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Matthew Stinnett
Nov 5, 20244 min read

Potential Election Effects on Salon Suite Renters and Owners: What to Prepare for.


Table of Contents


  1. Introduction

  2. Potential Impacts of Kamala Harris’s Cabinet on Salon Owners

  3. Potential Impacts of Donald Trump’s Cabinet on Salon Owners

  4. Preparing for a Volatile Economic Landscape

  5. Tax Code Changes and Implications for Small Business Tenants

  6. Conclusion

Donkey and Elephant shaking hands
Donkey and Elephant shaking hands

Introduction: Election Outcome Effects on Salon Suites


As election season approaches, salon owners and suite renters are considering how the election outcome may effect the salon suite businesses. With economic uncertainty on the rise, salon professionals are closely examining policies from each candidate, evaluating their effects on costs, taxes, and planning. For those managing rising energy costs, The Savvy Energy offers a trusted source for energy advisory. This article explores how the candidates’ policies could reshape the landscape for salon owners and suite renters, equipping them with resources for navigating these changes.


Potential Impacts of Kamala Harris’s Cabinet on Salon Owners


If Kamala Harris were to assume the presidency, her administration would likely emphasize a progressive economic stance, with a focus on small business support. Heather Boushey and Cecilia Rouse, known for their labor economics expertise, would likely guide policies that impact hiring and wage structures for small businesses like salons [1].


The Small Business Administration (SBA), led by Isabel Guzman, would be a likely resource for salon owners, potentially expanding microloans and financial assistance programs, especially for self-employed or minority-owned businesses [2]. Harris’s administration could increase funding for grants or loan forgiveness to bolster these programs.


On the sustainability front, Harris would likely prioritize green energy policies that could offer salon owners incentives for energy efficiency. Resources like the Database of State Incentives for Renewables & Efficiency (DSIRE) could provide guidance on green financing options for salon suite renters looking to reduce utility costs through energy-efficient upgrades.


Potential Impacts of Donald Trump’s Cabinet on Salon Owners


A Donald Trump administration would likely focus on deregulation and tax reductions, emphasizing free-market policies advocated by advisors like Larry Kudlow and Steven Mnuchin [3]. Trump’s push to lower taxes and streamline business regulations could alleviate some operational burdens for salon owners and suite renters. However, fewer federal protections may impact wage structures and benefit offerings.


In terms of energy policy, Trump’s administration would likely focus on traditional energy sources, aiming to keep energy costs low by reducing regulatory restrictions. However, salon owners seeking stability may benefit from exploring fixed-rate energy contracts through resources like the U.S. Department of Energy, which offers insights into energy contracts and market trends, helping small businesses manage costs long-term.


For small businesses navigating tax regulations, the National Federation of Independent Business (NFIB) [4] provides valuable tools and guides to understand the impact of potential tax policies and advocate for small business needs at the legislative level.


Preparing for a Volatile Economic Landscape


Economists are signaling that a recession may be on the horizon, regardless of the election outcome [5]. For salon owners and suite renters, who often operate with narrow profit margins, planning for this uncertainty is critical. Consider these strategies:


1. Budgeting with Flexibility: Maintaining a flexible budget allows salon owners to adapt to changes in revenue. Resources like SCORE, a nonprofit offering free business mentorship and financial guidance, can help salon owners craft recession-resilient budgets.

2. Building Cash Reserves: Building a reserve fund is essential to handle periods of lower foot traffic or higher expenses. The Small Business Development Centers (SBDCs) [6 offer tools for building cash reserves and financial planning.

3. Energy Cost Management: With energy costs rising, especially in climate-controlled environments, efficient energy use is key. The U.S. Environmental Protection Agency’s (EPA) ENERGY STAR program [7] provides resources for identifying energy-efficient appliances and reducing utility costs, which could help salons lower overhead in challenging economic conditions.


When facing lease renegotiations, salon owners might leverage the current economic climate to secure favorable terms. The International Council of Shopping Centers (ICSC) [8] provides resources on retail leasing and negotiation tips that can be especially useful for suite renters.


Tax Code Changes and Implications for Small Business Tenants


Each candidate’s administration would likely propose changes to the tax code, impacting small business owners, particularly those renting commercial spaces.


Under a Harris administration, small business tax credits may expand, potentially lowering the tax burden for salon owners [9]. New deductions for businesses investing in green technology could further support salon owners interested in sustainability.


Trump, by contrast, would likely push to extend current tax cuts and potentially reduce the self-employment tax, benefiting sole proprietors like salon suite renters [10]. His policies would likely preserve broad tax deductions, favoring salon professionals who wish to write off business-related expenses.


To understand the impact of these potential tax code changes, salon owners can consult resources like IRS Small Business and Self-Employed Tax Center for guidance on available deductions and tax credits. Small business owners may also find the National Association for the Self-Employed (NASE) beneficial for navigating complex tax issues.


Conclusion


As the election nears, salon owners and suite renters face critical decisions that will shape their businesses’ future. Each candidate’s policies have distinct implications for energy costs, tax burdens, and economic stability. While government policies can create both opportunities and challenges, small business owners who stay informed and utilize resources like The Savvy Energy, as well as the many other tools mentioned, will be better prepared to navigate these changes.


Regardless of the election’s outcome, salon owners and suite renters should prioritize resilience, flexibility, and proactive financial planning. By monitoring policy changes and consulting reliable resources, salon professionals can position themselves to thrive in a changing landscape and continue providing valuable services to their clients.


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