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Tips for Taking on a Hair Salon Lease
Everyone needs to get their hair cut now and again. So, if you know what you’re doing, there’s often good money to be made from setting up your own salon.
This of course means finding the right premises at the right price. It also probably means signing a lease. If you’re thinking about setting up a salon, here are a few important points you should be thinking about before signing on the dotted line.
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- Is a Salon Lease the Right Option?
- Sharing the Property
- Permitted Use
- Limited Company Tenant
- Break Clauses
Firstly, there are downsides to being a franchisee, such as lack of real independence and constraints on how you develop the business. Mobile hairdressers, on the other hand, lack the kind of support they would get in a salon, both from staff and in terms of a guaranteed flow of clients, and also spend a considerable amount of time travelling to and from appointments.
For owners of independent hair salons, the possibilities for growing both the business and its profits are effectively unlimited. With the right location and attractive branding, footfall can lead to the acquisition of potentially long-term clients without any marketing cost. Taking over an existing salon can also give access to an established client base, which is likely to grow through word of mouth if the new owner’s development plans for the business are successful.
Disadvantages to opening a hair salon include lack of flexibility in terms of opening hours, the stress of being ultimately responsible for clients and staff, and, of course, the financial challenge of setting up the business and paying the rent every month. Assuming the project is affordable, most hairdressers will prefer to lease their own salon. We can advise on whether this is the best option based on an individual’s circumstances, as well as the potential pitfalls to avoid when taking on a hair salon lease.
If you’re thinking of doing any of this, then you will need to make sure that your lease specifically gives you the right to do so. Otherwise, you may find your landlord could simply block your business from growing as you want it to.
The above are only a small number of important points to consider before signing.
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Commercial Lease Information:
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Negotiating Commercial Lease Terms
How to Negotiate a Rent Free Period
The Risks of Being a Guarantor on a Commercial Lease
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Stamp Duty on Commercial Property Leases
Is it Possible to End a Commercial Lease Early?
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Office Leases
Hair Salon Leases
Clothes Shop Leases
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