Lumière Nail Bar Business Plan

Investor-ready nail bar and day spa business plan: R4.10m deployed, 780 members, 30,700 treatment hours and R13.61m Year 5 revenue.

Lumière Nail Bar & Beauty Spa — a colour wheel and equipment at a premium nail station

Business Plan & Investment Proposal · South Africa

Nail Bar & Beauty Spa Business Plan — South Africa

Lumière Nail Bar & Beauty Spa (Pty) Ltd · Fixed Capacity, Contracted Demand.

A premium nail bar and day spa in a high-footfall suburban lifestyle centre with secure
parking — ten nail stations, five treatment rooms, a paid membership programme and a professional skincare retail
counter, delivering about 30 700 treatment hours a year at maturity. R4.10 million of capital:
R2.80 million promoter and investor equity and R1.30 million term debt at 13.75 per cent with a
twelve-month capital moratorium.

R4.10mCapital deployed

780Members by Year 5

R13.61mYear 5 revenue

23.9%Year 5 EBITDA margin

Read the executive summary →

A salon sells time, and time cannot be stockpiled. Ten nail stations and five
treatment rooms produce roughly 30,700 treatment hours a year, and an hour that goes unsold is gone — there is no
warehouse to put it in. That is the first half of the plan’s own title. The second half is what makes the first
half investable: a paid membership base growing from 90 to 780 that books the diary before the month begins and
generates R1.68 million of retained margin by Year 5, against R194,000 in Year 1. Nail utilisation moves from
44 to 70 per cent and rooms from 33 to 57 on unchanged capacity, and because overhead is largely fixed
almost every additional filled hour falls through to profit — which is how the EBITDA margin reaches
23.9 per cent on R4.10 million of capital.

The plan at a glance

Six measures that determine whether this salon and its funding stand up.

R4.10mCapital deployed over five yearsR2.80m promoter and investor equity plus R1.30m term debt at 13.75% with a twelve-month capital moratorium.

780Members by Year 5From 90 in Year 1. Membership retained margin grows from R194,000 to R1.68m — revenue contracted before anyone walks in.

10 / 5Nail stations and treatment roomsThe ceiling. About 30,700 treatment hours a year at maturity, and no amount of demand creates a eleventh station.

70% / 57%Nail and room utilisation at Year 5From 44% and 33%. Filling the chairs that already exist is where the entire margin improvement comes from.

14%Of revenue from memberships and packagesIncluding R221,000 of package breakage — treatments paid for and never taken.

7.34xYear 5 debt service coverFrom 1.60x in Year 2. Modest gearing on a capital-light fit-out leaves the balance sheet comfortable.

The two halves of the plan

What the salon can never make more of, and what it does to make sure the capacity gets sold.

Fixed capacityTen stations, five roomsAbout 30,700 treatment hours a year and not one more. A salon cannot manufacture inventory — an unsold hour at four o’clock is gone for good.

met with

Contracted demand780 paid membersMemberships book the diary before the month begins, turning walk-in trade into R1.68m of retained margin. That is what makes fixed capacity worth owning.

Five years of trading

Revenue and EBITDA on the base case. Utilisation and membership attrition are the two assumptions that matter most, and both are stressed in Section 12.

Revenue build — members against chair utilisation

Capacity is fixed at ten nail stations and five rooms. Revenue grows because utilisation rises from 44% to 70% and the membership base from 90 to 780 — not because the salon gets bigger.

Year 1

R4.22m · 90 members · 44% nail util.

Year 2

R7.63m · 260 · 56%

Year 3

R9.31m · 470 · 63%

Year 4

R12.64m · 640 · 67%

Year 5

R13.61m · 780 · 70%

EBITDA and margin, Year 2 onward

Year 1 runs an EBITDA deficit of R0.84m while the membership base is built. The margin then climbs to 23.9% — overhead is largely fixed, so every additional filled hour falls through to profit.

Year 2

R0.71m · 9.3%

Year 3

R1.37m · 14.7%

Year 4

R2.91m · 23.0%

Year 5

R3.26m · 23.9%

Why this plan works the way it does

A salon cannot manufacture inventoryTen nail stations and five treatment rooms produce about 30,700 hours a year, and an hour that goes unsold at four o'clock on a Tuesday is gone permanently. Everything in the plan exists to fill hours that already exist.

Memberships convert walk-in trade into contracted demand780 paid members by Year 5 book the diary before the month starts, generating R1.68 million of retained margin from R194,000 in Year 1. That is the difference between hoping for footfall and owning it.

Utilisation is where the margin livesNail utilisation rises from 44% to 70% and rooms from 33% to 57%. Overhead is largely fixed, so each additional filled hour falls almost entirely through to EBITDA — which is why the margin reaches 23.9%.

Breakage is real revenue, and disclosed as suchR221,000 of Year 5 revenue is packages paid for and never redeemed. Many plans bury this; stating it separately lets a funder judge how much of the margin depends on customers not showing up.

Capital-light, so the balance sheet stays comfortableR4.10 million deployed against R13.61 million of Year 5 revenue, with debt service cover reaching 7.34 times. The risk here is commercial, not financial.

Financial snapshot

Four charts from the plan. The full set of twenty-four appears throughout the sections below.

Figure 1. Chair and room utilisation across the plan period.

Figure 10. Membership build and recurring contribution.

Figure 12. Prepaid packages — liability before income.

Figure 8. Revenue share against contribution share, Year 5.

Seventeen sections and five appendices. Every page carries full navigation, a section outline and links to the sections either side of it.

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Important Notice and Basis of PreparationBasis of preparation, data sources and forward-looking statement caveats. Please read first.

Appendices

Confidential. This document is provided for the purpose of evaluating an
investment in Lumière Nail Bar & Beauty Spa (Pty) Ltd and may not be reproduced or distributed without written consent. Projections are
forward-looking statements based on the assumptions registered in Section 16 and are not guarantees of future
performance.