ETS Tanning Bed Blog

Buying an existing tanning salon involves a lot more than applying for a loan and signing a few legal forms. It takes research, an understanding of the business development, patience and a willingness to walk away from the deal (it happens).

I came across a recent article on the GlobalBX blog about buying an existing beauty salon or barber shop . Yes, I know a tanning salon is neither of those things, but the business development between the two industries can be fairly similar. Both are service-oriented businesses often geared towards individuals interested in improving their physical appearance. As a result, many of the tips and steps laid out in the article could easily be applied to the tanning salon business.

It may sound cold, but you must evaluate every employee in your tanning business as a profit center.

Look at it this way, if you hire an employee to work 40 hours a week and you give them a basic salary of $8 per hour, then you’re paying out $320 a week, not including the additional expense of taxes, insurance and paperwork.

In turn, you should be asking yourself “how much profit does this employee bring in?” The cold, hard truth of the matter is that when it comes down to it, every employee should be evaluated by how much profit and how much revenue they’re bringing in.