How Much Is Your Hair, Beauty or Wellness Business Really Worth?

If you've ever wondered what your salon, clinic, studio or wellness business would actually sell for, you're not alone. It's one of the first questions almost every owner asks me — and it's rarely as simple as "how much profit did I make last year."

I work exclusively with hair and beauty salons, medi-spas, cosmetic injectables clinics, wellness retreats, yoga studios and IV drip and wellness clinics across Australia. These businesses have their own rhythm — recurring clients, practitioner relationships, seasonal demand — and that means they need to be valued differently to a typical small business.

It starts with your earnings, not your revenue

Buyers aren't paying for how much money moves through your business. They're paying for what's left over once everything is accounted for — your true, sustainable profit. This is usually shown as SDE (seller's discretionary earnings) for smaller owner-operated businesses, or EBITDA for larger ones with a full team running the floor.

From there, a multiple is applied — a number that reflects how much a buyer is willing to pay for each dollar of profit your business generates. That multiple isn't fixed. It moves depending on the business itself.

What actually moves your number

A few things I look at with every client before we talk numbers:

How much of the business depends on you personally. A clinic that runs smoothly without the owner behind the chair or the needle is worth more than one that would fall over if you took two weeks off.

Client relationships and retention. Rebooking rates, loyalty, and how "sticky" your client base is all matter — particularly in injectables and beauty, where trust in the practitioner drives repeat business.

Lease terms and location. A long, transferable lease in a strong location adds real value. A short lease with no security can quietly reduce your number.

Systems and staff. Documented processes, trained staff who can operate without you, and clean financial records all make a business easier — and safer — for a buyer to take on.

Compliance and licensing. Especially relevant for injectables and IV clinics, where the right qualifications, insurances and regulatory approvals need to be in place and transferable.

Why this matters even if you're not selling yet

I'd rather have this conversation with you two years before you're ready to sell than two months before. The businesses that sell well are usually the ones where the owner understood their number early, and quietly worked on the things that move it.

If you're curious what your business might be worth — whether you're planning to sell next year or just want a clearer picture — I offer a confidential business appraisal with no obligation attached. It's a conversation, not a sales pitch.