If you considered starting your own barbershop, you must first ask yourself if it’s worth it, and, what do I need to get started? Are barbershops a profitable business?
You may be interested in barber school but unsure of the return on investment. This is understandable, and you have come to the right place. Of course, you wouldn’t want to commit to barber school if it meant it wouldn’t be profitable later on.
Nobody wants to waste their time, effort, money, and energy upgrading their skills only for job security to be uncertain. To get some peace of mind about whether becoming a barber is right for you, this guide has you covered. Read further to get the confirmation you needed on ways that opening a barbershop and barber school can become profitable and worthwhile.
Initial Factors to Consider
Before diving into all of the ways to make an additional profit as a barbershop owner, it’s important to understand the factors that go into how much you make as an individual barber and then a barbershop owner. These factors include how attentive you are to your clients, your skillset and education level, whether you’re paying for a booth or rent, location of the shop. All of these factors are going to influence the rates of the services you offer.
If your staff has higher skill levels, you can charge more for the services provided. Taking extra time to make clients feel cared for will also reflect in how much they tip, how much they will return, and much they will recommend you to others. Basic costs such as renting a booth or renting a leased space have to be considered. You have to know how much you are willing to pay for the space so that you still see a profitable return after all your bills are paid.
Finally, the location of your space matters. Certain areas will not charge as much for services simply because the clientele wouldn’t be able to afford them. Keeping in mind the location of your shop is important for catering to the needs of your community while running a successful business.
First Things First: What Happens After Barber School
The first way to earn money back lost invested in going to school is by simply becoming a barber. Jobs in cosmetology are more popular than ever. The cosmetology industry is not going anywhere. People will always want to upkeep their appearance. Meanwhile, expressing yourself creatively through hair and makeup is considered an act of individualism and an art form for professionals.
Establishing yourself as a qualified, respectable barber is the first step towards having a profitable business. Distinguishing yourself from your peers via unique skillsets, genuine compassion towards your clients, or whatever you want your signature to be will separate you from any other barber out there.
Before deciding to decide to own a barbershop, try renting out your own booth. By paying a monthly fee to a shop owner, you can work for yourself, get practice paying business bills every month, and budget for such.
Salaries for barbers, not shop owners but barbers, are around an average of $30,000 annually. There is a give and take to this according to what has already been mentioned above. In some cases, barbers can make up to $100,000 a year.
Taking It Up a Notch
After barber school and establishing yourself as a barber, you may be ready to take it up a notch. You probably love the feeling of working for yourself while serving others, and that is one of the reasons you decided to become a barber in the first place. Now you can use the skills you have gained in your career so far to run a successful business.
Of course, it takes a large investment at first if you decide to start your own shop. This can be in the ballpark of about $150,000. Costs to consider are for the building, basic utility costs, money to pay employees, equipment costs, insurance, inventory, furniture, and more. Start by having a business plan and going from there. It’s important to have your vision of your shop will be mapped out so that you can prepare and plan for everything it takes to make the vision a reality. Don’t sacrifice the vision and quality for saving money. While saving money is ideal, so is having a reputable business. It may take you at least a year, if not longer, to make up the money you spent investing in your business -plan for this.
Ways of Adding More Income
There are ways to add more income when running a barbershop. First, you can take a percentage of the money from your employees’ sales. Commissions are a great way of getting some pretty passive income on your part. Talk with your employees about a reasonable percentage that works for both of you.
Where you likely started getting a taste for entrepreneurship from renting a booth, now barbers can rent booths from you. You can also rent out booths at locations such as malls, hotels, and various shops that may want the additional foot traffic your services have to offer. Renting out booths can make up for costs of rent and other business expenses. Learn more about renting a chair versus working on commission.
Selling products in your store is an easy way to make money. Most companies offer discounts to stores that order in bulk. Then, you can make a return on this money spent by upping the prices back to their original pinpoint. Only selling the most quality products will also ensure that your clients are happy with what you are offering them. Similarly to selling products, you can make affiliate money. By recommending certain brands’ products, you get a small percentage of any sale made that was referred by you.
Get Barbering Today
Attending barber school opens up a wide range of possibilities for your career trajectory. Enroll at Miami Barber Institute now to explore the various ways you can be successful barbering.