Salon business · costs · permits
How to start a salon business — what it costs, how many clients you need, and the permits
Short answer. Put in your rent, equipment, prices and clients a day: the calculator shows the start-up total, the break-even and when the salon pays back. Business name: If the salon is not under your own name: DTI registration, ₱200 barangay / ₱500 city or municipality / ₱1,000 regional / ₱2,000 national scope, plus ₱30 documentary stamp tax; valid 5 years (DTI BNRS — FAQ).
- Register the business name with DTI (if not your own name) — plan it a month before: type the date
- Sanitary permit and health certificates — must be in hand before you open: type the date
- BIR registration (Form 1901) — on or before the day you start: type the date
Check your own case.
The DTI date is a planning suggestion. The sanitary permit is needed before operation (P.D. 856, Sec. 58). BIR: on or before the start of business — the first sale, or 30 days after the Mayor’s permit or DTI certificate, whichever comes first (BIR RMC No. 91-2024).
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Salon plan
What it costs, how many clients you need — and when it pays back
The fields hold example prices — put in your own quotes. You get the start-up total, the break-even in clients a day and the payback month, with a business plan and the registration checklist.
Want the plan saved and a reminder before each registration step? We send it before the date.
The calendar file works without an account. Saving and reminders need a free account to know where to send them.- If the break-even is close to the clients you can really expect, lower the costs or start at home.
- Fill in the business plan below with your numbers and sign it.
- Register before you open: DTI name, barangay clearance and Mayor’s permit, sanitary permit and health certificates, then BIR.
All prices are examples, not averages — put in your own quotes. Arithmetic only, before tax: break-even = fixed costs ÷ ((ticket − supplies per client) × working days); clients grow to the full number by the month after «months until full». Registration: DTI business name (bnrs.dti.gov.ph); Mayor’s permit from your city or municipality; sanitary permit before operation and health certificates for staff (P.D. 856, Sec. 58; DOH rules for tonsorial and beauty establishments, 1997); BIR Form 1901 on or before the start of business (BIR RMC No. 91-2024).
Atty. Liza, Layers template assistant
Put in your own prices and rent — the plan is only as good as your quotes. If the break-even looks too high, start smaller.
Do the permits before you open. The sanitary permit and BIR registration cannot wait until the first client.
An illustrated character, not a lawyer.
Deadlines
The rules, with the source
| What | Deadline | Source |
|---|---|---|
| Business name | If the salon is not under your own name: DTI registration, ₱200 barangay / ₱500 city or municipality / ₱1,000 regional / ₱2,000 national scope, plus ₱30 documentary stamp tax; valid 5 years | DTI BNRS — FAQ |
| Mayor’s / business permit | Every business needs one from its city or municipality; documents and fees are set by the LGU. A business name is not a license to operate | DTI — Business Registration and Permits |
| Barangay clearance | Asked for with the business permit (for example, Makati City lists it with the lease or title, DTI certificate, locational clearance and inspection) | Makati City — Securing Business Permit |
| Sanitary permit | Beauty parlors, barber shops, hairdressing and manicuring establishments need it before they operate; valid until 31 December, renewed at the start of each year; fees by local ordinance | P.D. 856, Sec. 58; DOH rules for tonsorial and beauty establishments (1997), Sec. 3 |
| Health certificate | No one may serve customers without one; owner and employees, renewed at least once a year | P.D. 856, Sec. 58; DOH rules (1997), Sec. 10 |
| BIR registration | Form 1901, on or before the start of business; ₱30 documentary stamp tax; the ₱500 annual registration fee is no longer collected since 22 January 2024 | BIR RMC No. 91-2024; BIR Form 1901 (October 2025) |
| If you hire | SSS: report employees within 30 days from hiring. PhilHealth: report new employees (ER2) within 30 days | SSS — Employer; PhilHealth — Reporting your employees |
The calculator does not promise income: it shows what your own numbers mean. Ask your city’s Business Permit and Licensing Office for the local list and fees before you sign a lease.
Step by step
What to do, in order
1
Put in your numbers
Rent, renovation, equipment, prices and clients a day — the fields hold examples; replace them with your own quotes.
2
Check the break-even
If the break-even is close to the clients you can really expect, lower the costs or start at home.
3
Write the plan
The business plan below takes your numbers; sign it — it helps when you talk to family, a partner or a lender.
4
Register before you open
DTI name, barangay clearance and Mayor’s permit, sanitary permit and health certificates, then BIR.
5
Keep a reserve
Clients come step by step; the plan keeps three months of fixed costs aside.
Questions
How much does it cost to start a small salon?
It depends on the rent, the renovation and the equipment you buy. Put in your own quotes; the calculator adds a cash reserve and shows the total.
Can I start a salon at home?
Yes — choose «At home» and the rent disappears from the plan. You still need the business permit, the sanitary permit and health certificates, and BIR registration; ask your BPLO about the location rules in your area.
Do I need a sanitary permit for a salon?
Yes. The Code on Sanitation requires a sanitary permit from the local health authority before a beauty parlor, barber shop or nail salon operates, and a health certificate for everyone who serves customers.
Official sources
- DTI Business Name Registration System — FAQ (fees, scope, validity)
- DTI — Business Registration and Permits
- Makati City — Securing Business Permit (example of an LGU checklist)
- P.D. No. 856, Code on Sanitation of the Philippines, Chapter XII (Supreme Court E-Library)
- DOH — Implementing rules of Chapter XII «Tonsorial and Beauty Establishments», P.D. 856 (Supreme Court E-Library)
- BIR — RMC No. 91-2024 (registration under the EOPT Act)
- BIR Form 1901 (October 2025)
- SSS — Employer
- PhilHealth — Reporting your employees
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Keep the papers in one place
Letters, receipts and notices in one folder you can share with family or a lawyer. The templates and the editor are free; Layers is free for up to 20 people.
This is a plan, a calculation and a checklist, not legal, tax or financial advice.