Beauty Salons Revenue Benchmarks

The average beauty salons business in the United States generates $399K in annual revenue, according to the U.S. Census Bureau Statistics of U.S. Businesses (SUSB 2021). There are 70,398 beauty salons businesses in the U.S., employing 369,597 workers with an average profit margin of 8.0%. The average employee in this industry earns $34K per year (Bureau of Labor Statistics QCEW 2023).

What Does a Beauty Salons Business Actually Do?

Salons offering hair services (cuts, color, styling, extensions), often with additional services like brows, waxing, and makeup. Most operate as booth-rental studios where stylists pay rent or work on commission.

Who buys: Consumers looking for hair care and beauty services. Typical customer visits 4–8 times per year.

Average Revenue

$399K

per year

Profit Margin

8.0%

industry average

Revenue / Employee

$76K

per year

Total Businesses

70,398

in the US

Est. Owner Income

$32K

small business avg

Labor Cost

38.0%

of revenue

Avg Employee Wage

$34K

per year (BLS)

Market Saturation

21.2

firms per 100K people

How Much Do Beauty Salons Charge?

Salons price per service. Stylist commission splits are typically 40–60% to the stylist.

ServiceTypical range
Women's haircut
$35–120
Men's haircut
$25–75
Full color
$85–250
Highlights
$100–350
Balayage
$150–400
Blowout
$40–90

Ranges based on industry rate surveys and typical published pricing. Actual quotes vary by city, business size, and job complexity.

Complete beauty salons business plan

A 12-section data-backed business plan for a beauty salons business — executive summary, market analysis, competitive landscape, revenue model, 3-year financial projections, operations, marketing, staffing, funding request. Pre-populated with real Census, IRS, and BLS data on this industry. Free to view.

View the plan

Cost Structure — Where Every $100 in Revenue Goes

Approximate P&L breakdown for the beauty salons industry. Labor share and net profit are grounded in Census SUSB and IRS SOI data. Other lines are split using sector-typical ratios.

16%
38%
11%
22%
8%
CategoryPer $100 revenue
Supplies & materials
$16
Wages & benefits
$38
Rent & facilities
$11
Marketing & advertising
$5
Other operating costs
$22
Net profit
$8

Directionally accurate for a typical business in the industry. Individual businesses vary widely — a franchise may run a very different cost mix from an independent, and older established businesses often have lower labor share than newer ones.

Average Revenue by Business Size

1-4 employees
$107K
5-9 employees
$473K
10-19 employees
$1.0M
20-99 employees
$2.8M
100-499 employees
$12.3M
500+ employees
$71.8M

Industry Dynamics (Census BDS 2023)

New Business Rate

15.3%

openings/year

Closure Rate

11.36%

closings/year

Net Job Growth

+3.18%

annual

Businesses Closed

13,322

in 2023

Firm Count Trend

19
20
21
22
23
108,967 firms125,871 firms

Should You Start a Beauty Salons Business?

Startup Cost

$30K$150K

Break-Even

34 months

5-Year Survival Rate

50.0%

Frequently Asked Questions

What does a beauty salons business do?
Salons offering hair services (cuts, color, styling, extensions), often with additional services like brows, waxing, and makeup. Most operate as booth-rental studios where stylists pay rent or work on commission. Consumers looking for hair care and beauty services. Typical customer visits 4–8 times per year.
How much do beauty salons charge?
Salons price per service. Stylist commission splits are typically 40–60% to the stylist. See the pricing table above for typical rates by service type.
How much does the average beauty salons make per year?
The average beauty salons business generates $399K in annual revenue, based on U.S. Census Bureau data (SUSB 2021). After expenses, the estimated owner profit is $32K per year at a 8.0% profit margin.
How many beauty salons businesses are there in the US?
There are 70,398 beauty salons businesses operating in the United States, employing a total of 369,597 workers.
How much does it cost to start a beauty salons business?
Startup costs for a beauty salons business typically range from $30K to $150K, with a 5-year survival rate of 50.0%.
What is the average salary in the beauty salons industry?
The average employee in the beauty salons industry earns $34K per year, according to Bureau of Labor Statistics data (QCEW 2023).

Industry Growth & Survival

55%
Est. 5-year survival rate
+3.2%
Net job growth rate
125,871
Total firms (2023)

The beauty salons industry is actively growing — adding jobs at a net rate of 3.2% per year. New establishments are opening faster than existing ones close (15.3% entry vs 11.4% exit), indicating healthy demand.

Approximately 55% of beauty salons businesses survive their first 5 years. This is near the national average (~50%), with typical business risk. In 2023, 13,322 firms in this industry closed permanently.

Employment & Wages

$34,430
Avg annual pay
77,602
Establishments
366,345
Total employees
5
Avg employees/business

The average employee in the beauty salons industry earns $34,430/year. This is below the national average of ~$65K — typical for this sector. With 77,602 establishments employing 366,345 people, the typical business has about 5 employees. Most businesses in this industry are small operations — often owner-operated with minimal staff.

Industry Trend (2000–2023)

67K85K103K120K138K20002005201020152020Number of Firms

The beauty salons industry has grown 70% since 2000 (from 73,946 to 125,871 firms).

See full historical statistics →

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