Dream To Reality: How Much Does It Really Cost To Open A Spa?

Hard costs

The term 'hard costs' refers to the actual facility expenses. These items may include:

• Construction and/or renovation
• Procurement of FFE (furniture, fixtures, and equipment)
• Inventory for professional and retail use
• Administrative and office supplies
• Signage

Of course, these can vary widely based on a number of factors—are you renting space in a strip center and doing a complete build-out, or are you able to take over an existing spa business with a layout that lends itself to your needs with minimal adjustments? Other variants will include whether your intended spot is in an urban, suburban or rural environment, and whether you would be able to work with union or non-union laborers.

Taking over a facility from an existing and similar day spa or spa business can certainly be the least expensive method of entry, but it is likely you would still need to do modest construction. Depending on the sophistication of your plans and vision, you may find it just as expensive to retrofit something that is already built—and with existing spaces there can also be unwelcome surprises once you get the construction going. This means a new space that you can design and build from scratch can be more beneficial in the long run. One general rule-of-thumb is that finished construction will likely cost $90-$130 per square foot, so if you are taking on a 2,500 square foot space, that translates to $225k-$325k. Yes, perhaps your brother is a plumber and you can save some money there, but broadly speaking, this is what it will cost!

Your furniture and equipment needs will vary widely depending on the type of spa or wellness center you are creating. Basic treatment tables, facial machines, technician chairs, treatment trolleys, quiet lounge furnishings, and office equipment typically runs to about $30 per square foot. If you will be providing medical-grade services or unique, equipment-specific treatments, it will be more expensive.

Whether or not you will process your own laundry, it is common to at least have a small washer/dryer unit within the spa, as well as other support equipment like a refrigerator and dishwasher.

Inventory investments also cover a broad spectrum based on the type of spa services you will offer and the brands that you carry. For an average spa, say less than 3,000 square feet with six or fewer treatment rooms, you should not need more than one main skincare brand, perhaps augmenting with a smaller niche brand, and some other retail products such as travel sizes or lifestyle products. There are options in deployment of merchandise and cabin stocking, but you can expect to spend $5k-$10k for enough products to stock the treatment rooms, dispensary, and a three-month retail supply.