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    Commision & Rental Salons: Are They Even Different? [EP:89]

    en-usMay 22, 2023
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    About this Episode

    This week we explore commission-based salons and rental situations' features, pros, and cons.

    Commission-Based Salons

    • Definition and explanation of commission-based salons.

    Advantages for employees working in a well run commission-based salon

    • Predictable income and stability.
    • Access to salon-provided tools, products, and resources.
    • No need to worry about product
    • Marketing should be done for you
    • Educational opportunities should be provided for you
    • Teamwork and support from fellow stylists.

    Challenges faced by employees in most commission-based salons:

    • Lower earning potential due to dated pricing structures and practices
    • Limited control over pricing and services offered.
    • Pressure to meet sales targets and quotas.
    • Limited schedule, no flexibility 
    • "Pecking" order
    • Dress codes
    • Likely a non-compete

    Rental Salons

    • Definition and explanation of rental salons.

    Advantages for renters in a rental salon should be:

    • Freedom and flexibility in setting prices and services.
    • Potential for higher earning potential *if done correctly
    • Choice of product line
    • Ability to personalize the salon space and create their own brand.
    • No risk or long-term commitment 

    Challenges faced by renters in most rental salons:

    •  You're doing everything on your own 
    • You're still working with percentages - unless you want to screw yourself over
    • If, for example, you're not good at being on time as an employee, you won't suddenly become good when you're in charge
    • Responsibility for business expenses (rent, utilities, supplies, etc.).
    • Need for self-promotion and understanding of marketing to attract clients.
    • Potential isolation and lack of a team environment.
    • You own nothing 

    Perspectives from Jen as an employee

    •  Personal experiences and insights into working in this type of salon with Jen.
    • Success stories and challenges faced.
    • Advice for others considering employment in a commission-based salon. 

    Perspectives from Jen as a renter

    • Personal experiences being a hairstylist renting a station in a rental salon with Jen
    • Personal experiences and insights into running their own business within a rental salon.

    Need in both:

    • Exceptional customer service and skills.
    • Marketing
    • Relationships and communication
    • Business management and professionalism are required in both models.

    Links and Stuff:
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    Hello Hair Pro Website

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    Links and Stuff:
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    the Hello Hair Pro podcast
    en-usJanuary 08, 2024
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