How much do tanning salons make?
So, how much does the average tanning salon make?
Market data shows that the tanning salons earn around $65,000 per year, and depending on the size and location of the operation, you may make more or less than that. As a salon owner, you can expect to earn $15,000-$20,000 per year on average per tanning booth or bed.
Indoor tanning is highly popular, and other spa services that complement it. It is estimated that about 30 million Americans will eventually visit tanning salons annually. Plus, according to the (ITA) Indoor Tanning Association, the industry employs around 140,000 people. This popularity of tanning leads to profitability — with a typical eight-bed salon can earn close to about $200,000 annual revenues, with a net profit of around $65,000.
Now, how much does it cost to start a tanning salon?
According to Palm Beach Tan Franchise Information, tanning salon startup costs often exceed $400,000. That amount includes expenses for tanning booths, salon construction, insurance, labor, POS tanning software systems, marketing and advertising, and more.
In addition, new commercial tanning beds can cost anywhere from $10,000 to $30,000 each; new salon owners should explore the financing programs offered by tanning-bed manufacturers and consult with local bankers about business loans. Plus, consider purchasing gently used salon equipment or even a whole tanning salon for sale.
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