How to Start a Toronto Beauty Salon: 13 Essential Steps
This page gives a practical blueprint for launching a beauty salon in Toronto (NAICS 812112). It breaks down the 13 essential requirements you’ll need to meet, from registering your business and sorting taxes to licenses, permits, and inspections. You’ll also get a straightforward view of startup costs and a realistic timeline to open, so you can plan with confidence instead of guesswork.
Learn what licenses and permits Toronto actually requires, how to budget for lease setup, equipment, supplies, insurance, and ongoing fees, and what the inspection process looks like. We map a practical timeline from registration through opening day, with milestones to keep the 13-step plan on track and tips to avoid common delays so you can coordinate permits with contractors and plan your budget efficiently.
Toronto’s vibrant, diverse market and strong demand for beauty services create a welcoming climate for a new salon. With a clear plan and local guidance, you can grow a thriving beauty business right in Canada's largest city.
Requirements Overview
The most critical requirement for operating a beauty salon in Toronto is Esthetician Training Certification. This certification is legally required and you cannot legally offer esthetic services without it, so it is non-negotiable. Additionally, a Hairstylist Certificate of Qualification (Includes Barbers) is another CRITICAL credential you must hold if you plan to perform hair styling or barbering work in your salon.
On the operational side, you’ll need to meet health, safety, and permits requirements before opening. This includes Infection Prevention and Control for Personal Services and compliance with the Occupational Health and Safety Act. Your premises must pass the Personal Service Settings Premises Inspection, and you’ll also need a valid Business Licence to operate legally. These items are essential and must be in place to protect clients and staff.
For business registration and tax, you’ll handle administrative numbers and registrations. Register your business name with ServiceOntario and obtain a Business Number (BN) from the Canada Revenue Agency. If you reach the GST/HST threshold or expect to owe GST/HST, register for GST/HST. If you have employees, you’ll need Payroll Deductions Registration, and you should arrange WSIB Registration and Coverage for workplace injuries. It’s also wise to secure Professional/General Liability Insurance to further protect your business.
Ready to move forward? Start by confirming your certification path (esthetician and hairstylist), then tackle the regulatory steps in order: register your name and BN, apply for the necessary licences and inspections, and set up the tax-related registrations. With a clear plan and steady progress, you’ll build a solid, compliant foundation for your Toronto salon.
Detailed Requirements
Here are the specific requirements for starting a beauty salons in Toronto:
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Infection Prevention and Control for Personal Services RequiredPersonal service establishments in Toronto must implement infection prevention and control measures as required by Toronto Public Health, including sterilization protocols, equipment maintenance, and staff training. No registration required - compliance-based requirement under Ontario Reg. 136/18 and Toronto BodySafe program. Key requirements: 1. Dedicated handwashing sink with hot/cold running water, soap, and paper towels 2. All surfaces smooth, in good repair, and made of impermeable material 3. Single-use items discarded immediately after each client 4. Maintain records for 3 years (minimum 1 year on-site) 5. Annual inspections by Toronto Public Health - display Pass/Conditional Pass notice Violations can result in Conditional Pass or Service Closed notices. Re-inspections occur within 48 hours.
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Business Number (BN) Registration RequiredA 9-digit Business Number is required for most businesses operating in Canada. It is used to interact with the Canada Revenue Agency and other federal programs. Required for GST/HST, payroll, corporation income tax, and import/export accounts. Register FREE online through Business Registration Online (BRO) at canada.ca. Takes 15-30 minutes. As of November 3, 2025, online registration is MANDATORY for new BNs - phone registration no longer available. You'll need: business name, address, owner SIN, business type, and start date. BN (9-digit number) issued INSTANTLY online. Available 21 hours/day, 7 days/week (closed 3-6am ET for maintenance).
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Business Licence RequiredGeneral business licence required to operate a business in City of Toronto. Apply to City of Toronto for Business Licence: 1. Determine business category 2. Complete business licence application 3. Submit required documents (ID, lease, zoning confirmation) 4. Pay application and annual fees 5. Await approval and receive licence Contact City of Toronto Business Licensing for specific requirements. Home-based businesses may have different requirements. Annual renewal required.
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Esthetician Training Certification RequiredWhile not legally mandatory in Ontario, most insurance companies and employers require completion of an accredited esthetician program for liability and competency purposes. Not mandatory licensing, but certification required by most employers. Complete diploma/certificate at approved Private Career College or community college (600-1500 hours). Must meet Esthetician Subject Specific Standard (March 2010). Graduates cannot perform controlled acts (RHPA). Exam after program. 9 VLOs + employability outcomes. Schools: Seneca, George Brown, Conestoga. Contact institution.
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Personal Service Settings Premises Inspection RequiredPersonal service settings in Toronto must comply with provincial health and safety standards under O. Reg. 136/18 and undergo premises inspection by Toronto Public Health. Required for barbershops, salons, spas, tattoo parlors, and other personal care establishments. Apply for Personal Services Settings (PSS) licence through Toronto Municipal Licensing: 1. Notify Toronto Public Health at BodySafe@toronto.ca at least 14 days before opening 2. Obtain zoning approval from Toronto Building (required for home-based) 3. Apply online or in-person at 850 Coxwell Ave (walk-ins Mon-Wed 8:30AM, appointments Fri) 4. Fee: $433.57 new ($203.59 application + $229.98 licence), $285.05 renewal 5. Display both MLS licence and BodySafe inspection notice visibly to public Required documents: 2 photo IDs, Criminal Record Check (within 280 days), Occupancy Declaration, Certificate of Qualification for hairstylists.
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Ontario Business Name Registration (ServiceOntario) RequiredBusinesses in Ontario operating under a name other than the owner's legal name must register with Ontario Business Registry through ServiceOntario. This includes sole proprietorships, partnerships, and business names for corporations. Registration provides legal protection for the business name within Ontario and is required for banking, licensing, and business operations. Registration can be completed online through Ontario Business Registry. Business name registrations must be renewed every 5 years. Register business name with Ontario Business Registry: 1. Search Ontario Business Registry (free) for name availability 2. Consider NUANS name report ($25) for thorough search 3. Register online through Ontario Business Registry 4. Pay registration fee ($60 for sole proprietorship/partnership) 5. Receive 9-digit Ontario Business Identification Number (BIN) 6. Registration valid for 5 years 7. Renew before expiry
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Occupational Health and Safety Act Compliance RequiredAll Ontario workplaces must comply with the Occupational Health and Safety Act to ensure safe working conditions. Requirements include workplace safety policies, training, hazard assessments, and incident reporting. No registration - compliance law. Must post OHSA in workplace. JHSC required for 20+ workers (or 6+ in designated industries). Nov 2025: New administrative penalty scheme, defibrillator reimbursement. Telework now covered. Fines: up to $500K individuals, $1.5M corporations. 27 regulations under OHSA. Must conduct safety audits, maintain training records. Contact: 1-877-202-0008.
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Hairstylist Certificate of Qualification (Includes Barbers) RequiredIn Ontario, hairstyling is a COMPULSORY CERTIFIED TRADE. Individuals practicing as hairstylists or barbers must hold a valid Certificate of Qualification or be registered apprentices to legally work in the trade. Ontario does not have a separate barber certification - both hairstylists and barbers fall under the "Hairstylist" trade classification and must meet the same certification requirements. To obtain certification, individuals must complete an apprenticeship program (approximately 1,500 hours of training) or an approved hairstyling program, followed by passing the Certificate of Qualification examination administered by Skilled Trades Ontario. Working as a hairstylist or barber without proper certification is illegal and subject to enforcement. Compulsory trade in Ontario. Register with Skilled Trades Ontario (STO, replaced OCOT April 2025). Need: Grade 12 or equivalent, 1500 hours training (career college) or apprenticeship. Pass certification exam. Red Seal available. Trade Equivalency Assessment for experienced workers. Exam fee: $150+HST. Must be registered apprentice, PCQ or CQ holder to work. Contact STO: 1-855-299-0028.
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Employment Standards Compliance ConditionalApplies if you have employees. Covers minimum wage, hours of work, vacation pay, public holidays, termination notice, etc. All Ontario employers must comply with the Employment Standards Act, covering minimum wage, hours of work, overtime, vacation, termination, severance, and other workplace rights. No registration required - compliance-based requirement. Follow Employment Standards Act (ESA) for minimum wage, hours of work, overtime, vacation, leaves, and termination. Post ESA poster in workplace (free download from ontario.ca). Keep employment records for 3 years. NEW for 2025: Employers with 25+ staff must provide written employment info to new hires by July 1, 2025. Job postings must include salary ranges by Jan 1, 2026. Call 1-800-531-5551 for help.
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GST/HST Registration ConditionalRequired if annual taxable revenue exceeds $30,000 (small supplier threshold). Taxi/ride-share drivers must register regardless of revenue. Businesses with gross revenues over $30,000 in any single quarter or over four consecutive quarters must register for, collect, and remit GST/HST. Small suppliers (under $30,000) may register voluntarily. Register FREE online through Business Registration Online (BRO) when your revenue exceeds $30,000 in any 4 consecutive quarters (small supplier threshold). Takes 15-30 minutes. You MUST register within 29 days of exceeding threshold and start charging GST/HST immediately on the sale that made you exceed it. Need your BN (or get one simultaneously). As of Nov 3, 2025, online registration is mandatory. Voluntary registration available anytime for input tax credits.
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Payroll Deductions Registration ConditionalRequired if you pay salaries, wages, or other remuneration to employees. Must register before first pay period. Required if you have employees. You must withhold Canada Pension Plan (CPP), Employment Insurance (EI), and income tax from employee wages and remit to CRA. Register FREE online through Business Registration Online (BRO) when you hire your first employee. Takes 15-20 minutes. You'll need your Business Number (BN) or can get one simultaneously. Payroll account (RP) added to your BN instantly. Register BEFORE your first pay date. Required to deduct CPP, EI, and income tax from employee wages. For 2025: CPP rate 5.95%, EI employee rate $1.66/$100 insurable earnings.
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WSIB Registration and Coverage ConditionalRequired within 10 days of hiring first employee, including family members and subcontractors. Workplace Safety and Insurance Board (WSIB) registration is mandatory for most Ontario businesses with employees. Provides compensation and support for workplace injuries and illnesses. Sole proprietors and partners can apply for optional coverage. Register FREE online at wsib.ca in 15-20 minutes. MANDATORY for most Ontario employers within 10 calendar days of hiring first worker. You'll need: CRA Business Number, payroll estimate, business activity description, owner/director info. Account number issued INSTANTLY online. Construction industry has expanded compulsory coverage. Premium rates vary by industry classification. Must display WSIB safety poster in workplace.
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Professional/General Liability Insurance RecommendedService businesses should maintain liability insurance appropriate to their risk profile. Not provincially mandated but industry standard. CGL minimum $1M for small businesses. Required by contracts, landlords, clients. Covers bodily injury, property damage, personal injury. E&O insurance for professional services. D&O for directors. Cyber insurance increasingly required. WSIB separate requirement. Contact licensed insurance broker (RIBO-regulated).
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