Choosing between commission or booth rent?

Posted by Jeremy Augusta on

If you are a new stylist, or even have been in the industry for a while and trying to figure out how to upgrade your career, you may be considering a move from booth rent to commission or vice versa. There is no perfect solution that fits all stylists, so in this article, we’re going to break down the differences so we can help you decide what is best for your career.

Let get at it, which option is best for you? Let’s take a look. 

Booth rental is renting space in an established business. The salon owner is the landlord and you are the tenant. As the tenant, you pay the landlord rent and live your life. But, you are also your own boss. 


As a booth renter, you run your business the way you see fit within reason of the salon rules, but as a booth renter, there will be few. But, you also have more personal and career responsibility in this situation as well. As a booth renter, you are in charge of your own appointments, marketing yourself, creating your own branding, managing your own retail, your payment processing, websites and social media, business expenses, and everything else. You are fully running your own business in this situation, a business that you rent space from a salon to be in. However, your success is totally in your own hands with very little career support. You will pay rent each month, in exchange for your rent you get a chair, and basically only a chair. 

The other option is to be a commission based stylist. As a commission based stylist, you are most often in a contracting role, sometimes it can be a true employee role, but that is rare since working as a contractor gives the stylist the most personal freedom while still having a salon to directly support them. 

As a commission based stylist, you receive a percentage of the work you do, often it can range anywhere from 30-60%. When you are a booth rental stylist, you receive 100% of the money you earn. While many will just assume that booth rent is the better option, you have to remember what a-s-s-u-m-e stands for. When you are a commission based stylist, in exchange for the percentage the salon gets, you get backed by their resources. A salon with commission stylists is going to be pouring resources into their stylists to make sure they make as much money as possible. The salon will not only be marketing you, but they will be feeding you clients as well that you would never had had without them. The salon will also cover costs of needed services like payment processing, internet and social media marketing which can become very expensive, products, training and more. 

There isn’t a perfect choice for everyone when trying to decide if they want to be a booth renter or a commission based stylist. It comes down to wher eyou are in your career and the path you want to take in the industry. Both also, can be very rewarding both personally and financially.


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