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Everything You Need To Know About Opening a Beauty Salon

Everything You Need To Know About Opening a Beauty Salon

By Micaela A. Micaela A. Verified by Saskia H. Saskia H.Last updated: February 18, 2025 (0)
Table of contents

The beauty industry isn’t just growing – it’s glowing! With more people investing in self-care and beauty treatments, opening a salon can be a fantastic (and profitable) adventure. But before you pick out the perfect paint for your walls, let’s talk about what really matters: qualifications.

Running a salon is not just about making people look fabulous (although that’s a big part of it). You need the proper licenses, some business know-how, and maybe even a little patience for all the paperwork. Cosmetology certifications, business permits, and buying material… being prepared will help you avoid hair-raising legal troubles and set you up for success. But don’t worry; we’re here to walk you through the must-haves.

Inside of a beauty salon

What qualifications do you need to open a beauty salon?

Opening a beauty salon requires more than just mastering the perfect blowout or the latest nail art trend. You need to combine skill and strategy with being business savvy. So, what do you need to turn your beauty biz dreams into a reality?

Educational and professional background

While you don’t need a PhD in hairspray science, some formal education goes a long way. Most states require salon owners (or at least their stylists) to have a cosmetology certification from an accredited beauty school. However, you can also get these certifications online from programs like the Complete Nail Technician course by Lead Academy.

However, if your focus is more on the running of your salon, taking business management courses can help you handle everything from finances to how to hire the best stylists.

Woman studying

Licensing and legal requirements

You may be wondering… do I need a license to open a beauty salon? The short answer is yes, you do. Laws vary depending on the state you want to open your salon in, but you’ll likely need:

  • A business license.
  • A salon license to operate legally.
  • Health and safety certifications to keep things clean and compliant.

Skill set and business knowledge

Running a salon means juggling customer service, marketing, and management like a pro. You need to combine people skills (because happy clients = repeat business) with financial know-how and marketing strategies to get your service out there.

Cutting hair

The cost of opening a beauty salon and other financial considerations

They say beauty is priceless, but opening a salon? That definitely comes with a price tag. Whether you’re dreaming of a cozy boutique salon or a high-end lounge, understanding the financial side of things is key.

What you need to open a beauty salon:

  • Rent and utilities: Location is everything, but it comes at a cost! Make sure find a compromise between location and price, setting an affordable monthly budget while you build your client list.
  • Equipment and furniture: Your salon needs to be attractive but organized. You may require styling chairs, mirrors, shampoo stations, and dryers.
  • Beauty supplies and products: You can’t give a killer haircut with dull scissors or have clients browse empty shelves. Plus, the products you use should be high quality and trustworthy.
  • Licensing and permits: Remember the paperwork we talked about earlier? Well, that will probably cost you a dime or two.
  • Marketing and branding: A fabulous website and social media presence don’t just happen. Some knowledge of marketing and sales can be a big ally when it comes to increasing your client list.

Makeup professional

When you add up the overall startup costs, you may be looking at spending anywhere from $10,000 for a small suite to $100,000+ for a full-service salon.

Setting up a beauty salon on a budget

If your budget is tighter than a topknot, worry not, as you still have options:

How to open a beauty salon with no money

1

Small business loans: Banks and the Small Business Administration offer several financing options for beauty entrepreneurs.

2

Grants and funding programs: Some organizations support small business owners, especially women and minority entrepreneurs.

3

Bootstrapping: This is probably the most realistic option and it involves starting small. You can rent a chair in an existing salon or start with mobile services.

No matter your budget, thoughtful planning and resourcefulness can help you bring your salon dreams to life without maxing out your credit cards.

Exploring alternative models: Can you open a beauty salon in your home?

Building your business doesn’t have to take a conventional, straightforward path. A home-based salon is a fantastic way to dip your toe (or nails) into the industry without drowning in overhead costs. But everything has its positives and negatives:

Pros
  • Lower costs
  • Flexible schedule
  • Loyal clientele
Cons
  • Legal hoops
  • Limited space
  • Work-life blur

What to consider before turning your home into a salon

Before setting up your home-based salon, ensure you’re playing by the rules. The first thing to do is check your local laws. Some cities and neighborhoods have strict zoning restrictions or require special permits for home businesses.

Next, set up a space that makes your clients feel like they’ve walked into a real salon, not your living room. A comfy chair and good lighting can make all the difference. If you can swing it, a separate entrance will make things feel even more professional.

Don’t forget about insurance. Accidents happen, and you don’t want to be on the hook if someone takes a tumble while getting a trim. A little extra coverage can save you a world of trouble (and a whole lot of money).

Paperwork trading

Finally, market like a pro! Just because your salon is small-scale doesn’t mean your online presence has to be. Social media is your best friend. Post content such as before-and-afters, client testimonials, and photos to show off your skills. If people don’t know you exist, they can’t book an appointment!

You can also take advantage of marketing tools for small businesses and create chatbot automations to handle appointment booking.

How to open a beauty salon: Final checklist and additional tips

To ensure your salon is styled for success, make sure you’ve got all your bases covered with our final checklist:

  • Education and licensing: If you’re offering services, make sure you and your staff have the necessary cosmetology certifications, such as those offered by online providers like Lead Academy.
  • Business setup: Register your business, get your tax ID, and secure all permits.
  • Budget and funding: Whether you’re bootstrapping, applying for a loan, or crowdfunding, know where your money is coming from (and where it’s going).
  • Location and setup: Home-based or in-store? Ensure your salon space is client-ready and meets local health and safety standards.
  • Marketing and branding: A salon without clients is like a curling iron that won’t heat up. Manage your website, social media, and local advertising.
  • Insurance and compliance: Accidents are unavoidable, so sign up for liability insurance and verify that your salon meets all industry regulations.

Two women in a nail salon

Before you roll out the red carpet for your grand opening, guarantee you have everything you need to stay organized. Keep track of appointments, finances, and inventory to avoid any mistakes.

Since the beauty industry is constantly evolving, you should follow it. Staying up-to-date with new techniques and styles is paramount. Providers like Lead Academy offer courses and helpful information on their websites, accessible with just a few clicks.

Your path to salon success

Getting a beauty salon up and running requires education, financial planning, and legal paperwork. From securing the proper licenses and certifications to managing costs and creating a solid business plan, every step matters.

Beauty salon

A well-planned business means fewer headaches, happy clients, and a thriving beauty empire. Plus, wouldn’t it be nice to focus on creating gorgeous looks instead of stressing over last-minute paperwork?

If you’re ready to level up your skills and knowledge, options like Lead Academy have courses and resources to guide you through every step of the process. Now, it’s time to make your salon dreams come true!

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