Utilizing Working Capital in Your Salon Business Plan | Fora Financial Blog
How to Utilize Working Capital in Your Salon Business Plan
January 27, 2016

How to Utilize Working Capital in Your Salon Business Plan

If you own a salon, consider utilizing working capital to update your salon’s equipment, interior, marketing and other needs. Your customers will thank you!

When patrons come to your salon, they want to be pampered. There is no room for declining equipment, poor service or boring interiors. It can be tempting to stay complacent with your salon’s current offerings, but you don’t want to lose business to a trendier, more up-to-date establishment. Here are 5 tricks to keeping customers interested, and using working capital in your salon business plan to make it happen.

How to Utilize a Loan to Improve Your Salon Business Plan

1. Ditch Dirty Equipment

If you’re in the salon industry, you know that dirty or old equipment is a huge faux pas. The tools used to serve customers should be top notch, and there is no room for cutting costs in this area. If your equipment is starting to look worn out, it may be time to get working capital to replace them with new tools. No one wants manicure equipment with questionable stains.

2. Beautify Your Space

Owning a salon doesn’t just mean dolling up your customers; don’t you want to give your salon a makeover, too? Update existing decorations, peeling wall paper and outdated color schemes. If interior design isn’t your forte, hire a professional designer, or employ the help of a savvy friend. Giving your salon a makeover will attract additional customers, and you’ll be excited about going to work in a beautiful space every day.

3. Be a Show Off

Being a small business owner means having the confidence to flaunt your services and products. One of the best ways to do this is to utilize working capital to pay for a salon marketing overhaul. Using social media is a great start, but you’ll have to pair these efforts with eye-catching flyers, coupons and in-store promotional materials. Don’t be afraid to humble brag about how fabulous your salon is. If you don’t say it, how will patrons know to come check it out?

4. Build Your Team

Every successful small business needs a group of talented professionals. If you’re currently low-staffed, don’t drive your current employees crazy by over-working them. Instead, hire some new associates to join your team. Chances are, adding to your salon’s team will help you better serve customers, and be less stressed. This is a good use of your salon business plan, and will alleviate stress felt by your employees.

5. Expand Your Services

You can’t expect patrons to treat themselves if you have a limited number of offerings. Basic manicures and pedicures won’t cut it anymore, and patrons want plenty of options to choose from. If you’re not sure what services to add to your repertoire, check out some creative beauty blogs and Instagram accounts. You’ll be feeling inspired in no time.

6. Think Bigger (Spaces)

No matter how relaxing your salon treatments are, if your space is cramped, it is going to distract customers from the overall ambiance. Improve your space size so that you are able to accommodate as many customers as possible. You’ll increase sales, and be able to serve more customers without requiring them to wait.

The salon industry is an awesome community to be a part of, and with working capital you can embrace a myriad of business opportunities. Although these changes may take some planning and effort, they will be well-worth it and help your business flourish.

Fora Financial

Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone, and have not been reviewed, approved, or otherwise endorsed by any of these entities.

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Fora Financial is a working capital provider to small business owners nationwide. In addition, the Fora Financial team provides educational information to the small business community through their blog, which covers topics such as business financing, marketing, technology, and much more. If you’d like to see a topic covered on the Fora Financial blog, or want to submit a guest post, please email us at [email protected].