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The path to your own salon – business understanding and chair rental

Employed, booth rental, or own salon – three different career paths

The hairdressing trade offers unusually many different ways to pursue a career. Some are employed for the rest of their working lives, others become self-employed as chair renters in someone else's salon, and others start and run their own salon with employees. No model is 'right' — but they place different demands on business understanding, and it is a good idea to know the differences long before you face the decision.

§Three models three responsibilities

ModelWhat characterises theBusiness responsibility
Employed hairdresserFixed wage, employer provides premises, tools, and products.Limited — employer bears the business risk
Stall rental (self-employed)Leases a chair in a salon for fixed rent or share of revenue, own customers, own prices and work hoursOwn CVR, own accounting, own responsibility for customer base.
Own salon.Owner or operator of the salon, possibly with employees or chair renters.Full business responsibility: premises, staff, operations and finances

§CVR and basic accounting

As soon as you work as self-employed — whether as a salon renter or salon owner — you must register a business with a CVR number and keep track of income expenses and VAT. It doesn't require you to be a trained accountant but you must be able to document your turnover keep receipts for purchases of products and tools and settle VAT and tax on time. Many newly self-employed hairdressers choose to get help from an accountant for the first accounting years while they learn the routines.

§The stall rental agreement — what should be included

Food industry

§Customer base and non-compete clauses

If you switch from being employed to becoming self-employed or starting on your own, your previous employment contract may contain a non-compete or customer clause that limits which customers you can take with you, and in what geographic area you can work for a period. Read such clauses carefully, and have them reviewed before you plan a switch – the consequences can be expensive if you breach a valid clause.

  • 01Investigate the difference between being employed being a booth renter and being a salon owner before choosing your path.
  • 02Record CVR and keep track of receipts, VAT and tax from day one as self-employed.
  • 03Get a written stall rental agreement describing rent, termination, and customer data.
  • 04Check for any non-compete clauses from previous employment before switching

You learn the craftsmanship at school and in practice — you build up business understanding long before you need it.