Not trying to start WWIII, just take issue with someone making blanket statements that in some cases are not true.
1. Electrical upgrade - may not need it.
2. HVAC - his figure was fair if you start with no air - not likely
3. HP bed - 40,000 new yea but used half that - if you even purchase HP - i bet at least 50% of the salon owners on this site don't have a HP bed in their salon
4. Level 4 bed 20,000 yes - 35,000 no
5. 75,000 to 150,000 construction costs? On what planet?
6. 300,000 investment for 7 beds and a sunless? Sure it's possible if you want to throw money away but if you have half a brain it's half that!
7. Rent 3 to 5K - better be a great location for 5 grand - or big enough for 12 beds
Quote:
You need deep pockets to open and run a business like this. The industry is getting harder and harder to compete in and the cost of opening a salon continues to grow. Labor and materials continue to increase. If you are going to lease everything and milk every line of credit and put your house on the line are you prepared to live in a box under the bridge if it fails? More salons are failing today in record numbers. The boards are filled with used equipment and salons for sale or liquidation. It never used to be like that.
Think long and hard if you really want to do this. There are other businesses that are more profitable and worth investing in today that don't require as much capitol and still generate nice year round income. Competition has really set in and it makes it tougher to split the pie up among all of the other salons cropping up. |
If these two paragraphs aren't "doom and gloom" I'd hate to hear him go down that road. If the "vets" in here want to discourage new owners to preserve their market share then I think they should just say so. But the "blanket statements" hurt their credibility. Case in point is Tanning Queen's remark that I will pay WAAAY more money to upgrade my electric and HVAC down the road then to do it now. There is absolutely no basis for that in my situation and yet she'll repeat it over and over again. Then I find out her salon had to close?