(August 30, 2017 at 8:24 pm)Thumpalumpacus Wrote:(August 30, 2017 at 11:32 am)Khemikal Wrote: Is two years a realistic expectation for roi?
This is the key question. Can you turn the business so that paying off your loans reasonably is doable? No matter how many unemployed stylists/etc there are locally, the essence of your business will be turning potential customers into real customers. I don't know much about styling, but one thing I do know is that people who turn to commercial grooming tend to be very loyal to that one person who does it just right for them. And what that means is that if your market is overserved, you might have a difficult time prying customers away from the competition.
On the other hand, if there are open niches, it might be worth it to take on that debt-load with a reasonable expectation of turning profit soon enough to start paying it down.
This is one of the things I know I'm going to have to do some research on. Demographics will definitely help. Two things I already know are that there are approximately 113,000 people living within a five mile radius and that the median income for a person living within that five mile radius is approximately $55,000 per year.
Disclaimer: I am only responsible for what I say, not what you choose to understand.
