Have a go at our Beauty Salon Business Planning Quiz below. The results of previous respondents are then explained throughout this blog:

powered by Typeform

Whether it be a quick eyebrow threading or eyelash tint, or a more indulgent hot rock massage or full body mud wrap UK consumers love to spend at least a little bit of time on beauty treatments. They can help raise self-esteem, make people feel better about their appearance or simply help people to unwind.

Years ago, spending time and money on beauty treatments was something only reserved for the rich, who could afford such luxuries. The past several decades have seen a wide array of beauty treatments become increasingly accessible to the masses.

The stresses of modern life make a bit of ‘me time’ all the more important and beauty salons offer a relaxing environment where women and men can take some time to chill out.

The range of treatments out there provides numerous opportunities for new businesses to enter the market. With consumers having more disposable income to spend on luxuries like beauty treatments, quality businesses can potentially make good money.

You have landed here because of your expressed interest in learning more about the beauty salon business sector. Please enjoy the blog below and learn more about this ever more popular sector.

Industry Stats

The figure below shows some of the key industry stats including market value, average profit margin and number of UK based businesses. The sustained growth of the industry and the multiple applications and areas of specialism encourages creative entrepreneurs to begin their own ventures. Each adopting and adapting subtly different business plans to carve out their own unique offering.

Beauty Salons are one of the fastest growing businesses in the UK. With increasingly varied services there are treatments to suit all requirements and all budgets. The market value is currently at £4.1bn and is rising thanks to new offerings and increased demand. Businesses such as laser hair removal clinics that wouldn’t have existed 10 years ago are becoming increasingly commonplace.

The sector sits well alongside other beauty focused industries like hairdressing and there are opportunities to work in combination with other service providers to take advantage of economies of scale and provide a wider offering to potential customers.

Depending on the services offered the start-up costs can provide some barriers to entry but in the main there is very little to stop intrepid beauty entrepreneurs from entering the market, proven by the rising number of beauty businesses in the UK which now numbers over 41,000.

A small beauty salon company may expect to undertake 25 treatments a day, based on 3 staff members providing around 8 treatments each. This number can vary widely depending on the type of treatments offered and time that each may take to provide. A threading specialist, for example, could see double the daily customers of a beauty salon that focused on more time-consuming body treatments.

The services a beauty salon may offer can fall into 8 general categories. Some, like massage, can be subdivided into numerous offerings to fit a wide range of needs and budgets. Larger salons will be able to offer a wider range of services but smaller businesses can focus on developing a niche by specialising in one or two areas.

The most popular service category for beauty salons are pedicures/manicures and facials. In the main, they are reasonably priced and can take about 30 minutes to perform. This gives plenty of scope to attract a wide number of customers. Waxing and massage are also popular offerings each having a wide range of sub-categories to cater for all needs.

More specialist areas such as laser hair removal clinics are less common but these businesses generally focus solely on that one offering.

Average Spend at a Beauty Salon

The average spend in a beauty salon is around £90 per person. This spend is generally made up of an hour’s worth of treatments per customer, per visit. A high proportion of customers may choose to have multiple treatments in one visit as part of the regular beauty regime.

How Do Beauty Salon Get Financed?

As previously mentioned there are some barriers to entry for anyone looking to start a beauty salon business. Most treatments will require some form of training in order to offer them to customers. There can also be numerous setup costs in the purchasing of specialist equipment for certain treatments. A new company will be required to build up a regular client list which may take time and any additional staff members would also need to have the right training behind them.

Given that the certain barriers to entry do exist in starting a beauty salon there is a clear advantage in preparing a proper business plan in order to prepare to begin trading in the best way possible.

Threading specialists ‘Threadbare’ was founded on a Start Up Loan of £14,000. The funds were used to purchase a lease on a small shopping centre premises where footfall traffic was high. Other spend including the refit and branding of the space and equipping the new premises with all the necessary equipment and furniture.

As the business model relied on passing trade the location of the shop was paramount to its success. The business plan that salon owner Ria purchased was initially intended to secure the loan funds. It has, however, provided to be far more valuable than that as it has given clear guidance and accountability in all the business’ decision making, including what proportion of monthly turnover should be reinvested into the business’ marketing budget.

A high proportion of beauty salon entrepreneurs have secured funds from Start Up Loans and other debt finance from traditional bank loans. The table below shows the main sources of business finance and their associated percentage. In some cases, for larger projects, businesses may need to obtain finance from more than one source.

The layperson may be misled into thinking a fully written business plan would only be a requirement if looking for outside finance. Whilst it is true a solid business plan would be a pre-requisite for any form of form debt or equity finance the value of having a quality business plan cannot be underestimated. Even for those self-funding, a viable and robust business plan is a sure way to keep focused and accountable which will ultimately lead to better business decision making.

Importance of a business plan

The right pricing structure, ability to secure new customers and find & retain quality staff is vital to any beauty salon business. As is the understanding the business’ revenue model, showing the number of customers it requires, in order to hit breakeven.

Any serious company should look to invest in a proper, written business plan in order to maximise its potential. The graphic below shows a high proportion of beauty salon businesses have invested in a professionally written plan and all new ventures should look to do the same.

So what can we say about starting your own beauty salon?


  • The industry is in a period of sustained growth
  • A wide array of treatments and offerings to provide to potential customers
  • Customers are generally loyal and will return to the same salon for similar treatments again and again


  • Strong market competition makes it important to establish a recognisable brand and reputation
  • Takes time to build up a customer base and cash flow planning is therefore key


How you can succeed

The best way to get ahead of the competition and eliminate the biggest unknowns and risks when starting your own beauty salon business is to invest in a high-quality business plan. The investment is invaluable. We at MyBizPlan provide the highest quality and yet lowest cost business plan in the UK, for a minimal outlay you can obtain a high-quality, visually stunning, financially robust business plan. It will give you a greater chance of seeking that vital finance and in the long run, could save you thousands.

If owning and running a beauty salon business sounds like the kind of business for you, get started with a Beauty Salon Business Plan from MyBizPlan. See which of our solutions is right for you by having a go at our – Do You Really Need a Business Plan Questionnaire?


Let us tell you when this blog is ready

An example business plan will be emailed to you shortly