bigkato

so im googling questions i should ask this salon owner tomorrow and stumble here to a huge forum full of just the right people to talk to...ive sat here reading post after post and have gotten alot of my quistions answered but figured id post my own story...i enjoy reading people saying run...or saying take it for free if they will let you...so thats what im hoping for. i meet with the owner tomorrow so i dont have alot of details(any detail i should get please point them out!)

this salon is 5 minutes from my house, has 9000 clients in the computer system, has 4 beds..2 level 1 beds 2 level 2 beds...1 level 2 is a 12 minute bed...the other 3 are 20 minute...they will need updated ive already accepted this.

it has a nail staion(the manicurist just passed away) and 2 hair stations(the owner said she would be interested in renting the chair from me after the sale for a year or so.

the location could not be better!!!! in a town center along the trolley lines..mane road...next door to the county most famous bakery...ample parking in my opinion for a 4 bed salon...

room in it to add more hair chairs...or eliminate them both and add more beds.

now the bad news(hopefully nothing has been a red flag so far LOL)..just a stones throw away a slaon opened up about 1 year ago with 4 state of the art beds...and a spray tan booth...those owner and i have mutual friends and i know they borrowed against thier home and both of thier parents homes to open. im not looking to get rich...just make a nice living close to home. these competitors charge nearly $100 a month for their main package. and like $25 a session for the spray thing...thats about all i know...i just know its a TON!

so all this could be mine for the low price of.....drumroll please...$15,000

i went in there to look around when the owner wasnt there(she told me i could) and the place needs a total makeover...has a shabby carpet throughout the joint...cluttered messy ...and needs paint, style, and some TLC. she has 3 employees who work there who would probably continue working there for me.

shes selling because she had alot of problems getting pregant...2 years ago had a child...and since has neglected the salon(her story jives with how the salon looked) zero advertising...ummm...she wants to keep her clients(hair people) but doesnt have time to run the whole business.

obviously i need alot of figures before anyone here can make heads or tails of this...but id LOVE to here some of your initial thoughts.

thanks in advance for taking the time to read and respond!
shawn

caribbean tan man

9000 clients in the database means diddly $hit. find out how many are active in the last year and how many active in the last 3 months. i bet you will be very surprised in the differance. all that means is 9000 people came in that door and tanned atleast 1 time since it was open!

how many moved,died,quit tanning,tan somewhere else,are from out of town,etc...

what does the salon gross per year?
how much is the rent?
how big is the sq ft?
how much AC is there?
whos going to run it? (chances r u will be buying yourself a job)
i could go on but u prob read it all hear previously! LOL

getting clients to come back from the new salon could be hard, especially if they are happy.

The owner wanting to stay as a hairdresser is a sign that the business makes no money but the employees do!

what brand,model is the equipment?
how much electric is in the salon?
do u have enough electric available to add new machines?
most newer machines are also bigger do u have large enough rooms to fit the new bigger machines?
hows the parking?

Have u researched the price of new equipment? if not u definitley need to....that high end salon u mentioned probably payed 15k for their level 1 bed. Can u afford new beds?

then theres the economy...everyone is broke!

i think it all comes down to how much money you are willing to dump into the place to revive it. Then u got to hope your plan works. If not then what?

tanning is in a bad state right now if u ask me. my comp has 18 locations and the one closest to me just closed last week! it was only there 1 year!!!

if u really want to make it easy on yourself ...ask if she will finance it to you herself. If shes motivated she will. and offer her less ofcourse!!

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