. Whether through specialized skills, cutting-edge styling equipment, or exceptional client satisfaction, emphasize how your salon differentiates itself.

Example: In the local haircare and styling market of Trendy City Center, valued at $4 million annually with an 8% growth rate, GlamStrands Hair Studio leads with an emphasis on bespoke styling and a comprehensive range of services. Amidst competition, our commitment to personalized client experiences positions us as the preferred choice for clients seeking expert haircare and trendsetting styles.

Management Team

Highlight the expertise and background of your management team, showcasing their capabilities in driving salon success.

This could include your salon director’s extensive experience in salon management or your marketing lead’s proficiency in brand promotion. Demonstrating the team’s competency builds credibility and assures potential investors and partners of your salon’s potential for success.

Example: At GlamStrands Hair Studio, Nathan Smith, with over a decade of expertise in haircare and salon management, leads operations. Supported by a team of skilled hairstylists and a marketing director well-versed in client relationship management, the salon maintains a focus on delivering superior client care and innovative styling experiences.

Financial Plan

Provide an overview of your financial goals and projections, offering insights into revenue targets, profit margins, and anticipated growth trajectories.

Example: GlamStrands Hair Studio aims for a projected revenue of $1.5 million annually by 2027, targeting a 17% EBITDA profit margin. Investment in cutting-edge hairstyling equipment and a strong focus on superior client care, complemented by innovative marketing strategies, drive anticipated growth and profitability within the local market.

For a Hair Salon, the Business Overview section can be concisely divided into 2 main slides:

Salon & Location

Briefly describe the salon’s physical environment, emphasizing its design, comfort, and the overall atmosphere that welcomes clients. Mention the salon’s location, highlighting its accessibility and the convenience it offers to clients, such as proximity to shopping centers or ease of parking. Explain why this location is advantageous in attracting your target clientele.

Treatments & Pricing

Detail the range of hair treatments and services offered, from basic cuts and styling to specialized treatments like coloring, extensions, or keratin smoothing. Outline your pricing strategy , ensuring it reflects the quality of services provided and matches the market you’re targeting. Highlight any packages, membership deals, or loyalty programs that provide added value to your clients, encouraging repeat business and customer loyalty.

Industry Size & Growth

In the Market Overview of your hair salon business plan, start by examining the size of the hair care industry and its growth potential. This analysis is crucial for understanding the market’s scope and identifying expansion opportunities.

Key Market Trends

Proceed to discuss recent market trends , such as the increasing consumer interest in personalized hair care services, organic and sustainable products, and innovative styling techniques. For example, highlight the demand for services that cater to specific hair types and concerns, alongside the rising popularity of eco-friendly salons.

Competitive Landscape

A  competitive analysis  is not just a tool for gauging the position of your hair salon in the market and its key competitors; it’s also a fundamental component of your business plan. This analysis helps in identifying your salon’s unique selling points, essential for differentiating your business in a  competitive  market.

In addition, competitive analysis is integral in laying a solid foundation for your business plan. By examining various operational aspects of your competitors, you gain valuable information that ensures your business plan is robust, informed, and tailored to succeed in the current market environment.

Identifying your competitors in the Hair Salon Industry

Begin by mapping out local hair salons, stylists, and beauty centers in your vicinity. Different types of competitors exist in the hair care industry, ranging from traditional salons to specialized boutiques and freelance stylists. Explore salons offering similar services, including haircutting, coloring, styling, and specialized treatments.

Utilize digital platforms such as Google Maps and business directories to gain a geographical perspective of competitor locations. Additionally, customer review platforms like Yelp or specialized salon booking apps can provide invaluable insights into competitors’  strengths and weaknesses  based on customer feedback.

Hair Salon Competitors’ Strategies

To conduct a thorough analysis, consider the following key aspects:

• Service Offerings:  Assess the range of services offered by competitors. Some salons may focus on specific services like keratin treatments, extensions, or eco-friendly hair care, catering to niche markets and customer preferences.
• Stylist Expertise:  Evaluate the expertise and specialization of hairstylists. A salon renowned for its experienced colorists might appeal to a different clientele compared to a salon with stylists known for avant-garde cuts and styles.
• Pricing Structure:  Compare pricing models with competitors. Analyze whether your salon’s pricing aligns with budget-friendly options, mid-range competitors, or premium salons offering luxury services.
• Marketing Strategies :  Investigate how competitors market their services. Some salons might leverage social media influencers or run targeted digital advertising, while others rely on referral programs or partnerships with local businesses for promotion.
• Client Experience:  Consider the overall customer experience. For instance, a salon might differentiate itself by offering personalized consultations, a luxurious ambiance, or additional complimentary services like scalp massages or beverage offerings.
• Technological Integration:  Observe if competitors utilize technology for convenience. Some salons might excel in online booking systems, virtual consultations, or implementing cutting-edge hair care technology.

What’s Your Salon’s Unique Value Proposition?

Reflect on what sets your salon apart. It could be specialized services like organic hair treatments, a focus on sustainable practices, or a signature line of hair care products exclusively available at your salon.

Identify gaps in the market through client feedback and industry trends. For instance, rising demand for inclusive services for diverse hair textures or the integration of wellness elements like meditation or aromatherapy into salon experiences could represent untapped opportunities.

Consider your salon’s location and its impact on services and ambiance. A salon situated in a bustling urban area might emphasize efficiency and modernity, while a salon in a suburban locale might prioritize a relaxed, family-friendly atmosphere.

First, conduct a SWOT analysis for the hair salon, highlighting Strengths (such as expert stylists and a wide array of services), Weaknesses (including high operational costs or strong competition), Opportunities (for example, an increasing trend in personal grooming and beauty care), and Threats (such as economic downturns that may decrease consumer spending on luxury services).

Marketing Plan

Next, develop a marketing strategy that outlines how to attract and retain clients through targeted advertising, promotional discounts, engaging social media presence, and community involvement.

Marketing Channels

Choosing suitable marketing channels is crucial to engaging and attracting potential clients effectively.

Digital Marketing

In today’s digital era, a robust online presence is indispensable for salon success.

• Social Media Presence:  Utilize platforms such as Instagram, Facebook, and TikTok to showcase an array of stunning hairstyles created at your salon. 
• Email Marketing:  Develop an email marketing strategy to maintain regular communication with your clients. 
• Website and SEO:  Invest in a professional website that serves as a digital storefront for your salon. Ensure that it includes a gallery showcasing your salon’s portfolio, client testimonials, stylist profiles, a blog section featuring hairstyling tips and advice, and an easy-to-use appointment booking system. 

Local Advertising

• Print Media and Flyers:  Design eye-catching flyers and brochures that highlight your salon’s services, promotions, and contact information. Distribute these materials in high-traffic areas such as local cafes, gyms, shopping malls, and community centers.
• Community Engagement:  Establish a strong presence in your local community by participating in various events and initiatives. Sponsor or participate in local festivals, fairs, or charity events, offering hairstyling demonstrations, free consultations, or vouchers for discounted salon services. 
• Influencer Collaborations:  Partner with local influencers or beauty bloggers whose style aligns with your salon’s brand ethos. Invite them for a salon visit to experience your services firsthand and share their positive experiences with their followers on social media platforms.
• Cross-Promotions:  Forge strategic alliances with complementary businesses such as beauty product retailers, fashion boutiques, or makeup artists. 

Promotional Activities

Engage potential clients through compelling offers and loyalty programs.

• Seasonal Offers : Create seasonal promotions tailored to specific times of the year, such as ‘Holiday Hairstyle Makeover’ or ‘Summer Hair Color Refresh’. 
• Loyalty Rewards:  Launch a tiered loyalty program that rewards frequent visitors with exclusive perks, discounts, or special treatment. 
• Referral Incentives:  Encourage your satisfied clients to refer friends, family, or colleagues to your salon by offering them incentives. 

Sales Channels

Implementing effective sales strategies is vital for revenue growth and client satisfaction.

In-Salon Upselling

• Maximize Revenue:  Train your stylists to provide personalized recommendations for additional services or hair treatments to enhance each client’s salon experience. 
• Retail Products:  Display a curated selection of high-quality haircare products, styling tools, and accessories prominently within your salon. 
• Package Deals:  Offer bundled services or package deals to incentivize clients to try multiple services or treatments at a reduced rate. For instance, create packages like ‘Cut & Color Combo’ or ‘Bridal Hairstyling Package’ that combine various services into one attractive offer.

Online Booking and Sales

• Seamless Booking Experience:  Enhance convenience for your clients by providing an intuitive and user-friendly online booking system integrated into your salon’s website and social media platforms.
• E-commerce Integration:  Extend your salon’s offerings beyond the physical space by retailing haircare products, accessories, or gift cards through your website.
• Virtual Consultations:  Introduce virtual consultations where clients can receive personalized hairstyling advice, recommendations, or tips from their stylists via video calls. 

Membership and Loyalty Programs

Encourage repeat business and foster long-term relationships with your clients.

Membership Options

• Subscription-Based Plans : Design subscription-based membership programs that offer clients regular services at a discounted rate. For instance, offer a monthly membership including services like haircuts, styling, or treatments at a reduced price to encourage recurring visits.
• Exclusive Benefits:  Provide members with exclusive privileges such as priority booking, access to premium services, or special events. 
• Personalized Rewards:  Analyze client spending patterns and preferences to offer personalized rewards or incentives that align with their interests or previous purchases. 

Strategy Timeline

Finally, create a detailed timeline that outlines critical milestones for the hair salon’s opening, marketing efforts, client base growth, and expansion objectives, ensuring the business moves forward with clear direction and purpose.

The Management section focuses on the hair salon’s management and their direct roles in daily operations and strategic direction. This part is crucial for understanding who is responsible for making key decisions and driving the salon towards its financial and operational goals.

For your hair salon business plan, list the core team members, their specific responsibilities, and how their expertise supports the business.

The Financial Plan section is a comprehensive analysis of your financial projections for revenue, expenses, and profitability. It lays out your hair salon’s approach to securing funding, managing cash flow, and achieving breakeven.

This section typically includes detailed forecasts for the first 5 years of operation, highlighting expected revenue, operating costs and capital expenditures.

For your hair salon business plan, provide a snapshot of your financial statement (profit and loss, balance sheet, cash flow statement), as well as your key assumptions (e.g. number of customers and prices, expenses, etc.).

Make sure to cover here _ Profit and Loss _ Cash Flow Statement _ Balance Sheet _ Use of Funds

Related Posts

Pure Sweat Sauna Studio Franchise Costs $393K – $668K (+ 2024 Profits)

• March 7, 2024

Perspire Sauna Studio Franchise FDD, Profits, Costs & Fees (2024)

House of Colour Franchise FDD, Profits, Costs & Fees (2024)

Privacy overview.