Hairdressing equipment both fixed and manual is required along with consumables stock. Product supplier will arrange for short term credit against orders if an exclusive is agreed, and stock will be offered for customer purchases. This will be more a convenience than anticipate profit opportunity although the markup will permit a 50% gross margin on sales.
The customer have each saved $5,000 for the venture, Leigh Wilson’s fiancé is investing $3,000 as a silent partner for a total cash investment of $13,000. A $5,000 bank overdraft facility is needed to support negative cash flow during the first 6 months of operation. The overdraft may be secured by the purchased equipment (47% of value) and cash flow access. (Personal guarantees will be provided including the silent partner). Each operator partner will be paid, or credited, a wage of $20,000 per annum on a View Full Article »
Community hairdressing and beauty salons are popular with local area residents if the operators are competent and can respond the styles desired by the general age group. A level of imagination is helpful and an understanding of how to deal with customers who must be pleased with results as mistakes will be seen by everyone and distress the customer. Ladies hairdressing is something that is very seldom done at home nearly always at a salon, thus the market is virtually any woman within the area of a salon. Prices is important as well as the competence of the operators. Satisfied customer will bring new clients to a salon.
Jan Anderson and Leigh Wilson have established a partnership under the name JANLEE STYLES to start a hairdressing salon in the Arton suburb. A good location has become available direct competition is minimal and the area growth prospect are attractive. The partners have qualifications as hairdresser and several years experience at a well know city salon. They wish to establish their won enterprise develop the business and progress to ownership of at least one additional shop so that each can have a management responsibility in a group operation.