What I learned in my first year of business.

Ladies & Gents, you don’t know everything.

To be honest, When I got out of cosmetology school I thought I knew it all. Most of us do I would guess.

Here’s the truth. I didn’t know shit. I mean I knew the bare minimun and that could get me by. Afford a few beers at the local watering hole. At the end of the day, I wanted to learn. Absorb and push myself to the next level of greatness.

Don’t dive in head first.

The start of a creative stump.

• When I got out of cosmo school, I knew what I wanted out of a career. Or at least I had a dream. The point of a dream tho, is to take things slow and steady. Don’t just jump right in.

• Ok. Ok. Do I really look like the girl that doesn’t just jump right in. HMMM NO! Of course, I went right into a manager position. Did pretty well, but also learned what the corporate devil is. I hated every minute of working for someone else. Very little money and absolutely no respect or creative decision.

• I bounced around a little in the first year and finally decided that I would need a better and more acieveable plan.

Settle Down, but don’t settle for just anything.

Interview employers, don’t let them just interview you.

The importance of setting for a stylist, is probably the first thing I would suggest. ONE CAN NOT BUILD A CLIENTELE BY MOVING AROUND.

Turn the tables on the interview.
Always be selective about choosing where to work. “Do your research on prospective salons to determine if the culture and policies are the right fit for you.” Most importantly, don’t be afraid to ask questions when meeting with your prospective employer. Asking questions shows condfidence and seriousness.

Visualize your future.

Do you want to concentrate on color? Curly hair? Short cuts? Ricci’s salon is based around color, and requires his stylists to be certified in color. Although you don’t always have to specialize, it’s important for you to know if your path is one that will be supported by your salon.

Find your salon niche.

“Do what you love, and its never work”

These are words I have always preached and lived by. I love what I do, so much that I almost couldn’t even now narrow it down. It's good to have options. In the salon world, there are those teams where stylists specialize in either cutting or coloring and then there are salons where every stylist performs both services. The good news is that when a stylist launches into the world of professional beauty, they have already had education in both disciplines...and it is up to them, as they move forward, to decide--do I hone in on one or two special skills OR do I stay sharp in all? 

I don’t suggest finding this in the first year, but don’t try to overwhelm yourself. Keep to the basics in the first year.

Don’t discount yourself out of business.

Know your worth, and charge that!

Yes, in the beginning I just wanted clients. A warm chair and money to live on. As time rolled on I felt like I had to continue to discount in order to keep people in my chair.

SO NOT THE WAY TO GO.

If you have a sales often enough people will start expecting it. They will wait for it. They will hold off purchasing from you until they know you are going to have a sale. Then they will buy during the sale. So the times in between the sales will become even slower that they were before the vicious cycle started in the first place.

 I am not saying you can never have a sale. Just be very careful Have a good, valid reason. An explanation for the time frame. A reason for the amount of the discount. And make sure you are not doing it on a predictable schedule. Having a sale for 2 weeks before Christmas each year only means people will wait until then each year to buy. 

Advertising is expensive, but can be worth it if done properly.

Deducting advertising expenses.

In the first year I spent sooooo much money on things like print ads and publications. I just shrugged and thought I could write it off. Here’s what I found out about just that…

The IRS considers all costs for starting a new business as capital expenses. That means they are like an investment which you expense over time.

All startup costs are lumped together when figuring tax deductions. You may deduct up to $5000 of startup costs, including advertising, in your first year of business. The rest must be depreciated over time.  Business costs for both advertising and selling are deductible, but in separate places on your business tax return. For example, 

• If you use your website for advertising, you may deduct web maintenance costs as an advertising expense. If you use your website for selling (having a shopping cart, for example), this is a cost of selling and is considered separately.

• Costs for temporary signs are considered advertising. Costs for permanent signs (that last more than a year) are not advertising, but signs may be depreciated as long-term assets.

• Costs for help-wanted ads are a deductible business expense, but they are not considered 'advertising.'

• Things such as (groupon, Yelp, Pinterest, facebook,) are all things that I have used and suggest in the first year. Although if you are a social media pro you can feel free to branch out.

Scheduling software is super handy!

With the right salon scheduling software, you're able to require credit card information from clients prior to making an appointment.

Running a hair, beauty or nail salon and spa can be quite daunting for the owner as it is quite interesting how things have changed over the years. Gone are the days when a client would stroll in to a hair or beauty salon, waiting hours on end to book an appointment. Well, hey? It’s a new era and things seem to have taken an entirely different turn.

Whether you own a spa, hair and beauty salon, nail salon, or whatever category you fall under as a salon owner, it is pertinent to note that the world is evolving, times are changing, and the digital age is here to stay. Therefore, it is vital to keep your business updated with latest technology tools for your industry. I personally enjoy (Square)

• Easy and Flexible Appointments Scheduling. ... 

• Organized Booking Calendar. ... 

• Targeted Marketing Campaigns. ... 

• Enhances Overall Customer Experience and Revenue. ... 

• Increased Client Base. ... 

• Helps Monitor Sales (including discounts)

If you were anything like me, starting out, or staying afloat. Let me know!

I would suggest getting a really amazing accountant (I suggest Jamie Litrell)