Salon Business Valuation
Salon & Barbershop Valuation Calculator & Exit Planning Built for Beauty Professionals
We built one platform that tracks your salon's value monthly, identifies exit gaps early, and ensures your personal finances align with your exit timeline.
1,000+ Businesses have joined YourExitValue.com
Most Salon Owners Have No Idea What Their Business is Actually Worth
Current Hair Salon / Barbershop Valuation Multiples (2026)
Salon and barbershop valuations depend heavily on business model and stylist retention. Here's the current reality:
Every business is different. That's why you need to track your value.
Included in Your Exit Value is a complete Exit Planning Assessment where you track your progress quarterly against your results from the previous quarter.
Know your number and watch it grow
Most business owners guess at their value. You'll know it with precision.
Our platform uses six proven valuation methodologies to give you a complete picture of what your business is worth today—and tracks how that number changes month over month. No more waiting for annual appraisals or paying $15K+ for outdated reports.
See your trends. Spot opportunities. Make informed decisions
What Actually Drives Salon Business Value
A full appointment book doesn't guarantee a good sale price. Buyers evaluate these specific factors that separate premium salons from average ones:
Business Model
Employee-Based
Commission-based employee models are significantly more valuable than booth rental. With employees, you control client relationships, pricing, and service quality.
Booth rental = limited transferable value
Stylist Retention
Core Team 3+ Years
Clients follow stylists, not salons. A stable, tenured team signals good culture and reduces buyer worry about post-sale client exodus.
High turnover = client risk
Client Database
CRM with Full Records
A documented client database with visit history, contact info, and preferences is proof of value. It enables marketing and demonstrates the client base exists.
No database = unverifiable claims
Lease Terms
10+ Years Remaining
Salons are location-dependent. A great lease with long remaining term adds value. Short leases or upcoming rent increases create deal risk.
Short lease = location risk
Service Mix
Cut + Color + Retail
Full-service salons with cuts, color, treatments, and product sales have higher revenue per client. Single services limit growth.
Cuts-only = lower ticket average
Owner's Chair
Management Only
If your personal book is a significant chunk of revenue, buyers see risk. That revenue might walk out the door with you.
Owner behind chair = personal goodwill
How to Value a Hair Salon or Barbershop
The U.S. hair salon and barbershop industry includes over 1 million establishments generating approximately $65 billion in annual revenue. Salon valuations depend heavily on the business model — booth rental, commission-based, or employee-based — and whether the brand is independent or franchised.
Seller's Discretionary Earnings (SDE) is the standard valuation method. Salons and barbershops typically sell for 1.0x to 2.5x SDE. Establishments with employee-based models, strong brand identity, and consistent client retention command the higher end.
Revenue multiples generally range from 0.20x to 0.45x annual revenue. Salons with employee-based models and strong retail product sales achieve the upper end.
The unique valuation factor for salons is the stylist model and client retention risk. Booth rental salons have limited transferable value because stylists are independent contractors with their own client books who can leave freely. Employee-based salons where the company owns the client relationship are significantly more valuable. Client retention through ownership transitions is the primary buyer concern — salons with booking systems, automated appointment reminders, and loyalty programs that keep clients connected to the salon brand rather than an individual stylist transfer value most effectively.
The salon industry has seen growth in franchise models and experiential concepts that differentiate from commodity haircuts. Use our free calculator above to get your instant estimate, then track your value monthly with YourExitValue.
Frequently Asked Questions
What multiple do salons and barbershops sell for?
Most salons sell for 1.5x – 2.8x SDE. Employee-based models with stable stylists and strong client databases command the higher end. Booth rental salons typically sell at significant discounts.
Is an employee model or booth rental more valuable?
Employee-based is significantly more valuable. With employees, you control client relationships and pricing. Booth rental income is essentially sublease revenue that doesn't transfer well—those stylists can leave anytime.
How important is stylist retention for salon value?
Critical. Clients follow stylists. If your team has high turnover, buyers assume clients will leave after the sale. A stable team with 3+ years average tenure dramatically increases value.
Does my personal client book affect the sale?
Yes, significantly. If you're behind the chair with a large personal following, that's revenue at risk of leaving with you. Transition your clients to other stylists over 12-18 months before selling.
How do lease terms affect salon valuation?
Lease terms are crucial. Buyers want 10+ years remaining to protect investment in build-out and client development. A great salon with a 3-year lease faces major discount or deal complications.
What systems should I have before selling my salon?
Salon management software for booking and POS, a complete client database with history and contact info, documented service protocols, and clean financials. These prove value and make transitions smoother.