How Much Is Your Hair, Beauty or Wellness Business Really Worth?
Turnover isn’t value. Here’s how buyers actually look at salons, spas and wellness businesses — and the factors that move the number.
Read articlePreparing your beauty business for sale doesn’t have to be overwhelming. Working through a few key areas — ideally six to twelve months before you go to market — will make your business more attractive to buyers and make due diligence far smoother.
1. Financials
- Two to three years of profit and loss statements and balance sheets
- Business and personal expenses clearly separated
- A list of add-backs (owner wages, one-off costs) your accountant can support
- Up-to-date BAS and tax lodgements
2. Lease and premises
- A copy of your current lease and any options
- Confirmation the lease can be assigned to a buyer
- A conversation with me before you renew or sign anything new
3. Team
- A staff list with roles, start dates, qualifications and entitlements
- Current employment agreements
- A plan to reduce how much the business relies on you
4. Clients and systems
- Booking system reports — client numbers, retention, rebooking
- Memberships, packages and prepaid vouchers recorded accurately
- Written procedures for how the business runs day to day
5. Equipment and suppliers
- An equipment list with purchase dates, service history and any finance
- Supplier and product agreements — and whether they can transfer
6. Presentation
- Premises clean, fresh and well maintained
- Website, socials and reviews up to date
Don’t worry if you can’t tick every box yet. That’s exactly what a free, confidential appraisal is for — I’ll help you work out what matters most for your business and where to focus first.
Catheryn Wright
Business Sales Specialist for hair, beauty, medi-spa and wellness businesses, and Co-Founder of Magellan Business Sales. More about me.
