How to Start a Hair Business: A Complete Guide to Success 2025

With the improved living standards also comes the rising demands for beauty and hair products. Indeed, in today’s world, more and more women are leaning toward buying wigs, extensions, as a way to elevate their hair look, leading to an extremely lucrative, yet competitive hair market. Such a phenomenon has posed both a threat and an opportunity for hair sellers, as it can create a highly profitable business, while challenging entrepreneurs with its highly complex demands and market trends. To take part in the hair industry, as well as create a stable foundation for your brand, it is crucial for new beginners and small businesses who want to learn how to start a hair business to be well-informed with the current hair market insights, and arrange a detailed business plan for development.

This article will provide just that, and even more, telling you the hidden market secrets, as well as a thorough guide on how to start a hair business properly.

Starting a hair business is no easy task - we can help!
Starting a hair business is no easy task – we can help!

1. Why do you need to start a hair business?

If you’ve ever wondered how to start a hair business that combines beauty, fashion, and profitability, the hair extensions and wigs industry might be your ideal choice. Indeed, the hair industry is among the most profitable investment fields in the market right now. Indeed, according to Grand View Research, the global wigs and hair extensions market has been valued at $6.48 billion in 2022, and is estimated to double by 2030, with its CAGR (Compound Annual Growth Rate) of 8.4%. Such figures promise a highly lucrative business investment opportunity, as well as promising a bright future for hair business owners in the following years.

The aforementioned rapid growth is rarely by coincidence. In fact, the increasing sales of wigs, hair extensions and other related products are driven by many factors:

  • Social media: with popular platforms such as Instagram, Facebook, TikTok,… social media has indeed affected the global hair consumption. In fact, influenced by celebrities and influencers appearing in lustrous, thick hair, more and more women are likely to purchase wigs, hair extensions in order to achieve the same hair look as their idols. Furthermore, brands taking advantage of this buying patterns, are actively teaming up with influencers, huge social media presences, to promote their products and attract even more customers.
How to Start a Hair Business 1
Social media’s influence on the hair industry
  • E-commerce platform: in today’s world, thanks to technological advancement and the development of information technologies, online shopping has become available in many regions across the globe. Thus, this prominence has made it easier for hair buyers worldwide to gain access to fast, convenient purchasing experiences, as well as making hair products more accessible to a wider customer base. As a result, clients are more prone to purchasing, and hair business owners are able to expand their platform to a much bigger audience.
  • Improved living qualities: with the improved living standards, also comes the rising demands for hair products. Indeed, as the global economy is witnessing rapid growth over the years, living standards have improved in many regions worldwide. As for the female population, they also possess more spending power and financial stability to invest in their appearance and hair look. Such reasons are behind the increasing demands for hair products, as well as the competitiveness of the market.

Learning how to start a hair business in the industry can seem overwhelming, but with the right preparation, anyone can build a profitable, sustainable brand.

How to Start a Hair Business
Hair business is particularly profitable

2. What type of hair can you sell

Before making a debut, it is necessary for all businesses to gather enough information regarding different product lines and hair types in the market. Such information is extremely useful, as it helps you decide which niche and product lines best suit your brand’s orientation, as well as your target audience’s interests.

In terms of products, the existing categories might include: (defi, features, perks, pricing)

  • Wigs: are used to cover the entire head area, transforming and creating a whole new hair look. Wigs can come in many variations: full lace wigs, 360 lace wigs, frontal lace wigs, U-part/V-part wigs,… Statistically, wigs account for a vast majority of the hair market (75%), mainly thanks to its convenience and fast-installation.
  • Hair wefts: a type of hair extensions, mainly used in the traditional sew-in method. Hair wefts are the more affordable product line compared to wigs, widely-used in the African American hair community. Its sew-in method can create the most long-lasting and durable hair results, lasting up to 1-2 months per install.
  • Closures: hand-tied hair products, created by hand-crocheting each strand of hair onto a sheer lace base. Hence, closures are also the thinnest, most delicate hair extensions, covering the top head and frontal hair line, blending seamlessly to the user’s natural scalp. Closures can come in different sizes: 2×6, 4×4, 5×5, 6×6, 13×4, 13×6,…
Thin lace and small knots of a closure
Thin lace and small knots of a closure
  • Clip-ins: one of the most convenient hair extension products. Featuring small clips sewn into the wefts, clip-ins, much like their name, can be attached to the user’s hair using these small clips, creating instant volume within minutes. Thanks to its fast-installation, clip-ins are the go-to choice for daily extensions use, without requiring help from tools or professionals.
  • Tape-ins: one of the best options for convenience. Tape-ins, like the name might refer, feature a small double-sided tape at the root of the hair. Once the protection seal is taken off, the product can be attached to the user’s natural hair, adding instant volume, without needing tools or stylists’ help.
  • Tip hair: a type of keratin hair extensions, can be heat-activated using styling iron to melt the keratin glue and attached to the user’s original hair. Tip hair can have many variations: I-tip, U-tip, Flattip, V-tip,… distinguished by the shape of their keratin ends. Beside the traditional keratin heads, some Tip hair also feature micro-rings, which can be crocheted to the wearer’s hair – a non-damaging extension method.
Keratin Tip hair
Keratin Tip hair

When planning how to start a hair business, new entrepreneurs should carefully select between wigs, wefts, closures, and other hair types based on their target customers.

In terms of hair lines, most of the high-quality hair in the market is human hair collected from authentic human donors. In fact, such a hair is the perfect choice for new beginners, as it possesses many desirable traits such as softness, durability and versatility, which are sure to deliver the most positive feedback for your business. Based on their different characteristics and affordability, human hair can be divided into two groups:

  • Virgin hair: Virgin hair is the most premium hair quality out there. Strictly single-donor, meaning that the hair is collected from one donor only and is completely chemical-free, Virgin hair is inherently limited in supply source, leading to its higher pricing. However, Virgin hair best imitates our natural hair, carrying many desirable traits such as softness, cuticle alignment and performance. In terms of durability, Virgin hair can last up to more than 5 years under proper care. In terms of performance, Virgin hair can be styled repeatedly, and be bleached to as bright as #613.
  • Remy hair: Remy hair is the perfect combination of quality and low pricing. As it is collected from 2-3 donors, Remy hair often has a more abundant sourcing range than Virgin hair, leading to its affordable pricing. However, as it is collected from several heads, Remy hair might lack cuticle alignment, making it slightly more prone to tangling and shedding. However, it can still well-preserve some desired traits of Virgin hair, such as softness and gorgeous physical appeal. In terms of longevity, Remy hair can last up to 2-3 years, and in terms of hair use, Remy hair can be bleached to #27 honey blonde – showcasing its performance.
Different hair types have their own perks and drawbacks
Different hair types have their own perks and drawbacks

3. Where to Find a Reliable Hair Supplier

One of the crucial steps in the guide on how to start a hair business would definitely be finding a stable, reliable hair supplier to source your hair from. In the current market, the available hair manufacturers can be divided based on their nationality, pricing range and hair features:

3.1. Vietnam

Many entrepreneurs researching how to start a business in the hair sector often choose Vietnam as their first destination due to its quality and affordability.

Vietnam is home to one of the BEST hair lines in terms of quality and affordability. In fact, in recent decades, Vietnamese hair has soon been considered the World’s Finest Hair, highly favoured by customers worldwide. Such popularity is for a reason. In fact, Vietnamese hair has been reported to last longer, be able to withstand more styling options, and be bleached to brighter color by hair stylists and past customers across the globe.

The above features can only be seen in this particular hair line, as they are the combination of many unique characteristics of the country’s geographical location and its people’s traits. For example, the country’s favorable tropical monsoon climate and the people’s genetics provide the perfect condition for the hair’s development and features. Furthermore, the local’s hair care routines, as well as their natural-based diet also contribute in delivering the needed nutrients for the hair to be as durable, strong and lustrous as it is.

Vietnamese hair factories are the perfect business partner, as they secure both quality and affordability in their offerings. Over the years, many hair factories in Vietnam, including K-Hair, have built their facilities in the northern region – the richest hair source of the country, directly tapping into the source, taking full control of their supply and production process. Their hands-on manufacturing not only helps to provide the hair at large stock, but also lower the overall prices of their products. Such features make them the go-to supplier choice for consistent quality stock, with stable, reasonable factory-direct pricing.

Vietnamese hair
Vietnamese hair

3.2. India

For beginners exploring how to start a hair business with low capital, Indian hair offers one of the most cost-effective sources. Indeed, Indian hair is the biggest hair source in the market, even supplying raw materials for Chinese hair suppliers. Such large availability makes this particular hair line one of the most competitively-priced in the industry, while securing its stable, abundant export volume to distributors and businesses worldwide.

Indian hair’s impressive availability can be traced back to its population and abundant hair sources:

  • Temple hair: is the decent quality Indian hair. This hair source is collected from temples, after temple-goers cut their hair as part of a religious ritual in exchange for good fortune.
  • Hair balls: is the hair source to be avoided when stocking hair products for your business. Hair balls are mostly hair mess or tangled hair collected from trash, public places, and other unsanitized places.

The Indian hair industry lacks advanced technologies – this is not news. In fact, most of the hair collected will be treated manually or by chemical-based processes. With the nature of being thin, weak and naturally curly, Indian hair after being chemically treated tends to be much more fragile, more prone to breaking.

Indian hair is the largest supply in the market
Indian hair is the largest supply in the market

3.3. China

China is home to one of the largest and most well-established hair industries across the globe: taking up to ¾ of the overall hair market. They also possess the most advanced hair technologies and facilities in the field. Such advantage allows them to improve their productivity and quantity, mass-producing their offerings. Furthermore, the specialized and professional facility also allows them to create the most up-to-date, trend-forward hair textures and colors, pleasing the complex market demands worldwide.

However, most Chinese hair factories often source their hair from other countries such as Vietnam, Cambodian, which ultimately leads to a mixed, inconsistent hair quality and features among their products. Furthermore, their focus on machine-based production also negatively affected their overall quality uniformity.

Nowadays, in the market, the rising number of Chinese scammers also poses a threat to the Chinese hair vendors’ reliability and credibility. In fact, anyone learning how to start a hair business in the hair industry should also be cautious of inconsistent quality and scams from some Chinese vendors.

China is home to the biggest hair industry
China is home to the biggest hair industry

3.4. Cambodia

Cambodian hair is one of the smaller, more subtle hair sources in the market. In fact, most Cambodian hair is used as another raw hair source, supplying for Chinese hair factories in the market, mainly for its relatively impressive durability and longevity. Many Cambodian hair investors are actively making efforts to take control of their supply source and carry on production by themselves. However, their hair-specialized technologies are still highly limited, unable to compete with other large hair corporations in Vietnam and China.

4. How to start a hair business

Here are the broken-down, detailed steps on how to start a hair business successfully for new beginners and small businesses across the world:

4.1. Do your research

Before making any rash decision, it is crucial for all businesses to first gather an adequate amount of knowledge regarding the market and the products’ features: the market’s newest trends, the available vendor options, as well as the product’s hair types, features, and their target customer base.

In different geographical regions, hair demands and consumption patterns would vary accordingly. For example, in Africa, women are leaning toward sleek, bone-straight hair extensions and wigs, with striking and fun colors. On the other hand, in Europe or South America, buyers will be more likely to buy elegant, natural textures such as straight, body wave, water wave, with natural colors like blonde, light brown,…

Make sure to research the market first
Make sure to research the market first

4.2. Develop a Business plan

After acquiring enough information about the market, by now, you must have a clearer perspective of the market, as well as the hair lines you’re planning on investing in. By this time, you should arrange a business plan accordingly to ensure a stable foundation for your start-up.

This business plan must include:

  • Brand vision: a brief summary of the overall concept of your hair brand
  • Market analysis: a clear description of the hair industry, its trends, consumption patterns, your business rival, their advantages, as well as your target customer base.
  • Products and service: determining what product will you provide to your target customers, whether they are wefts, wigs, or other related products. Deciding on your policies and business terms.
  • Marketing and sales strategies: deciding by which methods will you use to attract your target audience and building your brand.
  • Budget estimation: do your calculations: your input prices, accommodations, taxes; estimate possible revenue and rearrange your pricing accordingly.

Just like learning how to start a hair business in any other field, developing a well-structured plan is key to long-term success.

4.3. Choosing Your Niche and Products

Each specific hair line is aimed to please a specific customer range. By choosing the right product line, best suited for a specified clientele, you can deliver the most in-demand products, securing high reordering rate and customer satisfaction. For example:

  • Single-donor Virgin hair: the hair’s premium quality is best suited for luxury hair brands, aiming for bigger buyers in the market, especially customers with high standards for their products.
  • Remy hair: much more affordable, suitable for a vast majority of budget-conscious buyers. With its cheaper pricing, Remy hair is considered a beginner-friendly hair line, the go-to choice for many new businesses.
Choosing what your store will sell
Choosing what your store will sell

4.4. Sourcing Quality Products

After crafting for your business the complete and market-driven business plan, as well as branding strategies and key product lines, it is now time to link up with a reliable hair vendor in the market. This step could be one of the most difficult out there, as in this step, you would have less control of the process and even fall victim to the scheme of scammers. However, you can still follow these steps to avoid unwanted and disadvantageous business transactions:

  • Inquire thoroughly: request for video calls, visual proofs, hair tests to check the genuinity of the hair, as well as demands for images or videos of the hair’s sourcing and production.
  • Request sample order: for the first time buying from a vendor, it is suggested to first place a small order quantity to check for their hair quality and customer care before committing to larger orders in the future.
  • Check reviews: a reliable hair vendor would definitely have positive reviews and feedback from their past customers.

4.5. Setting Up Your Store

The next step in learning how to start a hair business is establishing a professional online or physical storefront. Indeed, possessing a stable supply at hand, it is now time to properly set up your own selling platform. You could either establish your storefronts on online shopping applications, or set up your physical establishment in high-traffic areas.

For businesses operating online, some ideal platforms might include: Shopify, WooCommerce, or even social media applications such as Instagrams, Facebook market place,…

For hair store owners, it is best to acquire a stable, abundant budget at first, as such establishments will also come with additional accommodation, staff, and storage expenses.

Setting up your store
Setting up your store

4.6. Scaling Your Business

Those who already understand how to start a hair business should focus on scalability, building a brand that grows over time. After successfully securing a stable, reliable customer base and gaining enough attention within the hair community, it is best to now start to expand your brand by adapting other newer, more trend-focused textures, lengths or hair types.

You should also turn to a newer customer base, by offering wholesale-oriented services such as bulk pricing, large quantity package deals,…

5. How do you price your products competitively?

Your pricing should not be too low or too high. Indeed, customers are becoming better aware of the underlying threat of scammers, and are often extremely wary and picky in terms of product pricing.

This could be a huge dilemma for most beginner hair stores in the industry. Too low pricing might signify that your products might be of low quality, as well as affecting your ultimate profit volume. Too high of a price can make the product somewhat less attractive for budget-conscious buyers, creating a huge financial loss if such products fail to make sales.

To solve such issues, it is crucial to first, do some market research, as mentioned above, to acquire some knowledge of the average pricing, as well as the prices offered by your competitors. After that, reconsider your input price, hair quality, the product’s current market demands, and arrange your pricing accordingly, so that it would match the hair’s potentials, as well as offering a relatively competitive pricing compared to other business rivals in the market.

Pricing your product competitively
Pricing your product competitively

6. How do you market your hair business?

Marketing determines how well your hair business can attract and retain customers, separating those who merely sell products from those who truly know how to start a business and build a brand. Indeed, even high-quality hair products can fail to gain attention without proper exposure and effective branding campaigns. A multi-channel marketing strategy is therefore essential to reach and expand one’s potential customer base:

  • Social media: Platforms like Instagram and TikTok are ideal for product presentation and brand exposure. Promoting reels, stories, and influencer partnerships are the key toward real results and customer attention.
  • Email Marketing: Use email campaigns to keep customers informed about new arrivals, promotions, and special offers. Especially, highly personalized messages can also help to capture attention and maintain long-term relationships with loyal customers and big buyers.
  • SEO, Ads: High-quality content such as tutorials or hair care guides can improve visibility and organic reach, as well as build more values and appreciation for your hair brand. Meanwhile, Facebook and Google Ads also allow your brand to target a wider audience within a short time, if managed strategically.

Branding is also another crucial part of the marketing strategy. Indeed, your brand name and visibility are the first impression, setting you apart among other rivals in the market. It includes your name, logo, color scheme, and brand message. Choose a name that is easy to remember, design a simple yet professional logo, and create a slogan that reflects your core value, for example, “Your Hair, Your Crown.”

Marketing is crucial for brand recognition
Marketing is crucial for brand recognition

7. K-Hair: Best hair factory accompanies your business.

As one of the most reputable hair manufacturers in Vietnam, K-Hair Factory has established itself as a trusted name among international buyers looking for premium, reliable, and ethically sourced hair products. With years of experience in the industry, K-Hair has built its brand reputation through consistent quality, transparency, and professionalism in every order.

K-Hair is widely recognized for providing 100% Vietnamese human hair, well-known for its natural softness, silkiness, and durability. In fact, K-Hair carefully selects hair from healthy Vietnamese donors and ensures that each bundle is processed with minimal chemicals. This approach can better preserve the hair’s pristine strength and shine, allowing it to be bleached, dyed, or styled freely without tangling or shedding.

Another key advantage of working with K-Hair lies in its factory-direct pricing. As the company owns and operates its own production facilities, K-Hair is able to collect raw hair directly from local donors, control every production stage, and eliminate unnecessary external costs. As a result, clients can enjoy premium-quality hair and authentic, transparent sourcing at a much more affordable price compared to many international suppliers, while still maintaining high profit volume in their business.

K-Hair
K-Hair

Beyond the product itself, K-Hair Factory is also known for its excellent customer service. The company maintains clear communication, transparent policies, and full support throughout every stage: from consultation, payment, and production updates to shipping and after-sales care.

Its strong presence in markets such as Nigeria, Brazil, and the United States is proof of its reliability and commitment to long-term cooperation. For many international buyers, K-Hair is not just a supplier, it is a strategic business partner that helps their businesses grow through quality and consistency.

>>>>Want to start a hair business? Check out this video about our loyal customer, who is now a successful hair business owner:

Vietnam Hair review: How did my customer start a hair business successfully?

8. Conclusion

With the information provided in this article about how to start a hair business, we hope that we have managed to assist young, ambitious business women in the hair industry about the overall market, tips, and most importantly, the most trusted suppliers in the industry. Doing business requires long-term commitment and support from trustworthy business partners, we proudly present ourselves not only as a trusted hair supplier, but also a supportive friend who will always have your back in this competitive industry.

Need to chat with a hair extension specialist? Contact us through the following link:

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