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Blow Dry Bar Business Plan

Published Oct.11, 2023

Updated Sep.14, 2024

By: Brandi Marcene

Average rating 5 / 5. Vote count: 5

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Blow Dry Bar Business Plan

Table of Content

Launching a blow dry bar takes meticulous preparation. The blow dry bar business plan lays out goals, strategies, and steps to get started. It assists with funding, attracting customers, and identifying challenges. This roadmap helps craft a path to opening successfully.

But, how to start a blow dry bar business? This article guides you through the steps and tips on such a business’s trends, costs, earnings, and challenges.

Pros and Cons of Dry Bar Business

Before you decide to start a blow dry bar business, you should weigh the pros and cons of this venture, as we highlighted in our wine bar business plan . Here are some of the advantages and disadvantages of running a blow dry bar:

  • Low start-up costs – Unlike other salons, a blow dry bar requires less equipment and inventory, which can lower your initial investment.
  • Flexible location and hours – You can choose a location that suits your target market and set your hours of operation based on the demand for your services.
  • High demand – Styling services are in high demand, especially for special events like weddings, parties, or interviews. You can also attract regular clients who need weekly or monthly blowouts.
  • Potential for expansion – You can add services to your menu, such as haircuts, color, or extensions, to increase your revenue and customer base. You can also open multiple locations or franchise your business model.
  • High competition – The beauty industry is highly competitive, and you may face many rivals in your area who offer similar or cheaper services. You must differentiate yourself from them by providing excellent service, quality products, and effective marketing.
  • Long hours – You may need to work long hours, including weekends and holidays, to meet your clients’ needs. You will also need to manage your staff, inventory, finances, and other aspects of your business.
  • Finding skilled stylists – It can be challenging to find and retain skilled stylists who can deliver consistent and satisfactory results for your clients. You must provide them with ongoing training, support, and incentives.
  • Marketing and advertising costs – You must invest in marketing and advertising to attract and retain new clients. This may include creating a website, social media presence, flyers, coupons, or referrals.

Blow Dry Bar Industry Trends

The blow dry bar industry is a growing segment of the beauty industry that has been gaining popularity in recent years. According to IBISWorld : 

  • The blow dry bars industry in the US generated $12.7 billion in revenue in 2022
  • The blow dry bars industry has grown at an annual rate of 5.7% from 2017 to 2022. 
  • The market size of the Blow Dry Bars industry increased 12.7% in 2022.

Some of the factors that contribute to this growth are:

  • The increasing popularity of social media and online platforms
  • The rising disposable income and spending power of consumers
  • The growing demand for specialized and personalized services
  • The emergence of new technologies and products

Blow Dry Bar Industry Size and Growth Forecast

According to IBISWorld , here are some interesting stats about blow dry bars operating in the US in 2023:

  • Blow Dry Bars Businesses in the US in 2023 – 29,533
  • Blow Dry Bars in the US Business Growth in 2023 – 10.6%
  • Blow Dry Bars in the US Annualized Business Growth 2018–2023 – 10.5%
  • Blow Dry Bars Employees in the US in 2023 – 187,600
  • Blow Dry Bars in the US Employment Growth in 2023 – 8.7%
  • Blow Dry Bars in the US Annualized Employment Growth 2018–2023 – 9.5%
  • Blow Dry Bars Wages in the US in 2023 – $7.4bn
  • Blow Dry Bars in the US Wage Growth in 2023 – 8%
  • Blow Dry Bars in the US Annualized Wage Growth 2018–2023 – 8.6%
  • The average Blow Dry Bars business in the US has 5.8 employees.
  • The average wage per employee in the Blow Dry Bars industry is $188k in 2023.

Blow Dry Bar Services

A typical blow dry service includes washing, drying, and styling the hair according to the client’s choice from a preset menu of styles. The styles may vary from classic to trendy, straight to curly, sleek to voluminous, etc. The service usually takes about 45 minutes and costs between $30 and $50.

Some blow dry bars also offer additional services, such as:

  • Haircuts – The price for a haircut may range from $20 to $80, depending on the length and complexity of the cut.
  • Color – The color price may vary from $40 to $200, depending on the type and extent of the color service.
  • Extensions – The price for extensions may range from $100 to $500, depending on the quality and quantity of the extensions.
  • Braids – The price for braids may range from $10 to $50, depending on the style and complexity of the braids.
  • Updos – The price for updos may range from $50 to $100, depending on the style and difficulty of the updo.

How Much Does It Cost to Start a Blow Dry Bar?

The cost of starting a blow dry bar can vary depending on several factors. Based on our research and experience, we have estimated an average starting cost of approximately $29,000 (excluding wages) for launching a blow dry bar concept. (Please note that this is only an estimate, not a definitive figure.)

Here is a breakdown of the estimated startup expenses for a blow dry bar business:

RentMonthly rent for the location$5,000
EquipmentHair dryers, brushes, styling tools, etc.$10,000
FurnitureChairs, mirrors, counters, etc.$8,000
InventoryShampoos, conditioners, styling products, etc.$2,000
MarketingWebsite development, social media, flyers, etc.$3,000
Licenses and permitsBusiness license, zoning permit, health permit, etc.$1,000

Total Startup Expenses For Blow Dry Bar Business

How Much Can You Earn from a Blow Dry Bar Business?

The earning potential of a blow dry bar franchise depends on several factors. Based on our research and experience, we have estimated an average annual revenue of approximately $468,000 for a single blow dry bar salon. (Please note that this is only an estimate, not a guarantee of income.)

Here is a breakdown of the estimated annual revenue for a single blow dry bar salon:

BlowoutsAverage number of clients per day: 20

Average price per service: $40

Average number of days open per year: 300

$240,000
HaircutsAverage number of clients per day: 5

Average price per service: $50

Average number of days open per year: 300

$75,000
ColorAverage number of clients per day: 2

Average price per service: $100

Average number of days open per year: 300

$60,000
ExtensionsAverage number of clients per month: 5 

Average price per service: $20

Average number of days open per year: 300

$30,000
BraidsAverage number of clients per day: 3

Average price per service: $20

Average number of days open per year: 300

$18,000
UpdosAverage number of clients per day: 2

Average price per service: $75

Average number of days open per year: 300

$45,000

Blow Dry Bar Business Plan - Total Annual Revenue For Blow Dry Bar Salon

This is just a hypothetical scenario; you can adjust the numbers according to your situation and goals.

What Barriers to Entry Are There for Starting a Blow Dry Bar?

The barriers to entry for starting a blow dry bar business are relatively low compared to other types of salons. However, there are still some challenges and obstacles that you may face when entering the market. Some of them are:

  • High Startup Costs – Opening a blow dry bar requires major upfront investments in prime retail space, professional equipment and inventory, and marketing costs.
  • Highly Competitive Industry – Breaking into the competitive blow dry bar industry requires heavy promotions and discounts to attract clients from established brands.
  • Staffing Challenges – Staffing a blow dry bar with skilled, experienced stylists demands high wages and extensive training for recruitment and retention.
  • Regulatory Requirements – Opening a blow dry bar requires obtaining licenses, permits, health inspections, and zoning approvals to meet legal and regulatory requirements.

Create a Blow Dry Bar Business Plan

A business plan is a document that outlines the goals, strategies, and actions of your blow dry bar business model. A sports bar business plan helps you organize your ideas and thoughts into a coherent and logical structure that guides you through starting and running your business.

A typical blow dry bar business plan sample consists of several sections that cover different aspects of your business, which include:

  • Your mission statement, vision statement, and value proposition
  • Your target market, customer segments, and competitive advantage
  • Your products and services, pricing and revenue model, and marketing and sales strategy
  • Your financial projections, funding requirements, and exit strategy
  • Company description – A detailed description of your business that explains the background and history of your business, the legal structure and ownership of your business, the goals and objectives of your business, and the core values and culture of your business.
  • Industry overview
  • Market segmentation
  • Competitive analysis
  • Product/service description
  • Pricing strategy
  • Revenue model
  • Marketing strategy
  • Sales strategy
  • Income statement
  • Cash flow statement
  • Balance sheet
  • Break-even analysis
  • Financial ratios
  • Funding amount
  • Funding purpose
  • Funding terms
  • Funding sources
  • Resumes of key team members
  • Market research data or reports
  • Customer testimonials or feedback
  • Product samples or prototypes
  • Licenses or permits

Register Your Blow Dry Bar Business

Before starting your blow dry bar business, register your business name and entity with the appropriate authorities. This will help you to establish your legal identity, protect your brand, and comply with the tax and regulatory requirements.

To register a blow dry bar business, you need to follow these steps:

Step 1: Choose a business name and structure – Decide on a unique business name that is available and not trademarked. Choose a business structure such as sole proprietorship, partnership, LLC, or corporation.

Step 2: Register your business name – File a Doing Business As (DBA) name with your state/county clerk’s office if you choose a different name. You can search for available business names on the United States Patent and Trademark Office (USPTO) website.

Step 3: Obtain an Employer Identification Number (EIN) – This tax identification number ensures your business is set up to pay taxes.

Step 4: Obtain business licenses and permits – Apply for a federal tax ID number, state tax ID, and local business licenses and permits required by your state and municipality. Common permits needed are sales tax permits and health department permits.

Step 5: Comply with regulations – Make sure your blow dry bar complies with zoning laws, building codes, OSHA requirements, disability access, and other applicable regulations.

Step 6: Get business insurance – Purchase general liability insurance, workers’ compensation insurance (if hiring employees), property coverage, and other recommended insurance.

The key documents needed are: 

  • Business name registration form/application, 
  • DBA form, 
  • Federal EIN, 
  • State/local business licenses and permits, 
  • Insurance certificates and 
  • Tax registration documents.

Register Your Blow Dry Bar Business for Taxes

Here are the key steps for registering a blow dry bar business for taxes:

Step 1: Apply for an Employer Identification Number (EIN) from the IRS. This is like a social security number for your business for tax purposes. File IRS Form SS-4.

Step 2: Register with the IRS to pay federal taxes. For a sole proprietor, you would fill out Schedule C and your personal 1040 tax return. You need to file IRS Form 2553 for an LLC or corporation to choose your business tax classification.

Step 3: Determine if you need to collect sales tax in your state. Register with your state taxation department to obtain any required sales tax permits.

Step 4: Check if you must register for special state or local business taxes. Some locations require registration for payroll taxes, excise taxes, etc.

Step 5: Set up a payroll tax account with the IRS if hiring employees. File Form SS-4 for an EIN (if you don’t already have one) and Form 2678 for payroll tax.

Step 6: Understand estimated quarterly tax payments you may need to make at both federal and state levels based on expected business income.

Step 7: Set up a record-keeping system to track all business transactions, income, expenses, payroll, etc., to prepare your taxes.

Step 8: Comply with any other licenses, permits, or registrations required by your state or locality.

Fund a Blow Dry Bar Business

Here are some potential sources to fund the blow dry bar franchise opportunities:

  • Personal Savings – Self-fund with your savings.
  • Friends and Family – Ask for investments from close relationships.
  • Business Loans – Borrow from banks/lenders to cover start-up costs.
  • SBA Loans – Government-guaranteed loans with favorable terms.
  • Crowdfunding – Raise funds from many investors via an online platform.
  • Business Credit Cards – Use intro 0% APR offers to finance purchases.
  • Grants – Apply for free government or private organization grants.
  • Angel Investors – Get equity investments from wealthy individuals.

Permits and Licenses for Blow Dry Bar Business

Here are some common permits and licenses that may be required to operate a blow dry bar business in the United States:

  • Business license – Register your business with the city/county.
  • Sales tax permit – Allowed to collect and remit sales tax to the state.
  • Cosmetology license – Individual license to provide hair services beyond blow drying.
  • Shop license – Business permit to operate a hair/blow dry salon.
  • Building permits – Approval for construction and renovations.
  • Health department permit – Approval to meet sanitation requirements.
  • Business insurance – Protects against risks like property damage and lawsuits.
  • Music licensing – Permission to play copyrighted music publicly.
  • EIN – Federal tax ID number for employing workers.

OGSCapital for Your Blow Dry Bar Business Plan

As business plan experts, our team at OGSCapital has worked with entrepreneurs worldwide to craft customized business plans. With decades of collective experience, we possess the expertise to help you analyze the competitive landscape, create accurate financial projections, and craft a unique brand identity for your blow dry bar. 

Our franchise business plan consultants know what investors look for and can position your business for funding success. Partner with OGSCapital for an insightful, comprehensive plan that converts to real-world success. Call today for a free consultation on jumpstarting your blow dry bar dreams!

Frequently Asked Questions

How profitable are dry bars.

Dry bars have high-profit margins, averaging 35-55%, as there is little inventory or waste. Revenues depend on location, competition, and marketing effectiveness. Check our restaurant business plan sample to know more.

Why is Drybar so successful?

Drybar’s success stems from strong branding, trendy styles, and providing an enjoyable customer experience. Their fun atmosphere and emphasis on making women feel pampered keep customers returning. Refer to our bar business plan for a better understanding.

How does a blow Drybar work?

Blow dry bars offer quick blowouts, styling, updos, and hair treatments in a salon setting without cuts or coloring. Customers can get styled for events or their everyday looks conveniently and affordably.

OGSCapital’s team has assisted thousands of entrepreneurs with top-rated document, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.

Brandi Marcene

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SharpSheets

Expert business plan and financial models

SharpSheets

Drybar Franchise Costs $551K – $870K (+ 2024 Profits)

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  • June 24, 2024

a customer in a Drybar franchised salon

Drybar , a distinctive salon franchise , specializes in blowouts, offering a focused service that emphasizes simplicity and excellence in hairstyling without cuts or color. Founded in 2010 by Alli Webb, Michael Landau, and Cameron Webb, Drybar transformed from a mobile operation into a robust brick-and-mortar model that quickly grew to prominence.

The company started franchising in 2011 and is headquartered in Irvine, California, with a substantial presence across the United States. The concept behind Drybar is rooted in a singular focus—providing high-quality blowouts in a chic, bar-like environment where services are named after cocktails, enhancing the customer experience with a unique and enjoyable twist.

This specialization in blowouts allows Drybar to offer an expert service in a market filled with more traditional, full-service salons. The interior design of Drybar salons also reflects a meticulous attention to detail, creating a welcoming and stylish atmosphere that invites customers to enjoy their experience as if they were in a social gathering spot rather than a traditional hair salon.

Find out how profitable a Drybar franchise (really) is

and 2,124 other brands just like it.

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dry bar business plan

Initial investment

Here’s what you can expect to spend to start a Drybar franchise.

Type of ExpenditureAmount
$50,000
Real Property, Utility, and Other Security Deposits$1,500 – $9,000
Leasehold Improvements (net of landlord tenant allowances)$198,800 – $369,000
Cabinetry, Millwork, Furniture, and Décor$75,200 – $113,300
Initial Opening Package$54,000 – $57,000
Initial Software SetUp and Technology Fees$2,124
Computer System & Other A/V Technology$28,000 – $33,000
Training Program and Other Training Expenses$9,600 – $11,000
Architect, Engineer, Drawings$16,200 – $18,400
Grand Opening Spend Requirement$20,000
Signage and Graphics$4,400 – $13,200
Office and Business Supplies$3,300 – $8,720
Business Licenses and Permits$500 – $16,500
Insurance (Initial 20% Payment)$1,350 – $1,550
Professional Fees$1,980 – $13,530
Additional Funds (three months)$83,500 – $133,400
Total $551,000 – $870,000

Note:  The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the   Item 7  of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.

dry bar business plan

Franchise fees & Royalties

Here are the main ongoing fees the franchisor will ask you to pay going forward to run the franchise.

Initial Franchise Fee

The initial franchise fee is $50,000 , payable as a lump sum by wire transfer upon signing the franchise agreement.

Royalty Fee

The royalty fee is 7% of gross receipts, due monthly on the 5th day of each month.

Marketing/Advertising Fee

The brand marketing fund contribution is 2% of gross receipts, with the potential to increase, payable on the 5th day of each calendar month.

Transfer Fees

The transfer fee is 50% of the then-current initial franchise fee for new franchises or $2,500 for administrative costs if the transfer involves a ten percent or lesser ownership interest.

Franchise pros and cons

  • Comprehensive corporate and ongoing support: Drybar offers its franchisees growth strategies and ongoing support to build and grow their businesses smoothly. In addition, franchisees get access to the well-developed infrastructure and resources of the parent company, WellBiz Brands, Inc ., as well as a network of successful business partners who share business insights.
  • Pre-opening training: The franchisor provides its franchisees with detailed pre-opening training and support to establish and operate successful Drybar salons. Franchisees get trained on the Drybar’s business system, equipment use, hiring and training qualified staff and grand opening.
  • Site selection and construction: The brand has an experienced real estate team in place to help franchisees establish their salons. It helps with the site selection process to identify a suitable business location. Also, it helps them with space planning, design, construction and support during the construction and lease negotiations.
  • Third-party financing: The brand has established third-party relationships to help fund franchisees in financing their salons’ development. Franchisees get funded for the startup costs, franchise fees, equipment, inventory and payroll.
  • Simple business concept: The brand embraces a simple franchise concept, just as their tagline states: No cuts. No color. Just blowouts. Franchisees can get started with smart design,little equipment and inventory requirements, then grow into multi-unit spaces.
  • Integrated marketing strategy : The Drybar franchise offers its franchisees turnkey and effective marketing strategies to promote their locations. These include social media, public relations, direct mail and promotional materials.
  • Exclusive territory protection: Drybar allows its franchisees to operate their salons in a protected market. Under the agreement, it does not permit any other franchise or operate competing channels in the agreed-upon area.
  • No absentee ownership: The brand does not present a passive ownership business opportunity. It requires franchisees to be actively involved in decision-making and the daily operations of their salons .
  • Not a mobile or home-based business: The franchise cannot be run from home or a vehicle. The franchisor requires franchisees to operate from a fixed office space, retail facility, or warehouse.
  • Not a part-time business: The business does not allow for a part-time or side business. The salons should operate full-time.
  • Competition from other premium hair salon franchises such as Phenix Salon Suites or My Salon Suite to name a few

How to open a Drybar franchise

Opening a Drybar franchise involves several steps, designed to ensure you are a good fit for the franchise. Here are the main steps to follow to open a Drybar franchise.

1: Research and Contact

  • Understand the Brand: Familiarize yourself with the Drybar concept, its business model, and market presence.
  • Initial Inquiry: Reach out to Drybar through their franchise inquiry process to express interest and request more detailed information.

2: Review Franchise Disclosure Document (FDD)

  • Receive and Review FDD: Obtain and carefully review the Franchise Disclosure Document to understand the investment details, obligations, and the support provided by the franchisor.
  • Consult Experts: It’s advisable to consult with a franchise attorney and a financial advisor to thoroughly understand the franchise agreement and financial commitments.

3: Financial Qualification

  • Financial Requirements: Ensure you meet the financial requirements, which may include liquid capital and net worth thresholds. Drybar does not provide direct or indirect financing nor guarantee any franchisee’s note, lease, or obligation​.
  • Application Process: Submit a formal application, demonstrating your financial capability and business acumen to operate a Drybar franchise.

4: Site Selection and Lease Negotiation

  • Location Scouting: Work with the Drybar real estate team to identify a suitable location that aligns with their market analysis and brand requirements.
  • Lease Negotiation: Negotiate the lease terms with the aid of Drybar’s support, ensuring the location is secured under favorable conditions.

5: Training and Salon Development

  • Attend Training: Participate in the comprehensive training program provided by Drybar, which includes both classroom instruction and practical training, to prepare for efficient salon operation​ (Franchise Direct)​.
  • Salon Setup: Develop your salon according to Drybar’s specifications, ensuring compliance with their design and operational standards.

Disclaimer: This content has been made for informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.

All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial and/or legal advice, nor does any information in the article constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.

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  • Top 100 Franchises
  • Hair Care & Beauty Salons

Drybar

  • Health, Beauty & Nutrition
  • Non Food Franchises

As a membership-based model, Drybar provides quality blowouts in beautiful shops with a focus on remarkable, over-the-top customer service.

Drybar Franchise Cost and Requirements for 2024

The Drybar® brand has been a major "disrupter" in the hair-care industry. What did we disrupt? Well, a lot. We challenged the notion that a blowout should cost $80 or more and that you have to go to a full-service salon (that smells like chemicals) to get one. Oh, and there was another choice for "cheap" blowouts - the national discount chains. Oh the horror! The environment was terrible, and you never knew what type of blowout you'd end up with: the "bird's nest," "the frizz-fro," or the "wait... did you just cut my hair?" Ultimately, the Drybar brand is focused on remarkable, over-the-top customer service. Stylists and other shop employees are the front-lines of the Drybar brand. If they're happy and excited, they convey that to the clients. And when clients get a great blowout in a beautiful Drybar shop, it gives them the confidence and happiness that only a fresh dose of Drybar beauty can provide. National (and International) brand recognition that will be extremely difficult to replicate; Extensive infrastructure, including site selection and construction assistance, training, marketing and operations support; c. The products that keep clients so loyal. We believe that clients will receive a lesser experience at any competitor, because (among other reasons) Drybar products were created and tailored to complement the ultimate blowout experience. No one else has that. Simple booking process via Web, mobile or app.

Company Details

Established: 2010 First Unit Franchised: 2011 Franchised Units: 163 International Franchises: Yes

New 2024 updated FDD pending in the following states:

Support and Training Offered By Drybar

2024 franchise requirements needed to own a drybar franchise., what does a drybar franchise cost.

Drybar franchise fees for 2024:

Investment:  $550,504-$869,724

Minimum Requirements: Liquid Capital $250,000 Net Worth $750,000

Earnings Potential: Avg AUV: $826,493 Highest Revenue $2,152,193

Franchise Fee: $50,000 Royalty: 7% Ad: 2% Item 19: Yes Veteran and Minority Discount: Yes, 20% off of initial franchise fee 

Is Drybar a Semi Absentee Franchise with a Passive Ownership Opportunity?

No. Drybar is not a semi absentee franchise. The owner of the franchise (the franchisee) is expected to be involved in all aspects of day-to-day operations.

Is Drybar a Home Based franchise?

No. Drybar is not a home based franchise opportunity.

What Do Drybar Franchise Owners Make?

Click here to find out how much Drybar franchisees make. Drybar offers an Item 19 in their Franchise Disclosure Document which provides financial information about select franchisees in their franchise system.

Is Drybar a Master Franchise Opportunity?

No. Drybar is not a master franchise opportunity.

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Table of contents, creating a winning blow dry bar business plan.

  • 10 May, 2024

blow dry bar business plan

Starting a Blow Dry Bar Business

Before embarking on the journey of starting a blow dry bar business, it’s essential to understand the industry and be aware of the current market trends and statistics. This knowledge will help you develop a solid business plan and make informed decisions as you venture into this niche sector of the beauty industry.

Understanding the Industry

The blow dry bar industry has experienced significant growth in recent years, gaining popularity as a convenient and affordable option for hairstyling services. According to IBISWorld, the blow dry bar industry is a growing segment of the beauty industry, driven by consumer demand for quick and professional hairstyling services ( OGSCapital ).

Market Trends and Statistics

To gain a better understanding of the market, let’s look at some relevant statistics. In 2022, the Blow Dry Bars industry in the US generated a staggering $12.7 billion in revenue, with an annual growth rate of 5.7% ( LinkedIn ). The average revenue per salon is approximately $468,000, highlighting the potential profitability of the blow dry bar business model.

When considering the financial aspect, it’s important to note that the estimated average starting cost for launching a blow dry bar concept is around $29,000, excluding wages ( OGSCapital ). This relatively low barrier to entry compared to other salon types makes it an attractive option for aspiring entrepreneurs.

However, it’s essential to conduct thorough market research and analysis specific to your target location to understand the local demand, competition, and pricing dynamics. This information will help you tailor your blow dry bar business plan to meet the specific needs of your target market.

By understanding the industry and staying updated on market trends, you can position your blow dry bar business for success. The knowledge gained from market research and analysis will inform your business plan and help you make informed decisions about various aspects, such as location selection, menu of services, and marketing strategies.

In the next sections of this article, we will delve into the essential components of planning and setting up your blow dry bar business, ensuring that you have a solid foundation to create a thriving and profitable venture.

Planning Your Blow Dry Bar

Before diving into the exciting world of blow dry bars, it’s crucial to develop a comprehensive business plan to guide your venture. This section will cover the essential aspects of creating a successful blow dry bar business plan and the financial considerations involved.

Business Plan Essentials

A well-crafted business plan is a crucial foundation for any blow dry bar business. It serves as a roadmap, outlining your goals, strategies, and actions, and helps organize your ideas and thoughts into a coherent and logical structure. Key components to include in your business plan are:

Executive Summary : Provide an overview of your blow dry bar business, including its mission statement, target market, and competitive advantage.

Market Analysis : Conduct thorough research to understand the industry, market trends, and your target customers. Identify your competitors and assess their strengths and weaknesses.

Services and Pricing : Outline the range of services you plan to offer at your blow dry bar. Consider factors such as blowout styles, additional treatments, and pricing strategies. For more information on blow dry bar services, refer to our article on blow dry bar services.

Marketing and Sales Strategy : Define your marketing and advertising plans to attract customers. Establish a strong online presence, utilize social media platforms, and consider collaborations with local businesses or influencers.

Operations and Management : Describe the day-to-day operations of your blow dry bar, including staffing requirements, employee roles, and training programs. Highlight any unique aspects of your business model, such as blow dry bar franchise opportunities or a distinctive approach to customer service.

Financial Projections : Develop a comprehensive financial plan that includes startup costs, projected revenue, and expenses. Consider factors such as rent, utilities, equipment, inventory, wages, and marketing expenses. For more accurate estimates, refer to our extra context on the estimated average starting cost and annual revenue for a blow dry bar business.

Remember, a business plan should be a dynamic document that evolves as your blow dry bar business grows. Regularly review and update it to reflect changes in the market, industry trends, and your business goals.

Financial Considerations

Financial planning is a critical aspect of starting a blow dry bar business. Understanding the costs involved and projecting revenue streams will help you assess the feasibility of your venture. Consider the following financial considerations:

Startup Costs : Determine the initial investment required to launch your blow dry bar. This includes costs such as leasehold improvements, equipment, supplies, licenses, permits, and marketing expenses. Refer to our extra context for an estimate of the average starting cost for a blow dry bar business.

Revenue Projections : Project your potential revenue based on factors such as the average price per service, the number of days your blow dry bar will be open per year (typically around 300), and the estimated number of clients per day. Ensure your revenue projections align with market demand and competition.

Expenses : Identify and estimate your ongoing expenses, including rent, utilities, insurance, payroll, inventory, marketing, and maintenance costs. It’s crucial to maintain a balance between providing quality services and managing expenses effectively.

Profitability and Break-Even Analysis : Calculate your break-even point, which is the point at which your revenue covers all expenses. Assess the profitability of your blow dry bar by analyzing the revenue generated per service and the volume of clients needed to achieve profitability.

Funding Options : Evaluate your funding options, such as personal savings, loans, or potential investors. Research available grants or programs that support small businesses in the salon industry.

By considering these financial aspects and incorporating them into your business plan, you can develop a realistic financial roadmap for your blow dry bar business. Regularly track and analyze your financial performance to make informed decisions and adapt your strategies accordingly.

As you embark on the journey of setting up a blow dry bar, remember that success will require a combination of careful planning, dedication, and a deep understanding of your target market. With a solid business plan and a clear financial roadmap, you will be well-prepared to navigate the challenges and opportunities that come your way.

Setting Up Your Blow Dry Bar

When starting a blow dry bar business, there are key considerations to ensure a successful launch. This section will focus on two critical aspects: location selection and acquiring the necessary equipment and supplies.

Location Selection

Choosing the right location for your blow dry bar is crucial for attracting customers and maximizing your business’s potential. Here are some factors to consider when selecting a location:

Demographics: Research the demographics of the area you’re considering. Look for areas with a high concentration of your target audience, such as young professionals or individuals who frequently attend special events.

Foot Traffic: Consider areas with high foot traffic, such as shopping districts, malls, or busy streets. Being in a visible and easily accessible location can help attract spontaneous clients and increase your brand exposure.

Competition: Evaluate the competition in the area. While some competition can be healthy, ensure that there is enough demand to support multiple blow dry bars in the vicinity. Differentiate your business by offering unique blow dry bar services or a distinctive atmosphere.

Parking: Adequate parking facilities are essential for convenience. Ensure that your chosen location has sufficient parking spaces nearby, either through dedicated parking lots or street parking availability.

Amenities: Consider nearby amenities that can enhance the customer experience, such as restaurants, coffee shops, or retail stores. These can attract customers who may combine their visit to your blow dry bar with other activities.

Remember, location selection is a critical factor that can impact the success of your blow dry bar business. Conduct market research, analyze the competition, and carefully evaluate potential locations before making a final decision.

Equipment and Supplies

Equipping your blow dry bar with the right tools and supplies is essential to provide exceptional services to your customers. Here are some key considerations when acquiring equipment and supplies:

Blow Dryers and Brushes: Invest in high-quality blow dryers and a variety of brushes suitable for different hair types and styles. Consider ergonomic designs for the comfort of your stylists and customers.

Styling Products: Stock a range of styling products such as heat protectants, volumizing sprays, smoothing serums, and hairsprays. Choose reputable brands known for their effectiveness and suitability for various hair types.

Salon Chairs and Stations: Provide comfortable and stylish salon chairs for your customers. Consider the overall aesthetic of your blow dry bar and choose furniture that complements your branding. Each station should have a mirror, ample lighting, and storage space for tools and supplies.

Wash Stations: If you offer hair washing services, invest in quality wash stations equipped with ergonomic chairs and hair washing sinks. Ensure proper plumbing and water temperature control for your customers’ comfort.

Décor and Ambiance: Create a welcoming and relaxing atmosphere by carefully selecting the interior design elements, such as cozy furniture, soothing colors, and pleasant lighting. Consider adding televisions playing popular movies or offering beverages to enhance the customer experience.

Supplies and Accessories: Stock up on necessary supplies including towels, capes, hair clips, and hair ties. Ensure that you have an adequate inventory to meet the demands of your customers throughout the day.

By investing in high-quality equipment and supplies, you can ensure a smooth and enjoyable experience for your customers, which will contribute to customer satisfaction and loyalty.

Remember, the initial investment for setting up a blow dry bar can vary, but the estimated average starting cost is approximately $29,000, excluding wages ( OGSCapital ). Carefully consider your budget and prioritize the essential equipment and supplies to get your blow dry bar up and running.

In the next section, we will explore how to offer exceptional services to your customers by developing a menu of services and focusing on the customer experience.

Offering Exceptional Services

To ensure the success of your blow dry bar business, it’s crucial to offer exceptional services that meet the needs and desires of your clients. This section focuses on two key aspects: the menu of services and the customer experience.

Menu of Services

When developing your blow dry bar services menu, it’s important to consider the preferences and demands of your target audience. Blowout services are the primary focus of a blow dry bar, providing clients with convenient and efficient hair washing, styling, and drying services. However, it’s essential to note that blow dry bars typically do not offer cuts, coloring services, or chemical treatments.

Begin by offering a range of blowout styles that cater to different hair types and lengths. This can include sleek and straight blowouts, voluminous blowouts, beachy waves, or updos for special occasions. Providing clients with a variety of options allows them to choose a style that suits their preferences and desired look. Additionally, offering add-on services like scalp massages, deep conditioning treatments, or express styling for bangs can enhance the overall experience and provide additional revenue streams.

To ensure efficient operations and maximize your appointment schedule, consider offering different time options for blowouts. This can include express blowouts for clients who are in a hurry or want a quick touch-up and longer appointments for those who want a more detailed and pampering experience.

Customer Experience

Creating an exceptional customer experience is paramount in the blow dry bar business. Clients visit blow dry bars for the convenience, speed, and quality of service. It’s important to provide a welcoming and comfortable environment that allows clients to relax and enjoy their experience.

Ensure that your blow dry bar is well-designed, with comfortable seating and ample lighting. Consider providing amenities such as complimentary beverages, Wi-Fi access, and charging stations to enhance the overall experience. Additionally, train your staff to provide exceptional customer service, including attentive and personalized consultations, and ensuring that clients feel heard and understood.

Efficiency is key in a blow dry bar, so it’s crucial to streamline the process from check-in to styling. Implement an online booking system that allows clients to easily schedule appointments in advance, reducing wait times and enhancing convenience. When it comes to styling, ensure that your stylists are skilled and knowledgeable in blowout techniques, allowing them to deliver consistent and high-quality results.

Creating a memorable and enjoyable experience can also be achieved through small touches like providing clients with a choice of scented hair products or offering loyalty programs that reward repeat visits. These efforts can help build customer loyalty and encourage word-of-mouth referrals.

By offering exceptional services and prioritizing the customer experience, your blow dry bar can stand out in a competitive market. Enhancing convenience, providing a range of styles, and creating a welcoming environment will attract and retain clients, ultimately contributing to the success and growth of your business.

Marketing Your Blow Dry Bar

To ensure the success of your blow dry bar, effective marketing strategies are essential. This section will explore two key aspects of marketing your blow dry bar: branding and identity, and social media strategies.

Branding and Identity

Establishing a strong brand and identity is crucial for a blow dry bar business. It helps differentiate your business from competitors and creates a lasting impression on customers. One example of successful branding is BLO/OUT, which utilizes unique terminology to reinforce their brand identity. For instance, they refer to their stylists as BLO/litas, their locations as BLO/Cations, and their owner’s blog as BLO/G ( Jessica Lawlor ). Consistent branding and terminology contribute to the success of the business, reinforcing a cohesive identity.

When developing your brand, consider aspects such as your business name, logo, colors, and overall aesthetic. These elements should align with your target audience and the image you want to portray. Consistency across all touchpoints, including your website, social media profiles, and physical salon, is key to building brand recognition and trust.

Social Media Strategies

In today’s digital age, social media platforms play a crucial role in marketing a blow dry bar. Platforms like Facebook, Instagram, and Twitter offer opportunities to engage with potential customers, build brand awareness, and showcase your services. BLO/OUT, for example, excels in social media marketing. They actively use the hashtag #HelloBeautiful to engage with customers and repost customer photos, creating content and showcasing fan loyalty ( Jessica Lawlor ).

To effectively utilize social media, start by identifying the platforms that resonate most with your target audience. Develop a content strategy that highlights your blow dry bar services, special promotions, and customer testimonials. Visual platforms like Instagram are particularly valuable for showcasing before and after transformations, while Facebook and Twitter allow for more interactive engagement.

Engage with your audience by promptly responding to messages, comments, and tweets. Encourage customers to share their experiences by using branded hashtags and reposting user-generated content. Additionally, consider utilizing email marketing to stay in touch with customers. Personalized email receipts, like those used by BLO/OUT, can make customers feel special and appreciated, encouraging repeat business ( Jessica Lawlor ).

By utilizing social media platforms effectively and maintaining a consistent brand image, you can enhance your blow dry bar’s visibility, engage with customers, and foster a loyal community.

Marketing your blow dry bar requires a strategic approach that encompasses branding, identity, and effective use of social media. By establishing a strong brand presence and leveraging social media platforms, you can attract customers, build a positive reputation, and set your blow dry bar apart from the competition.

Growing Your Blow Dry Bar Business

Once your blow dry bar business is up and running, it’s important to focus on growing and expanding your clientele. Building customer loyalty and expanding your services are key strategies to consider.

Building Customer Loyalty

Customer loyalty is essential for the long-term success of your blow dry bar business. By providing exceptional service and creating a memorable experience, you can encourage customers to return and become your brand ambassadors.

One way to build customer loyalty is by offering a loyalty program. This can include incentives such as discounts, free services after a certain number of visits, or exclusive perks for loyal customers. By rewarding their loyalty, you create an incentive for customers to choose your blow dry bar over competitors.

Additionally, maintaining open lines of communication with your customers is crucial. Gather feedback through surveys or feedback forms to understand their preferences and improve your services accordingly. Actively engage with customers on social media platforms, respond to their comments and messages, and create a community around your brand. By establishing a personal connection and showing genuine care for your customers, you can foster long-term loyalty.

Expanding Your Services

Expanding your service offerings can attract new customers and provide additional revenue streams for your blow dry bar. While blowouts are the core service, consider adding complementary services to enhance the overall experience for your clients.

Some popular additional services to consider include:

Curls : Offering curling services can cater to clients who prefer voluminous and textured hair. Whether it’s loose waves or tighter curls, providing curling options can appeal to a wider range of customers.

Braids : Braids are versatile and can be incorporated into various hairstyles. Adding braiding services can attract clients looking for trendy and intricate styles.

Up-dos : Up-dos are often sought after for special occasions like weddings or formal events. Providing up-do services can make your blow dry bar a go-to destination for clients preparing for important occasions.

Scalp Massages : A relaxing scalp massage can enhance the pampering experience for your clients. It can promote healthy circulation in the scalp and hair follicles while reducing stress and anxiety.

By expanding your services, you can offer a comprehensive range of options to cater to different client preferences and occasions. This can help position your blow dry bar as a one-stop destination for all their styling needs.

Remember to market your expanded services through various channels, such as your website, social media platforms, and email newsletters. Highlight the benefits and unique features of each service to generate interest and attract new clients.

As your blow dry bar business grows, consider exploring blow dry bar franchise opportunities to expand your brand presence further. Franchising can provide you with the opportunity to replicate your successful business model in new locations and reach a wider customer base.

By focusing on building customer loyalty and expanding your services, you can take your blow dry bar business to new heights and establish a strong presence in the industry.

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Blow Dry Bar Business Plan Template & Guidebook

You've found your business idea, now you can build it. The first thing to do is write a blow dry bar business plan, also called a business plan template. I'll show you how with easy to follow steps laid out before you. All you need is this guide book and a pencil.

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How to Write a Blow Dry Bar Business Plan in 7 Steps:

1. describe the purpose of your blow dry bar business..

The first step to writing your business plan is to describe the purpose of your blow dry bar business. This includes describing why you are starting this type of business, and what problems it will solve for customers. This is a quick way to get your mind thinking about the customers’ problems. It also helps you identify what makes your business different from others in its industry.

It also helps to include a vision statement so that readers can understand what type of company you want to build.

Here is an example of a purpose mission statement for a blow dry bar business:

Our purpose at The Blow Dry Bar is to provide a luxury salon experience at an affordable price. Our mission is to become the go-to destination for stylish, effortless hair, offering a wide range of blow dry and styling services to suit every occasion. We are committed to providing a friendly, welcoming atmosphere where our clients can relax and unwind, and to delivering exceptional service that exceeds our clients' expectations. We aim to use only the finest hair care products and tools, and to provide our stylists with ongoing training and support to ensure they are always at the top of their game. We believe that everyone deserves to feel beautiful and confident, and we strive to help our clients achieve that through our services.

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2. Products & Services Offered by Your Blow Dry Bar Business.

The next step is to outline your products and services for your blow dry bar business. 

When you think about the products and services that you offer, it's helpful to ask yourself the following questions:

  • What is my business?
  • What are the products and/or services that I offer?
  • Why am I offering these particular products and/or services?
  • How do I differentiate myself from competitors with similar offerings?
  • How will I market my products and services?

You may want to do a comparison of your business plan against those of other competitors in the area, or even with online reviews. This way, you can find out what people like about them and what they don’t like, so that you can either improve upon their offerings or avoid doing so altogether.

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3. Build a Creative Marketing Stratgey.

If you don't have a marketing plan for your blow dry bar business, it's time to write one. Your marketing plan should be part of your business plan and be a roadmap to your goals. 

A good marketing plan for your blow dry bar business includes the following elements:

Target market

  • Who is your target market?
  • What do these customers have in common?
  • How many of them are there?
  • How can you best reach them with your message or product?

Customer base 

  • Who are your current customers? 
  • Where did they come from (i.e., referrals)?
  • How can their experience with your blow dry bar business help make them repeat customers, consumers, visitors, subscribers, or advocates for other people in their network or industry who might also benefit from using this service, product, or brand?

Product or service description

  • How does it work, what features does it have, and what are its benefits?
  • Can anyone use this product or service regardless of age or gender?
  • Can anyone visually see themselves using this product or service?
  • How will they feel when they do so? If so, how long will the feeling last after purchasing (or trying) the product/service for the first time?

Competitive analysis

  • Which companies are competing with yours today (and why)? 
  • Which ones may enter into competition with yours tomorrow if they find out about it now through word-of-mouth advertising; social media networks; friends' recommendations; etc.)
  • What specific advantages does each competitor offer over yours currently?

Marketing channels

  • Which marketing channel do you intend to leverage to attract new customers?
  • What is your estimated marketing budget needed?
  • What is the projected cost to acquire a new customer?
  • How many of your customers do you instead will return?

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4. Write Your Operational Plan.

Next, you'll need to build your operational plan. This section describes the type of business you'll be running, and includes the steps involved in your operations. 

In it, you should list:

  • The equipment and facilities needed
  • Who will be involved in the business (employees, contractors)
  • Financial requirements for each step
  • Milestones & KPIs
  • Location of your business
  • Zoning & permits required for the business

What equipment, supplies, or permits are needed to run a blow dry bar business?

To run a blow dry bar business, you will need a few key pieces of equipment, supplies, and permits. These include:

  • Blow dryers and styling tools
  • Hair care products
  • A permit to operate your business (depending on location)
  • Business licenses and permits for business activities (if applicable)

You may also need to hire and train stylists to provide the blow dry services.

5. Management & Organization of Your Blow Dry Bar Business.

The second part of your blow dry bar business plan is to develop a management and organization section.

This section will cover all of the following:

  • How many employees you need in order to run your blow dry bar business. This should include the roles they will play (for example, one person may be responsible for managing administrative duties while another might be in charge of customer service).
  • The structure of your management team. The higher-ups like yourself should be able to delegate tasks through lower-level managers who are directly responsible for their given department (inventory and sales, etc.).
  • How you’re going to make sure that everyone on board is doing their job well. You’ll want check-ins with employees regularly so they have time to ask questions or voice concerns if needed; this also gives you time to offer support where necessary while staying informed on how things are going within individual departments too!

6. Blow Dry Bar Business Startup Expenses & Captial Needed.

This section should be broken down by month and year. If you are still in the planning stage of your business, it may be helpful to estimate how much money will be needed each month until you reach profitability.

Typically, expenses for your business can be broken into a few basic categories:

Startup Costs

Startup costs are typically the first expenses you will incur when beginning an enterprise. These include legal fees, accounting expenses, and other costs associated with getting your business off the ground. The amount of money needed to start a blow dry bar business varies based on many different variables, but below are a few different types of startup costs for a blow dry bar business.

Running & Operating Costs

Running costs refer to ongoing expenses related directly with operating your business over time like electricity bills or salaries paid out each month. These types of expenses will vary greatly depending on multiple variables such as location, team size, utility costs, etc.

Marketing & Sales Expenses

You should include any costs associated with marketing and sales, such as advertising and promotions, website design or maintenance. Also, consider any additional expenses that may be incurred if you decide to launch a new product or service line. For example, if your blow dry bar business has an existing website that needs an upgrade in order to sell more products or services, then this should be listed here.

7. Financial Plan & Projections

A financial plan is an important part of any business plan, as it outlines how the business will generate revenue and profit, and how it will use that profit to grow and sustain itself. To devise a financial plan for your blow dry bar business, you will need to consider a number of factors, including your start-up costs, operating costs, projected revenue, and expenses. 

Here are some steps you can follow to devise a financial plan for your blow dry bar business plan:

  • Determine your start-up costs: This will include the cost of purchasing or leasing the space where you will operate your business, as well as the cost of buying or leasing any equipment or supplies that you need to start the business.
  • Estimate your operating costs: Operating costs will include utilities, such as electricity, gas, and water, as well as labor costs for employees, if any, and the cost of purchasing any materials or supplies that you will need to run your business.
  • Project your revenue: To project your revenue, you will need to consider the number of customers you expect to have and the average amount they will spend on each visit. You can use this information to estimate how much money you will make from selling your products or services.
  • Estimate your expenses: In addition to your operating costs, you will need to consider other expenses, such as insurance, marketing, and maintenance. You will also need to set aside money for taxes and other fees.
  • Create a budget: Once you have estimated your start-up costs, operating costs, revenue, and expenses, you can use this information to create a budget for your business. This will help you to see how much money you will need to start the business, and how much profit you can expect to make.
  • Develop a plan for using your profit: Finally, you will need to decide how you will use your profit to grow and sustain your business. This might include investing in new equipment, expanding the business, or saving for a rainy day.

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Frequently Asked Questions About Blow Dry Bar Business Plans:

Why do you need a business plan for a blow dry bar business.

A business plan is a document that outlines the goals and objectives of a business, as well as the strategies and tactics that will be used to achieve those goals. It is important to have a business plan for your blow dry bar business because it helps to focus the efforts of the company, communicate the business's goals and objectives to potential investors, and provide a roadmap for the business to follow. Additionally, a business plan can be used to help secure funding from investors or lenders, who will want to see that the business has a solid plan in place before they provide funding.

How to write a business plan for your blow dry bar business?)

To build a business plan for your blow dry bar business, start by researching your industry, competitors, and target market. Use this information to define your business's goals and objectives, as well as the strategies and tactics that you will use to achieve those goals. Next, create a financial plan that outlines your projected income, expenses, and profit. This should include a projected income statement, cash flow statement, and balance sheet. Once you have all of this information, you can use it to create a comprehensive business plan that outlines the goals and objectives of your business, as well as the strategies and tactics that you will use to achieve those goals. A well-written blow dry bar business plan contains the following sections: Purpose, Products & Services, Marketing Plan (including Marketing Strategy), Operations/Management Plan (including Operations/Management Strategy), Financial Plan (including Financial Forecasts), and Appendixes.

Can you write a blow dry bar business plan yourself?

Yes, you can write a blow dry bar business plan yourself. Writing a business plan is a valuable exercise that can help you clarify your business idea, identify potential challenges and opportunities, and develop a roadmap for success. While there are many resources and templates available to help you write a business plan, the process of creating one is ultimately up to you.

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How to Start a Blow Dry Bar Business: A Comprehensive Guide

How to Start a Blow Dry Bar Business: A Comprehensive Guide

Opening One:

Do you have a passion for making people feel fabulous? Do you find yourself daydreaming about owning your own business? Starting a blow dry bar might be just the opportunity you are looking for. The beauty industry is thriving, and offering your clients the convenience of a quick and affordable blowout is increasingly popular. However, it is important to know what it takes to start a successful business. In this article, we will guide you through the necessary steps to launch your own blow dry bar, including everything from budgeting to marketing.

Opening Two:

A blow dry bar can be a fun and profitable business venture, but there are a few things to keep in mind before you begin. Operating a successful blow dry bar involves more than simply knowing how to style hair. Careful planning and research are crucial to setting up a successful business. In this article, we will walk you through the essential steps of starting a blow dry bar, from researching your target market to creating a business plan, so you can turn your dream into a reality.

Opening Three:

If you’ve ever dreamed of running your own business, launching a blow dry bar could be a rewarding choice. This sector of the beauty industry has skyrocketed in popularity in recent years, and there is no shortage of satisfied customers. However, it’s important to remember that starting a business can be daunting. From licensing to managing finances, there are many factors to consider before opening your doors. In this article, we will provide you with the tips and tricks you need to get started on your journey to owning a successful blow dry bar business. Market research for a blow dry bar business

Before starting any business, doing market research is crucial to ensure a successful launch. For a blow dry bar business, it is essential to identify the target market and analyze the competition in the area. Here are the steps to conduct proper market research for a blow dry bar business:

  • Identify the target market: Do research on the area’s demographics and determine the potential customers’ age, gender, income level, and lifestyle. This information will help to create suitable services and marketing strategies.
  • Analyze the competition: Study other blow dry bars and salons in the area that offer similar services. Observe their pricing, target market, and unique selling proposition to identify the gaps in the market that can be filled by your business.
  • Location analysis: Choose a location that is easily accessible, has parking facilities, and is visible, especially from the main road. Analyze foot traffic, competition, and other factors that would affect the profitability of the business.

Competition analysis for a blow dry bar business

Understanding the competition is crucial to create a unique service offering for the business to attract customers. Here are the aspects to consider for competition analysis:

  • Services offered: Analyze the services offered by competitors, such as styling, coloring, and extensions. The emphasis should be on creating services that aren’t offered by the competition.
  • Pricing: Study the pricing of competitors and offer competitive prices without compromising on quality. Offering a considerable discount during the launch of the business can attract customers.
  • Marketing strategy: Analyze the marketing strategy of competitors, such as social media campaigns, loyalty programs, or referral programs, and implement an effective marketing strategy to stand out.

Customer analysis for a blow dry bar business

Understanding the customer’s needs and preferences is crucial to deliver services that can exceed customers’ expectations. Here are the customer analysis for a blow dry bar business:

  • Target audience: Identify the target audience that can benefit from the services offered and modify the services and marketing strategy accordingly.
  • Customer preferences: Study customer preferences, such as hairstyles, frequency of visits, and willingness to pay for premium services, and customize services accordingly.
  • Feedback and reviews: Encourage customers to provide feedback and reviews on the services and implement changes based on the feedback to improve customer satisfaction.

Location analysis for a blow dry bar business

Choosing the right location for a blow dry bar business can determine the business’s success. Here’s what to consider for location analysis:

Factor Importance
Foot traffic High
Parking facilities High
Visibility High
Competition Medium
Affordability Medium
Accessibility Medium
Zoning regulations Low

The location should have high foot traffic, parking facilities, and good visibility to attract customers. The competition in the area and affordability should also be considered. Additionally, the accessibility of the location and the zoning regulations should be checked to avoid any legal issues.

Location selection and considerations

Choosing the right location is crucial for the success of any business, including a blow dry bar. Here are some factors to consider when selecting a location:

  • Demographics: Consider the age, income, and lifestyle of your target customers. A location near residential areas and shopping centers can attract busy moms and working professionals who need quick styling services.
  • Competition: Check out the existing blow dry bars and salons in the area. If there are fewer competitors, you can have a high chance of getting more customers. However, having a rival in the same area can help you attract customers because they can compare the services and prices.
  • Visibility: Choose a location that is visible to pedestrians and drivers. A busy street or a shopping mall can help you attract potential customers who pass by your shop.

Aside from these factors, you should also consider the rent and lease terms, zoning laws, and accessibility to parking and public transportation. To help you choose the best location for your blow dry bar, you can conduct a feasibility study that includes market research and surveys among potential customers.

Licensing and Permits Needed to Start a Blow Dry Bar Business

Starting a blow dry bar business requires obtaining the necessary licenses and permits to legally operate. These vary depending on the state, city, and county regulations. It is essential to research and comply with all requirements before opening to avoid costly fines and legal issues.

Types of Licenses and Permits Required

  • Business License: This is a general license that every business needs to operate legally. It is obtained through the city or county clerk’s office and requires paying a fee.
  • Cosmetology License: This license is necessary for all employees who will be performing hair services, including blowouts. It is obtained through the state board of cosmetology and requires completing a cosmetology program and passing an exam.
  • Building Permit: This permit is required if any construction or renovation will take place in the building. It is obtained through the city or county building department and requires submitting plans and paying a fee.

Process of Obtaining Licenses and Permits

The process of obtaining licenses and permits can be time-consuming, so it is recommended to start as early as possible. The following steps may need to be taken:

  • Research and identify all necessary licenses and permits.
  • Complete all required applications and documentation accurately and honestly.
  • Pay any required fees.
  • Attend any necessary inspections or hearings.

Starting a blow dry bar business requires obtaining the appropriate licenses and permits to operate legally. It is crucial to research and comply with all regulations to avoid costly fines and legal issues. By following the process and completing all necessary steps, you can ensure a successful and law-abiding business venture.

License/ Permit Issuing Authority Estimated Cost
Business License City/ County Clerk’s Office $50-$400
Cosmetology License State Board of Cosmetology $50-$500
Building Permit City/ County Building Department $100-$2,000+

Funding Options and Financial Planning

If you are considering starting a blow dry bar business, it is important to have a solid understanding of your funding options and create a financial plan to ensure the long-term success of your business. Here are some key points to keep in mind when it comes to funding and financial planning:

Funding Options

  • Personal savings: One of the most common ways people fund their own business is by using their personal savings. This option allows you to retain full ownership and control of your business, but it can be risky if you don’t have enough savings to cover unforeseen expenses.
  • Small business loans: You can also consider taking out a small business loan from a bank or lending institution. These loans typically require collateral, such as your home or car, and an established credit history.
  • Investors: Another option is to seek out investors who are willing to provide funding in exchange for a stake in your business. It’s important to have a solid business plan and clear expectations before entering into this type of arrangement.

Financial Planning

No matter how you choose to fund your business, it’s important to have a solid financial plan in place. This plan should include projections for revenue, expenses, and profits based on market research and realistic expectations. Other important considerations include:

  • Start-up costs: Make a list of all the costs associated with starting your blow dry bar, such as rent, equipment, inventory, and insurance.
  • Monthly expenses: Estimate your monthly expenses, including rent, utilities, employee salaries, and other overhead costs.
  • Profit margin: Determine your target profit margin and adjust your pricing accordingly.

Financial Tools

When it comes to financial planning, there are several tools that can help you stay organized and on track. These include:

Tool Description
Accounting software Software like QuickBooks can help you track expenses and income.
Budgeting software Tools like Mint can help you create a budget and track your spending.
Spreadsheet software Microsoft Excel or Google Sheets can help you create financial projections and keep track of expenses.

By utilizing these tools and adopting a proactive approach to funding and financial planning, you can maximize your chances for success as a blow dry bar business owner.

Designing and Furnishing the Blow Dry Bar

The design and overall aesthetic of your blow dry bar is critical in attracting customers. You want to make sure that your space is welcoming, comfortable and visually appealing. Here are some tips to keep in mind when designing and furnishing your blow dry bar:

  • Think about your brand. Before choosing a design style, consider the image that you want your business to project. Choose a design aesthetic that aligns with your brand.
  • Layout. Make sure that your bar has an open and spacious layout so your clients do not feel cramped during their appointments. This will also create a more relaxing atmosphere for your customers. Have comfortable seating, good lighting and mirrors in place.
  • Equipment. Purchase blow dryers, brushes and other necessary tools. You may also need to invest in professional styling chairs, which offer a range of adjustable features to accommodate clients of all sizes.

When designing and furnishing your blow dry bar, keep in mind the importance of the atmosphere. You are not just selling a service but also a unique experience. You want to make sure your space is comfortable, visually appealing and designed for client’s relaxation.

Another important area of emphasis is aesthetics, which is essentially the visual side of your business operation. Personalizing the look of your business can be accomplished by adding unique elements like artwork, vintage signs, and decorative accessories like vases of flowers.

Consider these elements while also keeping in mind your overall business branding. Having a cohesive style throughout the space can affect how people view your business and their willingness to return.

Finally, don’t forget that the design of your blow dry bar does not stop with your space. You can also create a signature style for your employees who become part of your branding and image. They should be stylishly dressed, and may even sport a unique hairstyle that is in line with your styling services.

Furnishing Description
Styling Chairs Invest in professional styling chairs that are adjustable according to the height of the client.
Lighting Good lighting is essential. Choose soft, bright lighting that doesn’t make your clients uncomfortable.
Wall Decor The walls of your blow dry bar are a blank canvas. Add artwork or even feature walls with bold patterns or motifs.
Mirrors Consider adding multiple mirrors, each with flattering lighting, to give your customers an enhanced experience. You can also personalize them with frames or decorative accessories.

In summary, designing and furnishing your blow dry bar is an essential part of creating a unique experience for your customers. Choose a design style that reflects your branding, lay out your space to create a relaxing atmosphere, invest in professional furnishings including styling chairs and appropriate lighting and mirrors. Don’t forget the small touches, such as decorative wall art, to give your bar that special touch. Lastly, it is essential to invest in talent that reflects the aesthetic of the blow dry bar while maintaining a signature look for your employees

Setting up a Website and Social Media Presence

Having a strong online presence is crucial for any new business, especially one in the beauty industry. Here are some steps to follow when setting up your website and social media accounts:

  • Choose a domain name for your website that reflects your brand and is easy for customers to remember.
  • Select a hosting provider and sign up for a plan that suits your needs and budget.
  • Hire a web developer to create a professional-looking website that is easy to navigate and includes all the necessary information about your services, locations, pricing, and contact details.

Once your website is up and running, it’s time to focus on your social media presence. Here are some tips to help you get started:

  • Choose the social media platforms that your target audience uses the most and create business accounts on all of them.
  • Be consistent in your branding, messaging, and tone of voice across all social media platforms.
  • Post regularly and use high-quality visuals, such as photos and videos, to showcase your blowout styles, products, and customer testimonials.
  • Engage with your followers by responding to comments and messages promptly, offering exclusive promotions, and running social media contests and giveaways.

To better understand your website and social media performance, set up analytics tools to track your traffic, engagement, and conversion rates. You can use this data to adjust your strategies and improve your online presence over time.

Website Essentials Social Media Best Practices
Clear and concise messaging Variety of content formats
Easy navigation Consistency in branding and messaging
Contact information and booking options Regular and timely posts
High-quality visuals Customer engagement and interaction

Remember, your website and social media presence are often the first points of contact between you and potential customers. Investing time and effort in creating a visually appealing, informative, and engaging online presence will pay off in the long run.

Hiring and training stylists and technicians

One of the keys to running a successful blow dry bar is to hire and train excellent stylists and technicians. Here are some tips to help you find and train the best staff for your business:

  • Define job roles and requirements: Before hiring anyone, it’s important to define the roles and responsibilities of each position. Clearly outline the skills and experience required for each role, and be specific about the hours, compensation, and expectations for the job.
  • Advertise job openings: There are many platforms to advertise your job openings. You can post on job boards, social media, your website, and even on flyers around your neighborhood. To attract the best candidates, consider offering attractive perks like paid time off, health benefits, and education opportunities.
  • Conduct interviews: Once you’ve received applications, it’s time to filter through and select the best ones. Schedule interviews and ask specific, job-related questions to assess the candidates’ abilities and experience. Look for individuals who are passionate about hair styling, customer service-oriented, and able to work in a fast-paced environment.

Once you’ve selected your team, it’s essential to train them properly. Here are some key elements of an effective training program for your blow dry bar business:

  • Orientation and onboarding: Introduce new hires to your business culture and policies. Train them on the basics of the job including using equipment, greeting customers, and completing transactions.
  • Technical skills training: Provide comprehensive training on hair styling techniques, sanitation, and product knowledge. Offer refresher courses on a regular basis to keep your team up-to-date with the latest trends.
  • Customer service training: Emphasize the importance of customer service and teach your team how to handle customer complaints, upsell services, and maintain a positive attitude even in stressful situations.

Hiring and training stylists and technicians is an ongoing process in a blow dry bar business. Aim to create a team that shares your values and is committed to delivering high-quality services and customer satisfaction. With the right team in place, your business will thrive and grow.

Developing a menu of services and pricing structure

One of the most important aspects of opening a blow dry bar business is developing a menu of services and determining a pricing structure. Your menu of services should be tailored to your target market and should offer a variety of options at different price points. Here are some key considerations when developing your menu:

  • Target market: Who are your ideal customers? Are they young professionals, busy moms, or special occasion clients? Consider their needs and preferences when creating your menu.
  • Styling options: Determine which services you will offer, such as blowouts, updos, and braids. You may also choose to offer add-ons like scalp massages or hair treatments.
  • Pricing: Set prices that are competitive with other blow dry bars in your area while also reflecting the value of your services. Consider offering packages or memberships to encourage repeat business.

Once you have determined your menu of services, it’s important to create a pricing structure that is simple and easy to understand. This will make it easier for your clients to choose the services that best fit their needs and budget.

A pricing table can be a helpful tool for communicating your pricing structure to clients. Here is an example of a sample pricing table for a blow dry bar:

Service Price
Blowout $35
Updo $65
Braid $25
Scalp Massage $15
Hair Treatment $30

Remember, your menu of services and pricing structure are important components of your overall business strategy. Take the time to develop a menu that appeals to your target market and a pricing structure that is easy to understand and competitive in your local market.

Creating a Marketing and Advertising Strategy

Once you have set up your blow dry bar business, you need to create a marketing and advertising strategy to attract customers and grow your business. Here are some tips and strategies that you can use to create an effective marketing plan for your blow dry bar business:

  • Define Your Target Audience: Start by identifying and defining your target audience. This includes understanding their demographics, interests, and needs. Knowing your target audience will help you tailor your marketing messages to their interests and preferences.
  • Create a Brand Identity: Your brand identity should be reflected in all your marketing and advertising materials. Develop a unique brand identity that reflects your business values, personality, and services. Use a consistent color scheme, logo, and tagline to create a strong brand identity.
  • Use Social Media: Use social media platforms like Facebook, Instagram, and Twitter to promote your business. Create engaging content that highlights your services, promotions, and events. Respond promptly to customer inquiries and feedback on social media to improve your customer engagement.

Another important aspect of creating a marketing and advertising strategy is identifying your marketing goals and metrics. This will help you measure the success of your marketing efforts and make adjustments as needed. Consider the following metrics:

  • Return on Investment (ROI): This measures the profitability of your marketing campaigns. By tracking your ROI, you can determine which marketing tactics are generating the highest returns and adjust your strategies accordingly.
  • Website Traffic: By tracking your website traffic, you can see which marketing channels are driving the most traffic to your website, and adjust your strategy to focus on those channels.
  • Customer Engagement: This measures how engaged your customers are with your business. This includes metrics such as likes, shares, and comments on social media, website engagement, and email open rates. By improving customer engagement, you can build a loyal customer base and grow your business.

Create Eye-catching Advertisements

Ads can be a great way to drive new customers to your blow dry bar. Here are some tips to creating eye-catching advertisements:

  • Messaging: Make sure your message is clear and concise. Focus on how your services can help your potential customers.
  • Visuals: Use high-quality visuals that showcase your services and make your message more memorable.
  • Call to Action: Your ad should include a clear call to action, such as “book now” or “learn more.”
Marketing Channel Pros Cons
Social Media Cost-effective, great for building brand awareness and customer engagement. May require a lot of time and effort to create and manage content.
Paid Advertising (Google Ads, Facebook Ads) Targeted, great for immediate results. Can be costly, may require expert knowledge to manage campaign successfully.
Email Marketing Cost-effective, great for building customer engagement and loyalty. May require a significant amount of time to build and manage email lists and content.

By creating a marketing and advertising strategy that specifically targets your desired audience, you can create a successful blow dry bar business that thrives in your community. Remember to stay consistent with your messaging and branding and to continually check the metrics to ensure that the marketing strategies you employ are working.

Maintaining relationships with customers and keeping them loyal.

One of the keys to success in the blow dry bar business is to maintain a strong relationship with your customers. Building a loyal customer base takes time and dedication, but the payoff is well worth it. Here are some tips to help you maintain strong relationships with your customers:

  • Personalize the experience: Take the time to get to know your customers and their preferences. Remember their names, ask about their day, and provide personalized recommendations on hairstyles or products to suit their needs. This will make them feel valued and keep them coming back.
  • Offer incentives: Give your customers a reason to come back by offering loyalty programs, referral discounts, or special promotions. This will not only keep them loyal, but also encourage them to spread the word about your business.
  • Solicit feedback: Encourage your customers to provide feedback on their experience. This will not only help you improve your services, but also show them that you value their opinion and care about their satisfaction.

Another important aspect of maintaining relationships with your customers is keeping up with the latest trends and offering new and innovative services. This will keep your customers interested and excited to try out new things.

Here is a table of some popular blow dry bar services:

Service Description Price
Blowout Basic blow dry with shampoo and conditioning $45
Braid bar Selection of braided hairstyles $65+
Updo Elegant updo for special occasions $85+

By offering a variety of services and staying up-to-date with the latest trends, you can ensure that your customers are satisfied and loyal to your business.

Frequently Asked Questions About Starting a Blow Dry Bar Business

1. do i need to have a background in beauty to start a blow dry bar business.

No, you don’t need to have any previous experience in the beauty industry to start a blow dry bar business. However, having a passion for hair and an understanding of customer service will go a long way in providing a successful experience for your clients.

2. How much does it cost to start a blow dry bar business?

The cost of starting a blow dry bar business can vary depending on the location and size of the business. Generally, it can range from $50,000 to $200,000, which includes the startup costs for equipment, insurance, and marketing.

3. What are the legal requirements for opening a blow dry bar business?

Every state and city has its own set of legal requirements for opening a business. It’s essential to do your research and ensure you’re operating within the legal guidelines. You should obtain all necessary local licenses and permits required to operate a blow dry bar business.

4. How do I find a suitable location for my blow dry bar business?

Finding a prime location is crucial to the success of your business. You should look for a location in high traffic areas such as shopping centers and commercial districts. It should also be easily accessible and offer sufficient parking for clients.

5. What kind of services can I offer at a blow dry bar business?

Blow dry bars specialize in providing blowouts, which is a hair styling technique that involves drying and styling hair using a round brush and a hairdryer. You can also offer other services such as hair treatments, scalp massages, and makeup touch-ups.

6. How do I hire staff for my blow dry bar business?

When hiring staff, it’s essential to look for individuals with the required skills and experience. You can post job vacancies on online job portals or use social media platforms to attract potential candidates. You should also conduct interviews and background checks before hiring staff.

7. How can I market my blow dry bar business?

You can use various marketing techniques to promote your blow dry bar business. You can use social media platforms, like Instagram and Facebook, to showcase your services and reach customers. You should also create a website to provide clients with information about your services and location.

Thank You for Reading!

Starting a blow dry bar business requires dedication and hard work, but the rewards can be substantial. By following the guidelines mentioned above, you can start your dream business and provide excellent services to your clients. We hope that this article has been helpful to you. For more information, visit our site frequently.

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destined to ‘do great things.

Blo Blow Dry Bar is a well-styled machine. Our beautifully crafted business model is designed to help our Franchise Owners achieve reliable and consistent results. While there are many aspects that make the Blo franchise opportunity special, the following qualities are some of our Franchisees’ favorites. 

dry bar business plan

Following a proven plan that’s already been tested and refined takes the guesswork out of your operation. That’s one of the main reasons joining an established franchise with a strong brand presence is so attractive. Over a decade of experience, everything blow dry bar related is our “exper-tease”.

dry bar business plan

No special occasion needed. Every day is the perfect day for a feel-good experience. Blo Blow Dry Bar is built upon the foundation of enhancing the lives of all parties involved – from our guests to our stylists to our Franchisees. Our business model helps each of these people feel satisfied and fulfilled.

dry bar business plan

Blo Blow Dry Bar goes beyond beauty; we are strategically positioned to meet growing customer demands within the wellness and self-care industries. We have established a strong foundation for a business that is designed to adapt to the needs of both our guests and Franchise Owners.

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She Turned Her Airy Side Hustle Into a $255 Million Business and 'Captured Lightning in a Bottle' — Here's How The first Drybar opened in 2010.

By Sherin Shibu Edited by Melissa Malamut Sep 11, 2024

Key Takeaways

  • Alli Webb turned her mobile blowdrying side hustle into a business and eventually sold its product line for $255 million in 2020.
  • She started off by going to a client’s home and blow-drying their hair for $40, then opened a physical location in 2010.
  • The first Drybar salon became over 150 salons across the country within a decade.

Alli Webb spent her twenties working in hair salons. When she moved to Los Angeles and became a stay-at-home mom, she started a mobile blowout side hustle — so she would go to a client's home, blow-dry their hair, and style it for $40. No haircuts or hair color.

"I got tons of clients," Webb told entrepreneur Jeff Berman on the Masters of Scale podcast earlier this month. Her first pitch was to other moms on a Yahoo group. It read : "I'm a stay-at-home mom and a longtime hairstylist. I'll come over and blow out your hair for only $40 while your babies are sleeping."

Webb's pitch was successful and she soon couldn't keep up with demand. She started thinking about opening a brick-and-mortar location so her clients could come to her, instead of her going to them.

Related: How to Overcome Imposter Syndrome and Start a Business, According to Gary Vee, a Serial Entrepreneur Worth Over $200 Million

Her brother, former Yahoo marketing director Michael Landau , was willing to help financially back the business, though he did have some questions at first.

"He was a little perplexed, 'Like, why can't women blow out their own hair?'" Webb said. "And I was like, you did grow up with me." In previous interviews , Webb shared that she had frizzy hair growing up and was " obsessed with her hair ."

Landau was finally convinced by the success that Webb saw in her side hustle. He invested $250,000 while Webb and her then-husband Cameron Webb put in their savings of about $50,000. In 2010, the founding team opened the first Drybar salon in Brentwood, California. It famously offers no cuts and no color.

dry bar business plan

Though Drybar's salons offered a limited range of hair services — just the wash, blowout, and style — Webb says that she wasn't concerned about the business model. What she wanted was volume: 30 to 40 blowouts per day to break even.

Related: The Side Hustle She Worked on in a Local Starbucks 'Went From Nothing to $1 Million.' Now It Will Make Over $30 Million This Year.

Demand ended up doubling expectations — to 60 to 80 blowouts per day.

"We realized very quickly, like within the first few days, [that] we had captured lightning in a bottle," Webb said. "Women were coming in and quite literally droves. I mean, we were turning people away left and right."

Drybar grew to over 150 salons across the country within a decade. Webb ended up selling Drybar's product line to leading consumer products company Helen of Troy for $255 million in cash in 2020. WellBiz Brands acquired the franchise rights to Drybar salons in 2021 for an undisclosed sum.

Webb couldn't have imagined what Drybar would become. When she opened her first shop, she just wanted it to be a place where she could do what she loved.

"I was really excited about it and not thinking I was going to turn it into this massive multi-million-dollar blowout empire," she said.

Related: They Started a Home-Based Side Hustle Earning Up to $20,000 a Month — and It's Still Growing: 'Will Never Get Old'

Looking for your next side hustle? Subscribe to Entrepreneur+ and get expert tips and strategies to starting the most profitable ways to earn extra cash today.

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FDD Talk: Drybar Franchise Review (Financial Performance Analysis, Costs, Fees, and More)

Last updated on January 4, 2021 by Franchise Chatter Leave a Comment in FDD Talk: Salon Franchises , Franchise Earnings , Salon Franchise

dry bar business plan

Learn Which Franchises Can Make You Rich

In this FDD Talk post, you’ll learn the following:

  • Section I – Background information on the Drybar franchise opportunity, including relevant news updates
  • Section II – Estimated initial investment for a Drybar franchise, based on Item 7 of the company’s 2020 FDD
  • Section III – Initial franchise fee, royalty fee, marketing fee, and other fees for a Drybar franchise, based on Items 5 and 6 of the company’s 2020 FDD
  • Section IV – Number of franchised and company-owned Drybar outlets at the start of the year and the end of the year for 2017, 2018, and 2019, based on Item 20 of the company’s 2020 FDD
  • Section V – Presentation and analysis of Drybar’s financial performance representations, based on Item 19 of the company’s 2020 FDD, including information on the:
  • 2019 average gross revenue (services, memberships, and retail products), shop consumables, labor, controllable expenses, non-controllable expenses, and operating profit for the 22 franchised Drybar Shops that have been open for longer than 2 years and are considered standard traditional shops since they have 8 or more chairs

Section I – Background Information

19 things you need to know about the drybar franchise.

Debuts New Lookbook to Celebrate 10th Anniversary

1.  In January 2020, in celebration of Drybar’s 10-year anniversary in 2020, and in partnership with H&M, Drybar debuted a brand new lookbook. The lookbook has a fresh new vibe and is inclusive, diverse, ageless, and features updates to Drybar’s iconic bar-themed hairstyles, updos, braids, and Shirley Temple children’s hairstyles.

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2.  H&M provided the wardrobe and styling for all of the clothing and accessories featured in the lookbook while Alli Webb, founder of Drybar, and the Drybar team led the creative direction of the hair styling on the models and lookbook aesthetic. The format of the lookbook reflects a new elevated design with four distinct covers.

3.  According to Alli Webb, founder of Drybar, “I am so proud of our new Drybar lookbook and H&M has been a wonderful partner. I couldn’t think of a better way to kick off our 10th anniversary than with a new lookbook that celebrates our classic Drybar hairstyles on beautiful women of all ages and ethnicities. It was really important to me that we showcase the versatility of our clientele and how the brand has evolved over the past 10 years. It’s going to be an incredible year for Drybar and I can’t wait for the next 10.”

4.  Clients can view the new Drybar lookbook in all Drybar locations in the United States and Canada, along with an exclusive behind-the-scenes video of the making of the lookbook playing on Drybar’s TVs. Styles from the lookbook are also featured on Drybar.com and both Drybar and H&M highlighted the new lookbook across their digital programming.

5.  Sarah Hoffmann, chief marketing officer of Drybar, added, “With this new lookbook, we are truly customer-centric, reflecting the women we serve across our markets. H&M was the ideal partner for us as their brand values, coupled with their fresh and timeless clothing and accessories are a great fit for Drybar and are a favorite of our customers and stylists.”

6.  “We are excited to be part of Drybar’s new lookbook and 10 year celebration, and extend the collaboration into a deep partnership of our two brands to reach and connect across our community of customers and influencers. It really is the perfect fit for us,” said Mario Moreno, head of marketing for H&M USA.

7.  As part of the partnership, Drybar has teamed up with H&M on their loyalty program, providing exclusive offers and sweepstakes, dry styling pop-ups in select H&M locations, and Drybar product giveaways for members. Drybar was also planning to launch a digital campaign featuring festival inspired hair styles and H&M hair accessories, just in time for spring and festival season. Drybar will be H&M’s hair partner for its key H&M League influencer events.

Appoints New Chief Executive Officer

8.  At the beginning of June 2020, Drybar announced that Liz Williams had been appointed as chief executive officer, effective immediately. Williams brings extensive experience and a proven track record in worldwide brand development, digital marketing, multi-unit operations, and franchising.

9.  Alli Webb, founder of Drybar, said, “I am so thrilled to welcome Liz, our first female CEO, into the Drybar family. After ten fulfilling and successful years in business, she will help usher in a new era for the brand and expand upon our vision both in the U.S. and internationally.”

10.  Michael Landau, chair of Drybar’s board, added, “We are excited to welcome a visionary leader like Liz to the Drybar family at this pivotal moment as we reopen our shops. Liz is a results-oriented leader with a history of partnering with team members and franchisees to deliver amazing consumer experiences and growth.”

dry bar business plan

11.  Williams joined Drybar from Yum Brands where she most recently served as president of Taco Bell International with responsibility for brand strategy, growth, and performance of the business across 30 countries. In this role, Williams strengthened the business model and accelerated development. Under Williams’ leadership, Taco Bell entered new markets such as Thailand, Australia, and New Zealand and also formed strategic master franchise agreements in Spain, Brazil, and India.

12.  Prior to that role, Williams was the global CFO for Taco Bell, leading finance, strategy, information technology, and eCommerce, where she was responsible for all financial elements of the $11B business. While at Taco Bell, Williams delivered eight years of industry leading sales, profit, unit, and brand growth. She also spent a year at Yum leading corporate strategy for the office of the CEO.

13.  Before joining Yum, Williams spent six years with The Boston Consulting Group as a principal in the consumer and retail practices in U.S. and Asian markets. Prior to that, she spent seven years at Dell Computer in various finance, brand marketing, and corporate sales positions.

14.  Williams serves as a board member for Stitch Fix, a leading online personal styling service. Williams received her undergraduate degree from the University of Texas Business Honors Program and her MBA from the Kellogg School of Management at Northwestern University.

15.  Williams said, “Drybar has created a category and cult brand with passionate and loyal consumers; I am very excited and honored to be joining the Drybar family at such a pivotal time in the company’s history. I look forward to guiding the organization as we reopen our shops safely for our customers and team members while also leading Drybar through the next phase of growth. I plan to partner with all of our stakeholders to enhance our customer experiences while continuing a culture of innovation as we expand across the U.S. and the world.”

Company History

16.  Drybar was founded in 2010 by Alli Webb, her husband Cameron Webb, and her brother Michael Landau in Brentwood, California. Two years before opening the first Drybar, Alli Webb had started a side business out of her home called Straight At Home, providing hair services to people right in their homes. Around this time, Webb realized that there was a need in her local market solely for hair blowouts and came up with the Drybar concept.

17.  The first Drybar was an instant success and the following year, Webb raised $2.5 million through the help of friends and family to grow her new business. Then in 2012, Webb brought in more investors and added members to the company’s board. Drybar also started franchising that same year. By 2018, Drybar had grown to 100 locations around the United States.

18.  In addition to its blowout and hair styling services, Drybar launched its own line of products in 2013. Drybar products are sold in the company’s salons as well as other beauty retailers. Today, there are Drybar salons all across the U.S. and Canada.

Entrepreneur’s Franchise 500

19.  Drybar ranked No. 94 on Entrepreneur’s 2020 Franchise 500 list.

Section II – Estimated Costs

  • Please click here for detailed estimates of Drybar franchise costs, based on Item 7 of the company’s 2020 FDD.

Section III – Initial Franchise Fee, Royalty Fee, Marketing Fee, and Other Fees

  • Please click here for detailed information on Drybar’s initial franchise fee, royalty fee, marketing fee, and other fees, based on Items 5 and 6 of the company’s 2020 FDD.

Section IV – Number of Franchised and Company-Owned Outlets

  • Outlets at the Start of the Year:  15
  • Outlets at the End of the Year:  23
  • Net Change:  +8
  • Outlets at the Start of the Year:  23
  • Outlets at the End of the Year:  35
  • Net Change:  +12
  • Outlets at the Start of the Year:  35
  • Outlets at the End of the Year:  49
  • Net Change:  +14

Company-Owned

  • Outlets at the Start of the Year:  53
  • Outlets at the End of the Year:  66
  • Net Change:  +13
  • Outlets at the Start of the Year:  66
  • Outlets at the End of the Year:  81
  • Net Change:  +15

Section V – Financial Performance Representations (Item 19, 2020 FDD) and Analysis

Unaudited average gross revenue and selected costs and expenses for 22 mature franchised drybar shops for calendar year 2019.

  • The table below reflects the average Gross Revenue and selected costs and expenses for 22 franchised Shops for the calendar year of 2019. Each Shop included has been open for longer than 2 years and is considered a standard traditional shop since it has 8 or more chairs.
  • The table includes information on 3 Shops in Arizona, 3 Shops in California, 2 Shops in Colorado, 2 Shops in Florida, 2 Shops in Georgia, 1 Shop in Kentucky, 1 Shop in Louisiana, 1 Shop in New York, 1 Shop in Pennsylvania, 1 Shop in South Carolina, and 5 Shops in Texas. It excludes 1 non-traditional Shop that opened in 2015, 12 Shops that opened in 2018, 14 Shops that opened in 2019, and a single formerly franchised Shop in San Francisco, California that was repurchased by the franchisor’s affiliate in 2013.
  • Each Shop included in the table offered similar products and services as would generally be offered by a typical Drybar Shop described in the disclosure document during the last fiscal year.
  • Drybar obtained this information from its franchisees’ annual income statements provided to it under the Franchise Agreement, but it has not audited them.

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The secret of drybar's $50 million success: make the customer the star.

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EDITOR’S NOTE:  Today  Forbes launches an eBook on  how to make your company’s customers fall in love with your business. Written by customer service expert Micah Solomon,  Your Customer Is The Star : How To Make Millennials, Boomers And Everyone Else Love Your Business   reveals what good businesses do today to attract and keep customers coming back for more. You can purchase it at  Amazon and Apple .

One of the companies I take a look at in my new eBook for Forbes is Drybar, the blow-dry-and-style “non-salon” (no cuts, no color) phenomenon that’s transformed the haircare landscape with amazing rapidity. When I first came across Drybar in 2010, it had four shops, all in Southern California. Today, Drybar has nearly 40 salons across the U.S., with a London store opening soon. With 3,000 employees, Drybar is on track to take in $50 million in revenue this year.

As if that weren’t enough, Drybar’s recently branched out with a successful line of custom-designed blow dryers (in the company’s signature yellow) on QVC and an equally successful line of hair care products sold nationwide through Sephora.

Drybar should be a sitting duck for any would-be competitor with a hair dryer, a sink and some forearm strength. But thanks to its customer experience, Drybar rises above the competitive fray.

Drybar • Co-founder Alli Webb on Rght • Image Courtesy of Drybar

How Drybar Makes A Movie Starring Its Clients The 120,000 women who get their hair washed and styled each month at Drybar make it clear that the $40 premium the company charges is worth it.

The reason they choose Drybar is that Drybar has created an elaborate experience for them to star in. The Drybar customer experience (or “movie”) is extraordinarily well thought out, made up of hundreds of carefully created touchpoints that make each customer’s visit memorable.

Cofounder Michael Landau, who started the business with his sister Alli Webb, describes it like this: “What we’re selling at Drybar is a feeling and an experience. For 45 minutes you get to relax and be pampered, drinking a mimosa and indulging in the guilty pleasure of the latest chick flick or celebrity magazine while someone washes and brushes your hair.”

Making this metaphorical movie is much like directing and producing an actual film: It’s an involved, often technically complex business. Continuity, casting, lighting and more must be perfected or the illusion falls apart. Film directors such as Christopher Nolan, James Cameron and Peter Jackson spend endless hours poring over shots, making sure the light is just so, that the arch of the lead’s eyebrow rises in concert with the rhythm of the background music. Countless minor details merge into a completely immersive experience.

It’s not a stretch to say that Drybar thinks similarly about how all of the details coalesce in each new salon it opens—subtle touches derived, Landau says, “from our own intuition and experience as well as the feedback we gather from our clients and stylists.” Drybar’s craft and professionalism reveal themselves time and again as the “movie” progresses. There’s the swift, seamless online booking process and the expert, convivial pre-blowout consultation. Telephone hold times are tracked and kept to a minimum. The menu of blowout styles to choose from is humorously crafted and unique. Each chick flick Drybar screens has been carefully vetted (after all, a good rom com is hard to find) and captioned with subtitles to prevent auditory overload. The salon’s music playlist is so distinctive that Drybar has successfully released it as a CD.

And Drybar isn’t afraid to defy expectations or long-held traditions: Clients don’t sit in front of mirrors (until they’re wheeled around for the signature “reveal” at the end) because cofounder Webb discovered that clients relax more and micromanage the process less when they’re not looking at still wet, not-yet-perfectly-coiffed hair mid-blowout.

There are also the branded “Rain Blows” umbrellas that the company gives every client whenever the weather turns stormy. Not to mention the decor, lighting, stemware and chairs. (Drybar tried and tested dozens of different fabrics before agreeing on a chair.) The blow dryers themselves have been smartly tweaked. In an especially filmic touch, Drybar has figured out how to attenuate the sound of its blow dryers, to keep them from roaring like lawnmowers and drowning out the rest of the activity “on set.”

Drybar’s Landau believes that “the experience is everything—if it weren’t for the experience we create, we would just be another place styling women’s hair.” This experience—the movie—is what continues to keep Drybar’s many knockoffs scrambling.

Micah Solomon  is a customer experience consultant, customer service speaker and bestselling customer service author. You can purchase his new book on Amazon and Apple today. 

Your Customer Is The Star: Forbes Signature Series eBook by Micah Solomon

Micah Solomon

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How Drybar Plans To Blow Away The Competition

Six years after opening its first salon, the chain is on track to do $100 million in sales this year. Here's how it got there.

Sapna Maheshwari

BuzzFeed News Reporter

Nora Ephron wrote fondly of her twice-weekly blowout regimen in 2006.

“It's cheaper by far than psychoanalysis, and much more uplifting,” the late writer quipped in her book I Feel Bad About My Neck: And Other Thoughts on Being a Woman . “What's more, it takes much less time than washing and drying your own hair every single day, especially if, like me, you live in a large city where a good and reasonably priced hairdresser is just around the corner."

In the decade since Ephron’s book was published, the blowout has gone from an add-on service at salons into a full-on national craze. There are now hundreds of specialist parlors hinging their fortunes on $35 to $50 blowouts — no cuts, no color — and drawing a massive audience among well-to-do women. It’s the modern-day reincarnation of the beauty parlors that provided weekly wash-and-sets to America’s grandmothers 60 years ago, except now there’s free champagne and Ariana Grande on the speakers.

dry bar business plan

Leading the charge is a company called Drybar.

It’s OK if you haven’t heard of it. The very concept of a blowout isn’t familiar to all women, and it’s largely foreign to men. When I asked my 25-year-old brother to define the term, he responded: “Like, something to do with a girl’s hair that makes it poofy but still straight? Like a perm but without making it curly?”

He wasn’t far off: It’s typically a shampoo and styling with a blow-dryer, and it tends to look a million times better than what the average woman can do herself. It’s the gloss you might want for a big job interview, your birthday party, or a wedding where you need to impress your ex.

It usually starts in the teen years for women with naturally wavy, curly or frizzy hair: a steady accumulation of straightening irons, serums, and treatments to manage your mane and exert some control over how you look. Because your efforts are erased every time water hits your head, it’s often rinse and repeat several times a week, sometimes for hours.

Since opening its first salon in 2010, Drybar has become to blowouts what Starbucks is to coffee. It didn’t invent the blowout but has played a singular role in making them a thing . Like America’s biggest coffee chain, it has obsessed over everything from music to its shelf displays and maintained the kind of fine-grained control over its outlets that is only possible by owning most of them — only about 20% of Drybars are run by franchisees. The result is a carefully honed experience for customers, one that more and more women are willing to pay generously for.

{ "id": 8772200 } "There is a secret sauce to Drybar, I know that there is."

Drybar has grown fast: The company said it will make more than $100 million in sales in 2016 and will end the year with 75 salons in tony metropolitan markets, up from 61 today. About a quarter of its revenue will come from selling branded hair-care tools and products, with names like “Sake Bomb Nourishing Conditioner,” which are also sold at Sephora and Nordstrom. Its investors include designer Diane von Fürstenberg and her husband, Barry Diller, and former Gap and Disney executive Paul Pressler.

While the company envisions 300 to 400 Drybars in the U.S. in the long run, an escalating number of competitors believe they can do exactly what it is doing — perhaps even better. Canada’s Blo operates 50 salons and plans to end the year with 70 using an all-franchise model. It broke ground in the U.S. in 2010, and briefly counted Gwyneth Paltrow as a partner, although she parted ways with the company last year. Others pepper the nation, from small chains like Rachel Zoe’s DreamDry and Halo in the San Francisco Bay Area, to stand-alones with cutesy names like Haute Air, Pouf, and Hairports. (Hairports, as one might guess, hopes to to be the blowout solution of choice in America’s airports.)

Despite the flood of competition, Drybar is serene about its future.

“There is a secret sauce to Drybar, I know that there is,” founder Alli Webb told BuzzFeed News in an interview at the company’s headquarters in Irvine, California. “There’s something special about the experience that you get with Drybar ... and I don’t think that’s as easy to copy as people think.”

dry bar business plan

To Webb’s point, you know exactly when you’re in a Drybar. The same architecture and design firm that created the first salon works on each new location, codifying touches like blow-dryer chandeliers and welcome mats that say “Nice Shoes.”

The average Drybar looks like an upscale hair salon received a heaping dose of Southern sorority-house style and was finished off with a coat of HGTV — in a good way. The brand, which describes its style as “French shabby chic,” sticks mostly to a palette of white, charcoal gray, and a signature canary yellow that could also be described as buttercup. That’s Buttercup as a proper noun, by the way — it’s the name of Drybar’s signature hair dryer, which also serves as the company “mascot.” You can buy your own Buttercup for $195.

Upon arrival, receptionists take your complimentary drink order — champagne, infused water, or coffee, no hard liquor — to be served post-shampoo. There’s a cocktail-inspired “menu” of eight hairstyles from which to choose, from the sleek and straight Manhattan to the loose and beachy Mai Tai. It’s cute, but more importantly, it helps Drybar with speed and consistency, especially as women bounce between locations and stylists.

A standard 45-minute blowout costs $40 or $45, depending on the city, although the 10-and-under crowd gets a better deal, with the “ Shirley Temple ” package at $28 or $32. For the children who can fit a Drybar visit among their busy elementary school schedules, the salons provide booster seats and lemonade in champagne flutes.

{ "id": 8772202 } "We didn’t invent blowouts — we just created a much better environment and experience."

Customers receive their blowouts at long white counters with plenty of power outlets and magazines like Cosmopolitan and People . Upbeat tunes from the likes of Missy Elliott and Rachel Platten are curated so clients with standing appointments don’t hear the same songs every time. Instead of looking into mirrors, women are turned toward TVs playing rom-coms like How to Lose a Guy in 10 Days . That’s partly so they don’t worry about how their hair looks during the process, and partly to enable what Drybar calls the “Big Reveal” at the end of each blowout.

The big reveal is a big deal. “Get them very excited about this,” Drybar tells stylists in its welcome packet . “It’s a huge part of our culture and each client should experience this every blowout!”

The gospel of “ surprise and delight ,” as popularized by Steve Jobs , rings loud and clear at Drybar. Gift certificates take the form of drink coasters, with the most popular being one that says “Lucky Bitch.” The sign on the women’s bathroom features the standard stick figure in a dress, except she’s adorably crossing her legs as if she really has to go. Three kinds of cookies are available on a plate by the receptionist. The napkins for the cookies read “Feeling crumby? I can help,” next to a silhouette of Buttercup.

“We didn’t invent blowouts — we just created a much better environment and experience,” Webb said. “Starbucks didn’t invent coffee but they created this experience around it, which I think companies like Blue Bottle are doing also. I think it’s about the experience and making it very special and making it your own.”

dry bar business plan

The same demographic of women fueling the rise of blowout salons — highly paid professionals — was, somewhat ironically, also blamed for the demise of the old-fashioned beauty parlor.

A 1982 story from the Associated Press describes the typical beauty parlor as a “lavender-painted place where ‘the girls’ would spend their Saturday afternoons (or Tuesday mornings, for that matter, because ‘the girls’ were not working at full-time jobs) getting their ‘dye job’ or ‘permanent wave’ or their weekly wash-and-set from Madge, the ‘beautician.’” Such places were largely gone by the early 1980s.

Those “little old ladies” are familiar to Webb — she spent hours heeding their requests for more volume during her time in South Florida, and remembers them talking about this bygone era.

“They would get their hair done and coiffed once a week and wouldn’t touch it, and that was the thing women did back then,” she said. “That behavior went away somewhere along the line from that generation to our generation.”

A different set of behaviors are emerging in the new era of the blowout, including its function as kind of professional and personal bonding ritual. Alison Brod PR, a public relations firm in Manhattan, demolished the men’s bathroom in its office a few years ago and turned it into a sleek white salon for employees that offers blowouts, eyebrow shaping, and makeup in-house. (Men can now utilize a unisex restroom.)

{ "id": 8772207 } "Having to be physically self-aware 24/7 … it’s definitely having an effect on people’s lives."

Staff at the firm, which specializes in serving fashion, beauty, and lifestyle clients, are known to invite female journalists to join them for a blowout and a chat, the way a certain kind of businessman might ask another to join him for a round of golf or a game of squash.

“The idea of knocking out a beauty treatment and getting work done just made sense,” said Brod, who is a Drybar investor and employs more than 60 women at her firm. “Nobody necessarily needs to go to lunch, but everybody loves having their hair done."

Brod’s firm also represents a long list of beauty clients, including Blushington, which she describes as “the Drybar of makeup,” and Skin Laundry, “the Drybar of skin lasers.”

The trend toward making a “Drybar of” for every beauty service has resulted in an array of niche salons that allow women to have a personal makeup artist, aesthetician, or weekly hairstylist without the high costs typically associated with these luxuries, with appointments that can be squeezed into busy schedules. During our interview, Webb said she got her eyelash extensions at a place that specializes in eyelash extensions.

These businesses, Brod said, are big beneficiaries of a culture soaked in selfies and social media.

“Years ago, you didn’t need to worry if your hair is in a ponytail and you’re meeting your best friends for dinner,” she remarked. “Now, your ex-boyfriend from high school is going to see it on Facebook. I’m not saying it’s a good thing, but it is the idea of having to be physically self-aware 24/7 ... it’s definitely having an effect on people’s lives.”

dry bar business plan

On a Saturday afternoon, you’ll find dozens of women with champagne flutes at any given Drybar, preparing for a bachelorette party or a big night on the town.

But the real money lies in women who are incorporating places like Drybar into their weekly routines — especially the power women taking advantage of the 7 a.m. opening times.

Michael Landau, Webb’s brother and co-founder, who is bald, admitted he was skeptical that working women would end up being Drybar’s biggest customers. He joined the company full-time after almost a decade at Yahoo, including a stint as its vice president of brand marketing. At the time, he said he believed Drybar’s typical client would be “a certain kind of woman.”

“We used to think it was more of a stay-at-home mom or someone who had a lot more free time,” Landau, 44, said. “That's still our customer, but our sweet spot by far is young working professionals. It's a woman 25 to 45, whether you're a lawyer or work in banking, where your appearance is important.”

The company’s client database is replete with powerful women who work in these industries. Landau likes to remind some professional men that they are surrounded by colleagues who are his customers.

{ "id": 8772213 } Goldman Sachs “is by far the biggest” bank represented in the customer file.

“When we talk to investment bankers, I pull up our database and see how many [customers] each has and I give them a hard time,” he said. Goldman Sachs “is by far the biggest” bank represented in the customer file, he said, and that’s just counting those who signed up with their work email. There were 385 Goldman email addresses in the Drybar customer database when we spoke in February.

Its high-end client list has helped the company in other ways. Landau mentioned the time Drybar needed intellectual property lawyers for a dispute in Germany. He was told that Quinn Emanuel Urquhart & Sullivan was the best firm for such a case, but that they were “super, super expensive” and probably wouldn’t take it.

So he went into the Drybar database and found 44 women from the firm who were customers. He cross-referenced each with details on the firm’s website until he found “the absolute jackpot” — a senior woman at the firm who was also a frequent Drybar customer.

“I sent her an email at like 7 o’clock at night and told her a little about the case,” he said. “She wrote back to me within 15 minutes and said she had to run a conflict check to make sure she wasn’t representing the other side, got back to me 20 minutes after that ... and, long story short, ended up taking the case.”

Drybar won.

Drybar’s headquarters are planted in an Irvine industrial office park, in a building identical to all the others around it, off a road flatly named Technology Drive. While its salons tend to be located adjacent to the SoulCycles and boutique makeup and nail spots of America’s wealthy urban enclaves, the company’s corporate neighbors here include an adult career center and an IT firm.

The cheerful, bustling Drybar vibe becomes clearer inside. A gleaming mockup of a Drybar counter — not for use — is the first thing visitors see. Behind the counter is a big flatscreen TV, but instead of the usual rom-coms, it’s playing a video of 41-year-old Webb describing the company’s “heart and soul” through its 10 “core values and beliefs.”

{ "id": 8772216 } "Pretty is as pretty does."

The sincerity and wholesomeness with which the values are uttered — "pretty is as pretty does” and “embrace the power of random acts of kindness” — is very Drybar. (Landau told me that the company prides itself on avoiding “the sexual innuendo” its competition occasionally uses, calling out Blo by name for its popular marketing line “’cause you can’t blow yourself.”)

Webb is the chief creative officer of Drybar and the pretty, brown-eyed, blonde face of the brand. It’s a friendly face. She is in the how-to videos on the company’s website, recently published a book called The Drybar Guide to Good Hair , and will soon even be the subject of a fictional movie. Universal Pictures optioned Webb and Landau's life rights last year, for a project being led by Karen Rosenfelt, an executive producer on The Devil Wears Prada.

“I was very lost as a kid and didn’t know what I wanted to do with my life,” she said. “It took me a while to find my passion, my thing. ... I guess it’s a fun story of finding this success without really knowing it was possible.”

Webb fought her naturally curly hair from a young age but didn’t incorporate that into her professional life until years later. She bounced around after high school, spending a year at Florida State, dabbling in retail and PR, and, most significantly, going to beauty school and working as a hairstylist in Florida and New York City.

After she married her husband, a creative director who has worked on ad campaigns for Jack in the Box and Mercedes-Benz, they moved to Los Angeles, where she was a happy stay-at-home mom to her two sons until she “got the itch to get back out there and do something for myself,” she said.

dry bar business plan

Drybar founder Alli Webb

That led to Drybar’s 2008 precursor , “Straight-At-Home.” While her kids were at preschool, Webb would drive to other women’s homes to give them $40 blowouts. She was quickly overwhelmed with clients, who told her that when she wasn’t available, their regular cut-and-color stylists didn’t want to be bothered with a blowout.

Webb sensed an opportunity. She opened the first Drybar in February 2010 in Brentwood, California, using a $250,000 investment from her brother, $50,000 of her and her husband’s savings, and the design magic of a successful architect and friend of Landau's named Josh Heitler.

“I wanted it to feel like how it feels when you go to your favorite bar and you know the bartender and everyone’s really nice to you and engaging,” Webb said. “I wanted it to feel like an oasis for women.”

While the business started as an affordable luxury for stay-at-home moms in the Los Angeles area who wanted a 2 p.m. pick-me-up, it quickly turned into a service craved by women of all means.

The Drybar movie, according to Landau, will be loosely based on Webb’s life up until the first salon opens. If the chain is lucky, the film will scroll through all of Drybar’s locations before the credits roll. The siblings tossed out Blake Lively as a choice pick for younger Webb while Corey Stoll, better known as Congressman Peter Russo from House of Cards , is the family favorite for Landau.

Webb’s office, separated from Landau’s by a massive yellow door, is like a Pinterest board manifested in three dimensions. There’s the “inspiration wall” featuring magazine cutouts of long-maned models, old Drybar ads, and pictures of friends and family. Books like Vogue: The Covers and one on management called The Benevolent Dictator are stacked on the wooden shelves behind her next to a glittery golden hashtag symbol. Fresh flowers, yellow and white, sit in a clear vase on her desk. Her husband’s office is across the hall.

{ "id": 8772218 } "I come from a family of seven kids so I really understand the family dynamic."

At the end of 2013, the company brought in a new CEO, John Heffner, formerly of nail company OPI. But the sibling executives still bring a certain feel to the business. Landau, who was Drybar’s CEO before the appointment and is still executive chair of the board, joked that Heffner is able to “play referee between Alli and I.”

“I come from a family of seven kids so I really understand the family dynamic,” Heffner said patiently.

Webb and Landau can easily hear what’s being said in the other’s office, even when the door is shut. While I'm talking to Landau, he references questions I asked Webb earlier in the day, providing his own answers. When he notes that Mindy Kaling is a loyal client, I remark that thick Indian hair — like my own — is great for blowouts, and from behind the door, Webb laughs.

When you ask women whether a $40 Drybar blowout is worth it, ethnicity often plays some role in their answer. Friends of mine from Turkey said they’d been spoiled by the amazing, 20-minute blowouts they get for $10 whenever they visit the home country.

For many black women with natural hair, the concept of Drybar is met with a healthy amount of skepticism. Many have spent years visiting Dominican salons and black stylists for similarly priced blowouts, which offer fewer frills but are given by people who are experts on textured hair.

“The few times in my life when I’ve walked into salons that are not explicitly black, I’ve seen nothing but fear in stylists’ eyes,” one colleague said. “Like, they were petrified. So for me, the idea of this being a ‘convenient’ option, when there is likely not going to be anyone on staff who knows how to handle the vast range of texture and volume and density and porosity that constitutes black hair, is laughable.”

{ "id": 8772221 } "I have this philosophy of hair is hair."

Another colleague mentioned her experience at Drybar has improved since she started asking to be paired with someone who knows black hair, but recounted a visit when it took three stylists to blow-dry her hair and flat-iron her roots. (Last year, a pop-up in New York called GoodHair Salon offered a Drybar-like experience for women with natural hair, with a variety of styles and a two-hour time frame.)

Webb disputes the notion that the Drybar experience varies across race lines. The company blows out “a lot of African-American hair,” both relaxed and unrelaxed, and “it’s a big part of our training,” she said.

“It takes a lot of tension and it can be more challenging sometimes than someone with just wavy hair, but I always have felt like it's just hair and you have to know how to handle that particular type,” she said. “I have this philosophy of hair is hair, and there's a lot of different types out there whether it's African-American hair or really, really Jewish curly hair like I have. We do it all and we have to be able to do it all.”

The complexity of hair means comparisons between Drybar and Starbucks go only so far. Manufacturing Kardashian-like hair for women across the country is vastly more complicated than making a Pumpkin Spice Latte taste the same across state lines.

Outside of the sheer variety in hair types, the Drybar experience is deeply dependent on staff. When you’re paying upwards of $50 for something that can be destroyed by a few minutes in the rain, a 20-minute wait for champagne or an unenthusiastic stylist can result in serious disappointment.

dry bar business plan

The result is intensely picky customers. One Yelp review of Drybar’s Midtown East location gave it two out of five stars even though the salon did “a very good job on hair” and the stylists were “lovely.” The problem: The people at the front desk weren’t “attentive and polite” enough and the person taking drink orders at the start of the appointment had to be “asked multiple times to get it to you.”

It’s a good example of the high bar customers have set for the chain, and one that won’t be easy to maintain as the company goes on an expansion spree.

“It's what keeps Alli and I awake at night,” Landau said. “How do you maintain the level of quality and service as you scale and as you open this many stores and touch this many people?”

Dixie Laite, a 54-year old writer in New York, was once a self-professed Drybar addict, visiting twice a week.

“Every time I went in there, they were like, ‘Dixie, how are you?’” she said. “They would ask me about my pets, and it was just a home away from home. Even though I probably budget-wise should not have gone as often as I did, it was just that in addition to the outcome of this great head of hair, the experience itself was so wonderful.”

{ "id": 8772225 } "They kind of broke my heart."

But she fell off in a big way after the level of service declined at her local salon at Le Parker Meridien Hotel near Central Park. “What stopped me over time was that the people at the front desk and a lot of the stylists left, and now when I go in, it’s not well-kept, it’s messy,” she said. “I don’t really give a shit about cookies, but if there are cookies, it’s just a plate with some crumbs and no one changes it. No one offers you something to drink. If someone is at the front desk they’re talking to someone else.”

She says she wrote a sincere email to the company expressing her disappointment but did not receive an acknowledgment of her note, which she felt was “very telling.”

“It went from being this thing I was a huge evangelist for, where now it’s almost like going to the dentist if I have to go there because my other options are exhausted,” she said. “They kind of broke my heart.”

Social media has changed the calculus of who wants to look red-carpet ready, and when. Kim Kardashian West doesn’t just look good in selfies. She and her makeup artist charge hundreds of dollars for “master classes” so eager attendees can obtain the secrets of contouring.

The first chapter of Mindy Kaling’s second book, Why Not Me? , is titled “How to Look Spectacular: A Starlet’s Confessions,” and is, well, just that — a series of beauty tips she says transformed her from Mindy the “boring anonymous comedy writer who buys her bras at T.J. Maxx” into Mindy the “red-carpet glamourpuss with perfect skin and shiny hair.” She makes you want hair extensions and to get all your clothes tailored. (Kaling also visits a Drybar before a big meeting in another chapter.)

“Most women thought that blowouts were only for celebrities and really rich people or whatever,” Webb said. “We made this an affordable luxury.”

Of course, the question of whether $40 before tip is “affordable” for a blowout depends entirely on the kind of hair you have, your age, and, most importantly, how much money you have.

dry bar business plan

Internally, the company categorizes customers into groups based on how frequently they visit: Women who show up at least a couple of times a month are called Gold Mines, followed by Lemondrops, Chasers, and Hot Toddies, in keeping with the cocktail theme. A big part of Drybar’s business efforts involve convincing customers to visit more frequently — converting the Hot Toddies into Gold Mines. (Heffner called that “the holy grail.”)

This is where the growth of competitors can help. As protective as the company is over its brand, a proliferation of rivals could help turn $45 blowouts into a weekly habit for large numbers of people, which it most definitely was not a decade ago.

Blo, Drybar’s biggest competitor, is planning to eventually operate 300 to 500 locations in North America, CEO Vanessa Yakobson told BuzzFeed News. She wouldn’t disclose the company’s revenue but said it’s “on par” with Drybar's sales.

“We love going into markets where there are competitors in the market, because they’re helping to grow the category,” Yakobson said. “They’re helping to train the customer in the habit of getting blowouts on a regular basis, so we find it very advantageous to be in a market where there are other competitors.”

If both companies hit their most optimistic targets, there will end up being 900 Drybar and Blo shops in North America. At that size, they would outnumber Gap stores, and they would more than double the 400 Lululemon locations worldwide.

{ "id": 8772228 } "Count it as affordable self-care, cheaper than therapy or a massage!"

While these businesses want a return to the habits of the 1950s, they come with a different value proposition today.

Back in the day, a weekly wash-and-set was an affordable part of the average woman’s routine. Newspapers on Long Island and in Texas advertised “shampoo and sets” at prices of $1.50 or $1.75 in the late 1950s. Even in Manhattan, a quality shampoo and set on a budget could cost as little as $3 in 1962. Adjusted for inflation, that $1.50 shampoo and set would be a little under $12.50 today.

Now, the idea is for upper-middle-class women to view blowouts as a luxury, but one that’s worth it for the psychological benefits. As one woman I know put it, $40 is “that price point where it feels like a doable splurge — count it as affordable self-care, cheaper than therapy or a massage!”

Drybar, to set itself apart, maintains a maniacal focus on customer experience.

When the sheer size of the chain made it impossible to ship in fresh flowers to salons all the time, its executives were devastated, until Landau saw a display of succulents that convinced the team there was still hope. The company once struck up a tentative partnership with the maker of an instant coffee machine, but the deal was axed after testing showed the machines threw an extra 90 seconds into the customer timeline compared with regular brewed coffee.

There’s even an employee at Drybar headquarters in charge of “just because” touches. They might send a nice letter to someone who writes a positive review, or send thank-you flowers to the top 50 customers in every city.

dry bar business plan

It’s not just the little things Drybar does that are interesting — the things it chooses not to do are also revealing. It turned down former J.C. Penney CEO Ron Johnson when he tried to get Drybar outlets into some of the revamped, higher-end versions of the struggling department store chain. Drybar dodged a bullet on that one: Johnson’s remake ended in disaster, as plunging sales led to the CEO’s ouster, and many of his most ambitious ideas have since been abandoned.

Drybar has also declined plenty of partnership requests from brands wanting to offer freebies to its coveted clients. One such promotion it chose to run was with Luna Bars, where the health-food brand picked up the tab for every Drybar blowout during a promotional period, and then gave the customers a Luna Bar.

“Clients went crazy because it was a surprise and delight and they got a free blowout and then Luna Bar got the benefit of getting the interaction,” Landau said. “We have a lot of other things in the works along that line.”

Companies like Drybar are the beneficiaries of a major change in the spending priorities of young people, who have proven much more interested in paying premium prices for food and drink, entertainment, and, yes, blowouts, and much less interested in paying $50 for a shirt. A recent survey by youth researcher Cassandra found that 62% of 19- to 34-year-olds would rather spend money on a cool experience than a cool product.

One of America’s biggest mall landlords has noticed the trend playing out at shopping centers across the country. “Millennials seem to be more focused on experiential things, whether that’s going on vacations or just spending money on themselves,” General Growth Properties CEO Sandeep Mathrani said in an interview with BuzzFeed News.

While malls have always had salons, Drybar “has managed to create a new environment for the millennial, the teen, or young baby boomer, to feel comfortable going in and feel like they they’re not going to their grandmother’s place, if you will,” Mathrani said.

Being such a trendy destination makes real estate negotiations a whole lot easier. The Bloomingdale’s in Manhattan’s Soho neighborhood rents Drybar space at a “very, very reduced rate,” Landau said, and that’s reflective of the great deals major mall owners are giving Drybar across the country.

“There’s a willingness and a desire for us to be there because of the foot traffic we bring,” he said. “We bring a bunch of women who shop before, and then get really, really happy, and then shop after, and so that’s a fact that’s not lost on developers.”

Even though blowouts are temporary, they often lend themselves to pictures that last a lot longer, said Liz Dunn, founder and CEO of retail consulting firm Talmage Advisors.

{ "id": 8772234 } Drybar loves to say that it’s selling more than just blowouts — it’s selling “confidence and happiness.”

"It's not just Facebook, but it's also online dating; it becomes your Gmail profile picture; there are so many places that are using our own images," Dunn said. "People are very concerned about their own personal brands these days and it fits into that. It's hard to find a shirt that's going to get a lot of positive feedback or commentary unless it's inappropriate."

Dunn believes the blowout bar is here to stay, noting that “the millennial generation is spending more on health, wellness, and beauty than older generations and that seems to be a more permanent trend.”

Drybar loves to say that it’s selling more than just blowouts — it’s selling “confidence and happiness.” Its executives drop this line within minutes of starting an interview, it’s written on a wall in its headquarters, and it pops up in just about every story written about the company.

The type of confidence and happiness Drybar is selling can be accessed only by those with the money to afford it. In New York, the Drybar “Barfly” membership, which comes with two blowouts a month and a free one on your birthday, costs $80 a month, or just under $1,000 a year.

dry bar business plan

Skeptics say businesses like Drybar — trendy, expensive, concentrated in a handful of rich urban markets — are vulnerable to the changing whims of on-trend customers. One of the few tense moments of my day at Drybar’s headquarters came when I asked Heffner, the CEO, what he thinks is fueling the blowout trend, and why it didn’t happen sooner. He visibly bristled.

The reaction, he explained, came from the word “trend.”

“Trends, historically, have a beginning and an end,” he said. “I don’t see Drybar and the service that we offer as having an expiration date associated with it.”

Webb says one sign the chain will endure is the way so many of its customers develop major blowout habits. “What we saw, and what we still see, is this behavior of, ‘I don’t go on a date without getting a blowout, I don’t go on a job interview without getting a blowout, I don’t go to a board meeting without getting a blowout,’” she said. “It’s not just because they look better, which they do, and that’s great, but it’s because of how they feel.”

When a new Drybar opens, it typically starts off busy on weekends and quiet during the week, Landau said. But as locals develop a habit, the busy days begin to spread. “Then it’s Thursday, Friday, and Saturday. Then it’s Wednesday, Thursday, Friday, and Saturday. And then, in our mature stores, there’s not that much of a difference between a Monday and a Saturday.” •

dry bar business plan

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The Business of Blowouts: Operational Efficiencies at DryBar

DryBar’s ingenious branding, relentless commitment to customer experience and effective operations are transforming the beauty industry one blowout at a time.

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Drybar launched the concept of a “Blow Dry Only” hair salon in 2010. The idea was simple but revolutionary. It has been an innovation in the industry by transforming the affordable luxury space. Drybar is now a $50 million enterprise with 40 salons across the country, 3,000 employees and is currently valued at nearly $200 million. Its success can be attributed to its ingenious branding, relentless commitment to providing a unique customer experience and efficient operations even in the midst of tremendous growth.

Business Model

Drybar was founded by Alli Webb in 2010 with its first salon in Brentwood, CA. It was the first blow dry only hair salon created around the concept of a “bar” providing $40 blowouts while creating a luxe and relaxing customer environment. Drybar has done so well in developing the brand that they now distribute and sell their own hair products, from curling irons to conditioners. Each style of blowout, named after cocktails like the “Mai Tai” and the “Manhattan”, can be quickly scheduled online or over their mobile application. Customers can expect reliable and high quality service in each of Drybar’s perfectly curated spaces. Drybar tapped into an unrecognized need that women wanted, needed and loved and now serves over 100,000 customers monthly.

Pathways to Just Digital Future

Operating Model

A large part of DryBar’s success can be attributed to their efficient and well aligned operating model. First, the limited “bar” menu of five clearly defined blowout styles ensures quick service and consistency. By only offering blowouts and not other time consuming services like haircuts, color, or other treatments, Drybar is able to eliminate bottlenecks that often occur in hair salons when different services have different cycle times leading to variability and inefficiencies in daily processes. Allocating time effectively per customer allows the stylists to better manage their scheduling and ultimately allows the company to maximize their daily output and optimize throughput time.

menu

Second, Drybar focuses on improving the time per customer and experience by making sure every one of the 2,000 stylists and staff undergo a thorough and intensive training program before hiring. “In most salons, stylists rent a chair, come in, do their work and go home” quotes Micheal Landau, a co-founder in Dry Bar. At Drybar, the stylists are salaried or part time which ensures that they are held accountable and improves consistency leading to more repeat customers and a more cohesive corporate culture.

http://www.thedrybar.com/videos/heartsoul

Another important operational component is the way Drybar optimizes its scheduling processes to maximize the amount of bookings per day. They employ a seamless online booking process and track telephone hold times to ensure hold times are kept to a minimum. When Drybar first opened, they planned on having a receptionist desk at the salon to schedule appointments but then realized that the noisy environment led to dozens of missed appointments and inefficiencies in the booking process. They improved this operating process by switching to a “VoIP phone system” and hired a separate operator to schedule appointments and communicate with the salon over instant message, a service that they still use today. The call center now has over 50 customer service representatives to improve scheduling, reduce wait times and ensure that the salon is running at capacity. If your usual Drybar is busy, they will book an appointment at the next nearest location.

Control on supply chain management is also a substantial factor driving up their annual revenue. Because of DryBar’s success in opening multiple locations around the country, they have created a market for their custom products like their signature yellow blow-dryer “The Buttercup” and a series of other hair care products. They also developed  partnerships with QVC and Sephora and work with these widespread channels to effectively manage the supply chain of the DryBar product lines. This requires the need for extensive demand and distribution analytics to be able to manage inventory levels at stores and partner locations and control distribution. They recently brought on Jeff Goad, who brings experience in distribution management from Ford and Johnson & Johnson, as their supply chain leader to develop, plan, and distribute their branded consumer products.

products

Lastly, DryBar’s ability to replicate these operating strategies across their 40 salons has allowed them to ensure a high quality and consistent customer experience. Drybar managers recognized that bottlenecks are the enemy of scaling. With their initially small leadership team, Landau noted “You realize that you’re a bottleneck if everything has to go through you”.  Making sure that every aspect of the customer experience was perfectly choreographed across every location required an extensive amount of oversight and resources . Recognizing this common problem with scaling, the leadership team grew by adding key positions including directors of Retail, IT and Team Experience to safeguard the unique customer experience. The leadership team makes sure every salon looks and feels the same and clients are made to feel like guests with scripted greetings and complimentary beverages. They even chose to work with the same architect, Josh Heitler, on every location to make sure the layout and design are similar.

Store layout

What’s next for DryBar? The company just launched a new app “Dry on the Fly” which will let you get your blowouts at the comfort of your own home. For $75, an “Uber”-like service will allow you to schedule an appointment and have a stylist at your door within a certain time window. Like Uber, you can track the buttercup blowdryer icon on your phone application and see how close a stylist is to your home. There could be issues with this mobile service in terms of replicating the valued customer experience factor, however, if their operating model can translate, there is significant opportunity to be a thriving player in the mobile services space.

washing

http://www.thedrybar.com/videos/HowItStarted

References:

  • Forbes. “The Secret of Drybar’s $50 Million Success: Make the Customer the Star”, Micah Solomon, 2014.
  • Drybar Official Website. http://www.thedrybar.com/about-us/
  • Business Insider. “The Founders of Chic Salon Chain Drybar Attribute their Success to this Motto”,  Jacquelyn Smith, 2014.
  • Forbes. “Drybar: How One Woman and a Hair Dryer Became a $20 Million Operation. Meghan Casserly, 2012.
  • Fast Company. “What a cracked mirror taught drybar execs about managing their meteoric growth. David Zax, 2013.
  • Bustle Magazine. “Drybar’s New App “Dry On The Fly” Will Let You Get At Home Blowouts, But It’s Going To Cost You”, Stephanie Chon, 2015.

Student comments on The Business of Blowouts: Operational Efficiencies at DryBar

Interesting post!

DryBar presents a very interesting operating model, in that it creates affordable “luxury” in a very standardized manner. Simply put, we don’t generally associate a standardized experiences with luxury, instead thinking as luxury as a customized experience. So what happens when you offer a standard menu of simple luxury items, charge prices within customers’ willingness to pay, and take the pain out of the booking process? You get a successful and rapidly growing business.

I also find it fascinating that many higher end salons have taken note of DryBar’s success and have started offering reasonably priced blowouts with their junior staff as a means of keeping their chairs full. What does this mean for the long term viability of DryBar and its business model? Will customer loyalty cause DryBar’s patrons to visits the stylist who cuts their hair for their blowouts instead of visiting DryBar? Will these more custom experiences be more attractive to consumers? Only time will tell, but definitely interesting to think about.

Thanks for sharing!

Love this post SR. Admittedly know very little about blowouts but definitely see tons of potential here. This is almost like the Benihana of blow drying. It seems as though their ability to win over customers and offer a high quality experience comes from some of the very same operational tweaks that we saw in our very first case. By reducing the number of “menu items” they have cut down wait times and variability driving efficiency gains for both company and consumer. To that end this expansion plan seems like a deviation from the operating and business model that’s already so well aligned. Right now everything seems pretty streamlined with solid labor utilization and great scheduling practices. My worry is that this new service which introduces new travel logistics and potential new scheduling headaches could be causing more harm than good. I really think their current product suite is well tailored to their operations and any new projects going forward should complement, not complicate their business model.

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How To Buy Drybar Franchisee Business: Checklist

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Welcome to the world of Drybar franchise opportunities! If you're a fan of fabulous blowouts, entrepreneurial spirit, and a thriving salon business, then this article is for you. In this blog post, we will guide you through the process of acquiring a Drybar franchise, providing you with a comprehensive checklist to ensure a smooth and successful transition into the exciting world of blowouts.

Before we dive into the checklist, let's take a moment to appreciate the incredible growth and potential of the blowout industry. According to recent statistics, the blowout market is estimated to reach a value of $1.5 billion by 2024, with a compound annual growth rate of 8.8% from 2019 to 2024. This significant growth is driven by the increasing demand for salon services, especially among busy individuals seeking convenient and affordable beauty solutions.

  • Research and evaluate the franchise opportunity
  • Identify potential funding sources
  • Prepare a comprehensive business plan
  • Engage in discussions with Drybar franchise representatives
  • Conduct a thorough due diligence on the franchise business
  • Secure necessary financing and finalize funding arrangements
  • Negotiate the terms of the franchise agreement
  • Develop a detailed financial model for the future operation of the franchise
  • Execute the franchise agreement and begin the process of acquiring the business

Research And Evaluate The Franchise Opportunity

When considering the acquisition of a Drybar franchise, it is crucial to conduct thorough research and evaluate the opportunity before making any commitments. This step is essential to ensure that the franchise aligns with your goals, interests, and financial capabilities. Here are some important factors to consider during the research and evaluation process:

  • Brand Reputation: Evaluate the reputation and recognition of the Drybar brand. Research customer reviews, social media presence, and industry rankings to gauge the level of customer satisfaction and brand recognition. A strong and reputable brand can greatly contribute to the success of your franchise business.
  • Market Potential: Assess the market potential for Drybar services in your desired location. Consider factors such as demographics, competition, and market demand. Investigate the demand for blowout services and the potential target market in your area.
  • Franchise Support: Research the level of support provided by Drybar to its franchisees. This includes initial training, ongoing support, marketing assistance, and operational guidance. A franchisor with a comprehensive support system can significantly ease the process of setting up and managing your franchise business.
  • Financial Requirements: Understand the financial obligations associated with owning a Drybar franchise. This includes the initial franchise fee, ongoing royalty fees, marketing contributions, and other potential costs. Evaluate your financial capabilities and ensure that you have the necessary resources to invest in and sustain the business.
  • Franchise Agreement: Carefully review the terms and conditions of the franchise agreement. Seek legal advice to fully comprehend the rights, responsibilities, and limitations outlined in the agreement. Understanding the franchise agreement is crucial to make an informed decision and protect your interests.
  • Attend Drybar franchise discovery events or webinars to learn more about the franchise opportunity firsthand.
  • Speak to current Drybar franchisees to gain insights and feedback about their experience and challenges.
  • Consider visiting existing Drybar locations to observe operations and gather information about the customer experience.
  • Utilize online resources such as franchise directories and industry reports to gather additional information on the franchise opportunity.

Drybar Franchise Financial Model Get Template

Identify Potential Funding Sources

Once you have thoroughly researched and evaluated the Drybar franchise opportunity and have decided to pursue it, the next crucial step is to identify potential funding sources. Securing the necessary financing is essential to ensure the smooth acquisition and operation of your franchise business.

Here are some important points to consider:

  • Traditional Bank Loans: Approach local banks or financial institutions to inquire about small business loans specifically for franchise acquisitions. Prepare a comprehensive business plan and financial projections to present to potential lenders.
  • Small Business Administration (SBA) Loans: The SBA offers loan programs specifically designed for franchise businesses. Explore the options available and ensure you meet the eligibility criteria.
  • Franchise Financing Companies: Some companies specialize in providing funding exclusively for franchise businesses. Research and approach reputable franchise financing companies to explore your options.
  • Personal Savings: Evaluate your personal financial situation and consider using your own savings to invest in the franchise. This may reduce your dependency on external financing sources.
  • Family and Friends: If you have a strong support network, consider approaching family and friends who may be interested in investing in your franchise business. Make sure to formalize all financial arrangements through legal contracts to protect relationships and ensure clarity.
  • Research and compare interest rates, terms, and conditions offered by different funding sources before making a decision.
  • Prepare a strong business case that demonstrates the potential profitability and viability of the Drybar franchise to increase your chances of securing funding.
  • Seek advice from a financial advisor or consultant to guide you through the funding process and help you make informed decisions.

Identifying potential funding sources is a critical step towards making your dream of owning a Drybar franchise a reality. Take the time to explore various options and consider the best fit for your financial goals and aspirations. Remember, securing the right financing is key to laying a solid foundation for your future franchise success.

Prepare A Comprehensive Business Plan

Preparing a comprehensive business plan is a crucial step in the process of acquiring a Drybar franchise. This document will serve as a roadmap for your future operation of the franchise and will be essential for securing funding and attracting potential investors.

Start by conducting thorough market research to gain a deep understanding of the beauty industry and the demand for blowout services in your target location. Identify your target market and analyze your competition to determine your unique selling points.

Include an overview of your background and experience in the beauty or salon industry, highlighting any relevant skills and expertise you bring to the table. Outline your vision and goals for the franchise, including details on the type of salon environment you want to create and the level of customer service you aim to provide.

When discussing the financial aspects of your business plan, include projected revenue and expenses, as well as a break-even analysis. This will demonstrate that you have done your due diligence and have a realistic understanding of the financial viability of the franchise.

Tips for preparing a comprehensive business plan:

  • Be detailed and thorough in your research and analysis.
  • Include a clear marketing and branding strategy to attract customers.
  • Outline a comprehensive staffing plan to ensure smooth operations.
  • Include a contingency plan in case of unexpected challenges or changes in the market.
  • Consider seeking the assistance of a professional business consultant or advisor to review your plan and provide valuable insights.

Remember, a well-prepared business plan will not only help you secure financing and negotiate terms with the franchise, but it will also serve as a valuable tool to guide your future operations and ensure the success of your Drybar franchise.

Engage In Discussions With Drybar Franchise Representatives

Now that you have researched and evaluated the Drybar franchise opportunity, it is time to take the next step and engage in discussions with their franchise representatives. This stage is crucial as it will allow you to gather more information, address any concerns or questions, and gain a deeper understanding of the franchise's requirements and expectations.

When engaging in discussions with Drybar franchise representatives, it is important to approach the conversation with a professional tone and preparedness. Here are some important points to consider:

  • Prepare a list of questions and concerns: Before you reach out to the franchise representatives, compile a list of queries and concerns that you would like to discuss. This will ensure that you gather all the necessary information you need to make an informed decision.
  • Understand the franchise model: Take the time to familiarize yourself with Drybar's franchise model, including their brand values, standards, and support systems. This will help you assess if it aligns with your own goals and aspirations.
  • Explore the franchising costs: During the discussions, inquire about the initial franchise fee, ongoing royalty fees, and other financial obligations. Understand the investment required and determine if it is within your budget.
  • Discuss training and support: Inquire about the training and support provided by Drybar to their franchisees. Understand the extent of their assistance in areas such as location selection, salon setup, marketing, and operations.
  • Seek clarification on terms and conditions: It is essential to clarify any ambiguity or concerns you have regarding the franchise agreement. Discuss the terms, obligations, and restrictions laid out in the agreement to ensure a clear understanding before moving forward.
  • Take detailed notes during the discussions to refer back to later.
  • Listen actively and ask follow-up questions to gain a comprehensive understanding of the franchise opportunity.
  • Request contact information of existing Drybar franchisees to gather their insights and experiences.
  • Be professional and respectful throughout the discussions, as this will reflect your commitment and professionalism as a potential franchisee.

Engaging in discussions with Drybar franchise representatives is an important step in your journey towards acquiring a Drybar franchise. These conversations will provide you with valuable insights, enabling you to make an informed decision about moving forward with the franchise opportunity. So, be prepared, ask the right questions, and carefully consider the information provided as you navigate through this crucial stage.

Conduct A Thorough Due Diligence On The Franchise Business

Before finalizing any business acquisition, it is crucial to conduct a thorough due diligence on the Drybar franchise business. This process involves evaluating various aspects of the franchise to ensure it aligns with your goals and expectations. By conducting due diligence, you can uncover potential risks, understand the financial viability of the business, and make an informed decision.

Start by reviewing all the available documentation provided by the franchisor. This includes the Franchise Disclosure Document (FDD) , which is a comprehensive document that outlines the legal and financial obligations of both parties. Pay close attention to the terms of the franchise agreement, operational requirements, fees, and any restrictions imposed by the franchisor.

In addition to the FDD, analyze the financial statements of the franchise business. Take a close look at the revenue and expense figures to assess the profitability and sustainability of the existing operations. Consider seeking professional assistance from an accountant or financial advisor to ensure that you interpret the financial information correctly.

Research the market and competition in the area where you plan to operate the franchise. Understand the demand for blowout services in the local market and identify potential competitors. Analyze their business models, pricing strategies, and customer reviews to identify opportunities and challenges.

  • Consider reaching out to existing Drybar franchisees to gather insights and understand their experiences with the franchisor.
  • Visit multiple Drybar locations to observe the customer experience, quality of services, and overall operational efficiency.
  • Engage with industry professionals, such as salon owners or hairstylists, to gain a comprehensive understanding of the blowout service industry.
  • Consult with a legal professional to review the franchise agreement and ensure that you fully understand all the terms and conditions.

By conducting a thorough due diligence on the Drybar franchise business, you can minimize the risks associated with the acquisition and make an informed decision. This diligence process allows you to assess the financial viability, market potential, and operational aspects of the franchise, ensuring that it is a suitable opportunity for your entrepreneurial ambitions.

Secure Necessary Financing And Finalize Funding Arrangements

After conducting a thorough evaluation of the Drybar franchise opportunity, it is crucial to secure the necessary financing to acquire and operate the business. Finalizing funding arrangements is an essential step towards turning your dream of owning a Drybar franchise into a reality.

Research Potential Funding Sources: Start by researching potential funding sources that specialize in franchise investments. Look for lenders who have experience in the salon and beauty industry and understand the unique challenges and opportunities it presents. Consider traditional banks, credit unions, Small Business Administration (SBA) loans, and alternative financing options.

  • Collaborate with a financial advisor or franchise consultant who can assist you in finding suitable funding sources and guide you through the process.
  • Review the specific requirements and criteria of each potential funding source to determine which options align best with your financial situation and goals.
  • Prepare a strong and compelling business proposal that highlights the potential profitability and scalability of your Drybar franchise.

Prepare Financial Documents: Before approaching lenders or investors, gather and organize all the necessary financial documents. This may include personal and business tax returns, bank statements, credit history reports, and other relevant financial statements. A comprehensive and well-prepared financial package increases your chances of securing the funding you need.

Secure Funding and Finalize Arrangements: Once you have identified potential funding sources and prepared the required financial documents, it's time to begin the process of securing financing. Submit loan applications, meet with potential investors, or explore other financing options and negotiate terms that are favorable to you.

Consult with Professionals: Throughout this process, it is wise to consult with professionals such as lawyers or accountants who specialize in franchise financing. They can provide expert advice and ensure that all legal and financial aspects are properly addressed before finalizing funding arrangements.

Securing necessary financing and finalizing funding arrangements is a crucial step towards acquiring your dream Drybar franchise. By conducting thorough research, preparing financial documents, and seeking professional guidance, you can increase your chances of obtaining the funding needed to make your franchise ownership a reality.

Negotiate The Terms Of The Franchise Agreement

Once you have decided to pursue the opportunity of acquiring a Drybar franchise, it is crucial to engage in thorough negotiations to ensure that the terms of the franchise agreement align with your goals and expectations. This step is essential in protecting your interests and building a strong foundation for a successful business partnership.

1. Review the franchise agreement: Begin by carefully reviewing the franchise agreement provided by Drybar. Pay attention to key areas such as the term of the agreement, renewal options, territory exclusivity, royalty fees, marketing requirements, and any obligations or restrictions imposed by the franchisor. Seek legal counsel to ensure that you fully understand the terms and implications before entering into negotiations.

2. Identify your priorities and negotiate: Prioritize your goals and establish clear objectives when negotiating the franchise agreement. Determine what aspects are crucial to your business's success and be prepared to advocate for your interests. This may involve negotiating terms such as initial costs, ongoing fees, marketing support, training programs, and operational flexibility.

Helpful tips:

  • Research industry standards and benchmarks to gain a better understanding of what is negotiable and reasonable in a franchise agreement.
  • Be prepared to compromise, but also know your limits and non-negotiable terms.
  • Keep open lines of communication with the franchisor and be proactive in seeking clarification or guidance during negotiations.

3. Seek professional advice: Engage the services of an experienced franchise attorney or consultant who can provide expert guidance during the negotiation process. They can help protect your interests, identify potential pitfalls, and offer valuable insights that may enhance your negotiating position.

4. Document all changes: As negotiations progress, ensure that any agreed-upon changes to the franchise agreement are well-documented. Have all modifications and amendments in writing to prevent any misunderstandings or disputes in the future.

5. Consult with current franchisees: Reach out to existing Drybar franchisees to gain firsthand knowledge of their experiences and insights into the negotiation process. They can provide valuable advice on any challenges or areas to focus on during negotiations.

6. Be mindful of timelines: Negotiations can be time-sensitive, so it is important to stay on track and meet any deadlines set by the franchisor or legal counsel. Keep thorough records of all communication and ensure that all parties involved are well-informed of progress and any changes or requests.

Negotiating the terms of the franchise agreement is a critical step in acquiring a Drybar franchise. It allows you to establish a solid foundation for a successful partnership and ensures that both parties' interests are protected. Taking the time to thoroughly understand and negotiate the agreement will contribute to the long-term success of your business.

Develop A Detailed Financial Model For The Future Operation Of The Franchise

Once you have decided to acquire a Drybar franchise, it is crucial to develop a detailed financial model that will guide the future operation of your business. This financial model will serve as a roadmap, outlining your revenue projections, expenses, and the overall financial health of your franchise.

Here are some important steps to consider when developing your financial model:

  • 1. Research and gather data: Start by researching industry standards and analyzing financial data from existing Drybar franchises. This will help you understand the average revenue generated, operating costs, and profit margins. It's important to gather accurate and up-to-date financial information to ensure your model reflects a realistic picture of your future business.
  • 2. Identify revenue streams: Determine the various revenue streams your franchise will have, such as blowout services, retail product sales, and additional add-on services. This will help you estimate your potential income sources and allocate resources accordingly.
  • 3. Project expenses: Estimate your monthly expenses, including rent, utilities, employee salaries, supplies, marketing costs, and any other expenditures associated with running a Drybar franchise. Consider both fixed and variable expenses, and be conservative in your estimates to account for unexpected costs.
  • 4. Calculate profitability: Based on your projected revenue and expense figures, calculate the profitability of your franchise. This will help you determine if your business model is financially viable and if you can expect a return on your investment.
  • 5. Determine breakeven point: Identify the revenue level at which your franchise will cover all its expenses and start generating a profit. This will give you an idea of how long it may take for your business to become financially sustainable.
  • 6. Scenario analysis: Perform scenario analysis by adjusting various factors like pricing, sales volume, or expenses to understand the impact on your financial projections. This will enable you to assess the sensitivity of your business model to different market conditions.
  • 7. Seek professional assistance: If you are not familiar with financial modeling or need guidance, consider hiring a professional accountant or financial advisor with experience in franchising. They can help you ensure the accuracy and viability of your financial model.
  • Regularly update your financial model as your business grows and market conditions change.
  • Be conservative in your revenue projections and factor in seasonal fluctuations that might affect your sales.
  • Consider the impact of marketing and promotional expenses to attract and retain customers.
  • Include a contingency fund in your financial model to account for unexpected expenses or downturns in the business.

By developing a detailed financial model for the future operation of your Drybar franchise, you will have a clear understanding of the financial implications and feasibility of your business. This will not only help you make informed decisions but also present a solid plan to potential investors or lenders, increasing your chances of securing funding for your franchise acquisition.

Execute The Franchise Agreement And Begin The Process Of Acquiring The Business

After conducting thorough research, engaging in discussions with Drybar franchise representatives, and securing necessary financing, it is time to execute the franchise agreement and officially begin the process of acquiring the business. This step is crucial and requires careful attention to detail to ensure a smooth transition into franchise ownership.

1. Review and understand the franchise agreement: Before signing any legal documents, carefully review the franchise agreement. Seek legal counsel to ensure you understand the terms and conditions, including the rights and obligations of both parties involved. It is important to clarify any doubts or concerns before proceeding.

2. Seek assistance from professionals: To ensure a successful acquisition, consider enlisting the help of professionals such as accountants, lawyers, and business advisors. They can provide valuable guidance throughout the process, offering expert advice and ensuring compliance with regulations and laws.

  • Choose professionals with experience in franchise acquisitions to maximize their effectiveness.
  • Ensure all professionals are fully aware of your goals and objectives to align their advice with your specific needs.

3. Prepare for the transfer of ownership: Work closely with the current owner and the franchisor to facilitate a smooth transition of ownership. This may involve transferring licenses, permits, contracts, and leases, as well as coordinating with suppliers and vendors. Stay organized and maintain open communication to avoid any disruptions during the transfer process.

4. Train and hire staff: As part of the acquisition, you may need to hire and train new staff members. Familiarize them with the Drybar brand, its values, and service standards to deliver a consistent customer experience. Develop a detailed training plan and ensure all employees are equipped with the necessary skills to excel in their roles.

5. Develop a marketing strategy: Once the franchise agreement is executed, it is important to begin marketing efforts to attract customers to your new Drybar franchise. Collaborate with the franchisor to leverage their brand recognition and marketing resources. Develop a comprehensive marketing strategy tailored to your specific location and target audience.

By executing the franchise agreement and embarking on the process of acquiring the Drybar franchise, you are one step closer to realizing your dream of owning and managing a successful blowout salon business. Stay focused, diligent, and proactive throughout the transition period to ensure a seamless and successful transition into franchise ownership.

Acquiring a Drybar franchise is an exciting opportunity for entrepreneurs passionate about the beauty industry. By following this checklist, you can ensure a smooth and well-informed process of buying and managing your own licensed franchise. Researching and evaluating the franchise opportunity, identifying funding sources, and developing a comprehensive business plan are crucial initial steps. Engaging in discussions with Drybar representatives and conducting due diligence will help you make an informed decision. Securing necessary financing, negotiating the terms of the franchise agreement, and developing a detailed financial model are essential for a successful acquisition. Finally, executing the franchise agreement and starting the process of acquiring the business will set you on the path to becoming a proud owner and manager of a Drybar franchise.

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How to Open a Bar

Don’t let tough competition and heavy capital investment turn you away from your cocktail dreams. Learn how to open a bar following these steps. 

Ready to start your business? Plans start at $0 + filing fees.

dry bar business plan

by   Swara Ahluwalia

Swara has over six years of writing experience in the software, manufacturing, and small business segments. When she ...

Read more...

Updated on: September 17, 2024 · 15 min read

Is now the right time to open a bar?

How to start a bar in 12 steps, how much does it cost to open a bar, how to decide which business structure is right for you.

There’s a lot to consider if you aspire to become a bar owner. Alcohol permits, significant funds, location, staff, and even a food menu. 

But don’t let these “to-dos” deter you from your dream of creating happy drink experiences for others. A successful bar owner stands to earn approximately $330,000 in annual revenue, with $39,600 in profits—which is much better than the average 10% returns from stock market investments. 

A small business owner standing behind the bar and protective sneeze guards prepares to open his bar.

Use this guide and our tips to open and effectively manage your bar. 

You’ll be surprised to know that despite stiff competition and being the ninth-largest market in the U.S., the industry is expected to grow at 2.2% by 2028. Also, the heavy initial investment definitely pays off as seen by the gross  profit margins of 48% , which is significantly higher than the restaurant business's margins of 3%-5%.

Here are reasons to own your own bar: 

  • You are providing a safe entertainment area for the local community.
  • Lucrative earnings potential as liquor and food have high markups.
  • A bar provides a source of employment for others in the community.
  • No two days are the same, offering a break from the 9 to 5 of a desk job.

But be prepared. Owning a bar isn’t something you can just swing. It’s a full-time commitment in a notoriously competitive business that faces tough regulatory controls and requires major equipment investment. However, if you play your cards right, you can overcome these hurdles and build a rewarding career as a bar owner.

Use our 12-step roadmap to raise your glass to a successful bar business. 

Step 1: Conduct market research 

Your vision of a lively bar with great drinks and a steady flow of customers will only be possible if you have done your market research. Otherwise, you risk becoming just another bar. To get an understanding of opportunities and identify which niche you can cater to, complete one or more of the following due diligences: 

  • Study population demographics. Conduct surveys and interviews to understand needs and client preferences. Your local Chamber of Commerce is a good resource for this information. 
  • Know your competition. Monitor other bars and successful establishments to understand their offerings and clientele to know what’s working and how to stand out from the crowd.
  • Network with professionals. Reach out to other established bar owners to learn best practices and get invaluable tips on how to open a bar.  

Step 2: Decide on your bar concept

What type of establishment do you want to open? Use your market research and identify where’s the gap—that’s your best shot at building a bar that offers a unique experience.

You can also explore the following concepts and find one that appeals to your target market while matching your goals and skill set. 

  • Neighborhood bar. Targets a local crowd, providing a laid-back vibe for people to let off steam. 
  • Wine bar. A specialty bar serving hard-to-find and quality wines from across the globe. The menu at wine bars complements the drink, like cheese and charcuterie boards.
  • Sports bar. Designed to appeal to sports fans with large screen TVs to showcase games and primarily serve beer and typical bar food. Many sports bars have video games and pool tables to keep people entertained.
  • Cocktail bar. A specialty bar that attracts people based on their well-crafted drinks. These bars have a more up-scale ambiance and require skilled bartenders. 
  • Microbrewery or beer pub. Offer their own brews alongside a variety of other craft beers. Some breweries provide a select food menu that pairs well with the beer. 

Step 3: Choose a business model

Every business owner needs to decide on a business structure. The chosen entity structure influences your legal liability, ownership rights, tax obligations, and funding options.

A sole proprietorship is the easiest to set up and operate, but this model offers no liability protection. You may need to dip into your personal savings to pay off a loss. The most popular structure that separates your bar business from you as a person is an LLC. Suppose someone gets injured at your bar. They can  file a personal injury lawsuit against the business—not you. Formalizing your business also makes it easier to secure funds and provides several tax advantages.

Step 4: Write a business plan

A business plan gives you the foundation for growth and securing funds. It should cover the following essentials. 

  • Executive summary. Describe the mission, vision, and values driving your business. 
  • Market analysis. Mention market trends, local bar and restaurant statistics, and growth opportunities. 
  • Bar description. Name your business and detail the type of bar you’d like to open, potential customers, and exact location. Outline the food and type of drinks you will serve and emphasize unique offerings, like ladies' night or signature cocktails. 
  • Financial projections . Understanding the economics is crucial to building a profitable business. Your business plan should include startup costs, operating costs, income statements, and projected profit and loss statements. Also, a bar requires serious funds. If you don’t have the money, where will you secure funding? Good funding options include small business loans, angel investors, crowdfunding, and grants. 
  • Operations plan. Outline the organizational structure, including ownership details, the number of people you’ll hire, and their roles and responsibilities. Describe daily operational processes, like billing and payments, or manage a disgruntled customer. 
  • Marketing and sales. The right marketing strategy is key to your bar’s longevity and success. Marketing efforts should be driven by why people should come and hang out at your bar over another. 

Step 5: Find the perfect location

Location, location, location! It can make or break your bar. While selecting the perfect spot, weigh the following factors: 

  • Access to public transport and parking
  • Foot traffic
  • Rent and utilities
  • Alignment with bar’s theme and clientele
  • Zoning and other regulatory restrictions
  • Competition in area

Work with an experienced real estate agent and scout multiple properties. A real estate attorney can help you negotiate an attractive lease agreement, such as a modified gross lease that gives you more control over the property. 

Step 6: Obtain necessary licenses and permits

Owning a bar is a high-stakes business subject to stringent legal oversight. Securing some of these can take a while, so it’s best to get the paperwork started early. For instance, registering with the Alcohol and Tobacco Trade and Tax Bureau (TTB) can take a minimum of 45-60 days. LegalZoom can help you   secure  licenses and permits . 

Licenses and permits required to open a bar are as follows: 

  • Liquor license 
  • Food service license 
  • Food handler’s permit 
  • Certificate of Occupancy 
  • Music and entertainment license
  • Health and safety permit
  • Signage permit
  • Resale permit

Step 7: Design your bar

Your bar design impacts the vibe and ambiance you're creating. The design should effectively utilize the space, reflect your concept, and appeal to your target customer base. Pick furniture, artwork, lighting, and music to complement your theme. 

The space also needs to be functional and safe, with designated areas for standing, sitting, and socializing. For instance, stuffing many chairs and tables into a small bar can make it difficult for your server to reach all customers. You can create a design blueprint using your good old paper-and-pen, use software like RoomSketcher, Floorplanner, and Planner 5D, or hire an interior designer.

Step 8: Purchase equipment and inventory

Bars require significant equipment—from glasses, glass washers, furniture, and serving utensils to ice machines and taps. 

Create a list of items you will need and ensure it aligns with your bar concept. For example, don’t spend on fancy cocktail glasses if you aren’t going to serve specialized drinks. 

You can find equipment, alcohol, and food suppliers via an online search. Don’t shy away from reaching out to other bar owners, restaurants, or event planners and asking who is best in the business. Factor in things such as delivery times, payment terms, selection of beverages and food, and minimum purchase price before finalizing a supplier.

Step 9: Get a bar POS system

A POS (point-of-sale) or payment system saves time and makes managing operations more efficient. Imagine running everyone’s tabs using a pen and calculator. Your POS should be able to do the following: 

  • Create open tickets and invoices.
  • Track inventory.
  • Integrate with multiple payment systems.
  • Split checks.
  • Change menu and pricing.
  • Provides sales reports.

Toast, TouchBistro, Clover, and Square are the most popular POS systems in the market. Take advantage of their free trials to learn how they work. 

Step 10: Hire and train your staff

Running a bar as a one-man show is tough. You will have many people to hire:

  • security personnel

These are just some of the positions you need to fill. And, if your place has music, you might need a DJ. 

Yes, the industry is plagued with high turnover. But, it’s possible to build a strong culture by conducting thorough interviews, hiring those with experience, and providing a relevant training program, like how to deal with a drunk person or an intro course to bartending. Signing employee contracts that spell out roles and responsibilities also keeps conflicts at bay. 

Also, don’t skimp on pay and benefits. The industry is known for its massive margins, and sharing a little with your staff shows them you care and will help you build a tight-knit team. 

Step 11: Market your business

To build a cohesive brand image, select a  creative and available business name . Follow it up by designing a logo, color scheme, and signage. 

An engaging social media page, like TikTok or Instagram, along with a well-designed website, serve as powerful tools for brand identity.

More marketing strategies that don’t break the bank are: 

  • Tap into the digital crowd. Get listed on online directories like GoogleMyBusiness, GoogleMaps, and Yelp.
  • Partner with tastemakers. Connect with influencers to post pictures and reviews on social media sites. 
  • Create a buzz. Host game nights, happy hours, or live bands (if it aligns with your concept) to generate hype and excitement. 
  • Encourage word of mouth. Ask customers to review online reviews and share their positive experiences. 
  • Stand out from the crowd. Invest in attractive signage to draw people in. Make sure the sign is easily visible and recognizable.

Step 12: Launch and manage your business 

You’re almost at the finish line and ready to cut the tape. To announce that you're the new bar in town, consider hosting a party or a giveaway to generate hype. You could also partner with small businesses or charities to host an event that coincides with your grand opening. 

To boost brand recall, offer branded t-shirts or beer mugs on opening day. Many business owners recommend running a soft opening to work out kinks before the big day. 

Post the launch, there are some management "to-dos" that will help you run a smooth show:

  • Register and trademark your business name.
  • Get an EIN (Employer Identification Number).
  • Invest in inventory and sales tracking software.
  • Monitor profitability on an ongoing basis.
  • Focus on providing excellent customer service.
  • Stay updated on regulations and industry trends.
  • Provide regular staff training.
  • Hire a business lawyer to help with business decisions and legal advice.

The average cost of opening a bar is around $480,000 , but the numbers can range anywhere from $110,000 to a hefty $800,000 . Location, size, type of bar, staff, marketing, and regulatory permits and licenses all influence the startup costs.

Let’s get a closer look at the typical costs associated with opening and running a successful bar. 

Location, leasing, and utilities

Location and size is a heavy startup cost and is often correlated to the type of bar you wish to open. Renting a space is more economical than buying a space and there are various types of commercial leases that will give you more control over costs. Another way to save costs is to take over an existing bar so you don’t spend as much on renovations. 

The area you decide to rent a space impacts startup and operating costs. A commercial area with heavy foot traffic and proximity to other businesses is prime and will cost you more than an area tucked away from main streets. Likewise, opening a bar in a city like Los Angeles will cost more than opening one in a midwestern town like Cleveland. Utility rates are also higher in urban areas. A real estate agent with experience in the restaurant industry is the best person to help you find the right space. 

Renovations and decor

Creating an inviting atmosphere for your customers includes possible renovations and decor updates to your bar. Of course, buying an existing bar with your preferred decor will help cut any potential renovation costs. Furniture, lighting fixtures, the star of your space, and the actual bar should be considered.

Equipment and inventory

Equipment costs can quickly add up and can cost you around $30,000-$47,000 . Don’t forget the alcohol and food inventory costs. Get quotes from alcohol and food distributors and compare rates. To ensure you have enough stock for starting operations, set aside around $6,000-$10,000 for inventory. 

Licenses, permits, and insurance

Licenses and permits have a wide spectrum of costs. Liquor licenses can be between $100-$400,000. A state business license, on the other hand, costs around $50. Prices of permits like Certificate of Occupancy range between $100 to $200.   

If your bar has minimal needs, you could get a basic, cloud-based POS system for $60-$100 per month. Some platforms even provide a free plan that can suffice one or two person operations. The hardware could run you around $500-$1,500 . 

A good accounting system is equally important for keeping the books straight for tax time, identifying sales trends, and understanding profitability. Wave Accounting and Zoho Books offer free accounting packages to get you started. 

The number of people you need to run the place will raise startup costs. The  cost of hiring a bartender is $15.15 per hour, which amounts to $31,510 annually. A bar server also costs $15.80 per hour . On top of salaries, you’ll need to consider ongoing costs like employment taxes, benefits, and insurance costs per employee. If you’re a new business owner, here are some first steps to hiring employees .

It’s easy to build a professional website for free, but there are hidden costs like domain name registration and hosting charges. Experts suggest budgeting around 3%-6% of your expected revenue for marketing. 

Designing logos, menus, and other paraphernalia can be free if you go the DIY route or upwards of $2,500 if you work with a professional agency. 

Bars have greater legal risks than other businesses, so at the very least, you want basic liability protection by forming an LLC or corporation .

An experienced attorney can carefully explain the pros and cons of each structure when it comes to:

  • Liability. There is no liability protection in a sole proprietorship. LLCs and corporations offer liability protection that separates you from the business. 
  • Tax implications. As a sole proprietor, you will report your business earnings on your personal income tax. LLCs have the option to file as pass-through entities or as a corporation. Corporations are subject to double taxation as owners get taxed on their earnings, and the company needs to pay corporate income tax. 
  • Complexity . You are automatically considered a sole proprietorship when you start a business. To form an LLC or general partnership, you need to file articles of organization or partnership agreement with your Secretary of State. Forming a corporation is more complicated as you need to appoint a board of directors and create company bylaws. 
  • Costs. The fees for filing as an LLC for your bar depend on your state but are usually between $30-$300. To maintain good standing , you simply need to file an annual report. Corporations are the most expensive to form and maintain because of associated legal fees and complex compliance requirements. 
  • Control. A sole proprietor has complete control over the business. Depending on who and how you form the LLC with, the control is either spread equally or by a defined percentage between the owners. Stakeholders own the corporation and can vote to decide the company’s direction.

If you’re looking for more information about business structures, LegalZoom has expert guidance for new business owners . 

What are the risks of opening a bar?

Bars face risks of property damage, vandalism, theft, data breaches, food contamination, and personal liability. The bar business is seasonal and notorious for high employee turnover. 

What insurance coverage do you need for a bar? 

Important insurance covers include general liability insurance, workers’ compensation, commercial property insurance, and liquor liability insurance. An insurance broker will tell you what coverage is best for your space. 

How do I get funding to open a bar? 

There are multiple funding sources at your disposal. Explore startup business loans from the SBA or traditional sources like banks. A business credit card is a quick way to cover small to mid-sized ongoing costs like marketing and software subscriptions. Another popular way is crowdfunding, which allows you to raise funds you don’t have to pay back. 

How do I create a bar menu? 

Look at local bar menus and brainstorm about your best bar experiences. Use data from your market research to understand what customers want. Also, if the budget permits, consider working with a professional chef and mixologist to design a sample food and drink menu that will keep bringing customers back.  

How long does it take to open a bar?

It can take anywhere from a few months to a year to open a bar. The final timeline depends on your bar size, concept, and time to secure the necessary licenses and permits. Taking over an existing bar and having a well-planned business plan can speed things up. 

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An Entertainer’s Dream: Tips to Design Your Dry Bar

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The bar may be dry, but your home isn’t... ‍

“Never sit at the table when you can stand at the bar.” – Ernest Hemingway

Why Go Dry (Bar)

The obvious reason to add a custom-built bar is that you love to entertain! After all, having a designated space for storing, crafting, and serving cocktails to your guests is the ultimate in entertaining! You just don’t want to or can’t add plumbing to the perfect home bar area.  

Here are a few reasons why adding a dry bar to your home is a great idea…

  • Provides a convenient, separate area to entertain (away from the hustle and bustle of a busy kitchen!)
  • Offers an aesthetically pleasing addition to your home
  • Adds resale value to your home
  • Fun way to fill empty space

Custom crafted cocktails at your custom-built dry bar, yes please!

Interested in having a dry bar installed in your home ‍ contact hollingsworth cabinetry today at 910-251-1490 , designing a dry bar.

When it comes to designing a custom-built dry bar, the possibilities are endless! Based on budget and space constraints, you can either go super simple or extremely extravagant… your bar, your way ! Here are some of the go-to items we often include in our custom dry bar designs:  

A wine rack is a great way to openly store your favorite bottles of wine and is a staple in most dry bars, especially for wine aficionados with impressive wine collections. At Hollingsworth Cabinetry, all wine racks are custom built based on the specifications of the dry bar design.  

Wine Fridge & Beverage Center

Another must-have in your dry bar is a wine/beverage fridge. A wine fridge is ideal for cooling white wines and bubblies as well as certain reds. A beverage fridge is great for beers, mixers, and other drinks.  

Want both? You got it! There are plenty of options available on the market in a wide variety of styles, sizes, and price ranges.  

Glass Cabinet Doors

A beautiful way to show off an impressive collection of barware and wine glasses is with glass cabinet doors. Take it up a notch by installing accent lights inside the cabinets! At Hollingsworth Cabinetry, our expert dry bar designers can add interest to your space with special touches like glass cabinet doors!  

If you prefer to mix in some open shelving that shows of your assortment of drinks, we can seamlessly blend those in with the cabinet design.  

Under Cabinet Lighting

A practical, yet aesthetically pleasing way to enhance your custom-built dry bar is with under cabinet lighting. This is especially the case if you want to bring attention to a beautiful backsplash or countertop accessories. The extra lighting will also come in handy when you go to make those craft cocktails!  

Do Your Dry Bar

Turn your home into an entertainer’s dream with a stunning dry bar! Your place will be the spot where the party happens and memories are made (or made to be forgotten). One thing is for sure, you’ll never forget how excited you are to have your dream bar right in the comforts of home.  

At Hollingsworth Cabinetry, all of our dry bars are designed and made-to-order with the same care that you use to mix the perfect drink.  Together we make it a home. Get more information on our custom cabinetry services and accessories, contact our Wilmington, NC workshop at 910-251-1490 . Cheers !

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IMAGES

  1. Free Bar Business Plan Template

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  2. Blow Dry Bar Business Plan [2024 edition]

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  3. Bar Business Plan Template in Google Docs, Word, PDF

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  4. Blow Dry Bar Business Plan [2024 edition]

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  5. How to Write a Bar Business Plan + Free Sample Plan PDF

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  6. FREE Bar Business Plan Templates

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VIDEO

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  6. How To Start TMT Steel Bar Business Self Employment Business Ideas Money Factory 1080p

COMMENTS

  1. Blow Dry Bar Business Plan [2024 edition]

    According to IBISWorld, here are some interesting stats about blow dry bars operating in the US in 2023: Blow Dry Bars Businesses in the US in 2023 - 29,533. Blow Dry Bars in the US Business Growth in 2023 - 10.6%. Blow Dry Bars in the US Annualized Business Growth 2018-2023 - 10.5%. Blow Dry Bars Employees in the US in 2023 - 187,600.

  2. Drybar Franchise Costs $551K

    Expert business plan and financial models Menu. Drybar Franchise Costs $551K - $870K (+ 2024 Profits) Remi; ... The concept behind Drybar is rooted in a singular focus—providing high-quality blowouts in a chic, bar-like environment where services are named after cocktails, enhancing the customer experience with a unique and enjoyable twist. ...

  3. How to Start a Profitable Blow Dry Bar Business [11 Steps]

    2. Draft a blow dry bar business plan. 3. Develop a blow dry bar brand. 4. Formalize your business registration. 5. Acquire necessary licenses and permits for blow dry bar. 6. Open a business bank account and secure funding as needed. 7. Set pricing for blow dry bar services. 8. Acquire blow dry bar equipment and supplies. 9.

  4. Drybar Franchise Cost and Requirements for 2024

    The International Franchise Professionals Group (IFPG) is an internationally recognized membership-based franchise organization. IFPG Franchise Consultants guide aspiring business owners through the process of identifying and investing in franchise businesses. The IFPG represents more than 550 franchises.

  5. Creating a Winning Blow Dry Bar Business Plan

    In 2022, the Blow Dry Bars industry in the US generated a staggering $12.7 billion in revenue, with an annual growth rate of 5.7% ( LinkedIn ). The average revenue per salon is approximately $468,000, highlighting the potential profitability of the blow dry bar business model. When considering the financial aspect, it's important to note that ...

  6. Blow Dry Bar Business Plan Template & Guidebook

    1. Describe the Purpose of Your Blow Dry Bar Business. The first step to writing your business plan is to describe the purpose of your blow dry bar business. This includes describing why you are starting this type of business, and what problems it will solve for customers. This is a quick way to get your mind thinking about the customers ...

  7. How to Draft a Business Plan for a Drybar Franchise

    The first step in writing your business plan is to research the Drybar franchise opportunity. Understand the franchise model, the support provided by the company, and the potential for growth. This will help you make an informed decision about whether a Drybar franchise is the right fit for you.

  8. How to Start a Blow Dry Bar Business: A Comprehensive Guide

    Here are some tips and strategies that you can use to create an effective marketing plan for your blow dry bar business: Define Your Target Audience: Start by identifying and defining your target audience. This includes understanding their demographics, interests, and needs. Knowing your target audience will help you tailor your marketing ...

  9. How To Write a Business Plan for Primp and Blow, a Blow Dry Bar

    Learn how to create a winning business plan in just 9 simple steps for Primp and Blow, the ultimate blow dry bar franchisee. Start now and succeed! Financial Models. Business Plans. Pitch Decks. Tools. Blog. More. 0. How To Write a Business Plan for Primp and Blow, a Blow Dry Bar Franchisee in 9 Steps: Checklist May 31, 2024 By Alex Ryzhkov ...

  10. Start a Primp and Blow Franchise: A Comprehensive Guide

    Developing a comprehensive business plan for Primp and Blow, a Blow Dry Bar Franchisee is crucial for outlining the business objectives, target market, operational structure, marketing strategy, and financial projections. This document will serve as a roadmap for the business and is essential for securing investors or loans. Business Objectives:

  11. Blow Dry Bar Franchise Model

    destined to 'do great things. Blo Blow Dry Bar is a well-styled machine. Our beautifully crafted business model is designed to help our Franchise Owners achieve reliable and consistent results. While there are many aspects that make the Blo franchise opportunity special, the following qualities are some of our Franchisees' favorites.

  12. How Drybar Went from Side Hustle to $255 Million Business

    Alli Webb worked in salons during her 20s. She founded Drybar in 2010 with immediate success and sold its product line for $255 million in 2020.

  13. Drybar Franchise Review

    9. Alli Webb, founder of Drybar, said, "I am so thrilled to welcome Liz, our first female CEO, into the Drybar family. After ten fulfilling and successful years in business, she will help usher in a new era for the brand and expand upon our vision both in the U.S. and internationally." 10.

  14. How Alli Webb Turned Drybar Into A $100M Business

    Forbes reported that Drybar was expected to reach $100 million in revenue in 2016. (A spokesperson declined to comment on the current revenue.) I spoke to Alli Webb about her career advice and how ...

  15. The Secret Of Drybar's $50 Million Success: Make The Customer ...

    With 3,000 employees, Drybar is on track to take in $50 million in revenue this year. As if that weren't enough, Drybar's recently branched out with a successful line of custom-designed blow ...

  16. How Drybar Plans To Blow Away The Competition

    While the business started as an affordable luxury for stay-at-home moms in the Los Angeles area who wanted a 2 p.m. pick-me-up, it quickly turned into a service craved by women of all means. The Drybar movie, according to Landau, will be loosely based on Webb's life up until the first salon opens.

  17. The Business of Blowouts: Operational Efficiencies at DryBar

    Drybar launched the concept of a "Blow Dry Only" hair salon in 2010. The idea was simple but revolutionary. It has been an innovation in the industry by transforming the affordable luxury space. Drybar is now a $50 million enterprise with 40 salons across the country, 3,000 employees and is currently valued at nearly $200 million.

  18. Buy or Acquire Drybar Franchisee Business: Checklist & Tips

    Prepare A Comprehensive Business Plan. Preparing a comprehensive business plan is a crucial step in the process of acquiring a Drybar franchise. This document will serve as a roadmap for your future operation of the franchise and will be essential for securing funding and attracting potential investors.

  19. How to Open a Bar

    Step 4: Write a business plan. A business plan gives you the foundation for growth and securing funds. It should cover the following essentials. Executive summary. Describe the mission, vision, and values driving your business. Market analysis. Mention market trends, local bar and restaurant statistics, and growth opportunities. Bar description.

  20. Tips to Design Your Dry Bar

    At Hollingsworth Cabinetry, all of our dry bars are designed and made-to-order with the same care that you use to mix the perfect drink. Together we make it a home. Get more information on our custom cabinetry services and accessories, contact our Wilmington, NC workshop at 910-251-1490. Cheers!

  21. Kuzbass: All You Must Know Before You Go (2024)

    106. from $77/night. AZIMUT Hotel Kemerovo. 174. from $50/night. Hotel Kuzbass. 138. from $36/night. Crystal De Luxe Hotel.

  22. ZEPPELIN, Kemerovo

    Zeppelin, Kemerovo: See 23 unbiased reviews of Zeppelin, rated 4.5 of 5 on Tripadvisor and ranked #22 of 394 restaurants in Kemerovo.

  23. Kemerovo Map

    Kemerovo. Kemerovo is a city in Kemerovo Oblast, Western Siberia. Kemerovo is the capital of Kemerovo region or Kuzbass. It is a city with over half a million of population — big enough for Siberia. Rivers Tom and Iskitimka run through the city. Photo: Vyacheslav Bukharov, CC BY-SA 4.0. Photo: Atsirlin, CC BY-SA 4.0.

  24. TYOMYCH, Kemerovo

    Tyomych, Kemerovo: See unbiased reviews of Tyomych on Tripadvisor.