What are the big challenges facing salon owners and independent stylists?

I owned and operated a Boston-based salon for 20 years. I can remember the vision I had in my mind would constantly get hijacked by daily challenges. I often felt like I had no control of my business. I would get to work with great ideas and a perfect game plan in my head, and then suddenly it was like I was putting out fires and dealing with problems all day long. My business was controlling me.

How profitable is your business?

I often ask business owners this question. The answers always seem to be a “best guess”. The typical business owner thinks about profitability in terms of left-over money at the end of the month. They run their business based on their monthly expenses. This is called Bank Balance Accounting, and it doesn’t work. This style of money management will never lead to high profits. If you operate like this, you'll always be chasing profits. It’s a game you can’t win.

How do I make money in a services business?

Making money comes by knowing everything about your business. By understanding your ideal client and having your perfect team avatar. Knowing the true cost of all your services. Understanding how to structure your services. Having knowledge on the latest branding. Then, you need to build a strategy with a plan aligned with your vision. So you can build a company that is compatible with your lifestyle.