Thinking of starting a massage therapy business?
The massage therapy industry was already an $18 billion industry back in 2018 and is still steadily growing. Yes, it has been heavily affected by the global COVID-19 pandemic, but since early 2021 the industry has shown signs of strongly bouncing back.
You’ve done your market research, you’ve found the perfect location to start the massage clinic, now what?
One of the most important steps in starting not just a massage therapy business, but any business, is to develop a proper business plan.
While a business plan is especially important if you want to secure outside funding or investment, it’s also useful in giving your business a direction for success.
Here we will give you a scoop on how to create an effective business plan for your massage business, and let us begin right away.
What Is a Business Plan?
A business plan, in a nutshell, is a document consisting of an overview of a business idea and how the business is going to be run.
A common misconception, leading to the reluctance to write a business plan, is that the business plan is long and complicated to write, but that doesn’t always have to be the case. By following the tips we’ll share below, you’ll be able to develop a well-written business plan in just a matter of hours.
While in practice the actual structure of a business plan might vary, a typical massage business plan will include:
- Business overview
- Company description
- Description of the massage services you’ll provide
- Market research and competitive analysis
- Funding needs/budget
- Employment plan
- Management structure
- Operational guidelines
The Benefits of a Massage Business Plan
A well-written business plan will be beneficial for both internal and external stakeholders of the massage business in the following areas:
1. Roadmap for success
For internal stakeholders, a business plan will function as a guide to help you as the business owner and your team to stay focused on the strategies you’ve planned to achieve your goals.
2. Attracting investors
If you want to secure external funding for your massage therapy business by bringing investors, you’ll need a business plan to prove the feasibility of your company. A well-written business plan will show that you’ve done enough market research, competitive analysis, and know your way to success.
3. Securing lease
If you plan to rent a property to open your massage clinic, a landlord may ask to see your business plan. A landlord would typically want tenants that can stay in business for at least 3-5 years (the average length of commercial leases), and they’ll study your business plan to confirm this.
4. Securing loans
Another popular method of funding your business is to secure a bank loan, and most banks will require a well-written business plan before they can approve your business loan. A business plan will show the bank that you are a serious business venture and that you’ve considered the financial aspects of the business.
5. Business partners
If you are looking for a business partner (i.e. if you are an entrepreneur looking to partner with a massage therapist), a good business plan will help you attract potential partners.
Writing a Massage Business Plan: Section by Section
The executive summary section should provide the reader with a quick preview of the business plan itself. It’s easier to write this section last, after you’ve finished the other sections, and it should include:
- Your massage business’s mission
- The services you provide?
- The story behind your company
- Your plans for growth
Keep the executive summary short and to the point.
Pretty self-explanatory, this section tells people what kind of massage service you are building. This section should answer the key questions that may pop up about the business, such as:
- What does the business actually do?
- Who are your ideal customers?
- What problems will the business solve?
- What makes you different from your competitors?
You should detail the massage services you’ll offer and your pricing strategy.
This section should elaborate on the results of your market research and answer key questions such as:
- The size of your target market in your area
- Your ideal customer (develop a buyer persona)
- The competitors in your area
- Your potential for revenue
- Your Unique Value Proposition, how will you set yourself apart from your competition
Here you should describe how you will attract potential clients:
- How will you reach your ideal clients
- Will you be a stationery business or a mobile massage business?
- What kind of advertising efforts will you focus on
- How much marketing budget would you need?
This section should discuss the logistics of your massage therapy business in detail and should include information such as:
- Your opening hours
- Where will your location(s) be?
- What kind of employees do you need?
- How do you plan to expand the business over time?
Estimate how much money you’ll need to open and run the massage therapy business, how the money is going to be used.
Assuming you are starting a massage therapy clinic with a stationary location (not home-based or mobile), you’ll need to consider the following elements:
- Property up-front cost
- Massage table, rolling stool, table pad, bolsters, heater, etc.
- Room decoration
- Digital infrastructures like CMS, online scheduling software for massage businesses, a professional website, and more
- Sheets and towels
- Speakers for ambiance
- Chairs for clients and yourself
- Marketing materials
- Property rent cost
- Professional license, business license, permits
- Education and certifications
- Laundry service
- Massage supplies like lubricants, soap, Kleenex, and more
By following the template above, you can now write a business plan for your massage therapy business with ease.
Don’t forget to go over it and proofread the business plan to eliminate grammatical errors, typos, and redundant content.
A massage business plan is your first step on the exciting road of starting your successful massage therapy business, which will provide a roadmap for success for your business and will also help you in convincing external stakeholders.