Hair stylists and barbers are some of the best clients we get to work with. They’re creative entrepreneurs who make people feel amazing. Their work may be demanding but it pays well and is a true entrepreneur’s dream, especially for those that run their own booth or shop.
This week we’re sharing 5 of our clients’ top tips for saving thousands of dollars and hours of time each year.
#1 Automate Your Scheduling
Getting your hair did may not sound like much, but it can take hours depending on what kind of service you want. Some stylists prefer to work with one client at a time but others work two or three at once to maximize their earnings.
If you run your own booth and don’t have an assistant, you need to have a superb scheduling system in place to keep the machine running smoothly. Consider implementing a platform that will help you bring in client information and automate scheduling and repeat visits. This will keep your client bookings predictable and increase repeat clientele. You can even use your scheduling system as a customer relationship manager to send out special offers, thank you cards, and happy birthday notes.
#2 Make It Easy to Pay You
In 2018 most people pay for services with a credit or debit card, and some people even want to pay with cryptocurrency. The secret to doing business is making it easy for customers to pay you how they want to. Gone are the days where you can bank on taking cash from people you do business with. Accept the fact that you will pay about 3% in card processing fees and you will need to report your income to the IRS.
#3 Diversify Your Services
You need to sell more than one type of service and even have products available for sale. With so much competition it’s important to remember that you need to be somewhat accommodating to clients. You may not want to offer everything under the sun, but having a multitude of services and products available will earn you more per client visit.
#4 Respect the Numbers
Whether you are a sole proprietor or you have a team working with you, you have to respect the financial game that goes into your trade. Knowing your costs for booth rent, products, any special tools, and taxes & licenses and tracking them on a recurring basis can prevent a financial disaster. Having an accounting system in place such as QuickBooks Online will help you keep an eye on your money while cutting down on processing time to allow you to spend more time with clients. You’ll also want your financials organized in order to calculate your estimated taxes due each quarter.
#5 Know Your Limitations
As a master of your craft you’ll eventually hit a peak where you can’t make any more money. That’s usually because you have no more time. You can raise rates and bring in only high paying clients, but even they have a point at which the price will be too high. You may have to hire help to work more clients at once or outsource administrative work such as your accounting and taxes to a CPA who can help save time and money. Whatever the case, understand your limitations and know when it’s time to bring in help.
Hopefully this article has been helpful to anyone working as a hair stylist, barber, or in a related profession. Our firm is well versed in all things related to tax and accounting, and we welcome any new clients who are interested in working with us.