Licensing Requirements for Salon Suites

QUESTION:

If a business owner is renting suites to independent contractors operating different types of cosmetology services, under different business names, does each individual licensee need an independent shop license?

 

ANSWER:

If a business owner is renting suites to independent contractors who are operating different types of cosmetology services under different business names, then each business will need its own independent shop license.

Here’s why:

  1. Independent Businesses: If each contractor is operating under a separate business entity or brand and running their suite as an independent salon or cosmetology business, the Alabama Board of Cosmetology and Barbering will treat each of these as a separate establishment. This requires each business to have its own shop license.
  2. Shop License Requirement: A shop license is required for any location where cosmetology services are provided, and this applies to each distinct business. If multiple cosmetology-related businesses are operating under different names, each suite would generally be considered its own "shop" or "salon," even if they are located in the same building.
  3. Health and Safety Compliance: The purpose of the shop license is to ensure that each establishment (in this case, each independent suite) complies with health, sanitation, and safety standards. It is the independent contractors' responsibility to maintain these standards for their individual business.

Key Points:

  • If the independent contractors are providing cosmetology services like hair styling, esthetics, or nail services under different business names, they will each need to apply for their own shop license.
  • The primary responsibility of the building owner, would be ensuring that the overall facility is compliant with local building codes, but the independent contractors would need to ensure that their suites are licensed for cosmetology services.

Exception:

  • If the contractors were operating under a single business name and working as part of a single entity (like employees or subcontractors of a larger salon), only one shop license would be required for the entire facility.