How Much Does It Cost to Start a Barbershop in Illinois?
Starting a Barbershop in Illinois typically costs between $14,250 and $166,250, with a median estimate of $61,750. Illinois’s cost of living is 5% below the national average, which helps reduce operating expenses like commercial rent and labor. LLC formation in Illinois costs $150 to file. Most barbershop businesses take 2-4 months to launch.
Last updated: March 2026
How Much Does It Cost to Start a Barbershop in Illinois?
Low
$14,250
Medium
$61,750
High
$166,250
National average: $15,000 – $175,000
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Barbershop in Illinois
Options
One-Time Costs
$51,930
Monthly Costs
$0
First Year Total
$51,930
Full Cost Breakdown
| Cost Category | Low | Medium | High | Notes |
|---|---|---|---|---|
| Shop Space Lease & Build-Out | $4,750 | $23,750 | $76,000 | A 4-chair shop needs 600-1,000 sq ft. Classic barber shop aesthetic (brick, dark wood, vintage chairs) drives repeat visits. |
| Barber Chairs & Equipment | $2,850 | $9,500 | $28,500 | Takara Belmont and Belvedere barber chairs cost $800-$3,000 each. Vintage chairs from $300-$2,000 resale add character. |
| Barber Tools & Supplies | $950 | $2,850 | $7,600 | Wahl and Andis professional clippers cost $80-$200 each. A complete barber kit runs $500-$1,500. |
| State License & Business Permits | $190 | $950 | $2,850 | Barber licenses require 1,000-1,500 hours of schooling in most states. Establishment license costs $50-$300. |
| Insurance | $590 | $1,770 | $4,720 | Barber insurance typically costs $500-$1,500/year through ABMP or independent insurers. |
| Booking Software | $190 | $760 | $2,850 | StyleSeat, Booksy, and Squire are popular barbershop-specific booking platforms at $30-$100/month. |
| Marketing & Branding | $475 | $2,850 | $9,500 | Instagram transformation content and before/after photos are essential for barbershop marketing. |
| Working Capital Reserve | $2,850 | $9,500 | $28,500 | Barbershops build loyal clientele quickly — most shops reach break-even within 6-12 months. |
| Total Startup Cost | $12,845 | $51,930 | $160,520 | Required costs only |
Licenses & Permits in Illinois
Licenses & Permits in Illinois
General Business License
Illinois does not have a statewide general business license, but businesses must register with the Illinois Department of Revenue for sales tax collection, register their entity with the Illinois Secretary of State, and comply with various state and local requirements. Chicago has extensive business licensing requirements through the Department of Business Affairs and Consumer Protection, with over 100 different license types. Other cities and counties in Illinois also have their own business license requirements.
Industry-Specific Licenses
- Food Service Sanitation Manager Certification and Food Establishment Permit — Illinois Department of Public Health or Local Health DepartmentCost: $50-$500 • Renewal: Annual
- Roofing Contractor License — Illinois Department of Financial and Professional RegulationCost: $150-$600 • Renewal: Annual
- Cosmetology Salon License — Illinois Department of Financial and Professional RegulationCost: $50-$200 • Renewal: Biennial
- Real Estate Broker License — Illinois Department of Financial and Professional RegulationCost: $125-$400 • Renewal: Biennial
- Day Care Center License — Illinois Department of Children and Family ServicesCost: $50-$300 • Renewal: Annual
- Retail Liquor License — Illinois Liquor Control Commission and Local Liquor AuthorityCost: $500-$3,000 • Renewal: Annual
- Dispensing Organization License — Illinois Department of Financial and Professional RegulationCost: $5,000-$30,000 • Renewal: Annual
- Motor Carrier Registration — Illinois Commerce CommissionCost: $100-$500 • Renewal: Annual
Home-Based Business Rules
Illinois municipalities regulate home-based businesses through local zoning ordinances. Chicago allows home occupations in residential zones with restrictions on customer traffic, signage, and the proportion of the home used for business. Many Illinois suburban municipalities have more restrictive home occupation rules. The Illinois Cottage Food Law specifically authorizes home-based food businesses with direct consumer sales and no license required.
Monthly Operating Costs
After launch, plan for these ongoing monthly expenses for your Barbershop:
Low
$3,000/mo
Medium
$8,000/mo
High
$20,000/mo
Revenue Potential
Annual Revenue Range
$60,000 – $450,000 (annual)
Profit Margins
15-30%
Break-Even Timeline
6-18 months
How Illinois Compares to Neighboring States
Illinois is one of the more affordable states for launching a Barbershop, with a cost-of-living index of 94.7 (national average is 100). Compared to neighboring Wisconsin ($61,750 median startup cost), Illinois has comparable costs for a Barbershop.
Common Mistakes to Avoid
- 1
Opening in a location with poor foot traffic — barbershops live on walk-ins plus loyal repeat clients
- 2
Not building a booking system early — appointment slots are inventory; wasted slots are revenue lost forever
- 3
Underpricing cuts — $25-$35 for a quality cut is standard; don't race to the bottom
- 4
Hiring barbers without confirming their state licensure status
- 5
Not creating a distinct brand and aesthetic that makes clients want to come back and refer friends
Next Steps to Launch Your Barbershop
- 1
Obtain your Illinois barber license from the Illinois Board of Barber Examiners before cutting hair
- 2
Register your Barbershop as an LLC with the Illinois Secretary of State ($150 filing fee)
- 3
Pass the Illinois health department inspection for your barbershop — includes sanitation practices and blade sterilization
- 4
Lease your space and outfit barber chairs, mirrors, back bar, wash stations, and waiting area ($5,000–$20,000)
- 5
Establish wholesale accounts for clippers, trimmers, barbicide, and grooming product suppliers
- 6
Get professional liability and general liability insurance for barbershop operations ($1,000–$3,000/year)
- 7
Set up your booking system — Square Appointments, Booksy, or GlossGenius work well for barbershops
- 8
Hire licensed barbers — verify all staff hold current Illinois barber licenses before their first cut
Frequently Asked Questions
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Start a Barbershop in Other States
See the national overview for Barbershop or browse all businesses you can start in Illinois.