Aesthetic business Archives

For anyone starting a new business, it’s a heady and exciting time. But amidst all the excitement, there are important things to do – and things to avoid.

Here are our top 5 dos and don’ts when starting a new business in aesthetics.

Do:

1. Learn the ropes by working in an aesthetic practice.

Working in a practice will help you learn the necessary processes before taking the plunge for yourself. Think of it as a risk-free crash course. Seeing it from the inside will also help you confirm that it’s really what you want to do.

2. Live frugally and save money to start your business.

Starting your business on a healthy, debt-free financial footing will give you a sense of security and take some pressure off. Very helpful when you’re starting out and have so much else to think about.

3. Talk to other people who work in the industry.

People who’ve been there are a great resource when you’re trying to find your feet. Network as much as you can – in person at industry events, and online in forums and communities. People like to share their knowledge, so be interested in what they have to say.

4. Innovate – adopt new technology, offer new products and treatments.

Once you’re up and running, don’t get complacent. If you want to maintain a competitive advantage, you’ll have to stay ahead of the game. Be bold, and keep introducing new treatments, technology and products you believe in.

5. Build strong relationships with your suppliers.

Ultimately, you need other people to make your business a success. Relationships of all kinds are important when you’re starting a new business, so nurture your relationships with key suppliers. They’ll know a huge amount about the industry, and can be a great source of information and practical help when you’re starting out.

Don’t:

1. Leave your job before you have a comprehensive business plan.

Before you jump, have a solid plan. Where will you be in five years? How will you get there? How will you measure your progress? The most successful businesses have a concrete medium-term plan and regularly check progress against key performance metrics.

2. Risk all your assets – consider limiting your liabilities.

Trading as a Limited company gives you the peace of mind of knowing you won’t lose your house if your company hits financial difficulties. There are trade-offs – having to submit company accounts being one of them – but you may decide the added security is worth it.

3. “Race to the bottom” when it comes to price.

If you can help it, don’t make price your main selling point. You want to build a loyal client base, not patients who only choose you because you’re the cheapest. It’s not ideal for your bottom line, nor for building a brand. So think instead of adding value for your patients. Give them a great experience and results that they feel are well worth the money they paid.

4. Overlook the negative aspects of running a business.

There are great rewards in starting a new business, but there are also sacrifices. Your best guarantee of success is to go into business with your eyes open. Think about all the negatives – write a list if it helps – so you’re better prepared for whatever comes your way, and can be more resilient in the face of the inevitable challenges.

5. Rely on too few loyal customers – diversify.

While you want to build a loyal client base, you always want to be growing it so you aren’t reliant on a core of people. People’s circumstances change, so you can’t take a healthy client list for granted. There’s no guarantee they’ll keep coming back to you, so be proactive about attracting new patients.

Starting an Aesthetic Business? Find out more

If you’re thinking about starting an Aesthetic Business, you’ll want as much support as possible. At Cosmetic Courses, we’ve helped thousands of medical professionals make the transition to aesthetics – and our support doesn’t end with your training. Our ongoing support network will give you all the tools you need to make a success of your aesthetic business.

For information on our aesthetic training or advice on starting a new business, give our team a call on 01844 318317 or email [email protected].

Find out more about delegate’s most frequently asked questions on Aesthetic Training in our Aesthetics Knowledge Hub.

The Chancellor has just delivered his first Budget of this government – and as usual, some will benefit and others lose out. But if you run your own business, how will you be affected by his red box revelations?

Essentially, how the Budget is likely to affect you depends on how your business is structured, and how established you are.

By and large, this Budget focused on two kinds of business – very large companies and successful smaller businesses that are ready to grow.

Some commentators were disappointed by the lack of new incentives for entrepreneurs looking to launch solo start-up businesses. But if you already run your own business and are doing well, there are measures that may help you.

Let’s take a look at some of the major announcements and what they could mean for you.

Tax

The Chancellor announced the rate of corporation tax would fall from its current 20% to 19% in 2017, and then further still to 18% in 2020 – giving the UK the lowest corporation tax rate in the G20.

Great news if you run your own business – but only under certain circumstances.

If you’re a limited company making significant profits, you’re likely to benefit from the drop in corporation tax. But if you’re a sole trader or partnership, a start-up or small limited company that only generates a marginal profit, the change probably won’t affect you.

Other new tax measures may make life easier, and save you time – if not money!

The Office for Tax Simplification has been given more powers to cut red tape, and will be putting forward its recommendations for a reformed tax system as part of the 2016 Finance Bill.

And the dreaded tax return, having already been moved online, will see further digitisation over the next few years.

Employees

If you run your own business, you may already have, or be looking to take on, members of staff.

The National Living Wage will come into effect in April 2016, requiring all employees to be paid a new minimum wage of £7.20 per hour, rising to £9 per hour by 2020.

This will mainly impact small businesses with a significant number of employees earning the minimum wage. But if that applies to you, there’s also a measure that will help offset your increased wage bill.

The national insurance employment allowance will be raised by 50%, from £2,000 to £3,000. Only you and your accountant will know whether this completely offsets the impact of the increased minimum wage on your business, but every little helps.

Investment

One of the most crucial allowances when you run your own business and are looking to grow is the Annual Investment Allowance – and there’s good and bad news on that front.

The allowance lets small and medium-sized firms make tax-deductible investments in equipment and machinery to help fuel their growth.

It currently stands at £500,000, but was set to be cut to just £25,000 from 1st January 2016 – though many were calling for an increase on the £500,000.

Mr Osborne has decided the new allowance will be £200,000. So, not cut as much as it was going to be, but still by a significant amount.

Finance

Another important area if you run your own business and are looking to grow is access to finance. And two new measures announced by the Chancellor will make it much easier to secure business loans.

First, the UK’s major banks will have to share credit information on small businesses with other lenders, and must share details of firms they reject for finance with online platforms that can pair them up with other finance providers.

In addition, the British Business Bank will look to increase and diversify the supply of finance available – with plans to make £10bn available by 2019.

So there you have it. Not quite as exciting for business as it could have been, but some incentives nonetheless. Perhaps the biggest incentive of all being that to benefit from many of the measures, your business needs to grow!

Looking to run your own business?

Cosmetic Courses offer expert training for medical professionals looking to enter the aesthetics industry. Our ongoing support network provides comprehensive advice and resources to help you set up and run your own business. For information on our aesthetic training courses, please contact the team on 01844 318317 or email [email protected].