Neighbourhood beauty supply shop

Local salons, barbershops, nail studios and everyday shoppers who want advice and products on the spot.

You mark up wholesale products for retail sales and offer trade pricing or accounts to salons that buy regularly.

• Product knowledge and friendly advice
• Stock buying and inventory control
• Running a till and basic bookkeeping

• Check municipal business licence and zoning rules for retail premises
• Commercial general liability and contents insurance, and check what your lease requires
• Health Canada cosmetics rules, including labelling and products that may not be sold
• Shop rent, a security deposit and a large first stock order tie up cash, so plan carefully
• Slow stock and expiry dates on products can eat into profit, and WCB/WSIB rules apply once you hire staff (check your province)

Estimates typically put startup costs around $25,000 to $100,000, depending on your premises, fit-out and the size of your first stock order. Shop rent, a security deposit and opening stock all tie up cash, so plan carefully.

Estimated monthly revenue is typically around $6,000 to $30,000, depending on your location, product range and how many salons and walk-in customers you attract. Revenue is not profit, as stock, rent and wages come out of it.

Check your municipal business licence and zoning rules for retail premises. Also check Health Canada cosmetics rules, including labelling and products that may not be sold, and the insurance your lease requires. WCB/WSIB rules apply once you hire staff, so check your province.