Free Consultation|USA Only +1 (866)754 4460|Outside USA +1 (516)822 3100 or +1 (631) 623 5100 - Website Logo
  You are here : Home  >   Services  >   New Business Setup  
TESTIMONIALS - Testimonials  

Opening a Company for Cosmetics and Beauty Products

Existing customers please login to check the status of your order at Infotax Square Login here (0) (0)
0/5 stars (0 vote)
Category : > New Business Setup
Posted On : Tue Oct 04th,2016

An Ultimate Guide To Open A Company For Cosmetics And Beauty Products | Register a company for cosmetics products

The cosmetic and beauty products industry is earning billions of dollars every year. Every industry was an idea before but a proper planning turned ideas into brand titans. Opening a company for cosmetics products is quite feasible but a thorough planning can make it profitable and enjoyable.

Here is a complete guide to set up your company for cosmetics products

  • Why should you set up a cosmetic products business?
  • Make a feasibility report
  • Define your Goals
  • Evaluate the Competition
  • Choose a niche
  • Target your customer and market
  • Understand the risks
  • Budgeting- Cash flow
  • Engage your customer through consumer report
  • Marketing Strategies
  • Legal requirements to register a beauty and cosmetics Company
  • Business license and permits for cosmetics and Beauty products
  • Trademark the brand name or mark


Why setting up a cosmetic and beauty products business?

The beauty industry is a business which has been on the top always. There is no specific season for the cosmetic and beauty  products. Introducing new and distinctive brands can give you an edge to play a striking move. Keep in mind that doing an extensive research can lead you towards your dreams.


Prepare a feasibility report

A feasibility report helps you to evaluate the business success in simple words. Making a feasibility report will encourage you to be organized and take positive steps for opening a cosmetics company. Without planning and homework, your moves will be automatically distorted.


Defining your goals

Setting up your goals is the basic point to take an initiate in opening a new business. if you are not clear in defining and organizing your goals it would be difficult to maintain your approach.



  • What do you want to do? - Determine your aims
  • What are your expectations?
  • What is your strategy?

Evaluate the competition

When you don’t know the trends and the famous brands in the market you are missing something very important. Learning from the existing is crucial. You know the strength of your competitors and you can manage things better.


Choose a niche

Choose the area of your specialty. Which cosmetics part you can handle skillfully. For instance, you can cover up organic makeup, mineral cosmetics, and special effects makeup.


Target your customer and market

Knowing your customer is a turning point if you are going to open a company for cosmetic products. Decide your area and user cosmetic trends. Get survey reports and masses inclination. It is not necessary the same cosmetic flow is going everywhere. You need to understand the targeted audience. Are you capable of delivering the quality products to beat your rivalries?


Understanding the risks

It is not necessary to get hundred percent results at once as you open your cosmetics products business. you need consistency and commitment to your goals. Don’t be afraid of risks and face them too. For instance, if your customers are not satisfied with your product it doesn’t mean to be disappointed. You need to follow only following steps to sustain your courage, efforts, and skills on the right path


  • Get consumer report
  • Find out the customers’ feedback. It will help you to cover up your deficiencies
  • What the customers are expecting from you?

Sometimes it happens in the cosmetics industry that people expect more than the reality, you only need to improve the quality of your customer care and the product. Negotiating with your customers and getting their feedback will enhance your business ranking.

Budgeting- Cash flow

Cash flows mean either you have sufficient budget in your hand to maintain your initial business activities. Advance budgeting and cash flow aggregate make you strong to take decisions. You cannot rely on what can be your profit, the point is what are you earning. If you do not have enough money to operate, you must raise your funds first for a smooth flow of business.

What does a good cash flow offer?


  • You can measure your company’s growth
  • Evaluate the cash disbursement and expenses (you can manage your rent, payroll, travel, and other expenses)
  • Enables forward planning

i-what are your targets?
ii- what are your strengths?

  • You can set your targets
  • Evaluate your performance
  • Helps you in achieving your goals


Engaging your Customers through Consumer Report!

You should never miss this point if you are registering a company for cosmetics products. A good consumer report is actually your business backbone. It gives you:

  • what are the customers looking for?
  • What do they expect from you?
  • What is your performance?
  • How can you cover up?
  • Helps you to improve your quality both in product and customer care


It is the age of e-commerce and you cannot make your customer disappoint. Consecutive negative feedback declines your brand and reputation.  A good review makes you different and distinctive as compared to the other companies in the market.


Marketing Strategies

Building relationships make you a successful brand. Researchers have proven that people incline towards the company they know and trust. You can carry your marketing through following channels:

  • Get customer report and reviews
  • Conduct events, forums, and social networking (you can Tweet the topics relevant to your products)
  • Post helpful articles on your website frequently
  • Give credit or debit card facility to your customers or you can facilitate them through online portals such as or PayPal
  • Display prices on your website- let the customers compare prices


Legal requirements to start company for cosmetics and beauty products


Register your Cosmetics Business

Choose a name that reflects your business and get registered with the state authority. You can protect your assets by registering your business as an LLC or you have the option of sole proprietorship as well.


You can choose one of the following business structure to register your business name:


FDA Regulations

You may need to register with the U.S. Food and Drug Administration for filing and labeling the products.

you may need to know the following things:


  • Cosmetics are under the law!
  • Safety and labeling of the cosmetics
  • Make sure FDA has approved your product before dispatching it to the market
  • Who is responsible for the safety of the cosmetics products?

Obtain a permit

You may need a permit to open a company in the USA. It is up to your states’ laws and regulations. The seller's permit is required in most states of the USA to sell beauty products.


Get Insurance to protect your assets

It is highly advisable to get an insurance to protect your company’s assets from any incident.



You should also consider to trademarking your brand name.


Can a Non-resident open a company for cosmetics products in the USA?

Yes, a non-resident can open a company under following instructions:


  • The name of the company must be registered
  • File the taxes as non-US resident
  • He can file as manager managed if the owner is not available

Useful Links:


The Author of this article is a M.Phil in English Literature

Committed to give our users most updated news!
For instant news please subscribe at

Leave Your Comments
Your name :
Email Address : Will not be published
Please enter your email if you want us to send answer to your email. We have a strict policy of not to share your email address with any other party.
Your message :
Insert these letters into the textfield below: (required, case-sensitive): XSeJe
Do you want to Subscribe for
InfoTaxSquare Business News Bulletin?
Comments (0)
Load More
No Comments found, Be the first to write comment

Copyright © 2010, Infotax Square All Rights Reserved. - Allows Payment Processing With Visa, MasterCard, American Express and Discover
Terms and conditions, features, support, pricing and service options subject to change without notice.