The landscape of the hair and beauty industry is continually evolving, and more professionals are venturing into the world of freelancing. Understanding and effectively managing your finances is a key component of ensuring sustainable success. Here, we break down essential financial tips to set you on the right path in 2023.
Choosing Your Freelance Path
Starting your freelance journey can take various forms. Renting a chair or space within an existing salon remains a popular option. You might pay a fixed monthly fee for unlimited chair use, negotiate a daily rate, or agree upon a revenue split, such as 60/40 in your favor. These arrangements offer flexibility while building your client base.
If you prefer to be a mobile or home-based freelancer, you need to determine your desired monthly income. To calculate this, consider your monthly expenses, including:
WiFi
Utilities
Phone
Products
PPE Equipment
Retail Stock
Virtual Office/Assistant
Advertising
Insurance and Licenses
Accountancy Fees
Booking and Accountancy Apps
Travel Costs
Don't forget to include any setup costs, such as a travel kit for mobile work or furnishings for your home salon. Once you've estimated your monthly expenses, total them and multiply by 12. Add your desired annual salary and divide the sum by 12. This calculation yields the amount you need to earn each month.
With a clear monthly earnings goal, you can determine the number of clients to serve during your chosen working hours, helping you establish your final service rates.
Calculating Your Costs with Online Tools
Explore online calculators like calconic.com, which allow you to input expenses, including your desired salary, to calculate your pricing. Additionally, consider offering add-on treatments or services to maximize your time with each client, boosting your earning potential.
Periodic Pricing Review
Regularly review your pricing, primarily based on your costs. Have your expenses increased over the past year? If so, evaluate the reasons behind these changes and consider passing them on to your clients. Additionally, keep an eye on inflation; many businesses increment their prices by approximately 10% each year to accommodate this, so don't hesitate to follow suit.
Maintain an organized record of your monthly expenses using spreadsheets or accounting apps, and update them each month to stay on top of any adjustments.
Managing Your Finances
While it's essential to set financial goals and cashflow plans, never neglect the day-to-day handling of your expenses and taxes.
To streamline your finances, you have several options:
Accountant: Hiring an accountant for a monthly fee is an efficient choice. They handle tasks like VAT returns and Self-Assessments, ensuring compliance with tax regulations.
Online Software: Utilize online accounting software like QuickBooks, offering straightforward packages from as little as £6 per month. It simplifies the financial management process. You can record expenses, issue invoices, and manage your books efficiently.
Hybrid Approach: Manage your day-to-day expenses and invoicing through accounting software like QuickBooks, and when it's time for tax returns, consult with an accountant for guidance.
Consider alternative accounting apps like Xero, which provides desktop and mobile apps to record expenses in real-time, making the Self-Assessment process less daunting.
Stay on top of your financial well-being and continue your journey towards freelancing success. For more tips and insights, explore our blogs on the Freelancer Focus web page or download our comprehensive Freelance Focus Guide.
Freelance Focus, is a one stop resource for anyone working as a freelancer or thinking of going freelance in the hair & beauty industry, which includes a FREE downloadable guide filled with advice, useful insights, experiences and tips (from experienced freelancers) to help you understand the steps needed to make the right choices for you.
Introducing Chantelle, a talented beautician, hair extension specialist and proud owner of ‘Chantelle’s Beautique’. We sit down with Chantelle as she tells us how she started out in the industry, her top tips for becoming self-employed, struggles she faced and overcame along the way and her favourite products that she can’t live without!
My treatment room is based in my garden at home and I offer a full range of Hair and Beauty treatments specialising in skin care, brows & hair extensions. My clients love my set up and really appreciate the little touches like being able to park with ease and having more of a cosy experience away from the hustle and bustle of a busy salon. As well as running my own business at home, I also enjoy teaching others on their journey starting out in the trade with my own accredited courses at home as another branch of my business called ‘The Hair and Beauty Training Beautique’. You may also see me in your local Capital Hair & Beauty as I also tutor for one of their training providers ‘Face Forward’ offering brow lamination and lash lift and tint courses.
Sophie gained a wealth of experience working in the industry from her background working in prestigious 5 hotel & spa and salon settings which lead her up to starting a business of her own. We talk about all things beauty and the curved tweezers that she can’t live without!
Hi Sophie, tell us a little bit about your journey and how you go into the industry and what lead up to starting out on your own?
I gained a lot of knowledge from working in different settings from working with a big teams in a 5 star hotels and spas to smaller beauty salon environments. I gained so much knowledge from working in both settings and although it was hard work and long hours.
I started out by working in a few different 5 star hotels with spas and a salons where I gained all my knowledges and experiences from each one to put together for my own business! It was hard work and long hours all the practice paid off. It was actually one of my clients I saw regularly in the salon I worked at that said I should set up on my own and gave me the confidence to go self-employed and I’ve not looked back since!
As professionals in the hairdressing industry, we're well aware of the constant innovation occurring in our field. Our clients love to dramatically alter their look with the ever-changing trends and we do everything we can to prioritise the health of their hair. Bond-building treatments have long been a staple in salons to address this need. However, allow us to present the latest advancement: biomimetic hair science and K18!
Understanding the Future of Haircare: From Bond Builders to Biomimetic Hair Science
For centuries, the haircare industry relied on cosmetic chemistry to conceal damage. Historical solutions like oils and conditioners were designed to sit on the surface of the hair, providing a temporary fix by improving its appearance and manageability. However, these solutions fell short of addressing hair's health at its core.
Learn how to leverage K18 products in your salon services to reverse damage, fortify hair and enhance salon results all whilst boosting your salon profits. Discover our step-by-step instructions for every treatment, from lightening to styling in our handy salon go-to guide!
Following the natural structure of hair, the biologically active peptide is considered natural. Unlike traditional bonding agents, it is not rinsed away by water or shampoo, making K18 a genuine and enduring remedy for damaged hair. Healthy hair originates in the salon, and K18 believes its influence starts at the salon chair and radiates outward. While K18 is suitable for all hair types and services, the most significant improvements are seen in damaged hair.
Have you ever noticed how closely linked your mind and body are? It's like they're always communicating, even when we're not tuned in.
And when stress creeps in, it's not just your mind that feels the burden – your skin and hair can take a hit too. Stress, whether it's a short-term or a long-term problem, can be detrimental to your body's health.
In fact, a recent survey by the UK’s largest independent supplier to hair and beauty professionals, Capital Hair and Beauty, revealed nearly half (42%) of the nation believe that stress has had a negative impact on their skin and hair health!
Last year, Brits faced their fair share of hair and skin woes.Topping the list was the recurring issue of dry skin, affecting a significant 29% of the population. Not too far behind was hair thinning/loss, troubling over a fifth (22%) of us, while acne and breakouts are also a cause for concern, affecting 19% of survey respondents. And let's not forget about skin inflammation (12%) and eczema (11%).
Does the bob ever go out of style? Short answer: No. The reason for the evergreen appeal of the bob is because, depending on the length, it’s a look that can suit any face shape or hair texture. Right now, it can be anything from a short and swingy French girl bob, a luxurious long bob, or a razor-cut curly bob. For Tori Kiff, it’s about keeping things fresh with the addition of a fringe.
“I love updating a classic curly bob with a fringe, especially as so many of my curly clients seem to think it’s a style they shouldn’t have. I’ve managed to show so many clients that it’s all down to fear and that actually, a curly bob is so flattering and easy to style; I advise them to use their fingers to curl their fringes or to use a brush when styling,” shares Tori.
Of course, the most modern way to wear a bob is the Bixie, a hybrid of the bob and pixie; think classic bob updated with a fringe or micro bangs, or you could play with the Butterfly Bob. RUSH Creative Director Andy Heasman’s a fan.
If you ever spend time on social media, then you'll definitely have heard about skin cycling, or skin fasting. During the pandemic, this three-step regime rose to popularity as many of us had more time to spend on pursuing our 'perfect' skin. Read on to find out the what and why of skin cycling and how you can build it into your beauty therapy menu.
Newsletter sign up
* Required fields are marked with an asterisk.
Marketing Communications
Email: Stay up to date with the latest news, offers and ideas.
Text: Be alerted when we have a VAT Free sale or exclusive promotions.
Post: Receive our bi-monthly mailer full of offers and new products.
Privacy Statement
This privacy policy sets out how Capital Hair and Beauty Ltd (CHB) uses and
protects any information that you provide when using the
capitalhairandbeauty.co.uk website or otherwise provide CHB with your
personal information.
CHB is committed to protecting your privacy. If we ask you to provide
certain information by which you can be identified when using the website,
you can be assured that it will only be used in accordance with this
privacy policy. We treat all your personal information as fully
confidential and do not pass your information on to third parties without
consent unless legally required to do so.
By providing us with your personal information, you agree and consent to
its transfer, processing, use and disclosure as outlined in this privacy
policy. This policy does not apply to data you place on any publicly
accessible page. For example, when you submit a product review.
CHB may change this policy by updating this page. You should check this
page from time to time to ensure you are happy with the changes. This
policy is effective from 21st May 2018.
What personal data will be processed?
When you shop on this site or in one of our stores, personal information such as your name, email
address, phone number, invoice/delivery addresses, type of business and, where applicable the IP address used
to connect your computer to the internet are collected by us. This data
enables us to process and fulfil your order or transaction. We also ask for your mobile
number, which helps us (and courier companies working on our behalf) to
contact you if there’s a problem with your order.
Other information we collect
We may collect technical information regarding the type of electronic
device used, such as the make and model, operating system, internet browser
and also which pages of the site are visited and for how long. This is
statistical data about our users' browsing behaviour and does not identify
you personally. Debit/credit card details are entered on secure pages
hosted by our payment service providers, whether this be Secure Trading or
PayPal, this data is stored securely on their servers, we do not have
access to this. Where card details are given for payment processing over the phone, we do not record or store these details.
We also use CCTV in our stores for the security of our employees and customers.
How will we process data?
Personal data collected is used in the processing and delivering of orders.
Names, email addresses, mobile numbers, postal addresses and business type
may also be used to send you marketing communications (if you have opted in
to receive them). You can opt out of these at any time by visiting ‘my
preferences’ in your online account.
Browsing behaviour data is collected and analysed to see how well our
website is performing on a variety of electronic devices and internet
browsers.
We also use this data for remarketing in conjunction with Google, which
allows us to display adverts to you on third party websites after you have
visited our website. To opt out of this please visit Google’s ad settings.
Who will process data?
Personal data is stored on secure servers, separate to the website server.
We may share this information with third party service providers employed
by us to perform functions on our behalf, such as courier companies
delivering orders, mailing companies sending postal mail, email service
providers sending emails and texts (SMS) and payment service providers
processing payments. PayPal transactions are subject to the PayPal privacy
policy.
We may also share certain data including email addresses (if you are opted
in to receive emails from us) with third party social media platforms in
order to show you targeted ads when you visit them. Third parties such as
Google use cookies to store browsing behaviour data, which enables us to
use their remarketing services. Please refer to our cookie policy for more
information.
Why are we processing data?
We require this information to provide you with a service (processing
orders), it also helps us to ensure that content on our sites is presented
in the best way for you and the electronic device used to access the
content. To send you information regarding our products or services (if
requested by you), protect you and us against fraud and to notify you about
changes to our service.
When will data be processed?
This data will be processed when your order is picked, packed and
dispatched by our distribution centre, or if you enter a competition or
free prize draw. It will also be used every time we send a marketing
communication, if you have opted in and the communication is deemed by us
to be relevant to you.
Any user specific browsing data will be retained for 26 months after you
last visited our site, after which time it will be deleted.
Unsubscribing from marketing communications
To unsubscribe from marketing communications please visit the ‘my account’
section of your online account and select ‘my details and preferences’. You
can then change your opt in preferences for email, text and post.
Alternatively simply click on the unsubscribe links that are sent out with
each email/text or get in contact with us.
Right to access your data
You have the right to request a copy of the data we hold about you, or to
have your data erased in certain circumstances. Please contact us if you’d
like to request this. Please note that depending on your interactions with
us, some data may need to be retained due to legal requirements.
This policy was last updated on 23rd May 2018
You must be logged in to add products to your favourites
