New business advice please

[yazzhussain]

Hi…..I’m new to this platform so hello all!

Myself and my friend are looking to start up an aesthetics business in skin and body care. It’s a big commitment for the both of us as we are both in different f/t fields and have families to
Support etc.
We have recently been to beauty exhibitions and were
Looking at machines to purchase. My friend really wants us to invest in a Biotec Italia machine which will
Set us back around 17K…whereas I think we should look at smaller more affordable machines to begin with. She said it wont set us apart from the competition if we do that…but I am just afraid of being stuck in huge debt right from the offset as we would need to take a loan out to cover it.
What are your thoughts? What’s the best advice for a start up? Start off small or go in big? Any advice would be greatly appreciated….thanks!!!!

 

[House Beauty]

Do you have any beauty qualifications yet?

 

[cali-dude]

The question above is valid to find out if you aren't putting the cart in front of the horse at this stage.

I'm not familiar with this device, but looking at their website it could be a HIFU or laser device?

If it's a laser, 17k is on the affordable side from what I've seen and heard. A very popular laser clinic owner in my town told me her device was the price of a car (40k-70k...I'm guessing). If you're looking for advice on HIFU or laser devices, maybe start a thread asking this question?

From budget, it sounds as if you would struggle to compete with a more built out aesthetics clinic, these clinics usually have a full menu of advanced service offerings, from injectables, radio frequency, HIFU, chemical peels, IPL/laser, threading, etc. There is little point in trying to build up to compete as we are talking easily over £100,000-£125,000 to get something like that even moving in today's money.

Now, if you can't compete, then don't. Niche down.

Niching down can be extremely fruitful, but it has to be something you are completely happy to do all day every day...and also if the market is interested in it. You have to be well researched and the go-to professional on the topic you are offering. If you can just shout that you do one thing VERY well it makes it easier for people to find you.

I find the very diversified clinics tend to have a few services that always seem to be on the back burner. This is usually due to them making more money in one area (i.e., some make a lot doing injectables, so spend little time on radiofrequency). Do some market research, see what services they promote as these are usually either new services our services that they find it easy to sell. If many of them aren't pushing HIfu, then you know there is some room to elbow in this arena.

With that said, if you want this to be the centre of your business, spend what is needed to get the results required.

If you look in your area, most businesses mention the device they use so you can explore these as potential options. When it came to buying equipment for my business, I firstly found the best on the market and worked my way down to a price point that won't compromise the efficacy and won't require a huge financial burden in the beginning.

Many distributors can rent or even put you on a payment plan so you aren't being drained off cash when you are trying to get it up and going. Again, maybe start a thread or search through past threads to see what others have found success with. I'd say it's worth the leg-work and research now as £17k is a hefty price tag and should be well considered.

 

[TheDuchess]

Having a very clear vision of the sort of business you want to invest your heart and soul into is really helpful. It sounds as though you and your friend haven’t quite got to that stage.

Another way to look at machine costs is to work out what you will charge for a treatment and then work out how many treatments a day you are going to do as part of your treatment mix. For instance are you going to have clients that just visit for one treatment only, or will they be customers for several different services.

If you have customers visiting for 3 different services for example, that’s great, but your machine will be idle for 2/3rds of the time even though you might be fully booked. So you need to think about whether you will use that machine 2-3 times a day or 2-3 times a week. And how long will it last before it becomes “oh that” and old hat. There’s always something new on the market every 2-3 years. Are you going to re-invest every 3 years?
Ask yourself if you have the time and the skill to attract exactly the clients that you want for this service as well as market all your other services, and do the work providing services and manage your business.

Be realistic as Cali says, you need careful, niche marketing to create a funnel for a service, you can’t just market your clinic and hope you’ll attract customers who will come along and say “I want whatever you do”.

I also do business consulting and I see lots of owners who are “slaves” to their machine, working just to pay for their loan, insurance and servicing costs.

 

[cali-dude]

Probably not going to have a response on this but just an idea.

Talking earlier about more built out clinics and how they have the odd service that isn't well catered to. Maybe look into taking a room at one of these very clinics?

I was approached by a local clinic, who had a spare room and wanted me to bring my facial offerings to their clinic to serve their clientele. They see this potentially as being something their clients would be interested in, however the profit isn't as high as the other services they are offering and it helped with occupying an otherwise empty room.

Establishing a relationship with some clinics who have a spare room could be a great way (even if you are there a few days of the week) to work in an aesthetic setting with some built-in clients.

 

[yazzhussain]

Hi!! Thanks for the amazing advice…it really is truly helpful.
we are qualified aestheticians in CPD accredited courses ie LED laser, dermaplaning, hydrofacials , HIFU, RF and general skincare.
We only want to focus on anti-ageing skincare treatments not body treatments, not yet anyway.
it’s scary committing to a 17K machine and then like someone said on here something comes out a few years later that throws your machine out the water.

what do you guys think about renting machines? Are there many places that have this option?
Thanks in advance x

 

[anglius]

I think that if this machine allows you to provide quality services, it is definitely worth the investment. It's possible that a cheaper machine will produce rosier results, and the check for your services will be cheaper. In addition, the investment in a quality machine should pay off through marketing and promotion. You should look to certified developers in e-commerce for valuable advice on developing a business strategy.
You should think about your brand and how to attract clients to your studio.

 

[eunateyour]

Initially, it is better to focus on a narrow market.