Start a body wrap spa by following these 10 steps:
You have found the perfect business idea, and now you are ready to take the next step. There is more to starting a business than just registering it with the state. We have put together this simple guide to starting your body wrap spa. These steps will ensure that your new business is well planned out, registered properly and legally compliant.
Check out our How to Start a Business page.
STEP 1: Plan your business
A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:
- What are the startup and ongoing costs?
- Who is your target market?
- How much can you charge customers?
- What will you name your business?
Luckily we have done a lot of this research for you.
What are the costs involved in opening a body wrap spa?
There are a number of expenses you will incur while setting up your new business. When planning your budget, consider the following:
- Minerals and herbs
- Body wrap supplies, such as blankets, sheets, bandages, and heat blankets
- Specialized chairs/massage tables—consider purchasing gently used or inexpensive furnishing to start, upgrading as the business starts to grow
- Cleaning products
- Brick and mortar—Invest in a location that is easily accessible with ample parking.
- Furniture for reception and retail areas
- Business permits and insurance
- Website—this does not have to be a complicated site, but it should provide information regarding you and your staff’s background, services, and pricing sheet
- Marketing strategy and materials
Experienced professionals indicate start-up costs could range anywhere from $150,000 to $225,000, depending upon the services you wish to offer and your location. For larger investments, such as day spas, your budget will be $350,000 to $625,000. Franchising opportunities are available, with standard fees of approximately $50,000.
What are the ongoing expenses for a body wrap spa?
Budget for the following ongoing expenses when considering a body wrap business start-up:
- Marketing supplies
- Lease, utilities, phone, and other administrative fees
- Payroll, taxes, and employee benefits
- Replenishment of spa supplies
- Maintenance and cleaning of equipment
- Continuing education
Specific costs vary depending upon your location, number of employees, and number of services offered.
Who is the target market?
This industry attracts customers from every demographic. When building your business plan, consider what is important to you. Do you want to help clients reach weight goals? Do you want to help customers who are in pain and in need of detox? What other health benefits impassion you? Once you’ve determined this, you’ll be better equipped to identify your target market.
How does a body wrap spa make money?
A body wrap spa makes money from clients with appointments, as well as walk-in clients, all of whom pay for body wrapping services.
How much can you charge customers?
Most wrap sessions last sixty minutes and range anywhere from $80-$200+ per session. Packages average $225 for three sessions, $350 for five, and $500 for ten.
How much profit can a body wrap spa make?
Many small spas report seeing fifty to sixty clients each week. Each technician you employ stands to generate more than $30,000 per year. Offering the sale of retail products and expanding your services will significantly increase your organization’s annual profit.
How can you make your business more profitable?
To increase your company’s profits, consider implementing the following strategies:
- Include a variety of other holistic cleansing and/or beauty salon services
- Create your own body wrap blends
- Sell additional products to enhance the experience
- Turn your spa into an educational facility
What will you name your business?
Choosing the right name is important and challenging. If you don’t already have a name in mind, visit our How to Name a Business guide or get help brainstorming a name with our Body Wrap Spa Name Generator
When registering a business name, we recommend researching your business name by checking:
- Your state's business records
- Federal and state trademark records
- Social media platforms
- Web domain availability.
It's very important to secure your domain name before someone else does.
STEP 2: Form a legal entity
Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your body wrap spa is sued.
Form Your LLC
Read our Guide to Form Your Own LLC
Recommended: You will need to elect a registered agent for your LLC. LLC formation packages usually include a free year of registered agent services. You can choose to hire a registered agent or act as your own.
STEP 3: Register for taxes
You will need to register for a variety of state and federal taxes before you can open for business.
In order to register for taxes you will need to apply for an EIN. It's really easy and free!
You can acquire your EIN for free through the IRS website, via fax, or by mail. If you would like to learn more about EINs and how they can benefit your LLC, read our article, What is an EIN?.
Small Business Taxes
Depending on which business structure you choose, you might have different options for how your business will be taxed. For example, some LLCs could benefit from being taxed as an S corporation (S corp).
You can learn more about small business taxes in these guides:
There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.
STEP 4: Open a business bank account & credit card
Using dedicated business banking and credit accounts is essential for personal asset protection.
When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil.
Additionally, learning how to build business credit can help you get credit cards and other financing in your business's name (instead of yours), better interest rates, higher lines of credit, and more.
Open a business bank account
- This separates your personal assets from your company's assets, which is necessary for personal asset protection.
- It also makes accounting and tax filing easier.
Recommended: Read our Best Banks for Small Business review to find the best national bank, credit union, business-loan friendly banks, one with many brick-and-mortar locations, and more.
Open net-30 accounts
When it comes to establishing your business credit, net-30 vendors are considered the way to go. The term "net-30," which is popular among vendors, refers to a business credit arrangement where the company pays the vendor within 30 days of receiving goods or services.
Net-30 credit terms are often used for businesses that need to obtain inventory quickly but do not have the cash on hand.
Besides establishing business relationships with vendors, net-30 credit accounts get reported to the major business credit bureaus (Dun & Bradstreet, Experian Business, and Equifax Business Credit). This is how businesses build business credit so they can qualify for credit cards and other lines of credit.
Recommended: Read our guide on the best net-30 vendors so you can start building business credit now, so you never have to worry about cash flow in the future. Keep in mind that poor cash flow is the #1 reason businesses fail!
Get a business credit card
- This helps you separate personal and business expenses by putting your business' expenses all in one place.
- It also builds your company's credit history, which can be useful to raise money and investment later on.
STEP 5: Set up business accounting
Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.
STEP 6: Obtain necessary permits and licenses
Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.
State & Local Business Licensing Requirements
Certain state permits and licenses may be needed to operate a body wrap business. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits.
Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses.
For information about local licenses and permits:
- Check with your town, city or county clerk’s office
- Get assistance from one of the local associations listed in US Small Business Associations directory of local business resources.
Release of Liability
To avoid liability and potential lawsuits, body wrap businesses should have their clients sign a release of liability. Here is an example of one such form.
Recommended: Rocket Lawyer makes it easy to create a professional release of liability form for your body wrap business when you sign up for their premium membership. For $39.95 per month, members receive access to hundreds of legal agreements and on call attorneys to get complimentary legal advice.
Certificate of Occupancy
A body wrap business is generally run out of a spa in a storefront. Businesses operating out of a physical location typically require a Certificate of Occupancy (CO). A CO confirms that all building codes, zoning laws and government regulations have been met.
- If you plan to lease a location:
- It is generally the landlord’s responsibility to obtain a CO.
- Before leasing, confirm that your landlord has or can obtain a valid CO that is applicable to a body wrap business.
- After a major renovation, a new CO often needs to be issued. If your place of business will be renovated before opening, it is recommended to include language in your lease agreement stating that lease payments will not commence until a valid CO is issued.
- If you plan to purchase or build a location:
- You will be responsible for obtaining a valid CO from a local government authority.
- Review all building codes and zoning requirements for your business’ location to ensure your body wrap business will be in compliance and able to obtain a CO.
STEP 7: Get business insurance
Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.
There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance. This is the most common coverage that small businesses need, so it’s a great place to start for your business.
Learn more about General Liability Insurance.
Another notable insurance policy that many businesses need is Workers’ Compensation Insurance. If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.
STEP 8: Define your brand
Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.
If you aren't feeling confident about designing your small business logo, then check out our Design Guides for Beginners, we'll give you helpful tips and advice for creating the best unique logo for your business.
How to promote & market a body wrap spa
Experienced professionals have found success implementing a well-rounded marketing strategy. Joining professional organizations, such as the Associated Bodywork and Massage Professionals, will help you get listed with online spa directories. They also offer educational courses and networking events that stand to help boost your company’s overall profits.
Your marketing strategy should focus on current customers. Word of mouth is a wonderful marketing tool. Offer gift certificates and discounts for referrals, acknowledging loyal clients.
Draft brochures that target business professionals, wedding parties, and other wellness professionals. Create packages geared towards their needs. Host special events and offer drawings and giveaways. Donate a portion of the proceeds to a local charity. Such events are mutually beneficial and will attract both new and existing customers.
How to keep customers coming back
A social media presence is critical for staying connected with clients. Share news regarding upcoming specials and industry trends. Send out email blasts and personally email clients who haven’t been in for a while. This will remind them you’re here and that your business cares about them and their patronage.
Prove your loyalty to each customer by offering a membership. This should include special pricing and membership benefits. As part of your fee structure, offer package options—most spas offer a series of 3, 5, or 10 visits. This benefits both you and the customer. They feel as though they’ve gotten a deal and commit to the necessary number of sessions to truly realize results. It takes time to detox the body and lose weight. Be upfront with them about their sessions, which will help build a relationship based on trust and honesty. When they see the desired results, word of mouth will take over.
Still unsure about what kind of business you want to start? Check out the latest Small Business Trends to help inspire you.
STEP 9: Create your business website
After defining your brand and creating your logo the next step is to create a website for your business.
While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.
Here are the main reasons why you shouldn’t delay building your website:
- All legitimate businesses have websites - full stop. The size or industry of your business does not matter when it comes to getting your business online.
- Social media accounts like Facebook pages or LinkedIn business profiles are not a replacement for a business website that you own.
- Website builder tools like the GoDaddy Website Builder have made creating a basic website extremely simple. You don’t need to hire a web developer or designer to create a website that you can be proud of.
Using our website building guides, the process will be simple and painless and shouldn’t take you any longer than 2-3 hours to complete.
STEP 10: Set up your business phone system
Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.
There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use.
Recommended: Find the best phone system for your business; check out our review of the Best Business Phone Systems 2021.
Start A Body Wrap Spa In Your State
Select your state below for an in-depth guide on completing each of these steps in your home state.
Is this Business Right For You?
Body wrap spas offer clients a holistic way to meet their health goals. Success in this profession is realized by those who are fulfilled from helping others on their journey to a more healthy lifestyle. They enjoy interacting with others, seeing this as an opportunity to learn and grow, both personally and professionally.
Want to know if you are cut out to be an entrepreneur?
Take our Entrepreneurship Quiz to find out!
What happens during a typical day at a body wrap spa?
While a relaxing environment, body wrap spas require a fairly regimented schedule. This ensures each client receives the full benefit from each session and that the environment is kept safe and clean.
The following items will require you and your staff’s attention on a regular basis:
- Consulting with clients regarding their treatment goals
- Scheduling appointments
- Performing wrapping services
- Educating customers regarding proper aftercare
- Cleaning and maintaining all spa equipment
- Replenishing inventory, placing orders as needed
- Analyzing current marketing efforts, modifying strategy when necessary
- Educating staff, managing their human resources needs, and managing their schedules
- Billing, accounting, and administrative duties
What are some skills and experiences that will help you build a successful body wrap spa?
Every body wrap business owner indicates the most important component to their success is education and experience. Whether you plan to stick to administrative work only or wish to be a practicing technician, it is critical that you and your staff be professionally educated. A reputable school will instruct you regarding techniques, products, industry standards, safety, and basic business practices. A well-rounded and knowledgeable business owner is set up for long-term success and has the potential to mentor those seeking to enter the industry.
Once you have received the proper education, certification, and licenses, hands-on training would prove invaluable. In the right setting, you’ll gain a greater understanding of your work’s healing benefits. This firsthand experience should also offer insight into your target demographic, successful marketing practices, operational procedures, and pricing.
Entrepreneurs must be business savvy and possess a leadership skill set that includes: communication, both written and verbal, attention to detail, and should be able to work efficiently and timely.
What is the growth potential for a body wrap spa?
As part of the cosmetology industry, body wrapping businesses offer stability, financial security, and great growth potential. Business owners have an opportunity to expand their business to include a multitude of different services, in a variety of settings. Demand for these services extends across the globe, offering entrepreneurs a unique opportunity to keep their businesses small or expand internationally, based on their vision.
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Take the Next Step
Find a business mentor
One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.
Having a support network in place to turn to during tough times is a major factor of success for new business owners.
Learn from other business owners
Want to learn more about starting a business from entrepreneurs themselves? Visit Startup Savant’s startup founder series to gain entrepreneurial insights, lessons, and advice from founders themselves.
Resources to Help Women in Business
There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:
If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.
What are some insider tips for jump starting a body wrap spa?
Consider the following industry advice for starting and managing the business:
- There are three things that will help define your success—the quality of customer service delivered, proper marketing, and setting business goals.
- Keep in mind that, regardless of their personal health goals, your clients are there to relax. Pamper them and offer hours that accommodate their needs.
- Take pride in your business venture by keeping up with the latest industry trends and offering a level of service above your competitors.
- Ask for customer feedback and take action.
How and when to build a team
When you are ready to starting building a staff, make sure each team member is professional, both in appearance and attitude. Each employee should be properly licensed and passionate about their work. A great place to find dedicated workers is at your local cosmetology schools. Those still attending school could perform administrative duties, learning the procedures of your company. Those just out of school will be looking for work and offer a fresh outlook on your growing business.