What permits are needed before opening a salon?

Permits Required to Open a Salon in New Mexico

Before opening a salon in New Mexico, securing the appropriate permits and licenses is essential to ensure compliance and smooth operations.

Key Permits and Licenses

• Cosmetology License: All salon operators and cosmetologists must hold a valid New Mexico cosmetology license issued by the New Mexico Regulation and Licensing Department (RLD). This license verifies professional qualifications and compliance with state health and safety standards.
• Salon Facility License: The salon itself must be licensed by the RLD. This involves submitting an application, passing an inspection, and meeting sanitation and safety regulations.
• Business Registration: Register your salon as a business entity with the New Mexico Secretary of State. This step is necessary for legal operation and tax purposes.
• Local Business Permit: Obtain a business permit or license from the city or county where the salon will operate. Local requirements vary, so contact the relevant municipal office for specific details.
• Health and Safety Permits: Comply with state and local health department regulations, which may include inspections related to sanitation, water supply, and waste disposal.
• Sales Tax Permit: If selling products, register for a New Mexico Gross Receipts Tax (GRT) permit with the Taxation and Revenue Department to collect and remit sales tax.

Operational Considerations

• Recordkeeping: Maintain accurate records of all licenses, inspections, and employee certifications to ensure ongoing compliance.
• Employee Classification: Properly classify salon workers as employees or independent contractors in accordance with New Mexico guidelines to avoid payroll and tax issues.
• Insurance: Secure liability and workers’ compensation insurance to protect the business and employees.
• Renewals and Reporting: Monitor expiration dates for licenses and permits. Submit required renewals and reports on time to avoid penalties or business interruptions.

As of 2026, always verify the latest requirements with the New Mexico Regulation and Licensing Department and local authorities before starting salon operations.