Tattoo Shop Business Plan Template

Written by Dave Lavinsky

Tattoo Shop Business Plan

You’ve come to the right place to create your Tattoo Shop business plan.

We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Tattoo Shops.

Below is a template to help you create each section of your Tattoo Shop business plan.

Executive Summary

Business Overview

Wild Ink is a startup tattoo shop business located in Sturgis, North Dakota. The business was founded by Damien Harness, a tattoo artist who learned his craft over twenty years ago and has been employed as a tattoo artist by tattoo shop owners since his apprenticeship. During last year, he recognized that the way to build a sustainable business in the manner in which he believed would best benefit both the customer and a business would be to start a tattoo business himself. He spent the past six months recruiting others to join his staff after the launch of the business.

Wild Ink will provide a comprehensive and highly-detailed array of premier tattoo designs and styles from which to choose and the artists will assist customers in designing their own tattoos, if requested. The business utilizes premier inks and conforms to all hygiene requirements in order to provide customers with a stellar tattoo each time, all the time.

 

Product Offering

The following are the services that Wild Ink will provide:

  • 100% guarantee of clean and safe environment, tools and all inking products used
  • Customer satisfaction is a primary driver of the company; an unhappy customer receives a refund without any questions asked.
  • Unique tattooing experience that includes amenities such as lotions, tattoo balm, wipes and other “care items.”
  • Self-expression and personal transformation are encouraged and affirmed
  • Exceptional artistry by our highly-experienced tattoo artists guarantees the “look” you want from your tattoo experience
  • Serious tattoo enthusiasts may choose from specialty inks and styles
  • Cover-ups, black and gray, color tattoos, traditional, and contemporary styles.
  • Discount packages for couples and groups who choose to be tattooed at the same appointment

 

Customer Focus

Wild Ink will focus on all residents-of-age of Sturgis, North Dakota. They will also focus on visitors, particularly those during the yearly Sturgis Motorcycle Rally, where over 500,000 motorcycle riders spent weeks at the Sturgis location. This event creates the largest tattoo audience and customer base for the tattoo artists in Sturgis and the surrounding areas. Wild Ink will also target couples who are celebrating an event, such as a wedding or anniversary. Wild Ink will target event planners and party coordinators to include tattooing services at their next large event. Wild Ink will create tattoos as part of a business “team-building” activity, if called upon for that service, as well.

 

Management Team

Wild Ink Tattoo Shop will be owned and operated by Damien Harness. He recruited four of his associate tattoo artists to join him in this new venture and he recruited two administrative assistants to join the startup business, as well.

The business was founded by Damien Harness, a tattoo artist who learned his craft over twenty years ago and has been employed as a tattoo artist by tattoo shop owners since his apprenticeship. During last year, he recognized that the way to build a sustainable business in the manner in which he believed would best benefit both the customer and a business would be to start a tattoo business himself. He spent the past six months recruiting others to join his staff after the launch of the business.

Tomas Klinkhofer has been a tattoo artist associate of Damien’s for over ten years. During their years of working side-by-side, they’ve both improved their artistry because of the encouragement and solid advice of the other. Tomas will take on the role of Senior Tattoo Artist in the shop.

Three former tattoo artist associates, John Eisen, Tommy Parisi, and Duane Hofer, will join the Wild Ink Tattoo Shop team. Each has extensive experience working as tattoo artists for a variety of business owners, and each has cultivated a carefully curated cadre of styles and designs they prefer. The collective artistry group will be Tattoo Artists, overseen by Jill Arden, the Administrative Manager for the business.

 

Success Factors

Wild Ink will be able to achieve success by offering the following competitive advantages:

  • Friendly, knowledgeable, and highly qualified team at Wild Ink Tattoo Shop
  • Comprehensive menu of products and services to suit every taste
  • Multiple ink platforms, none of which have metal or other chemical or foreign substances embedded in the ink.
  • Custom-designed and personal design choices are premium prices; however, these designs consistently receive premium attention at the same time.
  • The pricing structure of Wild Ink is the most effective and a handy monthly payment plan places tattoos into the lives of many potential customers as a result.

 

Financial Highlights

Wild Ink is seeking $200,000 in debt financing to launch its custom tattoo shop. The funding will be dedicated toward securing the office space and purchasing office equipment and supplies. Funding will also be dedicated toward three months of overhead costs to include payroll of the staff, rent, and marketing costs for the print ads and marketing costs. The breakout of the funding is below:

  • Office space build-out: $20,000
  • Office equipment, supplies, and materials: $10,000
  • Three months of overhead expenses (payroll, rent, utilities): $150,000
  • Marketing costs: $10,000
  • Working capital: $10,000

The following graph outlines the financial projections for Wild Ink.

Wild Ink Pro Forma Projections

 

Company Overview

Who is Wild Ink?

Wild Ink is a newly established, full-service tattoo shop in Sturgis, North Dakota. Wild Ink will be the most reliable, cost-effective, and totally hygienic tattoo shop for residents in Sturgis and the surrounding communities. Wild Ink will provide a comprehensive menu of tattoo products and services for any customer to utilize. Their full-service approach includes a comprehensive array of tattoo designs, styles and color palettes of ink choices.

 
Wild Ink Tattoo Shop will be able to serve residents and visitors during the yearly Sturgis Motorcycle Rally by providing additional tattoo artists and expanding the shop into several pop-up stores throughout Sturgis. The team of professionals are highly qualified and experienced in custom tattoos, designs, styles and ink selections. Wild Ink removes all fears, headaches and concerns of the tattoo customer and ensures all questions are answered while delivering the best customer service.

 

Wild Ink History

Wild Ink is owned and operated by Damien Harness, a tattoo artist who learned his craft over twenty years ago and has been employed as a tattoo artist by tattoo shop owners since his apprenticeship. During last year, he recognized that the way to build a sustainable business in the manner in which he believed would best benefit both the customer and a business would be to start a tattoo business himself. He spent the past six months recruiting others to join his staff after the launch of the business.

Since incorporation, Wild Ink has achieved the following milestones:

  • Registered Wild Ink, LLC to transact business in the state of North Dakota.
  • Has a contract in place for a 10,000 tattoo shop and office at one of the buildings directly on the Sturgis Motorcycle Rally parade route.
  • Reached out to numerous contacts and clients to move their business to Wild Ink.
  • Began recruiting a staff of four tattoo artists and two office personnel to work at Wild Ink.

 

Wild Ink Services

The following will be the services Wild Ink will provide:

  • 100% guarantee of clean and safe environment, tools and all inking products used
  • Customer satisfaction is a primary driver of the company; an unhappy customer receives a refund without any questions asked.
  • Unique tattooing experience that includes amenities such as lotions, tattoo balm, wipes and other “care items.”
  • Self-expression and personal transformation are encouraged and affirmed
  • Exceptional artistry by our highly-experienced tattoo artists guarantees the “look” you want from your tattoo experience
  • Serious tattoo enthusiasts may choose from specialty inks and styles
  • Cover-ups, black and gray, color tattoos, traditional, and contemporary styles.
  • Discount packages for couples and groups who choose to be tattooed during the same appointment.

 

Industry Analysis

The tattoo artistry industry is expected to grow over the next five years to over $69,582 million.
The growth will be driven by individuals aged 18-40 who are looking for unique, personalized tattoos.
The growth will also be driven by a niche market of tattoo enthusiasts seeking specific styles or themes.
The growth will be driven by an increase in the size of the tattoo participants and the new varieties of tattoos that will become known through AI or other technological adaptations in the future.
The growth will also be driven by an increase in custom designs, cover-ups, black and grey, color tattoos, traditional, and contemporary styles.
The growth will also be driven by a steady increase in trends, techniques, and safety protocols for tattoos.
Costs will likely be reduced as materials and natural resources for inks become more plentiful as a result of demand.

 

Customer Analysis

Demographic Profile of Target Market

Wild Ink will focus on all residents-of-age of Sturgis, North Dakota. They will also focus on visitors, particularly those during the yearly Sturgis Motorcycle Rally, where over 500,000 motorcycle riders spent weeks at the Sturgis location. This event creates the largest tattoo audience and customer base for the tattoo artists in Sturgis and the surrounding areas. Wild Ink will also target couples who are celebrating an event, such as a wedding or anniversary. Wild Ink will target event planners and party coordinators to include tattooing services at their next large event. Wild Ink will create tattoos as part of a business “team-building” activity, if called upon for that service, as well.

The precise demographics for Wild Ink are:

TotalPercent
    Total population1,680,988100%
        Male838,67549.9%
        Female842,31350.1%
        20 to 24 years114,8726.8%
        25 to 34 years273,58816.3%
        35 to 44 years235,94614.0%
        45 to 54 years210,25612.5%
        55 to 59 years105,0576.2%
        60 to 64 years87,4845.2%
        65 to 74 years116,8787.0%
        75 to 84 years52,5243.1%

 

Customer Segmentation

Wild Ink will primarily target the following customer profiles:

  • Of-age residents within the Sturgis regional areas
  • Visitors to the Sturgis Motorcycle Rally (once yearly)
  • Couples who are celebrating special events
  • Party planners and event coordinators
  • Business-related team building activities

 

Competitive Analysis

Direct and Indirect Competitors

Wild Ink will face competition from other companies with similar business profiles. A description of each competitor company is below.

 

Ink My Bod 4 Less

Ink My Bod 4 Less is a business concept built by Jim Ness and Turkey Jackson, two young tattoo artists from Beauregard, Georgia and put into business with the concept that tattoos can be “quickly and expertly applied” without long tattoo sessions or inconvenience. Ink My Bod 4 Less is a company that offers quick tattoos in sessions of 30 minutes or less. While customized tattoo designs, styles and special inks are unavailable, the reasonable time spent and the budget prices involved have captured the attention of the 16-25 aged demographic.

Jim Ness and Turkey Jackson believe they have the grounding to expand their business with their unique concept; within five years they now plan to franchise the tattoo business and concept throughout the U.S. and are currently offering the franchise opportunity to select associates. The costs for the franchise are as yet unknown and other details, such as the training of the tattoo artists and the hygienic establishment regulations, have not yet been revealed.

 

Indian Henna & Tattoo Boutique

Indian Mehndi, or “Henna” tattoo application is an ancient expression of certain rituals and events in a woman’s life. The Indian Henna & Tattoo Boutique located in Sturgis, North Dakota, caters to younger women between the ages of 18 and 35, with exceptions being large ceremonial events, where all women will receive henna tattoos. The art of henna is luxurious, complicated and meaningful in the lore of Indian culture, therefore the henna itself must be pure and applied with the oversight of a religious person.

The Indian Henna & Tattoo boutique was launched in 2020 by Tim and Diane White, two entrepreneurs who believed this ancient art would soon make its way into the mainstream market. Due to the meaning behind the henna application and the very small demographic target audience of Indian residents, the Indican Henna & Tattoo Boutique has not grown since the launch of the business. However, most young women have visited at least once to enjoy the soothing music and artful application of henna to one’s hands.

 

Striker’s Tattoo World

Striker’s Tattoo World was started in 2021 by Jake Robertson. Jake believed the best way to express oneself was through highly-stylized tattoos and he currently has over 70% of his body covered with secular and religious tattoos. Jake expressed his love for others in the community by offering free tattoo sessions and extended-time appointments, however, Jake’s interest in the company has waned since he began servicing and selling computers to area businesses, and the business has not grown since its inception some months ago. There are two buyers considering the purchase of Striker’s Tattoo World; however, Jake Robertson is holding firm for a better offer down the road. His largest demographic is the women, ages 18-40, who want cute designs, animals and icons that represent themselves.

 

Competitive Advantage

Wild Ink will be able to offer the following advantages over their competition:

  • Friendly, knowledgeable, and highly qualified team at Wild Ink Tattoo Shop
  • Comprehensive menu of products and services to suit every taste
  • Multiple ink platforms, none of which have metal or other chemical or foreign substances embedded in the ink.
  • Custom-designed and personal design choices are premium prices; however, these designs consistently receive premium attention at the same time.
  • The pricing structure of Wild Ink is the most effective and a handy monthly payment plan places tattoos into the lives of many potential customers as a result.

 

Marketing Plan

Brand & Value Proposition

Wild Ink will offer the unique value proposition to its clientele:

  • Highly-qualified team of skilled employees who are able to provide a comprehensive array of products and service for tattoo clients.
  • Custom-designed and personal design choices are premium prices; however, these designs consistently receive premium attention at the same time.
  • The pricing structure of Wild Ink is the most effective and a handy monthly payment plan places tattoos into the lives of many potential customers as a result.

 

Promotions Strategy

The promotions strategy for Wild Ink is as follows:

Word of Mouth/Referrals

Wild Ink has built up an extensive list of former clients and contacts over the years by providing exceptional service and premium inks for his clients. Customers will follow him to his new company and help spread the word of Wild Ink.

Social Media Marketing

Social media channels will be extensively used to display the custom tattoos of Wild Ink and to encourage customers who may be hesitant to give it a try with a money-back guarantee. Several designs and styles will be highlighted on social media channels and models will demonstrate in short reels the beauty and configurations that enhance body performance.

Website/SEO Marketing

Wild Ink will fully utilize their website. The website will be well organized, informative, and list all the products and services that Wild Ink provides. The website will also list their contact information and available reservation times so customers do not need to walk in and wait for service. Wild Ink’s website presence will utilize SEO marketing tactics so that anytime someone types in the Google or Bing search engine “Tattoo company” or “Tattoo near me”, Wild Ink will be listed at the top of the search results.

 

Pricing

The pricing of Wild Ink will be moderate and on par with competitors so customers feel they receive excellent value when purchasing their services.

 

Operations Plan

The following will be the operations plan for Wild Ink.
Operation Functions:

  • Damien Harness will be the Owner and President of the company. He will provide the vision for the company and encourage new client buyers. Damien has spent the past 6 months recruiting the following staff:
  • Tomas Klinkhofer will be the Senior Tattoo Artist in the shop and will assist in management of the scheduling.
  • John Eisen will join the Wild Ink team as a Tattoo Artist. He will concentrate on specilized inks
  • Tommy Parisi will also take on the role of Tattoo Artist, and his focus will be on serving women with unique artwork
  • Duane Hofer will be a Tattoo Artist and will focus on standard designs and styles for a more generic look and price point.
  • Jill Arden, a former tattoo shop manager, will take on the role of Administrative Manager for the business.

 

Milestones:

Wild Ink will have the following milestones completed in the next six months.

  • 5/1/202X – Finalize contract to lease shop and office space
  • 5/15/202X – Finalize personnel contracts for the Wild Ink
  • 6/1/202X – Finalize contracts for Wild Ink suppliers
  • 6/15/202X – Begin networking at industry events
  • 6/22/202X – Begin moving into Wild Ink shop and office
  • 7/1/202X – Wild Ink opens its shop and office for business

 

Management Team

Wild Ink Tattoo Shop will be owned and operated by Damien Harness. He recruited four of his associate tattoo artists to join him in this new venture and he recruited two administrative assistants to join the startup business, as well.

The business was founded by Damien Harness, a tattoo artist who learned his craft over twenty years ago and has been employed as a tattoo artist by tattoo shop owners since his apprenticeship. During last year, he recognized that the way to build a sustainable business in the manner in which he believed would best benefit both the customer and a business would be to start a tattoo business himself. He spent the past six months recruiting others to join his staff after the launch of the business.

Tomas Klinkhofer has been a tattoo artist associate of Damien’s for over ten years. During their years of working side-by-side, they’ve both improved their artistry because of the encouragement and solid advice of the other. Tomas will take on the role of Senior Tattoo Artist in the shop.

Three former tattoo artist associates, John Eisen, Tommy Parisi, and Duane Hofer, will join the Wild Ink Tattoo Shop team. Each has extensive experience working as tattoo artists for a variety of business owners, and each has cultivated a carefully curated cadre of styles and designs they prefer. The collective artistry group will be Tattoo Artists, overseen by Jill Arden, the Administrative Manager for the business.

 

Financial Plan

Key Revenue & Costs

The revenue drivers for Wild Ink are the fees they will charge to customers for their tattoo products and services.

The cost drivers will be the overhead costs required in order to staff Wild Ink. The expenses will be the payroll cost, rent, utilities, office supplies, and marketing materials.

 

Funding Requirements and Use of Funds

Wild Ink is seeking $200,000 in debt financing to launch its tattoo shop business. The funding will be dedicated toward securing the shop and office space and purchasing office equipment and supplies. Funding will also be dedicated toward three months of overhead costs to include payroll of the staff, rent, and marketing costs for the marketing and association memberships. The breakout of the funding is below:

  • Office space build-out: $20,000
  • Office equipment, supplies, and materials: $10,000
  • Three months of overhead expenses (payroll, rent, utilities): $150,000
  • Marketing costs: $10,000
  • Working capital: $10,000

 

Key Assumptions

The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.

  • Number of Customers Per Month: 89
  • Average Revenue per Month: $66,750
  • Office Lease per Year: $100,000

 

Financial Projections

Income Statement
FY 1FY 2FY 3FY 4FY 5
Revenues
Total Revenues$360,000$793,728$875,006$964,606$1,063,382
Expenses & Costs
Cost of goods sold$64,800$142,871$157,501$173,629$191,409
Lease$50,000$51,250$52,531$53,845$55,191
Marketing$10,000$8,000$8,000$8,000$8,000
Salaries$157,015$214,030$235,968$247,766$260,155
Initial expenditure$10,000$0$0$0$0
Total Expenses & Costs$291,815$416,151$454,000$483,240$514,754
EBITDA$68,185 $377,577 $421,005 $481,366 $548,628
Depreciation$27,160$27,160 $27,160 $27,160 $27,160
EBIT$41,025 $350,417 $393,845$454,206$521,468
Interest$23,462$20,529 $17,596 $14,664 $11,731
PRETAX INCOME$17,563 $329,888 $376,249 $439,543 $509,737
Net Operating Loss$0$0$0$0$0
Use of Net Operating Loss$0$0$0$0$0
Taxable Income$17,563$329,888$376,249$439,543$509,737
Income Tax Expense$6,147$115,461$131,687$153,840$178,408
NET INCOME$11,416 $214,427 $244,562 $285,703 $331,329
Balance Sheet
FY 1FY 2FY 3FY 4FY 5
ASSETS
Cash$154,257$348,760$573,195$838,550$1,149,286
Accounts receivable$0$0$0$0$0
Inventory$30,000$33,072$36,459$40,192$44,308
Total Current Assets$184,257$381,832$609,654$878,742$1,193,594
Fixed assets$180,950$180,950$180,950$180,950$180,950
Depreciation$27,160$54,320$81,480$108,640 $135,800
Net fixed assets$153,790 $126,630 $99,470 $72,310 $45,150
TOTAL ASSETS$338,047$508,462$709,124$951,052$1,238,744
LIABILITIES & EQUITY
Debt$315,831$270,713$225,594$180,475 $135,356
Accounts payable$10,800$11,906$13,125$14,469 $15,951
Total Liability$326,631 $282,618 $238,719 $194,944 $151,307
Share Capital$0$0$0$0$0
Retained earnings$11,416 $225,843 $470,405 $756,108$1,087,437
Total Equity$11,416$225,843$470,405$756,108$1,087,437
TOTAL LIABILITIES & EQUITY$338,047$508,462$709,124$951,052$1,238,744
Cash Flow Statement
FY 1FY 2FY 3FY 4FY 5
CASH FLOW FROM OPERATIONS
Net Income (Loss)$11,416 $214,427 $244,562 $285,703$331,329
Change in working capital($19,200)($1,966)($2,167)($2,389)($2,634)
Depreciation$27,160 $27,160 $27,160 $27,160 $27,160
Net Cash Flow from Operations$19,376 $239,621 $269,554 $310,473 $355,855
CASH FLOW FROM INVESTMENTS
Investment($180,950)$0$0$0$0
Net Cash Flow from Investments($180,950)$0$0$0$0
CASH FLOW FROM FINANCING
Cash from equity$0$0$0$0$0
Cash from debt$315,831 ($45,119)($45,119)($45,119)($45,119)
Net Cash Flow from Financing$315,831 ($45,119)($45,119)($45,119)($45,119)
Net Cash Flow$154,257$194,502 $224,436 $265,355$310,736
Cash at Beginning of Period$0$154,257$348,760$573,195$838,550
Cash at End of Period$154,257$348,760$573,195$838,550$1,149,286


Tattoo Shop Business Plan FAQs

A tattoo shop business plan is a plan to start and/or grow your tattoo shop business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can easily complete your Tattoo Shop business plan using our Tattoo Shop Business Plan Template here.

There are a number of different kinds of tattoo shop businesses, some examples include: Retail location tattoo shop, Neighborhood tattoo shop, and Traveling tattoo business.

Tattoo Shop businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.

Starting a tattoo shop business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Tattoo Shop Business Plan - The first step in starting a business is to create a detailed tattoo shop business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast. 

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your tattoo shop business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your tattoo shop business is in compliance with local laws.

3. Register Your Tattoo Shop Business - Once you have chosen a legal structure, the next step is to register your tattoo shop business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.

4. Identify Financing Options - It’s likely that you’ll need some capital to start your tattoo shop business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.

7. Acquire Necessary Tattoo Shop Equipment & Supplies - In order to start your tattoo shop business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation.

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your tattoo shop business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful tattoo shop business: