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Choosing to run your own business can feel risky at any age. Some wait until much later in life before taking the leap. However, Hannah Warburton-Vaughan was only 19 and still at college when she took on the beauty salon where she worked.
After discovering the previous owners were packing it in, Hannah remembers going home and telling her mum it was “now or never.” She was confident in her knowledge of the beauty industry and clear on what she wanted to do, so the idea that the business might not work out never crossed her mind. But she didn’t embark on this journey alone: her mum Margaret is a co-owner and leads on finance and administration.
Four years on, Hannah says she has met with many battles – from staffing challenges to disputes with the local Council – but says her positive mindset has helped her to keep coming out on top. Here, Hannah shares the five lessons she has learned building a high street business in the heart of her local community.
1. Customer relationships are everything
In addition to saving jobs, Hannah’s drive to take on the salon came from a desire to provide continuity for clients and stability for local people.
Hannah describes the location of Cloud Beauty, in Uppermill near Saddleworth, Greater Manchester as a community hub. For many women, regular beauty appointments are a place to talk and a critical way to maintain social connections. “It’s part of their routine,” says Hannah, adding, “We’re really fortunate to have the client base we have.”
2. Find the right funding for your business
Hannah used her own savings and borrowed money from her family to invest in Cloud Beauty, which she has managed to repay. Then, in 2024, she and Margaret applied for a Start-up Loan to renovate the interior of their premises and pay for additional staff training and development.
The pair received an initial loan of £20,000 and a further £5,000. “We do pay interest, but it’s not mega high, and it’s government-backed,” says Margaret.
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3. Invest in staff while managing costs
Employing people, and managing and retaining staff are the aspects of business ownership that can cause many business owners the most headaches.
“Every April, something changes,” says Hannah. Most recently, small businesses have been hit hard by the increase in the Minimum Wage and the hike in employer National Insurance Contributions (NICs).
To cope with increased staff costs, Hannah has calculated how much she will need to pass on to customers when making this year’s annual price increases. She and Margaret are also considering how to upskill the team to make the most of their resources. “For four years, we’ve taken the hit, and we will continue to do so until we can’t manage it,” she explains.
Like Hannah, the other therapists at Cloud Beauty have been trained through an apprenticeship scheme. Small businesses (who do not pay the apprenticeship levy unless their annual pay bill exceeds £3 million) can get up to 95% of apprentice training costs for 16 to 21-year-olds paid for by the government. However, Hannah has had to cover other costs associated with the young people she’s taken on.
“There’s no help towards their uniform or products or any more training. We have to source that ourselves,” she says.
Hannah is committed to giving her team the best possible experience of salon life, providing what she describes as a pleasant and structured environment to work in. “Having been through all that just a few years ago myself, I know what it’s like and I know what I don’t want it to be like,” she explains.
4. Stand up for your business when necessary
One of the toughest challenges for Hannah and Margaret came in May 2024, during the half-term holiday, when Hannah arrived to open the salon to find the door had been barricaded and the pavement outside the premises being dug up for emergency electrical work.
With no way to enter the building, they were forced to cancel all appointments for six days, losing several clients. Hannah estimates it took six months to recover financially from losing a full week’s revenue during one of their busiest periods.
After seeking advice from local solicitors through a networking group, Hannah and Margaret took on Electricity North West and complained to the council.
“I read every act of parliament around highways and road closures and I believe they breached the law in two areas,” explains Margaret. She threatened to take the electricity company to a tribunal and eventually received an apology and £4,000 compensation for the loss of trade.
5. Keep innovating
Having completed her own beauty training, Margaret now treats clients in the salon too, adding skincare to Cloud Beauty’s treatment menu. Diversifying her skillset has had another unexpected advantage: some older clients prefer a more mature therapist.
“I’ve started to build up this little client base, but they’re all women my age or older, and they’re all having the same skin issues that I have,” Margaret explains.
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Meanwhile, Hannah is getting creative with ways to broaden Cloud Beauty’s appeal. By hosting community events on the days the salon is normally closed, she hopes to create opportunities for local people to network and make friends, while also “levelling up” her business.
“I had a brainwave and thought, ‘We’ve got a room in the salon that we don’t use. Why don’t I hold classes?’”
Inspired by ‘sip and paint’ events she’s seen in Manchester, Hannah plans to market “Gloss and Glass” events, where she can teach nail art while making use of the alcohol licence she acquired for her premises.
Stay resilient and ask for help
In conclusion, running a business comes with challenges, setbacks, and pressure, but Hannah’s story proves that confidence, adaptability, and a strong support system make all the difference.
Her advice to other young entrepreneurs? Don’t take failures personally and don’t be afraid to ask for help.
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