Business Idea: How To Open a Spa

How To Open a Spa

Over the centuries of human existence, the standards of female beauty have changed countless times. However, the desire of women to look attractive and well-groomed remains unchanged.

Therefore, even in a crisis, the idea of opening a SPA salon may turn out to be exactly the startup that will bring you a good profit.

After all, in addition to the services of a cosmetologist, stylist, or hairdresser, any woman will get here what she often lacks in everyday life – relaxation, care, and rest from everyday problems.

Main risks

One of the main risks when opening a SPA or a baths salon is the likelihood of an attempt to occupy an already occupied niche, in other words, to create a spa or baths salon whose analogs are already represented in this price segment and this location.

To avoid this mistake, it is necessary, firstly, to carefully study the proposals of competitors, and, secondly, to create a baths salon concept that assumes something unique.

This can be both the overall design of the institution, and services that are not available in other nearby spas. So think of the main idea and location, this may be, for instance, baths in Abu Dhabi, or an aroma massage center in Dubai.

Another risk is associated with the danger that the funds you have invested in the salon business will not pay off, especially in a period of crisis.

Equipment

The basic set of the SPA salon includes a sauna and a sauna, a solarium and a hot tub, equipped baths, and equipment for massage and cosmetology rooms.

Do not forget about the wardrobe or the administrative desk. Specialized equipment must have the appropriate certificates.

The average amount of investment in the opening of a SPA is approximately $ 3,000 per square meter.

It is not worth saving on the quality of equipment, otherwise, the institution may not withstand competition and customers will go to a more respectable place.

Personnel

The average staff of the SPA salon is 10-15 people.

In addition to qualified specialists (massage therapists, cosmetologists, hairdressers and manicurists, aestheticians, stylists, physiotherapists, fitness instructors, etc.), this also includes administrative and technical staff (administrator, cleaner). 

Salon employees performing medical procedures must necessarily have the appropriate education.

The higher the qualification of the staff, the higher the level of respectability of the salon.

istockphoto 913095166 612x612 1

Documents and licenses

Since there are medical services in the SPA salon, it is impossible to register as an individual entrepreneur.

Thus, the only possible form of registration is the registration of a legal entity. Masters dealing with medical services must necessarily have licenses issued by special governmental services. 

Profitability

Experts note that the approximate profit brought by the SPA salon, even in conditions of economic crisis, is 7-10% of the total income.

Practice shows that in this area, the business fully pays for itself in 2-3 years after its creation.

Therefore, if you are going to take out a loan to open a SPA salon or attract third-party investors to your project, then this period must be taken into account.

Marketing

Regular customers bring the main profit of the salon, so the marketing expenses of the institution must necessarily include a “loyalty program”.

To form a stable contingent of visitors, gift club cards, bonus systems, and promotions of the type “when buying one procedure, a discount on the next one” or “the second procedure as a gift” is suitable.

In addition, customers are pleased when they feel taken care of not only during a direct visit to the salon procedure.

Birthday greetings or pleasant surprises timed to the holidays can be useful here – for example, souvenirs with the logo of the institution can simultaneously serve as a gift and an unobtrusive advertising medium.

To attract new customers, use street promotions with the distribution of colorful leaflets and discount coupons, advertising in transport, elevators, and at various stands.

A separate tool for promoting salon business is Internet advertising on social networks and conducting online sweepstakes has great prospects in terms of increasing both potential and real clientele.

Resume

So, the SPA salon is quite a promising business, which in the right hands will bring profit even in a crisis.

Therefore, if you are already an expert in this industry, then feel free to take up the development of a business plan.

If you are a beginner who plans to open your first business, then first it will not be superfluous to consult with those experts in the field of design, pricing, salon equipment, etc. – their recommendations will help you avoid many risks.