Barber Shop Business Plan Template

Barber Shop Business Plan Template & Services
Are you interested in starting your own barber Business?
Industry-Specific Business Plan Template
Plug-and-play structure tailored to your industry. Ideal if you want to write it yourself with expert guidance.
Market Research & Content for Business Plans
We handle the research and narrative so your plan sounds credible, specific, and investor-ready.
Bespoke Business Plan
Full end-to-end business plan written by our team. Structured to support fundraising, SEIS/EIS applications, grants, and lender-ready submissions for banks and SBA-style loans.
Introduction
Global Market Size
Target Market
Business Model
Competitive Landscape
Legal and Regulatory Requirements
Operating a barber shop requires compliance with local, state/provincial, and national rules that cover personal services, sanitation, employment, and consumer protection. The business plan should document which authorities regulate barbering in the target location, the licenses/permits required before opening, and the ongoing obligations (renewals, inspections, recordkeeping) to avoid fines, closure orders, or reputational damage.
Business formation, registration, and local permits
Confirm the legal structure (sole proprietorship, partnership, LLC/company) and complete registrations required to operate legally. Typical requirements to plan for include:
- Business registration and tax identification (e.g., EIN or local equivalent)
- Local business license/operating permit
- Zoning approval for personal service use; verify the location is permitted for a barber shop
- Building occupancy approval (certificate of occupancy or equivalent) after any build-out
- Signage permits (exterior signs, window decals) if required by the municipality
- Music licensing if playing copyrighted music in the shop (where applicable)
Barber licensing and scope of practice
Most jurisdictions regulate barbering through a barber/cosmetology board or health authority. The plan should specify:
- Individual barber licenses required for each practitioner and required posting/display rules
- Shop or establishment license (often separate from individual licenses)
- Manager-of-record requirements, if applicable (some areas require a licensed supervisor on file)
- Scope-of-practice limits (e.g., shaving with straight razors, use of chemicals, facials, waxing) and how services offered will remain within allowed practice
Health, sanitation, and infection control
Sanitation compliance is central to a barber shop’s regulatory risk. Include a written sanitation program aligned with local rules, covering:
- Tool disinfection and sterilization standards (clippers, guards, combs, shears, razors) and approved disinfectants/contact times
- Single-use item controls (neck strips, razor blades) and sharps disposal procedures
- Cleaning schedules for stations, chairs, sinks, floors, and restrooms; responsibilities by role and shift
- Linen/towel handling (laundering frequency, storage of clean vs. used items)
- Hand hygiene and use of gloves where required or appropriate
- Bloodborne pathogen response (minor cuts), first-aid kit, incident documentation, and employee training
- Procedures for refusing service when health/safety is at risk (e.g., visible contagious conditions), consistent with nondiscrimination rules
Facility, building code, and safety requirements
Build-out and daily operations must meet building and fire codes. Address:
- Plumbing requirements for shampoo/handwash sinks; backflow prevention where required
- Electrical compliance for outlets, clipper charging, and any installed equipment
- Ventilation standards, especially if any chemical services are provided
- Fire safety (extinguishers, exit signage, clear egress paths, occupancy limits)
- Accessibility requirements (e.g., ADA or local equivalent): accessible entry, service areas, restroom access where required, and reasonable accommodations policies
Employment and labor compliance
If hiring barbers, assistants, or reception staff, include compliance steps for:
- Worker classification (employee vs. independent contractor) and written agreements; many jurisdictions scrutinize “booth rental” models
- Wage and hour laws, overtime, breaks, timekeeping, and tip handling/reporting rules
- Workplace postings and policies (harassment prevention, safety, disciplinary procedures)
- Workers’ compensation coverage where required and payroll tax registrations
- Hiring right-to-work/eligibility verification and record retention requirements
Consumer protection and client records
Regulators and customers expect clear pricing and fair practices. Plan for:
- Transparent service pricing, add-on charges, and refund/redo policy signage
- Appointment deposits/cancellation fees that comply with local consumer rules
- Handling of client personal data (names, phone numbers, booking history): privacy policy, secure booking system, limited staff access, and retention/deletion practices
- Photo/video consent procedures for marketing, including specific consent for minors
Products, chemicals, and retail sales (if applicable)
If selling grooming products or using chemical treatments, address:
- Compliance with labeling and safety data requirements for chemicals; staff training on safe handling and storage
- Retail sales tax registration and point-of-sale setup for taxable items
- Storage controls (flammables, aerosols), expiration checks, and recall response process
Insurance requirements and risk management
List the insurance policies required or strongly recommended and who will procure them:
- General liability and professional liability (barber services)
- Property coverage (equipment, inventory) and business interruption where appropriate
- Workers’ compensation and employer liability (if employees)
- Cyber/privacy coverage if using online booking and storing customer data
Inspections, renewals, and compliance calendar
Include a compliance calendar with responsible owner/manager and due dates for:
- License renewals (individual and shop)
- Health/sanitation inspections and documentation readiness (cleaning logs, disinfectant logs, training records)
- Annual fire equipment servicing, if required
- Tax filings and payroll reporting deadlines
Action plan before opening
Document a pre-opening checklist:
- Confirm zoning and obtain occupancy approval after build-out
- Secure shop license and verify every barber’s active license and required postings
- Finalize sanitation SOPs and train staff; stock approved disinfectants and sharps containers
- Set up required insurance policies and employment documentation
- Prepare inspection-ready records and signage (prices, licenses, policies) before the first client
Financing Options
Financing a barber shop typically combines upfront capital for build-out and equipment with working capital to cover rent, payroll, and supplies until the chair schedule stabilizes. In your business plan, explain how much funding you need, what it will be used for, and which financing path matches your concept (single-chair studio vs. multi-chair shop, walk-in heavy vs. appointment driven, premium grooming vs. value cuts).
Owner Funding and Bootstrapping
Many barber shops start with personal savings, partner contributions, or a phased launch (opening with fewer chairs and expanding). This option keeps control in-house and can be realistic if you can limit the initial build-out and leasehold improvements.
In your plan, specify: owner cash contribution, any sweat equity (who is working the floor), and which purchases can be staged (additional chairs, second station, retail display, upgraded POS).
Bank Term Loans
Traditional bank loans can finance major one-time costs like build-out, barber chairs, cabinetry, shampoo units, signage, and initial inventory. Lenders usually expect a clear repayment plan backed by predictable cash flow and strong personal credit.
Include: loan amount, term, estimated monthly payment sensitivity, collateral (often personal guarantee), and how you will maintain debt service coverage in slower months (seasonality, local events, back-to-school peaks).
SBA-Backed Loans (Where Available)
SBA programs (or similar government-backed small business lending programs in your country) can be suitable for new operators who need longer terms or lower down payments than a standard bank loan might require. They are commonly used for leasehold improvements, equipment, and working capital.
In your plan, detail: use of proceeds, owner injection, business experience (licensed barber/manager), and a realistic ramp-up timeline for chair utilization and rebooking.
Equipment Financing and Leasing
Financing barber chairs, stations, washer units, towel warmers, sterilization equipment, and POS hardware can reduce upfront cash needs and align payments with revenue. This can be helpful if the landlord build-out consumes most of the initial budget.
Cover: what is financed vs. purchased outright, lease terms, warranty/service plans, and the contingency plan if a key asset fails (backup clippers, spare chair parts, maintenance vendor).
Line of Credit for Working Capital
A revolving line of credit can cover short-term gaps caused by uneven weekly traffic, hiring ahead of demand, or bulk purchases of consumables (capes, disinfectants, blades, retail products). It’s best used as a buffer, not as permanent financing.
State: credit limit requested, intended triggers for use (e.g., payroll coverage during first 60–90 days), and repayment discipline (pay down during high-traffic periods).
Landlord/Tenant Improvement (TI) Negotiation
For a barber shop, build-out costs can be significant (plumbing for shampoo sinks, electrical, flooring, ventilation, ADA compliance). Rather than borrowing all of it, negotiate TI allowances, rent abatement, or a phased rent schedule.
Include: proposed TI ask, who owns improvements, lease length options, and what you will personally fund vs. what is covered by landlord contributions.
Revenue-Based Financing and Merchant Cash Advances (Use Caution)
Products tied to card sales can fund marketing, minor upgrades, or working capital, but costs can be high and repayment can strain cash flow when sales dip. For barber shops with heavy card volume, the daily/weekly remittance can pinch payroll and rent.
If you include these, specify: maximum cost of capital you will accept, a plan to refinance into cheaper debt once the shop has consistent revenue, and a cap on how much of monthly sales can be committed to remittances.
Friends and Family Loans
This can be practical for smaller gaps (deposit, first month of rent, initial inventory) but can create relationship risk. Use formal promissory notes and clear repayment terms.
In the plan: amount, interest (if any), repayment schedule, and what happens if cash flow is slower than expected.
Equity Partners (Silent or Operating)
Equity can fund a higher-end build-out or multi-chair model without monthly debt payments, but it reduces ownership and may complicate decisions (pricing, hiring, expansion). This is more common when expanding from one location to multiple shops.
Document: ownership split, roles and voting rights, profit distribution, buyout terms, and how additional capital calls would work.
Franchise or Brand Affiliation Support (If Applicable)
If you operate under a franchise or established brand, there may be preferred lenders, negotiated equipment packages, or support in presenting forecasts. The trade-off is franchise fees and required build standards.
Explain: initial fees, required capex standards, and how financing covers both build-out and opening expenses.
What Lenders and Investors Expect to See for a Barber Shop
Include these plan elements to improve approval odds:
- Itemized start-up budget (build-out, equipment, permits, initial product, signage, insurance, deposits)
- Working capital estimate (months of rent, payroll, utilities, marketing)
- Unit economics by chair (expected services per day, average ticket, rebooking rate assumptions) and how you reach break-even occupancy
- Staffing model (booth rental vs. commission vs. hybrid) and how that impacts cash flow stability
- Proof of capability (licenses, years of barbering/management experience, shop policies, sanitation procedures)
- Location rationale (foot traffic, nearby offices/schools, parking, competing shops) and pricing positioning
Use of Funds (Template Language You Can Adapt)
Use the following structure in your business plan and fill in your numbers:
- Leasehold improvements: __% (plumbing/electrical, flooring, paint, partitions, signage)
- Equipment: __% (chairs, stations, shampoo unit, sterilization, POS)
- Opening inventory and supplies: __% (products, disposables, towels/capes, cleaning supplies)
- Pre-opening expenses: __% (permits, legal/accounting, training, marketing launch)
- Working capital reserve: __% (rent, payroll, utilities for __ months)
Financing Strategy Recommendation (How to Choose)
Match funding to the asset and risk:
- Build-out and long-lived assets: term loan/SBA/TI allowance
- Equipment: equipment financing or lease
- Short-term cash swings: line of credit
- Avoid using high-cost financing for permanent needs; if used, include a clear refinance plan tied to hitting steady chair utilization and a documented monthly cash flow buffer.
Marketing and Sales Strategies
Marketing and sales strategies for a barber shop should focus on consistent local visibility, a clear service promise, and repeatable customer retention. The goal is to fill the chair with predictable appointments while maintaining walk-in capacity, increasing average ticket through add-ons, and building loyalty through a strong brand experience.
Target customer segments and positioning
Define 2–4 primary segments and tailor messaging and offers to each.
Example segments: neighborhood professionals seeking reliable cuts, families with kids, students, men’s grooming enthusiasts (beard/skin care), and special-event customers (weddings, interviews).
Positioning should state why the shop is the default choice (e.g., “precision fades and beard work with on-time appointments,” “family-friendly cuts with quick turnaround,” or “classic barbershop experience with modern grooming”).
Brand and service packaging
Create a tight service menu with clear names, time blocks, and outcomes. Reduce choice overload and guide customers toward higher-margin bundles.
Recommended menu structure: Classic Cut, Fade/Skin Fade, Beard Trim/Shape, Cut + Beard Bundle, Kids Cut, Senior Cut, Hot Towel Shave (if offered), Line-Up/Neck Cleanup, and Grooming Add-ons (wash, conditioning, beard oil application).
Use tiering (Standard vs. Premium barber) only if service quality and experience can be kept consistent and the difference is well explained.
Pricing and promotions (profit-aware)
Set pricing based on time per service, chair utilization targets, product costs, and desired margin. Avoid constant discounting; use targeted introductory offers and limited-time campaigns.
Practical promotion options:
Grand opening: “First visit” offer or bundle upgrade (e.g., free beard detail with haircut) rather than heavy discounts.
Off-peak fill: weekday/time-slot specials to increase utilization.
Referral incentive: reward both the referrer and the new customer with a small fixed-value credit toward services (avoid percentage discounts that scale unpredictably).
Membership/maintenance: monthly neck cleanup or beard maintenance plan to drive recurring revenue.
Local discovery and digital presence
Barber shops win on proximity and trust. Ensure customers can find the shop, see real work, and book quickly.
Core actions:
Google Business Profile: accurate hours, services, booking link, location photos, and regular updates.
Reviews: build a routine to request reviews after successful appointments; respond to all reviews professionally.
Website/landing page: mobile-first, clear pricing, staff bios, parking info, booking button, and FAQs (walk-ins vs. appointments, cancellation policy).
Social media: consistent posting of before/after cuts, short clips, transformations, and barber introductions; tag the neighborhood and local businesses.
Local SEO: include neighborhood terms, “near me” phrasing naturally, and consistent business information across directories.
Booking strategy and capacity management
Use an online booking system with buffers, service durations, and no-show controls. Balance appointments and walk-ins based on the shop’s traffic patterns.
Operational sales levers:
Reduce no-shows: confirmation texts, deposits for longer services, clear cancellation windows.
Increase rebooking: train barbers to recommend the next visit interval and book at checkout.
Chair utilization: monitor peak times, add staff coverage when demand supports it, and use off-peak promos to smooth the schedule.
In-shop sales and average ticket growth
Train staff to make service recommendations based on the customer’s look and maintenance needs without being pushy.
Add-on strategy examples:
Hair wash/conditioning add-on for customers who want a full refresh.
Beard line-up and hot towel service as a finishing upgrade.
Retail: curate a small set of reliable products (pomade, clay, shampoo, beard oil) and display with simple usage guidance and tester availability where appropriate.
Implement a consistent close: “Do you want to keep it tight in two weeks with a quick cleanup, or come back in four for a full cut?”
Partnerships and community marketing
Build referral pipelines through nearby businesses and community groups. Focus on partners with aligned customers and consistent foot traffic.
Partnership ideas:
Gyms and fitness studios: cross-promotions and member perks.
Coffee shops: flyers with QR booking codes; co-host small events.
Wedding vendors: photographers, venues, menswear stores for groom packages.
Schools and youth sports: team haircut days or seasonal campaigns (priced to protect margins).
Local employers: corporate grooming offers for nearby offices or service-industry staff.
Loyalty and retention
Retention is the primary growth engine. Build simple programs that encourage routine visits and reduce churn.
Options:
Visit-based loyalty (e.g., credit after a set number of services).
Membership tiers (e.g., monthly cut, cut+beard, maintenance plan).
Client notes and personalization: preferred style, guard numbers, beard shape, conversation preferences; use notes to improve consistency across barbers.
Sales process and customer experience standards
Define a repeatable experience that increases repeat visits and referrals.
Standards to document:
Greeting and check-in process; consultation questions and style confirmation.
Cleanliness and sanitation visible to customers.
Finishing routine (neck clean-up, product application, mirror check).
Checkout script: rebook suggestion, product recommendation if relevant, request for review/referral.
Promotional calendar
Plan campaigns around predictable peaks without relying on constant deals.
Examples: back-to-school, holiday season, wedding season, interview/graduation periods, sports playoffs, summer haircut refresh, and winter beard care.
Key metrics to track
Track a small set of metrics weekly to guide marketing spend and staffing decisions.
Core metrics:
New customers per week and source (Google, walk-in, referral, social).
Rebooking rate and average weeks between visits.
Chair utilization by day/time and no-show rate.
Average ticket (service + add-ons + retail) and add-on attachment rate.
Review volume and average rating trends.
Marketing spend vs. attributable bookings (using booking links/QR codes where possible).
Budget and resource allocation
Allocate budget to channels that drive local intent and repeat visits first: Google Business Profile optimization, review generation, basic paid local search if needed, signage, and referral incentives. Keep content creation lightweight but consistent (weekly photo/video cadence). Ensure the shop has operational capacity (staffing, booking flow) before scaling promotions.
Operations and Logistics
Operations and logistics for a barber shop should be designed around consistent service quality, efficient chair utilization, strong hygiene controls, and predictable inventory. This section should explain how the shop will run day-to-day: hours of operation, staffing model (employee barbers vs. chair rental), appointment and walk-in flow, sanitation routines, supply replenishment, and how you will maintain equipment uptime.
Location setup and floor plan
Describe how the physical layout supports throughput and customer experience.
- Barber stations: number of chairs, mirror/station storage, access to outlets, spacing for sanitation and movement
- Waiting area: seating, check-in point, retail display, beverage/water policy, customer flow from entry to chair
- Back-of-house: clean/dirty separation, towel storage, laundry handling, disinfectant station, staff break area (if applicable)
- Wash area: dedicated shampoo bowl(s) or wet station; splash control and cleaning procedure
- Accessibility and compliance: ramp/entry clearance, restroom access, local occupancy rules, signage requirements
Hours, capacity planning, and service mix
Explain how you will align hours and staffing to local demand patterns (before/after work, weekends, lunch). Define your core services and typical time blocks so you can estimate chair capacity.
Include:
- Standard service menu (e.g., haircut, fade, beard trim, shave, kids cut, line-up) and add-ons (hot towel, eyebrow, wash)
- Target service durations and buffer time for cleanup/reset between clients
- Peak-hour strategy: additional staffing, limited menu during peak, staggered breaks, or appointment-only windows
Scheduling and customer flow (appointments vs. walk-ins)
Clarify how customers will book and how queues will be managed to reduce no-shows and long waits.
Document:
- Booking channels: phone, online booking, in-person, social platforms
- Walk-in policy: how walk-ins are queued, estimated wait communication, cut-off times near closing
- No-show/late policy: grace period, cancellation window, deposits or card-on-file policy (if used), rescheduling rules
- Check-in process: greeting, service confirmation, stylist assignment, allergy/skin sensitivity notes for shaves and products
- Customer records: preferences, previous cuts, product usage, and any service cautions
Staffing model, roles, and training
Describe whether barbers are employees, independent contractors, or chair renters, and how that affects scheduling, supply responsibility, and customer ownership.
Operational roles to define:
- Shop manager/lead barber: opening/closing, cash handling, inventory checks, compliance, conflict resolution
- Barbers: service delivery, station sanitation, retail recommendations, rebooking
- Reception (optional): check-in, booking, retail sales, phone management, waitlist updates
Training and standards:
- Service standards: consultation steps, finishing, presentation, upsell boundaries
- Consistency checks: periodic skill reviews, photo references for signature cuts, customer feedback loop
- Hygiene and safety training: disinfectants, tool handling, blood exposure protocol, allergy considerations
Daily operating procedures (open/close)
Include a practical checklist to show control and repeatability.
Opening tasks:
- Power up equipment, verify tools and disinfectants, prepare towels/capes, set register/POS, check bookings and staffing
During-day tasks:
- Station reset after each client, towel/cape handling, restock consumables, maintain waiting area cleanliness, track walk-ins and wait times
Closing tasks:
- Deep clean stations and wash areas, disinfect tools and surfaces, laundry processing (in-house or bag for service), cash reconciliation, inventory spot-check, secure products and equipment
Sanitation, health, and risk controls
A barber shop’s logistics must emphasize hygiene and safety to protect customers, staff, and the business license.
Define procedures for:
- Tool disinfection: clippers, trimmers, guards, combs, scissors, straight-razor accessories, clipper vacuums (if used)
- Single-use items: blades, neck strips, disposable gloves, applicators; disposal method and storage
- Capes and towels: collection bins, wash temperature/chemical approach consistent with local guidelines, frequency and turnaround time
- Skin safety: pre-shave prep, handling nicks/cuts, first-aid kit location, incident logging and follow-up
- Ventilation and chemical storage: safe labeling, MSDS/SDS access, locked storage if needed
Equipment and maintenance
List critical equipment and how you will keep it operational to avoid service delays.
Equipment categories:
- Clippers/trimmers, guards, foil shavers, scissors, razors, blow dryers, neck dusters/brushes
- Barber chairs, mats, mirrors, stations, shampoo bowl(s), towel warmer (if used)
Maintenance plan:
- Daily: wipe-downs, blade cleaning, oiling, battery charging routine
- Weekly: deep clean tools, inspect cords/chargers, tighten chair hardware, check lighting and mirrors
- Monthly/quarterly: blade sharpening/replacement schedule, chair servicing, plumbing checks for wash station
Downtime mitigation:
- Backup clippers/trimmers, spare blades/foils, extra guards, and a small emergency kit stored on-site
Inventory, supplies, and vendor management
Describe what you stock, how you prevent running out, and how you avoid overbuying products that expire or collect dust.
Inventory categories:
- Consumables: disinfectants, clipper spray, neck strips, blades, shaving cream/gel, aftershave, cotton, gloves, paper products
- Laundry: towels, capes, aprons, detergent, stain removers
- Retail: pomades, clays, shampoos/conditioners, beard oils, grooming kits
Reordering approach:
- Minimum stock levels for critical consumables (especially blades, disinfectants, neck strips, and towels)
- Weekly inventory check cadence; assign responsibility (manager or lead barber)
- Vendor selection: reliability, lead times, return policy, and consistent product lines for customer rebuys
Receiving and storage:
- Check deliveries against orders, log discrepancies, store chemicals safely, rotate stock (first-in, first-out)
Payments, POS, and cash handling
Outline how transactions will be processed and controlled.
Include:
- Payment methods accepted and tipping workflow (in-app, card, cash)
- POS setup: services, add-ons, retail SKUs, tax settings, discounts, gift cards (if offered)
- End-of-day reconciliation: who closes the register, how cash is stored, deposit frequency, variance reporting
- Refund and redo policy: when refunds apply, service correction process, documentation in customer records
Retail and product merchandising logistics
If retail is part of revenue, show how it is managed operationally.
- Placement: retail wall or counter display near checkout, tester policy, theft control
- Staff process: product recommendation script, bundle offers, rebooking prompts
- Tracking: sales by product line, slow movers, reorder triggers, seasonal rotation
Laundry strategy
Specify whether laundry is in-house or outsourced and the operational implications.
- In-house: machine capacity, daily loads, drying time, storage for clean linens, backup towels for peak days
- Outsourced: pickup/drop-off schedule, minimums, contingency plan if service misses a delivery
Security and loss prevention
Provide practical controls appropriate for a small service business.
- Physical security: locks, alarm, camera coverage for entry/checkout (as permitted), secure storage for tools and retail inventory
- Access control: keys/codes issuance, termination/revocation process, manager-only areas
- Data security: POS logins, role-based access, secure handling of customer contact data
Contingency planning
Explain how you will keep operating or communicate clearly when disruptions occur.
- Staff absence: on-call list, rebooking process, client notification templates
- Utility issues (power/water): service limitations, closure thresholds, backup lighting or battery clippers if applicable
- Equipment failure: switch to backup tools, reschedule longer services, vendor repair contacts
- Demand spikes: waitlist rules, temporary appointment caps, standardized “quick service” options
Key operational metrics to track
Define what you will monitor to improve scheduling, staffing, and profitability.
- Chair utilization by daypart
- Average service time vs. booked time
- No-show and late-cancel rate
- Rebooking rate and repeat customer frequency
- Retail attach rate (percentage of services that include a retail sale)
- Product waste/shrink and stockouts
- Customer satisfaction signals: reviews, complaints, redo frequency
Human Resources & Management
The Human Resources & Management section should explain how the barber shop will be staffed, supervised, trained, and scheduled to deliver consistent service quality while controlling labor costs. Investors and lenders will look for a clear organizational structure, realistic hiring plans, compliance awareness, and a repeatable system for customer experience.
Management Structure and Key Roles
Define who is responsible for daily operations, service delivery, and financial control. Typical roles in a barber shop include:
Owner/General Manager: sets strategy, manages budget, pricing, vendor relationships, local marketing, and performance tracking.
Shop Manager (if separate from owner): oversees opening/closing, scheduling, inventory, customer recovery, and staff coaching.
Senior Barber/Lead Barber: supports training, maintains technical standards, mentors junior barbers, and helps manage chair rotation.
Barbers: deliver core services (haircuts, fades, beard trims, shaves where applicable), retail recommendations, and rebooking.
Reception/Client Coordinator (optional): manages bookings, walk-ins, POS, waitlist, client intake, and add-on prompts.
Apprentice/Junior Barber (optional): supports prep/cleanup and develops skills under supervision while complying with local apprenticeship rules.
Headcount Plan and Hiring Timeline
Describe your staffing levels at launch and how you will scale as demand grows. Align hiring with chair capacity and booking volume so labor does not outrun revenue. Clarify whether barbers will be employees, independent contractors, or a hybrid model, and how that choice affects scheduling control, training, and compliance. If using contractors, document how you will maintain brand standards without misclassifying workers.
Compensation Model and Incentives
Explain how barbers will be paid and how performance will be rewarded. Common approaches include hourly wage, commission per service, chair rental, or a tiered model. Regardless of structure, specify:
How tips are handled and reported through the POS.
Commission rules for add-ons (beard services, enhancements) and retail product sales.
Incentives tied to rebooking rates, punctuality, client retention, and customer feedback.
Policies for chargebacks, refunds, and no-show protections (deposits/cancellation fees if used).
Recruiting Strategy
Outline where you will source talent and how you will evaluate fit. Practical channels include local barber schools, experienced barbers new to the area, referrals, social media, and community events. Define your selection process:
Portfolio review and/or supervised practical cut (technical assessment).
Service simulation (consultation, hygiene, time management, upsell without pressure).
Reference checks and license verification where required.
Trial shift policy (if legally permissible) with clear pay terms.
Training and Standard Operating Procedures (SOPs)
Consistency is critical in a service business. Document how you will onboard and standardize the client experience. Include training for:
Client consultation: understanding style goals, hair type, growth patterns, and maintenance frequency.
Time standards by service type to keep schedules on track without rushing quality.
Sanitation and hygiene: tool disinfection, cape/towel handling, workstation resets, and skin safety for shaves/razor services.
Shop standards: greeting, music/ambience, retail display, chair reset, and end-of-day cleaning.
Upselling and retail: recommending products based on hair/scalp needs and explaining use without being pushy.
Handling complaints: redo policy, escalation steps, and documentation in the booking/POS system.
Scheduling and Labor Management
Explain how you will manage demand variability (after-work rush, weekends, seasonal peaks). Cover:
Appointment vs walk-in mix and how walk-ins are queued.
Minimum staffing by daypart (open, peak, close) and how breaks are covered.
Late arrivals, no-shows, and same-day cancellations (waitlist process).
Chair utilization targets (described qualitatively) and how schedules adjust based on booking data.
Cross-training reception duties to reduce bottlenecks during busy periods.
Performance Management
Define the metrics you will track and how often you will review them. Useful barber shop KPIs include:
Rebooking rate and repeat client share.
Service mix (haircuts vs beard services vs shaves) and add-on attachment rate.
Retail sales per client and product conversion rate.
Average ticket value by barber (used for coaching, not punitive comparisons).
Client feedback and review trends.
Punctuality, cancellation handling, and schedule adherence.
State how coaching happens (weekly check-ins, monthly 1:1s) and the process for corrective action if standards are not met.
Culture and Client Experience Standards
Describe the shop’s brand behavior in operational terms. Clarify expected communication style, inclusivity, professionalism, and how the team maintains a welcoming environment. Establish standards for language, cleanliness, music volume, phone use, and how clients are greeted and offered beverages (if applicable).
Compliance, Licensing, and Safety
Summarize your approach to regulatory compliance without listing exhaustive laws. Address:
License requirements for barbers and the shop, and how you will verify and track renewals.
Health and sanitation rules, including disinfectants, storage, and razor handling.
Employment compliance (payroll, taxes, workers’ compensation if applicable, required postings).
Data privacy for client records in the booking/POS system.
Incident reporting for cuts, allergic reactions, or other service-related issues.
Retention and Career Development
Keeping strong barbers is a major driver of stable revenue. Explain how you will retain staff through:
Clear earning potential and transparent pay calculations.
Consistent schedules where possible and fair distribution of walk-ins/leads.
Education support (advanced fading, beard work, customer service training).
Progression paths (Junior Barber → Barber → Senior/Lead → Manager) with defined expectations.
Contingency Planning
Show how the shop will operate if someone is out sick or demand spikes. Include a coverage plan (on-call list, adjusted booking limits, temporary reduced hours), and how you will communicate changes to clients while protecting the brand.
Conclusion
Why write a business plan?
- Business Plans can help to articulate and flesh out the business’s goals and objectives. This can be beneficial not only for the business owner, but also for potential investors or partners
- Business Plans can serve as a roadmap for the business, helping to keep it on track and on target. This is especially important for businesses that are growing and evolving, as it can be easy to get sidetracked without a clear plan in place.
- Business plans can be a valuable tool for communicating the business’s vision to employees, customers, and other key stakeholders.
- Business plans are one of the most affordable and straightforward ways of ensuring your business is successful.
- Business plans allow you to understand your competition better to critically analyze your unique business proposition and differentiate yourself from the market.
- Business Plans allow you to better understand your customer. Conducting a customer analysis is essential to create better products and services and market more effectively.
- Business Plans allow you to determine the financial needs of the business leading to a better understanding of how much capital is needed to start the business and how much fundraising is needed.
- Business Plans allow you to put your business model in words and analyze it further to improve revenues or fill the holes in your strategy.
- Business plans allow you to attract investors and partners into the business as they can read an explanation about the business.
- Business plans allow you to position your brand by understanding your company’s role in the marketplace.
- Business Plans allow you to uncover new opportunities by undergoing the process of brainstorming while drafting your business plan which allows you to see your business in a new light. This allows you to come up with new ideas for products/services, business and marketing strategies.
- Business Plans allow you to access the growth and success of your business by comparing actual operational results versus the forecasts and assumptions in your business plan. This allows you to update your business plan to a business growth plan and ensure the long-term success and survival of your business.
Business Plan Content
- Executive Summary
- Company Overview
- Industry Analysis
- Consumer Analysis
- Competitor Analysis & Advantages
- Marketing Strategies & Plan
- Plan of Action
- Management Team
The financial forecast template is an extensive Microsoft Excel sheet with Sheets on Required Start-up Capital, Salary & Wage Plans, 5-year Income Statement, 5-year Cash-Flow Statement, 5-Year Balance Sheet, 5-Year Financial Highlights and other accounting statements that would cost in excess of £1000 if obtained by an accountant.
The financial forecast has been excluded from the business plan template. If you’d like to receive the financial forecast template for your start-up, please contact us at info@avvale.co.uk . Our consultants will be happy to discuss your business plan and provide you with the financial forecast template to accompany your business plan.
Instructions for the Business Plan Template
To complete your perfect barber business plan, fill out the form below and download our barber business plan template. The template is a word document that can be edited to include information about your barber business. The document contains instructions to complete the business plan and will go over all sections of the plan. Instructions are given in the document in red font and some tips are also included in blue font. The free template includes all sections excluding the financial forecast. If you need any additional help with drafting your business plan from our business plan template, please set up a complimentary 30-minute consultation with one of our consultants.
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