Hair/Nail Salon Nail/Hair Salon Business: Nail /

¶ … Hair/Nail Salon

Nail/Hair Salon Business:

Nail / Hair Salon business is a venture that can be a booming business because people always seek beauty as they look to improve their physical appearance or provide themselves with a complete new look. Therefore, these individuals pass by the nearest beauty salon to receive services like coloring their nails, shaping their eyebrows, and styling their hair. Due to the demands for new and improved appearance, nail and hair salon business continues to be one of the rapidly growing industries in the modern society. My Nail/Hair Salon will seek to provide services towards styling hair and nails in order to capitalize on this rapidly growing industry.

As part of developing an effective business, one of the most fundamental questions is the form of business ownership. In order to start a business, an individual must careful consider the available forms of ownership such as partnership and choose the most appropriate one. For My Nail/Hair Salon, partnership can be a suitable form of business ownership because it has several advantages since it's easy to establish and maintain the business. This form of business ownership has several advantages including flexibility it provides as the partners have the liberty to determine their responsibilities and benefits based on the effectiveness of the business. Secondly, filing income tax returns is easy because there is no need for filing separate tax returns for the business entity and its owners ("The Pros and Cons of Partnership," n.d.). Third, through partnership, business owners don't have to register with the state and pay fees like a corporation. On the contrary, there are several disadvantages of partnership including the ability of one partner to legally bind other partners, partners are individually liable for all business debts and lawsuits, and limited ability to raise funds for the business.

The other notable consideration for My Nail/Hair Salon is funding since there are various funding options for small businesses. The funding options for this business incorporate the maintenance of a positive cash flow against inconsistent income and high overhead costs. The three most common funding options for small businesses are debt financing, equity, and venture capital. Debt financing basically entails starting the business with loans whereas equity is attracting investors and selling a share of the business. Venture capital helps in expanding on a larger scale as it involves selling interest in the company with a financing group or firm that promotes the growth of small businesses to larger operations (Feigenbaum, n.d.).

Similar to other businesses, managerial accounting is an important aspect of My Nail/Hair Salon because it helps managers with budgeting, product costing, and incremental analysis. Unlike financial accounting, managerial accounting is comprehensive data used for internal members of a business ("Management Accounting," n.d.). As the data includes some important aspects of the business, every manager can use it to improve their job. It promotes budgeting, product costing, and incremental analysis since managers can use sales data to examine whether supply met the demand in order to determine whether the pricing was appropriate. As a result, managers determine whether they could drop or raise prices and order or make more or less products.

The success of My Nail/Hair Salon will depend on marketing of its products and services as marketing consists of some basic components. For a service like pedicure, the basic components of the marketing process include the target market, pricing of the service in the market, image considerations, and promotional considerations. The target market for pedicure services is young and working class individuals who seek to improve their appearance. In order to attract these individuals to the firm's services, the pricing of pedicure services within the market will be analyzed. This will be followed by determination of a suitable price to set up the business image and offering discounts and various promotions for the services.