Solo Massage Therapists Need To Learn That Not All Debt Is Bad Debt
(Financial Fun Fact!)
Welcome back to another Monday with the Mavens. We created the Massage Mavens blog to connect with and educate self-employed massage therapists working to grow as business owners.
It can be lonely working for yourself – and we’re here to remind you that while you’re in business for yourself, you don’t have to be in business by yourself.
While we cater our content to independent MTs, all massage therapists are welcome here; whether you run your own independent massage therapy studio, you contract in a clinic, work in spa, or you are still in school.
Good Debt In Your Massage Therapy Studio
We’ll say it again. Not All Debt Is Bad Debt
Especially in a business.
Sometimes yes, debt can feel like throwing money away - or even setting it on fire. But sometimes…it’s the opposite.
(Disclaimer: I am not a financial professional. I also realize I am not in agreement with the guidance of financial pundits like Dave Ramsey… Instead, what I am is a massage therapist working to make the best business I can out of the resources available to me while I still enjoy living my life as I build and grow. I am just sharing what has worked for me in the hopes that you find it helpful, too. )
For me, the trick is to identify whether something is a Debt or an Investment:
Debt: an expense that simply is what it is. (Putting a new salt lamp on my credit card because I don’t have the cash to buy it outright. A lamp it just a lamp. Having it does not generate the opportunity for new clients or increased revenue.)
Investment: an expense that can & will result in increased future revenue. (Putting an electric lift table on my credit card and paying it off over time because I know that by prioritizing my body mechanics, I can see more clients per week, and bring in more money.)
How I have navigated the decisions around debts & investments in my studio.
The Lean & Mean Startup. (Avoiding “debt” when it wasn’t something I needed to bring on.)
Before I found an office or was seeing private clients, I spent some of my spare cash on supplies every month for a few months and stored them in a closet at my apartment. Within 6 months I had most of my basic supplies.
Yes, I purchased New when necessary. But I also got creative:
Hot towel cabinet? Got that puppy on craigslist for $20.
Sheets? The day spa I worked for at the time gave me their blessing to take home worn-out sheets that were headed for the trash anyway. With some borax and a few minutes with a needle & thread, many of them were good as new.
Salt Lamps? I wanted 4, but I started with 2 until I had the extra cash to treat myself and get two more…because a salt lamp is just a salt lamp. It will not create the opportunity to earn more money, it will not compound upon itself. It’s just a lamp. And at the time, that meant it was just debt.
Storage cubbies? Thrifted from my own closet.
Client seating? Donated by a friend
Investment & The Growth It Gave Me Access To. (Taking on “debt” when its presence brought new opportunities.)
I spent a few months in my first office, working to build up a clientele and some stable cash flow. Then the pandemic threw a wrench in my well-laid business plans. During the time off, I realized I needed to make some changes, or my business would never bring me what I wanted it to.
So the first thing I did after lockdown lifted was march myself down to my bank and set 2 things in motion: a business credit card, and an SBA loan.
Business Credit Card
With a business credit card in hand (Complete with a 15 month interest free period!) I bought a new electric table with all the bells and whistles, a prenatal bolster, and a membership to a local networking group to help me grow.
It took me almost the entire grace period on that credit card to pay off those investments - but they were worth every penny.
SBA Loan
(Side Note: Gang, the SBA is such an underrated resource. I was personally able to take advantage of the EIDL program that was rolled out to help small businesses recover from the pandemic – but even if you’ve only recently gone into business – take some time to check them out. So so so many resources. )
I qualified for a small loan with the SBA at a phenomenal interest rate spread over *many* years – so my monthly payment is incredibly small & manageable.
I used that loan to put the deposit on a new, safer, larger office suite. When clients feel safe and comfortable, they are more likely to come back, and they’re also more likely to refer their friends..so investing in a better office was a no-brainer for me. The loan also furnished the lobby and restrooms, and generally build out my own treatment room into the space I’ve always dreamt of.
I now rent my other rooms out, and have a thriving and colorful community of bodyworkers in the south Denver area. My clients get a luxury experience in a relaxing, safe space with easy parking in a great location. And I didn’t have to wait until I had thousands of dollars saved up to make it happen. The moral of the story? I would take this loan again in a heartbeat because it wasn’t just “debt” — it was an investment that literally opened doors for me.
To circle back:
I absolutely endorse staying lean & mean when you can…but I also 1000% encourage you to take smart leaps when they’ll help you reach your goals. You can do hard things. And you can absolutely take on and manage smart debt -aka Invest in your business - if it empowers you to build the studio of your dreams.
Thanks for stopping by!
As always, we’d love to hear how our content has helped you improve either your studio, your mindset, or your revenue as a self-employed massage therapist.
Rachel Martin, LMT, is an independent massage therapist living in Denver Colorado. Having built her solo massage studio to capacity, she now spends her free time helping other massage therapists do the same. Check out Six Figure Studios, Queen Street Marketplace, and The Techy MT to learn more.
