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Business of beauty

There are lot of opportunities as India moves towards a healthy tomorrow

There is a spurt in health and wellness industry as India moves towards a healthy living. Well, who wouldn’t like to look beautiful? As India’s demand for health centric industries increase, beauty parlours and spas have started to mushroom. Beauty parlour is one profession many women and men can identify with hence it is on top of list of lucrative businesses. It is easier to start also provided one has the basic knowledge of beauty needs, finance and a suitable place. It can be started even from home with minimum investment of space, products and manpower. Or one can even consider a franchise from a reputed brand.


Things to consider before starting a parlour:

  • You need to have some diploma in beauty basics if you would like to be involved in giving services to the customers. There are many schools from which you can do a course like VLCC, Shahnaz Husain Ayurvedics, Lakme, Blossam Kochar, Habibs  etc, depending on your area of expertise.  These people give you franchise also ranging from 2 lakhs above in which they will provide you all the knowhow of establishing your business.
  • If you would like to branch out on your own, you have to sit with a consultant to decide on the funding. There are many banks that will provide you with loan like SIDBI, NSIC etc.
  • You have to choose a good location in mall, shopping centre or a busy street for good footfall.
  • Next, you must consider the health code and arrange for keeping the environment clean and hygienic.
  • Choose a designer to create the right ambience to attract customers.
  • Combine services like hair cutting, spa and beauty treatments because people like to come to a place that offers more than one treatment.
  • Hire trained staff.
  • Keep the customers happy and satisfied.
  • Advertise via brochures in newspapers.
  • Make some discount package, for example give a combination of services in fewer prices.

If you are a woman, there are many financial institutes that are giving loans to woman to start up their business like          

Andhra Bank’s AB Vanitha Vahan, Bank of India’s Mahila Gold Loan Scheme, Central Bank of India’s Cent Kalyani etc.


Trade loans
Trade loans are provided to traders/ businessmen, so as to help them either open a new business or operate/expand an existing one. The amount of loan varies between Rs. 25000 to Rs. 100 lakh, considering the age of the customer, his financial standing, his repayment capacity, tenure of the loan, etc. The maximum duration for which the loan is given is 5 years and it has to be repaid through Equated Monthly Installments or EMI.

The rate of interest depends upon the prime lending rate and can be offered on the fixed as well as fluctuating basis. There are many banks that require customers to furnish collateral security for the loan, in the form of mortgage of land (not agricultural land) and building. Apart from that, National Savings Certificates, Government Bonds, Bank's Term Deposits, Assignment of Life Insurance Policies, Approved Shares & Bonds (in the name of borrower/proprietor/partner/director) are also acceptable.


Two types of charges might be levied in case of business loan - processing fee and Pre-payment fee. Processing fee is payable at the time of processing of loan application. Pre-payment fee is payable in case you decide to pre-close your loan account, by paying the entire/part of the loan before it is due.



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