Are you interested in starting a tanning salon business? Or you need a sample tanning salon business plan template? Do you have passion for beauty care? Then i advice you read on.
The several warnings about exposure to ultraviolet light seem to have fallen on people’s deaf ears, as the indoor tanning salon industry continues to grow. Tanning salons have remained popular as ever and, from all indications, they will remain relevant for a very long time to come.
Starting a tanning salon requires a relatively large upfront investment, but it can become highly profitable over time. If you are considering tapping into this growing industry, then i advice you read on to learn all you need to know or do before taking a plunge.
Tanning salons are quite different from each other in a number of ways, but the steps involved in starting them up are almost the same. These steps are discussed below:
Starting a Tanning Salon – Sample Business Plan Template
1. Learn more about the business
This is undoubtedly the first step to take before starting any business that you know little to nothing about.
You can start by visiting a few tanning salons you know and meet their owners or managers. Tell them about your plan to start your own tanning salon, and find out about the job satisfaction, the risks involved, and other things you need to know about the business. Also, you need to learn the right steps to take and the mistakes to avoid while trying to open a tanning salon.
The longer you spend on your research, the better. As a recommendation, you should try to visit at least two tanning salon owners or managers. And spend some time in their salons to see how the business runs. Check their tanning beds, restrooms, reception area, and other facilities to have an idea of what you will need.
Another very important step, which is crafting a business plan for your business is like working out a compass to guide the business from launch to growth.
Your business plan will outline the details of your company (such as location information and description), the services you will render, your financial plan, your marketing plan, list of needed equipment, staffing requirements and position descriptions, the competition, your unique selling points, and your business model.
If you will need to approach third parties for funds, then you should tailor your business plan to each investor or lender, and be prepared to answer any questions about your business plan or company.
Having written a comprehensive business plan, your next step is to research the total cost of starting a tanning salon. Don’t forget to include the cost of less obvious things like insurance, business sign wiring, voltage boosters for tanning beds, and any licensing required.
To be on the safe side, you should budget 20 to 25 percent more than the estimated total cost. This will cover for any unforeseen costs that may threaten to cut your budget short later on.
After doing the above, you can then proceed to source for the required funds. If you cannot gather everything from your end, you may consider approaching friends and family, or angel investors. Better yet, you can apply for a small business loan from a bank or other loan-issuing institution.
A high-traffic area is best for a tanning salon. You can choose a retail outlet that is large enough to accommodate the number of tanning beds you plan to install, and that supports your high electrical demands. Also, you should consider a location that is very close to related businesses, such as hair salons and spas. This will help you maximize the amount of potential customers that will pass by and notice your salon.
5. Buy and install the needed equipment
Purchase and install your tanning beds and other equipment that you will need. Tanning beds can cost as much as $10,000. Used ones being less expensive, but may also need maintenance. If you are buying used beds, you may need to replace all of the bulbs before the bed can be used commercially.
To avoid missing some of the necessary equipment, you should make a list of all the equipment you will need and list their prices. Some distributors will supply all the startup equipment that you need in a complete package. Don’t forget to buy safety placards and other signage you will need in your salon.
Remember that you will also need computer infrastructure, a point-of-sale payment system, and a Customer Relationship Management system that will track customer’s preferences, tanning times, prepayments and other information. You might also need to install a system to link the individual beds to the cashier’s location, so the cashier can set individual bed times from the front store.
6. Hire the needed staff
You will need to hire some people to work with you, such a cashier to receive payment, a receptionist (if necessary), and an operator to be in charge of powering and checking the tanning beds (you can decide to handle this part yourself if you have enough time on your hands).
7. Market your business and start operations
Since online marketing is now about best way to attract prospects, you will need to set up a website as soon as possible. This will serve as your online point of call. You will need to adopt various online marketing strategies to spread word of your tanning salon. These include publishing press releases, advertising on blogs, and creating awareness on social media.
Offline marketing still works, too. So market your business in your local newspaper, display advert slots, and TV. As soon as you start attracting clients, make sure to give them strong reasons to check back again, such as offering them attractive discounts and offering satisfactory services.