The beard grooming market was valued at $24.1 billion in 2018 and it has grown year-on-year, with its value expected to hit a whopping $43.1 million by 2026. According to statistics, clearly, now is a great time to specialize in the beard grooming market—as found in a market outlook report by Allied Market Research. Modern day men are very conscious about their appearance and they enjoy following fashion and personal styling trends, also investing their time and money in staying fit and healthy. In current times, having a beard is associated with greater confidence, maturity, and prestige, and the past two years, in particular, have seen a big uptick in the number of styles and types of beard. From beard parlors to grooming kits, cleansing products to dyes, there are so many products available for sartorial men with a passion for facial hair. If you are keen on opening a business in the industry, keep the following considerations in mind.
Honing Your Experience
If you are interested in launching a beard barber shop, then make sure you can offer clients a unique service. Obtaining the license requirements to become a barber varies by state but most states require around 1,500 hours of instruction in a barber school. You will also need to pass your licensing exam. Before launching, spend at least a year or two working at a barber shop that is at the top of its game. In addition to mastering various beard styles and coloring/dyeing techniques, you should also become familiar with quality products (such as oils, washes and conditioners, and moisturizers). You should also know how to advise clients on styles that will match their face shape, lifestyle, and fashion tastes.
Setting Up Shop
Before setting up your barber shop, create your business plan, listing down all opening and regular (monthly and yearly) expenses—such as wages, chairs, and the cost of professional advice. Work out the number of clients you will need to receive each week to meet your financial obligations. You should also have a starting fund of around $10,000 for your equipment, initial rent, and insurance obligations. As stated by cerity.com, even small businesses are required to carry insurance. The latter includes workers’ compensation insurance (which can be as little as $20 per month) and general liability insurance (which will cover you against injuries to third parties or property damage to somebody else). You should also factor in marketing costs (including the cost of setting up a website, flyers, video channel, and similar). You will also need to obtain the appropriate business license for the type of shop you wish to open.
Good Bookkeeping is Key
Hiring an accountant is vital, since you will need to file your tax returns at the appropriate times. An accountant will also be able to provide advice on matters such as tax deduction options, depreciation and bonus depreciation (deducting the cost of assets), and expenses such as advertising, travel, deductible meals, repairs and maintenance, supplies, and more. If you are being trained to improve your beard trimming skills, you may be entitled to a Lifelong Learning Credit, which can amount to up to $2,000 per tax return. This credit covers your tuition and related expenses. Even tips need to be reported to the Tax Department, so make sure your advisor is thorough, accurate, and informative.
The beard grooming market is set to explode to $43.1 million by 2026. Beard grooming services are increasingly being sought out by men who are interested in sporting well-trimmed, stylish beards. To set up shop, you will need to save around $10,000. This will go towards initial expenses like your shop rental and equipment. Make sure to hire well reputed financial and legal professionals so all your paperwork is in order and you can concentrate on what you do best—styling beautiful, elegant beards.