Nailing The American Dream, With Polish

[Dan_P 5]

maybe that place is the exception, but no way will most girls accept 100% taxable income. it's a 50/50 system, 50% check and 50% cash

What about food stamps?

[quann 26]

What about food stamps?

i'm not familiar with how the food stamp process works. for people that are on welfare/food stamps etc i hear the take all cash...and put everything they own house/car/etc under someone else name. i know of a nail shop owner that lost everything this way.

[phil09 8]

i know of a nail shop owner that lost everything this way.

If he lost everything while he was trying to commit fraud to game the system, I say he deserves it.

[Anh map 2,098]

maybe that place is the exception, but no way will most girls accept 100% taxable income. it's a 50/50 system, 50% check and 50% cash

You're wrong there. Salons of all types are being targeted by state and federal tax agencies for precisely this reason. Too much cash rolling through. Also, salon owners wanting loans (homes, business, etc.) need to show the income and thus have to report all the income and expenses.

Also, there are occasions where disgruntled ex employees report the salon owners to the tax man for the unreported cash.

[Dan_P 5]

You're wrong there. Salons of all types are being targeted by state and federal tax agencies for precisely this reason. Too much cash rolling through. Also, salon owners wanting loans (homes, business, etc.) need to show the income and thus have to report all the income and expenses.

Also, there are occasions where disgruntled ex employees report the salon owners to the tax man for the unreported cash.

I have heard of buying homes under someone else's name like said above. Of course, if things go sour, and then either side can get shafted.

[quann 26]

You're wrong there. Salons of all types are being targeted by state and federal tax agencies for precisely this reason. Too much cash rolling through. Also, salon owners wanting loans (homes, business, etc.) need to show the income and thus have to report all the income and expenses.

Also, there are occasions where disgruntled ex employees report the salon owners to the tax man for the unreported cash.

no i'm not wrong here, and i don't know of any vietnamese business owner that reports 100% of their income. again that's my experience, ymmv.

[phil09 8]

The only reason those ppl prefer to do nail is because they love to CHEAT tax and the US gov't for programs I mentioned above.

I agree. And not that two wrongs will make one right, but corporations also play the tax-cheating game. GE made about $14 billion in profits in 2010, but did not pay any federal taxes. The difference is that corporations have armies of lawyers, tax accountants and lobbyists at their beck and call. The current US tax code is a hopeless quagmire replete with obscure loopholes. I would welcome a simpler system like a flat tax, even though it may mean less business for me in the long run.

[vyx 1]

For those that are nail shop owners, what is the start up cost for one shop with 3-4 workers? Let say Omaha, Nebraska or smaller area. I have no experience in nails or what not, is it feasible to manage a shop without knowing how to perform the work?

[quann 26]

most people just buy an existing nail shop, but you can build up also. nebraska is a good place as it's not overly saturated and prices are still high, also look at iowa or other midwest/central states. 3-4 worker shop is kinda small, i would say about 15-20k to start up (always go with the high estimate to factor costs in business). imo in nebraska should be at least 6-8 chairs if you want to build up the business and stay there. you don't need to know how to do nails, but then you will be really dependent on the workers and at their mercy. you will also need a big place where you can provide living accomodations for the workers you recruit over, because they will most likely be out of state and just go there to work and only there because of the money(unless they want to tip cows...yea a nebraska stereotype joke).

**not a nail shop owner but dated a couple and know the biz well enough**

[VinceN 25]

most people just buy an existing nail shop, but you can build up also. nebraska is a good place as it's not overly saturated and prices are still high, also look at iowa or other midwest/central states. 3-4 worker shop is kinda small, i would say about 15-20k to start up (always go with the high estimate to factor costs in business). imo in nebraska should be at least 6-8 chairs if you want to build up the business and stay there. you don't need to know how to do nails, but then you will be really dependent on the workers and at their mercy. you will also need a big place where you can provide living accomodations for the workers you recruit over, because they will most likely be out of state and just go there to work and only there because of the money(unless they want to tip cows...yea a nebraska stereotype joke).

**not a nail shop owner but dated a couple and know the biz well enough**

I agree with all the above except for the bold part. Bigger cities like Lincoln and Omaha are highly saturated with shops! As the result, uneducated owners started naming their own prices since there is little to no regulation on prices. Some of the prices are laughable at best, but it makes sense to them apparently. Some smart people are starting to branch out into smaller towns, while business is good in smaller towns, but folks from smaller towns generally have never heard of the tipping concept.

Btw, I have yet to tip a cow or even know how

Edited July 7, 2012 by VinceN