Booth Rental Vs Commission as a Cosmetologist: Pros & Cons

Booth Rental Vs Commission as a Cosmetologist

There are lots of aspects that influence your success as a cosmetologist and the environment is one of them.

Working ina comfortable, supportive environment where you feel good, you can achieve success faster and easier.

Also, your working environment should provide you with a sense of satisfaction and recognition of your skills and talent.

Most cosmetologists think of salon when thinking about a perfect working environment.

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However, the truth is that it is up to you to decide what business model and working environment will work for you.

Among the most available options, there are renting a booth/chair or working for a commission.

Each of these options is really great as they allow you showing your skills, attracting new clients, and getting access to some professional facilities.

Choosing the best option you should consider such points as your financial status, professional goals, work style, and experience in the sphere.

While looking for a job, you need to think well whether renting a booth or working as a commissioned employee is suitable for you.

If you made the right decision, you’ll be able to feel satisfied with your job and career from your first day in the sphere.

The best thing about a cosmetologist career is that it offers lots of freedom so if you think you’ve chosen the wrong option, you can always change your decision.

Below, you can find info about both options so you can decide which one is better for you.

Renting a Booth in a Salon

If you decide to rent a chair in a salon, you should be ready to enter a tenant/landlord relations.

It is similar to renting an office in a large office building or renting accommodation in a living house.

These relations mean that a landlord leases out booths and workstations to different professionals for monthly rent.

This type of arrangement means that you have your own business the only point is that you don’t own the space.

In other words, while working in someone else’s salon, you aren’t an employee so you aren’t obliged to run your business according to the salons’ requirements.

Speaking of federal and state regulations, you are considered a self-employed specialist/independent contractor.

Paying monthly rent to the salon owner, you can expect that you’ll get access to a variety, mirror, hydraulic salon chair, and various utilities.

In most cases, you’ll be allowed to use hood dryers, towels, shampoo bowls, as well as a reception area provided by a salon.

If your landlord doesn’t provide all these supplies, you’ll be responsible for supplying everything on your own.

It includes such things as supplies, tools, and various styling products.

Working as an independent contractor, you can also sell some of the products you carry.

It can be a great way to get some extra income every month.

The Pros

  • You are your own boss and there is no one who dictates your schedule or your responsibilities.
  • You have greater flexibility and independence when it comes to your career prospects.
  • You have an opportunity to use those styling products you really like.
  • You don’t need to share your income with anyone except rental fees.

The Cons

  • You must pay your own benefits (health insurance, disability insurance, life insurance, etc.).
  • You must purchase all of the tools, implement, and products you use.
  • You are responsible for marketing and networking yourself so you can earn new business.
  • You need to have a state sales tax license as well as to collect sales tax on your services and retail sales.
  • You should manage your own accounting and clientele records as well as business records of all income and expenses.
  • You must pay your own state and federal taxes.

The Verdict

Usually, experienced cosmetologists that have already built some clientele base, have more chances to succeed when applying for a booth rental business model.

When you have a bunch of clients that will guarantee you some stable income, you can set up your own business faster.

Among other important aspects that can help you succeed in this sphere, there are self-discipline, great administrative, and marketing skills

It is important to keep a balance between handling the stylist’s responsibilities and administrative tasks.

Lots of cosmetologists use this option as a stepping stone for their own salon.

It is a great opportunity to learn about various issues related to owning and operating a salon.

Working on Commission

Applying for a commission-based job, you can become an employee in a beauty salon.

Just keep in mind that this type of career will provide you with a certain schedule as well as a wage that will be paid for you.

Also, you can expect some commission or a straight commission.

Working as a commissioned employer, you are going to have a certain part of the income you bring to your employer.

Usually, it is about 50% of the total income you generate monthly.

Also, in some cases, you can get some part of the income received from retail products.

It is usually about 10-15%.

The Pros

  • You don’t need to worry about administrative tasks and can focus on your craft.
  • You can get the support and knowledge of a salon while growing your own clientele base.
  • The salon handles the marketing so you don’t need to worry about bringing new clients.
  • You can negotiate a better commission structure after expending your clientele base.
  • You may enjoy a number of employee benefits including vacation time, health insurance, and sick pay.

The Cons

  • It is a salon that charges prices for your services.
  • Your schedule and hours are established by the salon owner/manager.
  • You must use the retail products the salon sells.

The Verdict

This model is a perfect option for beginners who don’t have their own clientele base so they benefit from an influx of new clients provided by a salon.

Also, it is great as the environment is very supportive that means that you can expect all the required help and support.

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