How to Start a Hair, Nail or Skin Salon in Kentucky: Board of Cosmetology Salon License $100, 1,500 Hours, the Plumbed Bowl Rule and the July 31 Even Year Expiry

If you want to open a hair, nail or skin salon in Kentucky, the Kentucky Board of Cosmetology (KBC) controls the parts of the process that cause the most trouble. Its rules under KRS Chapter 317A decide who can work in your salon, what your shampoo area must include, and when your salon license expires. Most first-time owners finish the business filing without much trouble, then stall on the salon license because the plumbing and paperwork rules are strict. This guide puts the steps in the order you should complete them, with the fees and deadlines we can verify.

Settle one point first. Kentucky has no general statewide business license. Forming an LLC or corporation with the Secretary of State is a filing, not a license. For a salon, the license that controls whether you can operate is the one issued by KBC.

What You Need Before You Start

Gather these items before you file anything. A missing document is the most common reason a salon license application stalls.

• A business name that is available on the Secretary of State's business search
• Articles of Organization (Form KLC) for an LLC, or Articles of Incorporation (Form PAI) for a corporation
• A registered agent and a Kentucky street address for the registered office, since post office boxes are not accepted
• A floor plan that shows every station, every shampoo bowl and any portable water station
• A plumbing affidavit and the plumbing inspection
• Your city or county business license
• A zoning document if the salon will operate from a residence
• A debit or credit card, since KBC accepts card payment online only
• Training hour records and license information for every practitioner who will work in the salon

Step 1: Confirm the Hours and Licenses Your Team Needs

Every person who performs services in your salon needs a KBC license. The required training hours depend on the license type:

License type	Required hours
Cosmetologist	1,500
Esthetician	750
Nail technician	450
Shampoo stylist	300

An individual license costs $50 initially and $100 for each biennial renewal. The exam fee is $85. Before you schedule anyone, confirm with KBC which exam each applicant must take, since the exam requirement depends on the license they hold.

Step 2: Form Your Business With the Secretary of State

File with the Kentucky Secretary of State, Division of Business Filings, through the Kentucky One Stop Business Portal at onestop.ky.gov. New formations are filed there, and online filing is the fast path. The state publishes no expedited service tier or expedited fee. Standard processing is usually the same day received, but it can take up to three business days. Online filings take effect at the date and time you file.

For an LLC, the filing fee is $40 for Articles of Organization (Form KLC). The name must include "limited liability company," "limited company," "LLC" or "LC." If you abbreviate "limited company," you must use "LTD CO." You can reserve a name for 120 days for $15.

For a corporation, the filing fee is $50 for Articles of Incorporation (Form PAI).

If the salon will operate under a name other than the legal name of your entity, file a Certificate of Assumed Name (Form ASN) for $20 with the Secretary of State. Sole proprietors file with the county clerk of the county where they reside, under KRS 365.015(3). Every entity must also keep a registered agent and registered office in Kentucky under KRS 14A.4-010. Changing either costs $10.

Two recurring costs apply to entities. The annual report costs $15 and is due June 30 every year, with the filing window opening January 1. A domestic entity that misses June 30 is administratively dissolved. An LLC also owes the Limited Liability Entity Tax (LLET), which has a $175 minimum if Kentucky gross receipts or gross profits are $3 million or less. LLC income passes through to the members and is taxed at the 3.5% flat individual rate for 2026.

Step 3: Register for State Taxes

Register your tax account with the Kentucky Department of Revenue using Form 10A100 through MyTaxes.ky.gov. Kentucky has no statewide general business license, so this registration starts your state tax relationship. It does not replace the KBC salon license.

If you sell retail products such as shampoo, styling products or nail polish, you need a sales tax permit. The state sales tax rate is 6%, and Kentucky has no local sales tax on top of it. The state sales tax also reaches about 50 services, so ask the Department of Revenue whether any service on your price list is taxable before you publish prices. Start the sales tax permit at revenue.ky.gov.

Step 4: Get Your City or County Business License

Kentucky has 120 counties and about 420 cities. Many of them, along with school districts, levy an occupational license tax on payroll, net profits or gross receipts. There is no statewide version of this tax. Check the occupational license tax district for the city and county where the salon will operate. Each one runs its own forms and revenue office, so do not assume the office that handled your LLC filing also handles local licensing. KBC requires proof of your city or county business license, so get it before you apply for the salon license.

Step 5: Choose a Location That Fits the Rules

Settle the location before you order equipment or sign a lease, because three requirements depend on it:

• Zoning. A residential salon needs a zoning document to submit with your KBC application. Ask your local planning and zoning office what it must show before you invest in a home build-out.
• Registered office. The Kentucky street address you use for the registered office must be the same as the registered agent's business address, and it cannot be a post office box.
• Plumbing. The space must accommodate plumbed shampoo bowls. Confirm this with a licensed plumber before you commit to a lease.

A new location also needs its own KBC license, so plan a second salon license if you open a satellite site.

Step 6: Plan Around the Plumbed Bowl Rule

Shampoo bowls cause more salon build-out problems than any other item. Under the state code, shampoo bowls must be plumbed. KBC has approved a process, dated 6-8-26, that allows services without chemicals to use portable unplumbed-water stations. That option does not extend to chemical services. A salon that performs chemical hair services needs at least one plumbed bowl.

In practice, this means:

1. If you plan to offer color, relaxers or other chemical hair services, include at least one plumbed bowl in the floor plan from day one.
2. If you plan to offer only cut, style and other non-chemical services, ask KBC whether a portable station meets your needs under the approved process before you buy one.
3. Complete the plumbing work, the plumbing affidavit and the plumbing inspection before you apply. Ask KBC which inspection it accepts and what the affidavit must state.

Step 7: Apply for the Salon License

The salon license costs $100 to obtain and $200 to renew. Salon licenses expire July 31 of every even-numbered year. Apply at least five business days before the date you plan to open. Pay by card online, since KBC accepts no other method for this fee.

Assemble the package before you start the application:

• The plumbing affidavit and inspection
• Proof of your city or county business license
• A zoning document, if the salon is in a residential property
• The business entity information from Step 2, so the name and ownership on the application match your state filings

Put the July 31 expiry on your calendar on the day you receive the license. Because July 31, 2026 has already passed, a salon licensed now would expect its next expiry on July 31, 2028. Confirm with KBC how the first term is calculated before you assume that date.

Step 8: License Every Practitioner and Keep the Roster Current

Under KRS 317A.155, every practitioner must work in a board-licensed establishment. That rule applies to employees and to anyone working in your salon, so confirm each person's license before their first day.

The salon must list its employees and booth renters with KBC, and the list must be updated within 30 days of any change. KBC does not describe a separate booth-renter license. Before you rent a station, confirm with KBC how a booth renter should be listed and what license that person needs.

Kentucky joined the Cosmetology Licensure Compact in 2023. If you plan to hire practitioners licensed in other states, check with KBC for current multistate privileges, since the rules for those privileges can change.

Step 9: Know What Triggers a New License

A new owner, a new name or a new location each requires a new salon license. The fee for an owner or location change is $100. Confirm the fee for a name change directly with KBC before you order new signage or stationery. Budget for these costs if you plan to sell, rebrand or move.

Tips and Common Mistakes to Avoid

• Signing a lease before checking plumbing. Confirm what the space can accommodate before you commit.
• Treating the bowl rule as optional. Any salon offering chemical hair services needs at least one plumbed bowl.
• Applying late. The application is due at least five business days before you open. Build that into your opening schedule.
• Confusing the filing with the license. Your LLC or corporation filing lets you form the entity. Only the KBC salon license lets you run the salon.
• Missing the June 30 annual report. A missed filing can lead to administrative dissolution, which can complicate every other step.
• Skipping the zoning document. A home salon without one can stall at the application stage.
• Letting the roster drift. Update employee and booth renter changes within 30 days.
• Calendaring renewal from your opening date. The expiry is July 31 of each even-numbered year, not a date counted from your opening.

What Results to Expect

A complete, accurate package gives your application the best chance of moving without a correction request. This guide does not state a KBC processing time, so ask the Board directly before you set an opening date.

Once you open, market your services by describing what they are designed to do. Cosmetic products are regulated by the FDA, and claims that a product treats a condition or changes the structure of the body can move a product outside the cosmetic category. Describe results in hedged terms such as "may help" or "is designed to," avoid promises of permanent outcomes, and check product labels against the manufacturer's directions. Clients will judge your salon on consistent service and clean facilities more than on bold claims.

For free business guidance during planning, the Kentucky Small Business Development Center (KSBDC) at kentuckysbdc.com can help you review your plan before you file.

Disclaimer

This article is general information about forming a business and licensing a salon in Kentucky. It is not legal or tax advice. Fees, deadlines and KBC requirements can change, so confirm every figure with the agency named before you file or pay. If your situation involves a multi-owner structure, a lease with build-out work, or a question about how a tax applies to your services, talk with a Kentucky attorney and a certified public accountant (CPA) before you commit.