 Re: Closing…
The cost to stay open is only two things:
Payroll
Utilities
If the presumption is that the salon is dead slow, the utilities will be quite low anyway. A little A/C, a little heat. Make sure the staff doesn't set them above/below your requirements and dress appropriately.
Payroll. If you were to be open even 10-8 T/Th (assume you stay shut Sundays), that is 20 hours. At $7, even with taxes & fees - about $85 per day or $175/week. You said you were going to try this until December, so only about 10-12 weeks.
Bottom line - you are cutting probably $2K in costs, to try this gamble.
It seems unlikely you won't be able to make that much, in sales those days as well as sales you don't lose by customers switching salons.
To look at it another way - it seems likely you will LOSE more than $2K across your year by choosing this strategy for these next 3 months.
But - no data to predict for sure, and it is your business so you will do what you think is the best strategy and live with the outcomes either way.
Keep us posted - |