If you have got away with makeup, know how to create magic with powders, lipsticks and shadow and like transforming Cinderellas into princesses then this could be the business for you. As a makeup artist, you help your customers look best for weddings or other special occasions, give beauty makeovers to people who want to update their everyday images or might specialise in helping people disfigured by accident or illness to look and feel good again. If you live in an area with the viable film industry, you can also become a makeup artist for stars. The advantage of this business is that you can start part time and get the reward of helping people look and feel good about themselves. However, the business is ideal for those who are very skilled and talented in turning an average looking female into a dazzling diva as well as teaching skills to send your clients home with tips on how to achieve everyday glamour.
However, like other small businesses starting a makeup artists business is not an easy one, there are many things to look into and one of them is a financial consideration. So here are some ways for start-up entrepreneurs seeking capital.
Use your savings
If you are starting your business, it is likely that you will have to put up at least some of the money yourself. You can use your personal savings to do so. There are various advantages to this, as you will know exactly how much money is available to you to run a business and gives you much more control than other finance options. You will also retain full ownership of the business. As there are advantages, self-financing a business has disadvantages too. It can be a bit risky as you may not have enough to cover all the funding you need.
Borrow from family or friends
Borrowing money from friends and family for your business often have favourable terms. Family members can be the most patient investors, not demanding profits and only seek their principal returned if the business is sold. Friends and family offer less arduous terms than equity investors. The equity investors build the firm’s balance sheet before adding debt but not family and friends.
As you will be starting a makeup artist business, you will need proper equipment beforehand. Banks provide business loans to finance your equipment and other expenses. These loans are generally short term, but the duration can vary based on the type of financing required. For example, if you want to also offer other procedures such as hair removal, skin rejuvenation, body slimming etc. Then you would need high-end equipment for them and for this the loan term can be increased. However, ensure that you buy the equipment from reputable companies like the Universal Medical Aesthetics. Business loans offer the security of a fixed monthly payment and a fixed interest rate.
Attract outside investors
Outside investors include angels and venture capital and they are accredited investors with expertise in a particular industry who buy equity in early stage start-ups and also offer invaluable mentoring. As you want to open makeup artist business as well as offer skin rejuvenation and body slimming procedures, they can help you buy the cryolipolysis machine and other equipment needed. VCs are only interested in rapidly growing businesses and yours is a beauty business that is growing at a faster pace, the VCs will invest immediately. However, you need to give up shares and investors may want some control over its management.
The above-mentioned are few of the ways that can help you set your business.