Featured ArticleHOW EFFECTIVE IS YOUR SPA BUSINESS MODEL?
Entrepreneurs work too hard.
Why do I say that? Because most don’t have a proven-effective business
model in writing outlining all their systems, structures, policies,
procedures, training, etc., so they are always repeating themselves and
doing things in an inconsistent manner.For example, during a private coaching call recently,
a client was expressing frustration with the fact that she had to
train yet another new employee, and it takes a lot of her time. I
asked her if she has a training manual for that position. The answer
was no. This is a new client to us, but she is not new to her
business. As a matter of fact, she has been in business for nine
years. After nine years, she still does not have departmental
manuals. She is working too hard. What plan did we come up with to
help free her from the repetitive tasks that took up days for her to
complete? Are you in the same situation? If so, I encourage you to
keep reading and implement the following business model. This will
set you free, and it will also help you prepare your business to be
sold in the future for a much higher price. 6 Steps to Creating an Effective Business
Model - Establishing structure
- Defining your spa departments and identifying your department
leads
- Manuals needed
- Systems and operational guidelines by department
- Training needed – Technical & business
- Measurement – Evaluation and continuous improvement
- Establishing Structure
Establishing structure gives the entire team clarity
as to how your organization operates. Without it, you have chaos. Every business has four main departments: - Operation
- Sales
- Marketing
- Finance
It’s best to have department manuals for each
division of your company. Establish chains of command in order for
your team to know who to go to with issues, training, coaching, and
help. Who will train them, evaluate them, mentor them, etc.? Publish an Organizational Structure. - Defining Your Departments and Identifying Your Department
Leads
Including department leads within your
organization structure is extremely important and helpful to the
leadership of the spa/medi spa. Department leads should: - Plan for success
- Train the team
- Motivate the team
- Implement strategies, systems, policies, etc.
- Help maintain a great positive attitude within the spa
In addition, each department must have position
descriptions, evaluation methods, goals, and expectations. 3. Manuals Needed For any business to succeed, it must have operational
manuals by department. For a spa or a medi spa, you must have the following
manuals: - Orientation Manual
- Employee Manual
- Therapist Manual
- Reception Department Manual
- Call Center Manual
- Support Team Manual
- Injector Manual
- Sales Manual
- Consultation Manual
- Video and Audio Training Library
- Management Manual
Having these manuals will prove crucial when it’s
time to sell your business. You will be able to receive a much
higher valuation of the business. 4. Systems and Operational Guidelines by
Department The manuals should include training information to
perform each position. For example, a therapist’s manual should have
a manual for technical knowledge explaining protocols, product
knowledge, rituals, guest experience, etc. Also, it must have a
business section to teach the team how to recommend upgrades and
home-care products, expectations, goals, and evaluation methods. Each business process should have a system. By having
systems, your team and management team will have the ability to
perform their positions with clarity. Systems allow you to have
consistency, accuracy, and growth. All systems should be in writing in the manuals. This
will provide you and the department leads the training tools to use
with new hires. But most importantly, it helps prepare your business
for an exit strategy. When someone looks at your business to
purchase it – having manuals and a business model in writing will be
much more appealing. In fact, it could be the deciding factor on
whether you will be able to sell your business or not. - Training needed – Technical & Business
Most spas focus on technical training when hiring a
new employee. Of course, technical training is a must but so is
business training. When you hire a new person, they need to go
through orientation, technical training, and business training. This
will take some time, but it will be worth it in the long run. What business training should your team undergo? They
must learn how to increase revenue per guest, retail sales, cross
marketing, self marketing, asking for referrals, gaining reviews,
selling memberships, gift cards, promotions, and more. When you
focus on business training, you will position your team for success! 6. Measurement – Evaluation and Continuous
Improvement Yes, manuals and systems are important to have, but
make sure you are continually updating and improving your model.
When you measure performance, notice what is working and what is not so you can fine-tune and keep improving. Be on the lookout for new treatments, new products, new rituals…ways to improve your guest experience. Or, see how you can improve your hiring process, management process, accounting, sales, and marketing efforts. You
need to always be monitoring and innovating techniques to improve
all your systems and update your manuals. Implement these six steps to prepare your business
for elevated success, as well as for your exit strategy! Need help? Reach out to Info@InSPArationManagement.com
and gain access to a business model. We offer 9 spa business manuals
in Word documents. Begin customizing now! |