Salon Business Operations Flashcards

A salon's average ticket is $65 and it serves 800 clients a month. What is monthly service revenue?

Answer: $52,000

800 clients × $65 average ticket = $52,000 in monthly service revenue.

Which approach most effectively raises the average ticket without adding new clients?

Answer: Upselling add-on services and retail at checkout

Upselling treatments and retail increases how much each existing client spends per visit.

What is the purpose of a salon's SOP (standard operating procedure) manual?

Answer: To ensure consistent service and operations across staff

SOPs standardize how tasks are performed so every client gets a consistent experience.

Which insurance type protects a salon if a client is injured or has a reaction on the premises?

Answer: General/professional liability insurance

Liability insurance covers claims arising from client injury or service-related harm.

A salon wants to know which services are most profitable, not just highest-grossing. What should it analyze?

Answer: Profit margin per service after labor and product cost

Margin per service accounts for the labor and product costs, revealing true profitability.

Which scheduling practice reduces stylist downtime between appointments?

Answer: Building in processing-time overlap booking

Booking a second client during a first client's color processing time keeps the chair productive.

In the US, salon employers must generally comply with which wage rule for W-2 stylists?

Answer: Federal and state minimum wage and overtime laws

W-2 employees are covered by minimum wage and overtime laws even when paid on commission.