Barbering is more than just a job—it's a way to make people look and feel their best. With the growing demand for quality grooming, now is a great time to start your own barbershop.
But a successful barber shop needs more than just skills. It takes good business planning and a clear strategy. That's why we’ve created a sample barber shop business plan using our AI business plan tool to help you get started.
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Barber shop business plan example
Explore the full business plan of IronEdge Barber Parlor to gather helpful insights and tips for creating each section of your own barber shop business plan.
Executive summary
Business Overview
IronEdge Barber Parlor is a premium barber shop located at 7826 Oakwood Avenue, Brooklyn, New York, NY 11209. Positioned in a vibrant area with high foot traffic, IronEdge combines traditional grooming services with contemporary styling to cater to Brooklyn’s diverse clientele. Specializing in precision haircuts, beard grooming, and traditional straight-razor shaves, IronEdge delivers a high-quality, personalized experience for men aged 20-55, including professionals, students, and style-conscious individuals.
Mission and vision
Our mission is to provide top-tier grooming services that boost clients' confidence and satisfaction. IronEdge strives to become New York City’s premier destination for men’s grooming, recognized for exceptional service, skilled craftsmanship, and a commitment to customer satisfaction.
Market analysis
Located in Brooklyn, IronEdge is well-positioned to serve a broad demographic, including local residents, Manhattan professionals, and visiting tourists seeking premium grooming services. Our target market includes men aged 20-55 who value high-quality grooming and style. Competitors in the area include well-known barbershops like Fellow Barber and Otis & Finn.
Products and services
IronEdge offers a range of grooming services, including high-precision haircuts, beard trimming, hot towel and straight-razor shaves, and hair treatments. Additionally, we provide an exclusive line of men’s grooming products, such as pomades, oils, and beard balms, allowing clients to maintain their look between visits. Our membership packages and referral programs foster loyalty and encourage repeat visits.
Marketing and sales strategy
IronEdge utilizes social media (Instagram, TikTok, Facebook) to showcase our work and engage with clients. Targeted Google Ads, Facebook Ads, and SEO optimization will increase visibility, attracting clients in Brooklyn and Manhattan. Promotional offers like first-time discounts and a referral program, along with local influencer partnerships, help build a strong client base and brand presence.
Funding request
To establish the business, IronEdge seeks $100,000 in funding. This will cover high-end barber equipment, leasehold improvements, digital marketing campaigns, initial inventory for our product line, and operational costs for the first six months.
Financial projections
IronEdge projects steady revenue growth over the next five years, with a break-even point in the first year. By Year 5, we expect annual revenue to reach approximately $380,000, supported by a strong customer base and brand reputation. Our balance sheet and cash flow projections indicate healthy financials, with total assets growing steadily and profitability improving annually.
Exit strategy
IronEdge envisions future expansion through additional locations in NYC, with the potential for franchising once brand loyalty is established. Alternatively, a strategic acquisition by a larger grooming or lifestyle brand may offer a profitable exit for investors.
Business Overview
Business name: IronEdge Barber Parlor
Location: 7826 Oakwood Avenue, Brooklyn, New York, NY 11209, USA
Industry: Men’s Grooming and Personal Care
About IronEdge Barber Parlor
IronEdge Barber Parlor is a high-end barbershop located in the heart of Brooklyn, offering a refined blend of traditional grooming techniques with modern styling. Established with the mission to create a distinguished hub for men’s grooming, IronEdge caters to style-conscious individuals seeking quality and a personalized experience.
Our services range from precision haircuts and beard grooming to classic straight-razor shaves. They are executed by a team of expert barbers who are committed to maintaining the highest standards of craftsmanship and customer satisfaction.
Mission
Our mission is to provide top-tier grooming services that elevate the confidence and appearance of our clients. IronEdge aims to blend tradition and modernity, creating an environment where men can enjoy a personalized grooming experience that caters to their individual styles.
Vision
To become New York City’s premier destination for men’s grooming, known for exceptional service, skilled craftsmanship, and an unwavering commitment to customer satisfaction.
Core values
- Quality: We deliver only the highest quality in every haircut, shave, and treatment.
- Customer-Centric Service: Every client receives a personalized experience, ensuring that they leave the shop satisfied and confident.
- Innovation: By merging traditional techniques with modern trends, we bring an innovative approach to classic grooming.
- Community: IronEdge aims to be more than just a barbershop; it’s a space for men to unwind, connect, and build relationships in a comfortable, stylish setting.
Unique selling proposition
IronEdge distinguishes itself from other barbershops in Brooklyn by offering a sophisticated yet relaxed environment where clients can experience the best of both classic and contemporary grooming. Our commitment to personalized service, skilled barbers, and a meticulously curated product line positions IronEdge as a go-to destination for men who value quality and style.
Industry and Competitor Analysis
Industry Overview
The global men's grooming market size was valued at approximately $5202.6 billion in 2022 and is expected to grow at a CAGR of 6.5% from 2023 to 2030. In the United States alone, the market value is projected to reach around $13 billion by 2030 as more men adopt grooming routines that extend beyond basic hygiene.
Key factors contributing to this growth include:
- Increased focus on personal care
- Popularity of barber culture
- Product diversification
Target market and customer demographics
IronEdge Barber Parlor’s target market includes men aged 20-55, especially professionals, students, and style-conscious individuals who appreciate high-quality grooming services. This demographic tends to value both appearance and experience, seeking environments that offer premium service in a relaxing atmosphere. Key characteristics of this market segment:
- Willing to pay premium prices for quality service.
- Clients often prefer consistent barbers and tend to remain loyal to barbershops that provide a personalized experience.
- Likely to purchase styling products such as pomades and beard balms for home use.
Market trends
- Rise of premium services: High-end barbershops offering tailored services, like hot towel shaves and scalp massages, are becoming more popular as customers seek a unique, upscale experience.
- Integration of technology: Digital booking, social media marketing, and customer relationship management (CRM) systems are becoming essential for attracting and retaining customers.
- Demand for organic and sustainable products: Customers are showing a preference for grooming products made with natural ingredients, creating a niche for shops that provide eco-friendly options.
Competitor analysis
In Brooklyn, the men's grooming space is highly competitive, with several established players. Key competitors include:
1. Fellow Barber
Fellow Barber is known for its trendy atmosphere and high-quality services, with locations across New York City. They specialize in classic cuts with a modern twist and offer their own line of grooming products.
Strengths: Established brand with a strong reputation; premium pricing and urban aesthetics appeal to style-conscious clients.
Weaknesses: Limited service personalization; customers might feel it’s more commercial than boutique.
2. Barber on Pearl
A neighborhood barbershop in Brooklyn that emphasizes community and a relaxed, friendly environment. Barber on Pearl provides classic cuts at mid-range prices.
Strengths: Affordable and convenient for local residents; friendly and casual vibe.
Weaknesses: Less emphasis on high-end, premium services; lacks modern styling options that appeal to younger demographics.
3. Otis & Finn Barbershop
Positioned as a stylish, trendy barbershop, Otis & Finn has cultivated a loyal clientele in New York. They focus on providing an upscale experience with high-quality haircuts and shaves.
Strengths: Modern, stylish environment with well-trained barbers; focus on premium services aligns well with urban professionals.
Weaknesses: Higher pricing limits appeal to budget-conscious customers; limited outreach in certain demographics outside of Brooklyn.
4. The Stepping Razor Barber Shop
Known for its artistic vibe, The Stepping Razor offers traditional barbering with a focus on detailed styling and creative cuts. This shop attracts clients looking for a unique, artistic experience.
Strengths: Appeals to a niche market with its artistic vibe and unique cuts; strong reputation in Brooklyn.
Weaknesses: May not appeal to clients looking for classic or conservative styles; relatively small space and fewer barbers limit capacity.
5. Cut and Shave NYC
A full-service barber shop offering cuts, beard trims, and hot towel shaves. Cut and Shave NYC emphasizes a luxurious experience for clients.
Strengths: High-end services attract professionals seeking a luxurious, stress-free environment.
Weaknesses: Higher price point limits customer base; some clients may prefer a more down-to-earth atmosphere.
Here’s a SWOT analysis for IronEdge Barber Parlor:
Organization and management
Legal structure
IronEdge Barber Parlor is registered as a Limited Liability Company (LLC), providing the owner with flexibility and liability protection while maintaining a straightforward operational structure.
Management team
1. Ethan McAllister (CEO)
Role: Oversees business strategy, operations, and customer experience.
Background: With extensive experience as a professional barber and manager, Ethan drives the vision and ensures IronEdge delivers top-tier service to its clientele.
2. Jacob Lawson (COO)
Role: Responsible for day-to-day operations, staff management, and ensuring operational efficiency.
Background: Jacob has a background in hospitality management, with a proven track record of optimizing workflows and enhancing customer satisfaction.
3. Claire Rodriguez (CFO)
Role: Handles financial planning, accounting, and budgeting.
Background: Claire is a certified accountant with over five years of experience in managing small business finances.
4. Mia Thompson (Receptionist)
Role: Manages appointments, client inquiries, and ensures the front desk operations run smoothly.
Background: Mia excels in customer service and plays a key role in creating a welcoming environment for clients.
Organizational chart
Products and services
IronEdge Barber Parlor specializes in a range of high-quality grooming services and exclusive products designed to meet the needs of today’s style-conscious men. Our offerings emphasize precision, personalization, and a blend of traditional and modern grooming techniques.
Core services
1. High-precision haircuts and fades
Each haircut is tailored to the client’s individual style preferences, combining classic barbering techniques with modern trends. Our expert barbers focus on creating clean, sharp, and stylish cuts for every client.
2. Beard trimming, sculpting, and grooming
IronEdge offers comprehensive beard care, from trimming and shaping to full sculpting services. Our barbers use specialized tools and techniques to provide a polished look, complemented by nourishing beard balms and oils.
3. Traditional hot towels and straight-razor shaves
For clients seeking a luxurious experience, our traditional straight-razor shaves include a hot towel treatment that relaxes the skin, ensuring a close, comfortable shave.
4. Hair treatments
Our barbers offer scalp massages and conditioning treatments aimed at improving scalp health and hair strength, providing a relaxing add-on to any grooming service.
Marketing and sales strategy
IronEdge Barber Parlor’s marketing approach is designed to build brand recognition, attract new clients, and retain loyal customers through both digital and local channels.
1. Social media presence
We will actively showcase IronEdge’s precision cuts, shaves, and grooming services across Instagram, TikTok, and Facebook, engaging followers with before-and-after transformations, barbering tips, and style inspiration. Regular posts and video content will allow potential clients to witness the quality of our work and build trust in our expertise.
2. Digital advertising
Targeted Google Ads and Facebook Ads will help us reach Brooklyn and Manhattan’s target demographic, focusing on men searching for premium grooming services. These ads will be carefully crafted to appear in searches for “best barbers in Brooklyn” and similar keywords to attract local traffic.
3. Local SEO optimization
Optimizing for local SEO will ensure that IronEdge appears prominently in search results. By focusing on relevant keywords and maintaining an active Google Business Profile, we aim to increase online visibility, especially when potential clients search for top barbers in Brooklyn.
4. Promotional offers
First-time Customer Discounts will be offered to encourage new clients to try our services. Additionally, a Referral Program will reward loyal clients for bringing in friends or family, helping build our client base through word-of-mouth.
5. Influencer and local partnerships
Partnering with local influencers, lifestyle bloggers, and prominent figures in the Brooklyn area will expand IronEdge’s reach. By collaborating with those who align with our brand, we aim to increase our visibility among men interested in style, grooming, and high-quality barber services.
Financial projections
We've created a detailed financial strategy for IronEdge Barber Parlor, which ensures its economic viability and long-term sustainability.
Income statement
| Income Statement | Year 1 | Year 2 | Year 3 |
|---|---|---|---|
| Revenue | $216,000.00 | $247,500.00 | $283,635.00 |
| Cost of Goods Sold (COGS) | $40,500.00 | $46,035.00 | $52,346.25 |
| Gross Profit | $175,500.00 | $201,465.00 | $231,288.75 |
| Operating Expenses | $228,000.00 | $233,925.00 | $240,665.25 |
| Net Profit Before Tax (EBIT) | -$52,500.00 | -$32,460.00 | -$9,376.50 |
| Taxes (20%) | $0.00 | $0.00 | $0.00 |
| Net Profit After Tax | -$52,500.00 | -$32,460.00 | -$9,376.50 |
Balance sheet
| Balance Sheet | Year 1 | Year 2 | Year 3 |
|---|---|---|---|
| Assets | |||
| Cash | -$46,500.00 | -$26,460.00 | -$3,376.50 |
| Net Equipment Value | $24,000.00 | $19,200.00 | $15,360.00 |
| Inventory | $11,250.00 | $7,500.00 | $3,750.00 |
| Total Assets | -$11,250.00 | $240.00 | $15,733.50 |
| Liabilities | |||
| Liabilities | $0.00 | $0.00 | $0.00 |
| Equity | |||
| Equity | -$11,250.00 | $240.00 | $15,733.50 |
Cash flow statement
| Cash Flow Statement | Year 1 | Year 2 | Year 3 |
|---|---|---|---|
| Net Income | -$52,500.00 | -$32,460.00 | -$9,376.50 |
| Depreciation | $6,000.00 | $6,000.00 | $6,000.00 |
| Net Cash Flow | -$46,500.00 | -$26,460.00 | -$3,376.50 |
Break-even analysis
| Break-Even Analysis | Year 1 | Year 2 | Year 3 |
|---|---|---|---|
| Annual Break-Even Revenue | $230,117.65 | $231,529.41 | $233,082.35 |
| Monthly Break-Even Revenue | $19,176.47 | $19,294.12 | $19,423.53 |
Funding request
IronEdge Barber Parlor is seeking $100,000 in funding to establish and grow its presence as a premier barber destination in Brooklyn. This funding will be allocated as follows:
- High-end barber equipment: $30,000 for premium barber chairs, grooming tools, and quality salon fixtures that reflect the high standards of IronEdge.
- Leasehold improvements: $25,000 to design and create a stylish, comfortable space for clients, ensuring a premium aesthetic and a welcoming atmosphere.
- Digital marketing campaigns: $20,000 to implement targeted Google Ads, Facebook Ads, and social media engagement strategies, driving awareness and customer acquisition in the initial months.
- Initial inventory for grooming products: $15,000 to stock a curated selection of high-quality pomades, oils, and balms for retail, providing clients with access to exclusive grooming products.
- Operational costs: $10,000 to cover initial overhead, including staff salaries, utilities, and other essential expenses, providing a financial buffer for the first six months.
Exit strategy
IronEdge Barber Parlor envisions several potential exit paths:
- Expansion and franchising: Grow the brand by opening new locations in NYC and potentially franchising once a strong reputation is established.
- Acquisition by a larger brand: Position the business for acquisition by a major grooming or lifestyle brand seeking to expand its portfolio.
- Sale to private investors: Sell to private investors interested in the men’s grooming industry, ensuring continued growth and profitability.
Download your barber shop business plan template
Ready to open your own barber shop? Download our free business plan template to help you get started. This template will guide you through every step of the process, from market research to financial projections.
With our customizable template, you can create a professional business plan that will impress potential investors and help you secure funding. Don't wait, start planning your dream barber shop today!
Conclusion
You’ve gone through the sample business plan and analyzed key sections. Now, it’s time to turn your vision into reality. If you need a helping hand to organize your thoughts and create a solid business plan, Bizplanr can simplify the process.
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Frequently Asked Questions
What should be included in a barber shop business plan?
A comprehensive barber shop business plan should cover several key sections such as:
- Executive summary
- Business description
- Market analysis
- Products and services
- Marketing and sales strategy
- Organization and management
- Financial plan
- Funding request (if applicable)
How do I write a financial plan for my barbershop business?
To create a financial plan for your barbershop, outline key financial statements. Begin with an income statement, projecting your expected revenue from services and any products sold, minus expenses like rent, utilities, and supplies.
Next, draft a cash flow statement to track money coming in and going out monthly. Also, prepare a balance sheet listing your assets (like equipment) and liabilities (such as loans). Lastly, perform a break-even analysis to determine the sales needed to cover costs, helping you set realistic financial goals for profitability.
How much does it cost to write a barbershop business plan?
The cost to write a barbershop business plan can vary widely based on your approach. If you choose to write it yourself, the cost may be minimal, covering only research, templates, or resources you use.
Hiring a professional writer or business consultant can range from $500 to $2,000 or more. Additionally, online business plan software options such as Bizplanr can be as low as $7 per month and can provide templates and step-by-step guidance to help you build your plan.
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