tancrazy

hello everyone this is my first time actually posting a question normally i can read others and get the answers i need but i havent seen this one

i have a good idea of start up costs but i am having trouble estimating what my new buisness will do when it opens and when i talk to all the people at the bank over and over i hear well how many tans will you sell in a single day how much do you think you will make in lotion and retail sales and i am givving them guesses which is all i can give seeing as how all i have ever done is tan and i have never actually owned a salon so i see how busy it is but how am i supposed to figure this out i will be opening a 10 bed salon and i am looking for a high traffic location i have a good idea of everything but this could someone please give me a best and worst case senario...it would help me greatly ...thanks so much

Tamar

Ummmm, this could vary greatly depending on many factors. What kind of market you are in, what kind of beds you purchase to match your market, what your competitors are doing (and how well), how much you will charge per session, per upgrade, what type lotions you will carry and your mark up on them, and how well you promote them...basically it all depends upon YOU and what you offer and to whom. Your question is not an easy one to answer without more information from you.

Rich

A good way is to take the beds that you have settled on and talk to people that have those beds. Explain how you are going to market the bed and price the bed and see what they think you can bring in. I could take the same exact bed in the same market and have a $20,000 difference in the income level of that bed depending on how I market, present and price that bed. There is no easy answer to this question, and really that is too bad.

tancrazy

thanks for the replys i will try to give you more info and see if that is any help to those of trying to i will be a 10 bed salon i am purchasing
2 28 lamp 20 min beds no facial 2 28 lamp beds with facials 3 32 lamp beds with facials 15 min beds 2 38 lamp beds with facials 15 min beds and 1 stand up 10 min max
i will offer individual tan for 7-12 $ and my packages willrange from 1st level unlimited month at 45$ and ending with a vip package of 85$ with several packages in between our market is very good and i am looking to put my shop in the new development areas of town which is mostly caucasion and all middle to upper class income familys the location i picked has no tanning salons within at least 7 miles and is next to a womens gym a vitamin store a restaraunt and a hair salon i have researched all the salons in town and they range from 30$ for an unlimited month on their standard beds to 75 being the highest for med pressure beds all high pressure like euro tan is at least 30$ for 1 visit every salon in my neighbor hood or surrounding areas of my projected place are always busy when i tan i plan i carrying some name brand lotions but was also going to do some private lableing? which i hear can have a markup of close to 250%
i know the business will do ok i am just not sure as to what to expect scared i guess the building will be 1500 sq ft and the rent is roughly between 2200 -2400 per month and i will have my loans to pay of and that isnt including elec bill and all the other little thing that add up i know i will continue to be overwhelmed just trying to figure out the initial numbers is killing me .....HELP ....HELP....HELP ...PLEASE

Tamar

Pause...take a deep breath: commas, periods, and a Top Shelf margarita. Sounds like you are in a strong area, don't overprice your packages or if you do initially, know when to adjust. Good luck!

TikiTan

Have you worked up a business plan? Plug in all the numbers that you know will remain constant.. estimate the rest and figure your "break even"... A buisness plan will help guide you to the answers you are looking for... Put a lot of effort into it..

msdayspa

Here is a link you may find of interest:
http://www.tantastictanning.com/homepage2/top250.html
also you could try this link
http://www.lookingfit.com/toc322.html
This info gives you an idea of what other spa due in your region, if it looks good show it to you banker, if not well use it for something else. have fun