Huh? In Toronto, spas pay $12,000 annually for their license. Attendants licenses are $500 each. There are 25 body rub parlors in Toronto, that's $300,000 from bodyrub parlor renewals. Each spa has anywhere from 20-100+ girls, that's a low estimate of $625,000 from attendant licenses. Toronto cannot afford to lose $1million+ dollars.
Then there are holistic's...500+ holistic spas @ $1200/yr, so there is another $600,000. then attendants @$350/each... about 10-30 girls per spa....so low end that's $1.75million more.
Then strip clubs.
There are no barriers of entry allowed in Toronto body rub parlors.
While what you are saying is true. The decision to keep or remove these types of business won't be based on your over simplistic analysis. The city can easy "afford" to stop licensing these businesses. The city has an operating budget of 9.6 billion dollars. the 1-2 million from licensing these business is really absolutely nothing. And by shutting down these businesses the city can save on a lot of overhead costs like policy development, bylaw enforcement, licensing, IT costs, etc. So it won't really cost them anything at all. Whether they do it or not is another story.

