How much money do I need to start?

[ralv]

Hi
I don't speak english very good. I hope everyone understand my thread:green:

How much money do I need to open my own small tanning studio? I think about 2 sunbeds and another one after couple months. I need to take loan, will be £15000 enough for rent a premises and equip?

 

[Lynne Baker]

I think one option would be to price everything up, add 10% contingency (for those little things you're bound to forget!) and then take that to the loan company. I doubt very much that a bank would be happy to lend you that amount of money without a business plan, especially in the current economic climate. If you need help with drawing up a business plan you could do worse than contact Business Link.
Starting up | Business Link

This is a useful exercise for you too; you need to know how much it will cost to start up so that you can work out how long it's going to take you to be profitable, and from that you can determine your prices.

On a slightly pessimistic note I would seriously consider the health risks associated with sunbeds. Only yesterday on Radio 4's Case Notes a leading dermatologist stated that there was a significant rise in the instance of malignant melanoma in young women as a result of increased sunbed use, and cheap foreign travel. You may want to consider spray tanning as an alternative...

 

[Lil Ash]

I am going to the bank this morning to see if i can get a business loan! As i going to buy a tanning/ beauty salon!

I would never rent any where, i rather have my own salon!

My mum said it is hard at the moment to borrow money!

The only reason why i am buying my salons is cause i do know the owners of theses salons and worked in them!

But good luck!!

 

[skymark]

In order to invest wisely and not leave yourself a welcome guest for bankruptcy, I would seriously be looking at what you want to offer in terms of services and what you see the potential for them being.

If you are to only offer sunbeds, what do you see for the future of the sunbed? More people using them? Less people using them? Or the same amount?

You need to be able to see a definite potential to make decent money on a long term scale.

Please also remember that a loan from the bank should be looked at wisely. If you default on the electric bill or the rent, your service gets cut off, if you default on your loan, they will come after everything and anything you've got.

 

[Lil Ash]

try and have a beauty room and a nail tec!!! u can rent the space then knowing you gonna have a regular income

 

[ralv]

Hi
Thanks for answers. I consider spray tanning and nails too. Could someone tell me is 15000 enough for start.

 

[Lil Ash]

depends what sunbeds you go for!! You are looking about £7,000 for a decent sunbed!!!

 

[essentia]

Hi I know it is personal choice but I really would consider finding a healthier way to tan than running sunbeds. Be known to promote safe tanning like spray tanning and concentrate on other areas of the industry. As was mentioned earlier a business plan is vital - regardless of where the capital comes from as it gives you structure and form to your business venture.

The beauty industry is notorious for overspend and you need to be very focused on what you want to buy and offer to clients. It is very easy to get sidetracked by fads and talked into buying products/equipment that are not necessary. The extra time taken on research now can save a lot of headaches and expensive mistakes later on.