No matter how many businesses are associated with beauty today, we often seem to overlook one of the most lucrative among them – the hair business. The worth of this business can range from thousands to billions of dollars. Hair business, in particular, is experiencing a significant boom. Men and women all around the world are becoming huge fans of hair extensions due to various reasons – it makes them look great, they feel more confident, they like experimenting with different hairstyles, and so on. So if you are among the few who have decided to tap into this profitable business, here are a few questions you must ask yourself at the very initial stage of your journey.
Why do you want to start a hair business?
It’s crucial to have your reasons clear! No matter how clichéd this might sound to you but having concrete reasons keeps your efforts consistent at all times. So ask yourself; what are your reasons behind starting a hair business? Is it money that you are looking for, or you wish to make a name in the industry? Irrespective of your reasoning and the rationale behind them, be prepared to stand by them at all times and do not budge. You might have heard of many who started a hairline business, but they couldn't make a profit from it, or after a while, they didn’t feel the contentment they expected. This is usually because they lost sight of their goals and end up going astray. Before starting, it is crucial to be sure that you are absolutely ready to commit yourself to be a business owner.
What does it take to get started?
The three ingredients that would make a perfect recipe mix for your business are; a Business plan, Vendors, and consistent cash flow.
Firstly you need to set-up a checklist, preferably a comprehensive plan, entailing the things you want to accomplish. The type of image you would want your business to have, the audience that you wish to reach, the approaches you’ll implement, and milestones and the time it will take to achieve them. Moreover, choosing reliable vendors is equally important. You would want to think in terms of a long-term relationship with them. So carefully choose a company that provides extensions, wigs, and lashes at a good wholesale price. Lastly, the trump of the ingredients, that alone has the potential to make or roost your dish; your financial reserve is a must for your inventory purchase, branding, and various essential business processes.
How much to invest?
This might be the most challenging question one can face prior to starting a business. As there are a number of things to keep in mind while setting an investment plan; from the initial cost to the anticipated cost of hair, vendors, operations, and so on. In my view, it is safe to keep $2000 as an initial investment to get started.
Moreover, be sure to do your research on the vendors you are interested in working with and be sure to test the respective vendors’ hair sample before coming to a final decision. Starting a small business can be more effective as you will need; basic storage containers for your stock, a functionally basic website, and your bundles, of course.
Note that a website is an absolute necessity in the current times. It not only helps your customers to know about you and the products you’re offering, but it also helps you in tracking orders and collecting data that will play a pivotal role in your business growth.
What will be the supply chain?
Any customer oriented business passes through a number of stages to get the right product, at the right time and to the right person. From handling shipments to tracking orders to reordering, etc. All these must be done efficiently to ensure smooth business processes.
Even if you have the advantage of a perishable item, you still wouldn’t want to order too many, as you’ll still incur a storage cost, and delivery cost and God Forbid if the market trend changes your inventory is at a risk of loss. You would always want to order just the right amount, in the right quantity to ensure minimum cost and maximum gains for yourself.
The best way to handle shipping is to assign a day in which you would like to receive your orders such as Monday. It will be even better to have a physical trace of your orders, with an anticipated arriving date so that you make timely deliveries from your end. It is crucial to reorder at the right time, ideally, you should order when your inventory reaches a ‘minimum’ level. That is you have one set for each length and texture.
What are the challenges faced in hair business?
Being is an entrepreneur can be quite challenging particularly if you are juggling with issues from possibly all sides – employees, vendors, clients, and the cherry on top, personal issues. I am sure you’ve heard, with great power comes great responsibility, and you will be responsible for resolving matters in your own way. It might seem a bit scary but surely nothing is achieved without consistent efforts. So gird your loins for a successful hair business!