Financing Hairdresser Furniture: Everything You Need to Know

What is a startup fee?

The startup fee is paid to register you with the leasing/finance company. Some claim they have no fee, but these often just have a higher residual value.

What is a monthly payment?

Your monthly payment is the amount you must pay each month during the contract period to finance your furniture.

What is residual value – and why is it so important?

Residual value is the amount you still owe when your financing period ends. For example, if a company says you pay 680 DKK per month for 36 months, but the contract states a residual value of 10,000 DKK, you still have to pay that 10,000 DKK after the 36 months. That’s why it’s important to know exactly what the residual value is, so you don’t get an unpleasant surprise. With us, the residual value is always only 100 DKK. This gives you transparency, so you know you won’t suddenly end up with a large final bill.

Financing, installment payment, and leasing – what’s the difference?

Many hairdressers ask: “Is financing the same as leasing?” The answer is that there are some small accounting differences, but in everyday life, you will experience them very similarly. You get your furniture now and pay off over time. Whether it’s called financing, installment payment, or leasing, you should look for:

• Monthly payment (how is it calculated?)
• Interest and fees (are there hidden costs?)
• Residual value (how much do you owe at the end?)

Is it risky to owe money?

For some, owing money can feel scary. But the truth is that most salons borrow money from somewhere – either through the bank or via a finance company. The advantage of financing your furniture is that you:

1. Don’t have to wait to open your dream salon until you’ve saved up.
2. Can start with the furniture you want and let the earnings help pay off the loan.

As long as you manage your monthly budget, it’s no more “risky” to owe a leasing/finance company than a bank.

How we help you: Transparency from start to finish

We do our utmost to make financing simple and clear for you:

1. Setup: 400 DKK. This is the only startup fee we charge.
2. Financing options from 12 to 48 months. We typically recommend 12-36 months so you don’t pay off your furniture for too long.
3. Always a residual value of 100 DKK. You don’t have to worry about an overwhelming final payment.
4. Credit approval for everyone’s sake. Our leasing partner checks that you (and your salon) can afford the monthly payment. This ensures no one gets a deal that’s hard to manage.
5. No financing under 6,000 DKK. We don’t show financing prices under 6,000 DKK because it usually isn’t worthwhile for you. We could ignore this, but we don’t :)
6. Financing price per product. If the product costs over 6,000 DKK, you can see what each product costs per month directly on the product page.
7. Total financing price in the cart. If your cart is over 6,000 DKK excl. VAT, the total monthly amount is shown in the cart – no surprises.
8. You cannot activate/start financing directly in the webshop – you request it. We handle each case manually to ensure you get the best deal and a clear agreement without surprises.

Frequently Asked Questions

Can I get out of an agreement early?

Yes, absolutely. For example, if you have 10 months left at 680 DKK/month, you pay 6,800 DKK plus 100 DKK residual value to exit the agreement. It’s simple and without extra hidden fees.

Is there a minimum price for financing?

You can finance from 6,000 DKK excl. VAT, but it usually only makes real sense from 10,000 DKK and up, so the payment isn’t too low compared to fees.

How do I commit, exactly?

You commit for the contract period, which is usually 36 months. However, you can choose anywhere between 12 and 48 months, depending on what suits your finances best.

What does “credit approval” mean?

It means our leasing partner assesses whether you are creditworthy. They want to ensure you can pay the agreed monthly payment. This benefits both you and us, as the agreement is realistic. It wouldn’t be good if you got a deal you couldn’t afford.

Are my furniture items insured?

If your own insurance doesn’t cover financed furniture, the leasing company offers insurance. If your insurance already covers it, you can often decline extra insurance and save some money. It mainly covers fire and theft, so check your own insurance before signing.

Is there a warranty on the furniture?

Yes! Just Add People always provides at least a 1-year warranty on technical and mechanical parts. If something breaks during the warranty period, we are ready to help.

Is there anything I can’t finance?

Yes, consumables like scissors, combs, cotton, and shampoo are not financed, as they are considered ongoing operating costs.

In short

Financing is a safe and flexible way for you to get the furniture you dream of without having to pay a large amount all at once. The secret to a good experience is transparency: Know your monthly payment, your contract length – and your residual value. That way, you avoid an unpleasant surprise when the agreement ends.

Do you have questions or want to hear about your options?
Feel free to contact us – we’ll find a solution that fits you and your salon. Financing should be easy and worry-free, so you can focus on cutting, coloring, and pampering your clients.

Photo: Andeby.dk