Beauty and personal care businesses cater to diverse market segments with their products and services. The beauty and personal care industry includes many different facets: hair care, spa services, and sales of makeup and grooming products. Entrepreneurs may also be able to find local businesses for sale, such as nail salons, cosmetics retailers, tanning salons, and massage businesses. Some of the most popular categories include:
The diversity of the beauty and personal care industry may offer several opportunities for success. The U.S. cosmetics industry alone brings in over $62 billion in revenue, with skincare products making up over one-third of the sales.
Some beauty and personal care businesses for sale may require owners to have expertise or training in certain areas. For example, it may be good for a salon owner to be a trained cosmetologist. Other types of business, such as cosmetics retailers or wholesale distributors, may simply require entrepreneurs to have strong business instincts.
Pricing & Valuation Trends
While business valuations for businesses in the beauty and personal care sector fall within a certain range, the value of each individual business is unique and depends on several factors, including the local market, specific financials, and business operations. For these businesses, the average cash flow multiple is around 2.11, but an individual business may sell for more or less, depending on its performance relative to its peers.
Beauty and Personal Care Business Prices
Year Sold
|
Median Asking Price
|
Median Sale Price
|
2018
|
$129,000
|
$110,000
|
2019
|
$139,450
|
$122,500
|
2020
|
$105,000
|
$100,000
|
2021
|
$129,500
|
$117,500
|
2022
|
$135,000
|
$120,000
|
2023
|
$179,502
|
$150,000
|
Sell Your Beauty or Personal Care Business
Whether you’re selling a hair salon, barbershop, nail salon, massage business, or spa, the process for finding your business’s fair market value, attracting buyers, and closing the sale, the process can be complex.
See BizBuySell's Guide to Selling a Beauty and Personal Care Business for insight into market valuations, and tips to maximize value before you exit.