Are barber shops profitable? In other words, can you make good money owning a barbershop in Texas? Or, would you be better off working as a barber in someone else’s shop? Today, we are going to dig a little deeper into these questions. To start, how much does the average barber make?
Average Barber Salary in Austin, Texas
After completing school, obtaining hands-on experience, and earning your license it’s time to start making some dough! As of April 2018, the median barber salary in Austin is $29,958. The general salary range is between $24k and $36k, with some barbers making as much as $41k per year. These numbers do not include bonuses or benefits provided through an employer.
The median barber salary in the US is similar at $30,414 per year. In the US, the lowest paid barbers average around $19k per year, and the highest paid barbers bring in as much as, or more than, $42k per year.
A variety of factors will influence how much money you make as a barber, including:
- Overall experience and level of education
- How much money you pay in booth rental
- What size company you work for
- Where your shop is located
Another factor that can influence how much money you make as a barber is if you own the barber shop you operate out of, which brings us to our next question: are barber shops profitable?
According to Indeed.com, the average barber shop owner made an average of $30,000 per year in 2013. So, are barber shops profitable? Or, would you be better off working as a barber and ditching the stress of owning your own shop?
Keep in mind, MANY factors influence how much a barber shop owner makes. For starters, one may purchase an existing shop or start a new shop from scratch—both of which can cost a pretty penny. There’s also rent to factor in, as well as supplies and equipment. Typical costs of starting a barbershop range between $120k to $150k. Before you start making any money, you must first make back the initial investment.
Are barber shops profitable? The answer to this question depends on a variety of factors. Some ways barber shop owners can earn more money include:
- Renting out space in your shop to other barbers. Monthly booth rental fees can range anywhere from $200 per month to over $600—this largely depends on your location and facilities, or rather how appealing a barber shop is to barbers looking to build and maintain a clientele.
- Building your own clientele as opposed to just running the business side of things.
- Selling haircare products in-store
- Location matters too, more profitable shops tend to be in central areas where target markets regularly frequent.
- Stand out against the competition and earn more business by offering unique services like eyebrow cutting, shaved hair designs, and facial treatments.
- Hire someone to manage the business side of things, especially if numbers and spread sheets are not your forte. Computerized payment systems, accounting services, and attention to things like marketing can make a big difference regarding how much money your shop brings in.
According to industry pros, you don’t necessarily want to jump into owning a shop until you gain solid experience working as a barber. Like any profession, the more time and effort you put into it, the more you’ll get out of it over the long haul.
Is Texas a Good State to Be a Barber?
According to the Bureau of Labor Statistics, the mean hourly wage for barbers in Texas is $15.55. That’s more than pricey New York, which pays its barbers a mean hourly wage of $13.07. Additionally, Texas boasts one of the highest concentrations of barber jobs in the US.
In case you’re curious, Illinois is the top paying state for barbers. Here, the mean hourly wage for barbers is $21.53, which amounts to an annual mean wage of $44,770.