A.  I found this great site called Tan Today at http://www.tantoday.com   that offers articles and information on starting a tanning business. They have an article called “Guide to Starting a Tanning Salon” at http://www.tantoday.com/homepage/taninfo.shtml   that offers insights on how to get into this business, the capital requirements that you may need, the specifications of your tanning shop, and even the kind of research that you must do beforehand. Another useful feature is their Case Studies section at http://www.tantoday.com/homepage/studies.shtml  , which provides an itemization of real-life examples of earnings from this kind of business, as well as operating expenses that can be expected.

One thing is clear though: this is an expensive business to start. It is not suitable for a home business or for a part-time endeavor. More importantly, a tanning business requires significant capital outlay ­ from the purchase of the tanning beds, space rental, overhead and operating costs, to staff compensation. The case studies at Tan Today show that expenses for operating a tanning business can reach about $115,000 in a year.

The cost of tanning beds alone range from $750 to over $10,000, depending on specifications. You would want a good quality tanning bed to avoid any legal entanglements in the event that an unfortunate mishap occurs with one of your clients.

However, the biggest cost for this kind of business will be your rental fees. You need adequate space for your tanning beds, plus ample parking space for your customers. More often than not, you will need to rent space from a strip mall or some other commercial area. For rental expenses alone, you can expect to shell out between $7,000 to $35,000 in a year, depending on your location.

Another big expense is your payroll. A tanning business cannot be operated by a one-person team. You need to at least have a receptionist/secretary, and a experienced tanning bed operator. Plus, you can expect your operating expenses to be fairly high, given the costs of electricity, light bulbs of your tanning beds, lotion costs and other peripheral expenses.

Thus, given your financial situation, it is best that you hold off starting your tanning business until you have saved enough money for your capital. Take a part-time job, if you cannot transfer to a higher paying job. In addition, make sure that you keep your credit rating in good standing. A growing number of entrepreneurs are financing their businesses through credit cards. Be forewarned, though, that this is an expensive way to finance your business and thus carries with it greater risk.

About the PowerHomeBiz.com Guide:  

Nach Maravilla is the Publisher of Power Homebiz Guides. He has over thirty years experience in sales and marketing of various products, which covered as he jokingly describes, "from toothpicks to airplanes" He also had extensive experience in International trading and he always excelled in special promotional ideas for retail outlets. 

The opinions expressed in this column are those of the author, not of PowerHomeBiz.com. Users should not treat the Guide's response as legal, accounting, or professional advice as all answers are intended to be general in nature. Such advice can only be properly given by qualified professionals who are fully aware of a user's specific geographical areas or circumstances, such as an attorney or accountant.