REVENUE PER CHAIR
What one chair produces over a week, month or year.
WHAT IT MEANS
Revenue per chair divides shop revenue by the number of chairs in use. For an owner it is the basic unit of the business, the way revenue per square foot works in retail.
THE FORMULA
Revenue per chair = shop revenue ÷ chairs in use
WHY IT MATTERS
It tells you whether another chair is an opportunity or an expense, and which existing seat is carrying the shop.
MEASURE IT
Revenue Per Chair Calculator runs this calculation on your own numbers in under a minute.
RELATED DEFINITIONS
- Chair UtilizationThe share of your available chair time that is actually booked.
- Break-Even PointThe revenue that covers your fixed costs and nothing more.
- CapacityThe most clients your schedule can physically hold.
Part of Shop Ownership.