The Link, Issue 36

ISSUE 36

IN

SUE S I S THI

LOUD & CLEAR

WINTER 2020/2021

BY HAIR RESTOR AT ION SPECIALISTS | FOR HAIR RESTOR AT ION SPECIALISTS

contents 22

33

The Voice of Experience Help in Trying Times

Those Darn Tangles!

TIPS & TRICKS

It’s Time to Start Dealing With Your TAXES!

Look for this symbol throughout this issue.

We’ve sought out advice and insight from those who have been through it before.

Patience and persistence are key to making sure that tangles don’t get the best of you!

How they happen and how to fix them.

This year there are significant changes, especially with PPP Loans and Forgiveness, etc. We’ll help get you started!

5 7 10 13 16 20 22

Be Creative and Stay Encouraged Wigs 101 a Primer A Dream Realized Have a Plan in Place Interview With Darla Smith HairNow 21 Those Darn Tangles

24 27 28 30

33 36 38

Insight from Fred Poenessa Welcome New Members Insight from Virg Christoffels Communication and Care: A Key to Success in Challenging Times Its Time to Start Dealing With Your Taxes No Shaving Required AHLC Academy

THIS ISSUE MADE POSSIBLE BY THE SUPPORT OF THESE ADVERTISERS | PLEASE SHOW YOUR SUPPORT IN RETURN

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contributors JOANNA BERTOLASIO OFFICE QUEEN, NU/HART HAIR Johnstown, PA

GLADYS HARUT

TWIN CITIES HAIR LOSS STUDIO LLC Eagan, MN

KELLY CARSON

AHLC EDITORIAL CONSULTANT

THE HAIR SPECIALISTS Hudson, Ohio

THE AMERICAN HAIR LOSS COUNCIL 222 Everbright Avenue, Franklin, TN 37064 615.721.8085 or info@ahlc.org

4

THE LINK MAGAZINE

FOUNDER CHRISTOFFELS HAIR RESTORATION Sioux Falls, SD

ALLISON HUFF

The Link Magazine is the official, quarterly publication of the American Hair Loss Council. The Trade Association Serving the Hair Restoration Industry. For advertising or contributing editorially, please contact us:

VIRG CHRISTOFFELS

RYAN OLDHAM DIGITAL MARKETING SPECIALIST INTERNATIONAL HAIRGOODS Eden Prairie, MN

KD COBB

OWNER, KD & COMPANY Loganville, GA

JOSEPH ELLIS

PRESIDENT, AMERICAN HAIR LOSS COUNCIL OWNER, RALEIGH HAIR CONCEPTS

Raleigh, NC

FRED PAONESSA Hudson, OH

DARLA SMITH

HAIR LOSS SOLUTIONS DIRECTOR, NEDIA HAIR LOSS SALON & SPA Minnetonka, MN

THE LINK STAFF

SUBSCRIPTIONS

Editor: Janine Thornhill Creative Director: Terrell Thornhill Editorial Committee: Paul Albee, Kelly Carson, Kelly Nemitz

Subscriptions to The Link Magazine are mailed FREE to AHLC members within the continental U.S. International members are provided digital copies. Please contact us for additional shipping rates if you are an AHLC member outside the US and wish to receive a printed edition.

AHLC Board of Directors Joseph Ellis, President Susan Kettering, Executive Director Marsha Scott, Past President Janine Thornhill, Administrator

To become an AHLC member or renew your membership please call 615.721.8085 or log on to AHLC.org.

SARA TIMS

OWNER, CHRISTOFFELS HAIR RESTORATION Sioux Falls, SD

LEGAL STUFF The opinions expressed in The Link Magazine are those of the authors and may not reflect the views of the AHLC. Advertisements in The Link may not reflect the beliefs, opinions or attitudes of the AHLC and do not imply endorsement. © The American Hair Loss Council, All rights reserved. Reproduction in whole or in part without written permission is prohibited.

POSITIVITY & INSPIRATION

Creative & ENCOURAGED

Be

Stay

During this challenging time, I had to put myself in the mindset of a client and address their hair care concerns.

GLADYS HARUT, Twin Cities Hair Loss Studio LLC, Eagan MN have a small studio that services all hair textures. My primary Iclients suffer hair loss.

During these perilous times, I had to go back to the drawing board to figure out how to remain relevant and stay open while custom orders are running six to seven months behind, stock systems a year behind and customers afraid to come in.

I had to ask myself, “What’s in my hands to give my clients? What do they need?”

In order not to over or under stock product, I only buy the basic foundational products. If I don’t have a specific product in salon that a client needs, I adapt another product, or I determine my market base by what I am seeing is needed in my area. From this, I am finding more people are into retaining and growing their hair with natural products. So, I made sure to buy a case of hair growth products to meet this need.

I’m teaching myself how to make my own natural looking wigs by ordering premade wigs, which I color and cut for my clients desired look. I have even ordered online when availability was an issue.

During this challenging time I had to put myself in the mindset of a client and their hair care concerns. I’ve been reeducating myself on new skills and revisiting my options and the skills I already possess, such as ventilating, even though bulk hair is limited and posses its own challenge. I remedy this by always asking for left over hair whenever I order a custom. I use the extra hair for my hair adds. Also I keep the old systems if they’re still in good condition for possible future repair.

So, I encourage all salon owners, don’t faint! Go back to your drawing board and revamp your vision.

We got this! Be creative. Stay encouraged.

Eventually, I realized what they needed was reassurance that I could service all their hair care concerns. I decided to market scalp treatment more, and for my hair replacement clients, hair adds, which I am trained to do, as well as an at-home hair growth product.

RIGHT: Gladys Harut as she styles a client’s system in her studio THE LINK MAGAZINE

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WELCOME TO

WIGS

101

RYAN OLDHAM Digital Marketing Specialist International Hairgoods

the world of wigs there are many different options Iforn your clients, but the main question you’ll want to answer is whether to recommend synthetic or humanhair wigs.

On top of this, you’ll want to figure out whether ready-to-wear wigs are the way to go, or if you’ll need to cut it in, like a topper or hair system. Ready-to-wear wigs are ideal in almost every scenario as they come cut and colored and generally fit any client.

In this article we’ll take you through the ins and outs of synthetic wigs, human hair wigs and the do’s and don’t of both as you look to introduce wigs to your salon as a new revenue stream for 2021.

The Client First things first, you’re going to want to make sure you understand the differences in clientele that wigs can bring to your salon.

Not all are experiencing hair loss of any form, as many like to wear wigs for fashion, and stock up on multiple wigs for whichever style they want to wear on a particular day or for a particular event. Think Moira Rose from ‘Schitt’s Creek!’

For the most part, however, your clients will have some medical hair loss like Androgenetic Alopecia or Trichotillomania.

CONTINUED...

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WIGS 101 CONTINUED...

These are your most loyal and reliable clients as you become their wig expert. If you are able to give them the Five Star salon experience and “wow” them with the wigs you have to offer, they’ll tell their friends, the online communities they’re a part of, and importantly, they’ll tell Google Reviews about it too.

These tips don’t only apply to wigs, either. You can use this information and apply it to human hair systems vs. synthetic hair systems. The pros and cons will remain the same. The same feedback is also likely from your clients!

Synthetic Wigs There are many different synthetic fibers on the market that vary in price and quality, but many have perks that clients can’t get with human hair. Some premium synthetic fibers are extremely close to natural growing hair. More expensive synthetic fibers have a texture that gives the hair its visual and tactile signature, which adds up to a ‘created’ hair that looks and feels like strong healthy hair.

There are a variety of synthetic hair options with different qualities and benefits, and most are high-temperature created fibers that feature 1000’s of colors, are heat-friendly, and can be styled to yours and your client’s content.

Your client may think they want human hair because it’s “natural,” but many synthetic options are easier to care for, more comfortable to wear (more lightweight) and much easier to style - in addition to typically being more affordable than human hair options

Pass these Synthetic Wig tips on to your clients: • Wash & condition about every 10 days • Always use products made for synthetics • Always use the correct temperature - no more than 350º • Change curl with steam • Make beach waves with water & curling or flat irons • Do not sleep with wig on You can also set an appointment for intensive wig care that would be schedule and priced like a blow out appointment.

Wigs using synthetic fibers can last up to 12 months, but it all depends on how the client takes care of them and the length of the wig. Longer hair usually wears quicker. Longer hair usually wears quicker due to rubbing & friction on clothes and skin, etc 8

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The easiest way to think about it is comparing it to purchasing a pair of shoes. If you wear a pair of shoes every single day and take them with you everywhere without care, they won’t last too long, but if you give those shoes a rest from time to time and take good care of them, they’ll be with you for a while! Expensive shoes, like expensive fibers, generally show wear slower.

Make sure your clients know this when they purchase wigs from you, and suggest that multiple wigs might be the best option for them. This way they can have multiple styles at the drop of a hat, and be able to give the best care possible to each one.

Human Hair Wigs Human hair wigs are generally made from Chinese, Indian, Indonesian, Malaysian & European hair. They are hand tied or a combination of hand tied with wefting, and there are less color choices than synthetic because of the processing it takes.

The technique used for most human hair wigs can have an effect on the long-term quality of the wig itself, because of the chemicals used to produce certain colors and curl patterns. The main difference between human hair and synthetic wigs is style memory. Synthetic wigs do not have to be re-styled after every wash because of its style memory, but just like real hair, you’ll have to restyle, curl and/or straighten after washing a human hair wig.

You will have to professionally style a human hair wig for your client, as opposed to the light work you’d have to do (if at all) for a synthetic wig, but many people prefer human hair because of the quality and the control that comes with it. Some clients prefer the daily styling as it gives them a sense of normalcy that they had when they previously had a full head of hair.

Human hair wigs are typically more expensive than even the most premium of synthetic fibers, and generally wear faster as human hair tends to do.

Overall, it’s the client’s choice on which fiber to use for their wig, which is why it’s vital to have multiple fibers, colors and style options at your disposal for them to try. It’s also key to understand that human hair wigs are generally more expensive than synthetic for similar quality.

If you’re able to provide quality service to your clients it will be better for them, for you and for future clients in the long run!

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KD COBB, KD & Company, Loganville, GA his year has been a whirlwind to say the least.

TA multitude of unknowns have literally defined our future. In addition to the pandemic turmoil of spring 2020, I was on medical bedrest awaiting the birth of my second child.

How does one move forward when so much is unknown? This question loomed in my mind as I watched events unfold. I wasn’t even sure I would have a salon to return to once everything settled down. I missed the salon. I missed my clients. I missed using my gifts to serve others.

I worked for a large multilocation corporate salon that was trying to navigate new COVID procedures. After receiving a call this summer informing me that I no longer had a place in the company, the fears exponentially increased. As I reflected on this new normal, a new question materialized- “Are you ready to realize your dream?”

ABOVE: Left to right: Shannon DeMilio, Brittany Kozel, KD Cobb, Bailey Ledbetter, Logan Reese, Amber Pinkerman

In February 2015 I met Bobbi Russell and learned of her hair loss solutions at easihairpro (EHP). I was intrigued. I continued to pursue further training and hungrily devoured course after course in EHP’s education program along with many others. The more I learned, the more I knew I wanted to focus my services on hair restoration, serving heart before hair.

We all know stylists don’t just shape hair; they help shape your identity. No longer did I want to dabble in this category. I wanted to dominate, being able to offer any and all services that would give my guests more confidence as well as more hair.

I wanted to move more toward empowering women with fine and thinning hair by giving them the hair they’ve always dreamed of, but being part of a large corporate salon somewhat limited the realm of services I could offer to my guests. The resources and inventory available to me were being controlled by those above me.

What if I was the one calling the shots? I could expand and customize my range of expertise to better meet the needs of my clientele. I knew that I wanted to control my environment, creativity and inventory, but that meant opening my own salon in the middle of a pandemic.

I had no location. I had no stylists. I had no idea how this was going to work. I’ve always said doubt kills more dreams than failure ever will. Now was the time to put that to the test. There is much to be said for faith, family and friends. I was surrounded by people who believed in me, my talent and my vision to serve my community. If those around me believed, then so could I.

Once word got out of my plans, I was approached by several stylists who also desired more control and shared the same vision. I knew I wanted my salon to be a place that exuded creativity and where each individual stylist could pursue his or her own individual path. Within the span of eight weeks, I went from the day I realized I wasn’t going back to my former job to the day KD&Co opened its doors.

When it comes to choosing a name, meaning is everything. Originally, I thought of “KD & Company” in terms of a hair salon organization, but as the team came together I realized it was so much more.

While the term ‘company’ can refer to a business organization, it can also define a group of people united for a joint action.

this path. What led you to the industry?

What keeps you motivated? What is your passion and your purpose to continue? For me, I find inspiration in my clients battling hair loss for various reasons. They are the true superheroes who fuel my desire to be better and improve my skills.

I’m also inspired by the American Hairloss Council and its devotion to excellence in the field. Without its pioneering techniques and educational opportunities, its peer-to-peer networking and its support for our growing businesses, individuals suffering hair loss would have limited options for finding specialists near them who are just as passionate about serving their heart as they are their hair.

This is exactly what my life needed, what 2020 demanded and what our industry was craving. Our team of stylists banded together to create a safe and secure place to welcome our guests and help give them a place to shelter against the trials 2020 had thrown their way. KD&Co was born, not out of a pandemic but out of a desire for something different.

The COVID-19 pandemic has created uncertainty for stylists in their personal and professional lives. This story exemplifies perseverance, the ability to get back up once life knocks you down, and what can be achieved with determination and divine intervention. It is also a story of inspiration offering hope and encouragement to those who desire something different and who feel an urge to do more in the industry.

There are hundreds of salons in our surrounding area, and even five salons within two square blocks of my new location, but a saturated market does not mean you can’t be successful. Each salon has a different goal, taking on the personality of the team that drives it.

Maybe what’s most important here is the commitment to community and how it benefits not only those around us but also strengthens ourselves as individuals. As we grow individually, we are strengthened to pour back into our community and the cycle of being better together continues.

I encourage everyone to return to the passions that once fueled you to follow

Ultimately, this is the dream realized.

As plans began to take shape, pieces fell into place. A location was chosen that fostered a more intimate environment for those guests who did not feel comfortable in large corporate settings.

LEFT: Hair wasn’t the only thing being cut at KD & CO. Our grand opening ribbon cutting ceremony was a success with the support of our local police department.

We purchased moveable dryers so that we could use them anywhere, even in our waiting area.

RIGHT: Three stations inside KD & Co. Salon THE LINK MAGAZINE

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HAVE A

PLAN IN PLACE It’s more important now than ever.

JOANNA BERTOLASIO, Office Queen, Nu/Hart Hair, Johnstown, PA

ello again, it’s me your friendly everyH thing girl. Remember a few years ago when we talked about getting organized, about being prepared when the world comes crashing down? Who knew how accurate that statement would be?

First, how are you? Are you doing OK? Freaking out? 2020 has been a broken roller coaster for many of us, and we are all handling it in different ways. I know it’s stressful. I know it’s a lot. I know it may seem stupid to some of you. Now is the time to get organized, even just a little. I promise it’s going to come in handy someday. Especially now that we live in the land COVID-19, something is probably going to go wrong.

Baby steps are OK, but no excuses this time. So take a deep breath, and let’s do this together. We can talk about options.

With the world as crazy as it is, we can all take a few minutes to make it easier for the people we love.

Pick your person in charge, and make sure they are comfortable being you. This is important, so make sure your go to person has a helper! Let’s be honest. We need all the back up we can get right now.

Even with my handy survival books and how-to-be-me instructions, I have made sure to get another employee comfortable doing things. She is me when I can’t be.

Other employees are at least familiar with how to be me. This is for them as well as you. In stressful situations these little things can be difficult. Remember, mistakes can be expensive, so let’s try to avoid them.

Simple lists are super common, and really easy to get started. For example, how about a “bill list.” Who pays what and when? Write it down and tape inside a cupboard or keep it with your checkbook.

Online bill pay is great, so how about a list of websites and logins? Make sure your significant other knows them, or a business manager, really just pick a person you trust to help you when you need it.

A folder in your desk is great, too, just a simple file. Slap some useful information there for the person you pick to handle things when your down.

Remember the old PTO tree from school? Not so stupid now is it?

Fireproof boxes are great. In case of emergency, everything important is in the box. This is perfect for business or personal stuff. If grandma passed away today ,do you know what company her life insurance is with? What bank holds her mortgage? Most people have no idea.

My mom has a box for me and my sister.

If she dies or gets hurt my only job is to get the box and her dog. That stupid 10-pound square holds the vital threads that keep her home running smoothly. It’s all the important stuff – the who and what and when that people just don’t think about until it’s too late. Why would you ever willingly allow a loved one to struggle and search for important information?

CONTINUED...

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HERE’S A PEEK INSIDE JOANNA’s

“HOW TO BE ME!” Things I Do Daily:

Do everything online? Backup your stuff. A backup doesn’t help if it’s from years ago. Even simply creating a folder on your computer with links to important sites is better than nothing. Give your people a starting point, and please label things. Labels are amazing little things that help us save so much future time.

Make your lists, your box or the big magic binder. With the world as crazy as it is, we can all take a few minutes to make it easier for the people we love. Stop putting it off. It needs to be done. We all need to have a backup system in place at home and at work.

Now did you read this article and say to yourself, “I’m OK. I already have something like this in place”? That’s awesome. Good job, I’m proud of you. Your employees and families appreciate that even if they don’t know it yet.

Now if you read this and thought “Oh, I should do something,” I couldn’t agree more. Even if you start small, just start.

“Don’t freak out!

Have a plan.”

JOANNA BERTOLASIO Office Queen

• Turn appliances on, make coffee, check towels, put laundry on.

• Pull files for the day • Make reminder calls • Check fridge for sodas • Water Plants • Check bathroom supplies (keep a minimum of 3 rolls of TP and 2 paper towels) • Check product shelf candy dish • Make sure there are no fingerprints on front door • Check appointment book for week ahead to be sure changes were input correctly

How-To’s:

• Payroll, Step-by-Step • Daily Paperwork • Daily Deposits • Monthly Paperwork

Where to Find Things • On the Computer • In my Office • In the Stock Room

Master Copies of Forms • Sale agreements • Deposit papers • Payroll • Inventory • Consultation Forms

Frequently used Info:

• Favorite suppliers and sales rep’s names (5 pages) • What we buy online, site, login, password Cleaning Instructions: Includes styling room, equipment, etc.

Special Covid Cleaning • Each room has a hand sanitizer and a spray bottle of sanitizer so that we can easily disinfect furniture, etc.

• Each stylist is in charge of maintaining their own room. Change Barbicide and trash daily & sanitize everything after each client.

• Each room has a TV, we put the remotes in ziplock bags to allow for easier cleaning.

• Everything used on a client goes into a giant bag to be laundered before being removed from the styling room.

• Every person who enters must wear a mask and go through a well check before being seated.

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THE VOICE OF EXPERIENCE 16

Darla Smith is a 50-year veteran of the hair care industry.

We are honored to have her words of wisdom and encouragement.

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Hair Loss Solutions Director, Nedia Hair Loss Salon & Spa, Minnetonka MN AHLC: Darla, you have a lot of knowledge in the hair replacement industry. You’ve been in business for 30 years. You’re presently the technical director for a retail hair loss studio. What got you into the business?

DARLA: I started in the hair replacement business when I was 19 years old. Wigs always intrigued me and I started working for a wig company. I was offered a job for a hair replacement distributor in the U.S. and traveled extensively overseas. I visited the factories numerous times and learned a lot.

The company I worked for was ultimately sold to International Hair Goods, which was later sold to Aderans. I was technical director for them for 40-plus years, which included managing factory production. I also headed the technical department for custom designed hair pieces, and then I was heavily involved with retail studio education as well.

After I retired, I joined a local hair replacement studio here in the Minneapolis area, where I am now. So, I’ve actually been in the hair replacement industry for a total of 52 years. Oh, my God, that makes me sound so old. But I love it. My daughter has also been in the business for 22 years, so it runs in the family.

I love helping studios and I love helping people change their lives, seeing their smile from something that we’ve created.

AHLC: How has the industry changed over the decades?

DARLA: It has changed enormously. I mean,

we started with such basic products. There were only men’s hairpieces and some women’s wigs, and you had to take what you had in front of you and make it work.

Today, the factories have everything so refined that you just simply take it out of the box and put it on the customer’s head.

That can be an advantage, but it can also be a disadvantage in terms of technical skills and creativity at the studio level.

And the technology has advanced unbelievably as well. Women’s hair replacement used to be basically fashion wigs. Now there are options for women with alopecia and medically related hair loss, not just thinning hair.

I think 2020 has taught us that people understand they have to be more creative, they have to hone and expand their skills, and seek more in-depth and specific education.

AHLC: You spoke earlier about creativity. It seems that the COVID-19 pandemic has forced studios become more creative, particularly with the current state of order backlogs and shortages.

I have also seen a lot more younger people entering the hair replacement business. When I first got started, it was mainly old barbers and hair stylists who were starting to offer hair replacement services.

But now we’re seeing younger people coming into the business, which is great.

I’ve also seen the price of human hairpieces and wigs just go up and up as well.

Also, studios are starting to offer a wide variety of what I call “spa” services to help people feel comfortable and secure. There have been unbelievable changes — and a lot of them are very good.

DARLA: Hair shortages have always been with us. And it has always been the case that we have to work with what we have in front of us. How can you solve a customer problem and deliver a solution that works for the customer? People who have been around for years grew up in the industry with this and developed amazing creative skills. It may mean taking a very, very long wig and cutting it short just to be able to make that delivery. Today, people are afraid or don’t have the knowledge to do that, or they don’t have the knowledge to restyle a wig or a piece that comes from the factory – maybe you need to make it straight or curly. You have to be able to trim human hair or recurl synthetic hair the appropriate way, or totally restyle that wig to make that delivery.

CONTINUED...

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It also seems that doing alterations is becoming a lost art. This is a skill that cannot be allowed to die. You practically have to be a tailor. You may need to open up that cap to make it bigger or alter it to make it smaller to fit a child. You have to know how to tailor it, and do the alterations.

But again, it is an invaluable skill.

Education and passion are key. Your creative artistic talents is what brings you through to be very successful in hair replacement.

AHLC: Turning to the business of hair replacement, with all the changes 2020 has brought, what kind of marketing do you believe studio owners need to build their clientele?

DARLA: Hair replacement marketing has changed enormously over the years. Digital marketing has been a game-changer.

But one piece of marketing advice hasn’t changed over the years – when things start to get tight, studio owner’s first instinct is to cut back on marketing. That is absolutely the wrong thing to do. You can’t cut out your marketing. There is a lot of things you can cut back on, but marketing isn’t one of them. You need to stay in front of your customers and prospects, and digital marketing is the way to do it. I mean, I’m older. Digital is something that is relatively new to me. But, man, it works great and you can do it so easy and focus on different clients. It works.

knowing how to customize systems and make alterations to make that delivery.

Take what you do best and start out and keep working that rather than trying to keep all the balls in the air, just take a few core things and work those.

Second, don’t stop your marketing. Keep your marketing going. There’s a lot of free marketing. People like to interview people who are out there in the trenches, working at keeping it going. They’ll do articles on you. You can even call different publications, local newspapers and tell them you have a great story to share.

Third, invest in your existing customers.

Your existing customers are there and they are the ones that need you. Build that relationship and show them that you have their backs in these difficult times. Give them that reassurance. It pays enormous long-term dividends, particularly in wordof-mouth. Treat them with respect, value their patronage, their action. Build that relationship – even further during this difficult time and don’t give up.

Fourth, be agile. You have to be flexible to adapt to this new reality. I think some people are just like, “I can’t do it. This isn’t normal.” Well, this is life. You have to be flexible. You may work later. You may come in on Saturday or Sunday. You’re going to do what you need to do to take care of that person, and they’re going to appreciate it forever. That’s your glue. That’s going to hold you together.

you giving them that reassurance, they can rest in the understanding you are there for them, and that you’ve got their back.

There’s an old adage that if you take care of your customers, they will take care of you. New customers will come from word-of-mouth. But it’s unbelievable how many clients we get just because so and so talked to them about what a wonderful job we’ve done.

Lastly, follow all your safety precautions.

These people are afraid something will come. Post your safety precautions and guidelines. Show them that you’re being careful and you’re sensitive to their needs.

The bottom line is that you just don’t quit when the going gets tough. You keep going.

I think 2020 has taught us that people understand they have to be more creative, they have to hone and expand their skills, and seek more in-depth and specific education.

One thing I find enormously encouraging is that studios are hiring younger people and mentoring them to follow in the footsteps of the mature hair replacement people above them. That is so wonderful.

Whereas before, skills were held tight to the chest, as it were, and not shared. Now I see much more sharing, and that’s what this industry needs.

There is always something good that comes from that which isn’t so good. But ultimately it makes us stronger.

AHLC: This year, a lot of studio owners have Fifth, be sensitive. Your customers are been dispirited as a result of the pandemic going through a trying time. There’s a lot – the closures, the loss of clients, the loss of One thing that I learned long ago of hair loss happening because of COVID business, the loss of revenue, the struggles that still holds true: Be honest with your and because of just plain stress. And by to get hair, the struggles to get other customers. Yes, we are experiencing products. What advice can you give major product shortages and prices Darla Smith: Front-Center, with her salon family at Nedia Hair Loss Salon & Spa along those lines? are climbing exponentially. Owners are nervous about price increases, DARLA: Yes, 2020 has been rough. But and rightly so. The way through this is you just have to dig in a little bit to simply be honest with your clients. deeper. You just have to do what you Walk them through it and explain it need to do. to them. “It is what it is and I’m trying to do my very best for you.” I’ve seen First of all, look at your business. a lot of studio owners saying “I’m Everybody has their core business, going to have to close my doors.” But their core services. Get back to honesty is the foundation of your basics. Concentrate on your core business, and both you and your services and keep them going. This clients will make it through this. goes back to my earlier point about 18

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THOSE

Tips &Tricks SECRETS OF SUCCESS FROM THE BEST OF THE BEST

Darn Tangles Tangles can be a nightmare, and for our clients it is even more of a nightmare.

JOSEPH ELLIS, AHLC President, Raleigh Hair Concepts, Raleigh, NC

hy does hair tangle in the first place? Many of our clients wear W processed, nonvirgin, chemically processed hair, and the cuticle of the hair is the answer.

Think of a strand of hair that has been chemicaly processed, the cuticle has been opened to allow that chemical in to alter its natural state, like its color or curl. When this is done, especially in the factories, the cuticle never really closes again. Unlike a healthy cuticle, which is closed and smooth, the open layers of the cuticle

BEFORE & AFTER

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become snagged on each other. When there is a lack of moisture, the partially opened cuticle can snag on other cuticles, which then starts to produce the tangle or snarl.

Then the frustration begins. When you experience a tangle, first breathe and remember that the cuticle has locked together. The best way to untangle is try to make the cuticle smooth again. There are many ways to do this, but first things first.

FIRST...

The most important first step is to brush out the tangle as much as you can while the hair is still dry. Wetting with water will make it worse. I prefer to use a paddle brush, like a wet brush, and gently remove as much of the tangle as possible. Some prefer a boar bristle.

Whatever your preference, always start at the ends.

Once I remove as many tangles as the paddle brush will allow, change to a comb and gently work the snarl loose. As a reminder, start brushing and combing at the ends and work up to the scalp until all is removed. If at this point I am not able to remove all of the tangle, I spray a leave-in conditioner into the snarl and

NEXT... gently start loosening the tangle with a comb.

Patience here is the main objective. Don’t let it get the best of you.

Once I have removed the tangles, shampoo the system. With hair that tangles easily, make sure to use cool water because we don’t want to open the cuticle any more than it already is. Use a hydrating shampoo and gently comb through with fingers, then rinse gently in cold water. Use conditioner on the mid shaft to the ends and allow the hair to absorb, and rinse thoroughly. Blot dry, never rub. Next, apply a leave in conditioner and use the paddle brush to gently brush through.

Allow hair to air dry at least 50 percent.

ADDITIONALLY...

If the system is long and bonded to client, have them loosely braid their hair before going to bed and have them change their pillow case from cotton to silk case. Also in this case, have your client brush their hair throughout the day to reduce the tangles caused by daily friction.

In addition, you can contact the vendor to see if the hair was drawn in the same direction. If the cuticle of the hair is not drawn in the same direction the cuticles will surely snarl on each other.

Different vendors also have their own solutions and products that may help with tangles.

There is also a technique of dipping the hair in a Clorox formula.

In my opinion this is a last resort as it is adding another chemical.

We need many tools in our arsenal to be able to solve issues.

For clients who can afford it, try to get them into virgin hair or true remi hair. This will help more than anything.

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THE VOICE OF EXPERIENCE

We’ve Been Here Before Changes wrought by COVID-19 are similar to the changes we’ve seen in our industry in the past I still kept some of my original haircut customers. I sold my business several years ago. The first guy I ever gave a haircut to continued to be my customer for 54 years. Not only was he the first guy I gave a haircut, he was also the last.

Since selling my salon, I’ve stayed active training the next generation of hair-replacement specialists and business owners. I finally retired two years ago.

2020: The Industry Today 2020 has been a rough year for everyone, but especially in the hair replacement industry. Business owners and stylists are struggling to not only get hair for their clients but also to stay open. But the one piece of advice I would give is simply not to give up hope.

Don’t lose sight of what drives you.

Fred Paonessa services a client in his studio in Hudson, Ohio

I

got into the hair replacement business in the early 1970s for one simple reason: change.

I started out as a barber in 1968.

There was a recession going on at the time, as some may remember, and the Detroit area was hit particularly hard with a 50% unemployment rate. Disco music was all the vogue. Men were letting their hair grow longer. And my customers, who were mostly businessmen and salesmen, were now coming in every four weeks instead of every two weeks as before. This was a 50% drop in business.

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Barbershops across the country were closing. So, necessity being the mother of invention, I started offering men’s hairstyling. Then when the long hair fad started to wane, I started offering color and perms, which ultimately led me into offering men’s hair replacement.

I have found hair replacement to be rewarding and satisfying. It is demanding, but it is also financially rewarding.

So, ultimately, I got into the hair replacement business for one reason: change.

Because in business, you are either moving forward or backward. But you are never standing still.

Yes, things are tough. But things have been tough before, and will be again.

Step back and look at your business.

What else can you offer to augment your business? Consider possibly adding new services or reinstate some old services.

Someone once asked me, “What is the secret of your success?” I said, “I was too stupid to know when to quit.”

The 2020 shutdowns have caused many clients to feel that they need to be able to take care of their own hairpieces and not depend on their stylist, or perhaps not depend on them as much. As a salon owner or stylist, it is important to realize and appreciate just how much you need and depend on your clients.

In business, the name of the game is “service.” Take care of your clients. Take care of them well. Show them every day just how much you care about them.

insights into our industry from HUDSON OHIO

FRED PAONESSA

Your clients need you and depend on you, and that cannot be taken out of the equation. At the end of the day, we provide a service that is something they cannot do for themselves. Yes, we can teach them how to do basic, simple home maintenance. But what we do is something they cannot do. So help them to cope with the inconvenience and nervousness of these shutdowns and reassure them that you are there for them and you are only a phone call away. Help them through this emotional period and to “carry on,” just like I’m saying that to salon owners.

This won’t last forever, but meanwhile, your clients understand how important and appreciated they are to you and also understand how important each one of them is important to us.

Industry Challenges: They’re Still With Us Old-timers will agree that 40 years ago, there was almost nothing worthwhile in terms of hair replacement systems and there was no training whatsoever. We were stuck with what manufacturers offered.

Moreover, there was no communication between us and the manufacturers.

But things began to change. Eventually stylists and manufacturers started talking to each other, and manufacturers started understanding what the stylists needed.

They asked, “What do you need?” and we responded, “What can you do?”

The economics in Asia changed in the late 1980s and ‘90s. There was an electronics manufacturing boom, and hair products became harder to get because vendors started working for electronics manufacturers. So hairpiece companies had to get those people back to work, had to pay them more, which meant that the price of hairpieces went up.

It was the same problem we have now.

And it was — they were hard to get. As I said before, once again change drove change. We started losing customers because of the increased prices. We had to find a way to solve that problem. For me and for a lot of other salon owners, the solution that worked was program selling.

The cost of hair goods has always been with us and will always be with us, but if program selling can work for you, it gives you the opportunity to spread those increases out of the entire period of the program so the customer doesn’t have to take it all at once.

to not take clients so much for granted, and I think that it will also help clients to appreciate us more.

You know, with respect to the average person during this pandemic, I’m not sure which was more of a problem – the lack of toilet paper or not being able to get their hair done.

To me, it’s a great business to be in. It is an unbelievably satisfying business. You have to love it, and be excited and passionate about it. But to me, you always have to be aware of and ready for the next change that’s coming.

Custom hair has always been an issue, as far back as I can remember. Given the long wait times, reworks and added costs, I have tried to stay with pre-made units and take it upon myself to customize them as best I can. They are less expensive and more accessible.

And while there is something to be said for doing volume business with one supplier, there is the other side of the equation that says there is wisdom in exploring options from other suppliers as well. And just be honest with your customers. Let them know there are shortages out there due to the economic ripple effects of this pandemic. Be sympathetic to your clients, let them know that you’re on their side, and honestly try to do the best you can.

Silver Linings The one positive thing that has come out of the pandemic is that everybody has been stuck at home, which has brought them closer to their family and the ones they love and care about the most.

In our salons, I think this is going to make us more aware of how important our clients are to us. It will help owners and their staff

KELLY NEMITZ, The Hair Specialists I had the privilege of Fred being one of my mentors. I trained under him on Men’s Hair Replacement. One thing I have always admired about Fred was no matter the situation he always found a solution. Yes, these times are very trying right now but he taught me a long time ago to always continue to think outside the box.

That’s exactly what has gotten me through 2020. Get creative, don’t be afraid to fail and don’t be afraid to try something new.

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Welcome New Members!

Diane Joy Bender, Red Poppy, LLC Overland Park ,KS Diane has been a certified wig master for over a decade. Specializing in wigs and alternative hair pieces for those with medical hair loss, hormonal & age related hair loss, or to inspire a change. Her goal is to pass on her knowledge and experience. Her desire is to exceed her clients’ expectations, help them feel like themselves and maintain a positive self image. As a breast cancer survivor with over 40 years experience as a licensed cosmetologist, Diane has assisted several thousand individuals feel confident and less self conscious. Diane provides unique hair solutions, expert advice, guidance on products and personal connection. She is able to listen, relate and hone in on the best product for a person’s unique situation.

Charlene Charthern, Total Image Wigs and Hair Restoration, Tarzana, CA I grew up in small town in Indiana in a family of 10 kids all with a natural gift to either cut or style hair. At the time, none of us gave a second thought to doing it professionally. It was not until I separated from AT&T that I decided two things, I did not want to work for anyone and I wanted to do something that I was really good at. I became a state certified and licensed cosmetologist while still at AT&T. After studying under and interning with two of the top stylists in Los Angeles, I became all the more determined to be my own boss. I started Total Image 2000 in 1989 and as I added more hair replacement services change it to it’s current name.

Shari Tobin, V3 Hair Loss Solutions Destrehan, LA I was born and raised in Louisiana. Ever since I was little girl I was fascinated with hair! I “played salon” for many hours as a child, and now I am living my dream.

I have been a cosmetologist for 25 years, and specifically involved in hair loss for 22 years. I believe I have found my purpose - I have been blessed with ability to enhance someone’s life who has suffered hair loss . Even after all the years I have pure JOY in what I do. My clients have become “my family”, and I cherish each and everyone .

David J. Witchell, David Witchell @ 25 South Newtown, PA David & Galina Witchell opened David J. Witchell Salon in 1996. With David’s knowledge of hair and all facets of the beauty industry, from cosmetics to hair replacement, they have internally grown their staff over the years through education, training, and development. David has won national & international awards for hair artistry, as well as appeared on national television shows, such as Dr. Oz, for his discovering of scalp cancer on his client. The DJW team is recognized for their work from extensions and hair systems, to scalp therapy.

Now, David & Galina have joined forces with Board Certified in Plastic and Reconstructive Surgery Dr. Robert Skalicky, one of the most respected plastic surgeons in Philadelphia. Together they have created Comprehensive Hair Solutions, offering hair replacement.

Althea Drew, Althea’s Head to Toe Unisex Salon, Mattapan, MA I have been in the cosmetology industry for over twenty-five years and a salon owner for nineteen years. The best part of my business is that I am proud to say that I provide a service that boosts my clients self esteem.

I offer the highest quality products for my clients health and well-being.

My services reflects the advanced training and time taken which enables me to offer the best treatment possible.

NOT PICTURED: María T García , Alternative Hair Couture, Libertyville, IL

Established in 2001 as a Medical Supply Company, Accredited by the Joint Commission and located in Central Florida, we are the sole USA Distributor of Ecrinal Hair Products which target hair loss, damaged and thinning hair. Ecrinal products are produced in Monaco by Laboratories Asepta a globally respected manufacturer of innovative and effective skincare brands. Ecrinal’s active ingredient ANP2 is a patented plant lipidic base. As well as the world famous Ecrinal ampoules which contain 40% ANP2, the line also includes shampoo, a hair conditioner, hair lotion, hair conditioner, a hair mask, and dry oil for hair and body. www.fromasepta.com THE LINK MAGAZINE

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THE VOICE OF EXPERIENCE

VIRG CHRISTOFFELS CHRISTOFFELS HAIR RESTORATION, SIOUX FALLS, SD

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Navigating Ups and Downs We all will get through this by adjusting our business plan.

It is not easy, but anything worth having comes with some effort.

G

uess what? There is nothing new about the “ups and downs” and I’m not saying that to be flippant.

When you went into business, you knew there would be ups and downs. When I started my business in 1976, I knew nothing about running a business. The only thing I understood was how to work “in the business.” I knew I needed to be working on clients to survive. Coming home after working all day and doing one hair cut will either make you give up or make you develop a plan. I had a family to support so my only option was to develop a plan.

It was hard then and it is hard now. The difference between the winners and the losers is the winners have a strong desire to succeed. I learned from peers and friends in the business how to develop a full-time hair replacement business.

Over 47 years, our business grew from only me to a staff of 12. There were times when it may have been easier to go to work for someone. It may have been easier to let someone else take on the stress of leadership or someone else take on the stress of being the visionary. Yet here we are, and we made it work.

The blessing of having been in business for 47 years allowed me to learn how to set goals, how to write a business plan and how to adjust when everything does not go as planned. My plan was to build the business with my wife, Cheryln, groom my daughter, Sara, to take over, and Cheryln and I would ride off into the sunset.

On Dec. 3, 2011, my plans and my life changed. Cheryln was diagnosed with stage 4 lung cancer. We were two days away from starting a $350,000 remodel LEFT INSET: Virg Christoffels in his first studio, circa 1976

project in an office building that we had just purchased. The contractor, a friend of mine, asked, “Are you still going to go through with it?” I never hesitated to say, “Yes!” And I could say that because we had a good business plan, a good business model and a great staff. The only decision that needed to be made was to stick with the plan.

Today we find ourselves in a similar challenge. No one wrote a “COVID-19” plan into their business model. No one planned on “the inability to get hair as we were used to,” and no one planned on the need to shut their doors because of a government mandate.

Let’s look at each of these circumstances.

First, the basics. COVID-19 is the proof of the need for a solid business plan, business and personal goals, and the ability to implement that plan. Without a good business plan all you have is a job. When all you have is a job, you are at the mercy of who controls your job – your bank, your boss or your supplier. It is important to know there is not a hair shortage but a manufacturing interruption. Someone you can partner with in good times and bad times is the No. 1 reason to have a loyal relationship with your supplier.

Second, we must keep the big picture in mind. There will always be a need for nonsurgical hair. The question is, will we be there to provide that service when normal times come again? To answer that, each one of us must look at our business plan if we have one. It is during challenging times that we can see how strong our business is and find the weak spots.

Over the years, our business became stronger during hard times. It is during

the hard times that we can evaluate and plan for what we should or could do better.

Most of us have had a successful rewarding career in spite of the lack of business planning and goal setting. It is easy to become sloppy when things are going well.

I remember the 1980s. It was easy to sell hair, but the hair did not look good.

We paid for that later. Then “program hair” came along. We thought we had it made until we realized that to be successful with “program hair” we had to adjust prices on a regular basis. This also required a plan.

Working on the business was a lot harder than working in the business.

If you were closed during COVID-19 and looked at it as a vacation, shame on you. This is when you had time to rewrite your business plan, update your studio, or reach out to a client who you have not had contact. The interruption in the hair supply should force us to be looking ahead at least a year to evaluate what our hair needs will be. This is not the time to sit back trying to figure out who is responsible for our lack of planning.

We all will get through this by adjusting our business plan just like we did when Cheryln was diagnosed with terminal cancer. It is not easy, but anything worth having should have to come with some effort. Set yourself apart by doing the extra.

Be better about customer service; be better about saying “thank you” to your clients; be better about appreciating your staff; be better about planning; and be better prepared for the things you cannot control.

Each of us has a unique situation, and each one will be handled differently. Most importantly keep the main thing the main thing.

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THE VOICE OF EXPERIENCE

SARA TIMS CHRISTOFFELS HAIR RESTORATION, SIOUX FALLS, SD

y parents started Christoffels Hair RestoraM tion together in 1976. When I joined the business in 1996, we had a team of four and have since grown to a team of 11. I was a joint owner for 10 years and have since taken over for my dad. We completed that transition in December 2018. I have grown up in the industry, worked in a full-service salon, owned a previous studio and also had the opportunity to work for a hairreplacement manufacturing company.

I love people, I love to listen and I love to talk. Even with my experience, I have leaned on mentors and coaches when I was in the process of making any important decision.

Growing up in our house, we were taught the importance of goal setting. My parents ingrained this in me, “If you help enough people get what they want, you will get what you want.”

Those actions and words carry through in my business practices today. I hired a coach I meet with quarterly but have access to ask questions at any time. When we set up a business plan and talk about our goals, my business coach asks me, “What is your WHY? Why do you do what you do? Why did you get into the business in the first place? What do you want your business to look like in five years, 10 years, and what’s the end goal?”

Christoffels staff

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Current space 6000 square feet

Our “Backstage” area

Communication & Care A Key to Success in Challenging Times

2020 has definitely been the most challenging year I have had as a studio owner.

I know all of you are dealing with some of the same challenges. For us, communication with our staff and clients has been key.

I have made hundreds of personal calls to clients explaining our changing policies as we adapt to the pandemic, checking on their health, letting them know they were a close contact, explaining payment, price increases, delays in hair and why the hair they ordered will not be here at the next appointment.

we’ve made to let clients know the hair is delayed and keep open communication have resulted in more sales. None of our clients want to be without hair. We need to assure them we have a plan and that we are here to help.

You know what I’m talking about. Yes, not every call is one you look forward to, but I know staying in contact is how we keep our business and our clients. The fact they know we care is the most important piece of what we do, especially, during times like this when our clients have fewer people to talk to. A conversation about life with a client, during times like these, may make a client for life.

Hair cost increases for both us and our clients are a sign of the times. They are a sign of every era and the increase is understandable. I always ask my clients if their grocery prices are going up? Well unfortunately so does your hair. It’s not always the what you say but how you say it.

If you’re speaking from your heart and you truly care about what’s in your best interest for your clients, they will trust you. A client can always “sniff out” an imposter. If you only care for your pocket book, your clients will see through you and your business will be short lived. You don’t need to cut every client an amazing deal, but you just need to see your worth, invest in your business, and sell your service.

I got into this business because I truly want to make a difference in peoples lives and help people. The COVID-19 pandemic gives me and my staff a new opportunity to listen, care and help our clients. Those calls

Through COVID-19, we have seen more people desire our service than the desire to “do it yourself.”. They have become like family and the continue to seek our services and conversation. Now that people are

Reception and waiting

isolated, they want to come and spend time with us (family) because people need that human interaction. They need to feel loved and cared for. Our staff works hard to know the “why” of all our clients. They care, and they are there to make a difference in people’s lives. They work harder to focus on those key elements now, more than ever.

With any challenge you face in business, you have to work to set goals and work surround yourself with people that will give you proper direction. My mentors and business coach has done just that through 2020. I meet with my coach on regular basis to keep me focused and my business pointed in the right direction. We have made it our focus to stay in constant communication with each other and our clients.

2020 is going to be one for the books, and we will remember it forever.

Challenges always sharpen your business practices, and they will make your business stronger than ever. We need to be innovative, creative and willing to take a chance. But the most important thing is to take care of our clients and our businesses.

My advice: focus on knowing your client’s “why,” and let them know you care.

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It’s Time to Start Dealing With Your

TAXES AHLC SPECIAL REPORTS

I

n the topsy-turvy world that is 2020, one thing remains certain — your taxes are coming due.

“Your 2020 taxes are likely going to look a little different than they normally do. There have been a lot of new programs created to help small businesses, which means you’re probably going to deal with situations that you’ve never seen before including forgiven loans, grants, and unemployment benefits,” certified public accountant Erica Gellerman writes in a November blog post on the website www.bench.co.

Gellerman dives deeply into eight areas readers of The Link will want to consider as they prepare to file their federal taxes.

PPP LOANS & YOUR TAXES “The Paycheck Protection Program is a lifeline for businesses who are currently struggling due to COVID-19. The PPP is a loan intended to provide cash flow help for eight weeks, backed by the (Small Business Administration).

“What makes the PPP even more enticing for business owners is the potential that the loan amount can be forgiven, as long the money was spent on payroll, mortgage interest, utilities, and rent (with the majority spent on payroll).

“But with this new program came a question about the IRS will view the money.

If you meet the criteria for getting the loan forgiven, will the government tax you on the free money you’re receiving?” Gellerman writes.

Suffice it to say, it’s complicated.

TAXES AND LOAN FORGIVENESS “The CARES Act spells out that the forgiven loan amount won’t be included in taxable income. That means you don’t pay taxes on the money that you receive. The aim of this loan is to provide businesses with the money to keep running and continue paying employees, not to create a tax burden for businesses receiving the funds,” Gellerman says in the blog post.

“But, there’s a catch. The IRS later released a notice clarifying how the forgiven loan amount would be treated when it comes to 2020 taxes: “‘This notice clarifies that no deduction is allowed under the Internal Revenue Code (Code) for an expense that is otherwise deductible if the payment of the expense results in forgiveness of a covered loan pursuant to section 1106(b) of the Coronavirus Aid, Relief, and Economic Security

Act (CARES Act), Public Law 116-136, 134 Stat. 281, 286-93 (March 27, 2020) and the income associated with the forgiveness is excluded from gross income for purposes of the Code pursuant to section 1106(i) of the CARES Act.’ “Put simply: If the forgiven loan isn’t included in a business’s taxable income, the expenses paid for with the forgiven loan aren’t able to be included as a tax deduction. That may sound like a small detail, but it can potentially have a big impact on your final tax bill at the end of the year.”

APPEARANCES ARE EVERYTHING “Normally if a business has payroll, rent, mortgage interest, or utility expenses, these are deductible from taxable income.

That deduction lowers your taxable income.

Without that deduction, you’d owe the government more in taxes.

“And that’s what is going to happen in this situation: You lose out on some tax deductions, so you may have to pay more when it comes time to file your taxes,” she writes.

CONTINUED...

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“For example, let’s say your business is a C corporation that received $100,000 in a PPP loan. You used that money entirely on payroll expenses and qualified for loan forgiveness. The $100,000 that you receive won’t be included in taxable income at the end of the year.

“But you won’t get a $100,000 tax deduction for the expenses you incurred. That means you could have an extra $21,000 tax liability at the end of the year ($100,000 * 21% corporate tax rate) that you wouldn’t have if you were allowed to take the deductions as normal.

“While the PPP did provide you with an extra $100,000, you’re losing $21,000 in tax deductions that you’d normally get. In this example, you’re still going to have a net benefit of $79,000 from the program— money that you probably wouldn’t have otherwise. But for some business owners, this could be a big tax surprise that could be waiting for you at the end of the year from a program that is supposed to help your business stay afloat.”

WATING FOR FORGIVENESS? “Don’t want to worry about how your PPP loan will affect your 2020 taxes?” Gellerman asks. “You can wait until the dust settles and the forgiveness processes are all decided. You don’t have to apply for forgiveness until your loan maturity date (two or five years after receiving the funds).

This means you can wait until 2021 or later to apply for forgiveness and focus on your upcoming tax season.”

Congress’s intent when they created the PPP,” she says.

“There is also a potential update to the law that could be passed. The recent stimulus proposal, the HEROES Act, reverses the decision that these expenses can’t be deductible. While the HEROES Act is still just a proposal and hasn’t been signed into law, it’s clear that some lawmakers want to change the tax treatment of forgiven PPP loans.

“There is a chance things could change in the future, but for now, it’s a good idea to assume that you won’t be able to deduct these expenses and you may have a higher tax bill as a result.”

How will your PPP Loan affect your 2020 taxes?

You don’t have to apply for forgiveness until your loan maturity date...

This means you can wait until 2021 or later to apply for forgiveness and focus on your upcoming tax season.

CHANGE IS POSSIBLE “While this is a frustrating (and expensive) update to the loan program, it may not be the final decision. Rules are still being written and plenty of people are unhappy that the IRS has taken a position that would negatively impact businesses that are struggling.

“The American Institute of Certified Public Accountants is challenging the IRS decision that these expenses aren’t deductible, saying that this goes against 34

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ECONOMIC INJURY AND TAXES “The Economic Injury Disaster Loan is a loan option available through the SBA to help businesses struggling with financial hardship due to COVID-19. While it is a loan and doesn’t have any special treatment when it comes to taxes, there is one thing that may affect your taxes: the EIDL advance.

“The EIDL advance is technically a grant for small businesses of up to $10,000.

Because it’s a grant, it’s not part of the loan that needs to be repaid. That means it’s going to be treated differently than a loan on your financial statements and your tax return at the end of the year,” Gellerman writes.

“Unlike the PPP loan forgiveness, this grant will probably need to be included in taxable income. This isn’t definitive because the IRS hasn’t specifically said that this advance should be included in taxable income, but previously they’ve been pretty clear that any forgiven SBA loan amounts need to be included in income.

“If you received an EIDL advance for the maximum amount of $10,000, that money will need to be added to your taxable income at the end of the year. But if it’s added to your taxable income, you’ll be able to deduct any expenses that you use to pay for this grant.

“For example, say you received an EIDL advance of $10,000. You’ll increase your taxable income for the year by that amount.

But you also used all of that money to pay for some of your business expenses, like inventory and rent. You’ll get to take that $10,000 that you spent as a deduction against your taxable income, which means you won’t pay taxes on the money you received.”

EMPLOYEE RETENTION AND TAXES “You might find that the total amount of tax you owe has been reduced thanks to the Employee Retention Credit. This credit is eligible for business with fewer than 500 employees who either suspended or partially suspended their business due to COVID-19 because of a government order, or they experienced a 50% decline in gross receipts when compared with the same quarter in the previous year,” Gellerman writes. “The catch is that you can’t have a PPP Loan and receive the Employee Retention Credit Tax credits are incredibly valuable because unlike a deduction, which reduces your taxable income, tax credits

reduce your tax liability on a dollar-for-dollar basis. So if you have a $10,000 tax liability and a $3,000 tax credit, the amount of tax you owe is now $7,000.

“The credit is calculated per employee and is 50% of up to $10,000 in qualified wages paid per quarter. If you qualify for the credit and paid three employees $8,000 in qualified wages during a quarter, you’d be eligible for a credit of $12,000.

“Because the government knows you need this money now, you won’t need to wait until the end of the year to claim the credit. It can be claimed on your quarterly form 941,” she says.

​UNEMPLOYMENT AND TAXES “One thing that can sometimes take unemployment recipients by surprise is finding out that, yes — unemployment benefits are considered taxable income. That means you will have to pay state and federal taxes on the amount of money you receive, though you won’t have to pay Medicare or Social Security taxes on it,” Gellerman warns.

“You can pay these taxes in two different ways. One option is to fill out form W-4V, and request that the taxes are automatically withheld from your unemployment benefits payments. If you don’t request to have taxes automatically withheld, you’ll need to make estimated tax payments during the year. Beware of this to avoid an unexpected tax bill.

“When you’re filing your 2020 tax return, you’ll need to report the income you received from unemployment compensation. You’ll get a 1099-G slip from your state labor office that details how much you received and how much, if anything, you had withheld for taxes.”

UNCERTAINTY IS CERTAIN “There is still some uncertainty when it comes to 2020 taxes and how new programs like the PPP loan forgiveness will affect them. While lawmakers consider updates, the best thing to do is to stay organized and keep good records of your expenses, so you’re able to take full advantage of deductions if they’re allowed in the future,” Gellerman writes.

industry

TEMP CHECK In our last issue we asked our vendors a series of questions. Unfortunately Jon Renau’s responses were inadvertently omitted.

How are you dealing with your supply chain?

Initially, during the onset of COVID, our supply chain was not significantly impacted for our own needs. However as the months progressed and the border between China and North Korea shut down, many other manufacturers were impacted by the loss of their labor. Due to this, we have started to experience downstream effects and are now being forced to push out delivery timelines. The impact of COVID on the global alternative hair industry cannot be understated. It could be 6 months to a year for the industry to make a full recovery in our estimation.

Are you experiencing a shortage of hair?

There has not be a shortage of hair that we have experienced at this time. However, we are hearing predictions that the longer human hair will be increasingly difficulty to source in the coming years.

How are you dealing with custom orders?

We continue to take all incoming custom orders. Our approach is to be 100% upfront with our clients regarding the delivery timelines. We make sure to communicate any and all changes as soon as they are provided regarding delivery dates.

What lesson have you learned that will help business owners?

• Set expectations from the beginning – Uncommunicated expectations will turn unto unfulfilled expectation. If you do not have a good consultation and level set expectations, you will have an unhappy client in the end. Don’t leave any question un-asked or un-answered.

• Over Communicate – Clients are more willing to forgive problems when communication is timely and transparent.

• Educate Early, Educate Often – The more informed you can make your clients and employees, the more they will be able to effectively communicate their desires and create the experience that builds their business and yours.

• Have a plan B. As custom orders become harder to fulfill, make sure to have alternative options that the clients can be satisfied with.

Due to the impact of COVID throughout the global supply chain, tried and true manufacturing hubs are being challenged with labor and material shortfalls. These shortfalls are causing tectonic shifts in the established supply chain which we have all come to rely on. As manufacturing capacity is shut down in one area, the remaining suppliers in the region and around the globe are working to maintain the same output for their current customers, as well as pick up the extra work from the closed factories. This chaotic situation is pushing out ETA’s for ALL of us. While chaos can bring uncertainty and financial risk, it also presents opportunities to those with the ability to calmly assess the situation and maintain focus on your business and your clients.

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Tips&Tricks SECRETS OF SUCCESS FROM THE BEST OF THE BEST

NO Shaving Required!

ALLISON HUFF, The Hair Specialists Hudson, Ohio

One of the things I have learned, is when it comes to women with thinning hair, they want to keep EVERY SINGLE HAIR on their head. Prior in our industry, the only way to semi- permanently bond a woman’s hair piece was to shave her hair. We have found

STEP 1

STEP 3

Prep the hair piece by washing it with shampoo and conditioner.

Prep the client, wash with shampoo only, then blow dry your client with no product.

STEP 4 Using a plastic mold that matches the same shape as your hair piece. Place the mold where you would like the hair piece to go mark the edges with a marker, part hair around your markings and clip it up out of the way.

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ways around this. The application that we do is non-damaging, no shaving, and it is amazing! Clients love the way the hair piece feels on their head. They report back to us exclaiming how natural and comfortable it is to wear it this way!

STEP 2

Tape the hair piece as shown in the photos

STEP 5 Lay down tape on the edge of the parted off hair. Go all the way around your marked off shape.

STEP 6

Part hair into several sections to lay it down. In a crisscross kind of a way.

STEP 7

Remove the tape from the hair piece, line it up with the tape on her head and lay it down on top.

STEP 8 Style and cut her hair as desired. Lasts anywhere from 2-5 weeks!

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AHLC Academy

AHLC MEMBER SPONSORED EDUCATION

ON DEMAND VIRTUAL TRAINING AVAILABLE NOW! Micro Point Solutions Webinar Certification with Interactive Zoom Demonstration & Coaching Intro to Hair Replacement Certification Through Webinar Lecture & Virtual Zoom Training, Demonstration & Coaching NEW! VIRTUAL ONE-ON-ONE TRAINING/CONSULTING SESSIONS WITH HAIR REPLACEMENT VETERAN, JERRY HOLT • Customized for client interest. On demand 90-minute meetings to drive technical expertise and improve business objectives.

• Hands-On Technical Coaching for Hair Replacement Techniques • Business Strategy Coaching for Hair Replacement Studios • Best Practices, Tips & Tricks for Hair Replacement Specialists ZOOM VIRTUAL FORUMS ON MONDAYS on a variety of hair replacement and hair loss solutions. Contact us for more information and checkhttps://www.facebook. com/IntHairgoods for current topics & dates.

LIVE TRAINING AT OUR TRAINING CENTER IN EDEN PRAIRIE, MINNESOTA Dates customized based upon demand, please contact us for more information!

• Micro Point Solutions (one day) • Intro to Hair Replacement (two days) • Cyberhair Custom Formulations (two days) REGIONAL TRAINING to become available as soon as Covid safety and regulations allow. Please contact us for more details.

CALL 800.328.0311 OR EMAIL PROMOS@INTHAIR.COM FOR MORE INFO!

THE BAUMAN CERTIFIED HAIRCOACH PROGRAM BEGINNING ONLINE FEBRUARY 28, 2021 The Bauman Certified HairCoach Program is a self-paced, on-line certification program designed and taught by world-renowned Hair Restoration Expert, Dr. Alan J. Bauman. The course is designed to teach hairstylists and other beauty professionals to be hair loss specialists.

While most stylists, hair replacement professionals and other beauty professionals are confident in detecting hair loss and hair thinning problems, most professionals feel unprepared to answer and advise clients on their question: “What can I do about my hair loss?”

By becoming a Bauman Certified HairCoach, you will learn what to say and, importantly, what to do when clients ask that question!

The course teaches you to identify hair loss patterns and types of hair loss and teaches all the effective treatment protocols you can offer. You will learn the proper hair loss consultation, how to use the assessment and tracking tools of HairCheck and HairCam Pro, Platelet Rich Plasma (PRP), and PDOgro—all taught in virtual reality videography so you feel like you are physically in the clinic alongside Dr. Bauman for the ultimate learning experience!

Bauman Certified Hair Coaches offer the following advantages: • Differentiates you! Stand out from the crowd by becoming a respected Hair Loss specialist to clients and fellow stylists.

• Creates a referral relationship with hair loss expert Dr. Bauman to confidently and effortlessly refer your client to the “next level” of treatment.

• Creates an additional service through exclusive access to HairCoach pricing on non-competitive, Bauman-recommended, physician-only laser devices and prescription products for your clients.

VISIT WWW.HAIRLOSSCLASS.COM, EMAIL LIZ ASHE AT HAIRCOACH@BAUMANMEDICAL.COM OR TEXT TO 561-818-9043.

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TWO DAY HAIR REPLACEMENT MASTER CLASS

Amani Newport Beach, CA Train with Nazy Curtis, founder of Amani Newport Beach. With over 20 years of experience, Nazy offers the highest quality human hair replacement and service.

The Two Day Hair Replacement Master Class will educate you on the causes of Hair Loss and how to offer valuable service to your clients.

• Work hands-on with unique and truly high-end human hair pieces • What causes Hair thinning or hair loss • Working with State of the Art treatment Complex • Discover new ways to meet individual needs of your male & female clients • Demonstrate ways to tailor pieces to your clients’ exact needs and keep them coming back • Show you ways to work with color: Highlights, Low lights

Price: $1,700.00

CALL AMANI HAIR FOR REGISTRATION INFORMATION 949-520-7711.

INTENSIVE ADVANCED HAIR REPLACEMENT TRAINING

HairArt Salon: Los Angeles, CA Date Open (call for available dates) Learn everything you need to know about the hair replacement business from one of the leaders in the industry. HairArt has been in the hair replacement business for nearly 40 years and founder and head stylist, Doris Yu will teach you all the intricacies of the business; from how to discuss with your clients the delicate nature of hair thinning/hair loss and recommending the correct solutions, to making a mold, proper hair ordering, techniques for applying perm and semi-perm attachments, performing proper hair ventilation, cutting and styling. You will get an intensive hands-on training on mannequins and actual clients, so by the end of the course, you will be able to incorporate hair replacement solutions for your clients immediately and add to your portfolio of services. Techniques and client interaction are crucial for success, so a one-day or two-day course is not enough practical experience to fully understand, which is why we strongly recommend a minimum of a one-week course. All training materials and hair are included in the cost of the course. Mannequin, tools, and practice pieces are yours to keep.

Cost: $6,000 for one-week course. $10,000 for two-week course

CONTACT: 310-217-8900

AMERICAN HAIRLINES VIRTUAL NON-SURGICAL HAIR REPLACEMENT CERTIFICATION Select from the following options: • One-Day Men’s Hair Replacement Virtual Certification • One-Day Women’s Hair Replacement Virtual Certification • Two-Day Men’s & Women’s Hair Replacement Virtual Certification • Each session is approximately 4 hours Registration Includes: • Non-Surgical Hair Replacement Training Manual • American Hairlines Workshop Kit • Canvas Blockhead & Balding Mannequin for each training day • American Hairlines Men’s and/or Women’s Hair System

• Recorded video of the workshop

• “Certified American Hairlines Stylist” Certificate Virtual Workshop Includes: • Understanding Hair Loss And Hair Growth – Causes and Solutions • Client Consultation • Detailed Review Of System Constructions • Hands-On Template Making for Custom Orders • Hands-On System Application Customization and Application • Bleaching/Coloring, Application & Cut-In, Styling CONTACT YOUR AMERICAN HAIRLINES ACCOUNT EXECUTIVE, EMAIL EDUCATION@HAIRUWEAR.COM OR CALL (866) 618-1200

MAKE 2021 THE BEST YEAR YET WITH VIRTUAL COACHING! HAIRUWEAR ON THE ROAD TWO-DAY HANDS-ON WORKSHOP

• 2021 Schedule to be announced soon VISIT WWW.HAIRUWEAR.COM AND CLICK ON “JOIN THE LIST” TO RECEIVE UPDATES AND ANNOUNCEMENTS.

CONTACT YOUR JON RENAU ACCOUNT MANAGER FOR DATES AND LOCATIONS. WWW.JONRENAU.COM 1-800-462-9447

JON RENAU CORE CERTIFICATIONS CORE MASTERCLASS: BUSINESS DEVELOPMENT STRATEGIES This certification will lead you through the hair loss client’s journey, providing you and your team with actionable steps to engage the client of today and provide them best client experience. Capture new clients & gain market share.

• Increase ROI, reduce returns, maximize your time • Increase brand awareness & impact purchase decisions • Implement client retention strategies

CORE MASTERCLASS: PROFESSIONAL CUSTOMIZATIONS This advanced certification offers hands-on demonstrations to boost your technical skills while adding to your service offerings. Learn how to provide custom orders, redirect hand tied alternative hair, cut and style human hair, and exclusive sizing alteration methods.

• Create a personal experience with a consultation • Set yourself apart from competitors by providing customizations • Offer servicing and repairs

CORE MASTERCLASS: TOPPER CERTIFICATION This certification is designed to provide you with the tools and knowledge you need to cater to the fastest growing segment in alternative hair: the topper client. Because not every client is ready for a wig!

• Address all aspects of the topper consultation • Customize toppers and apply blending techniques • Provide maintenance and care • Set the right expectations to ensure success

CORE ACADEMY: WOMEN’S LONG HAIR BONDING This hands-on certification explores modern techniques in current application methods and provides insight into the possibilities of women’s hair replacement and long hair bonding.

• Provide consultations for women’s long hair bonding • Choose the correct system for your client’s need (stock or custom) • Apply modern techniques of non-shaving hair replacement methods and removal (hands-on) • Customize stock pieces to create unique looks

CORE ACADEMY: CUSTOMIZING ALTERNATIVE HUMAN HAIR New cutting styles, coloring techniques, and trends are introduced every day to meet the market’s demands. With that in mind, this class will show you how to take a stock system and create a custom look with a personalized style and color that is unique to each of your clients.

• How to determine which stock system to use to create a custom design • Modern coloring techniques for wigs and toppers • Create the perfect custom order

At Hair Visions International’s Hair Academy, your agenda is our agenda. An open curriculum gives you the opportunity to learn the technical skills that are important to you. Tell us what you want to learn and we’ll present the class. The Hair Academy’s four-hour customized virtual coaching lets you learn new skills or polish up on old ones in the safety of your own studio.

• Forget the hassle of booking flights or hotels. Our virtual interactive class save you valuable time, money, and most importantly, keeps you and your staff safe in the comfort of your studio • Professional trainer Baha Alwardi brings his expertise as one of Hair Visions’ leading instructors • One studio per session provides personalized instruction (up to 5 participants.)

• Flexible class dates to accommodate your schedule • 10% discount on products a week before and a week after your training class (excludes hair replacement and wigs) Make 2021 the best year yet by scheduling your Four-Hour Customized Virtual Coaching class today. Book early!

LIMITED AVAILABILITY. CONTACT KARLA HURTADO AT 800-327-5555, EXT. 3325 TODAY. FREE VIRTUAL TRAINING WITH PRO|GEN GLOBAL Get free virtual training on the most advanced hair technology and products to expand your salon services and bring in more business.

• Pro|Gen Probe - The most advanced hair & scalp analysis devices • Pro|Gen Active Care - The most complete scalp therapy system • Pro|Gen Nutrifuse - Best maintenance line designed for hair systems • Pro|Gen Fiberbond - Instand solution to hair loss & thinning hair CONTACT A PRO|GEN GLOBAL BRAND AMBASSADOR TODAY TO BOOK YOUR FREE VIRTUAL TRAINING SESSION TODAY! EMAIL INFO@PROGENGLOBAL.COM OR CALL 1-800-359-4247 CROSSFIT EDUCATIONAL TRAINING At New Image Labs, we offer Crossfit Educational Training that prepares you to be the best in the hair replacement industry, whether you’re a rookie or a veteran.

Either we travel to your salon, or you can attend one of our in-house training seminars held at our corporate office in West Palm Beach, Florida. We deliver intensive, hands-on training and certification sessions that will help you gain indepth knowledge of our latest technology and products and how they will benefit your business. Our renowned team of educators provides expertise in application, theory, and technique to help you meet your clients’ needs and demands. Get ready to train with the best of the best!

Educators: Ricky Knowles, Keith Zimmerman, Randy Clark, Shannon Sorbara, Thomas Hoyer and Angelo David • Tools for success using Pro|Gen Probe scalp analyzers • Attract new clients with Pro|Gen Active Care scalp therapy • Repair and maintain processed hair with Pro|Gen Nutrifuse hair products • Become a hair fiber master with Pro|Gen Fiberbond Keratin Thickening Fibers • Increase your bottom line with our new Club.W women’s collection • The art of delivering to the female market with top-of-head and micro-linking application • Transform pre-custom lace and skin units to custom units • Become a certified Luxia Artiss hair extension stylist • Deliver pre-custom skin units from start to finish • Procedures for custom hair orders, from mold making, proper hair samples, distribution, etc.

VISIT WWW.NEWIMAGELABS.COM/PAGES/TRAINING OR CONTACT: DEBBIE METZ 800-359-4247, EXTENSION 343 DMETZ@NEWIMAGELABS.COM

CORE ACADEMY: MEN’S HAIR REPLACEMENT In today’s competitive men’s hair replacement market, it is vital to use the highest quality hair systems for your male clientele, provide them with the most undetectable look and to create a style that is on-trend and modern.

• The importance of consultation • How-to create molds and templates • Men’s hair replacement systems and application and reapplication

THESE CLASSES QUALIFY FOR

AHLC MASTER’S CERTIFICATION POINTS

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