Find out the cost of running an aromatherapy salon

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Aromatherapy is one of the fastest growing industries in the United States. With its ability to reduce stress, increase relaxation and improve overall well-being, it’s no wonder more and more people are turning to it to deal with the daily strains of life. A thriving aromatherapy salon requires more than delicious essential oils and experienced therapists. It also requires diligent planning and measured financial investments. While the potential rewards undoubtedly make it a good idea to exercise good financial judgment upfront, many people are unsure of the exact costs of running a successful aromatherapy salon.

Knowing exactly what expenses are necessary for an aromatherapy salon to be successful is imperative for any informed business decision. It is also important to consider the costs associated with overhead once the salon is operational. These costs will include rent or lease payments, staff salaries, marketing, insurance premiums, raw materials, equipment maintenance, utilities, permits and professional services. There are myriad other costs that could be associated with running an aromatherapy salon, and understanding them is key to ensuring you have a clear view of the overall budget.

Operating Expenses

When running an aromatherapy salon, it is essential to consider a number of essential expenses for its day-to-day operations. A complete list of operating expenses should include:

  • Lease or lease payments
  • Staff salaries
  • Marketing
  • Insurance premiums
  • Raw materials
  • Equipment maintenance
  • Public services
  • Permits and licenses
  • Professional services

It is strongly recommended that you include a budget for each expense to track expenses and ensure the salon is running optimally.

Lease or lease payments

Costs associated with rent or lease payments are one of the largest expenses aromatherapy salon owners will encounter. As of 2020, the average cost of commercial rent in the United States is .80 per square foot per year . According to the U.S. Small Business Administration, rent expenses typically range from 5% to 10% of total income depending on the location, size, and age of the property, as well as whether the salon is located in a mall, shopping center or stand-alone building. It’s important for landlords to also remember to factor property taxes, maintenance costs and insurance coverage into their operating budget as well as the type of lease they are planning in, such as:

  • Net Lease – The lessee pays taxes, insurance and other expenses for the property.
  • Gross Lease – Landlord pays taxes, insurance and other expenses along with fixed amount rent.
  • Percentage Lease – The rent is a percentage of the salon’s revenue.
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It is important to remember that rent payments could vary depending on the location, size and age of the property. It is wise for landlords to plan to spend a minimum of 10-20% of their budget on rent and related expenses including property tax, insurance, repairs and maintenance to run a successful aromatherapy salon. . It’s also important to shop around for the best deals, as there are often discounts available for long-term leases or making rent payments up front.

Staff salaries

When it comes to running a successful aromatherapy salon, staff salaries are an integral part of any budget. The latest statistical information from the US Bureau of Labor Statistics shows that the average pay for massage therapists, manicurists and estheticians in 2019 ranged from .25 to .47 per hour, before tips. Also, the average salary for spa directors and managers in 2019 was .44 per hour, before tips. These rates may vary further depending on the qualifications, certifications and level of experience of individual employees.

It’s important to be aware of the latest salary and wage trends in the industry, so you can budget for your staff salaries. In addition to this, it is important to consider any bonuses or benefits you provide to your employees and any other employment costs you may have. These may include taxes, gasoline or car maintenance costs, uniforms, safety equipment, and other costs. Keeping a record of these expenses can help you budget payroll expenses accurately and ensure you’re up to date with the latest legal obligations.

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When planning the budget for a startup aromatherapy salon, an understanding of average operating costs is paramount. These costs will vary greatly depending on the size, location and services of the salon. One area to pay close attention to is the cost of marketing – an investment that typically ranges around ,000 to ,000 annually.

Marketing can be divided into three general categories: traditional advertising, digital advertising, and public relations. Traditional advertising usually involves the purchase of advertising time in television, radio, newspaper or magazine ads. The cost of such advertising varies widely, depending on the type of ad purchased, the audience reach, and the size of the ad purchased. Digital advertising is done entirely online, with costs for platforms such as Google, Facebook ads, Twitter ads and others ranging from 0 to ,000 or more per month. Public relations involves the development and implementation of a structured program that includes press releases, media stories, creative public relations campaigns, and similar initiatives.

Other potential marketing costs include the services of an experienced professional public relations agency or marketing consultant. Fees for these services generally range from ,000 to ,000 annually. There may also be additional costs associated with creating, printing and distributing marketing collateral such as brochures, flyers and postcards, and website design and maintenance.

Insurance premiums

When running an aromatherapy salon, the insurance associated with the cost of operation is an important factor to consider. Insurance premiums cover factors including liability for accidents or injuries and protection of property. In the United States, insurance costs are estimated at between 5% and 15% of net profit, depending on the size and scope of the business.

At a minimum, you should include liability insurance, covering you for any claims for damages or injuries that may be caused by you or your staff to a third party. This amount may differ depending on the size of the business, the geographic location and the nature of the treatment offered. It’s also important to consider insurance that covers theft, fire, and property damage, as these can be the most expensive incidents for small business operations.

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The SBA said in 2019 that the average cost of liability insurance was .22 per ,000 of coverage, with a median cost of .43. This important insurance provides financial protection in the event of a claim against your business. It’s also important to get as much coverage as you can afford, as legal fees can quickly add up.

Raw materials

As an aromatherapy salon, raw material costs are an important part of operating expenses. These costs are largely driven by the ingredients used in essential oil blends, therapeutic massage oils, and other body care products. According to the United States Department of Labor, in 2019 the average annual cost of essential oils and other raw materials for beauty salons was ,707 . This averages around ,309 per month.

When buying essential oils, it is important to remember that some oils are more expensive than others. For example, frankincense and lavender are common essential oils used in aromatherapy, but frankincense is more expensive than lavender. This means that you will need to adjust your budget accordingly and plan your purchases carefully to reduce your costs.

Another consideration when purchasing raw materials is quality. High quality oils and raw materials will last longer and have a more pleasant aroma than lesser quality materials. It’s important to compare prices, but it’s even more important to consider the quality of the ingredients you use. Fortunately, there are several reputable suppliers who specialize in high-quality essential oils and other raw materials.

When budgeting for raw materials, it is also important to consider the additional costs associated with shipping and handling. Many suppliers charge for shipping, so you’ll need to be sure to factor that into your budget. Additionally, it is wise to buy larger quantities of certain ingredients to get the best possible price. Finding the right balance of quality ingredients and price is key to keeping your operating costs low.

Equipment maintenance

Equipment maintenance is an essential part of running a successful aromatherapy salon. Properly maintained equipment helps ensure clients receive safe and effective treatments and experience the highest level of client satisfaction. In the United States, the average equipment maintenance costs for operating an aromatherapy salon in 2018 were ,525 per month.

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During an aromatherapy session, clients will likely use multiple pieces of equipment simultaneously. This includes scented oils, humidifiers, diffusers, galvanic machines and massage tables. All of this equipment should be inspected and maintained regularly.

To reduce costs associated with equipment maintenance, it is essential to adhere to preventive care techniques. That implies:

  • Dust, oil and lubricate all moving parts regularly
  • Inspect all electrical parts for wear
  • Replacement of filters used in humidifiers and other machines
  • Replacement of worn parts with original parts
  • Checking to ensure all equipment is operating safely

In addition to inspecting and repairing existing equipment, aromatherapy salons should also purchase new equipment every few years to stay up to date with the latest technology. Investing in new, quality equipment can reduce future equipment maintenance costs and improve the customer experience.

Public services

Running a successful aromatherapy salon can be a costly affair. One of the largest expense items is utilities. According to the Energy Information Administration, the average US household used 890 kWh of electricity and 68.3 therms of natural gas in 2019. The average cost of electricity in 2019 was 12.68 cents per kWh and the average cost of gas natural was .39 per therm.

In 2019, the United States spent approximately 2 billion on electricity , which included the cost of the electricity itself, transmission lines, and power plants. Total natural gas spending was estimated at 8 billion. The residential sector accounted for the largest portion of these electricity and natural gas expenditures. Costs for business and commercial establishments accounted for about a quarter of total electricity expenses and about a third of total natural gas expenses.

For those of you who run an aromatherapy salon, it’s important to pay close attention to the utility costs associated with your business. Considering electricity and natural gas costs, running an aromatherapy salon can easily exceed the average residential cost. Still, there are ways to reduce your energy costs.

  • Monitor your electricity and natural gas usage
  • Invest in energy efficient equipment
  • Install LED bulbs
  • Take advantage of energy rebate programs
  • Use programmable thermostats
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By keeping these costs in check and taking advantage of energy saving opportunities, you can ensure that your aromatherapy salon runs efficiently and economically. This in turn can help reduce operational costs and increase results.

Permits and licenses

When setting up an aromatherapy salon, obtaining proper permits and licenses is a necessary step. Depending on the location and type of salon, requirements may vary. However, the most common permits and licenses required for salon operations in the United States include business, zoning, and health certificates.

Applying for and obtaining the necessary permits and licenses can be expensive. Commercial licenses can cost anywhere from to 0 , depending on the state. Local zoning permits often cost a 0 to 0 as well. Finally, health certificates can cost to 0 and annual health inspections can range between 5 to 0.

The total cost of aromatherapy salon permits and licenses can add up quickly. For example, the total cost of permits and licenses for a salon located in the state of Illinois can run ,000 to ,500.

Finally, it is important to note that many states require salon owners to acquire additional permits and licenses specific to the products and services they offer. These additional permits and licenses may include massage, nail technician, and cosmetology. For example, the cosmetology license in Illinois requires passing an exam that costs per attempt. Similarly, renewing a license in Illinois can cost approximately to 0.

Professional services

The cost of running a successful aromatherapy salon comes with a variety of expenses. One of the most important areas to consider when running a professional business is the cost of offering professional services.

When operating an aromatherapy salon, owners should consider the cost of staff, the services provided, and the tools needed to run a successful business. According to the United States Small Business Administration, the cost of supplies needed to provide professional services can range from 6 to 1 per month.

In addition to the cost of supplies, hiring qualified professionals is also necessary to provide quality services to customers. According to the Bureau of Labor Statistics, the median pay for massage therapist in 2020 was ,777 per year or .50 per hour. The median salary for manicurists and pedicurists was ,150 per year or .09 per hour. Salaries for estheticians and skin care specialists varied widely in comparison, ranging from ,776 to ,653 per year.

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When considering the cost of providing services at an aromatherapy salon, consider the costs of the following services:

  • Massage
  • Manicures / pedicures
  • Facial treatments
  • Body wraps / scrubs
  • Aromatherapy treatments

By understanding the cost of providing professional services, owners can ensure their businesses are profitable. By factoring in fixed costs such as staff salaries and the cost of supplies, salon owners can create a realistic estimate of what it will cost to run a successful business.


When it comes to the expenses associated with running an aromatherapy salon, there is no one-size-fits-all approach. Depending on the size of the business, costs can range from hundreds to thousands of dollars each month. The key to a successful business is understanding the associated operating costs and budget accordingly. To ensure that the business runs smoothly, it is essential to consider rent or lease payments, staff salaries, marketing, insurance premiums, raw materials, equipment maintenance , utilities, permits and licenses and professional services.

It is also crucial to also consider the potential savings. For example, if the salon uses organic or certified cruelty-free essential oils, they may be able to save on raw materials – although this may mean the cost of other items, such as insurance or services. professionals, increases. There are also certain taxes, fees, and rebates that may be applicable to the business with respect to the costs associated with running an aromatherapy salon.

The most important takeaway is to be aware of all the costs associated with running an aromatherapy salon. Whether you’re an experienced entrepreneur or just starting out, making sure your finances are in order is essential. This will ensure that your business runs as efficiently and efficiently as possible.