Menu

Author: Nova Blogger

Things To Consider When Searching For The Right Business Premises

Posted on by Nova Blogger

For any business, finding the right premises can be challenging. Business premises are one of the biggest expenses for a business, so it is important to find the right one at the right price, in the right location. It can often take longer than you think and you might need to look at many places before finding the right one, but it is usually worth it.

Here are a few tips to help with the process:

 

Decide On What You Need

Do you want to buy or lease? Both have their pro’s and con’s, it depends on your situation. If you are just starting up, it may be wise to lease somewhere until your business has proved its-self, before making the commitment to buying a property. However, if you are an already established business looking to grow, then buying premises could be a long term investment.

Whatever you decide on, you will still need to work out what you need, based on a combination of both your business’s current and future plans. A few things to consider are: what size of premises, what layout, and the length of time you require the property if you are renting. Your location of choice will depend on your business type, and you may need to be near your customers if your business requires it.

Set a Budget

The most important thing here is to make sure you can afford whichever premises you are interested in. Look at your business financials to get an idea of how much you can afford to spend, and do some research about the various costs you are likely to incur. For example, there are costs to get the premises, such as deposits, equipment, furnishing, renovations, moving, and any professional fees. Then there are also costs to run the premises on a monthly basis, such as rents, heating, business insurance, business rates, etc. Once you have a realistic idea of your budget and the costs, then you can start the process of looking for your ideal premises.

Get Professional Help

Now it’s time to get professional help for your search. You need to make sure you seek professional advice before agreeing to any terms, signing any paperwork, or paying any deposits, so you don’t make any mistakes. Your accountant would be able to double check your budget to see if it is affordable.

Commercial property leases can be complicated, and so there is a good chance you will require a commercial property lawyer. Also, you will need a commercial property agent to find a list of vacant premises for you to look at.

Start Searching

At this stage, it is important to try to see as many properties as you can. It may help to make up a schedule so you know in advance when you have to view properties. Setting up a checklist can be a great way to compare the properties you see, so you can make a better decision about which is best.

The list could contain all the elements that are important for your business. You can then score each property you see based on your criteria. At the end of your search, the ones with the highest scores can be put on a shortlist for further consideration.

Purchase The Premises or Sign The Lease

Once you have found your ideal premises, one that fits all your requirements and meets your budget, then it’s time to sign agreements and hand over deposits. Your professional advisers will help to guide you through each step of the completion process. After all that is done, then it’s time to renovate, move into your new premises and carry on with business as usual.

 

9 Steps For Starting Up A Bricklaying Business

Posted on by Nova Blogger

Running your own bricklaying business will provide you the opportunity to be your own boss and set your own hours, but there are a few things you’ll need to get your business on the right track to success from the start.

Here are 9 steps to help you launch your business:

 

Step 1: Create a business plan

Writing a business plan will help you determine your business goals and the resources you need in order to meet those goals. The process of writing a plan will also give you a chance to see if your idea is feasible or not. Your plan will act as a working document for your business, as well as a tool for getting any required finance.


Step 2: Get the right training and qualifications

Once you decide that your idea is feasible, the next step is to get qualified. If you have no formal training in the construction industry, then you should consider taking one of the many accredited bricklaying courses that are available. It would also be a good idea to find some kind of temporary or part-time bricklaying work so as to practice your skills. If on the other hand you have experience in the industry, then put together a list of your current skills/experience and determine what additional training and qualifications you need to get.


Step 3: Get the necessary finance

With your business plan written, you can now begin the process of looking for money to fund your start-up. Check to see if there are any available government funded schemes that offer financial assistance to your industry. It is also worth approaching your bank and the many alternative lending providers including crowd funders.


Step 4: Find a suitable business location

You now have to decide where you will operate your business from. With a bricklaying business you will need a suitable place, because you will have equipment and materials to store. You may choose to work from home to begin with, in which case you should set-up a designated area for that. However if you decide that you want to work from away from your home, it is best to look for a location that is easily accessible, so that potential customers will be able to reach you.


Step 5: Register your business

Now it is time to decide whether to operate as a sole trader or a limited company. Both have their pro’s and con’s. It is easier to set up as a sole trader, but a limited liability company will offer more legal protection. If you decide to incorporate, then you have to choose a name and register it with Companies House so no one else can use that name. Regardless of which structure you choose, you have to notify HMRC of your decision, so you can apply for the necessary tax/ national insurance documents before you begin.


Step 6: Get equipped

It is time to equip your business with any tools you need to perform your bricklaying tasks. This will also involve choosing a vehicle to transport you and your kit. Depending on your finances you may decide to buy these items outright or to lease them until your business grows. If you already have equipment, then this is the time to get them cleaned and serviced.


Step 7: Apply for licenses and permits

You need to contact your local council in order to find out what licenses and permits are legally required for you to operate as a bricklayer. This is also a great time to join any relevant trade associations.


Step 8: Get Insured

This is one of the most important steps that you must complete. In bricklaying as in many construction related jobs, accidents can and will happen. Therefore it is essential that you protect yourself, and your business from any legal action that may follow. To begin with you would need some type of public liability insurance coverage, this is is great for things like customer and staff injuries as well as any mistakes or damage to your customers properties. Then you need some form of coverage for your all equipment including vehicles if you have them to protect them for loss, damage or theft. Finally you may want to consider some form of income protection so you are covered in times when you are unable to work due to personal illness or other unforeseen events.

Step 9: Promote your business

Once you are financially and legally ready to start operations, you focus should now be on getting customers. A great way to do so is by having an online presence via a company website. This will make it easy for potential customers to find out about your business and the services you offer. Couple this with the many social media channels and you can reach a large audience of potential customers quickly. Offline you can take out ads in local papers and business directories. It is also worth networking with other tradesmen, to find out if there is any work you can do together.

Once you have completed all these steps, you will be ready to launch you new bricklaying business, knowing that you are adequately prepared for the journey ahead.

 

 

Making The Switch From A Sole Trader To A Limited Company

Posted on by Nova Blogger

You can choose to change your business’s status from sole trader to limited company at any time. Both formats have their pros and cons; the best choice will depend on a combination of your current situation and future plans. However, there may be an optimal time to make the switch, and that is when the benefits of being a limited company outweigh those of being a sole trader.

So when might this be? Well, here are a few possible situations in which it might be the right time to make the switch, but it is important to make sure you calculate the potential benefits and savings first before making the switch.

You may decide it’s time to make the switch if:

Your salary is increasing:

As a sole trade,r you have only one way to take your salary, and that is as a salary, plus you must pay both income tax and national insurance contributions on it. A company director, on the other hand, can choose to take their wages by a combination of salary and dividends. Dividends are free from national insurance contributions. So as a company director, you can reduce your taxes by taking a small salary and the rest from dividends, making it a more tax-efficient way.

You are looking for investment:

If you are looking for investors, then setting up as a limited company means that you can sell shares to investors. Also, there is the added perception that a company has more credibility than an individual, and so many companies prefer only to do business with a limited company. Due to this, potential investors are likely to be more open to investing in a limited company as opposed to a sole trader.

You are concerned about liability protection:

As a sole trader you and your business are considered one and its debts are yours, so if your company fails then you are liable for it’s debts. A limited company on the other hand is legally a separate entity from its owners, and so if your company is fails then your personal assets are not at risk, because as a share holder you are not liable for its debts.

Your company profits start to grow:

When you are trading as a sole trader, you are taxed via the annual self assessment system and you and your business are considered one entity. A company, however is taxed via the corporation tax system. There are some potential tax savings that can be made by switching to a limited company.

For example, for the 2016 -2017 tax year, as a sole trader your tax free allowance is £11,000, you the pay 20% tax on any amount between £11000 and £43,000, after which you are taxed a higher rate of 40%. However for a limited company, the annual small profits tax rate is currently 20% on any amount up to £300,000. So switching to a limited company may be more tax efficient because even though it is taxed at the same tax rate, it has a much higher maximum amount.

You want to protect your intellectual property:

By registering your company name with companies house, you prevent any other person or business from using the name, it is now protected by law. However as a sole trader you don’t have this protection, and so it can be a lot harder to protect your name.

So there are some scenarios in which you might consider changing from a sole trader to a limited company, because to do so will result in some form of savings and other tangible benefits. If you do make the decision to switch, you then need to notify the HMRC that you are becoming a limited company, and then de-register as self employed. From there it is a simple process of registering your business with Companies House and then you can start trading as a limited company.

 

 

 

Top Tips For Dealing With Customer Complaints

Posted on by Nova Blogger

 

In business having a customer complaint is a common experience, because you can’t please everybody all the time. Regardless of how hard you try, there will be mistakes or you may be faced with a customer who just likes to complain. Depending on how it is managed every customer complaint can end in one of two ways, you will either get an angry customer, or a happy customer. The aim is to minimise the number of complaints and to ensure that the same complaint does not keep happening repeatedly.

What is important is that companies acknowledge these complaints and make sure they are dealt with in a timely and effective manner. Failing to do so may result in a bad reputation for the business, as it shows the customer you don’t care. All businesses must place customer satisfaction first and develop a system for handling customer complaints, in order for long term success.

It is a good idea to set up an in house complaints procedure that can be quickly implemented anytime a complaint is received, and the staff dealing with customers should be properly trained. Make sure that proper records are kept of all customer complaints and their final solutions. Also, with social media becoming increasingly important for unhappy customers to voice their dissatisfaction, it is a good idea to monitor your social channels regularly so you can intervene quickly. Here are some useful tips for dealing with unhappy customers.

Handling The Complaint In A Neutral Way

The first step is to take the complaint in a neutral way. When people complain they are often emotionally charged up, so it is important to let them voice their complaint without responding emotionally. You must remain calm at all times even if the customer becomes angry. You may have a had a similar complaint before, but to the customer it is unique to them, so pay attention to them and listen to their problem in full. Try to place yourself in their shoes and empathise rather than becoming defensive. If the customer is blaming a particular member of staff, get them away from the customer, because it will be easier for the customer to calm down if they aren’t present. Make sure the appropriate staff member handles the complaint because customers hate being passed around from person to person.

Giving An Apology

The next step is to apologise. Once the customer has aired their complaint, you must give them a sincere apology regardless of your opinion on the matter, with no excuses. Let them know you understand what has happened and ask them what outcome they are seeking. Try to keep them informed as you tackle the issue, so they don’t feel ignored. All complaints regardless of how small, should be dealt with quickly as possible so the customer feels that they are a priority.

Resolving The Problem

The final step is to resolve the problem, this can come in many forms ranging from refunds to compensation. After resolving the issue it is a good idea to contact the customer at a later date to see if they were happy with the outcome.

Sometimes it is not possible to avoid customer complaints, but it is possible to prevent a disgruntled customer from spreading negative comments about your business, by handling the complaint properly.

By taking care of complaints effectively you can improve your company reputation while at the same time retaining your customers. Customers will know that if anything goes wrong with their order, you will take care of it. This will make your business stand out as a customer friendly one, which may in turn lead to referrals from happy customers.

For a business, complaints can provide a great opportunity to learn more about your customer, and to use that information to improve their customer experience. You also have the chance to turn the complaining customer into a loyal customer. Dealing with customer complaints can be challenging, and there will be times that nothing can be done to satisfy an unhappy customer.

 

 

What Are The Allowable Business Expenses For The Self Employed?

Posted on by Nova Blogger

Every year the majority of self employed people in the UK are required to file a self assessment tax return. For those that do it online, the submission deadline is January the 31st each year and the 31st of October for those that file paper returns. Here is a look at the subject of business expenses and how they are included in annual returns.

What are allowable business expenses?

They are defined as costs that are incurred “wholly and exclusively” for the purposes of the business.

Who is entitled to claim them?

Any one who is registered as self employed with HMRC. Theses expenses can be written off against any income you earn in the tax year, thereby reducing the final amount of tax you pay.

What can you claim for?

Not all expenses are allowed, you can’t claim for personal expenses, and there are some business expenses that you can’t claim for. It is very important to separate business expenses from personal ones, and if there is something you use for both, you can only claim for the business use.

For example if you work from home you can claim for costs such as heating, electricity, council tax, mortgage interest, rent, internet & phone. However you have to calculate them, based on how much time you spend working at home and how much space you use when you are working. Then you have to figure out what proportion of your total house costs they account for.

Here are some of the business costs that you can claim as tax deductible expenses:

  • The cost of goods that you are going to sell or use in providing a service.

  • If you are in the construction industry, you can claim payments to subcontractors.

  • Staff costs such as wages, salaries and any other staff costs.

  • Travel cost including car, public transport, taxi’s and other travel expenses.

  • Premises costs such as rent, rates, power and insurance.

  • Office costs such as phone, fax, stationery and other office costs.

  • Advertising and business entertainment costs such as websites, social media.

  • Finance costs such as interest on bank and other business loans, bank and credit card charges.

  • Professional fees such as accounting, legal and other professional fees.

Here are some of the costs you cannot claim as tax deductible expenses:

  • The cost of goods or materials bought for private use.

  • Your own wages, drawings, pension payments, national insurance contributions.

  • The costs of buying, improving or altering premises.

  • Cost for entertaining clients, suppliers and customers.

  • Repayment of the loans or overdrafts, or other finance arrangements.

  • The costs of buying premises for your business.

  • Any payments to clubs, charities, political parties and so on.

How and when can you claim them?

When you complete your annual self assessment tax return, you are required inform the HMRC of your deductible expenses for the accounting period in question. This is when you make your claim.

If you are self employed, you have to keep records of your business income and expenses for your tax return, so throughout the tax year you should keep all your receipts. It can also be very helpful to record them as they occur in some form of bookkeeping / accounting software, or on a simple spreadsheet. This will save a lot of time and make your final calculations easier when it comes time to file your annual taxes.

If however you don’t want to work out your actual costs, you can use the simplified expenses table provided by the HMRC for that tax year. It has flat rates for expenses like like vehicles, working from home, or living on your business premises. Also you can check out the HMRC’s site for other tools and calculators to help with you self assessment submission.

 

 

How To Provide Your Salon’s Customers With Excellent Customer Service

Posted on by Nova Blogger

Customer service is the process of taking care of potential, new, and existing customers before during and after a transaction is made. The aim is to provide an experience that exceeds customer expectations and leads to a satisfied customer. When done properly, customer service is mutually beneficial, providing the customer with a service that meets their needs, and your salon with repeat business. Good customer service will mean an increase in customer loyalty which may result in your customers spending more money, more often with your salon. It is also important for your salons reputation, as a happy customer will spread a positive message about you to others.

Providing excellent customer service means becoming more focused on the customer as a human being rather than as a profit centre, your main aim should be to build good customer relationships. This means you need to understand their needs and wants, treat them respectfully and go out of your way to help them, so you can develop a strong rapport with your customers.

Here are a few tips to help your salon provide the best service to your customers:

Salon Design

To begin with, your salon’s design should be appealing and the services you offer should be relevant to your target markets needs. There should be a formal system in place to deal with all the stages of interaction with your customers, and all your staff must be familiar with it. Also, you must take care of your staff as they are the face of your business. They must be properly trained and given the necessary tools they need to perform their duties.

Staff

Staff should conduct themselves in a friendly but professional manner at all times. They should always be polite to the customers, greeting them with a warm friendly smile. Using first names and remembering facts about their life, such as their birthdays, vacations stories or kids name will make your clients feel special and important.

Keeping The Customer Updated

Customers should not be kept waiting at any time. If you feel you will be running late, give them a call so they can make any adjustments to their schedules, it will be appreciated. It is important to ask clients questions about the service you are about to perform, so as to make sure you are on the same page, for example when it comes to new hair styles or hair colouring.

You can use technology to help you provide a better service, for example sending out automatic texts or emails a few days before their appointment, to remind customers and give them a chance to reschedule if it is no longer appropriate. You can also use the internet to send them information about how to take care of their hair after their visit, and to set up an opt in newsletter that informs them of new trends in the industry, combined with a loyalty discount programme for frequent salon visits.

Handling Complaints

You should listen to customers opinions and suggestions for improving your salon and their experience. It is also important to have a process in place for handling complaints, which must be dealt with quickly so as to avoid any further grievances.

Ultimately as a salon you are in the business of serving customers, so by providing excellent customer service should be your main goal. Good customer service takes time and requires constant monitoring in order to keep the standards consistent. The success of your business depends on how your customers feel when they leave your salon, because it is the customer experience that separates your salon from your competitors.

A regular review of your customer service procedures is essential to maintain and improve existing standards. Remember it costs more to get a new client than to keep an existing one, so make customer service the focus of your salon business to keep clients coming back.

Safety Tips For Roofers and Scaffolders Working At Heights

Posted on by Nova Blogger

As a roofer and or scaffolder the majority of your work involves working at high elevations, and working from heights represents one of the biggest safety challenges in the construction industry. Slipping and falling from heights or objects falling from heights cause serious and fatal injuries every year. So it is very important to follow a strict code of practice with regards to health and safety, in order to minimise the chances of workplace accidents.

All roofers and scaffolders in the UK are required by law to hold a valid CSCS card as proof that you have obtained the required training. This involves passing the CITB Health, safety & environment (HS&E) test, which demonstrates that you have a minimum level of health, safety and environmental awareness before going onto any site.

Risk Assessment:

Before undertaking any work at height, a proper risk assessment must be carried out to highlight measures that need to be taken in order to prevent any potential accidents. The recommended health and safety risk management approach involves five steps, first check for any potential hazards that are commonly associated with falls, then decide who could be injured and how. Next consider whether there are already measures in place to deal with the risks, then record your findings. Finally perform a regular review to account for any significant changes that may take place, and ensure that precautions are in place to deal with any new risks.

Basic Safety Tips:

In addition to performing risk assessments, there are some basic safety tips that can be adopted to prevent injuries on the job. All Roofers and scaffolders must use the required PPE equipment when on site, and this equipment should be kept in good working order at all times. Hard hats must be worn at all times when working on site, and non slip shoes should be used when working on ladders or scaffolds to improve grip. When the weather is not good, such as when it is very windy, or raining or snowing, it can be dangerous to work at heights, and so it should be avoided at these times.

To stop objects falling onto people below, heavy equipment should be hoisted up as opposed to being carried by hand. Ladders and scaffolds should always be secured to prevent them moving. Don’t move scaffolds or ladders when others are working on it. Scaffolds should be fitted with guard rails to protect from falls, and toe boards to prevent falling debris, tools or building materials.

Scaffolding & Roofs:

Scaffolds and roofs should be cleaned at the end of shifts so as to remove any debris that might cause slipping. Also, it is essential to remove any equipment that is not in use from working surfaces so as to prevent people tripping on it. Loads on scaffolding and ladders should be kept well below the maximum weight capacity. When working on fragile roofs, safe access must be provided and a platform combined with safety nets should be used beneath the roof. Some form of safety harness should be worn so as to protect in the event of any falls.

Health & Safety Regulations:

It is your duty to protect yourself, your employees and members of the public from potential hazards. Therefore it is important to understand and practice the regulatory requirements that apply to your industry. The ‘Workplace Health, Safety and Welfare Regulations’ (1992) covers all aspect of the workplace while the ‘Work at Height Regulations’ (2005) covers all aspect of working at heights. Failure to comply with these regulations can lead to fines and charges.

For roofers and scaffolders, working at height and the risks that come with it are a part of the job. However many of the situations that lead to accidents can be avoided by following the appropriate health and safety practices. In the end it comes down to assessing the workplace for potential hazards, and using the appropriate safety equipment and practices.

Creative Ways To Market Your Services As A Tradesman

Posted on by Nova Blogger

 

Once you have the necessary qualifications and experience to become a self employed tradesman, the next step is to get the word out. OK that said, here are some strategies that should give you maximum bang for your money.

 

Traditional Marketing Strategies

  1. Promotional Materials:

    Even though this strategy is not new, it can still be used as part of a portfolio of strategies. You can have branded stationery such as business cards, pens, or notepads, printed and handed out to prospective customers by hand. Combined with this, you can have leaflets printed for distribution by direct mail.

    Another tried and tested method is that of placing advertisements in local newspapers, local directories or listings. This will also allow you to target a particular catchment area at a time.

  1. Joint Ventures:

    Teaming up with other tradespeople that offer complementary but different services can be mutually beneficial. It will allow you to access their customer base, providing them services that they can’t get from their existing tradesperson. In turn, they will have access to your customer base. This way you don’t compete with each other, instead you cooperate to offer a broader range of trade services which will benefit both your customer bases.

  1. Word of Mouth:

    It is often said that the best form of advertising is word of mouth. With this in mind, you can make use of your existing customer base to get referrals from them. This can be done by offering them either a discount or a small gift for recommending you to their friends or family.

 

Online Marketing Strategies

  1. Website:

    Currently, most people look for products or services online. So you must have a website that showcases your business and the services it offers. It does not have to be an expensive custom designed site, it can be a simple do it yourself one. The main thing is to have an internet presence that is informative and well maintained. This will give prospective customers a feel for the sort of work you do. If you have the time, you could add a blog that gives them relevant tips and news about your industry.

  1. Social Media:

    Having a presence on social media sites is also a must. You can do this by joining the likes of Twitter, Facebook, LinkedIn, and YouTube. These sites will allow you to get your business noticed by large numbers of people. By providing regular content that you either create yourself or have created on your behalf, you can engage potential and existing customers and, in so doing, create a community around your brand. It is this ability to communicate directly with your target market that makes social media so powerful for businesses.

 

Marketing yourself as a tradesman doesn’t have to be challenging. You can do this by combining traditional marketing techniques with new online marketing techniques, and it need not cost a lot. The key is to choose a few strategies and apply them consistently.

 

 

Getting Started As a Self-Employed Tradesman

Posted on by Nova Blogger

There are many benefits to working as a self employed tradesman, such as the freedom to choose when you work, what type of work and who you work for. However going it alone also means you are totally responsible for your success.

Here are a few tips to get you up and running the right way.

Qualifications and Experience

In order to work as a self-employed tradesman, you have to have the right qualifications and work experience.

Taking an NVQ course will teach you the skills and give you the necessary qualification you need to begin your career. It is a good idea to take a range of courses in different trades, as this may improve your chances of getting work. Take regular training courses to keep your skill-set up to date. If there are any trades that you are qualified for but have no experience in, then getting some work experience through temporary or contract work will fill that gap.

Another alternative to training is to seek out an apprenticeship. Here you get both a recognised qualification and the necessary work experience at the same time.

Setting Up as a Sole Trader

A good idea is to put together a realistic business plan that gives you an idea of how much you will need to start-up and how you will run your business going forward. It is important to factor in all your start-up costs, such as the essential equipment you need to start. Having the correct equipment is key to ensuring that work can be done to a professional level in a safe and efficient manner.

You must then set up a legal structure for your business. One of the easiest options is to become a sole trader, it is cheaper and involves less administration, and you can start straight away. It is then time to contact HM Revenue & Customs to register as self employed.

Next comes the necessary permits and licenses. You should contact the relevant trade associations to find out what licenses and permits you need in order to comply with regulations. At this stage, you will also need to get some tradesman’s insurance to cover your equipment and for public liability and accidents.

Marketing Your Services

Once you are set up legally, the next thing to do is to get the word out. Most of your business will come from word of mouth referrals, but in order to get the ball rolling you will have to do some advertising.

Depending on your budget it would be wise to a combination of offline advertising and online advertising. For your offline advertising, it would be better to put small adverts in your local papers and local shop windows than advertising in national directories. There will be less competition, and it will be cheaper and more effective to begin with.

For your online advertising, you can post in local listing sites and directories, and use social media to spread the word. You can also set up a free webpage which showcases your services and skills as well as any photos of jobs you have done. Once your business takes off, you can then look at having a professional website designed.

Managing Your Business

Once you have your first clients, then your attention should be on the day to day running of the business, and this will involve keeping records. You should have a routine set up that is a combination of basic bookkeeping and diary management.

You need to file all your receipts and payment slips as well as record any incoming and outgoing transactions on a daily basis. Staying on top of this will make it easier when it comes time to complete your yearly HMRC self-assessment. You could hire a bookkeeper or accountant to do this, but they will charge for it.

Dairy management is essential so as to be aware of your availability for new work and to avoid double booking on prior appointments. It also ensures you have a record of what was done and how long jobs are taking.

In summary, getting started as a self employed tradesman is just like starting any other business, in that it requires a bit of planning and preparation. However, once you are up and running, you can look forward to an interesting and varied career.

Starting a Beauty Salon? Here Are a Few Things to Consider

Posted on by Nova Blogger

Beauty salons tend to perform well throughout both good and bad economic times. This is because most of the services offered by salons cannot be done at home, also many people see a trip to the salon as an affordable treat. So demand tends to be fairly constant. Generally, salons and spas are quiet at the beginning of the week and booked solid coming up to the weekend.

Once you decide it is the right thing for you to do, then the next step is to spend time researching your industry and potential target market. Then put together a business plan that will guide you through the start-up phase. Start-up costs for a beauty salon can range a from between £50,000 to £200,000 depending on the kinds of treatments you intend to offer. It usually takes 6-9 months to get to full capacity and a further a year to reach break-even.

Premises, equipment and supplies

Choosing the right location for your salon is one of the most important decisions you have to make. Ideally you should choose a location that is easily accessible, safe, and with plenty of pedestrian and motor traffic as well as plenty off parking. It is best if there are other retail businesses in the area so you can benefit from their customer traffic. Premises usually range in size from 1,000 sq ft to 2,000 sq ft. The space can then be organised into a reception area, a treatment area, a storage area, and an area for staff.

Again the types of treatment will determine what equipment and supplies you need. However regardless of the treatments, you must try to get them at best price. Industry magazines and trade shows are a good place to source supplies and equipment and negotiate on price.

Licenses

This area that can often be overlooked, but it is one of the most important. The kinds of licenses required will depend on the treatments been offered, however there a some licenses that apply to all beauty salons. All beauty salons must get a license from their local council to operate as a beauty salon.

For treatments that involve lasers you must register with the care commission, and to play music in public you need a PPL (Phonographic Performance Limited ) licence. Other treatments that may need a licence include aromatherapy, massage, beauty treatments, chiropody, pedicure, reflexology, sauna, sun beds, and manicure. Also as some of the products used in beauty salons contain harmful substances, all salons must comply with the relevant health and safety laws

There are also planning permits that have to be applied for if any building work is to be done. It is best to contact your local authority early to find out what you need before starting any type of refurbishment work.

Treatments and charges

When deciding what treatments to offer, you must weigh the equipment and staff costs against the potential profitability of the treatment. There are however three broad types, skin and body-care, hair removal, and make-up.

It is important have an idea of the average income levels in the area you intend to open up, so you can set prices accordingly. If you are in an upscale area you can price your services higher as well as offer more varied and unique treatments. But if the area has a lower disposable income, it might be better to stick to the essential services at an affordable price.

Traditionally the most popular types of treatments are massages, manicures/pedicures, and waxing.

Staff

All staff must be properly trained , usually with a minimum of a level 2 or 3 NVQ . Some beauty salons prefer to recruit staff from beauty schools so as to ensure they are trained to the required standards. However others like to train the in house so they can learn to do the treatments the way the salon likes. If your salon does not have the qualified staff for each treatment, you might not get a license from the council to operate

The amount of staff you need will vary on the the size of the salon, and once a gain the types of treatments you intend to offer, however staff will be be your largest expense.

Summary

Beauty salons have become more than just a place for grooming, they are fast developing into modern day sanctuaries where people come to get pampered and let go of stress. It is important to have an atmosphere that is conducive to relaxation, coupled great customer service to match.

Because the clients experience is so important, you will need the right mix of attractive premises, high quality treatments, and trained staff to build a loyal client base.

Ready to get an
insurance quote?

GET A QUOTE

Or Request A Callback Now

Prefer to speak to an advisor?

0800 083 1566

It’s Monday and our UK based call centre is open
until 6pm tonight

Explore our website

  • X (formerly Twitter)

1995 - 2024 Nova Insurance. Nova Insurance Limited. Company Registration Number 3482686. We are authorised and regulated by the Financial Conduct Authority and our firm registration number is 307128. Registered Office : 3 Redwing Court Business Centre, Ashton Road, Romford, Essex, RM3 8QQ