As a salon owner it has been a tough start to the year with the current cost of living crisis, small businesses are truly feeling the pinch. To help individuals during this difficult financial p...
As a salon owner it has been a tough start to the year with the current cost of living crisis, small businesses are truly feeling the pinch.
To help individuals during this difficult financial period in April the Government announced an increase to the national minimum wage:
• National Living Wage for over-23s: £9.50 to £10.42 an hour
• National Minimum Wage for those aged 21-22: £9.18 to £10.18
• National Minimum Wage for 18 to 20-year-olds: £6.83 to £7.49
• National Minimum Wage for under-18s: £4.81 to £5.28
• The Apprentice rate: £4.81 to £5.28
This may have an impact on your outgoings and overall profit due to increased staff wages, so it is vital to save costs elsewhere, wherever possible to ensure the longevity of your business.
However, insurance is not something that you should cut corners on to save money. If you do not have insurance or the correct level of insurance for your salon any potential claim could be detrimental to your business. The size of public liability claims has risen dramatically, meaning a personal injury or third-party property claim could easily wipe out any profit you have. Even if you try to reduce your insurance premium by lowering your sums insured, if you are not adequately insured and you make a claim, your claim may be reduced proportionately by the amount you are under insured by.
On the flipside, an increase to the minimum wage may mean that your potential customers have more disposable income to spend on their hair and beauty treatments hopefully having a positive impact on your business. Fingers crossed!