How Much Does it Cost to Open a Salon?

The cost of running a hair salon is high. You should know the costs of running your firm, no matter how long you’ve been in the sector or how new you are.

Running a hair salon might be expensive according to the size, location, number of employees, etc. There are, however, some costs that are universal to all salons.

So we’ve spoken to hundreds of our hairstylist clients to learn more about the costs and challenges of running a hair salon.


Every month, how much do hair salon owners pay in rent?

You will likely need to rent a property to open a physical location if you don’t already own it or if you aren’t a mobile hairstylist. Depending on the location, renting a square foot ranges from $10 to $25 a square foot. A security deposit is required in addition to the monthly rent.

Bills for electricity:

How much does it cost to run a hair salon on electricity every month?

In our analysis, just a tiny percentage of hairdressers (less than 1%) use solar or green energy and pay no electricity bill. To save money on your monthly utility bill and help the environment, you can consider solar panels. However, like any other investment, it will cost you more upfront.

Less power or natural light during the day and more artificial lighting at night is an excellent strategy to cut down on costs.

Everything you need to get the job done.

Running a hair salon costs how much?

Equipment for hair salons can be pricey to acquire. Styling stations with chairs, hairdryers with hoods, and many more tools will be required. 

Second-hand equipment is also an option, which is less expensive. Some of our customers told us they spent roughly a huge amount on used salon equipment. Indeed, this is a fantastic value. So there is a degree of risk. Whether or not you get a warranty with your used equipment is up to you. Set up a small amount of money if you need to repair or replace your equipment.

Products made by experts

Hair salons spend how much on professional supplies each month?

Hair salons charge a monthly fee for professional supplies like shampoo and conditioner. 


What is the typical American hairstylist’s annual salary?

Consider wages as well! If you don’t pay yourself, that’s an additional expense on top of all the other costs. It’s also a good idea to account for the wages of any employees.

Insurance is the seventh item on the list

It’s critical to have some form of protection from the unknown. Get good insurance coverage for your hair salon to protect yourself and your business. Insurance expenses per month depend on your location, salon size, equipment, number of staff, and other considerations.

Materials used in advertising and promotion

You should at the very least consider acquiring a website, an outdoor sign for your hair salon, and some professional-looking business cards, depending on how much money you want to put into marketing from the outset. Ads on Instagram and Facebook can help you reach new clients if you have the funds.

An inventory of all of your possessions

Stocking up on inventory is almost always necessary when selling products unless you can arrange for payment after selling those products.

Maintenance and repair

It’s not a terrible idea to lay money away if you need to have something repaired or serviced, especially if your equipment is not new or under warranty.

Certificates and licenses for salons are also available