Go Back   tanTALK - Tanning Salon Business Owners Community > TanTalk Central > New To The Tanning Business

New To The Tanning Business Interested or Future Salon Business Owners discuss Topics Here and Ask Questions To The Pros.

Reply
 
LinkBack Thread Tools
Old 06-01-2011, 12:34 PM   #1 (permalink)
 
Join Date: Jun 1 2011
Posts: 8
Rep Power: 0 jeasy02 is on a distinguished road
Does a tanning salon require a lot of personal time???

Hi - first I want to say hello to everyone!

My wife and I have decided that we want to go into business together and hopefully be able to retire within the next 10 - 15 years and let the business run itself. Well when I say retire I mean retire from our current full time jobs and focus 100% on the business, which in turn should allow us to spend more qt with family and friends.

So my wife is a chef, not by trade, but is very good and very passionate about cooking so naturally we thought about opening a restaurant, a small restaurant, but needless to say a restaurant. We wanted to buy an existing restaurant and stem from that. While it is still on our minds, we realize a lot of factors are really causing us to probably steer away from it for awhile, such as high oil, which results in high food costs and other operational costs for a restaurant.

Before we bought our first home last year there is this small space, well roughly 2000 sq ft right next to our condo complex. It is in a little plaza that is right next to a Dunkin Donuts, Tedeschi and recently a Dry Cleaner. Most of the time whenever we would go to the store we would see mainly older teenagers and early 20's hanging out there. We always thought to ourselves what it would be like to open a tanning salon in that exact location because the space was being advertised. After two years the space is still there waiting for someone to come in and now we are possibly thinking of why not make the initial push and attempt to open a tanning salon at that specific location.

Now the space is bare boned and it needs to be built out, but it is essentially a perfect square space and I read an earlier post regarding how much it may cost to build out a tanning salon and someone had mentioned the $200K range. Well I live on the outskirts of Boston MA and the competition is practically zero. I'd say the next tanning salon is probably about 3-4 miles away and that is guessing it could be further. So I am not thinking it is going to cost $200K to build out that space, besides I have a very good contractor who has done excellent work on my house and he is one of those guys who likes to save money and does the job well - just like Mike Holmes on A&E.

So we are thinking about doing the tanning instead of the restaurant for a few reasons:

1. Since we want to have a child next year, she already has a daughter, my beautiful step-daughter from previous who is 8, we would be able to spend more qt with them because at least during the busiest times one of us could be there and it would probably be less stress than opening a restaurant

2. The space is in a PERFECT location. And when I say PERFECT I mean PERFECT - there is absolutely no competition around and the demographic is just right and I could almost bet my house on it

3. I don't think it will cost anywhere near $200K to build it out, maybe $80K or less because of the no competition around there, I am not located in California where there is plenty of comp.

But the purpose of this is to get some feedback from people who already own their own place or who is or was in a similar situation as myself. I think it would be more ideal to buy an existing and go from there, but the places that I've seen are just not suitable and again being that this is the PERFECT place, I want to act on it. And also this could be our first big successful business in which we could scale and open my wife's true passion, which is a restaurant later down the line and my true passion, which is a gym :) But those would come later! And I don't think, again think, that operating a tanning salon, especially of that size, will not be as stressful as operating a small restaurant.

Actually this weekend I am going to one of my good friend's house to pitch my business in a non-formal way - meaning that I do not have numbers nor do I have a business plan, but to kind of give him some high level of what we want to do and the tanning salon would be one of them and see if he is at least interested in investing.

Thanks for reading and I welcome any and all feedback!!!
jeasy02 is offline   Reply With Quote
Old 06-01-2011, 01:28 PM   #2 (permalink)
 
Join Date: Jun 1 2011
Posts: 8
Rep Power: 0 jeasy02 is on a distinguished road
Re: Does a tanning salon require a lot of personal time???

...
jeasy02 is offline   Reply With Quote
Old 06-01-2011, 01:34 PM   #3 (permalink)
 
Join Date: Apr 14 2011
Posts: 598
Rep Power: 13 delany is on a distinguished road
Re: Does a tanning salon require a lot of personal time???

It will def cost you 200k (beds, electrical, hvac, buildout, computer, supplies, start up lotions etc). you also will need a decent amount saved because this is a seasonal industry.

Yep, takes tons of time. I have friends that work every day open to close. others that work over 40. the ones that worked part time, closed. No one will run your business like you will. Workers comp and employee theft is costly. Build outs take FOREVER!

Owning any business is stressful. At least with a restaraunt, if you are marketing correctly, you will be busy year round.

do LOTS of searches on here before you take the leap. Tanning salons are closing at an alarming rate. with the tan tax, bad PR on tanning, cost of doing business, it is just not worth it anymore. Also dont forget to pull your demographics
delany is offline   Reply With Quote
Old 06-01-2011, 01:40 PM   #4 (permalink)
 
Join Date: Jun 1 2011
Posts: 8
Rep Power: 0 jeasy02 is on a distinguished road
Re: Does a tanning salon require a lot of personal time???

Quote:
Originally Posted by delany View Post
It will def cost you 200k (beds, electrical, hvac, buildout, computer, supplies, start up lotions etc). you also will need a decent amount saved because this is a seasonal industry.

Yep, takes tons of time. I have friends that work every day open to close. others that work over 40. the ones that worked part time, closed. No one will run your business like you will. Workers comp and employee theft is costly. Build outs take FOREVER!

Owning any business is stressful. At least with a restaraunt, if you are marketing correctly, you will be busy year round.

do LOTS of searches on here before you take the leap. Tanning salons are closing at an alarming rate. with the tan tax, bad PR on tanning, cost of doing business, it is just not worth it anymore. Also dont forget to pull your demographics
Thanks for the feedback - so even though the space is not as big as some of the other salons it would still cost $200K to build it out? In terms of having the finance I don't think that should be a problem, but of course I want to be able to be profitable. I did not realize the tanning business is falling fast.

Is it falling fast in certain areas than others? The demographics in the particular area that I am looking at would be perfect for a tanning. But of course I refuse to make any leap until I feel comfortable with my research.

Thank you -
jeasy02 is offline   Reply With Quote
Old 06-01-2011, 01:49 PM   #5 (permalink)
 
Join Date: Apr 14 2011
Posts: 598
Rep Power: 13 delany is on a distinguished road
Re: Does a tanning salon require a lot of personal time???

what is the demographic that is perfect?

200k is about average. some have started lower some higher. think of everything you need to open. Also, no bank will finance a tanning salon, so it would be straight out of pocket. You make all your money in max of 6 months, the rest you are spending your money to support the salon that you made, or breaking even...def for the first few years.

Working a salon is BORING! I had my salon as employee ran for the first 3 years. I worked evenings and weekends. the last 2 years it was open, i was there full time. It sucked my will to live! lol

do lots of research on here. =)
delany is offline   Reply With Quote
Old 06-01-2011, 01:56 PM   #6 (permalink)
 
Join Date: Jun 1 2011
Posts: 8
Rep Power: 0 jeasy02 is on a distinguished road
Re: Does a tanning salon require a lot of personal time???

Well when I say perfect I mean the demographics in that particular area is mainly teens - college aged - plus there is a good amount of people who stay home all day who either don't work or work from home. But I think the real benefit at least from that spot is the fact that there is absolutely no other tanning salon nearby - but we'll see

I will definitely do my research thank you!
jeasy02 is offline   Reply With Quote
Old 06-01-2011, 02:04 PM   #7 (permalink)
Team TanTalk
 
movieking's Avatar
 
Join Date: Aug 12 2004
Location: ITA 2004-2013 / ASA 2013
Posts: 3,444
Rep Power: 30 movieking has a reputation beyond repute movieking has a reputation beyond repute movieking has a reputation beyond repute movieking has a reputation beyond repute movieking has a reputation beyond repute movieking has a reputation beyond repute movieking has a reputation beyond repute movieking has a reputation beyond repute movieking has a reputation beyond repute movieking has a reputation beyond repute movieking has a reputation beyond repute
Re: Does a tanning salon require a lot of personal time???

Read this thread first then start reading everything else.

Do you want to open a salon?
movieking is offline   Reply With Quote
Old 06-01-2011, 03:52 PM   #8 (permalink)
 
Join Date: Apr 14 2011
Posts: 598
Rep Power: 13 delany is on a distinguished road
Re: Does a tanning salon require a lot of personal time???

you cant just say perfect and make it so lol what are the percentages of people in 3 miles. Can teens tan in your state? etc

But yes, go read that thread. =)
delany is offline   Reply With Quote
Old 06-02-2011, 04:13 AM   #9 (permalink)
 
Join Date: Nov 19 2010
Location: GA
Posts: 933
Rep Power: 14 Black Sun is on a distinguished road
Re: Does a tanning salon require a lot of personal time???

Opening ANY business in todays economy and with a govt and president who is both anti-small buisiness and anti-entrepernurial is pure suicide.

I understand the need to be self - employed, but small biz ownership is a full-time 30hr a day/8 day a week dedication.

I spent a few years as a business broker selling everything from apple carts to laundromats. No business ownership is 'part-time' or absentee ownership successful.

Tanning is one of the most difficult to upstart today..too many forces against it..from bad press, public negativity and expense to sustain and maintain any hope of keeping doors open.

The SBA has listed tanning as a 'high-risk endeavor'. In other words, unless you have very deep pockets, obtaining any type of financing is risky and rare to say the least. A very thorough and well-prepared business plan (any biz financing) would be asked for, followed by extensive oral communication and interviews with lender(s).

To open and sustain a success in this biz, 300K and up is needed. As mentioned, buildout/equipment is very expensive..a secure bank-account with working funds is needed to sustain for 2-3 years before any profit. Montly overhead for any successful salon averages close to 10K (equip lease/payment, rent/utilities/payroll/insurance,supplies/inventory and more)...you have to tan/sell a lot to meet that, plus show a salary (very rare for any upstart)..and keep in mind, this is a very seasonal biz..you will see little traffic for 3-4 months..and overhead still needs to be met, bills need to be paid.

Finally, my suggestion before any biz is started, contact your local SBA, SCORE, or SBDC office. They all offer free or low cost classes and consultaion on opening any business. A wealth of info from all three agencies. It would also give you an opportunity to 'test' your entrepernurial skills before any costly investment.


My reply to your statement above on demographics:
Many States are or have enacted laws banning teen tanning...many parents do not allow...

If people "..stay home all day..don't work", chances are they would be unwilling or unable to spend the money. Tanning is a 'luxury' business. Only people with expendable cash in pocket will splurge/treat themselves. Unlike a restraunt or grocery store, they DON'T NEED tanning to survive, especially during economic stressed times.

If no tanning salon is around or near-by, there is a reason..simply the numbers are not there to support it.
Best of luck!

(FYI: I owned 3 salons up until recently, currently own a T-shirt apparel biz and a cafe....all sales are down due to economy..it is tough out here)
Black Sun is offline   Reply With Quote
Old 06-02-2011, 04:26 AM   #10 (permalink)
 
Join Date: Nov 19 2010
Location: GA
Posts: 933
Rep Power: 14 Black Sun is on a distinguished road
Re: Does a tanning salon require a lot of personal time???

.....
Black Sun is offline   Reply With Quote
Reply

Bookmarks



Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On

Similar Threads
Thread Thread Starter Forum Replies Last Post
Publicizing a Tanning Promo DOES NOT REQUIRE Facebook Approval Popcornking General Tanning Industry Discussions 0 01-21-2010 02:29 PM
Now is the time to protect tanning salon owners from indoor tanning product diversion! Soakinuptherays General Tanning Industry Discussions 7 04-24-2008 03:01 PM
Personal Training in my salon Brandy1 General Tanning Industry Discussions 36 11-28-2006 04:01 PM
require eyewear at your salon? VSminimoose General Tanning Industry Discussions 22 02-03-2005 08:58 AM
Do State tanning regulations require these? parrot head General Tanning Industry Discussions 1 10-28-2004 10:52 AM


All times are GMT -5. The time now is 07:38 AM.


Powered by vBulletin® Version 3.7.2
Copyright ©2000 - 2024, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0
Copyright 2009 - tanTALK.com

click here for advertising info!