Beginner’s Guide on Starting a Beauty Salon Business in the United Kingdom

Starting a Beauty Salon Business in the United Kingdom A beauty salon has somewhat magic-like powers on a person’s confidence. When a person is feeling happy and celebratory, they go to the salon. On the off days, where they don’t feel their best, they go to the salon to feel better. Both men and women love indulging in self-care activities and the feeling of being pampered. It’s where one gets to let their hair down (literally), relax and unwind.

There are two very simple reasons to start a beauty salon business in the United Kingdom. One, the beauty industry is valued at billions of dollars every year, making beauty salons a highly lucrative venture. And two, people want to be the best version of themselves – and you can help them achieve that. Therefore, starting a beauty salon business in the United Kingdom can be a great, profiting business for you!

Plenty of medium to small beauty businesses have expanded and become more prominent franchises. However, it is vital to keep in mind that not all beauty salon businesses achieve the same level of success. Plus, beauty salon businesses closing within the first year is not unheard of. For a successful beauty salon business, you will need a solid business plan that outlines objectives and how you will be achieving those objectives. This includes creating a budget and making sure you have enough capital to invest in your business.

Aside from that, you will also be investing hours into doing lots of research. To understand and dominate the salon beauty industry, you must study the beauty business market first. This includes picking a strategic location for your business, suitable demography. On top of that, you have to know the local law, regulations, growing trends and styles, as well.

If you’ve dreamed of starting a beauty salon business in the United Kingdom, then you’re on the right path. In this article, we will look at what a beauty salon business is, what you need to get started and where you can find help to open your business. If you find the whole process overwhelming, we suggest you read about company registration in the United Kingdom.


What Is a Beauty Salon Business?

People’s first assumption when they hear the word ‘beauty salon’ is ‘hair treatments’. However, do you know that a beauty salon actually encompasses everything under the sun? This means that hair, makeup, facials, body, nails, etc., are all services offered in beauty salons. By definition, beauty salons are an establishment where cosmetic treatments are carried out professionally. All around the globe, beauty salons offer a variety of services to a vast client base. All walks of life go to beauty salons on a regular basis.

Setting up a beauty salon gives you the freedom to provide whatever beauty treatment service you want to your customers – it’s really up to you! Whether it be manicures and pedicures, waxing, tanning, blow-drying, or a combination of those services to your clients, the only limitation to a beauty salon business is your imagination.

Undeniably, beauty salon businesses can be somewhat costly to begin. There are various equipment and products to buy and marketing to do. Therefore, you would want to prepare your best game plan before diving into a salon business. Properly preparing your business strategies also prevents you from wasting your precious time, money, and energy. Setting up a company may be challenging, but it does not necessarily have to be that way. If you need an extra hand, you can reach out to company incorporation services in the United Kingdom.


Getting Your Business Registered

In the UK, entrepreneurs usually register their business as either a sole trader, partnership, or limited company. Choosing the proper business structure is essential, as it will determine the course of your business’s finances. With that said, lots of beauty salon businesses prefer a limited liability corporation (LLC).

LLC allows the business owner to separate their debts from their personal finances. Meaning, if a person runs an LLC and the company falls into debt, they will not be required to put up their personal assets to pay for the debt. If you decide to proceed with an LLC, you need to register your company with the local government agency, Companies House.

Registering with Companies House will also get you registered with Corporation Tax too. The fee for registering your company is only £12. Don’t forget – you need to register within three months of running your business.

Do keep in mind that you need to be certified to carry out certain treatments. Licensing authorities will be checking on you to ensure that you and your staff have undergone training and possess the right credentials.


Licenses and Permits You May Need

Getting the formalities out of the way, you will need several licenses before starting your beauty salon business in the United Kingdom. However, this depends on what type of services you will be offering to your customers as well. For example, if you are starting a beauty salon specializing in hair only, you might not need a license. On the other hand, you will have to apply with your local authority’s environmental health section if you plan on specific beauty treatments.

When you’re running a beauty salon, you will most likely play music or play the telly on your premises to create a cozy ambiance. To legally play music or television in your salon, you will have to obtain TheMusicLicense and a TV license. Additionally, if you will be carrying out laser treatments, then you need to register with the respective authorities:

Moreover, if you plan to install CCTV in your salon, remember to apply for a license with the Security Industry Authority (SIA). This allows you to record the activities taking place in your salon legally.

By all means, this is not an exhaustive list of licenses you need to apply for. Use license finder and key in your desired area of interest, the activities you will be carrying out, and the location. The license finder will give you a list of licenses that you will be needing.


The Next Step

Running a beauty business is no easy feat. We understand that some people, especially those new to the industry, would rather not cover the bases of starting a business by themselves. If the mere idea of handling calculations, form applications, tax registration, research, etc., gives you cold sweat, you may want to opt for an alternative. In this case, corporate service providers with credible professionals can take over with setting the business up, leaving you to focus your resources on your business.

Starting a Beauty Salon Business in the United Kingdom


We are 3E Accounting. With thousands of satisfied clients over the span of a decade, we strive to bring you the very best services, no less. Our team of experts has the right credentials and expertise to assist you in making your beauty salon business come true. We’ll ensure your business is compliant and up to date with all the licenses and regulations. For more information, contact 3E Accounting today!