If you’ve ever wondered, “Can I actually make good money running a barbershop?” you’re not alone. The short answer is yes, barbershops can be profitable, but that isn’t guaranteed.
In this article, we’ll cover typical barbershop revenue streams, operating costs you’ll need to budget for, and the benchmarks that can help you set realistic expectations.
The Barbershop Industry in 2026
To better answer the question of whether barbershops are profitable, let’s look at what the most recent numbers say about profitability.
Recent data estimates that the U.S. barbershop industry generated $7 billion in 2025 revenue, with a 9.8% compound annual growth rate over the past five years.
However, just because the industry is “growing,” doesn’t mean a full schedule will magically happen for your barbershop. It simply means there are still plenty of people getting cuts — and new shops are opening because the demand is there.
That said, if you’re a barbershop owner, what matters is whether you can earn repeat visits. Fortunately, you don’t need to be the cheapest or trendiest shop in town — you just need to be the one clients can count on and can book without hassle.
Are People Still Spending on Haircuts?
Yes, of course. Even when people tighten their budgets, most don’t stop getting haircuts. They might stretch the time between visits, but grooming is still a regular need.
This is a major reason barbershops tend to have steadier demand than other service businesses.
In 2026, the bigger shift isn’t whether clients exist, but how they choose where to go. Many clients want convenience: easy booking, predictable and quality service, and a shop that runs on time.
That said, if your shop makes it simple to get in and out (and clients know what they’re paying), you’re most likely already ahead of most of your competition.
Also read: How Beginner Barbers Can Build a Steady Client Base
Factors Affecting How Much a Barbershop Can Make
There are four things that shape a barbershop’s monthly income:
Appointments per day (per barber): How many paying time slots you sell
Average ticket: How much each visit is worth (cut, beard, add-ons, etc.)
Days open per month: How many chances you have to earn money
Show-up rate: How many booked appointments actually happen
If one of these is weak, your income is likely to take a hit. For example, you can have great pricing and strong demand, but if no-shows are common, you’re losing paid time you can’t get back.
Quick tip: Using a tool like Bookedin helps you improve on those four income drivers by making online booking easy for clients, showing add-ons during booking to increase sales, sending automatic client reminders, and more.
Book a free demo & see how it works
Ways That Barbershops Bring In Money
Below are the most common revenue streams for barbershops:
Cuts and fades: The core service and the main reason most clients book. This is the “volume” that keeps the shop moving.
Beard services: Beard trims, line-ups, and full beard work often pair naturally with a haircut and can boost what each visit is worth.
Kids/senior pricing (optional): Some shops use this to attract specific groups without discounting everything across the board.
Add-ons: Hot towel finishes, razor line-ups, enhancements, or extra detailing can raise your average ticket without needing a whole extra appointment.
Retail: Pomade, clay, beard oil, and shampoo can add steady side revenue if you keep it tight and only stock what clients actually buy.
Memberships or packages (shop-dependent): These can create more predictable income and repeat visits, but they work best when your clientele likes routine and your schedule can handle it.
Also read: 8 Smart Ways To Boost Your Barbershop Revenue
Barbershop Overhead Costs & Operating Expenses
When you’re trying to figure out if a barbershop is profitable, it helps to separate expenses into two main categories.
Fixed costs are the bills you pay every month even if business has been slow. These include:
Rent
Utilities and internet
Insurance and licenses
Laundry and cleaning (especially if you outsource it)
Client scheduling and POS software
Quick tip: When it comes to client scheduling software, Bookedin is your best bet. It’s packed with top-notch features designed to help barbershops get more clients, cut no-shows, and boost revenue.
Get a free demo of Bookedin features
On the other hand, variable costs are tied to how busy the shop is, so these usually increase as you take more clients or appointments. Some examples are:
Supplies like sanitation products, blades, neck strips, paper towels, and disposable items
Product costs (if you sell retail, you have to buy inventory before you profit)
Card processing fees
Marketing expenses such as ads, promos, or paid listings
Knowing the difference between these two matters because a shop can look “busy” but still struggle if the fixed costs are too high for the revenue coming in.
Labor & Pay Structure
If you have or are planning to have other barbers working at your shop, your labor costs will also be a major factor. The pay setup changes how predictable your costs (and revenue) are.
Here are the three most common models:
Booth or chair rental: The barber pays you a fixed rent to use the chair or booth, while they often get to keep their service money.
Commission: The barber earns a percentage of each service; this would be considered a variable cost.
Hourly/employee: You pay the barber a specific amount depending on how many hours they work; this often a fixed (or semi-fixed) cost.
Two barbershop owners with the same number of clients can end up with very different take-home pay based on how barbers are paid. So, it’s worth picking the model that fits what you’re trying to build.
Note: Bookedin helps multi-staff barbershops stay organized with one shared calendar, real-time booking updates, and staff access controls to prevent accidental changes.
See how it works on Bookedin
What Counts as a “Good” Barbershop Profit?
It’s easy to look at a busy barbershop schedule and automatically assume you’re doing great because the register (or card machine) was constantly going.
However, it’s important to remember that profit is what’s left after all the bills are paid, not just what came in.
A simple way to think about it is this: Revenue is the money coming in, expenses are the money going out, and profit is what’s left over. If you don’t subtract expenses like rent, supplies, software, and labor, you’re only seeing the top line.
That’s why two shops can bring in similar revenue and still have totally different take-home results.
Owner Earnings vs. “True Net Profit”
When people talk about “profit,” they’re not always talking about the same thing — and that’s where a lot of confusion starts.
Net profit is the business’s profit after expenses (e.g., rent, supplies, software, marketing, labor), before you decide how the owner gets paid.
Meanwhile, owner earnings (often called seller’s discretionary earnings, or SDE) are basically what the business owner can take home after certain business expenses — and if the owner works in the shop, it may include their compensation.
That said, make sure you know which number you’re looking at, so you don’t end up comparing apples to oranges. If you’re reading industry benchmarks, always check whether the number is talking about owner take-home or strict net profit.
Also read: How To Raise Barbershop Prices Without Losing Your Regulars
Realistic Profitability Benchmarks for Barbershops in 2026
A “good” profit margin depends on your rent, your pay model, and your market, so the smartest move is to use real-world benchmarks and then adjust for your local costs.
To anchor expectations, sales data from recently sold barbershops and hair salons shows a median annual revenue of around $360,000 and a median cash flow of around $92,000 (“cash flow” here is closer to owner-earnings/SDE than strict net profit).
Also, keep in mind that when we say “median,” that’s a middle-of-the-road reference point, not a promise of what every shop will earn.
What pushes those numbers up or down is usually pretty straightforward: rent level, pricing, how consistently booked the schedule is, and how the shop is staffed.
If your rent is high and your prices haven’t kept up, you can have a packed shop schedule and still barely see any real profit.
Are Barbershops Profitable in 2026? – Key Takeaways
As you can see, the answer to that question is yes, but it’s not that simple. You get profitable by running a shop where your pricing, schedule, and costs actually work together.
Also, remember that revenue is driven by a few simple pieces: how many appointments you can do, how much each visit is worth, how often you’re open, and how often clients actually show up. Meanwhile, profit is what’s left after rent, labor, and supplies take their cut.
Whether you’re opening a barbershop or you’ve been running one for years, the quickest path to more consistent revenue is to make it easy for clients to book and ensure they’ll show up.
Bookedin helps with that by letting clients book online while the system sends them automatic confirmations and reminders, so fewer appointments fall through. If you’re on the fence, you can sign up for free and try it with a 14-day trial.
Yes. In fact, industry data estimates the U.S. barbershop market reached around $7 billion in 2025 and is projected to keep growing over the next five years, which signals continued demand
For most shops, the highest recurring costs are usually rent/lease and payroll (or barber compensation).
Even if your shop isn’t “slow,” high fixed rent or a heavy payroll structure can squeeze margins fast, which is why owners watch these two categories closely.
There’s no one number because it depends on your average ticket and your monthly fixed costs (especially rent), plus your pay model.
A simple way to estimate it is this: Take your monthly fixed costs and divide by how much profit you keep per appointment (after supplies/fees and any commission).
If your prices are low or your no-show rate is high, you’ll need more clients per day to break even; if your ticket is higher and your schedule is tight, you’ll need fewer.
Usually, yes, because it’s a different job.
Being a barber is mainly about service quality and keeping your own book full, while owning a shop comes with more responsibility and more moving parts than just being behind the chair.
If you’re a solo owner-operator, you’re basically doing two jobs at once: cutting hair and handling the admin work after hours.
Conversely, if you hire staff, you add a whole extra layer: recruiting, onboarding, schedules, expectations, conflict management, and making sure every chair stays busy enough to cover payroll and overhead.
The upside is that owning a barbershop can create more long-term income and stability.
