How to Set Salon Targets That Actually Make a Profit

Are your salon targets being hit, but there's still no money in the bank? Many salon owners focus on turnover, hoping profit will magically appear, only to be left disappointed. This common mistake can leave you working harder with little to show for it.In this episode, Phil Jackson reveals how to flip the script and build your salon targets based on the profit you actually want, ensuring every number on your board works for your business.MAIN CONTENT:* THE PROFIT-FIRST TARGET SYSTEM * **Start with Desired Profit:** Don't chase turnover. Decide how much profit you want your salon to make in the next three months, covering both owner reward and retained business reserves for investment and security. * **Calculate Required Turnover:** Divide your desired profit by your net profit margin to determine the exact turnover needed. For example, £15,000 profit with a 15% margin requires £100,000 turnover (£15,000 / 0.15). Know your real margin; guessing will undermine your strategy. * **Break Down Seasonally:** A quarterly target isn't simply divided by three. Identify busy, tough, and average months based on historical data. Adjust monthly targets accordingly (e.g., August £25k, September £45k) to reflect realistic performance expectations. * **Assign Individual Contributions:** Allocate monthly targets to your team members, considering factors like holidays, hours worked, experience, and service types. Don't just split evenly; assign based on what the *salon* needs to hit its overall profit goal.* STOP CHASING TURNOVER * The common mistake is to chase turnover and *hope* profit turns up. Phil's system makes profit the *driver* of your strategy, not an afterthought. This ensures your targets are meaningful and contribute directly to your financial goals.* PHIL'S TOP TIP * Your job this week: Decide your profit for the next three months, divide by your margin to get turnover, break it down monthly, and assign specific targets to each team member (including yourself!).━━━━━━━━━━━━━━━━━━━━ 📊 RESOURCES:Get Paid Properly: getpaidproperly.com━━━━━━━━━━━━━━━━━━━━ 💬 WORK WITH ME:1:1 Coaching: https://buildyoursalon.com━━━━━━━━━━━━━━━━━━━━ 🎧 LISTEN:YouTube: https://www.youtube.com/@BuildYourSalonSpotify: https://go.philjackson.me/SpotifyApple Podcasts: https://apple.co/3MZp6jP━━━━━━━━━━━━━━━━━━━━ CHAPTERS:0:00 - Why Your Salon Targets Aren't Making Profit0:50 - The Biggest Mistake Salon Owners Make1:30 - How to Decide Your Profit Goal First2:10 - Calculate Required Turnover From Your Profit3:00 - Why Your Profit Margin Matters So Much3:40 - Break Down Targets by Season and Month4:30 - Assign Team Targets Based on Real Need5:40 - Your Action Plan for Profit-First Targets6:10 - Unlock More Profit with the 10 Minute Money Fix#salonprofit #salontargets #salongrowth #salonbusiness #philsalonQuestions? [email protected]