You've Decided you want to rent a Suite, Now What?

Congratulations!  You have decided that you want to move towards Suite Rental. Your head is probably spinning with ideas, checklists, and possibly overwhelm not even knowing were to begin. The great news is that it is all normal!

Before we get started on what you should do next, let’s rewind a little bit and talk about a few things that would be very helpful to know before committing to a suite rental.  

First thing, Know Your Why!

What this means is, know the reason why you want to rent a Suite. There can be a million reasons, but you should have a deep understanding of the short-term why and the long-term why. For example: wanting 100% control of your work schedule, wanting majority control of your environment and guest experience, wanting a drama-free, clean, and comfortable workplace, or wanting the opportunity to create something that doesn’t already exist.

Secondly, Know Your Numbers!

Knowing your numbers is extremely important before you commit to a Suite rental. The correct numbers will tell you if your current business is capable of affording and sustaining Suite Rental. Meaning that you are making a decision based on facts, rather than emotion.

The numbers you should absolutely know are 1. How much money in revenue are you doing monthly and weekly for the past 6 months? 2. How much does it cost to perform each service that you offer? Think about the products and supplies that you use for each service and know exactly how much they cost per unit and per service. Example: If you offer waxing service, how many application sticks, gloves, products, wax, etc are you using per service? You want to get very granual with this, include things like snacks and drinks you might offer. The more you add the better. 3. How much will your overhead cost be? This would be your rent weekly, phone bills, booking system subscriptions, etc. 4. How much will your initial investment be? Think about deposit fees, first week rent, furniture investment, decor, amenities, usable product and supplies, retail products, licenses, insurance, etc.

5. How many new guest requests are you getting per week? These are guests calling the salon, shop, or you directly, wanting to make an appointment with you only. Quick tip, if this number is less than 5 a week, you need to work on your marketing before you move forward.

Thirdly, Set Up Your Finances Correctly!

When starting a new business, it is imperative that you set up your finances in a way that keeps things very clean and simple. This is not financial advice, however highly recommended by many financially savvy business owners.

You absolutely need 4 bank accounts for business only! Not tied to any personal accounts. One for income only, one for expenses only, one for emergency savings only, and one for tax savings only.

Now that we have all of that covered, let’s talk about the real topic at hand.

What to do now that you have decided on Suite Rental!

As was mentioned previously, it can become overwhelming very quickly when you don’t know what your next steps should be.

The best place to begin,

is collecting information. Research local Suite Salons that you think may be a good fit for you. Talk to other beauty industry professionals who are currently renting at these locations and see how they like it. Tour Suite Salons using our Ultimate Suite Salon Check List as your guide. This can be found in our blog post What should I be looking for in a Suite Location.

Narrow down your Salon choices based on location, amenities, and budget.

2. You may want to begin collecting client contact information if you do not already have it. This will be important before making any announcements that you are leaving. The information you should be collecting is First and Last Name, Phone Number, Email address if available, and any client notes or formulas if possible.

3. Start setting up your business structure. LLC, EIN number, bank accounts, etc.

4. Save or acquire the money you will need to make the move.

5. Create a solid marketing strategy! DO NOT MOVE INTO A SUITE WITHOUT A MARKETING STRATEGY! This is a necessity! Any time that you move to a different space, you WILL lose clients. You must have a way to replace the clients you lose. The Marketing strategy you create is how you are going to fill in those spots. If you have no idea what a marketing strategy is or how to create one, check out our blog posts Marketing Basics Every Beauty Professional Should Have in Place and How to build a Clientele in a Suite.  Walk-in traffic is rare in a Salon Suite Environment and not a reliable source of new clients.

6. This next suggestion is optional but will ease the burden when you begin the transition.  Start collecting items you will need for your space. It is recommended that you start with things that will make you money. Examples: Retail products that you plan on selling, products and supplies that you know you will use (gloves, styling products, etc.), and big furniture items that may not come with your Suite (special chairs or bed, mirrors, stations, etc).

7. Choose and set up the booking software and credit card processing software that will work best for you and your business. It is best to have booking software that offers credit card processing. This allows you to see all of your financials in one place and just keeps things very simple and trackable. Having this set up ahead of time will allow you to start uploading client information and scheduling appointments for the news spot when you announce the move.

8. Now that you have done all of the prep work, it is time to choose your Salon and sign your lease!

9. The final Steps! Notify your current salon or shop, start moving into the new space, notify your clients, and you will be on your way to business ownership and achieving every goal and dream you have for yourself!

This may seem like a lot of information. The reality is, it is! Now you have a step-by-step checklist and guide that you can print out and refer to at any time.

It is very exciting to begin the journey toward entrepreneurship, and we are just as excited for you!

We love connecting with people at every stage of their journey, but we do have a special passion for starting new businesses. If you are interested in connecting more, leave us a comment or reach out on social media!

Wishing you all the Success and cheering you on from the sidelines!