Nearly all of the steps below are the same as those taught in SBE100: Entrepreneurship at BMCC. You can now apply those skills. Take what you have learned and it will give you the detailed help you need to open a spa or salon. Need a mentor? Join SkysTheLimit.
Every step below is covered in detail in the SBE100 class and in Heidi Neck’s textbook which is part of the course.
Start a nail salon by following these 9 steps:
You have found the perfect business idea, and now you are ready to take the next step. There is more to starting a business than just registering it with the state. We have put together this simple guide to starting your nail salon. These steps will ensure that your new business is well planned out, registered properly, and legally compliant.
Check out our How to Start a Business page.
STEP 1: Plan your business
A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:
- What are the startup and ongoing costs?
- Who is your target market?
- How much can you charge customers?
- What will you name your business?
Luckily we have done a lot of this research for you.
What are the costs involved in opening a nail salon?
Most nail salons are at least 1,000 square feet, and building out a salon typically costs between $75 and $125 per square foot. This comes to a total build-out cost of $75,000 to $125,000 for a 1,000-square-foot salon.
Business owners who are looking to reduce the startup costs for a nail salon may be able to purchase used equipment from a previous salon owner, or even lease space that has previously housed a salon. Finding a location where a salon closed will greatly reduce buildout costs.
Alternatively, business owners might be able to find a location where a property owner will build to suit. In build-to-suit agreements, property owners usually build a facility to the tenant’s specifications, and the tenants agree to a lease.
What are the ongoing expenses for a nail salon?
The ongoing expenses for a nail salon business include supply costs, employee’s wages (whether salaries or commissions), taxes, rent, maintenance on equipment and insurance. Supply costs are usually between 2 and 8 percent of sales.
Who is the target market?
A nail salon business’ ideal customer is someone who cares about their appearance, appreciates fashion and has some discretionary income. Such a person is likely able and willing to spend money to make their nails look good. Most salons’ customers are primarily women, but salons also serve men.
How does a nail salon make money?
A nail salon makes money by charging customers for manicures, pedicures and similar treatments. Some also sell premium nail care products.
How much can you charge customers?
Nail salon businesses offer a number of different nail services. Manicures typically range between $15 and $25, and pedicures are usually between $25 and $45. Other major treatments include:
- Full gel sets ($45 to $75)
- Full acrylic sets ($30 to $60)
- Silk nails ($10 to $15)
Fillers, polishes and repairs are needed between full sets. These kinds of services range from $3 (for some repairs) to $30 (for gel polishes).
How much profit can a nail salon make?
A single nail salon business might bring the owner between $40,000 and $75,000 each year. The business model is easily scalable, though. Some nail salon owners have lots of locations and are millionaires.
How can you make your business more profitable?
A nail salon business can increase its revenue by upselling customers with additional services and selling premium nail care products. Since salons already use high-end products, it’s easy to sell these to customers who want to take better care of their nails at home.
Check out our Nail Salon Business Guide!
What will you name your business?
Choosing the right name is important and challenging. If you don’t already have a name in mind, visit our How to Name a Business guide or get help brainstorming a name with our Nail Salon Name Generator
If you operate a sole proprietorship, you might want to operate under a business name other than your own name. Visit our DBA guide to learn more.
When registering a business name, we recommend researching your business name by checking:
- Your state’s business records
- Federal and state trademark records
- Social media platforms
- Web domain availability.
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“A nail salon business’ ideal customer is someone who cares about their appearance, appreciates fashion and has some discretionary income.” That’s a good start for building your ideal customer avatar. According to some experts failure to focus your target market is the leading cause of failure for new services businesses.