Been approached by someone wanting to rent a room

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Carlalouise

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Hi Guys

I've been approached by a lovely lady wanting to rent one of my beauty rooms twice a week. Up until she contacted me this was a no go for me, I've rented my nail desk and every time it's been a disaster and quite frankly not worth the money. However she said she has a large client base, wouldn't want to poach any new clients and would be supportive to my business.

So I'm now thinking about it but and there is a big but, she wants to pay £20 a day and that would be for day and late evenings now I know a lot of you ladies would say that reasonable, however in the winter my electric bills go sky high and so we only ever heat up the rooms we are using, if this lady is busy from 9am - 9pm on those days I can guarantee her £20 a day will not go very far!

My business is only in It's first year but ticking over quite nicely so I'm not sure where the benefit of this lady coming in would be to me unless it was a commission based arrangement.

Any advise would be great!
 
Ooh I don't know. That's really tough... £20 a day for me is what I pay for my salon so that's quite tough... Could you not ask to take a percentage of her takings instead?? Or even bump it up to £30 a day... As you have to think if it's twice a week at £20 a day that's £40 a week extra coming in... £160 a month extra.. And all her clients may start coming to you for other treatments?? You could get life long business out of it too x


Nicola! Xxx
 
It would be good if we did different things but we don't, I know £20 isn't a bad rent I just don't think it's worth it for me.

If I was to go on commission and she bought all her own stuff in what would be a fair split?
 
It would be good if we did different things but we don't, I know £20 isn't a bad rent I just don't think it's worth it for me.

If I was to go on commission and she bought all her own stuff in what would be a fair split?

Its usually 60/40 in favour of who buys the product. Although, I personally wouldnt want to pay a % split as self employed... And as a landlord if she is away, sick or just off you wont earn anything.

Although I think £20 a day is quite cheap... For a 12 hour day (Unless renting for the full week) I think £30 is more appropriate. Then any days she is off sick, on holiday etc you will be earning money for nothing.

Xx
 
Hi Carla,
I'm not a fan of commission, but would say that £20 per day is cheap. I get £25 for my room. If you were renting it out 5/6 days per week, I would expect to get less than £25 a day, but for a couple of days, I think £25 is the minimum.
With my room, we communicate, so if she isn't in til latrer etc, the heating doesn't go on til later. What does she offer? Is it what you offer anyway? If that was the case, I wouldn't want her there anyway!!!

I don't think you could have a self employed therapist in a salon and it not cause problems!
 
The way I look at it is I'd be getting £20 for the loss of a room, providing phone, electricity, nail desk, hot water for less than I'd charge for a Shellac!! It really doesn't make good business sense to me, unless someone can tell me I'm missing the bigger picture??

I have left a message and said about a % split, I'll see if she gets back to me.
 
I think you've already answered your own question then. If you agree it wouldn't do you any business sense to do it... Then don't do it. If your not getting anything out of it I wouldn't.


Nicola! Xxx
 
Hi Carlaloise

Are you able to have a look at her price list, do a guesstimate on what she could bring in in a day. Then play with percentages and maybe you'll see a comfortable average to suggest as a flat rate.
 
Hi.
I wouldn't do % as self employed; offer higher rent. Also, why would you have someone who does the same treatments as you? Isn't it conflict of interest? Might get messy ... and you would have a competition in your own salon. Would be better of she'll compliment what you're already doing. Just a thought

Sent from my GT-I9300 using SalonGeek mobile app
 
Sorry I missed that she was doing the same as you. If you arent comfortable renting the room dont pressure yourself in to it 😊

£20 is cheap for a daily rate. Id go for £30 personally. £240 a month for 2 days per week. Xx
 
If she's doing the same treatments as you - even with her own client base - I wouldn't give her house room I'm afraid - renting a room or percentage - I see it as a recipe for disaster!!!
 
I think you are all right, I didn't want to rent the room anyway, she's a lovely lady and she did say that she only wants the room to service her own clients not take any other clients on but I don't know her and I've been stung by trusting what someone has said to me before!
 

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