Taneesa Williamson Jade Spehr, Founder of JadeStart, shares her expertise.
The aesthetics industry is experiencing a shift in revenue-sharing models between clinic owners and injectors. In recent years, the percentage split for contractor injectors has risen due to industry growth and a thriving economy. However, even with the economic challenges post-COVID, the anticipated return to hiring injectors as employees has not materialised. This has sparked debate on who should receive the higher split in a contractor arrangement.
Both clinic owners and injectors play vital roles in this partnership. While injectors, especially those with strong client relationships, often drive client loyalty, clinic owners bear the weight of infrastructure, brand establishment, and operational management. These intertwined roles make revenue-sharing a complex decision.
The first step in determining revenue splits is understanding the nature of the injector-clinic owner relationship. As shown in the decision tree below, the risk profile changes depending on whether the injector is an employee or contractor, influencing compensation structures. A clear contract can help define each party’s responsibilities, avoiding potential disputes.
Clinic owners incur substantial costs in providing a professional, high-quality environment. This includes rent, utilities, marketing, equipment, compliance, and often training. These expenses, which may take up 30-40% of revenue, justify a substantial portion of the revenue split. A fair arrangement should consider these costs while still providing competitive compensation for injectors.
Injectors bring critical skills and often their own client base, making them indispensable to the clinic’s success. With industry regulations making it challenging to advertise certain services, skilled injectors with strong reputations become even more valuable. A well-established injector with a strong personal brand may warrant a higher split, especially if they attract new clients to the clinic. However, when clinic owners assume most client acquisition responsibilities, they may retain a larger percentage of revenue.
To incentivise retention and performance, many clinics offer commissions for injectors meeting client and sales targets, ensuring mutual benefit and growth.
With the rise of hybrid models, injectors often work across multiple clinics or maintain private practices. This flexibility can complicate revenue splits, requiring customised contracts. For example, an injector working at multiple locations might need a flexible split based on their client base within each clinic. Contracts should specify data-sharing practices to ensure transparency in turnover rent calculations and facilitate long-term collaboration.
Ultimately, achieving an equitable split requires open, transparent negotiation. Both injectors and clinic owners contribute significant value, and by recognising each other’s roles, they can agree on a sustainable, fair structure.
What are your thoughts?
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