Top 7 things to know before you think about raising money for your salon business

July 17, 20210
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The business of selling beauty and hair services is a challenging one, but it can also be incredibly rewarding. If you’re looking to expand your business and find the right customers and set up a salon space, it can be quite difficult without proper funding from angel investors.

To do so you need some strategies to attract the right type of angel investors for your business. However, because there are many wrong fits for you in the market which will eventually increase your trouble rather than solving it.

But that’s where these 7 tips come in handy — they’ll give you the inside scoop on how to get yourself out there as quickly as possible.

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1. Understand how your salon business works

The first step to raising money or finding angel investors for your salon is understanding how it works and why it works. The main goal of the business is to make profits, so the more money you can make, the more investors can be sought out.

It is also crucial that you know what expenses are to avoid on a spreadsheet for potential investors. Other things that should be discussed with an investor would include what equipment you plan to purchase and finance them.

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2. Don’t wait for an investor to find you

Don’t wait for an investor to find you — that’s completely out of the question. Instead, be proactive in the business and make it your priority to sell yourself as much as possible. Take time every day to create a new Facebook post, send at least one email every few days and reach out on Twitter. In addition, don’t wait for the right time or right person — be patient and continue pursuing opportunities.

However, we at salonshark also provide funds to the startup salon entrepreneurs or the ones who have been running their business for a long. Salon shark is a professional salon consultancy agency and we know how this business is run and how to grow it.

So, along with providing funds we also know who is the right community for you to be part of to attract more talent from your salon. Visit us at salonshark to know more,

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3. Do your research before you find an angel investor

You should do your research before you find an investor. Find out more about the person’s company than their personality, location and website. Try to figure out whether or not the person is using multiple companies for profit. Investing in multiple companies can lead to a conflict of interest, so try to avoid these situations and stick with one company until you find the best fit for both parties.

One key point to always remember is whether they are just the money provider or along with investment do they introduce to your new talent. One thing special about salon shark’s business funding is we know who the right people for your salon is. So along with the business fund, we help you capture and explore new markets in the salon industry.

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4. Have a proven track record.

Before you even consider getting the funds to open a new salon, make sure some highly credible business individuals say good about your brand. Whenever an angel investor invests some into your brand, he makes sure you are a legit entrepreneur. They just don’t invest money according to your personality.

Few aspects like how big are your clientele, how your customer feel doing business with you, how your vendors feel business with you, which attorneys represent you and do your taxes, did you have any lawsuits before or not. All these things are taken into consideration.

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5. Be big in your salon community

When raising money or finding angel investors, you must get as much advice as you can. You must do everything you can to earn recommendations from the people with whom you compete. This will help your chances of gaining a successful business and potential investors, showing that others are willing to listen to what they have to say.

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6. Be active on social media

Social media is a great way for salon owners to gain customers and expand their businesses. Your Flickr profile should be updated with photos of your work, your Yelp page should have reviews and your blog can include more information about your business. Try to encourage social media users to visit your salon’s website and ask them what they think about the posts. The more customers you can gain, the better chance you’ll have of finding a great investor.

We at salonshark with our advertisement services help you achieve this.

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7. Sell yourself above 

Selling yourself is crucial when going after investors or asking for funds. The key to this is being creative and knowing how to get value from each potential investor. No matter who they are, you should always ask for feedback on your business ideas. When you do so, try your best to understand what the investor wants in a business. If they tell you that he wants a similar salon but one that looks different, discuss this by showing them exactly what they want to see.

You should be prepared for your salon when opening up shop. It can be challenging to find an investor or raise money, but the more creative you are, the better chance you have at achieving your goals.

Conclusion

By using the above points, you should be able to successfully raise money, find an investor or land a great salon. The most important thing is to stay positive and not let negative things get to you.

These are few strategies that will help you make fewer mistakes while finding perfect angel investors for you. Getting an investor is like adding a new member to family so make sure he the right member and is professional in your industry like salonshark. 

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SalonSharkIndia
Our locationsWhere to find us?
https://salonshark.com/wp-content/uploads/2019/04/img-footer-map-3.png
Get in touch Social links
Taking seamless key performance indicators offline to maximise the long tail.