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Contents
- Operating practices
- Jargon and special features
- Sales mix
- Seasonality
- Factors affecting sales
- Prime records
- Customers, terms offered
- Suppliers, terms obtained
- Trade specific legislation
- General legislation
- Health and safety legislation
- Employment legislation
- Licensing requirements
- Sources of further information
Performance indicators
Other key ratios
Other key ratios for analysing the performance of this type of business are given below;
(These are median sector averages, for the most recent year available)
For businesses in the personal services sector (including hairdressers);
- Rate of stock turnover - 39.3
- Return on capital - 13.4%
- Return on assets - 4.9%
- Quick ratio - 0.7
- Working capital ratio - 0.9
Source; Dun and Bradstreet International Key Business Ratios
For hairdressing salons;
- Debtor days - 0 days
- Creditor days - 37 days
- Stock/purchases - 4 weeks
Source; Parkes Research