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Transforming Salon Business Models: The Rise of Ownership-Based Suite Rentals

Salon booth for rent, “also known as a salon booth rental, is a phrase which is a bit misunderstood in the beauty industry, so let’s try to cut through the mystery and set the record straight.  We are Hill Country Salon Suites, serving the Greater Georgetown area with twenty-six salon suite rental opportunities. Call us at 512-380-2500 for information about current pricing and availability.  If you are a hair professional, nail specialist, or anyone else in the beauty industry, you will want to save that phone number and call us in the near future.  We literally can change your life.

Esthetician salon suiteSalon booth for rent traditional meaning.

Back in the old days, and we are talking maybe fifteen years ago and beyond, a person wishing to work in a beauty salon or hair salon would rent a salon booth or rent a salon chair.  They were not employees of the salon owner but rather independent contractors working on commission.  The actual rental arrangement changed a bit from salon to salon, but the basics called for a minimal rental cost for the salon booth or salon chair, and then a 40% (approximate) share of every dollar made.

This type of arrangement turned out very beneficial for the owner, who was making 60% of every dollar made in the salon. The independent contractors had a steady job and made a passable income.

As mentioned earlier, up until about fifteen years ago, that scenario played out in almost every salon across the country for over a century.

New salon suite for rent.

So, what happened fifteen years ago? Someone dreamed up a new scenario, a new business model, whereby the independent contractors rented suites in a “beauty” building, and they opened up their own mini salons. Thus, we have the same term, salon booth for rent, meaning something completely different with this new business model.  Specifically, it now means a place to own a small salon rather than a place to earn a commission.

Commission vs ownership.

Do the math!  If a hair stylist, in the commission business model, saw ten clients per day, at an average sale of $50, that stylist would have earned $500 per day, but only kept $200 of that for themselves.  That’s a $1000 week and slightly over $50,000 per year. Not bad if we are talking about 1990 dollars, but in 2024, $50,000 will barely pay for a mortgage/rent payment and groceries.

With the new business model, $500 per day means a $2500 week means a little over $125,000 per year, minus business expenses, and suddenly we see why this new business model has become so popular.

If you are one of the tens of thousands who dreamed of owning a beauty salon, but stopped short of doing it because you thought it would be too expensive, your day has arrived.  For as little as a couple thousand dollars, you can rent a salon suite, decorate it, pay for a business license, pay for insurance, and open the doors to your own business.

Commission vs ownership? Which sounds better to you?

A final word about Hill Country Salon Suites.

Hill Country Salon Suites is owned by a husband-wife team, local to the area, and respected business leaders for decades in this part of Texas.  Their goal, to provide opportunities for new entrepreneurs to succeed in business. Call us today and we will help you change your financial future to one you can look forward to.

Calling All Wellness & Beauty Professionals

Are You Ready To Rent A Salon Suite?

Hill Country Salon Suites offers luxury salon space for beauty and spa professionals who want the freedom and flexibility to run their own business. Located in Georgetown, in the hill country of Texas. We have the tools to help you establish and grow your business.

  • Profit Calculator– Use The Hill Country Salon Suites Profit Calculator To See The Profit You Can Make.
  • Salon Suite Amenities – See what amenities Hill Country offers to their tenants.
  • Why Choose Hill Country Salon Suites – Need more reasons to rent salon space at Hill Country? Let us show you why spa and beauty professionals choose us.
  • Salon Business Software – Salon software to help you run your business. Free to our tenants.
  • View Our Gallery Of Salon Suites- Design your salon suite to fit your business brand. Take a virtual tour of the suites at Hill Country.

If you have questions, need more information or want to visit Hill Country Salon Suites, contact us. We are locally owned and operated.