How to Grow a Salon Or Spa in a Challenging Economic Environment

Making your salon or spa stand out above and beyond your competition has to be your number one priority as an entrepreneur, and small business owner สมัครพริตตี้สปา. You must be diligent and relentless in this pursuit. With every new day more, and more hair, and nail salons, are labeling themselves spas. So, you will need to be bigger, better and different. No matter how well-designed your location (salon or spa) website, or sales presentation, without proper budgeting, you will more than likely, run out of money, or energy and fail. My motto in business is: “Anyone can get lucky. Not everyone can get smart.” This article is to help you with your smart business thinking.

First the facts.

Seventy percent of all small businesses close their doors within the first two years of operation. What’s really scary is that ninety-one percent of all salons and spas, are owned and operated by small business owners. This means that only thirty percent of these entrepreneurs, who open a spa or salon will still be in business after two years of operation. The single, biggest reason for this is under-capitalization. In laymen’s terms; they simply run out of money.

Sometimes this,(under-capitalization)can be attributed to lack of education; other times, just plain-old wishful thinking. But I digress. When I speak of education, I am not just referring to an individuals formal education, in obtaining their Business Management, International Business, Business Marketing, or any of the other specialized Business Degrees. But most importantly, to salon operating experience. Don’t take me wrong, getting a degree certainly helps, but is not a fundamental prerequisite of being a successful entrepreneur; The education model in which I refer is operational management, and an individuals ability to manage, and hire a great staff.

You may be asking yourself what exactly does operational management, and professional’s ability to manage a staff have to do with under-capitalization. The answer is everything.

A common (major) mistake when writing a business plan(assuming you have a business plan), is slanting plan numbers to make our dreams become a reality. This often results in under budgeting (under capitalization), based on best case scenarios. If you can’t make your worse case scenario numbers fit your plan, stop and re-evaluate. My advice is to save a little longer, and get into a stronger financial picture, to save yourself a lot grief, stress, and heart ache later.