One of the most frequently asked questions I get is “Should I booth rent, or go to a commission based salon?”
Making your decision can be a bit of a challenge, but you cant make a decision without having enough information. So, let me break down how each of them work from the perspective of the stylist.
Here are the main things to remember when you're booth renting:
1. In most cases you will have to provide your own products.
2. You have steady income in most cases no matter what business flow.
3. You are your own boss, and set your own schedule.
4. Unless you have an assistant, you don't have to manage anyone.
5. You can individualize yourself and create your own image.
6. You pay for your own advertisement.
7. You're responsible for your own additional training.
8. You must file taxes as self-employed.
Usually individuals who booth rent have already built a clientele. Depending on the salon you may also be able to take walk-in clients to build your clientele.
Booth rental is not ideal for someone right out of school, or a stylist that's re-locating because you do not have an established clientele.
But, if the salon you're opting to work in is in a great location with lot's of walk-in's you may be okay.
1. The salon owner provides the products, and in most cases provides training for the salon staff.
2. Job security.
3. Professional environment.
4. Usually operated as a team. You're able to learn from experienced stylists.
5. Incentives and growth opportunities depending on the salon.
6. Some commission salons offer benefits packages.
7. Taxes already handled by the salon owner.
8. Marketing the business is done by the salon owner.
If you're a brand new stylist and are trying to build your clientele. Going with a commission salon is the better option. You will get to learn from experienced stylists, and have a more structured approach to continuing your education.
There's pro's and con's to every situation, but you have to do what's best for you.
I've only mentioned a few of the pro's for each one. Take some time to do some more research on this topic before rushing into a bad situation.