Going rate for a hairdresser?

[Cheshire_Gal]

Hairdressing probably is more lucrative than beauty but not for those who don't have a clue about the business and have a "can't be that hard" attitude!

I dont have a clue about hairdressing but do understand business. I have the infrastructure in place to start up a new business. Im looking to retire in 10 years and sell up, so looking to make as much as i can in that time. If i can take just £500 per month profit (not a lot at all) im happy. This will get invested into another and so forth. I want 3 up and running and self sufficient in 5 years, so i then have 5 years of pure profit. Im looking to offer cut price cuts.

 

[ColourGirly]

So to get that you would need to take on a hairdresser who from day one does 10 £40 haircuts every day consistently 5 days a week. Then what about colour services and buying product? If you have a stylist that busy you would need an assistant. They need paying around £450 a month plus training.

They will be employed so will be entitled to holiday and sick pay.

Then you have retail.

You would also need to find a hairdresser that just wants to work flatout in a chair, most hairdressers want some sort of on going training. So factor in the few grand a year on courses.

 

[KHS]

I wouldn't say a lot, just 3 small ones with 2 girls in each and me floating.

I'm really confused by you.
In the link CG posted you say about £1 treatments and avoiding the vat threshold and how looking to get another salon with hairdressers, how will you keep that under the vat limit? 50p for a full head colour?

Sent from my D5503 using SalonGeek mobile app

 

[squidgernetball]

I'm really confused by you.
In the link CG posted you say about £1 treatments and avoiding the vat threshold and how looking to get another salon with hairdressers, how will you keep that under the vat limit? 50p for a full head colour?

Sent from my D5503 using SalonGeek mobile app

As a hairdressers it would be a completely separate business so would have its own threshold.

Vic x

Sent from my GT-I9505 using SalonGeek mobile app

 

[KHS]

As a hairdressers it would be a completely separate business so would have its own threshold.

Vic x

Sent from my GT-I9505 using SalonGeek mobile app

Ahhh ok, only having 1 myself I didn't know if then whole overall profits from ALL the businesses counted as one, if thst makes sense lol

Sent from my D5503 using SalonGeek mobile app

 

[squidgernetball]

Ahhh ok, only having 1 myself I didn't know if then whole overall profits from ALL the businesses counted as one, if thst makes sense lol

Sent from my D5503 using SalonGeek mobile app

It's a tricky area. Having just met with the accountant yesterday, we are having to go vat registered in Jan. We looked at splitting my business into retail and services but that would only work if we didn't actually retail from the salon.

We're stuffed lol x

Sent from my GT-I9505 using SalonGeek mobile app

 

[Cheshire_Gal]

I'm really confused by you.
In the link CG posted you say about £1 treatments and avoiding the vat threshold and how looking to get another salon with hairdressers, how will you keep that under the vat limit? 50p for a full head colour?

Sent from my D5503 using SalonGeek mobile app

They are all separate stand alone businesses x

 

[Cheshire_Gal]

So to get that you would need to take on a hairdresser who from day one does 10 £40 haircuts every day consistently 5 days a week. Then what about colour services and buying product? If you have a stylist that busy you would need an assistant. They need paying around £450 a month plus training.

They will be employed so will be entitled to holiday and sick pay.

Then you have retail.

You would also need to find a hairdresser that just wants to work flatout in a chair, most hairdressers want some sort of on going training. So factor in the few grand a year on courses.

Thanks for your input. My rough workings out are £8000 rent, £16000 salary (employed) plus £6000 profit (which im happy with) = £2500 PCM based on a 4 week month (taking out 4 weeks holiday) = £625 PW divided by cost treatment £20 (wash, cut and blow) = approx 31 hours of treatment. I understand it will take a while to build up clientele and i'll have to work in it initially. Obviously there are other overheads but the above is based on one hairdresser. Im going for the stack em high and sell em cheap xx

 

[ColourGirly]

You haven't factored in any costing of products or commission or marketing?

 

[ColourGirly]

You own the building do you still pay rent?

 

[ColourGirly]

Just to cover the rent and the wage bill you will need to do 5 clients for a £20 haircut everyday for a year.

 

[Cheshire_Gal]

You own the building do you still pay rent?

This will be a separate building owned by someone else who ive known for a long time. Its just become available and he had loads of probs with previous tenants. I'll be signing a 10 year lease at a reduced rate.

 

[surf girl]

Where do u plan to get your customers?

 

[Cheshire_Gal]

You haven't factored in any costing of products or commission or marketing?

I know that lol. Marketing is sorted. I have a database with over 8000 names on it. No commission for the time being, just £16000 PA until takes off, plus a mini and 2 weeks free accommodation in Gran Canaria per year.

 

[surf girl]

I dont have a clue about hairdressing but do understand business. I have the infrastructure in place to start up a new business. Im looking to retire in 10 years and sell up, so looking to make as much as i can in that time. If i can take just £500 per month profit (not a lot at all) im happy. This will get invested into another and so forth. I want 3 up and running and self sufficient in 5 years, so i then have 5 years of pure profit. Im looking to offer cut price cuts.

There is no way your going to cover even the rent on a property at £8000 by offering cut price cuts, and there would certainly not be money left over for a £16k wage for a stylist? I get that your not in it for big profit in the short term but the only way you'll build a salon into one turning over those kind if figures is by having a good deal of knowledge on the industry, there won't be £500 profit at any point with cut price cuts I can assure you, and realistically 5 cut and blowdry customers through the door every single day is actually quite hard to get trust me, may I ask (in a nice way) how busy are your other businesses?

 

[Cheshire_Gal]

There is no way your going to cover even the rent on a property at £8000 by offering cut price cuts, and there would certainly not be money left over for a £16k wage for a stylist? I get that your not in it for big profit in the short term but the only way you'll build a salon into one turning over those kind if figures is by having a good deal of knowledge on the industry, there won't be £500 profit at any point with cut price cuts I can assure you, and realistically 5 cut and blowdry customers through the door every single day is actually quite hard to get trust me, may I ask (in a nice way) how busy are your other businesses?

Pretty good actually. Im bordering on VAT threshold on each. But they are totally separate entities from each other.

 

[Cheshire_Gal]

There is no way your going to cover even the rent on a property at £8000 by offering cut price cuts, and there would certainly not be money left over for a £16k wage for a stylist? I get that your not in it for big profit in the short term but the only way you'll build a salon into one turning over those kind if figures is by having a good deal of knowledge on the industry, there won't be £500 profit at any point with cut price cuts I can assure you, and realistically 5 cut and blowdry customers through the door every single day is actually quite hard to get trust me, may I ask (in a nice way) how busy are your other businesses?

Well theres a few hairdressers round the corner from me and theyre bombed out every day. Canytget an appt unless book 4 weeks in advance x

 

[whitelotus]

Sorry to jump on the bandwagon from a newbie here but having owned several salons myself, can I ask are you a sole trader or LTD companies? x

 

[Cheshire_Gal]

Sorry to jump on the bandwagon from a newbie here but having owned several salons myself, can I ask are you a sole trader or LTD companies? x

Sole trader

 

[whitelotus]

Then as a sole trader the turnover of all businesses are combined for the VAT threshold to be applicable . So all your salons together (doesn't matter if they are beauty or hair or anything else for that matter), so having another salon will send you over the threshold xx