Reduce Payroll Costs

For salons and spas, service payroll will always be your “elephant in the living room” cost of doing business. The big question is … how do you control it?

If you pay commission on service and retail sales (sliding scale, levels, etc.) or a fixed rate per service … your options are to reduce commission rates, implement product cost deductions, or, lower commission rates through attrition.

  • Reduce commission rates and you risk blowing up your business
  • Product cost deductions don’t go far enough (a 10% deduction lowers commission by a mere 5%) and you still risk blowing up your business
  • Starting new employees on a lower commission rate is just painfully slow and doesn’t fix your payroll problem today

If you’re an owner working behind the chair or in a treatment room producing high revenues, ask yourself this question … Would your income be higher if you were an employee in your business and not the owner?

If you answered “yes” … you are working seriously hard to offset the commission rates your business cannot afford to pay.

Team-Based Pay is a better way to do business…

We know that Team-Based Pay can do the following for your business …

  • Lower and give you full control your spa payroll costs
  • Avoid the ugliness of pay cuts. TBP reduces spa payroll through efficiency, productivity and increased revenue
  • Provide income growth for your top-producing, booked-solid employees that have reached the commission ceiling
  • Allow you base pay increases on overall performance, skill development and team-based behaviors

Stop struggling with a pay program you can’t afford.
Download the Team-Based Pay Fact Sheet for a better way.

Written by Strategies’ Founder & CEO Neil Ducoff, the creator of Team-Based Pay, this Fact Sheet provides comprehensive explanation of how the system works, its benefit to your business and your clients, as well as personal stories from salon and spa owners who currently use the Team-Based Pay structure. The changes in their businesses are astounding.


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