How Much Does It Cost to Start a Hair Salon in Georgia?

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Starting a Hair Salon in Georgia typically costs between $14,100 and $235,000, with a median estimate of $70,500. Georgia’s cost of living is 6% below the national average, which helps reduce operating expenses like commercial rent and labor. LLC formation in Georgia costs $100 to file. Most hair salon businesses take 2-5 months to launch.

Last updated: March 2026

Hair Salon startup costs illustration — typical equipment and setup

How Much Does It Cost to Start a Hair Salon in Georgia?

Low

$14,100

Medium

$70,500

High

$235,000

National average: $15,000 – $250,000

Interactive Startup Cost Calculator

Startup Cost Calculator

Hair Salon in Georgia

Budget:

Salon Space Lease & Build-Out

$32,900

Salon Equipment & Furniture

$18,800

Professional Hair Care Products

$7,520

Salon Software & POS

$1,880

Cosmetology Licenses & Business Permits

$1,410

Insurance

$2,350

Marketing & Grand Opening

$4,700

Working Capital Reserve

$14,100

Options

Include 3 months working capital

Employees:Just Me1–34–10

One-Time Costs

$83,660

Monthly Costs

First Year Total

$83,660

Full Cost Breakdown

Cost Category	Low	Medium	High	Notes
Salon Space Lease & Build-Out	$7,520	$32,900	$112,800	Each shampoo bowl requires plumbing installation ($500-$2,000 each). A 6-chair salon needs $30,000-$80,000 in build-out.
Salon Equipment & Furniture	$4,700	$18,800	$56,400	Professional styling chairs cost $300-$800 each. A complete 6-station setup runs $3,000-$8,000 in chairs alone.
Professional Hair Care Products	$1,880	$7,520	$23,500	Retail product sales can add 15-25% to total revenue. Stock 2-3 months of inventory at opening.
Salon Software & POS	$470	$1,880	$5,640	Vagaro, Fresha, and Square Appointments are popular for salons. Budget $50-$200/month for software.
Cosmetology Licenses & Business Permits	$282	$1,410	$4,700	Cosmetology establishment licenses cost $50-$500. Each employed stylist must hold a state cosmetology license.
Insurance	$752	$2,350	$6,580	Professional liability for salons covers chemical burns, allergic reactions, and service errors. Budget $100-$300/month.
Marketing & Grand Opening	$940	$4,700	$14,100	Before/after transformation photos on Instagram are the most powerful salon marketing tool. Invest in photography.
Working Capital Reserve	$4,700	$14,100	$47,000	Booth rental salons have lower risk — renters cover their own expenses. Commission-based employees require more capital.
Total Startup Cost	$21,244	$83,660	$270,720	Required costs only

Licenses & Permits in Georgia

General Business License

Georgia does not have a statewide general business license. Businesses must register their entity with the Georgia Secretary of State and may need to obtain a sales tax number from the Georgia Department of Revenue. Individual counties and cities in Georgia issue occupational tax certificates (business licenses) which are required for businesses operating within their jurisdiction. Atlanta, Savannah, and other municipalities have their own licensing requirements.

Industry-Specific Licenses

Food Service Permit — Georgia Department of Public Health or County Health Department
Cost: $50-$500 • Renewal: Annual
General Contractor License — Georgia State Licensing Board for Residential and General Contractors
Cost: $200-$800 • Renewal: Biennial
Cosmetology Shop License — Georgia State Board of Cosmetology and Barbers
Cost: $50-$150 • Renewal: Annual
Real Estate Broker License — Georgia Real Estate Commission
Cost: $170-$400 • Renewal: Every 4 years
Child Care Learning Center License — Georgia Department of Early Care and Learning (DECAL)
Cost: $50-$300 • Renewal: Annual
Retail Alcohol License — Georgia Department of Revenue — Alcohol and Tobacco Division
Cost: $1,000-$5,000 • Renewal: Annual
Medical Practice License — Georgia Composite Medical Board
Cost: $200-$600 • Renewal: Biennial
Motor Carrier Registration — Georgia Department of Public Safety
Cost: $150-$500 • Renewal: Annual

Home-Based Business Rules

Georgia municipalities regulate home-based businesses through local zoning ordinances. Most Georgia cities and counties allow home occupations in residential zones with restrictions on exterior signage, non-resident employees, and customer traffic. Unincorporated county areas, particularly in rural Georgia, often have more permissive rules for home-based businesses. Georgia law supports cottage food operations from home kitchens with direct consumer sales.

Resources

Monthly Operating Costs

After launch, plan for these ongoing monthly expenses for your Hair Salon:

Low

$4,000/mo

Medium

$12,000/mo

High

$35,000/mo

Revenue Potential

Annual Revenue Range

$80,000 – $700,000 (annual)

Profit Margins

8-20%

Break-Even Timeline

12-24 months

How Georgia Compares to Neighboring States

Georgia is one of the more affordable states for launching a Hair Salon, with a cost-of-living index of 93.9 (national average is 100). Compared to neighboring Tennessee ($69,000 median startup cost), Georgia has higher costs for a Hair Salon.

State	Est. Cost	LLC Fee
Georgia (current)	$70,500	$100
Tennessee	$69,000	$300
North Carolina	$72,000	$125
South Carolina	$72,000	$110
Florida	$77,250	$125
Alabama	$66,000	$200

Common Mistakes to Avoid

1
Choosing a booth rental model without calculating whether booth fees cover overhead costs
2
Underestimating build-out costs — plumbing for shampoo bowls and electrical are expensive
3
Not building a retail sales program — product sales at 50% markup are high-margin revenue
4
Hiring stylists before building a client base — staff idle time is expensive
5
Not having stylist non-solicitation agreements — stylists leaving and taking clients is the biggest risk

Next Steps to Launch Your Hair Salon

1
Obtain your Georgia cosmetology license from the Georgia Board of Cosmetology before opening
2
Register your Hair Salon as an LLC with the Georgia Secretary of State ($100 filing fee)
3
Pass the Georgia health and safety inspection for your salon — includes sanitation, ventilation, and plumbing
4
Sign a salon suite lease or studio lease and outfit your stations with styling chairs, mirrors, and shampoo bowls ($5,000–$25,000)
5
Establish wholesale hair product accounts with your color, shampoo, and treatment distributors for professional pricing
6
Get professional liability and general liability insurance for salon operations ($1,500–$3,500/year)
7
Set up your salon booking software (StyleSeat, Vagaro, or GlossGenius) and Google Business Profile
8
Hire licensed cosmetologists — verify all stylists hold a current Georgia cosmetology license before their first client

Frequently Asked Questions

Opening a hair salon costs $15,000 to $250,000 depending on size and model. A small 2-3 chair salon in a modest space can open for $15,000-$40,000. A full 6-10 chair salon in a premium location with high-end finishes typically costs $75,000-$200,000. A large commission-based salon with 15+ stations can exceed $250,000.

Booth rental salons ($300-$800/week per chair) have lower risk — stylists rent chairs and keep all their earnings. Commission salons (40-60% to stylists) require building a client base to fill chairs. Booth rental provides predictable income regardless of business performance; commission salons have higher upside when fully booked.

Hair salon owners earn $30,000-$100,000+ annually. A small 4-chair booth rental salon charging $400/week per station grosses $83,200/year in rent alone, with the owner keeping most of it. A commission salon with 8 stylists averaging $3,000/week in production grosses $1.25M/year; owner takes 10-15% net after expenses.

Required: state cosmetology establishment license ($50-$500), business license, health department inspection clearance, and a cosmetology license for every licensed service provider. Some states require a separate salon owner license. All chemical services (color, perms) require licensed cosmetologists.

Attract stylists by offering: competitive booth rental rates or commission splits, a professional work environment, strong retail product selection, a built-in client marketing program, flexible schedules, and education opportunities. Building relationships with local cosmetology schools for new graduate recruitment is also effective.

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Start a Hair Salon in Other States

See the national overview for Hair Salon or browse all businesses you can start in Georgia.