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Commission spilt what's fair?
#1
I am considering doing commssion at a new salon, the salon owner said if I supply all my own supplies they will do a 60/40 split my favor it they supply a 50/50 split. Why would I pay for all my supplies for a mere 10%? Or am I looking at it wrong. Please help me out with this.

Thanks
Connie
Get Nailed at JB Salon & Day Spa
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#2
That's what happened where I last worked, I had to buy all my supplies for 70/30 comission. It didn't work out because ultimately your supplies are more than 10% I would say that it's more like about 40% depending on what kind of products you use. I would go for 50/50 and the owner supplies everything, it will be easier for you anyways because you don't have to worry about running out of products or supplies.
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#3
(05-28-2012, 03:21 PM)Carlab_22 Wrote: That's what happened where I last worked, I had to buy all my supplies for 70/30 comission. It didn't work out because ultimately your supplies are more than 10% I would say that it's more like about 40% depending on what kind of products you use. I would go for 50/50 and the owner supplies everything, it will be easier for you anyways because you don't have to worry about running out of products or supplies.


This might work only if the owner agrees to buy the products YOU want to use and not the absolute cheapest made stuff out there to save themselves money.

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#4
Having been in the position of the salon owner, I used to give my nail techs a 50/50 split on commission and I would supply all the products (good ones!). But I would also supply, advertising, heat, light power, tea, coffee, toilet supplies, desks, chairs, lamps, etc etc etc basically everything a business needs to run. So trust me a 50-50 split is EPICALLY fair. You get to keep half of everything you do and run! The salon owner has to pay out lots of others things and will probably end up with 15 - 20%. Of course that depends on how many clients you do. If the salon fails to reach client targets you still get your money (ok less than expected) but the salon owner may not even breakeven and actually loose money because they still have fixed bills and expenses that need paying regardless.

Phew rant over lol

Manufacturer, distributor and trainer for Inverted Moulds. http://www.easynail.co.uk

Check us out on FACEBOOK: http://www.facebook.com/enukinvertednailsystems
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#5
Im on a 50/50 split and everything is supplied, right down to insurance. I am very lucky, my boss rarely balks and anything I ask for as far as product goes.

She also doesn't push me to price like the chop shops in the area. She *gasp* gets it. The only thing she did tell me I had to wait on was an LED light as she would like to see us recoup the cost of the initial investments into so many gel polish systems to find the right one.
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#6
As a salon owner, I would be willing to pay UP TO 52% split with me providing everything, including paying all the taxes (soc. sec. matching, unemployment insurance, workman's comp insurance adds up to about 15%). So, if you are on 50% but are self employed and paying double social security and having to maintain your licenses and liability insurance, I think that's not such a great deal. If she's paying the taxes and other expenses in addition to supplies, advertising, etc. then 50% would be great.

That said, all my calculations are based on my service prices (highest in my area) - depending on your actual prices, different splits could provide widely varying results. I would recommend that to truly know what a good deal is, you need to calculate your service costs, time taken to complete them, and all miscellaneous expenses broken down and pro-rated according the the number of services that you could perform if 85% booked. IMO, you can't really know what you can afford to pay without knowing those things - and that's just an abbreviated list of considerations.
Candice
Nail Tech/Owner
http://www.PanacheNailStudio.com
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#7
Start with what's legally required (compensation equivalent to at least minimum wage for hours worked, whether with clients or not) and then consider what's "fair" (reasonable and beneficial for both parties).
Commission = Employee
Jaime Schrabeck, Ph.D. (yes, it's real)
http://www.precisionnails.com
http://shop.precisionnails.com
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