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Beginner’s Guide on Starting a Hair Salon Business in Singapore

Starting a Hair Salon Business in SingaporeAfter much thought, you’ve finally decided to turn your dreams into a reality by opening your very own hair salon! But it’s easier said than done. Between choosing a business structure and researching the best location to start a business, plus more, the beginning can be much hassle. However, the one constant is that you’re not alone. When starting a hair salon business, it is normal to feel lost. With many decisions ahead of you, our guide to company registration in Singapore will help you!


What’s a Hair Salon Business in Singapore?

Worth $56 billion annually, the beauty industry, especially hair care, is the largest segment worldwide. After all, there’s no shortage of people looking for a change of hairstyle or just for hair care. Though a  salon seems glamorous, it is no different from any other small business. For your business to thrive and be successful, you will need to spend time, effort, and money. To reduce the risk of these variables, the best way is to better understand the ins and outs of starting a hair salon business, as well as the local situations of the country that you’re looking to venture into!


Registering Your Hair Salon Business  in Singapore

You register a hair salon business as any small business. However, there are a few additional salon-specific steps you’ll have to take.

You can also contact a corporate service provider to fast-track the registration procedure with expert assistance.

Business Plan

Start by writing up your business plan. A good business plan should consist of Customer Segments, Social Media Channels, Supplier plans, Necessary Business Relationships, Revenue Streams, Cost Structure, and Key Resources. If you’re unsure, do a Google search, and hire professionals to help you out. There are many company incorporation services in Singapore that can help you with your worries.

Business Capital

Business capital is the lifeblood of your business. Keep in mind that between the upfront costs and the operating costs, it may take at least a few months, or sometimes more than a year, before you turn a profit. Manage your cash flow wisely!

The major tenets of opening a salon will be operating costs, including rent, training, insurance, and inventory. They’ll need to be balanced against one another in order to turn a profit. Another thing we don’t usually realize we need is insurance! Remember, your business always needs to be protected.


Preparations for Starting Your Hair  Salon Business

Once you have a hang of the technical side of things, you can focus on the slightly more fun side of things. Like the location, designs, equipment, products, etc. In the beginning, you don’t have to have the best of everything. Getting secondhand equipment and upgrading as you go helps you save a pretty buck.

Another thing to do is to choose a central location with lots of foot traffic and sufficient parking. Don’t move too far away from your old customers if you worked somewhere before.

Just as it’s important to hold out for the right space, hiring the right staff can make or break your business. Take your time to figure out your team. The people you bring on are going to set the tone for the salon’s reputation. So, hire those who understand your vision.

Spread the Word!

Once everything is taken care of, then it’s now time to get some customers. Tap into your old clients to spread the word that you have started your own salon and have your hairdressers do the same. For any clients that choose to move with you, give them extra appreciation and encourage them to refer their friends. On top of that, it’s important to find ways to bring in new customers and retain them.

In this era, marketing means creating a website and communicating through social media for marketing. Social media is huge, Facebook, Instagram, and Tiktok are among the more popular ones these days. People love seeing the entire process and growth journey which they can share with their friends. You can always hire a marketing specialist if you’re unsure of how to proceed.

Grow Steadily

Even if you find yourself coming in under budget and are tempted to spend on high-end equipment, don’t forget about some of the hidden costs such as service menus, business cards, and even inventory. Distributors sometimes will make an effort to help you get products or equipment at low cost, or at no cost if you place big orders. So once you’re in, you’re in. Anyone who’s become a return customer at a salon can likely attest to appreciating the sense of community that the salon cultivates, as well as the quality of the haircut they receive.


Licenses and Permits Required

Starting a hair salon business in Singapore implies registering a company with ACRA. Then, you need to obtain a massage establishment license. This is because hair salon companies fall under the same regulations as spas and relaxation or massage centers. There is also the option of setting up a larger establishment which includes a hairdresser’s salon.

The massage establishment license has 3 categories. It imposes certain restrictions based on the operating hours, the serving of alcoholic beverages, and the age of the customers admitted. If you do not intend on serving alcoholic drinks and have no restrictions on operating hours, then you don’t need a massage establishment license. Whether you need it or not, you will need to submit several documents to the Singapore Police Force before operations begin. These documents are:

  • permission from the Urban Redevelopment Authority in order to open the Singapore company;
  • a no-objection letter for doing business from the owner of the building where the salon will operate;
  • information about the employees and their certifications are also required;
  • a plan of the premises that indicates the safety of the building in case of a fire.


In order to ensure that both of these important aspects of the business are in order, be sure to create and follow your business plan. Also make sure you’re properly licensed and insured, well-outfitted and located, and marketing yourself to the fullest. These are guidelines that may help you if you’re planning on starting a hair salon business in Singapore. Contact us at 3E Accounting if you are ever in need of our corporate services in Singapore!

Starting a Hair Salon Business in Singapore