North Texas sees growth in salon suites facilities, industry professionals say

This business model sees an operator rent or own a facility where beauty and wellness professionals can lease out space to launch their own businesses. This cuts out overhead costs of owning and running their own establishments and also allow these beauty and wellness experts more freedom in their employment, Peyton said.

“You're setting your own hours,” she said. “You're kind of being your own boss. It also gives you freedom.”

However, being your own boss can be a double-edged sword, she said. A hairstylist leasing a suite, for example, would also have to handle things on the back end of the business, such as scheduling appointments and ordering products. They might not have to do this if they worked in a traditional salon.

Not operating as a traditional salon can also prevent professionals from being able to buy products in bulk for a reduced rate, Peyton said. They may also miss out on training that would be provided in a regular salon setting, she said.

What’s happening?

Professionals in the industry said they are seeing a boom in the salon suites business.

“It kind of got its catalyst with [COVID-19],” Peyton said. “It really just opened the door for the whole industry to shift.”

Some professionals in the industry grew tired of working for someone else during the height of the COVID-19 pandemic, she said. Traditionally, Peyton said, beauticians at traditional salons only get a cut of what they make from the services they provide, often between 20%-30%.

“I think hair stylists, cosmetologists, any kind of beauty expert realized, ‘Hey, I don't want to earn just pennies on the dollar,’” she said.

Peyton said the demand for salon suites has increased over the years, with some preferring them over traditional salons. According to IMAGE Studios, a company that franchises salon suites with locations across the country, the number of these establishments increased 900% between 2013 and 2023 and the growth is expected to continue. Another 6,000 locations are expected to open in the U.S. by 2033, according to IMAGE Studios.

Zooming in

Kamran Ghatrehee, owner of Venus Salon Suites, has seen this shift toward professionals pursuing salon suite spaces firsthand over the last 25 years, he said. Ghatrehee has several locations across the DFW area, including in Frisco, Plano and Colleyville.

He noted the same benefits as Peyton, but said this business model is also good for the consumer as well because they can come into one establishment and stop at multiple suites to receive a variety of services.

“They can come to one place and get everything they need,” he said.

A challenge that comes with leasing and running a business in a suite is cultivating a customer base from scratch, Ghatrehee said. Stylists at Cashmere Salon Suites are recommended to establish a customer base before trying to lease a suite.

“You can, but you shouldn’t start out this way because it’s going to be too hard to pay the rent if you don’t have a following of people,” said Laura Kellogg, a Cashmere Salon Suites stylist. Kellogg said she has about 80 clients who come to her suite.

Some people leasing space came in with only a handful of customers, Ghatrehee said. Later, they couldn’t accept walk-in customers because they were so busy. While it can be a successful business model, Ghatrehee feels some areas are beginning to become oversaturated with salon suites.

“In the last eight years, I’ve seen salon suites popping up everywhere,” he said. “Within a mile and a half or two-mile radius, we’ve got three other salon suites.”

What’s next?

Kellogg suspects the trend of salon suites could grow even larger in the future.

“It’s just so popular,” she said.

Alexis Vela, another stylist at Cashmere Salon Suites, also expects salon suites will continue to grow in popularity because of the freedom they can provide stylists who want to start their own businesses.

“We have the flexibility and the control,” she said.