Many salon owners, especially when starting out, have to make a crucial decision; Do they rent booths or hire employees. Many people go into booth and chair rentals without understanding what it entails and can make a lot of mistakes along the way. While there are many advantages to booth and chair rentals, it’s important to understand what the benefits are and how this system works.
Why Choose Booth Rentals
One of the best advantages of having a booth and chair rental system is that there is a guaranteed steady income regardless of how busy the salon operates. Throughout the year, there are high and low points, which can make a lot of salon owners scramble to make ends meet if they are on a commission system. However, having the rental system allows owners to keep up with their steady income, helping them to avoid having to lay people off or be under a great deal of stress during the year.
Another advantage is that this system helps to motivate employees. When an employee knows that they are responsible for their own success or failure, they’re much more likely to be involved with the business and take charge of their space and their clients. In this type of system, a salon owner doesn’t have to manage employees and can spend more time on other areas of running a business. This is also an advantage for the employees too. Most salon employees prefer to make their own schedule and work in their own way. In a booth rental system, they don’t have to worry about the stress of being micro-managed. Overall, this system is preferred by both the employees and the salon owners.
Why Not Use a Commission Based System?
For a new salon owner, the commission system can be very expensive. When starting a business, they often have to pay high commissions to attract stars that will be sure to bring in lots of customers. If this system doesn’t work out or the customers aren’t as attracted to the salon as previously thought, this can result in huge losses for the salon owner. Consider this an important part of running a business, especially since many new salons will go under in their first few years. With a booth and chair rental system, the big names will still come, and they often prefer this system because they get to keep a higher percentage of the profits.
Finally, this type of system allows salon owners to have more control over the salon and the image that they are presenting. If a renter doesn’t end up fitting the image, the owner doesn’t have to renew the contract and is free to rent their space to another stylist.
These are some of the advantages of having a booth and chair rental system in a salon. This type of salon works best for both the employees and the owners and many people prefer this type of system over the commission type of salon. If opening a salon or considering how to hire stylists, consider booth and chair rental.