How to Start a Hair Salon in Georgia (2026)

Last updated: August 18, 2026

Starting a hair salon in Georgia means dealing with the Georgia State Board of Cosmetology and Barbers, which operates under the Secretary of State’s Professional Licensing Boards Division. Georgia requires both an individual cosmetology license and a separate salon/shop license for the physical location. The state also enforces detailed sanitation standards under GA Rules Chapter 240-4, with unannounced inspections that can result in fines or license suspension.

This guide covers every requirement, cost, and step to legally open and operate a hair salon in Georgia, whether you’re running a booth-rental operation or building a full-service salon with employees.

Hair Salon Requirements in Georgia at a Glance

Requirement	Agency	Cost	Timeline
Master Cosmetologist License	GA Board of Cosmetology and Barbers	$40-$75 application + ~$65-$100 exam fee	Varies (after 1,500 hours of school)
Salon/Shop License	GA Board of Cosmetology and Barbers	$75	2-4 weeks + inspection
LLC Formation (Articles of Organization)	GA Secretary of State – Corporations Division	$100 (online)	1-3 business days (online)
Federal EIN	IRS	Free	Immediate (online)
Occupation Tax Certificate (Business License)	City or County Government	$50-$400	1-2 weeks
Zoning Approval	County/City Zoning or Planning Dept.	Varies	1-4 weeks
Sales Tax Registration	GA Dept. of Revenue	Free	7-10 days
General Liability Insurance	Commercial insurer	$500-$700/year	Same day
Professional Liability Insurance	Commercial insurer	$350+/year	Same day
Workers’ Comp Insurance (3+ employees)	Commercial insurer	Varies	Same day

How to Start a Hair Salon in Georgia (Step by Step)

Step 1: Get Your Individual Cosmetology License

Before you can open a salon in Georgia, you (and every person who will perform cosmetology services) must hold an individual license from the Georgia Board of Cosmetology and Barbers. This is separate from the salon/shop license.

Georgia Cosmetology License Requirements

License Type	Training Hours	Exam Required	Application Fee	Biennial Renewal
Master Cosmetologist	1,500 hours	Yes – PSI exam (~$65-$100)	$40-$75	$50 (even years, June 30)
Master Barber	1,500 hours	Yes – PSI exam	$40-$75	$50 (even years, June 30)
Esthetician	1,000 hours	Yes – PSI exam	$40-$75	$50 (even years, June 30)
Nail Technician	525 hours	Yes – PSI exam	$40-$75	$50 (even years, June 30)

Important: Georgia does not require continuing education hours for cosmetology license renewal. You simply pay the $50 biennial renewal fee by June 30 of even-numbered years. However, you must keep your license current – practicing on an expired license can result in disciplinary action and fines.

The state exam is administered by PSI. Exam fees typically range from $65 to $100 depending on the license type. You must pass both the written and practical portions. Apply for your license through the Georgia Board of Cosmetology and Barbers.

Board contact: Georgia State Board of Cosmetology and Barbers, 3920 Arkwright Rd Suite 195, Macon GA 31210. Phone: 478-207-2440.

Step 2: Form Your Georgia LLC

File your Articles of Organization online at ecorp.sos.ga.gov. Total cost: $100 when filed online. Processing takes 1-3 business days for online filings.

Your LLC name must include “LLC,” “L.L.C.,” or “Limited Liability Company” and must be distinguishable from existing entities on file with the Secretary of State. You’ll need a registered agent with a physical street address in Georgia – you can serve as your own registered agent if you have a Georgia address.

Georgia requires an Annual Registration for all LLCs, filed with the Secretary of State by April 1 each year. Cost: $60. Failure to file can result in administrative dissolution of your LLC.

If you want to operate under a different name (e.g., “Peach State Beauty” instead of “Peach State Beauty LLC”), you can file a trade name with the Clerk of Superior Court in your county.

Step 3: Get Your Federal EIN

Apply for a free Employer Identification Number at IRS.gov. You’ll receive it immediately when applying online. You need this to open a business bank account, hire employees, and file business taxes.

Step 4: Secure Your Salon Location

Your salon space must meet the requirements outlined in GA Rules Chapter 240-4 for cosmetology establishments. Key location considerations:

• Zoning: Confirm the location is zoned for commercial use and permits salon operations – check with your local planning or zoning department
• Hot and cold running water at each shampoo station and in the work area
• Adequate ventilation – especially important for chemical services (color, perms, relaxers)
• Bathroom access for clients and staff
• Fire marshal approval may be required depending on your jurisdiction
• Building permits for any build-out or renovation work

Lease costs in Georgia: Expect to pay $10-$25 per square foot annually depending on location. Metro Atlanta commands the highest rates, while smaller cities and rural areas fall toward the lower end.

Step 5: Apply for Your Salon/Shop License

Apply to the Georgia Board of Cosmetology and Barbers for your salon/shop license. This license is required for any location where cosmetology or barbering services are performed.

• Application fee: $75
• Renewal: $75 biennial (odd years, June 30)
• Inspection: The Board schedules an inspection of your salon before or shortly after licensing
• Display: The salon/shop license and all individual practitioner licenses must be displayed in the salon

Note: The salon/shop license is on a different renewal cycle than individual licenses. Salon licenses renew in odd-numbered years (June 30), while individual licenses renew in even-numbered years (June 30). Track both deadlines carefully.

Step 6: Get Your Occupation Tax Certificate

Georgia does not have a statewide “business license.” Instead, cities and counties issue occupation tax certificates, which function as your local business license.

• Cost: $50-$400, depending on your city/county and projected gross receipts
• Where to apply: Your city hall (if within city limits) or county government office
• Renewal: Annual
• Display: Must be posted at your place of business
• Zoning clearance: Most jurisdictions require zoning approval before issuing the occupation tax certificate

If your salon is within city limits, you may need both a city and county occupation tax certificate. Check with both your city and county government offices.

Step 7: Register for Sales Tax

Georgia sales tax rules for salons:

• Salon SERVICES (cuts, color, nails, facials) are generally NOT taxable in Georgia
• Retail product SALES are TAXABLE – state rate of 4% plus local option taxes
• Combined rate: Most Georgia counties have a combined sales tax rate of 7-9%

Register with the Georgia Department of Revenue (free online) to collect and remit sales tax on retail product sales. You’ll receive a sales tax certificate to display at your business.

Important: Georgia taxes the sale of tangible personal property, not services. If you sell shampoo, conditioner, styling products, or other retail items, you must collect sales tax. Services like haircuts and coloring are generally exempt.

Step 8: Get Insurance

General Liability Insurance

Covers third-party bodily injury and property damage – a client who slips on a wet floor, an allergic reaction to a product, etc.

• Average cost in Georgia: ~$500-$700/year
• Typical coverage: $1 million per occurrence / $2 million aggregate

Professional Liability Insurance

Also called “malpractice” or “errors and omissions” – covers claims related to the services you provide (chemical burns, bad reactions, hair damage).

• Average cost: ~$350+/year

Property Insurance

Covers your equipment, furniture, and inventory if damaged or stolen.

• Average cost: ~$700-$1,000/year

Business Owner’s Policy (BOP)

Bundles general liability, property, and sometimes professional liability into a single policy – often cheaper than buying separately.

• Average cost: $1,200-$2,500/year

Workers’ Compensation Insurance

Required in Georgia for businesses with 3 or more employees. This is a lower threshold than many states, so it kicks in earlier.

• Sole proprietors and LLC members can elect to be exempt from coverage
• Penalties for non-compliance in Georgia are steep – the state can issue stop-work orders and impose fines
• Register and verify compliance through the Georgia State Board of Workers’ Compensation

Step 9: Pass Your Board Inspection and Open

The Georgia Board of Cosmetology and Barbers will inspect your salon to verify compliance with GA Rules Chapter 240-4 sanitation and safety standards. Be prepared for:

• All implements properly disinfected using an EPA-registered disinfectant with a minimum 10-minute immersion time
• Disinfectant solution changed daily at minimum
• Clean implements stored in a closed, airtight container labeled “Clean Implements”
• Current licenses displayed – both the salon/shop license and all individual practitioner licenses
• Proper ventilation and sanitation stations with soap, running water, and clean towels
• Single-use items discarded after each client or given to the client

After opening: The Board conducts unannounced inspections on an ongoing basis. Violations can result in fines, mandatory corrective action, or license suspension.

Georgia Salon Sanitation Standards (GA Rules Chapter 240-4)

Georgia’s sanitation rules are detailed and strictly enforced. The Board of Cosmetology and Barbers inspects for compliance during both initial and unannounced follow-up inspections. Key rules:

• All reusable implements must be cleaned and disinfected between each client using an EPA-registered disinfectant
• Implements must be fully immersed in disinfectant for a minimum of 10 minutes
• Disinfectant solution must be changed daily or more frequently if visibly contaminated
• After disinfection, clean implements must be stored in a closed, airtight container clearly labeled “Clean Implements”
• UV lights are NOT an acceptable disinfection method in Georgia
• Dishwashers are NOT an acceptable disinfection method in Georgia
• Autoclaves ARE acceptable as a disinfection/sterilization method
• Single-use items (nail files, buffers, toe separators, neck strips) must be discarded after one use or given to the client
• Clean linens must be stored separately from soiled linens in a closed container
• All products must be clearly labeled and stored in sanitary conditions
• No animals in the salon (except service animals)

Common violation: Using UV sanitizers or dishwashers for implement disinfection. These are explicitly prohibited in Georgia. You must use EPA-registered chemical disinfectant with proper immersion time, or an autoclave for sterilization.

Cost to Start a Hair Salon in Georgia

Booth Rental Model

Item	Cost	Notes
LLC Formation (online)	$100	One-time; Annual Registration $60/year
Trade Name (DBA)	$0-$50	Optional, filed with county Clerk of Superior Court
Federal EIN	Free	Online at IRS.gov
Salon/Shop License	$75	Biennial renewal $75 (odd years)
Occupation Tax Certificate	$50-$400	Annual renewal, varies by jurisdiction
Lease Deposit + First/Last Month	$2,500-$12,000	Based on $10-$25/sq ft annually
Basic Build-Out / Renovation	$5,000-$35,000	Stations, plumbing, flooring
Salon Equipment & Furniture	$5,000-$20,000	Chairs, mirrors, wash stations
Insurance (GL + Professional Liability)	$850-$1,200/year	Strongly recommended
Initial Product Inventory	$2,000-$5,000	Retail + backbar products
Marketing / Website / Signage	$500-$3,000	Launch marketing
Estimated total: $16,000-$80,000

Full-Service Salon with Employees

Item	Cost	Notes
LLC Formation + EIN	$100	One-time; Annual Registration $60/year
Trade Name (DBA)	$0-$50	Optional
Salon/Shop License	$75	Biennial renewal $75 (odd years)
Occupation Tax Certificate	$50-$400	Annual
Lease Deposit + First/Last Month	$5,000-$25,000	Larger space required
Full Build-Out / Renovation	$60,000-$500,000	Custom design, plumbing, electrical, finishes
Salon Equipment & Furniture	$27,000-$100,000	Multiple stations, wash units, dryers, reception
General Liability Insurance	$500-$700/year	Essential
Professional Liability Insurance	$350+/year	Essential
Property Insurance	$700-$1,000/year	For equipment and inventory
Workers’ Comp Insurance	Varies	Required at 3+ employees
Initial Product Inventory	$5,000-$15,000	Retail + backbar + color lines
POS System + Software	$1,000-$3,000	Scheduling, checkout, inventory
Marketing / Website / Signage	$2,000-$8,000	Grand opening marketing
Estimated total: $100,000-$660,000

Related Georgia Business Guides

• Starting a Business in Georgia: Complete Guide

← Back to all Georgia business guides

Frequently Asked Questions

What licenses do I need to open a salon in Georgia?

You need two types of licenses: a salon/shop license ($75) for the physical location, and individual practitioner licenses for every person performing services. Individual cosmetologists must complete 1,500 hours of approved schooling and pass the PSI-administered state exam. Apply for both through the Georgia Board of Cosmetology and Barbers.

Does Georgia require continuing education for cosmetology license renewal?

No. Georgia does not require continuing education hours for cosmetology license renewal. You simply pay the $50 biennial renewal fee by June 30 of even-numbered years. The salon/shop license renews separately at $75 by June 30 of odd-numbered years.

How much does it cost to open a salon in Georgia?

A booth rental model salon typically costs $16,000-$80,000 to open, depending on location and build-out scope. A full-service salon with employees typically costs $100,000-$660,000, with the largest expenses being build-out/renovation ($60,000-$500,000) and equipment ($27,000-$100,000).

What disinfection methods are acceptable in Georgia salons?

Georgia requires the use of an EPA-registered disinfectant with a minimum 10-minute immersion time. Autoclaves are also acceptable for sterilization. UV lights and dishwashers are explicitly NOT acceptable disinfection methods in Georgia. Disinfectant solution must be changed daily. Clean implements must be stored in a closed, airtight container labeled “Clean Implements.”

When is workers’ compensation required for a Georgia salon?

Georgia requires workers’ compensation insurance for businesses with 3 or more employees. This is a lower threshold than many states (Florida, for example, requires it at 4+). Sole proprietors and LLC members can elect to be exempt from coverage, but all other employees must be covered. Non-compliance can result in stop-work orders and significant fines.

Do I need insurance for a salon in Georgia?

Salon insurance is not legally mandated for a sole proprietor or small salon (aside from workers’ comp at 3+ employees), but it is practically essential. General liability runs approximately $500-$700/year, professional liability around $350+/year, and a Business Owner’s Policy (BOP) combining multiple coverages costs $1,200-$2,500/year. Most landlords will require proof of general liability insurance before signing a lease.