TexasTanz

OK everybody. I know you all read this all the time, but I need advice.

My wife, Daughter and I are REALLY wanting to open a salon. We have found a location that is already built out as a salon, as it was one originally. The original owner went out of business.

We have talked to the realtor and the space is 2800 sq ft and has a counter and 13 rooms, it is 1.25/sq ft with a .30 CAM.

We have gotten info from SunPro beds and are starting tom put together which beds we would like, we have also looked at the Mystic Tan bed, and we hear it does GREAT!!

We do not have our own money and will need 99% financing from bank, or some oter sources???

We are going to check out the competition this week--the closest salon is about 15 min away, and we have a Kroger nearby and 5 neighborhoods (3 old and 2 new) 5 apt complexes and a mall, we would be in a small strip with a racing car dealer, a donut shop, a smoke shop and a club/bar.

The street we are on is VERY busy during both rush hours, traffic is backed up in the evening.

Lets hear all you can offer to us, we really want to make this work and need help. We would also like to know how long from now we should be looking at for opening. We may be able to open in August or can wait until Jan 2005?


Thanks everyone

Sqewk

Why did the original owner go out of business? That is a important question that needs to be answered.

TexasTanz

According to the realtor, it was a owned by a salon chain and they just didnt market the location very well.

Sqewk

Have you market the location so there is not a repeat?

Steve Underhill

If you give me the location privately I will evaluate the location for you and see if that is in fact why they closed. I say privately because you don't want to give anyone else a chance to look at this space at this point.

TexasTanz

We will be very strong in marketing, sales and customer service. We are looking at ProSun for beds and Wolff for the bulbs. Our main problem at this point will be financing? If anyone can offer some knowledge in the Venture Capital area please let us know.

Thank you all

TexasTanz

OK, so far it looks like we will go with "ProSun" beds and "Wolff" bulbs. The rent seems to be in line. We have put a spreadsheet together with all the expenses we can think of and for enough capital for 6 months, it looks as though we will need 120,000. Underhill, we would like to know what you think and what you can do for us??

Thanks

studio 102

First step: get rid of the ProSun beds

TexasTanz

Studio, thanks for the comment; however, you need to be more specific. Everyone has beds that they like or dislike, for one reason or another. If you say we should affoid "ProSun" then let us know why.

So far "ProSun" is the only rep that has called back and another very successful salon near us uses them. Please let us know what your experience is with these beds?

Thanks

suntanztanning

You need to do a great deal of homework as to why the other salon went out of business. Opening a salon in a location that failed should throw up a big red flag for you. While it may look like a money saver in the beginning, that savings won’t benefit you at all if the salon fails once again. You need to research the area very well. You also have to ask yourself if you can do it better than the last salon? I’m not saying you can’t but you will need to investigate the big picture before you make any moves.

As far as venture capital goes, good luck with that location. I really doubt you’ll find a investor willing to take the risk other than family or friends. Not to mention the fact that venture capitalist don’t generally invest in tanning salons. We don’t have the best rate of success.

I would look at a small business loan or even a grant is if you qualify?

Be careful…….do your homework first!