1.4 Salon Types, Salon Licensing, the DLSM & Services Outside a Licensed Salon

Key Takeaways

  • A salon license is required for each physical location, and two licensed salons may share only restrooms (Minn. R. 2105.0310, subp. 1).

  • Salon licensure requires a manager and professional liability insurance of at least $25,000 per claim and $50,000 per policy year for each practitioner (Minn. Stat. 155A.29, subd. 2).

  • An initial salon license costs $350 and renewal costs $225; the salon license expires on the last day of the month of initial licensure.

  • A new owner, new location or new business structure needs a new salon license within 60 days, and the salon must stop operating on day 61 if it has none (Minn. R. 2105.0322).

  • A salon manager license requires an active operator license and a passing salon manager test; the 2,700-hour practice requirement applies to instructors, not managers.

Last updated: September 2026

1. Why Salon Licensing Is on an Esthetician's Exam

State exam content area II(d), types of salons and maintaining salon licenses, draws on Minn. Stat. 155A.29 and Minn. R. 2105.0310, 2105.0322, 2105.0330, 2105.0393, 2105.0397 and 2105.0520. Area II(e), licensed services not offered in a licensed salon, draws on 155A.275 and 2105.0410. Even if you never own a salon, you are responsible for confirming that the salon you work in holds an active license (Minn. R. 2105.0190, subp. 1). Many salons are owned by a single esthetician who also serves as DLSM.

2. The Core Requirement

"A person must not offer cosmetology services for compensation unless the services are provided by a licensee in a licensed salon or as otherwise provided in this section" (155A.29, subd. 1). Regulated services must not be provided anywhere other than a licensed salon or licensed school unless chapter 2105 allows it (Minn. R. 2105.0322, subp. 5). Salons may not employ unlicensed people to perform regulated services, or let them perform services without pay (subp. 2).

Conditions for any salon license (155A.29, subd. 2, as amended 2026):

  1. compliance with local and state laws, particularly on infection control, health and safety;
  2. the appointment of a manager;
  3. if applicable, workers' compensation coverage; and
  4. professional liability insurance of at least $25,000 per claim and $50,000 total per policy year for each practitioner.

Application (Minn. R. 2105.0310, subp. 2) includes: salon name and owners; notarized owner signatures; Certificate of Assumed Name if needed; Certificate of Organization (except sole proprietorships and general partnerships); tax identification; certificates of liability and workers' compensation insurance; a statement of compliance with building codes, the State Fire Code and OSHA; a floor plan drawn to scale; and the DLSM's name, license number and notarized signature.

One license per physical location. A salon license is needed for each physical location. A licensed salon may not share physical space with another licensed salon except restrooms, and it may not sit inside another salon's perimeter (subp. 1).

Fees (155A.25): initial salon license $350 ($250 + $100 application); renewal $225 ($175 + $50); expedited initial salon license $300; salon late renewal fee $50.

3. The Designated Licensed Salon Manager (DLSM)

  • The owner must appoint a DLSM and register that person with the Board. The DLSM signs an acknowledgment of the role (Minn. R. 2105.0305).
  • A salon registers only one DLSM, although it may also have unlicensed business managers (Minn. R. 2105.0390, item B).
  • A DLSM may not be responsible for more than one salon unless the salons are not open at the same time and the hours are attested in writing.
  • The DLSM does not have to be on site at all times but remains responsible for compliance even when away. The owner and DLSM are responsible for the salon "at all times, even when not present."
  • A departing DLSM notifies the Board in writing. Until the Board receives notice, the DLSM stays liable for the salon's compliance.
  • The owner tells the Board within ten business days after a DLSM leaves and has 60 days to register a new DLSM (Minn. R. 2105.0322, subp. 10).

Salon manager license (Minn. R. 2105.0145, subp. 2). An operator with an active Minnesota license submits an application, original passing results on the salon manager test no more than one year old, and fees. A new applicant may apply for operator and manager licenses together. The PSI salon manager exam is 30 items (25 scored) in 1 hour for $48. The 2,700 hours of licensed practice in the prior three years is an instructor requirement (subp. 4). It does not apply to managers.

4. Salon Types

TypeKey rules
Standard commercial salonMeets chapter 2105 physical and operational rules; displays its licensed name at the primary entrance (Minn. R. 2105.0360, subp. 1)
Salon in a private residence (155A.29, subd. 3a; Minn. R. 2105.0393)Salon space is never used for residential purposes; permanent solid floor-to-ceiling partition from the living area, with any connecting door kept closed; all services in the salon space; laundry tubs may not be shampoo bowls; if there is no salon restroom, customers may use the home's bathroom, but medications and hazardous substances there must be locked up; inspectors get access whenever the owner or DLSM is home; name displayed at the driveway entrance
Mobile salon (Minn. R. 2105.0395)License tied to one specific vehicle or trailer; services inside only; permanent business address; potable water tank plus wastewater tank at least 15% larger; no operating at 10% water or 90% wastewater; parked, engine off, leveled, at least two wheel chocks; carbon monoxide, smoke and gas alarms; itineraries provided on request
Suite-style salon (Minn. R. 2105.0397)Either one salon license covers every suite or each suite holds its own license. Under a single license: the salon license is posted at reception and at each customer entrance, practitioner licenses are posted inside the suite, SDSs are kept in the suite or a central location, and the salon has a designated handwashing sink and disinfecting area

5. Keeping a Salon License Valid (Minn. R. 2105.0322 and 2105.0330)

EventWhat the rule requires
Move to a new locationLicense does not transfer. Apply for a new license; 60 days after the move; cease operations on day 61 without one
Change of owner (including sale of the owning corporation)New license within 60 days if the old one has not expired; if it had expired, no operation until licensed
Change of business structureNew license within 60 days
Name change onlyWithin 60 days file a form, legal documents, updated insurance certificates and the fee; the license is reissued on the same cycle
Remodel or contiguous expansionNo report required, but changes must meet chapter 2105 and building codes
RenewalExpires on the last day of the month of initial licensure every three years; the owner and DLSM are responsible even without a notice. If the renewed license is not issued by the expiration date, the salon must stop operating. More than six months late, it must apply as a new salon

Salons also keep proof of current professional liability insurance on the premises, including for practitioners who lease space.

6. Licensed Services Outside a Licensed Salon (Minn. R. 2105.0410)

Nursing homes, housing with services and assisted living (subp. 1). A salon inside one of these facilities needs a salon license if it serves anyone other than homebound residents. It may operate unlicensed only if it serves homebound residents exclusively and is used by licensees with homebound permits, facility staff doing limited services, family members, or unpaid volunteers.

Homebound service permit (subp. 3). Lets a licensee serve residents of a licensed nursing home or a homebound person at home. Requirements: an active practitioner license, a professional liability insurance certificate, an attestation, and the fee ($50 for three years). The permit is issued on a three-year cycle and is void while the practitioner license is expired. Holders follow parts 2105.0375 and 2105.0377 and carry a compliant first aid kit when not in a licensed nursing home. Hours worked under the permit do not count toward salon-hour requirements for other licenses.

Special event permits: repealed in 2026. Minn. Stat. 155A.275 let an active manager perform limited services, such as makeup by estheticians (but never eyelash extensions), at weddings and similar events under a $75-per-year permit. Each event had to be registered 48 hours ahead. Laws 2026, chapter 119 repealed 155A.275 and deleted the $75 fee effective August 1, 2026. The State exam outline was written before the repeal and still cites 155A.275 and 2105.0410, so learn what the permit was, but in current practice, makeup at an off-site event is lawful only under another exemption. One example is makeup-only providers who complete the four-hour course under 155A.27, subd. 9(c).

Scenario: An esthetician buys an existing licensed spa on June 1. The previous owner's salon license does not expire until next March. The new owner has until July 31 (60 days) to obtain a new salon license and must stop operating on day 61 without one. The seller's license cannot be transferred.

Test Your Knowledge

What professional liability insurance must a Minnesota salon show to be licensed under Minn. Stat. 155A.29, subd. 2?

A

$10,000 per claim and $20,000 per policy year for the salon only

B

$1,000,000 per occurrence for the owner

C

No insurance is required if the owner is also the DLSM

D

At least $25,000 per claim and $50,000 total per policy year for each practitioner

Test Your Knowledge

An esthetician holding an active operator license wants to become her salon's DLSM. Which requirement applies to the salon manager license?

A

Passing results on the salon manager test no more than one year old, an application and fees

B

Documentation of 2,700 hours of licensed practice in the past three years

C

Completion of a board-approved instructor course on teaching methodology

D

Five years of licensed practice in Minnesota

Test Your Knowledge

A licensed skin care salon moves across town to a new storefront. What does Minn. R. 2105.0322 require?

A

Notify the Board of the new address within 30 days; the license moves with the business

B

Nothing, as long as the DLSM stays the same

C

Apply for a new salon license; the salon has 60 days after the move and must stop operating on day 61 without a license

D

Pay a $20 duplicate license fee to print the new address

Test Your Knowledge

Which statement about a salon located in the owner's home is correct under Minn. R. 2105.0393?

A

The salon must have its own exterior entrance and a separate restroom

B

The salon space must never be used for residential purposes and must be separated from living areas by a permanent floor-to-ceiling partition

C

A folding screen may separate the treatment room during business hours

D

Home salons are exempt from inspections when the owner is not open for business

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