How does a salon owner make money in a chair rental type salon?

I am thinking of buying a salon that rents the space to the stylists and they pay the owner a weekly rent. How does the salon owner make any money? If I'm paying rent on the actual building, utilities and all the other costs but I';m only taking in what they pay me in rent how does that work as opposed to having commissioned employees that I give 50% of their ticket?How does a salon owner make money in a chair rental type salon?
your paying $1000 a month mortgage etc you have 10 chairs rented they all pay 100 month rentHow does a salon owner make money in a chair rental type salon?
it's either that or you take a percentage of each sale from each hairdresser - So people actually do hairdressing and only get to keep 50% of their sale? that doesn't seem like a very good deal for the worker actually doing the work - maybe paying the owner 30% or something like that, plus as the owner, if you have your own customers, you keep 100% of that money
First of all look at the current owner's books and see how much money they are making. As long as your expenses are less than the rental income, and you are a hairdresser getting free space, you make money!


If you have employees that you are paying, you must deduct income tax, match the FICA, pay unemployment taxes, workmans' comp, etc. so your expenses are much higher than having independent contractors.
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