How to Start a Tanning Business in Illinois

Planning is required for a successful tanning business.

New Illinois tanning businesses face a number of challenges because of sun-damage health concerns and the recent passage of the Healthcare Reform Act that will add a 10 percent tanning tax to costs. Extensive planning is required in order to have a profitable and successful Illinois tanning business, but it is possible.

Instructions

Plan for Success

1. Write a business plan. A business plan is necessary when opening a tanning business in Illinois because of the complex health and business regulations and requirements needed. A good tanning salon business plan will define, organize, and help the new tanning business get financing. Contact the local Small Business Association to be assigned a business mentor and to get help in creating a business plan.

2. Consult an attorney, an insurance agent, and an accountant to review Federal Drug Administration (FDA) and Illinois state regulations. The regulations and the licensing required for a tanning business in Illinois are extensive and can affect profits. For example, 795.210 of the Illinois health code requires that the tanning business provide "access at all times to a safe and sanitary supply of drinking water." Most Illinois salon supply bottled drinking water and disposable cups for their customers, so the costs of these items must be added to the business plan.

3. Start the tanning business license application process. All tanning businesses must be licensed with Illinois Department of Public Health. In addition, FDA regulations require warning labels on tanning beds listing recommended exposure schedules. With good planning, new tanning businesses can avoid delays caused by the new regulatory requirements enacted by the Healthcare Reform Act.

4. Obtain the needed financing to start the tanning business. Illinois tanning business owners will need a business plan prior to getting financing. Government grants and business loan applications require a tanning salon business plan as part of the applications package.

5. Rent the business location and obtain tanning equipment. The location for the business and the tanning equipment vendors should have been selected when writing the business plan. Complete these business transactions and set up the business site to comply with Illinois Department of Public Health, the FDA, and the Illinois Department of Public Health Illinois Tanning Facilities Legal Base.

6. Organize a tanning business grand opening and a year's worth of advertising. Advertising is important for an Illinois tanning business because the tanning business in Illinois is highly competitive with at least one tanning business in almost every city in the state. A grand opening and follow-up advertising will assure that customers are aware of the new tanning business in their community. Make sure to include the cost of the grand opening and a year's worth of advertising within the business budget.

Tips & Warnings

• Allow time to do research, apply for licenses and to consult with experts. Opening a tanning business in Illinois cannot be rushed.

References

• State of Illinois Division of Professional Regulation
• Illinois Department of Health
• Illinois Regulations and Requirements for Tanning Salons
• Indoor Tanning Association
• Business.gov

Resources

• State of Illinois Business Portal
• Health Reform.gov
• U.S Small Business Administration
• Grants.gov