If you’re looking for a barber shop startup guide, here in this post, we’ve provided a detailed step-by-step guide on how to write an effective startup guide.
Most barbershops offer haircuts, but they may also offer additional services including hairstyling, dying, coloring, and even waxing.
A well-written business proposal is an essential part of starting a new business venture. Before diving into the details of writing a barbershop business proposal, let us first learn why it is important to write one.
Why Do You Need a Business Plan for Your Barber Shop?
Barbershop owners often use a barbershop biz opening as a guide for starting their own barbershops. They write down everything they know about running a successful barbershop, including opportunities and risks. When they’re ready to open up shop, they refer back to these notes to see if there are any new ideas or ways to improve their current operation.
Suggested read: How much does it cost to start a barbershop
A good business owner needs to know how to create a solid business strategy before starting his/her own barbershop. Here we will discuss the different stages involved in writing a barber shop business planning document.
Here is a Guide to Writing a Barbershop Business Plan
Executive Summary of Your Barbershop Business Plan
The first chapter of a barber shop profile should be an executive overview. You will write it on the last. Investors will first read the executive overview. The key topics that need to be mentioned briefly are the next ones:
- Your barbershop company overview
- Services Offered
- Vision Statement
- Mission Statement
- Management Team
- Success Factors
- Financial Highlights
Business Overview of Your Barbershop Company
You will start by creating a cover page for your barber shop. On this page, write down the reasons why you want to open up a barbershop. Include details about the location where you intend to open up your shop, the names of the owners (biodata), and any other relevant information.
Write in short about the products offered by the barbershops, including any special features they may offer. Also include information about how much space each shop takes up, what kind of chairs and tables are used, whether the shops have restrooms, and if so where they are located. Include details about the type of music played in each shop, and whether the shops sell drinks or not. Finally, tell us who owns the barbershops, and why.
- About Your Barbershop Company
- List Down Services: Haircutting, hair dyeing, hair styling, etc.
- Describe each product that you plan to sell from your barbershop in detail.
- Describe the organizational structure of your barbershops.
- Describe in detail the barbershop designs that you have chosen. Also, include a copy of the barbershop design layouts for reference.
Industry Analysis of Your Barber Shop Industry
According to the report, the global barber shop market is expected to reach $1.5 billion by 2020. The growth rate is estimated to be around 4% during the forecast period. Barbershops are an integral part of American culture. A lot of people love visiting them for haircuts and beard trims.
They also provide services such as hair styling, manicures, pedicures, waxing, and facials. These businesses offer a variety of products including shampoos, conditioners, soaps, razors, combs, scissors, brushes, and towels.
- Industry Trends
- Market-level trends
- Firm-level trends
- Customer-level trends
- Customer Analysis
- Demographics of a target market
- Customer Segmentation
- Competitive Analysis
- Direct & Indirect Competitors
- Competitive Pricing
- Competitive Advantage
Marketing Plan
The marketing strategy section of your barber shop business proposal should contain information about how you’ll market your barbershop. You should list down the types of customers who visit your shop and what they expect from your shop.
For example, if you’re planning to open a barbershop in a mall, then you might include items such as haircuts, facials, manicures, pedicures, shaving, waxing, eyebrow threading, etc. In addition, you may also choose to offer additional grooming needs such as body massage, foot care, and nail care.
Write down the details of your intended audience for your barber shop. Explain why they would want to visit your shop. What kind of services will you offer? List some of the activities you will undertake to attract customers to your shop.
- Brand Strategy
- Promotions Strategy
- Local Publications
- Major Publications
- Community Events/Organizations
- Commute Advertising
- Customer Loyalty Programs
- Direct Mail
- Ongoing Customer Communications
- Pre-Opening Events
- Pricing Strategy
Operations Plan
You’ll use this section to describe the specific tasks that must be completed by your employees to run your barbershops. For example, you might include details about the types of jobs available at your shop, the qualifications required for each position, and the training programs you offer.
- Functional Roles
- Service Functions
- Administrative Functions
- Miscellaneous
The management team is responsible for managing the business operations of the barbershops. They should also make sure that the finances are handled properly. When investors are considering investing money into your business, they will look at the people who are involved in the business.
You must write down the names of these people, their educational backgrounds, and any relevant work experience. Note down what skills each person possesses so that you can discuss them during meetings.
- Management Team Members
- Hiring Plan
Financial Plan
This part is perhaps the most important one if you are looking for funding from investors. Attach copies of your personal financial statements, balance sheets, income statements, and profit/loss statements.
If you are having business partners, then also attach their personal financial statements. Some of the key documents that need to be packed into your barber shop bus are the followings :
- Revenue and Cost Drivers
- Capital Requirements and Use of Funds
- Key Assumptions & Forecasts
- 5-year income statement projections
- Projections for balance sheet (5-year projections)
- Cash Flow Statement (5-Year projections)
At the end of the day, don’t forget to include an appendix in your barber shop business plan. Attach supporting documents that prove the information mentioned in the different sections of the book in the right sequence so that they can be read easily. For example, attach a financial statement, license, permit, etc.
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