SBA 7(a) Beauty Salon Feasibility Study in Nevada

A Las Vegas-centred salon book with larger loans than the country

Nevada beauty salons account for 94 approved loans, worth $29.2 million, in the ten fiscal years that end with FY2026. Clark County holds 74 of them, Washoe County 15 and Carson City 2, with Douglas, Elko and Lyon at 1, so this is a Las Vegas market first. The state ranks 25 among states, and salons hold 5 of 39 positions at home, a high local place that shows how much of Nevada's program lending is in personal services. The $114,500 median is 1.32x the national level, and the central band of loans lies from $25,000 to $357,075. Franchise brands are on 27.7% of loans.

Holders

U.S. Bank, National Association heads the holder list with 20 loans worth $892,200, a tiny average. Zions Bancorporation, National Association holds 15 worth $3.7 million, Wells Fargo Bank National Association holds 8 worth $482,000 and The Huntington National Bank holds 5 worth $1.5 million. As holder names in SBA's data, they carry no inference about practice. Volume was 15 loans and $4.6 million in FY2019, 15 loans and $5.7 million in FY2023 and only 6 loans in FY2024, though that year's dollars were $5.3 million, a markedly larger loan.

Cancellation and losses

Cancellations account for at least 10.8% of approvals dated through FY2024, and the broader reading is again 10.8%. The 36 early funded loans show 5.6% charged off to date but 2.8% inside five years, so a share of the losses surfaced late. Open loans keep both numbers as minimums.

For a Nevada salon the study has to test demand in a transient, shift-driven economy: appointments at odd hours, a workforce that moves, and visitors who may buy services at resort salons. Whether stylists rent booths or work as employees changes revenue and risk alike, and the study should state the model and how stylists will be kept. The space, chairs and finish-out should be priced against the number of stylists the clients can support. Competing salons and salon suites make location and visibility central. The coverage test should include a lower-occupancy case for the chairs, and the appraiser will read the lease and improvements together. Program rules are SBA's, and nothing here predicts an approval.