A Sample Beauty Salon Business Plan Template

Beauty Salon Industry Overview

A beauty salon trade is one industry that promises to fulfill the fantasies and needs of women who love
to look and feel their best at all times. Some of the offerings at a beauty salon include; hair perming, nail
grooming, manicure, pedicure, fixing of hair weaves, braiding, amongst many others. It is important to
note that most beauty salons also offer spa services.

This is so that they can give their clients an all-round beauty experience. There are around 400,000
beauty salons in the United States of America. Those who are employed to offer the services of the nails
are known as the hair stylists.

Beauty salons are also known to offer some skin beauty services. Some of these services include; waxing,
skin polishing, microderm abrasion and what have you. Research has shown that those who work in the
United States of America make good money from it because of the teeming population of people who
seek the services of these beauty salons. The population of people who work at the salons include;
immigrants, Africans, Spanish people, and a whole lot more.

The training required for the beauty salon work is small and inexpensive; the work does not require high
level of qualification so far as you are able to communicate with your clients without difficulty. In the
same vein, the amount of capital is not much compared with if you had to open some other businesses
that needed a huge capital base.

Beauty Salon Business Plan – Executive Summary

Simply Cute Beauty salon is a classy beauty salon that will be opened in Manhattan, New York, America.
We have chosen New York because we think that it would be an amazing opportunity to have the crème
de la crème in the society and in showbiz visit our nail hub.

The business will be run as a very standard beauty salon coy, and we shall see it that all clients from old
to young are given the very best of services. Our services will cover areas such as; hair perming, relaxing
of hair, manicure, pedicure, nail painting, nail fixing, nail trainings, fixing of weaves, braiding, and the
sales of other beauty related stuff.

We are aware that businesses these days require diverse and sophisticated approaches. This is why we
will be sure to be abreast with the creativity and trend which the trade is exposed to. We shall also be
involved in the training of budding entrepreneurs who may want to venture into this industry. Even
though starting a nail salon might look really pretty easy to start, we intend to bring in strict
professionalism that will make up stand out.

Simply- Cute Beauty salon is primarily focused to help its clients look their very best at all times. We
would try as much as lies within our power to surpass the expectations of people. Our prices would also
be very affordable; we do not want to scare our new clients away with our pricing. As a matter of fact,
we plan to lower our pricing so that we can gain good grounds within our startup period.

We plan to hire the best hands in the city of New York to help us drive our biasness. This is one of the
reasons why who do not mind to pay our employees well because we know that we are striving for a
goal and that is the goal of gaining loads of clients. In addition, much more than just satisfying our
clients, we also want to see new entrepreneurs empowered by us, as they emerge to start their own nail
salon business.

We shall also be involved in the sponsoring of various programs that are hosted in the locality which we
are located. Shows like fashion shows, hair exhibitions, entertainment shows, amongst many others.
This is o that we are able to give a good account of ourselves as we launch out.

Our Product and Services

We shall be known to offer strict professional beauty related services at all times. This is so that we do
not deviate from our core. Here below are some of our business offerings that we are to be known for in
Manhattan New York;

Fixing of artificial nails

Braiding of hair

Fixing of weaves
Skin waxing

Skin polishing

Perming of hair

Manicure

Pedicure

Training of budding entrepreneurs

Sale of nail accessories

Sale of women accessories

Sale of makeup stuff

Our Vision Statement

Our vision is to provide our teeming clients with the best of beauty services, such that is hard to
experience in Manhattan, New York. We strive to achieve this with our overly trained stylists and
attendants and the ambience which our beauty salon has to offer.

Our Mission Statement

Our mission is to provide professional and creative service to our clients- thereby meeting their beauty
needs at all times.

Our Business Structure

At Simply- Cute beauty salon, we know that having a solid structure will make us drive our beauty
business really smoothly. Therefore, we will build a firm business structure that can support the growth
of our business. We will ensure that we hire competent hands to help us build the business of our
dream.

Below is the business structure that we will build simply- cute beauty Salon

Chief Executive Officer

Salon Manager

Accountant/Cashier

Front desk officer

Hair stylist 1

Hair stylist 2

Hair stylist 3

Sales attendant

Roles and Responsibilities

Chief Executive Office

Responsible for providing direction for the beauty salon.

Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e.
leading the development and implementation of the overall salon strategy.

Responsible for building a strong customer care system.

Responsible for fixing prices and signing business deals

Responsible for signing checks and documents on behalf of the company

Evaluates the success of the business.

Reports to the board about the salon.

Salon Manager

Coordinates training programs for budding entrepreneurs.

Handle all paper documents for the coy.

Identifies training and development needs for the employees through job analysis, appraisals and
consultation

Designs job descriptions

Regularly hold meetings with key stakeholders to review the effectiveness of HR Policies, Procedures
and Processes

Facilitates and coordinate strategic sessions.

Works directly with the chief executive officer

Accountant

Responsible for preparing financial reports, budgets, and financial statements for the organization

Provides managements with financial analyses, development budgets, and accounting reports; analyzes
financial feasibility for the most complex proposed projects; conducts market research to forecast
trends and business conditions.

Responsible for financial forecasting and risks analysis.

Performs cash management, general ledger accounting, and financial reporting for one or more
properties.

Responsible for developing and managing financial systems and policies

Responsible for administering payrolls

Ensures compliance with taxation legislation

Handles all financial transactions for the company

Serves as internal auditor for the company

Front Desk Officer

Receives Visitors / clients on behalf of the organization

Receives parcels / documents for the company

Handles enquiries via e-mail and phone calls for the organization

Distribute mails in the organization

Handles any other duties as assigned my the line manager

Hair Stylist 1, 2 and 3

Sees to it that the client gets exactly what they wanted.

Creates styles that are creative

Gives clients a lifetime experience for patronizing

Beauty Salon Business Plan – MARKET ANALYSIS

Market Trends

Quite a number of distinct trends have emerged in recent times in the beauty industry which is why
beauty salons are positioning their organizations to attract all and sundry. As a matter of fact, this is one
of the things that makes most nail studios to spruce up their creativity level so that they

In this type of business, one of the things that could possibly make one stand out from the competitive
crowd is having a top notch customer service. If possible there is the need to place a follow up calls to all
clients from time to time. Those who are known to engage in such exercises have come to know that
they attract more and more clients as the days go by.

In addition, no matter how bad the economy may be, people still fund or rather still deem it very
important to have their nails done. This simply means that there would be more money coming into the
coffers of those who operate the business, even though the economy bites hard at the people.

Our Target Market

The target market which we are all out to serve are primary the female folks. This is because of the fact
that they are the ones who will leave no stone unturned in seeing that they look their best. Whilst some
may do this to continue to be attractive to their partners, yet others cannot just do without looking
good. As such, our target market cuts across all sectors. Also our beauty salon will have a variety of
practice areas to help budding nail manicurists grow.

Our target market cuts across women of different class and people from all walks of life, local and
international organizations as well. We are coming into the industry with a business concept that will
enable us work with the highly placed people and celebrities in the country and at the same with the
lowly placed people and smaller businesses. In other words, our target market is the whole of the
United States of America and subsequently other parts of the world.
Below is a list of the people and organizations that we have specifically designed our services for;

Females in the Banks, Insurance Companies and other related Financial Institutions

Females in Businesses and Entrepreneurs

Mothers

Teenagers

College students

Our Competitive Advantage

A close study of the beauty industry reveals that the market has become much more intensely
competitive over the last decade. As a matter of fact it is becoming really tough to break even in this
market because of the number of people who are in it. However, we are also aware that this hasn’t
deterred people from braking even and smiling to the bank. This is one of the reasons why we have
added other services that are beauty related, this is so that we do not miss out in any way.

Beauty salon may be a new entrant into the business beauty industry in the United States of America,
but the management staffs and board members are considered gurus. They are people who are core
professionals and licensed and highly qualified beauticians in the United States. These are part of what
will count as a competitive advantage for us.

Lastly, our employees will be well taken care of, and their welfare package will be among the best within
our category in the industry meaning ;that they will be more than willing to build the business with us
and help deliver our set goals and achieve all our aims and objectives.

Beauty Salon Business Plan – SALES AND MARKETING STRATEGY

We are mindful of the fact that there is stiffer competition amongst nail salons in United States of
America; hence we have been able to hire some of the best business developer to handle our sales and
marketing.
Our sales and marketing team will be recruited based on their vast experience in the industry and they
will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of
the organization. We will also ensure that our excellent job deliveries speak for us in the market place;
we want to build a standard beauty business that will leverage on word of mouth advertisement from
satisfied clients (both individuals and organizations).

Our goal is to grow our beauty salon to become one of the top 20 salons in the United States of America
which is why we have mapped out strategy that will help us take advantage of the available market and
grow to become a major force to reckon with not only in the U.S but in the world stage as well.

Simply – Cute beauty salon is set to make use of the following marketing and sales strategies to attract
clients;

Introduce our business by sending introductory letters alongside our brochure to organizations and key
stake holders in New York and other parts of the U.S.

Advertise our business in relevant business magazines, newspapers, TV stations, and radio station.

List our business on yellow pages ads (local directories)

Attend relevant international and local expos, seminars, and business fairs et al

Create different packages for different category of clients.

Leverage on the internet to promote our business

Engage direct marketing approach

Encourage word of mouth marketing from loyal and satisfied clients

Sources of Income

It is the wish of every business to generate income at all times and our beauty salon is one of such
businesses. Simply – Cute beauty Salon is established with the aim of maximizing profits in the beauty
industry and we are going to go all the way to ensure that we do all it takes to attract clients on a regular
basis and sign retainer – ship with most of our clients.

Hence, there are several ways through which we plan to make this money at all times. Simply- Cute
beauty salon will generate income by offering the following services;
Manicure

Fixing of hair weaves

Skin treatment

Perming of hair

Spa treatments

Pedicure

Fixing of acrylic nails

Fixing of French nails

Sale of other female accessories

Training people of the art of nail care and fixing

Home services in all the aspects listed above

Sales Forecast

There will always be a need to do some business and sales forecasting as a business. This is because of
the drive it gives one to achieve it. In the same vein, simply- Cute beauty salon has several sale
projections that we will be all out to achieve. For as long as there are female folks in New York, we know
that we will be able to reach our sales goals in no distant time.

We are well positioned to take on the available market in the U.S. and we are quite optimistic that we
will meet our set target of generating enough income / profits from the first six month of operations and
grow the business and our clientele base beyond New York City, New York to other states in the U.S. and
even the global market.

We have been able to critically examine the beauty market and we have analyzed our chances in the
industry and we have been able to come up with the following sales forecast. The sales projection is
based on information gathered on the field and some assumptions that are peculiar to startups in New
York.
Below is the sales projection for simply- Cute beauty Salon. It is based on the location of our nail salon
and the wide range of other addendum services we will be offering;

First Year-: $100,000

Second Year-: $250,000

Third Year-: $700,000

N.B: This projection is done based on what is obtainable in the industry.

Our Pricing Strategy

One of the ways through which we know that we will be able to get more clients within a short period of
time is when our pricing is on the moderate level. Being on the moderate level means that we are able
to maximize profit in a ways that doesn’t put holes in the pocket of pour clients. As such, we are looking
at lowering our price a bit below that of our competitors, so that we can gain good grounds in the
market and become a house hold name and a force to reckon with.

This is very important because when our pricing becomes too high, the clients may have the options of
switching over to our competitors and we do not want that to happen in any way. So, we are poised to
keep our fees below the average market rate for all of our clients by keeping our overhead low and by
collecting payment in advance. In addition, we will also offer special discounted rates to newbies and
clients who have some special occasions like Birthdays.

This means that for clients whose special days we remember, we will invite them over to the salon on
that special day and then offer our services for free to them. We will also make sure that we do not
lower our quality in any way because we are offering these services for free.

We are also aware that there are some clients that would need regular home services, as well as need
some consultancy and advisory services and assistance on how they can launch their own beauty salon
business, we will offer flat rate for such services that will be tailored to take care of such clients’ needs.

Payment Options
We know too well that we will be dealing with different types of clients, and that is one of the reason
why we shall have different payment options to cater to all and sundry. At Simply- Cute Salon, our
payment policy will be all inclusive because we are quite aware that different people prefer different
payment options as it suits them.

Here are the payment options that we will make available to our clients;

Payment by via bank transfer

Payment via online bank transfer

Payment via check

Payment via bank draft

Payment with cash

In view of the above, we have chosen banking platforms that will help us achieve our plans with little or
no itches.

Beauty Salon Business Plan – Publicity and Advertising Strategy

We have been able to work with our in house consultants and other brand and publicity specialist to
help us map out publicity and advertising strategies that will help us walk our way into the heart of our
target market. We are set to take the consulting industry by storm which is why we have made
provisions for effective publicity and advertisement of our beauty based business.

Below are the platforms we intend to leverage on to promote and advertise simply- Cute beauty salon
business;

Place adverts our consulting firm on both print and electronic media platforms

Sponsor relevant TV shows and radio programs

Maximize our firm’s website to promote our business

Leverage on the internet and social media platforms like; Instagram, Facebook ,Twitter, LinkedIn, Badoo,
Google+ and other platforms (real estate online forums) to promote our business.
Offer Pro Bono services as part of our community social responsibility via fashion shows, beauty
exhibitions and what have you.

Brand all our official cars

Beauty Salon Business Plan – Financial Projections and Costing

Starting a beauty salon trade can be cost effective; this is so because on the average, you are not
expected to procure any expensive machines and equipment. Basically what you should be concerned
about is the amount needed to secure a standard office facility in a good and busy business district, the
amount needed to furniture and equip the office, the amount needed to pay bills, promote the business
and obtain the appropriate business license and certifications.

Basically, this is the area we are looking towards spending our start – up capital on;

The Total Fee for incorporating the Business in New York – $750.

The budget for Liability insurance, permits and license – $2,500

The Amount needed to acquire a suitable Office facility in a business district 6 months (Re –
Construction of the facility inclusive) – $40,000.

The Cost for equipping the office (computers, printers, fax machines, furniture, telephones, fittings,
safety gadgets and electronics, hair equipment et al) – $2,000

The Cost of Launching your official Website – $600

Budget for paying at least two employees for 3 months and utility bills – $30,000

Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,500

Miscellaneous – $1,000

Going by the report from the research and feasibility studies, we will need about $150,000 to set up a
small scale but standard consulting firm in the United States of America.

Generating Funding / Startup Capital for Simply- Cute Beauty Salon

Simply- Cute beauty salon is going to start as a private business that will be solely owned by Mrs.
Andrews. She will be the sole financial of the firm, but may likely welcome partners later which is why
he has decided to restrict the sourcing of her start – up capital to 3 major sources.

These are the areas we intend generating our start – up capital;

Generate part of the start – up capital from personal savings

Source for soft loans from family members and friends

Apply for loan from my Bank

N.B: We have been able to generate about $50,000 (Personal savings $40,000 and soft loan from family
members $10,000) and we are at the final stages of obtaining a loan facility of $100,000 from our bank.
All the papers and document has been duly signed and submitted, the loan has been approved and any
moment from now our account will be credited.

BUSINESS GROWTH: Sustainability and Expansion Strategy

It is easier for businesses to survive when they have steady flow of business deals / customers
patronizing their products and services. We are aware of this which is why we have decided to offer a
wide range of nail beauty services to both big and small clients.

We know that if we continue to deliver excellent hair services and general beauty services, there will be
steady flow of income for the organization. Our key sustainability and expansion strategy is to ensure
that we only hire competent employees- like the very experienced Vietnamese ladies. We will create a
conducive working environment that will add to the wealth of experience that our team has. In the
nearest future, we will explore the options of either merging with other beauty related businesses in the
industry, in order for us to increase our market share.

We know that if we implement our business strategies, we will grow our nail salon business beyond New
York City, New York to other states in the U.S in record time.

Check List / Milestone

Business Name Availability Check: Completed

Business Incorporation: Completed

Opening of Corporate Bank Accounts various banks in the United States: Completed

Opening Online Payment Platforms: Completed

Application and Obtaining Tax Payer’s ID: In Progress

Application for business license and permit: Completed

Purchase of All form of Insurance for the Business: Completed

Conducting Feasibility Studies: Completed

Generating part of the start – up capital from the founder: Completed

Applications for Loan from our Bankers: In Progress

Writing of Business Plan: Completed

Drafting of Employee’s Handbook: Completed

Drafting of Contract Documents: In Progress

Design of The Company’s Logo: Completed

Graphic Designs and Printing of Packaging Marketing / Promotional Materials: Completed

Recruitment of employees: In Progress

Purchase of the Needed furniture, office equipment, electronic appliances and facility facelift: In
progress

Creating Official Website for the Company: In Progress

Creating Awareness for the business (Business PR): In Progress

Health and Safety and Fire Safety Arrangement: In Progress

Establishing business relationship with key players in the industry: In Progress