The Basics

• In its January 2007 report, the Academy of Cosmetology states that of the nation's approximately 370,215 salons, the typical salon is a small operation with no more than three full-time workers and two part-time workers. Salon owners report their average number of clients as 127 per week. In addition to the revenues salon owners receive from being cosmetologists and beauticians themselves, they also collect a percentage of the earnings of their employees. Salon owners are typically paid in cash.
  
  

The Numbers

• Because of the inconsistencies in salary structure, commissions and bonus payments, the Bureau of Labor Statistics does not list an annual salary for cosmetologists and other personal appearance workers. Instead, it lists the average hourly salary at $11.13, including commissions, as of 2008. The highest 10 percent of earners make $20.41 per hour as of 2008 while the lowest 10 percent of owners make $7.47 per hour as of 2008. In comparison, the Phagans' School of Cosmetology lists the average salary of salon owners at $22.03 per hour and $45,822 annually as of 2006. This number would represent the highest 10 percent of earners listed by the bureau's report. Based on a 50-percent commission rate, the school lists the average salary for all cosmetology professionals at $18.54 per hour.
  
  

Barbers

• Salons may be associated with women for hair, skin and nail care, but barbers may also own salons. Additionally, they typically work as employees in these salons. Much like other salon owners, barber salon owners collect a percentage of their employees "chair" (or earnings from haircuts). This amount varies according to the salon. Hair cuts vary between $8 and $20, according to a May 2010 article for UWebBit about barber salaries. With tips and income for other services such as facial shaves, a barber may earn between $500 and $800 weekly according to the article. Thus, a barber who owns a salon and works in the salon daily can earn more weekly.
  
  

Maximizing Salaries

• As is the case with other business owners in other professions, salon owners are in business to make a profit and pay themselves. This is generally dependent on a number of factors, including how well the salon is marketed to gain new clients, the quality of its service in retaining existing clients, and the training of staff members in areas of customer service and technique. A January 2008 article for Getsomehairapy.com reports that the average salon retains roughly 30 to 50 percent of its first-time clients. As such, the article suggests that the retention of clients, new and old, is the key to salon owners being successful.