Requirements to Open a Hair Salon in the UK: 2025 Guide

Planning to open a hair salon in the UK? How exciting!

Meeting the requirements to open a hair salon in the UK might seem like a lot, but with a good plan in place, it’s easier than you think. As you get started, make sure to consider using the best salon software options in the UK to help manage bookings, staff, and day-to-day tasks. It’s a simple way to keep things running smoothly and focus on what you love—styling hair and making clients happy!

What You Will Learn

We will go over the process of starting a new hair salon, together with giving you examples, recommendations, and checklists for every new salon owner.

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  1. Requirements for Owning a Salon in the UK
  2. How Much Does It Cost to Open a Salon?
  3. Salon Opening Checklist
  4. Hair Salon Equipment List
  5. Owning a Salon Pros and Cons
  6. Conclusion

Requirements for Owning a Salon in the UK

 

As a business owner, there are lots of things you'll require to prepare when opening a salon.

Licenses and permits can vary between states and provinces and, in certain cases, even between towns.

Ensure to do your homework and learn whatever you require in your area. It's a good thought to include these when starting a salon checklist and approximating your startup expenses.

Here's a summary of the basic business license actions and permit requirements to help you get started:

1. Obtain Required Licenses

  • Professional Licenses: If you only plan to cut and style hair, you most likely won't need a professional license. However, all your hairdressers need to have GNVQ Level 2, and if you plan to dye hair, you also need to comply with Control of Substances Hazardous to Health (COSHH) regulations. And if you offer any other beauty services, make sure to check what licenses they may require.

  • Salon Business License: To register your sole trade business or partnership, you need to apply to the HM Revenue & Customs (HMRC). And if you are setting up a limited company, you'll need to register with the Companies House as well.

  • Premises License: Apply for a premises license with your local authority or council. It will enable you to legally run a salon and perform chosen services on your property.

  • Additional Licenses: If you plan to play music or serve alcoholic beverages to your clients, you will need to apply for a PPL License and Personal License, respectively. Contact PPL PRS to apply for the first one and your local licensing authority to get the personal license. You can also check gov.uk for more information.

  • Storing Customers' Data: You are required to register with the Information Commissioner's Office (ICO) if you're storing any details about your clients, even if it is only emails or telephone numbers.

Requirements for owning a salon
Requirements for owning a salon

2. Get Salon Insurance

The price of insurance coverage usually varies greatly, but it takes care of you, your staff, and your customers. Check out the British Association of Beauty Therapy & Cosmetology (BABTAC) website for details and also some specially tailored insurance packages for salons.

3. Sign a Lease Agreement

A legal professional can help you draw this up, although templates are readily available online. You'll wish to make sure to have this signed and ready to go before you invest any money in the existing salon or make any changes to the location. If you're buying the space, ensure to seek advice from a lawyer to close the sale.

How Much Does It Cost to Open a Salon?

 

1. Salon Licenses and Legal Fees

The total amount you'll have to spend on acquiring all the necessary licenses, permits, certificates and registrations can easily add up to about £2000, including processing fees. If you need the help of a lawyer, expect to pay around £200 for each hour of their work.

2. Salon Location

  • Rent deposit: This will include your first month's rent; however, it can additionally include an additional deposit in some cases (if the commercial property is furnished, some property owners will charge more).

  • Salon Fit-out: The price of fitting out the salon you want will differ a lot depending on your taste, funds, and the square footage of the place itself. Don't be afraid to look around and get multiple quotes.

  • Furniture: To begin, you can expect to pay anywhere from £150 to more than £1000 for a high-end chair, and washbasins also start at several hundred pounds each. Do not forget furniture for your customer reception areas and salon break rooms, too.

  • Signage: It's important to have the right salon sign to draw in clients to your business. That said, a professionally-made sign done by a graphic design business can begin at several hundred pounds, so it's a great idea to look around before selecting one.

3. Salon Equipment

How much does salon equipment cost?

Salon owners have the choice of leasing equipment or buying it outright. Both have their benefits and drawbacks.

A brand-new total set of hair salon equipment and tools may cost you anywhere between £5,000 and £30000, depending on the number of workstations you'll have and the class of the equipment you're going to purchase. Whereas with leasing, you make month-to-month payments. These rates will depend upon the provider, and many do give you the option to purchase the equipment or lease new items later.

Many companies will offer you the possibility to lease bigger, more costly items such as styling chairs, hood dryers, and backwash station chairs, but be prepared to search for smaller items such as carts, trolleys, and service accessories.

When you begin stocking up, bear in mind that your salon's requirements may change in the future, so you'll wish to prepare not only what you purchase now but what you may require later on.

4. Salon Marketing

Your salon website is among your salon's essential marketing tools, especially if your target market is younger or professional. They tend to value the convenience of online booking and make use of social networks to discover the services they need.

You can build your salon website utilising a totally free design template online or employ a specialist to help. They normally charge between £300- £700 for this service. Or, you can purchase solid salon management software that includes a website building function.

Don't ignore business cards and leaflets, too. Make sure to connect to the local community utilising printed materials that you can hand out at your salon and local businesses.

You might even want to buy an advertisement on the radio or in the local newspapers.

How much does it cost to open a salon?
How much does it cost to open a salon?

5.Initial Stock

Your total stock will vary depending on the size and staffing needs of your salon. When you work out product needs, make certain to include disposable materials utilised in each service, along with retail products and professional supplies.

Professional Products: These are your "back bar": what your hairdressers will utilise on customers and must be inventoried apart from sellable stock. Hair salon software can assist you to monitor these.

Retail Products: Track what you sell to customers separately from your supplies budget. How much cash you invest in these items will depend upon your marketing and the items you choose, in addition to any specialities your salon provides (such as hair shampoos and conditioners for curly hair or treatments for greying hair, for example).

Salon Opening Checklist

 

Some people are curious about how to start a hair salon. Similar to any new business venture, a little bit of planning goes a long way. Here are the steps that you can follow to assist in turning your dream into a profitable business.

1. Choose a Business Model

Will you join a franchise (this comes along with a great deal of support but less autonomy), or will you run your own business? You'll need to decide whether to pay your staff on commission or rent chairs/ space to independent hairdressers.

2. Develop Your Salon Business Plan and Price Menu

That helps new salons to remain on budget and will give you a roadmap to put together your business. Include a marketing strategy, your target market, budget, and the type of products/ services you'll offer customers. Include in this a breakdown of your basic recurring costs like personnel salaries, insurance, back bar expenses, and marketing.

3. Find Perfect Location

That will depend a lot on your brand and target market. Will your customer base be professional and young? Then look for something near a local downtown or business centre. If this fits their clients and brand, other salons might do well in little towns or quiet neighbourhoods.

4. How to Fund the New Salon

Insufficient money at startup is one leading reason that salons fail. Attempt to have at least six months in reserve. Sources of funding can include your own savings, assistance from friends and family, your local credit union, and loans and grants for industry startups. Make sure that you have a budget and strategy to pay it back, too.

5. Develop Your Salon Branding

Your brand defines your business and clientele. It includes everything from your logo design and name to your website and interior decoration. Pinterest is a nice source of ideas to start. Choose some images and words that characterise your brand and use them for inspiration.

Salon opening checklist
Salon opening checklist

6. Prepare Your Salon Marketing Plan

Set up your website and social media pages, choose a logo design and reach out to the community. Your friends and family can be vital when it comes to forming these connections with new customers.

Make certain that you also set up your Google My Business account info with pictures so that customers can find you on opening day and leave feedback afterwards. Salon software will make following up with them and handling review content easier, too.

7. Get Salon Management Software

That will help you optimise your salon calendar, enable simple online booking, take payments, manage your personnel schedule, track and order inventory, and more, saving you hours of hassle and money every week.

8. Select Your Credit Card Processor

Various providers provide various equipment and rates, including easy app-based systems or more complicated machines with receipt printing. Don't hesitate to shop around.

9. Recruit Salon Staff

Advertise any openings and select your dream team, then plan your training.

10. Choose Product Suppliers

That depends considerably on your branding and customers, so select a range that compliments your services and vision.

We've prepared an opening a salon checklist pdf to help you get started.

Hair Salon Equipment List

 

That includes everything from furniture to the tools and tech that your employees will need. Start by making a list of the small and big things that your space should have, separating "needs" from "wants" to stay on budget.

Keep in mind, the equipment can usually be leased or bought; however, tools and furniture will most likely have to be purchased.

Your salon shopping list needs to include:

  • Furniture: Reception desks, chairs, waiting area furniture, salon chairs, backwash stations, product display stands, lighting, wall art, trolleys, and shelving are all essential items to put on this list.

  • Electrical Items: Blow dryers, drying hoods, clippers, curlers, heat lamps, washing machines, and any specialised items for other services.

  • Supplies and Tools: This includes non-reusable materials like curling papers and gloves, in addition to reusable combs, brushes, scissors, towels, spray bottles, mirrors, and aprons.

  • Management: Computers/ Laptops for running the salon, salon software to track scheduling, appointments, inventory, a cash register, POS system, and phones are all needed for the business.

  • Safety: Fire extinguishers, masks, first aid kits, and hand sanitiser must all be kept on hand.

We've prepared an opening a salon equipment list pdf to assist you in getting started.

Owning a Salon Pros and Cons

 

Are salons profitable? They definitely can be, however running a prosperous salon takes a lot of hard work and devotion, too.

While there is a lot of advantages to owning your own salon business, there are also some disadvantages that you'll need to be ready for.

The best parts of salon ownership are:

  • Self-reliance: You decide how to direct your business, set your own schedule, and keep the earnings.

  • Creative Freedom: Developing your dream business, mastering managerial skills, and helping to develop and mentor your team is both rewarding and an amazing learning experience.

  • Opportunity: An average salon can generate an income of about 100,000 pounds annually. Out of this, about 50,000 pounds is profit for the salon owner. If you manage things well, this can add up.

Some obstacles to be prepared for are:

  • Administration: It's challenging to handle all the administration work, from tracking payroll and stock to updating social media and preparing for tax season. Salon software can help you stay organised, optimise your calendar and handle scheduling and stock, among other things; however, you'll still have plenty of work to do.

  • Taxes and Legal Necessities: You'll be the one ultimately accountable for paying taxes, insurance and making sure all your inspections and documents are up to date.

  • Losses: Even the very best businesses may have their slower days, and you will require to be prepared for this. It's a salon owner's responsibility to see that personnel are paid, and expenditures are met, even if profits are temporarily low.

Conclusion

 

Starting your own salon is a big step; however, it can also be extremely fulfilling. The most crucial thing that you can do is invest your effort and time in staying organised right from the start.

Tools like salon software can assist with this, and it's important that you prepare yourself by doing your own research and getting your checklists prepared before you begin making any purchases or investing any money.

The correct planning, a clear budget, and a solid marketing strategy can make all the difference when opening a salon.

Citations

Start-ups: Business incubation and social capital
https://journals.sagepub.com/doi/abs/10.1177/0266242605055909

Success and failure in new business start-ups
https://journals.sagepub.com/doi/abs/10.1177/026624269000800203

Small business start‐ups: success factors and support implications
https://www.emerald.com/insight/content/doi/10.1108

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