Do you have a beauty parlour business plan in mind? Here is an easy guide for starting your hair salon. These steps will ensure to clear out all your doubts regarding the beginning stages of your business and it is well organised and legally compliant from the get go.
Did You Know?
India's salon industry was worth $3.5 billion in 2015 and is growing 20% annually. About 25% of the sector comprises 5,000 franchises worth $1 billion in value; the remaining comprises small to mid-sized chains and independent stores. So, opening a salon business in India can be pretty lucrative.
How Do You Start a Salon in India?
Like any other business, a salon business requires careful planning. To ensure that your salon's beauty business has long term success, the primary thing you must do is to establish its business plan. You must determine the amount of investment you want to make to do this business.
Once you have a good idea of the amount that a client will spend in your salon, think about the types of tools you are going to purchase for the shop. You must think about everything in your salon business. For example, the interiors, targeted audience, monthly rental, business investments and return of investment are a few key pointers to keep in mind. After that, you need to create a business plan you can present to investors.
Also Read: Beauty Parlor Business in India
Types of Services You can Provide
It's all about the kind of service you offer to your customers. It's crucial because based on the service you plan to offer, you will be able to classify your salon's style.
There are various products and services available in the beauty industry. However, they are all specifically designed for one or more particular services like:
- Spa centre
- Traditional beauty salons or a beauty parlour.
- Reflexology centre
- Wellness centre
- Clinic for skin and hair
- Cosmetology centre
What is the Investment You Will Require?
Many businesses require large initial expenses. However, investing too much money can be risky when starting. Be aware of your total costs such as purchase of beauty equipment, rent, salary, etc.
- Investor: Investors seek growth in business, potential expansion and quality products for beauty and health. These aspects are very carefully considered when investors decide to invest in a new company.
- Personal savings: This is a great option to count on. It is also possible to partner for salon business investment with somebody. This can save money and share the responsibility.
- Loans from banking institutions: You could make dreams come true by obtaining loans from the government or banking institutions. In the beginning, you must ensure that you are aware of what your services are worth. Making the correct prices will ensure that you don't overcharge or undercharge. If the price is too high or low, it may cause your establishment to face loss.
Although everything else is an important aspect in determining the future of your salon business, location is among the primary factors you need to consider carefully. When you choose the location for your salon, be sure to do a thorough study of your competitors and their location. Pay attention to where their business is located and the engagement they are receiving. Not just that, identify the business model they use.
When evaluating your competitors for a robust salon business plan, don't overlook client experience. Are their clients satisfied? What are the services the competitors provide? What are the most popular services available in the particular market? Based on your findings, modify your strategy if needed.Find places that are easily accessible. Before you move your business to the new location, you'll need to obtain a No Objection Certification (NOC) from the appropriate authorities.
Get Beauty Products
Beauty salons require a wide variety of beauty products. Finding the highest quality materials at affordable costs will help. You could also offer cosmetics to your customers, which will increase the revenue of your salon business.
Many beauty salon products are readily available in the market. They are all created with a keen understanding of the requirements and needs of different customers.The most common products in a beauty salon are listed below:
- Anti-aging products
- Eye liners
- Makeup palettes
- Styling creams and gels
- Lip gloss
- Eye shadow palettes
- Hair shampoo and conditioner
- Cleanser and moisturiser for face
- Body lotions
Once your salon's services are in order and you have built a robust plan, design a fantastic service menu. A well organised menu card will surely boost the conversion rates. The menu card should be available to everyone who visits your shop.
The Beauticians You Need to Hire
The more people there are, the more space you will need. More staff means that you'll need restroom facilities, which will result in higher rents. Finding the best hairstylist or beautician is crucial for the success of a beauty salon business. They can not only assist you and your clients effectively but will also make sure that the products you require are always available.
So, having a professional stylist is an essential part of your salon. Therefore, before setting up the salon's location, be sure to put money into your employees because they're the ones who determine what kind of experience customers will have in the end.
Also Read: How To Start A Successful Cosmetics Business
Get All Your Licenses Sorted
To run a salon in India, you must obtain a license from local government authorities. Here is the list of permits required for opening a salon in India:
- GST registration
- Registration for business
- License for trade from the municipal authority
Beauty Parlour Marketing
No matter how attractive your beauty salon may be, if no one knows that it exists, it will be difficult to succeed. With a well-planned marketing strategy, you will be able to beat your competition.
Once you've got all the necessary information to open a salon, it is time to turn it into a reality. It's an ambitious undertaking. Like any business venture, it's essential to think about everything you can and also be prepared to change your plans as you discover the best way to run your business. You'll need lots of time and money to start your salon off the ground, but you'll be able to earn a decent income.
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