4 minute read
Expanding Your Hair Replacement Business
from The Link Issue 39
by The AHLC
Expanding Your Hair Replacement Businesses
When Do You Know It's Time?
By Stacey Handel, Garde Bien Spa Salon Inc., Knoxville, Tennessee
A thriving business, bulging at the seams will have its challenges, but is it a sign to expand?
In my more than 44 years in the hair industry, there have been many changes in desired services to meet the ever-changing trends and shifts. Remember shampoo sets? Hair loss is not a trend. Even throughout the pandemic, we were heading for expansion because the demand for our type of services has been exploding consistently for the past five-plus years. We are aware of the increased demand to address hair loss in women and the market will sustain this for many years to come. Based on the frequency of traffic and new clients adding more space is needed to keep up with the requests for the types of services. By adding space and staff we could finally be able to promote in crossmarketing, television and other events where without doing so, the increases in traffic would put too much stress on our schedules.
At any given time all businesses are at various stages. A start-up business has numerous elements and a comprehensive checklist whereas an established business will have other concerns and needs.
I discussed my business expansion with my CPA and financial adviser to review the fiduciary concerns. I met with a commercial real estate agent to discuss the property values in the area. I also had input from my commercial bank before moving forward.
Our first step was to outline the needs for space related to the service areas where we have challenges. I used a software program to design walls and rooms to present to our architect. Our first architectural meetings were to work through hurdles for proper ADA requirements for the restroom, determine a location for pass-through door upon opening, and designing the most efficient use of the space. After closing on our site, our contractor started demolishing various walls to search for available plumbing and electrical access and remove unwanted fixtures and finishes. He also painted the ceiling.
Our plan will include scheduling some demo on our current space for additional needs in mid-construction. An architect prepared blueprints from my renderings for building permit approval.
Get Started Check List
Any construction or build-out requires a lot of planning to avoid disasters in budget and delays. Always assume neither your contractor nor your architect knows the needs and design related to the function, amps and lighting of our industry.
Vision: Have a clear vision of your space needs, details of the design and function, right down to where you want outlets and switches. Sketch your ideas or use design apps to visualize your space. Tape off spaces to ensure proper space sizes.
Budget: Cash is king but negotiate your financing and plan for 20% overages. Use the square foot cost averages in your area. Research materials and keep a close watch on the construction with weekly updates.
Timeline: Plan for business interruption, delays, four months is really six months.
Team: Interview and hire reputable contractors, engineers and architects to design the space, respect local codes and acquire permits. Get written quotes and ask questions to confirm each step of the project.
Electrical: Add amps and update fuses for styling areas to accommodate hair dryers and heat tools. Lighting engineers and specialists can make a big difference in ambiance and task performance. Add plenty of outlets and switches during construction.
Equipment: Work with a reputable supply company. Order equipment to arrive on your timeline or have space to store until needed. Provide specs to contractors for plumbed equipment.
My Goals For Expanding
BEFORE
EXPANSION 2021 - 2,000 square feet AFTER EXPANSIONS 3 Employees 5-plus 3 Private suites 5 0 Private Stations 2 0 Private shampoo 1 0 Consultation room 1 0 Repair-work room 1 0 Hair storage room 1 0 Color and hair lab 1 0 Office 1 2 Nail suite 1 1 Restroom 2 0 Hair displays 3 2 Guest seating 4 0 Laundry 1
**Notice no breakroom lounge or waiting room. Our space is focused on production.
How I knew it was time
• Consistent bookings and pre-bookings for three years • Consistent new business for a minimum of three years • Profitable for more than three years • Loyal, well-trained team and hiring potential • Security in the future revenue from industry growth • Demand for your services and products • Established business brand and reputation • Limited space to perform demand in services • Having to extend hours or unable to a sizable waiting list • Capital or financing for purchasing space, construction and equipment • Turning away business because of lack of space and staff