How Much Does It Cost to Start a Hair Salon / Barbershop in Georgia?

Georgia has a cost index of 0.88x the national average for hair salon / barbershop businesses. Here is a complete line-by-line cost breakdown based on local data.

Budget Setup
$22,000
Mid-Range
$88,000
Premium Setup
$264,000
Georgia has become a top-tier destination for business, ranking #7 on CNBC's 2025 Top States for Business. Metro Atlanta is a major economic hub and one of the fastest-growing tech markets in the Southeast.
Register your business: Georgia Secretary of State — Corporations Division ((404) 656-2817)
Tip: Register for a Georgia tax number with the Georgia Department of Revenue before commencing business operations

Line-Item Cost Breakdown

Category Low Mid High Notes
LLC filing $264 $880 $1,760 LLC filing fee in Georgia: $100. LLC fee varies by state ($35-$500). EIN is free.
Cosmetology/barber license $440 $2,200 $4,400 Cosmetology license $50-$300 per stylist. Salon establishment license $100-$500. Health inspection $50-$300. Each stylist must have individual state license.
Styling chairs $4,400 $17,600 $52,800 Hydraulic chairs $500-$3,000 each. Wash stations $500-$2,000 each. Mirrors $200-$800 each. Professional clipper sets $150-$400. Scissors $200-$800 per set. For a 4-chair salon: chairs alone $2,000-$12,000.
Plumbing for wash stations $4,400 $26,400 $88,000 Specialized plumbing for wash stations $5,000-$15,000. Electrical for dryers and equipment $2,000-$5,000. Flooring $3,000-$8,000. Full buildout $30-$100/sqft.
Hair care products $1,320 $3,960 $10,560 Professional product lines for backbar $800-$2,000. Retail inventory $500-$5,000. Coloring supplies $500-$2,000. Consumables (capes, towels, sanitizer) $500-$1,500.
Reception desk $1,760 $5,280 $13,200 Reception desk $500-$2,000. Waiting chairs $200-$800. Display shelving $300-$1,500.
General liability $1,320 $3,080 $6,160 Annual cost. General liability $400-$1,200/yr. Professional liability (for chemical treatments, allergic reactions) $300-$800/yr. Workers comp varies by state.
Exterior signage $1,320 $3,520 $8,800 Exterior sign $1,000-$5,000. Website with booking $500-$2,000. Grand opening marketing $500-$2,000.
POS system $440 $1,320 $3,520 Salon booking software (Square Appointments, Vagaro) $0-$150/mo. POS hardware $300-$1,200.
3 months operating expenses $7,040 $22,000 $52,800 Monthly operating: rent $1,500-$5,000, staff costs $2,000-$10,000, utilities $300-$800, supplies $300-$800.
Estimated Total $22,000 $88,000 $264,000 Adjusted for Georgia's cost index (0.88x national avg)

LLC Registration in Georgia

LLC Filing Fee
$100

To form an LLC in Georgia, you file Articles of Organization (or Certificate of Formation) with the Secretary of State. The base filing fee is $100.

File online at: Georgia Secretary of State

An EIN (Employer Identification Number) is free from the IRS and required for any LLC with employees, multiple members, or that wants a business bank account.

Permits & Licenses in Georgia

Estimated Permit Costs
$1,500

Hair Salon / Barbershop businesses in Georgia typically need multiple permits and licenses. Estimated total permit costs are around $1,500.

Cosmetology license $50-$300 per stylist. Salon establishment license $100-$500. Health inspection $50-$300. Each stylist must have individual state license.

Always check with your local city and county offices for specific requirements. Requirements vary significantly between jurisdictions within Georgia.

Insurance Costs in Georgia

Annual Insurance Cost
$2,800

A hair salon / barbershop in Georgia should budget approximately $2,800/year for insurance coverage.

Annual cost. General liability $400-$1,200/yr. Professional liability (for chemical treatments, allergic reactions) $300-$800/yr. Workers comp varies by state.

Coverage TypeDetails
General LiabilityCovers third-party bodily injury and property damage claims
Workers CompensationGeorgia rate: $0.95 per $100 payroll (national avg: $1.03)
Property/EquipmentCovers business property, equipment, and inventory
Total Annual Estimate$2,800

Equipment & Setup

Hydraulic chairs $500-$3,000 each. Wash stations $500-$2,000 each. Mirrors $200-$800 each. Professional clipper sets $150-$400. Scissors $200-$800 per set. For a 4-chair salon: chairs alone $2,000-$12,000.

ItemBudgetMid-RangePremium
Styling chairs $4,400 $17,600 $52,800
Plumbing for wash stations $4,400 $26,400 $88,000
Hair care products $1,320 $3,960 $10,560
Reception desk $1,760 $5,280 $13,200

Working Capital

Plan for at least 3 months of operating expenses as working capital. For a mid-range hair salon / barbershop in Georgia, that means approximately $22,000 ($7,333/month).

Monthly operating: rent $1,500-$5,000, staff costs $2,000-$10,000, utilities $300-$800, supplies $300-$800.

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Other Business Types in Georgia

Hair Salon / Barbershop Costs in Neighboring States

StateLLC FeePermitsInsurance/yrCost Index
Alabama $200 $1,200 $2,800 0.78x Details →
Florida $125 $1,800 $3,200 1.02x Details →
North Carolina $125 $1,400 $2,800 0.88x Details →
South Carolina $110 $1,200 $2,700 0.82x Details →
Tennessee $300 $1,400 $2,800 0.88x Details →

Frequently Asked Questions

How much does it cost to start a hair salon / barbershop in Georgia?
Based on our research, starting a hair salon / barbershop in Georgia costs approximately $22,000 for a budget setup, $88,000 for a mid-range operation, and up to $264,000 for a premium setup. Georgia has a cost index of 0.88x the national average.
How much is an LLC in Georgia?
The LLC filing fee in Georgia is $100, paid to the Secretary of State. You can file online at https://sos.ga.gov/corporations-division.
Do I need a business license for a hair salon / barbershop in Georgia?
Yes. Most hair salon / barbershop businesses in Georgia need at minimum a general business license and possibly industry-specific permits. Permit costs in Georgia average around $1,500 for a hair salon / barbershop.
How much is workers compensation insurance in Georgia?
Georgia's average workers compensation rate is $0.95 per $100 of payroll. Actual rates vary by industry classification code, claims history, and insurer. The national average is $1.03 per $100 of payroll.
What insurance do I need for a hair salon / barbershop in Georgia?
At minimum, you need general liability insurance. Most hair salon / barbershop businesses also carry property insurance, workers compensation (required in most states once you hire employees), and industry-specific coverage. Annual insurance costs for a hair salon / barbershop in Georgia average $2,800.