Bathhouse as a business: is it profitable, where to start, how to open it?

A huge number of entrepreneurs are interested in the bathhouse as a business, and everyone is looking for answers to a number of questions - is it profitable, where to start, how to open it?

Today, a private bathroom is a common occurrence in apartments and private homes. Recently, such a pleasure was not available to everyone, which is why the Russian bathhouse was extremely popular. In villages there were bathhouses in almost every area, and this pleasure found its consumers at any time of the year.

And, if previously there were only a few owners of bath complexes, today the opening of such an establishment for both private and public use is an excellent business.

Market analysis

Before you start your own business, you need to analyze the market - competitors, risks and threats are constant components of any business, especially such a competitive one as the provision of services in the leisure sector.

Despite the fact that the solvency of many citizens has not only not increased, but also decreased, the demand for visiting a bathhouse or sauna has not decreased. And here you need to pay attention to the target audience - saunas have recently become more in demand, since the majority of visitors to such establishments are people aged 20-45 years.

Next are the competitors:

• Large enterprises – this includes establishments that provide a range of services. As a rule, these are not individual baths or saunas, but large recreation complexes - several baths (of different price segments), massage services, spa treatments, cooking, barbecue rental, etc. At the initial stage, it will be almost impossible to compete with such organizations, so it is better to locate yourself away from them.
• Small organizations - at the moment they make up the majority of the market and, subject to a competent approach, competing with them will not be difficult.

Please note that this is only a general analysis - before opening a sauna or bathhouse for public use, be sure to analyze the market in your city. This is important - at this stage there is no need to use template solutions, since there are regional nuances in any business.

Primary activity

So, the steam room includes the provision of services for water procedures, namely steaming the client with water and steam. Sometimes this mechanism may change, for example, using a different water temperature. Vaping tanks also range from large vats and booths to huge public spaces.

Additional services:

• low alcohol bar;
• hookah;
• fruit cocktails.

SWOT analysis

SWOT analysis means identifying external and internal factors that in one way or another can affect the development of a business. External factors include the following:

• Increasing the relevance of the offer.
• Offer of additional services.
• Increasing consumer demand.
• Low level of fixed costs.

Be sure to pay attention to the threats:

• High and possible further increase in competition.
• Changing customer preferences.
• High requirements for business organization.
• A somewhat complex technological process if you are considering a business plan for a Russian bath.

There are factors that, when implemented, can develop your business and leave competitors behind without much effort:

• Using quality materials and providing good services.
• In-depth preliminary market analysis.
• Using effective advertising tools.
• Work using modern equipment.

The rule is simple - the better the services you provide, the more stable clients you will have and the wider market coverage.

Based on this analysis, we can draw the following conclusion: a bathhouse design for a business should be based on the following:

• Selection and arrangement of premises.
• Development of a promotion plan.
• Development of profitable, special offers. This will especially work well at the initial stage of work in order to attract more clients.
• Selection of high-quality equipment and related products for the bath.

If you don’t want to open your own bathhouse right away or don’t have the opportunity, then you can start small: start developing a business on goods for baths and saunas.

Business registration

How to open a sauna? After you have calculated a business plan and conducted a market analysis in your city, you can begin registration.

If you plan to open only one room and work there alone, then you can get by with an individual entrepreneur. But, in practice, this is quite difficult, and therefore it is better to immediately open an LLC. As for the KVED codes, a sauna as a business is qualified according to the following designations:

• 04 – physical education and health activities.
• 40 – activity of bars, if you will sell alcohol in your establishment.
• 11 – retail trade in food products, drinks, tobacco products.
• 33 – retail sale of cosmetic products, since most likely you will sell hygiene products.
• 42.2 – retail trade of underwear. Kilts for men and women are a mandatory attribute of the bathhouse, so this code will be relevant.

This is an approximate list of KVED codes, since it will be individual for each type of activity, depending on the additional services provided.

At this stage of developing a bathhouse project for a business, you need to consider the following:

• Choice of taxation system – simplified tax system or UTII.
• Opening a current account – to accept non-cash payments.
• The premises must comply with all SNiP requirements.
• The steam room should not be more than 24 sq.m.
• If redevelopment takes place, then such work will definitely need to be coordinated with the Housing Inspectorate - this is if the premises will be located on the ground floor of a residential building.

Please note that according to current legislation, it is prohibited to equip a bathhouse, but not a sauna, on the territory of a residential apartment building. A sauna is possible.

Documentation

The creation of any private enterprise requires the mandatory preparation of all necessary documentation. This is the only way to ensure the legality of your business and avoid unpleasant situations that can cause serious financial damage. It is recommended to collect a package of documents in advance, since this way you will be able to open the establishment at the time strictly established by your plan and avoid additional costs.

To register a business, you will have to contact the local tax service and obtain the status of an individual entrepreneur for sports and recreation organizations. In this case, you will be subject to a tax that must be paid, and you will perform all actions as an officially registered person.

Registration of an individual entrepreneur is usually quite inexpensive, is completed within three days and does not require the mandatory presence of a lawyer. Only after receiving this status can you engage in activities and open your own business.

In the future, you will have to undergo several inspections, which include sanitary-epidemiological and fire inspections. After inspection, they must issue papers confirming full compliance with the requirements, and after that your activity is considered completely safe and permitted.

Note! If your enterprise will be engaged in the sale of food and alcoholic products, you must obtain the appropriate permits. Otherwise, you face a fine and the inability to sell such products.

Marketing – how to start promoting?

At the initial stage of development of a bathhouse project for a business, the marketing strategy is one of the most important points, as this will bring customers. The following will work well in this area of ​​business:

• Signboard – it should be bright, informative, with a memorable original name.
• Development of your own website, group on a social network.
• Contextual and targeted advertising.
• Registration in online catalogs.
• Advertising in the media, radio and television.

You can also hold attractive promotions and sweepstakes - this will also help attract customers.

Production plan

When calculating the profitability of a sauna as a business, special and even priority attention should be paid to the production plan. Let's start with the staff - as we said above, the optimal start would be 2 administrators, who will simultaneously do the work of a cleaner. Their responsibilities may include the following:

• Client meeting.
• Providing clients with everything they need to visit the sauna/bath.
• Familiarization with the rules of conduct in the establishment.
• Acceptance of payment for services.
• Registering clients by phone, making reservations.
• Cleaning the premises, ordering necessary goods and consumables.

For additional payment (or better yet, hire a separate employee for this), you need to perform the following functions:

• Development of a group on a social network.
• Development and content of the site.

The salary of administrators is fixed, the average paycheck on the market is 35,000 rubles. So, in your sauna business plan you need to include a monthly salary of at least 70,000.

Repairing the premises, as well as purchasing everything necessary, is also the lion’s share of expenses. The room must be at least 100 sq.m. – steam room, relaxation room, massage room, shower room, utility rooms and reception desk. Additionally, a kitchen and bar can be equipped.

It is possible that the premises will have to be redesigned; the cost of the work will include the following:

• Actually, the redevelopment itself and the legitimization of this process.
• Carrying out repairs taking into account existing requirements and standards.
• Bringing the premises into an appropriate form in accordance with the requirements of SanPin.
• Equipment for shower, toilet, steam room, rest room.

As for equipment, when developing a bathhouse project for a business you will need the following:

• Jacuzzi or shower. An excellent option is a bathhouse with an outdoor pool, but then the expense item will increase significantly.
• Infrared sauna.
• Steam room stove.
• Ventilation system.

You will also need furniture:

• Tables, chairs and sofas for the rest room.
• Benches in the steam room.
• If massage services are provided, a massage table will be provided.

You will also need to select accessories for the furniture - pillows, blankets for benches and sofas.

Since people want to rest and relax after a bath, they may need some equipment: an audio system, a TV. The administrator himself will need a laptop.

Financial plan

How much does it cost to open a sauna or bathhouse? The profitability of a sauna as a business can only be calculated if there is a well-developed financial plan. Approximate costs:

• Repair of the premises, including redevelopment - 550,000 rubles.
• Purchase of equipment – ​​240,000.
• Purchase of furniture - about 70,000.
• Purchase of bath accessories – 10,000-15,000.
• Equipment – ​​about 50,000 rubles.
• Website development – ​​minimum 35,000 rubles.

Thus, you need to budget at least 966,000 rubles for initial expenses.

Further costs include:

• Rent of premises including utility bills – about 70,000 rubles.
• Advertising expenses (minimum) – 10,000 rubles.
• Salary based on 2 administrators – RUB 70,000.

So the amount of monthly expenses will be at least 150,000 rubles.

Don't forget about taxes. The UTII system will be the most profitable - the tax for the quarter is approximately 6,000 rubles, that is, you will need to pay about 2,000 rubles per month, which is, in fact, pennies.

Taking into account all expenses, net profit will be about 87,100 rubles, minus 2,000 taxes - a total of 85,100 rubles.

Let's calculate the profitability: taking into account the pledged 965,800 rubles and the monthly profit, the payback can be achieved no earlier than after a year of stable operation.

Sauna equipment

A bathhouse is classified as a fire-hazardous facility ; therefore, when deciding how to open a small sauna, you will have to purchase special finishing materials.

You need to buy a stove heated with wood or electricity. If you are thinking about what you need to open a sauna with a swimming pool, then, among other things, you will need to purchase special equipment for the pool - pumps, filters, etc.

Required equipment for interior furnishings

• Tables and chairs (about $200)
• Hangers ($20)
• 2 sofas ($400)
• Music center and everything you need for karaoke (about $400)
• TV ($200)
• Kettles, coffee maker ($40-50)
• 2 billiard tables (from $400)
• Refrigerator (from $400)
• Benches (about $100)
• Water cooler (about $30)
• Towels, sheets ($100)

Selecting a bath type

Regardless of what type of bathhouse project for business you choose, remember one thing - the services must be of high quality and comply with traditions. If this is a hammam, then follow the traditions of the Turkish bath. If you have a Russian steam room, birch brooms, steam and tea with bagels are mandatory attributes. If it is a Finnish sauna, install the appropriate equipment.

We open a sauna or bathhouse for public use - select the type of establishment:

• Classic Russian steam room - the temperature in the steam room is from 50 to 90 degrees. Additional services in the form of massage, installation of a font, as well as relaxation rooms will only be a plus for your business.
• Finnish saunas have a higher temperature than Russian steam rooms, but lately they have been in demand.
• Turkish baths or hammam - to be fair, it is worth saying that there are very few Turkish steam rooms in their classic form. So there is every chance to establish your own local Ottoman Empire.

The choice is yours - open a sauna or bathhouse, provide a range of services, or just arrange a steam room. All this will depend on what kind of business plan the establishment has.

Advantages and disadvantages

This type of business has only one main drawback: a long payback period and significant utility costs. But there are more advantages:

• The service is always in demand, and if you also organize a whole recreation complex in a picturesque place outside the city, the number of clients will increase significantly.
• A small private bathhouse can be organized even in your yard, if you have a private house.
• In fact, not much starting capital is required - 1,000,000 rubles will be enough to get started.

So a bathhouse or sauna as a business is a completely profitable project.

Personnel

With a small start-up capital, a new company can get by with a few employees. The most important person is an experienced master. To perform simple work, you should hire two assistants.

In the production of log cabins, the number of employees depends on the number of orders. Two people handle the production of one log house per week. Look for experienced woodworkers.

If the business owner is a master and is engaged in the construction of baths, it is necessary to hire a customer service manager. To design baths, it is better to conclude an agreement with a specialized bureau.

If you plan to both make log houses and build baths, hire a full-time accountant. The financial affairs of a company that specializes in the construction of bathhouses from finished logs can be managed by a part-time accountant.

Documentation

A sauna as a business requires mandatory documentation, since otherwise the conduct of business will be illegal and you will face a large fine for this, at a minimum.

To register a bathhouse as a business, you need to collect approximately the following package of documents:

• Permission from the fire department.
• If the establishment is located in a residential building, then permission from the Housing Inspectorate.
• Permission from the sanitary and epidemiological station.
• Agreements for: garbage removal, maintenance of the ventilation system, disinfection of premises, washing of clothes.
• Lease contract.
• Service agreement for communication systems.
• Agreements with public utilities for the supply of electricity, water, heating.

And most importantly - documents for a registered enterprise - individual entrepreneur or LLC.

Selecting a room

The choice of premises should be based on the fact that the minimum area should be 100-150 square meters, the following premises should be equipped:

• Steam room.
• Shower, possibly a swimming pool.
• Rest room.
• Locker room.
• Bathroom.
• Utility premises.
• Administrator's desk.

If it is intended to provide additional services, then separate premises are also needed for them - this must be taken into account before it is rented.

As for the location itself: take into account what the market analysis will give you. If possible, arrange a bathhouse outside the city, but in such a way that you can easily get there by public transport, that is, within the city.

A good option would be to rent premises on the territory of a health complex, hotel and restaurant complex, or sports complex.

Repair and decoration - what you need to consider

A bathhouse is, first of all, a room with high humidity and increased fire hazard. Therefore, when choosing a finishing material, consider the following:

• It must be hypoallergenic.
• Equipment and finishing materials, as well as accessories, must be moisture resistant. Therefore, it is better to purchase everything you need in specialized stores.
• When finishing, preference should be given to natural materials. So, in the steam room you need to choose a tree: linden, pine, cedar, oak. Linden, by the way, is not only beautiful, but also useful - when heated, it releases useful resins, so we also have aromatherapy.
• All communications must be perfectly protected from moisture, otherwise the risk of fire and short circuit will increase significantly.

When decorating, you should adhere to a colorful style - that is, follow the traditions of the bathhouse or sauna that you chose. So the room will really be a bathhouse or sauna, and not just a washing establishment.

Staff

You can get by with only two administrators only at first, and even then, it will be difficult, and provided that you yourself have bathing skills. In the classic scheme for organizing a bathhouse as a business, there should be the following employees:

• Bathhouse attendant - one or more, depending on workload.
• Administrator.
• Cleaner, if the administrator does not do it.
• If there is a kitchen - a cook, a waiter.
• An employee who is responsible for inventory and maintaining all systems in working order.
• Massage therapist, if they provide such services.

Again, recruitment will depend on what additional services will be provided, and the scale of the business and the average level of attendance will also be taken into account.

Opportunity Assessment

The sauna will be open seven days a week. The largest influx occurs on weekends or in the afternoon. Therefore, the operating mode will be as follows:

Total: 96 hours per week, about 411 hours per month.

To operate, you will need 2 administrators. They will work 2 through 2. In order not to hire cleaners, you can delegate the cleaning of the premises to the administrator. This way, you can save money and not have to hire a lot of workers.

It is worth noting that there is seasonality in this type of business; you can combat it with the help of a system of promotions and discounts. In addition, in the evening people are more willing to go to the sauna. It makes sense to make prices different depending on time.

Risks

A bathhouse as a business has its own risks, just like any other type of business:

• Low attendance, which can lead to negative work. But, this can be resolved with a competent marketing strategy.
• Lack of clients due to poor quality services - there is no one else to blame but yourself, so do everything in the best way, with care for the client.

All other business troubles can be foreseen and even prevented - the main thing is to correctly calculate the business plan for a sauna or bathhouse, arrange everything correctly and launch advertising. More on the latter later.

Relevance

Entrepreneurs who choose the bath business as the basis of their activities are making the right choice. This will allow you to combine business with pleasure, making a good profit and taking care of your health.

Today, many citizens use the services of a sauna. For some, this is an opportunity to improve their health, while for others it is an opportunity to have a good time in their free time. Saunas are quite popular, but the number of representatives of this business is increasing every year. To achieve high competitiveness, you should first develop a business plan for a bathhouse with calculations. This will also allow you to avoid many mistakes during the implementation of activities.

The advertisement is engine of the trade

Any business needs advertising, otherwise almost no one will know that there is such a good company with attractive offers, which means there will be no customers. Therefore, your advertising is the following:

• It should be different from competitors, but at the same time targeted. That is: you don’t need to do it like others do, even if everything is great there. Your business should have its own identity and not be a plagiarism of something.
• Having your own website with an order form, reservation, reliable and up-to-date information with original photos is a must. It wouldn’t hurt to have a blog, or even your own channel on youtube.com.
• A page or group on a social network is the same as with a website.
• Advertising in the media - newspapers, magazines, some commercials on radio and television also works well.
• Banners, signs, city lights, even billboards - such things need to be installed in areas where there are large crowds of people and preferably tired people - a person comes home from work, he is tired and wants to rest, and here is your proposal.
• Only truthful information - no need to promise something that does not exist and will not happen - low prices, imaginary promotions, and so on - these are tools of black promotion. Yes, the client will come, but only once and will tell others not to come.
• USP - offer the client something unique, something that competitors do not have and will be useful to him.

In fact, everything is simple - be original and do your work efficiently, with care for the client. If a person leaves your bathhouse rested, healthier and satisfied, then he will not only come to you, but also bring his friends and relatives.

Location

If you plan to harvest wood yourself, dry it and produce log houses for bathhouses, you will need a production or storage facility in an industrial area with good transport links. The area depends on the planned production volumes. For such production, you need space for a workshop, premises for drying wood and storing finished logs.

For a company that specializes in the construction of baths from finished logs purchased by the customer, a small office in the central, business and even residential area is sufficient. The main criterion is that the location is accessible; your clients should not waste time searching for your company. The office space should have a place to receive customers and 2-3 workstations with the necessary set of office equipment.