Sunday, April 19, 2009

Market for Grooming Information

Everyone wants to know, what can we earn as a salon or shop owner. Well, how much do you want to earn? Except for the tiniest shop of just 200 to 300 square feet, the saying "The sky is the limit" may apply. Often mobile groomers and home groomers face a daily limit of the number of pets they serve. You can build a salon or shop to do 20, 30, 50, 75 or even 100 grooming appointments a day. We have clients in all those ranges. We started out as a small shop we grew to a 7 day a week operation grooming around 100 pets a day. The only other significant restriction is the "market area." Are there enough people and pets in your area to provide you with the number of pets you want to groom? Please refer to the Market for Grooming Information Main Menu to help make that decision.

  Please realize that there is no "right or wrong" or rules that say you have to grow a large grooming salon or shop. It's your choice, and it should be tied to your financial expectations and financial projections. If you want to earn a personal income (your income or "your paycheck" from the business after operating expenses) of $50,000 or more a year (prior taxes) you are going to have to grow a moderate to large salon.

   We do have consultation clients that enjoy $100,000 to $250,000 annual personal incomes (prior taxes) from very large salons earning business income of $500,000 to $900,000 a year (what they ring up on the cash register). These figures are grooming services only and could be higher if you factor in additional sources of revenue such as retail goods.

  Let us state here an important point. In 2003, 2004 and 2005 nearly every business plan we wrote for new grooming salons and shops included a specialty retail department (retail not generally found in corporate pet stores or event Mom and Pop pet stores) and sometimes a bakery, and about 20% of the time they also offered self-service pet wash tubs in addition to full-service grooming. Having multiple sources of revenue is very important to ensure that your business income is adequate to pay for leased space, bank loans and interest and other operating expenses.

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