Top 6 Tips to Start a Professional Handyman Business
As a handyman, you should already know the fierce competition you are pitted against daily by your competition. But handyman business has seen a surge in growth lately, so here are a few ways how you can earn your piece of the cake, and eat it too!
1. Create a Business Plan
Whether you are starting on a small or large scale, you need a business plan! Not having a business plan is like setting out on a vacation without knowing the destination.
There are several things to take into account when creating a handyman business plan including the amount of money you anticipate to make, number of clients you can handle, type of handyman business, budget for overhead costs such as tools, etc.
Once you have determined the answers to the aforementioned questions, jot them down for three time periods — six months, three years and five years.
Then, be sure to set up some type of periodic updates or notifications, so that you are aware of where you stand, and that you are on track.
2. Learn About the Laws in Your Area
Laws vary across states, which is why you need to learn and stay updated in areas where you will be conducting business. For example, some US states require a license for certain types of jobs, whereas others do not.
You can easily get this information by visiting any official government websites, and even download the forms from there if applicable.
3. Get to Know the Amount You can Charge
Similar to laws, another aspect to consider and look into is the limits on how much you can charge as a handyman.
Some states do require a contractor license for jobs valued at more than $500, and in other states that number may rise to $3000.
Adding to this, certain states and even clients may ask if you have an insurance for small business policy, which is something you ideally should have when starting a business.
4. Invest in a Handyman Insurance Policy
There are several things that could go wrong as a handyman including injury on the job, theft of tools from your vehicle, and injury and property damage to third parties.
In the event of these unforeseen circumstances, a handyman insurance policy comes in handy, as it lets you work confidently, and rest peacefully knowing that you are covered financially.
Some states do require all handymen to have some type of insurance, regardless of the business type you operate.
5. Check out the competition
Regardless of the type of handman business you are planning on running, you need to scope out the competition, and then compare how you stack up to them in terms of performance and pricing.
To get a list of your competitors, you can simply enter “handyman” and city name in any major search engine. Things you should check out about your competition are their services, prices, customers, and marketing strategy.
6. Choose Your Services Wisely
As a handyman, you may be skilled at several different professions such as drywall and roofing, and as such it may be natural to take on all the jobs you are qualified for.
But sometimes it is best to only take on projects that are in demand and high in value, so that you can make the most money at the end of each day.
For example, handymen are often times commissioned for a job as simple as hanging pictures on the wall.
And even though you will be paid for taking on this task, the maximum pay will be much less than if you were to commuting to a job laying down shingles on a roof.
Final Thoughts
Starting a handyman business is a wise decision, most notably because you are your own boss. But it is also a tough business, and one that requires careful planning in order to stand out from the crowd.