It is never too late to begin considering operation problems that will affect and contribute to your business’ success. To start, when it comes to beauty salons, PJS Beauty Salon Equipment suggests that you choose quality furniture and equipment to serve your clients. You must also carefully think about your operating hours to accommodate the maximum number of clients during business hours.
Moreover, you would have to include proper pricing of your services in your development plan. If you set high rates, you will restrict the number of clients who can afford them. On the other hand, setting very low prices will restrict the potential of your income and possibly endanger your business.
Deciding on the rates require more than just visiting your competitors, accumulating service menus and setting competitive prices. Instead, you must think of the aspects that will affect your prices: profit, overhead and labour costs.
1. Labour costs for spas, such as benefits and salary for stylists and administrative staff. Do not forget to include your salary. This cost is conveyed as the rate per hour and can differ depending on the length of time it takes your staff to perform services.
2. Overhead costs, including all expenses needed to operate the salon besides labour. This consists of your utilities, lease and mortgage payments, and so on. It would be practical for you to estimate that your expenses will take around 40 to 50 per cent of your material and labour costs.
3. When it comes to profit, salon owners can expect to get a profit of around 11 to 15 per cent. You have the choice to make the profit figure lower or higher. To get the net profit that you desire, increase the percentage factor. This way, you will get the estimated gross amount that you will earn.
Never cease trying to find a way to enhance the quality of services, along with the prices of your services. Your clients will look forward to their next appointment knowing that they can afford and trust you.