How to write a salon business proposal

Without a solid salon business plan, it can be challenging to secure serious investors or support from your bank. If you’re a potnetial salon owner, unsure about how to write a business plan, don’t worry! We’ve done the research so you don’t have to.

We’ll take you through how to write a plan that impresses investors and bring you a step closer to becoming a salon business owner ready to make their mark in the local area.

Let’s take a closer look at how you can put together a successful salon business plan for your beauty salon.

What is a business proposal anyway?

When creating a salon business plan, think of it more as a sales letter that you’re sending to prospective buyers in order to get them more interested in purchasing your product.

You need to fill it with enough information to convince your buyer that your salon business has a clear plan for making a profit as well as showing off a strong understanding of the strategies you need to be successful.

Consider this example, you need to sell your old car in order to purchase a new minivan for your children, so you put up an ad on multiple car sites with a product description detailing every good thing about the car and explaining why it’s a great purchase.

Think of your business proposal as all of the information you’ll need to share to sell a car.

What’s the first step?

Before doing anything else, sit down and come up with a strong executive summary that provides an overview of your salon business plan. It should touch on important points as well as providing your mission statement and philosophies on customer service.

Take a look at the about page for Moha Hairdressers: they explain their location, the services they provide, along with the events they specialise in. This is an example of how you would explain your services and mission statement to a potential investor in your salon business plan.

Make sure to also go into detail when describing your products and services. This means stating whether you’re appointment only or if you’ll serve walk-ins. You also need to list all of your provided salon services (hair, nails, spa, etc.)

Let’s talk finances!

This means very specific information on the costs for:

• The rent for the space that will be used for the salon.
• The equipment needed to run the salon.
• The software used to manage the salon & schedule appointments.
• Wages for employees (if you’re planning on having any) along with how many people you plan to employ straight away.
• Any and all costs related to your marketing strategy (this includes website design and any promotional materials).

The next step in your business proposal is to discuss your financial strategy for your salon and to convince these investors that you have the fiscal knowledge to grow & keep a thriving salon business open.

In addition, make sure to include financial statements spanning at least three years in your salon business plan. This entails having an idea of how fast your customer base will grow along with how many people you plan to serve.

How do you plan on getting the word out?

Now it’s time to focus on how you plan to get the word out along with how much each step is going to cost. A salon’s marketing strategy is going to vary widely depending on factors like location, the target demographic, etc.

Don’t leave out tidbits like incentive programs or ‘refer a friend’ discounts that work to keep customers coming back.

For example, a salon in upscale Manhattan may want to invest in targeted social media ads while a salon in a suburban neighborhood may want to invest more in promotional materials to be displayed around their neighborhoods and nearby events.

Why should an investor trust you with their money?

Even with detailed descriptions of your salon business plan and marketing strategies, you still need to make the investor comfortable with the idea of working with you as a person.

That’s why you should include a thorough biography of your professional background as well as any of the stylists on your team.

Get to it!

Now that you know all of the essentials of creating your own salon business plan, go ahead and get started so that you’ll be one step closer to reaching your goal of owning your own salon. Any work you’ve managed to do before seeking funding will show potential investors just how keen you are to get started, and why they should trust you with their money. For more advice from salon owners who have done all this before, check out this blog post.

Good luck!