Spa+Clinic Team Last year was a turbulent one for the aesthetics and wellness services industry, yet many beautician businesses showed resilience and optimism in the face of store closures due to lockdowns, according to a newly released snapshot of the Australian small business landscape.
The BizCover 2022 Small Business Bravery Report found that despite tough conditions, the Services industry were twice as likely to describe their 2021 performance positively, with close to half (49%) rating it as good or very good.
Commissioned by BizCover, the Bravery Report surveyed 1,327 small businesses across 20 industries in January to better understand the sentiment and drivers of Australian small businesses.
“Small business owners have courageously weathered the storm over recent years and now have cautious optimism and confidence in the future,” said Sharon Kenny, BizCover’s Head of Marketing. “The Services industry had to deal with more than most but were able to adapt and offer new services or products.”
For 2022, small businesses in the Services industry said they are more likely to not change how they operate much at all. However, some indicated they will continue developing new products and services in response to ongoing change.
“A positive driver across most industries that performed well was the ability to adapt to the changing market environment,” said Sharon. “Small businesses in Services either did adapt or will look to continue to adapt this year, which could be why many beauty businesses feel more certain about the year ahead compared to other industries.”
However, the Service industry fell back among the pack in terms of insurance policy take up.
The amount of small businesses in the Service industry that had Public Liability or Professional Indemnity insurance was well below many other industries such as Trades and Manufacturing.
“A business that has direct contact with their customers and suppliers should consider Public Liability cover while businesses that offer advice as part of a service should consider Professional Indemnity insurance,” said Sharon.
“Beauticians and salons often need both forms of protection, so it was a little disappointing to not see them among the top industries.”
What was more promising is that Services was one of the industries most concerned about the risk of personal liability as a director or manager.
“This is where Management Liability insurance* comes in, as it’s designed to provide protection to both the business and its directors or officers for claims of wrongful acts in the management of the business,” says Sharon.
“If your beautician business doesn’t have the most suitable insurance, it’s an easy fix with BizCover. Just jump online, compare from multiple quotes and pick the policy that’s right for you.”
While there are many perks to running your own spa, clinic or retreat business, overseeing everything can get quite dramatic. Luckily with BizCover, business insurance doesn’t have to be. Visit bizcover.com.au or give us a call today – no dramas!
* This information is general only and does not take into account your objectives, financial situation or needs. It should not be relied upon as advice. As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording. © 2022 BizCover Pty Limited, all rights reserved.
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