One question.... kinda...

lucky7_93021 · 05-26-2006, 11:36 AM

So far I have read mostly negative comments about the tanning industry. I'm not saying everyone has something bad to say.. just that 90% of the posts are going on about how hard it is to make any money and how many long hours an owner has to put in to keep above water. Then... even if you do manage to stay alive you're not going to be around for much longer than a few years before you loose all your money and are run out of town by a chain who can drive prices down.
I just dont understand I guess? I travel for work and have been to more places on the planet than most can name and everywhere I go there are 3 things.... 7-elevens, McDonald's and Salons. You all say that 95% of your business comes from a 3 mile radius... and if you search online it seems for any zip code there are many tanning salons. So I can see where you get that it's a saturated industry but it's not like there is one on every corner... or 10 in a 3 mile radius of eachother... and even if there were, they are there because for the most part someone somewhere is making money.
Every post I read about salons for sale have said that 100% for sure the place if failing becuase why would someone sell a business that is making them money. Then why are people buying them???? Sometimes... more often then not.... people just dont want to do something anymore... or they are moving... or want to retire... or are getting a divorce.... or just have gambling debts cause they have been watching the world poker tour and thought they knew what they were doing in Vegas. One way or the other... with soooooo many valid reasons for selling a succesful salon why is it that they have to be lying everytime?
As for buying a pre-owned salon.... I have looked over so many books and P&L statements my head hurts... but I have found few salons that are actually loosing money? Sure they have there negative months but overall at the end of the year there is a profit to be made. Yes, small and not something a soul provider in SoCal can live on with a family... but even when paying a manager $10 an hour you can still have some play money at the end of the year. Sure it might take 5 years to make your investment back.... but is that a bad thing if you get into it knowing you're not trying to make a million dollars overnight? As an investment how can 60-80k a year be a bad thing? Or if you find a salon for 50k how can 20k a year return be a bad thing???? It's sure better than loosing it on the stock market, leaving it to ferment in a low interest savings account so the bank can use you more than they already do to get rich.... or blowing it on lap dances from an over weight ex trucker named Phylis who's just trying to pay the bail to get her 18th kid out of jail. (no, not a personal experience.. i think?)
So although there is more than one question asked through this whole post.... the one most important one I would like an answer to is as follows:
Can an investor purchase an existing salon, be an absentee owner and make a profit at the end of the year? Can anyone? I'm not thinking this is going to pay for my 100' yacht or the Ferrari Enzo.... (dream dream dream)I work a full time job and just want to invest in something. I'm a firm believer in making your money "work" for you. I have equity built up in a few homes and instead of it sitting there being lazy i'd like to kick it out on it's a#% like a rebel 18 year old an make it get a job. Why not the tanning industry?
If this industry is tanking so badly why is it that no matter where you go in every town on Earth (ok maybe not in Jamaica) there are tanning salons? It seems like every time someone builds a town center or strip mall.... there is a tanning salon put in. Not to mention the explosion of franchised tanning salons. Sure there is anti-tanning crap going on... but do you think that really impacts the business of people who dont care about there bodies? Not that I'm saying there is anything to those bad claims... but look at smoking or drugs or un-safe sex. Most people don't care about whats bad for them until it kills them... so I dont think we are loosing a lot of customers over anti-tan protest. Like anything else... it's a bunch of people with nothing better to do that should put there energy twards helping people who need help and stop worrying about what the rest of us are doing to ourselves.
So now that I've rambled.... I just want to say I really appreciate a site like this where someone can go and get advice from people who have gone through it already. It's great to see that in an industry where there is so much competition people can still be friends and help eachother out. I guess it's just getting frustrating becuase I have wanted to do this for some time and now that I'm really looking into it everyone makes it sounds like it would be a dumb decision. Am I just reading this wrong? Thanks for everyones input and if anything I have said offended anyone I appologize ahead of time.
Cheers and Happy Friday!
~S~

Neon Beach · 05-26-2006, 11:39 AM

Knowing what I know now, I wouldn't do it all over again. I have found it good as a secondary income, but not a primary one when you have a family.

Tanzenite · 05-26-2006, 11:41 AM

It will work if you make it work. I think that many salons fail because the owners do not do anything about it. They sit back and wait for tanners to show up. You have to be able to give 110%. Marketing, Advertising and location, location, location.

lucky7_93021 · 05-26-2006, 11:44 AM

Thats exactly the type of things I was looking to hear. I'm not saying I dont want to be involved at all. I will definatly do all I can to make it work and I want to be involved... but it is a secondary income and not my living. I just dont want to invest in something that is going to fail 95% of the time.

CAYENNE2005 · 05-26-2006, 11:49 AM

Like someone said...they only fail if the owner allows it to fail. It is very hard work and is tough on the family because of the long hours. I have been open about 1½ years and I miss my kids terribly! I was an at home Mom before this so I have made a big adjustment. It is a fun and challenging job, so if you like a challenge, go for it. Just don't lose that second income and try to work yourself to save on over head.

BP · 05-26-2006, 11:51 AM

I'd invest your money in something else unless you want put all your effort into making a living in this industry. I don't consider tanning as a good investment any other way.

lucky7_93021 · 05-26-2006, 11:53 AM

well that's just the thing.... the salon is a second income for me. i want to pay a manager to run it.... is it still something that can profit if i make it worth it to the manager to invest there time?

Tanzenite · 05-26-2006, 12:31 PM

Yes it can profit...you just have to work really hard.

CAYENNE2005 · 05-26-2006, 12:35 PM

Think of all the money, monthly, saved if you work the hours yourself. It takes YEARS to be an absent owner. You need to put your heart into it to make it succeed and if you aren't there 13 hours a day, your heart isn't in it. If you don't want to be a part of it except funding the money, I would buy property or build a car wash. For real.

lucky7_93021 · 05-26-2006, 12:42 PM

Thanks for everyones advice. I'm gonna look into the place... but keep my options open for other industries. My current job pays amazingly well so there isn't much reason to quit this to spend 13 hours a day running that... I was hoping for just a little extra.
Cheers!

05-26-2006, 11:36 AM	#1 (permalink)
lucky7_93021 Join Date: May 17 2006 Posts: 13 Rep Power: 0	One question.... kinda... So far I have read mostly negative comments about the tanning industry. I'm not saying everyone has something bad to say.. just that 90% of the posts are going on about how hard it is to make any money and how many long hours an owner has to put in to keep above water. Then... even if you do manage to stay alive you're not going to be around for much longer than a few years before you loose all your money and are run out of town by a chain who can drive prices down. I just dont understand I guess? I travel for work and have been to more places on the planet than most can name and everywhere I go there are 3 things.... 7-elevens, McDonald's and Salons. You all say that 95% of your business comes from a 3 mile radius... and if you search online it seems for any zip code there are many tanning salons. So I can see where you get that it's a saturated industry but it's not like there is one on every corner... or 10 in a 3 mile radius of eachother... and even if there were, they are there because for the most part someone somewhere is making money. Every post I read about salons for sale have said that 100% for sure the place if failing becuase why would someone sell a business that is making them money. Then why are people buying them???? Sometimes... more often then not.... people just dont want to do something anymore... or they are moving... or want to retire... or are getting a divorce.... or just have gambling debts cause they have been watching the world poker tour and thought they knew what they were doing in Vegas. One way or the other... with soooooo many valid reasons for selling a succesful salon why is it that they have to be lying everytime? As for buying a pre-owned salon.... I have looked over so many books and P&L statements my head hurts... but I have found few salons that are actually loosing money? Sure they have there negative months but overall at the end of the year there is a profit to be made. Yes, small and not something a soul provider in SoCal can live on with a family... but even when paying a manager $10 an hour you can still have some play money at the end of the year. Sure it might take 5 years to make your investment back.... but is that a bad thing if you get into it knowing you're not trying to make a million dollars overnight? As an investment how can 60-80k a year be a bad thing? Or if you find a salon for 50k how can 20k a year return be a bad thing???? It's sure better than loosing it on the stock market, leaving it to ferment in a low interest savings account so the bank can use you more than they already do to get rich.... or blowing it on lap dances from an over weight ex trucker named Phylis who's just trying to pay the bail to get her 18th kid out of jail. (no, not a personal experience.. i think?) So although there is more than one question asked through this whole post.... the one most important one I would like an answer to is as follows: *Can an investor purchase an existing salon, be an absentee owner and make a profit at the end of the year?* Can anyone? I'm not thinking this is going to pay for my 100' yacht or the Ferrari Enzo.... (dream dream dream)I work a full time job and just want to invest in something. I'm a firm believer in making your money "work" for you. I have equity built up in a few homes and instead of it sitting there being lazy i'd like to kick it out on it's a#% like a rebel 18 year old an make it get a job. Why not the tanning industry? If this industry is tanking so badly why is it that no matter where you go in every town on Earth (ok maybe not in Jamaica) there are tanning salons? It seems like every time someone builds a town center or strip mall.... there is a tanning salon put in. Not to mention the explosion of franchised tanning salons. Sure there is anti-tanning crap going on... but do you think that really impacts the business of people who dont care about there bodies? Not that I'm saying there is anything to those bad claims... but look at smoking or drugs or un-safe sex. Most people don't care about whats bad for them until it kills them... so I dont think we are loosing a lot of customers over anti-tan protest. Like anything else... it's a bunch of people with nothing better to do that should put there energy twards helping people who need help and stop worrying about what the rest of us are doing to ourselves. So now that I've rambled.... I just want to say I really appreciate a site like this where someone can go and get advice from people who have gone through it already. It's great to see that in an industry where there is so much competition people can still be friends and help eachother out. I guess it's just getting frustrating becuase I have wanted to do this for some time and now that I'm really looking into it everyone makes it sounds like it would be a dumb decision. Am I just reading this wrong? Thanks for everyones input and if anything I have said offended anyone I appologize ahead of time. Cheers and Happy Friday! ~S~

05-26-2006, 11:41 AM	#3 (permalink)
Tanzenite Don't you dare! Join Date: Jun 2 2005 Posts: 2,870 Rep Power: 15	Re: One question.... kinda... It will work if you make it work. I think that many salons fail because the owners do not do anything about it. They sit back and wait for tanners to show up. You have to be able to give 110%. Marketing, Advertising and location, location, location. __________________ McCain/Palin '08

05-26-2006, 11:51 AM	#6 (permalink)
BP I love Derf!! Join Date: Apr 13 2004 Location: West Coast Age: 42 Posts: 930 Rep Power: 6	Re: One question.... kinda... I'd invest your money in something else unless you want put all your effort into making a living in this industry. I don't consider tanning as a good investment any other way.

05-26-2006, 12:31 PM	#8 (permalink)
Tanzenite Don't you dare! Join Date: Jun 2 2005 Posts: 2,870 Rep Power: 15	Re: One question.... kinda... Yes it can profit...you just have to work really hard. __________________ McCain/Palin '08

05-26-2006, 12:42 PM	#10 (permalink)
lucky7_93021 Join Date: May 17 2006 Posts: 13 Rep Power: 0	Re: One question.... kinda... Thanks for everyones advice. I'm gonna look into the place... but keep my options open for other industries. My current job pays amazingly well so there isn't much reason to quit this to spend 13 hours a day running that... I was hoping for just a little extra. Cheers!

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