Business ideas
8 min read

How to Start a Profitable Permanent Makeup Business [11 Steps]

Learn how to start a successful permanent makeup business with our 11+ step guide. From training to marketing, we cover everything you need to know. #permanentmakeup #business #entrepreneurship
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By Nick Cotter
Updated Feb 02, 2024

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This page may feature products from our affiliate partners, which could influence the products we discuss due to potential compensation. Despite this, our evaluations are impartial, based solely on our independent analysis. The content here is intended for informational purposes and should not be seen as legal advice. For professional guidance, consulting with a legal expert is recommended.
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1. Perform market analysis.

Embarking on a journey to start a permanent makeup business requires a comprehensive understanding of the market landscape. A thorough market analysis will help you pinpoint customer needs, assess competition, and identify your unique value proposition. Here's how to perform an effective market analysis:

  • Research the current trends in the permanent makeup industry, including popular techniques, products, and consumer preferences.
  • Analyze your target demographic by age, income, lifestyle, and beauty habits to tailor your services to their specific needs.
  • Examine competitors in your area, noting their service offerings, pricing structures, brand positioning, and customer reviews.
  • Assess the demand for permanent makeup services in your intended location through surveys, focus groups, or by studying market reports and industry statistics.
  • Identify potential suppliers and partners, comparing their products, prices, and reputations to ensure quality and cost-effectiveness for your business.
  • Consider regulatory requirements and certifications necessary to operate legally and professionally within your region.
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Are Permanent Makeup businesses profitable?

Yes, permanent makeup businesses can be profitable. It is important to have a clear business plan, a good reputation and offer high-quality services in order to be successful. The cost of supplies, overhead and marketing will affect the profitability of the business, so it is important to consider these factors when setting prices.

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2. Draft a permanent makeup business plan.

Starting a permanent makeup business requires a well-structured business plan to lay the foundation for success and guide your decisions. Your business plan should cover key aspects of your operations, financial projections, and marketing strategies. Consider the following elements as you draft your business plan:

  • Executive Summary: A brief overview of your business concept, goals, and unique selling propositions.
  • Company Description: Details about your permanent makeup services, target market, and competitive advantages.
  • Market Analysis: Research on industry trends, target demographics, and competitor analysis.
  • Organization and Management: Outline your business structure, ownership, and the qualifications of your team.
  • Services Offered: A detailed list of permanent makeup services you plan to offer and any complementary services.
  • Marketing and Sales Strategy: How you plan to attract and retain customers, pricing strategies, and sales tactics.
  • Funding Request: If you're seeking financing, specify the amount needed and how it will be used.
  • Financial Projections: Include projected income statements, cash flow statements, and balance sheets for the next 3-5 years.
  • Appendix: Any additional documentation that supports your business plan, such as resumes, legal agreements, or product images.

How does a Permanent Makeup business make money?

A permanent makeup business typically makes money through the sale of products and services. Products may include permanent makeup pigments, needles, and other supplies. Services may include permanent makeup applications, touch-ups, and removal. Depending on the business model, the business may also charge consultation or appointment fees.

3. Develop a permanent makeup brand.

Developing a permanent makeup brand is a crucial step in ensuring the success of your business. It's about creating a unique identity that resonates with your target audience and sets you apart from competitors. Here are some key points to consider:

  • Define Your Brand Identity: Establish a clear brand message, mission, and values that reflect the essence of your business. Consider what makes your services unique and how you want clients to feel when they think of your brand.
  • Create a Memorable Logo and Name: Design a logo and choose a business name that captures the spirit of your brand and is easily recognizable. Ensure it aligns with the aesthetic appeal of the beauty industry.
  • Develop a Consistent Aesthetic: Choose a color scheme, typography, and imagery that reflect your brand's style. Consistency across all platforms and materials is key to building brand recognition.
  • Build an Online Presence: Create a professional website and engage on social media platforms where your target audience is active. Showcase your work, share customer testimonials, and provide valuable content related to permanent makeup.
  • Focus on Customer Experience: Ensure that every interaction with your brand, from online inquiries to the service itself, is professional, welcoming, and reinforces your brand values.

How to come up with a name for your Permanent Makeup business?

When coming up with a name for your Permanent Makeup business, consider the core values and mission of your business. Additionally, you should try to pick a name that is easy to pronounce and remember. Brainstorm some ideas that reflect your brand and also think about what words and associations you want people to think of when they hear your business name. Finally, research the name you choose to make sure it is not already taken.

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4. Formalize your business registration.

Embarking on the journey of starting a permanent makeup business requires not just skill and creativity, but also formal recognition through proper business registration. This step is crucial as it legitimizes your enterprise, offering protection and establishing credibility. Here are the key actions you'll need to take to ensure your business registration is in order:

  • Choose a business structure (e.g., sole proprietorship, LLC, corporation) that aligns with your needs for liability protection and tax preferences. Consult a business advisor or attorney if needed.
  • Register the business name with your local or state government. Ensure the name is unique and meets all legal requirements.
  • Obtain an Employer Identification Number (EIN) from the IRS for tax purposes, especially if you plan to hire employees.
  • Apply for any necessary licenses and permits required to operate a permanent makeup business, which may vary depending on your location and the services you offer.
  • Register for state and local taxes to ensure you're in compliance with sales tax, use tax, and any other applicable taxes.
  • Consider consulting with a business attorney to ensure all your paperwork is filed correctly and that you understand the legal requirements of running your business.

Resources to help get you started:

Explore critical materials designed to empower permanent makeup entrepreneurs with knowledge on market trends, operational strategies, and business growth tactics:

  • Permanent Makeup International Magazine: Offers insights into the latest industry trends, artist interviews, and business growth strategies. [No link provided]
  • The Society of Permanent Cosmetic Professionals (SPCP): This organization provides access to publications, industry reports, and newsletters essential for staying abreast of safety standards, techniques, and business practices. https://www.spcp.org/
  • American Academy of Micropigmentation (AAM): Offers resources such as conferences, webinars, and certification information to enhance professional knowledge and skills. https://www.micropigmentation.org/
  • Micropigmentation UK Conference & Awards: An annual event that brings together industry professionals for networking, lectures, and showcasing new products and techniques. [No link provided]
  • Beauty Insurance Plus: Provides articles and e-books on best practices for permanent makeup technicians, covering topics from safety to marketing strategies. https://www.beautyinsuranceplus.com/

5. Acquire necessary licenses and permits for permanent makeup.

Starting a permanent makeup business requires complying with local regulations and obtaining the correct licenses and permits. This ensures that your business operates legally and meets health and safety standards. Below is a guide to help you navigate this process:

  • Research local regulations: Contact your local health department or licensing board to determine what specific permits and licenses are required for permanent makeup artists in your area.
  • Complete required training: Many jurisdictions require permanent makeup artists to complete a certain amount of training hours or certification courses. Ensure you meet these educational prerequisites before applying for your license.
  • Apply for a business license: You'll need a general business license to operate any business legally. Apply for one through your city or county's business licensing office.
  • Obtain a specialty license: Depending on your location, you may also need a specialty license for tattooing or cosmetology, as permanent makeup often falls under these categories.
  • Pass health inspections: Your workspace must adhere to strict hygiene and safety standards. A health department inspection is typically required to receive your operating permit.
  • Stay updated with renewals: Keep track of expiration dates for your licenses and permits to ensure your business remains compliant with all regulations.

What licenses and permits are needed to run a permanent makeup business?

Depending on your location, you may need to obtain a business license, tax registration numbers, and other permits to start and run a permanent makeup business. You may also need to secure specific qualifications or credentials such as a certificate in permanent makeup or a cosmetology license. You may also be required to pass health and safety inspections, obtain insurance policies, and comply with other local regulations in order to operate legally.

6. Open a business bank account and secure funding as needed.

Securing your financial foundation is crucial when starting a permanent makeup business. Step 6 involves opening a business bank account to keep your company's finances separate from personal funds and obtaining the necessary capital. Here's how to approach these tasks:

  • Choose a bank: Research and select a bank that offers business accounts with low fees, easy access, and good customer service. Consider banks that provide additional support to small businesses.
  • Prepare documentation: Gather required documents such as your business license, EIN (Employer Identification Number), and ownership agreements to open your account.
  • Understand your funding needs: Calculate the initial costs for equipment, supplies, licensing, and marketing to determine how much funding you'll need.
  • Explore funding options: Consider applying for a business loan, seeking out investors, or using crowdfunding platforms. Look for grants and funding opportunities specifically aimed at small businesses or beauty industry entrepreneurs.
  • Build a solid business plan: A well-crafted business plan is essential for securing loans or investments. It should clearly outline your business strategy, projected earnings, and how you plan to repay borrowed funds.

7. Set pricing for permanent makeup services.

Setting the right prices for your permanent makeup services is crucial for attracting clients while ensuring profitability. Consider the value you provide, your expertise, the market rates, and the costs involved. Here's a guide to help you establish your pricing structure:

  • Cost Analysis: Calculate the total cost of performing each service, including supplies, labor, overhead, and equipment depreciation.
  • Competitor Pricing: Research the prices of similar services in your area to ensure your rates are competitive.
  • Experience and Skill: Adjust your prices based on your qualifications, experience, and the complexity of the service offered.
  • Target Market: Tailor your prices to the economic status and willingness to pay of your intended clientele.
  • Value-Based Pricing: Consider the long-term value of the service to the client when setting prices, potentially allowing for higher rates.
  • Pricing Strategy: Decide whether you'll use a tiered pricing model, package deals, or a flat rate for all clients.
  • Adjustments and Corrections: Include pricing for touch-ups or corrections, as these are often necessary with permanent makeup.
  • Transparency: Clearly communicate your prices to avoid confusion and build trust with your clients.

What does it cost to start a Permanent Makeup business?

Initiating a permanent makeup business can involve substantial financial commitment, the scale of which is significantly influenced by factors such as geographical location, market dynamics, and operational expenses, among others. Nonetheless, our extensive research and hands-on experience have revealed an estimated starting cost of approximately $15000 for launching such an business. Please note, not all of these costs may be necessary to start up your permanent makeup business.

8. Acquire permanent makeup equipment and supplies.

Embarking on a permanent makeup business requires the right equipment and supplies to ensure safety, quality, and satisfaction for your clients. It is essential to invest in high-grade, professional tools that adhere to industry standards. Below is a guide to help you acquire the necessary equipment and supplies:

  • Permanent Makeup Machine: Choose a reliable machine that's versatile for different techniques like microblading, powder brows, or lip blushing.
  • Needles and Cartridges: Stock up on various needle configurations for precision work on different areas.
  • Pigments: Select a range of high-quality pigments that are hypoallergenic and offer good retention.
  • Topical Anesthetics: Ensure client comfort with safe and effective numbing agents.
  • Disposables: Maintain hygiene with disposable gloves, aprons, caps, and barrier films.
  • Sanitation Supplies: Invest in medical-grade disinfectants, autoclaves, and sanitizers to keep your workspace sterile.
  • Practice Skins: Get synthetic skins to practice new techniques and improve your skills.
  • Measuring Tools: Acquire tools like calipers and rulers for precise design and symmetry.
  • Aftercare Products: Provide clients with aftercare kits including balms and instructions for proper healing.

List of Software, Tools and Supplies Needed to Start a Permanent Makeup Business:

  • Computer
  • Permanent Makeup Kit
  • Topical Anesthetics
  • Needles and Pigments
  • Cleaning Supplies
  • Business Plan and Licensing
  • Advertising Materials
  • Website and Social Media Presence
  • Bookkeeping and Accounting Software
  • Client Records Management System

9. Obtain business insurance for permanent makeup, if required.

Securing the right business insurance is a critical step in establishing your permanent makeup business. It safeguards your enterprise from potential liabilities and ensures that you can operate with peace of mind. Here are some guidelines to help you obtain the necessary insurance:

  • Research different types of insurance policies, such as General Liability Insurance, Professional Liability Insurance, and Property Insurance, to understand what coverage they offer.
  • Contact insurance providers who specialize in beauty or cosmetic business insurance for more tailored options that suit the unique needs of a permanent makeup business.
  • Consider the extent of coverage you need based on your business size, location, the services you offer, and the number of employees you have.
  • Compare quotes from multiple insurance agents to find the best rates and coverage options for your business.
  • Ask about any additional insurance options that may be beneficial, such as coverage for equipment, products liability, or business interruption.
  • Review the insurance contract carefully before signing to ensure you understand the terms, conditions, and any exclusions or limitations.
  • Keep your insurance documents in a safe place and make sure to renew your policies as required to maintain continuous coverage.

10. Begin marketing your permanent makeup services.

Launching your permanent makeup business is an exciting venture, and a strong marketing strategy is essential to attract and retain clients. Here are some effective techniques to market your services and establish a robust presence in the beauty industry.

  • Build a Professional Website: Create an attractive, user-friendly website showcasing your work, services, and testimonials from satisfied customers. Ensure it's optimized for search engines (SEO) to increase visibility.
  • Utilize Social Media: Use platforms like Instagram and Facebook to display before-and-after photos, share client reviews, and engage with your audience. Regular posts and stories can keep your followers informed and interested.
  • Network with Industry Professionals: Connect with local salons, spas, and wellness centers to offer your services. Networking can lead to referrals and partnerships.
  • Offer Promotions and Discounts: Attract new clients with introductory offers, package deals, or seasonal discounts. Encourage word-of-mouth by providing incentives for client referrals.
  • Invest in Paid Advertising: Consider using targeted ads on social media or Google to reach potential clients who are actively searching for permanent makeup services.
  • Get Featured in Local Media: Reach out to local magazines, newspapers, and blogs for a feature or interview to gain exposure and establish credibility.

What licenses and permits are needed to run a permanent makeup business?

  • Computer
  • Permanent Makeup Kit
  • Topical Anesthetics
  • Needles and Pigments
  • Cleaning Supplies
  • Business Plan and Licensing
  • Advertising Materials
  • Website and Social Media Presence
  • Bookkeeping and Accounting Software
  • Client Records Management System

11. Expand your permanent makeup business.

Once you've established a solid foundation for your permanent makeup business, it's time to think about growth and expansion. To ensure sustainable growth, consider these steps to take your business to the next level and cater to a broader client base.

  • Invest in Advanced Training: Enhance your skills with advanced courses in permanent makeup to offer new and trendy services.
  • Partner with Other Professionals: Collaborate with dermatologists, plastic surgeons, and beauty salons to reach new clients.
  • Expand Your Services: Introduce complementary services such as skin care treatments or lash extensions to become a one-stop beauty destination.
  • Upgrade Your Equipment: Invest in the latest technology to improve service quality and efficiency.
  • Launch a Referral Program: Encourage word-of-mouth marketing with incentives for clients who refer new customers.
  • Utilize Social Media: Increase your online presence through targeted ads and engaging content to attract a wider audience.
  • Open Additional Locations: If demand is high, consider opening new branches in other areas to capture more market share.
  • Train and Hire Staff: As your client base grows, hire skilled technicians to handle the increased workload and maintain high-quality service.
  • Franchise Your Business: If your brand is strong, franchising can be an effective way to expand rapidly with a lower capital investment.