MOI UNIVERSITY MAIN CAMPUS

SCHOOL OF SCIENCE AND AEROSPACE STUDIES

COURSE CODE: HRD 305

COURSE TITLE: ENTERPRENUERSHIP FOR SMALL BUSINESS

TASK: CAT 2

STUDENT’S NAME REG. NO.

1. FAITH LYDIAH AUKO ACS/0036/21

2. EVERLINE MWIKALI KIILU ACS/0017/23

3. JOHN MUMO NGULI ACS/4593/23

4. FAITH JEBET KEMBOI ACS/0014/23

5. BARAKA WAMBUA NYAMAI ACS/0036/22

6. FRED NJOROGE ACS/0016/23

BUSINESS PLAN
LUXE BEAUTY PARLOUR

DATE PREPARED
04/03/2025

CONTACT

Contact Name: LUXE

Contact Email Address: [email protected]
Phone Number: +254 700 999 888

TALAI BUILDING, MOI UNIVERSITY MAIN CAMPUS

WEBSITE: @luxebeauty.com

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TABLE OF CONTENTS
EXECUTIVE SUMMARY................................................................................................................. 3
BUSNESS DESCRIPTION.............................................................................................................. 3
MARKET RESEARCH.................................................................................................................... 4
INDUSTRY OVERVIEW............................................................................................................. 4
TARGET MARKET...................................................................................................................... 4
DEMOGRAPHIC FACTORS......................................................................................................... 4
COMPETITION.............................................................................................................................. 5
COMPETITIVE ANALYSIS........................................................................................................... 5
OUR COMPETITIVE ADVANTAGES............................................................................................. 5
PRODUCT AND SERVICES OFFERED............................................................................................ 6
PRODUCT AND SERVICE........................................................................................................... 6
MARKETING................................................................................................................................. 7
MARKETING OBJECTIVES.......................................................................................................... 7
STRATEGIES............................................................................................................................. 7
COST........................................................................................................................................ 8
FINANCIAL PLAN.......................................................................................................................... 9
FINANCING................................................................................................................................ 11
SOURCES OF FUNDING.......................................................................................................... 11
USE OF FUNDING................................................................................................................... 11
MANAGEMENT AND
STAFFING............................................................................................................................11
RISK
ANALYSIS..............................................................................................................................................
..........12
CONCLUSION........................................................................................................................................
................12

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EXECUTIVE SUMMARY

LUXE BEAUTY PARLOR is a premier beauty salon dedicated to providing high-quality hair,
skincare, and cosmetic services tailored to university students and young adults seeking both luxury
and affordability. Our mission is to enhance beauty and confidence through expert care, personalized
treatments, and a welcoming atmosphere.

Located at Moi University Main Campus, our primary clientele consists of students who value
convenience, affordability, and modern beauty trends. The beauty industry is continuously growing,
with university students being highly fashion-conscious and keen on grooming services. However,
many students face challenges in accessing quality beauty services at reasonable prices. LUXE
BEAUTY PARLOR aims to bridge this gap by offering affordable, trendy, and high-quality services
in a convenient location within the campus.

Our business model focuses on providing a range of beauty services, including hairstyling, skincare,
makeup, and nail care, all tailored to meet the needs of university students. Our strategic marketing
approach will leverage social media platforms, student influencer collaborations, and attractive
promotional offers to establish brand awareness and attract a loyal customer base.

Key revenue streams will include in-salon beauty services, beauty product sales, special student
packages, and bookings for bridal and event makeup. We anticipate an initial investment of KSh.
140,000 for setup, equipment, and marketing, with an expected break-even point within 3-4 months.
With a projected monthly revenue of KSh. 200,000 and a net profit of KSh. 50,000, the business is
financially viable and positioned for growth.

LUXE BEAUTY PARLOR will focus on customer satisfaction, affordability, and a modern beauty
experience. By providing top-tier services at competitive rates, we aim to become the preferred
beauty destination for Moi University students, ensuring long-term business sustainability and
success.

BUSINESS DESCRIPTION

Name: LUXE BEAUTY PARLOR

Location: Moi University Main Campus
Business Structure: Partnership
Vision: To be the leading beauty parlor known for exceptional service, professionalism, and
a relaxing atmosphere.
Mission: To provide high-quality beauty services using the best products, skilled
professionals, and a customer-centric approach, ensuring affordability and convenience for
students.

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MARKET RESEARCH
INDUSTRY OVERVIEW
The beauty and wellness industry is thriving, with increasing demand for professional beauty services
such as hair treatments, makeup artistry, skincare, and nail care. The industry is driven by factors
such as evolving beauty trends, social media influence, and the growing preference for self-care
among young consumers. Additionally, the affordability and accessibility of quality beauty services
play a critical role in consumer choices, making campus-based beauty parlors a lucrative venture.

The Kenyan beauty industry has seen significant growth, with an increasing number of young
consumers willing to spend on personal grooming. With university students being highly fashion-
conscious and influenced by social media trends, there is a constant demand for grooming services
that align with the latest beauty standards. Offering affordable, high-quality services in a convenient
location presents an excellent business opportunity.

TARGET MARKET

Our primary customers include:

University Students: A highly fashion-conscious and trend-driven group that requires

accessible and affordable beauty services.

Young Adults: Individuals who are increasingly interested in self-care and grooming, seeking
high-quality beauty treatments.

Student Event-Goers: Customers who need professional makeup, hair-styling, and grooming
services for occasions such as graduations, parties, and campus events.

Faculty and Staff: University employees who value convenience and professional beauty care
services within the campus.

Demographic factors influencing demand:

Age Range: 18-30 years old

Gender: Primarily female, but with a growing number of male clients interested in skincare and
grooming services

Lifestyle: Trend-conscious, social media-influenced, and budget-conscious consumers

Spending Habits: Students typically have limited disposable income but are willing to spend on
quality beauty services if they perceive value.

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COMPETITION
Competitive Analysis

Direct Competitors:

Existing beauty parlors around Moi University that cater to students and staff.

Local barbershops and hairstylists offering budget-friendly but limited services.

Freelance beauticians who provide home services at competitive prices.

Indirect Competitors:

DIY beauty solutions such as home-based hair-styling, makeup tutorials, and self-care
routines.

Online beauty stores selling self-application products that reduce reliance on professional
services.

OUR COMPETITIVE ADVANTAGES

Affordability: Student-friendly pricing and discounts to cater to budget-conscious clients.

Personalized Customer Experience: Skilled professionals providing customized beauty

treatments based on individual needs.

Convenient Location: Situated within the university, making it easily accessible to students
and staff.

Comprehensive Beauty Services: A one-stop beauty parlor offering hair, skin, nail, and
makeup services.

Trend-Focused Services: Keeping up with modern beauty trends influenced by social

media, ensuring customers receive the latest styles and treatments.

Loyalty Programs: Offering discounts and membership perks to retain customers and
encourage repeat visits.

Market Gap & Opportunity

Many students find it expensive and time-consuming to visit off-campus beauty salons.

Few campus-based beauty parlors offer a full range of services, creating an opportunity for a

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 one-stop beauty destination.

The rise in male grooming trends presents an untapped market for services such as facial
treatments and hair-styling tailored to men.

The increasing demand for natural beauty treatments, including organic skincare and
chemical-free hair treatments, offers a niche opportunity.

By addressing these gaps and leveraging our competitive advantages, LUXE BEAUTY PARLOR
will establish itself as the go-to beauty destination for Moi University students.

PRODUCT AND SERVICES OFFERED

PRODUCT OR SERVICE

Hair Services

1. Haircuts and styling for men and women, including trendy and classic styles.
2. Hair treatments such as deep conditioning, protein treatments, and scalp therapy.
3. Chemical services like relaxing, texturizing, and hair coloring.
4. Braiding, weaves, and installation of high-quality hair extensions.
5. Dreadlocks maintenance, twisting, and styling options.

Skincare Services

1. Facial treatments, including hydrating, deep cleansing, and anti-aging facials.

2. Acne treatment plans, hyper pigmentation correction, and sensitive skin therapy.
3. Waxing and threading for eyebrows, upper lips, and full-body hair removal.
4. Personalized skin consultation to recommend suitable products and treatments.

Makeup Services

1. Special occasion makeup for weddings, graduations, and professional photo shoots.
2. Natural and everyday makeup looks, including no-makeup makeup styles.
3. Personalized makeup tutorials and product guidance for students.
4. Eyebrow shaping, tinting, and eyelash extensions for an enhanced look.

Nail Services

1. Classic, French, and gel manicures and pedicures.

2. Acrylic, polygel, and fiberglass nail extensions with trendy designs.
3. Nail art and intricate detailing for fashion-forward individuals.
4. Hand and foot treatments, including scrubs and moisturizing therapy.

Additional Services

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1. Image consultancy for students preparing for interviews and events.
2. Retail of professional beauty products, including skincare, hair-care, and cosmetics.
3. Special student discount packages and loyalty programs.
4. Bridal packages, including full-service beauty treatments.

MARKETING
MARKETING PLAN

Marketing Objectives

1. Build strong brand awareness among Moi University students and staff.
2. Establish a loyal customer base through exceptional services and promotional offers.
3. Utilize digital marketing to attract and engage potential clients.
4. Implement strategic pricing and discounts to increase sales and revenue.

Marketing Strategies

1. Social Media Marketing:

Utilize Instagram, TikTok, and Facebook to showcase services, customer testimonials,

and beauty transformations.

Engage with students through beauty tutorials, live Q&A sessions, and giveaways.

Collaborate with student influencers to promote the parlor and attract new clients.

2. Referral and Loyalty Programs:

Offer discounts and free services for referrals to encourage word-of-mouth marketing.

Introduce a membership program with exclusive benefits for repeat customers.

3. Campus Events and Partnerships:

Sponsor and participate in student events, fashion shows, and beauty contests.

Partner with student organizations and campus societies for collaborative promotions.

4. Discount Packages and Promotions:

Launch first-time customer discounts to attract new clients.

Offer discounted rates during peak seasons like graduation and festive periods.

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 Introduce bundled services at lower prices to encourage multiple bookings.

5. Online Booking and Promotions:

Develop a digital booking system with appointment scheduling and special online-only
discounts.

Utilize WhatsApp and Telegram for direct customer engagement and promotions.

Marketing Costs

Social media advertising: Shs. 10,000 per month

Influencer collaborations: Shs. 5,000 per month

Promotional events and giveaways: Shs. 15,000

Printed marketing materials (flyers, banners): Shs. 10,000

Total Marketing Budget: Shs. 40,000

FINANCIAL PLAN
Startup Costs

Rent Deposit & First Month: Shs. 30,000

Equipment (Mirrors, Chairs, Hair Dryers, Nail Kits, etc.): Shs. 50,000

Initial Stock (Hair Products, Skincare, Makeup, Nail Polish, etc.): Shs. 30,000

Branding & Interior Décor: Shs. 20,000

Marketing (Social Media Ads, Flyers, Influencer Collaborations, etc.): Shs. 10,000

Total Initial Investment: Shs. 140,000

Revenue Projections

Average Customers per Day: 20

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 Average Spending per Customer: Shs. 500

Estimated Daily Revenue: Shs. 10,000

Estimated Monthly Revenue: Shs. 200,000

Expense Breakdown (Monthly)

Rent: Shs. 15,000

Salaries (Staff/Assistants): Shs. 40,000

Utilities & Maintenance: Shs. 10,000

Restocking Products: Shs. 50,000

Marketing: Shs. 10,000

Miscellaneous: Shs. 5,000

Total Monthly Expenses: Shs. 130,000

Profit Projections

Gross Monthly Revenue: Shs. 200,000

Total Monthly Expenses: Shs. 130,000

Net Profit: Shs. 70,000

Break-even Analysis

With a total startup cost of Shs. 140,000 and an expected monthly net profit of Shs. 70,000, the
business is expected to break even within 2 months.

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FINANCING
SOURCES OF FUNDING

Sources of Funding

Personal Savings: Shs. 50,000

Family & Friends Contributions: Shs. 40,000

Small Business Loan: Shs. 50,000

Total Initial Investment: Shs. 140,000

USE OF FUNDING

Rent Deposit & First Month: Shs. 30,000

Equipment (Mirrors, Chairs, Hair Dryers, Nail Kits, etc.): Shs. 50,000

Initial Stock (Hair Products, Skincare, Makeup, Nail Polish, etc.): Shs. 30,000

Branding & Interior Décor: Shs. 20,000

Marketing (Social Media Ads, Flyers, Influencer Collaborations, etc.): Shs. 10,000

MANAGEMENT AND STAFFING

Team Structure

Owner/Manager

Hair stylists and skincare specialists

Nail technicians and makeup artists

Receptionist and support staff

RISK ANALYSIS
Potential Challenges

 Competition from existing beauty parlors near the university

 Customer retention and service consistency
 Economic factors affecting student budgets

Risk Mitigation Strategies

 Focus on affordable pricing and student promotions

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  Continuous staff training and skill development
 Diversified service offerings to attract a broad clientele

CONCLUSION

LUXE BEAUTY Parlor aims to provide premium beauty services with a focus on quality, customer care,
and modern beauty trends. With strategic marketing, expert staff, and a student-centric approach, we plan to
build a successful and well-recognized brand at Moi University Main Campus.

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