Opening a barbershop in Indonesia can be an excellent business opportunity. The men's grooming market is growing, and more customers are looking for quality services and a professional experience in modern barbershops.
In this complete guide, we explain step by step everything you need to know to open your barbershop in Indonesia: from legal requirements and business registration (NIB via OSS), to tax (NPWP), initial investment in Indonesian Rupiah (IDR), strategic location, equipment, and management tools that will help you succeed from day one.
8 Steps to Open Your Barbershop in Indonesia
Research and Business Plan
Before opening your barbershop in Indonesia, it's essential to conduct thorough market research and create a solid business plan. Many barbershops we see struggle with unclear pricing and target market—this step helps you avoid that.
Key elements to research:
- Competition analysis: Identify how many barbershops are in your area, what services they offer, their prices (typically 30,000–80,000 IDR for a haircut in major cities), and what differentiates them. Use Google Maps and local directories to analyze competition.
- Target audience: Define your ideal client: age, budget, and preferences. In Indonesia, barbershops often serve young professionals, students, and families—tailor your offer to your city and neighbourhood.
- Average market prices: Research what other barbershops charge. Prices vary by city: Jakarta and Bali tend to be higher; smaller cities may be lower. Typical range: 30,000–100,000 IDR for a basic cut, 50,000–150,000 IDR for cut + beard.
- Service demand: Evaluate if there's sufficient demand. Consider population density, nearby offices or universities, and foot traffic in areas like Jakarta, Surabaya, Bandung, or Medan.
- Peak hours: One common issue in Indonesia is not matching operating hours to when people actually come—observe local patterns and consider evening and weekend slots.
Your business plan should include:
- Executive summary: Overview of your business, objectives, and main strategy.
- Market and competition analysis: Information on the local market, competitors, and your positioning.
- Marketing strategy: How you plan to attract and retain clients.
- Financial projections: Revenue, costs, and profitability estimates.
- Operations plan: How your barbershop will run day to day.
You can find business guidance and startup info at:
Strategic Location
Location is one of the most important factors for success. A good location can make the difference between success and failure.
Characteristics of a good location:
- High foot traffic: Areas with many pedestrians increase your visibility.
- Near offices, universities or residential areas: Proximity to your target audience makes it easier for clients to visit regularly.
- Parking or public transport: Many clients arrive by car or motorcycle; easy access matters.
- Good visibility from the street: A visible shop front and clear signage attract more clients.
- Safe, well-lit area: Clients prefer places where they feel safe.
- Easy access: Consider accessibility for all customers.
How to evaluate a location:
- Analyse nearby competition: Having competitors nearby is not always bad, but check if the market is saturated.
- Check the demographic profile: Make sure the area matches your target audience.
- Consider rent vs. potential income: High rent is only worth it if you can generate enough revenue.
- Evaluate accessibility: How clients get there—public transport, parking, etc.
You can search for commercial premises at:
Key cities and areas:
Jakarta
South Jakarta, Central Jakarta, Kemang, Menteng—high rent but high traffic. Good for premium or mid-range barbershops.
Surabaya
City centre, Darmo, Gubeng—strong market with good foot traffic.
Bandung
Dago, Riau, Braga—vibrant market with young and local clientele.
Other cities
Medan, Semarang, Makassar, Palembang, and Bali offer strong markets with varying rent levels.
Legal Requirements and Permits in Indonesia
To legally operate a barbershop in Indonesia, you need to comply with the following. One common issue in Indonesia is operating without the NIB—this can lead to fines.
Business Registration and NIB (Nomor Induk Berusaha) – OSS
Register your business and obtain the NIB (Business Identification Number) through the OSS (Online Single Submission) system. The NIB serves as your business permit and can include multiple licenses. You can register as a sole proprietor (UD), partnership (CV), or company (PT). The process is done online at oss.go.id.
Where: OSS – oss.go.id
Estimated time: A few days
Cost: Registration fees vary; check current rates on OSS
OSS →Tax Registration (NPWP)
Obtain an NPWP (Nomor Pokok Wajib Pajak – tax identification number) from the tax office (DJP – Direktorat Jenderal Pajak). Businesses and individuals conducting business need an NPWP. You may be able to link this with your OSS registration. Register at the local Kantor Pelayanan Pajak (KPP) or online.
Where: DJP / KPP (pajak.go.id)
Estimated time: A few days
Cost: No registration fee for NPWP
DJP →Local and Hygiene Permits
Depending on your location, you may need a local business permit (e.g. from kelurahan or kecamatan) and a hygiene/health certificate (e.g. from Dinas Kesehatan – local health office) for a barbershop or salon. Requirements vary by regency/city. One common issue in Indonesia is starting before obtaining these—check with your local government (DPMPTSP or dinas terkait).
Where: Local government / Dinas Kesehatan
Cost: Fees vary by region
Hygiene and Sanitation
Barbershops and hairdressing salons in Indonesia must comply with hygiene and sanitation standards. This includes clean tools, disinfection, and a clean premises. The local health office (Dinas Kesehatan) may carry out inspections. Many barbershops we see struggle with incomplete hygiene documentation—get clear on requirements from the start.
Cost: No permit fee, but you must invest in disinfection and hygiene measures
Kementerian Kesehatan (Ministry of Health) →If You Hire Employees: BPJS Ketenagakerjaan and Contracts
If you employ staff, you must register as an employer with BPJS Ketenagakerjaan (employment social security) and comply with Indonesian employment law (contracts, minimum wage, etc.). Consider using a payroll service or accountant to avoid errors.
Resources:
Estimated Initial Investment
The initial investment to open a barbershop in Indonesia can vary significantly. Here's an approximate breakdown in Indonesian Rupiah (IDR):
Note: A small barbershop with basic equipment can start around 80–200 million IDR. A larger or more premium setup in Jakarta or Bali may require 250–500 million IDR or more. In our experience working with barbershops, keeping 3–6 months of operating expenses as working capital reduces stress in the first year.
Manage Your Barbershop with Technology
From day one, use management software like BarberíaClub to:
- Organise appointments online 24/7
- Manage clients and their history
- Send automatic reminders
- Reduce no-shows and stay organised
- Save time on admin
Equipment You Need for Your Barbershop
To open a professional barbershop in Indonesia, you need to invest in quality equipment. Here is a guide to the essentials with approximate prices in IDR and where to find them:
Professional Barber Chairs
Barber chairs are the most important investment. Look for hydraulic, comfortable and durable chairs. You need at least one per barber.
Estimated price: 2 – 15 million IDR per unit
Basic chairs from 2 million IDR. Premium chairs 10 million IDR or more.
Barbershop Mirrors
Large, good-quality mirrors are essential. We recommend mirrors of at least 60x90 cm, ideally with integrated lighting.
Estimated price: 300,000 – 3 million IDR per unit
Basic mirrors from 300k IDR. Mirrors with LED from 2 million IDR.
Professional Scissors
Invest in professional-grade scissors. Each barber needs at least one pair of cutting scissors and one texturising pair.
Estimated price: 150,000 – 2 million IDR per pair
Basic from 150k IDR. Japanese or German professional from 1 million IDR.
Hair Clippers
Professional clippers are essential. Look for recognised brands like Wahl, Andis or Philips. Each barber needs at least one main clipper.
Estimated price: 200,000 – 3 million IDR per unit
Basic from 200k IDR. Professional from 1.5 million IDR.
Razors and Shaving Tools
For precise shaves and finishes. Include straight razors, disposable blades and spare blades.
Estimated price: 50,000 – 800,000 IDR
Disposable blades from 50k IDR. Professional razors from 500k IDR.
Hair and Beard Products
Initial stock: gels, pomades, waxes, beard oils, aftershave lotions, etc.
Estimated price: 3 – 15 million IDR (initial stock)
Depends on variety and brands. For use in service and for sale.
Staff Hiring
Hiring experienced barbers with a good reputation is key to your barbershop's success. A strong team can make your business stand out and build a loyal client base.
What to consider:
- Experience and portfolio: Review past work and ask for client references.
- Technical skills: Assess knowledge of cutting, shaving and current trends.
- Professional attitude: A good barber delivers great cuts and treats clients well.
- Availability: Define clear schedules and ensure they can meet them.
- Pay structure: Be clear on commissions, base salary and bonuses.
Employer obligations in Indonesia:
- Registration with BPJS Ketenagakerjaan: You must register as an employer and pay social security contributions.
- Written employment contracts: All employees must have a written contract.
- Minimum wage: Comply with provincial minimum wage (UMR/UMP).
Resources for hiring and employment:
Management System and Technology
A good management system helps you organize appointments, manage clients, and send reminders. Many barbershops we see struggle with no-shows and double bookings—software like BarberíaClub solves this and offers online booking that Indonesian clients increasingly expect.
Marketing and Promotion
Effective marketing is crucial to attract clients. In Indonesia, Google and Instagram are widely used—post your work, location, and prices. Get your barbershop on Google Maps (Google Business Profile) and encourage reviews. Offer opening promotions and rely on word of mouth by delivering excellent service.
- Google Business Profile: Register and keep your address, hours, and photos updated
- Instagram: Post regularly; consider paid ads for your area
- Encourage happy clients to leave reviews on Google and refer friends
Tips and Best Practices for Success
Frequently Asked Questions
Do I need a license to open a barbershop in Indonesia?
You need a NIB (Nomor Induk Berusaha) obtained through the OSS system, and an NPWP (tax number) from the tax office. Depending on your location, you may also need local business and hygiene permits (e.g. from Dinas Kesehatan). There is no specific barber license for basic operation. If you hire employees, you must register with BPJS Ketenagakerjaan and comply with employment law.
How much does it cost to open a barbershop in Indonesia?
The initial investment can range from 80 million to 500 million IDR depending on size, location, and equipment. A small barbershop can start around 80–200 million IDR; a larger or premium setup in Jakarta or Bali may require 250–500 million IDR or more.
What is the first step to open a barbershop in Indonesia?
Register your business and obtain the NIB through the OSS (Online Single Submission) system at oss.go.id. Then obtain your NPWP from the tax office (DJP) if you don't already have one. Check with your local government for any additional permits (e.g. hygiene, local business). Doing market research and a simple business plan first will help you choose location and pricing.