Opening a Hair Salon

[Jass T]

I am property landlord. Part of my portfolio are some commercial units. I have one unit that was has been empty since May.
Although it has been up for let, I haven't had any solid offers.
I am thinking of fitting it out has a hair salon and getting someone experienced to run it. Was looking for some advice from someone with experience of this type of business, of the different management models that I could use.
Anything from a full-time employee manager to a profit sharing self employed manager.
Also the best way to find the potential associate.

 

[WaveJumper]

Just a thought -some of the larger "chains" of salons are run on a franchise basis it might be worth checking them out and see if any are looking for possible sites. The chain normally finds a site then matches it to the franchiser a bit like some of the ice cream parlours that have popped up.

 

[HFE Signs]

Is there a reason you're thinking of hair salon? Does the location lend itself to this? I'm just visualising a commercial unit on an industrial estate and thinking it might not be well placed?

 

[WaveJumper]

Is there a reason you're thinking of hair salon? Does the location lend itself to this? I'm just visualising a commercial unit on an industrial estate and thinking it might not be well placed?

In which case hair today gone tomorrow ?

 

[KM-Tiger]

I'm just visualising a commercial unit on an industrial estate and thinking it might not be well placed?

Though that would probably mean easy free parking for customers?

 

[Paul Kelly ICHYB]

Offer the space as a pop up space or on a tenancy at will.

Unless you know about the hair game, why take the risk?

 

[Jass T]

Just a thought -some of the larger "chains" of salons are run on a franchise basis it might be worth checking them out and see if any are looking for possible sites. The chain normally finds a site then matches it to the franchiser a bit like some of the ice cream parlours that have popped up.

Thanks for that tip,I'll look into this.

 

[Jass T]

Is there a reason you're thinking of hair salon? Does the location lend itself to this? I'm just visualising a commercial unit on an industrial estate and thinking it might not be well placed?

The location is in the town centre of a fairly large town. It is 2 minutes walk from the main bus station and taxi rank.
One of my other shops is let has a barber and I have found them to be quite resolute businesses. This unit though has many other gents barbers nearby, so hence am thinking of looking into focusing on the female clientele.
The main problem with this unit is, it is on a pedestrian precinct. Opposite to the shop is a large multi story car park. This has been closed for safety reasons and is due for demolition.
Once the car park is demolished,it is being replaced by a recreational area. It will also open up all the shops visually to all traffic going in the bus station and taxi rank, as well as a busy road running through the town centre.

 

[Paul Kelly ICHYB]

The main problem with this unit is, it is on a pedestrian precinct.

Most people would see that as a major benefit!

 

[Mark T Jones]

Why not use the same model as the barber shop?

 

[Jass T]

Most people would see that as a major benefit!

Yes and no. The no is, the shops are not visible to passing traffic ie buses and taxis to the station. Once the multi story car park is knocked down and the shops become visible it will be a big boost.

 

[Jass T]

Why not use the same model as the barber shop?

Like I mentioned in my previous post, there are a few (3) barbers shops in close walking proximity.

 

[japancool]

Are there any other hair salons in the area?

 

[Mark T Jones]

Like I mentioned in my previous post, there are a few (3) barbers shops in close walking proximity.

I'm talking about the model, not the product.

 

[Jass T]

Offer the space as a pop up space or on a tenancy at will.

Unless you know about the hair game, why take the risk?

Isn't business a risk we all take. I do have experience running businesses in the past, not the hair business I grant you.
That is why I would only consider running it with someone with experience on board
Also think I could rent it out quicker and at a better yield if I fit it out nicely.

 

[Jass T]

I'm talking about the model, not the product.

The barber is a tenant, am not involved in that business.

 

[HFE Signs]

The location is in the town centre of a fairly large town. It is 2 minutes walk from the main bus station and taxi rank.
One of my other shops is let has a barber and I have found them to be quite resolute businesses. This unit though has many other gents barbers nearby, so hence am thinking of looking into focusing on the female clientele.
The main problem with this unit is, it is on a pedestrian precinct. Opposite to the shop is a large multi story car park. This has been closed for safety reasons and is due for demolition.
Once the car park is demolished,it is being replaced by a recreational area. It will also open up all the shops visually to all traffic going in the bus station and taxi rank, as well as a busy road running through the town centre.

Sound like it has potential

 

[Jass T]

Sound like it has potential

I think so,hence am willing to take a punt on doing something with it myself.
Its been advertised to let since May but I've not had any solid offers. Part of this is because of the empty multi story car park.

I've had a enquiry from the the cafe next door whether I would consider selling the property to him. I think he is also eyeing up potential growth in his business once the car park is gone and merging the 2 units. Am not really interested in selling has I have no liabilities like a loan, so I'll take a flutter .

 

[estwig]

You can't just open a hair salon and expect it to work.....

Women do not use a salon because the location is convenient, or the shop looks pretty, they go to see a stylist they trust, they know, or who has been recommended. Gaining momentum without these things will be very difficult. Ladies spend a lot of time discussing these things with their friends, they do not take a punt on something they don't know about.

The only way to get this off the ground, is to have a stylist who already has an established clientele she can bring with her, then expand from this base.

 

[Jass T]

You can't just open a hair salon and expect it to work.....

Women do not use a salon because the location is convenient, or the shop looks pretty, they go to see a stylist they trust, they know, or who has been recommended. Gaining momentum without these things will be very difficult. Ladies spend a lot of time discussing these things with their friends, they do not take a punt on something they don't know about.

The only way to get this off the ground, is to have a stylist who already has an established clientele she can bring with her, then expand from this base.

This is what I meant in my first post , although in less words. Its definitely not something I would do without getting someone with a track record and ambition on board.

 

[estwig]

This is what I meant in my first post , although in less words. Its definitely not something I would do without getting someone with a track record and ambition on board.

You might still be missing the point, not a track record or ambition, you need someone with an established clientele they can bring with them.

 

[Avilon]

This would be a plus but not an essential. If there is a good service women will discover it in short time and spread it in their circle of friends, someone with an established clientele they can bring will open his/her own saloon, instead of working for/with someone else. Location and appearance of the place is very important ofcourse, the first impressions is very important for first time customers. My best friend from high school was operating a big parking lot&car wash in the middle of night clubs and cafes, I have witnessed how lots of hairdressers operate and how they are established from the scratch.

NOTE: We caused car wash business to suffer because my friend fired the best washers working there to pay less salaries and male clientele number rapidly dwindled in just few months. Lots of males was asking for their favorite washer, "where is the xxx" or "where is the yyy", even some gays were telling "only xxx can touch my car honeyyy" kind of things and were refusing other washers. Women are much less picky about which stylist will touch their hair than men are about which washers to touch their cars.

 

[Jass T]

This would be a plus but not an essential. If there is a good service women will discover it in short time and spread it in their circle of friends, someone with an established clientele they can bring will open his/her own saloon, instead of working for/with someone else. Location and appearance of the place is very important ofcourse, the first impressions is very important for first time customers. My best friend from high school was operating a big parking lot&car wash in the middle of night clubs and cafes, I have witnessed how lots of hairdressers operate and how they are established from the scratch.

NOTE: We caused car wash business to suffer because my friend fired the best washers working there to pay less salaries and male clientele number rapidly dwindled in just few months. Lots of males was asking for their favorite washer, "where is the xxx" or "where is the yyy", even some gays were telling "only xxx can touch my car honeyyy" kind of things and were refusing other washers. Women are much less picky about which stylist will touch their hair than men are about which washers to touch their cars.

Thanks for the input, alway good to hear from someone with some kind genuine information for potential pitfalls.
I wasn't really looking to employ the person has a manager on a fixed salary. More on a profit sharing partnership, so they have a incentive to grow the business.
Was wondering if this sort of arrangement happens in this type of business. Would very great to hear from someone in the business.
Although I agree with eastwigs points about clientele and loyalty to a stylist. I do think this is more common in older ladies. Young girls in there teenage years are a potential client to anybody.

 

[okbyee56]

I'm in Australia, the cost of a basic man's haircut is around $25-$30 in the city. This takes like 10 mins or less. The cost of hiring a barber is around $25-$30 an hour. I don't think it's a low margin business, at least not in Australia. From the businesses for sale that I've looked at, net profit margin is about 25% of sale.