Do you want to provide services around your locality and finding for the right way to do it? Here you will find a step-by-step guide on how to start a handyman business. Most people have many questions before they start offering any services. You may also have those questions such as:
- What are the steps I need to start a handyman business?
- How much money will I make?
- How to get a license?
Anyway, you may have a few other questions, but essentially, every handyman business includes more or less similar steps. In this article, I am going to share an eight-step process on how to start a handyman business. Now let’s get started.
How to Start a Handyman Business: The Basics
Here I will walk you through a seven-step process that will help you understand how to start a handyman business. Let’s take a quick overview of the steps that we will cover in this article.
Step 1: Select Your Services Based on Your Skills and Market Need
Step 2: Learn About the Handyman Laws and Get License
Step 3: Identify Your Ideal Customers
Step 4: Prepare a Business Plan
Step 5: Get Licensed
Step 6: Set Your Pricing
Step 7: Marketing Strategy
Step 8: Some Important Questions
Once you understand each step thoroughly, you will develop the right knowledge on how to start a handyman business and make it profitable in the long-run.
Select Your Handyman Services Based on Your Skills and Market Needs
Before you decide to start a handyman business, you need to evaluate two critical things:
- Evaluate Your Current Skills
- Figure out the Market Demand
If your current skills and market demand for a service match, it’s a great thing. But if there is a market demand for a particular service, but you don’t have the rights skills, then you can develop it. However, if there is no market demand for your skills, you need to reconsider before you start the business. Now let’s take a closer look at the two factors.
Evaluate Your Current Skills
While evaluating your skills, you might think that whether you need to offer every service. Well, you don’t have to provide each and every service that the household needs. You can earn huge profits by providing a small range of services. Moreover, you can also become profitable by offering only a specific service.
If you cannot get the license for the most demanding services like plumbing, HVAC, or electrical, you can start with other services that don’t require a license. For example, you can offer lawn care services, door repairing, lock repairing, etc. However, you need to consider the market demand for the services you want to offer based on your skills.
Figure out the Market Demand
Most people who start a handyman business don’t consider whether there is a demand for the services they are going to offer. Finally, they end up making a loss of time, money, and resources. Although they gain some experience, considering the market demand in advance could save a lot of things.
If there are many handyman businesses providing the same services like yours in the city you are living, then reconsider your use. On the other hand, if there is no handyman business that offers the service in demand, you can establish your business here.
The next step on how to start a handyman business is to understand the handyman laws.
Understand the Handyman Business Laws
The worst mistake many people make is they start a handyman business without a license. Before you prepare a business plan, you need to understand the handyman business laws in your state.
First of all, educate yourself about the handyman business laws that which services you can provide with or without a license. There are many such services that you can provide without a license, and some services need a contractor license.
I recommend you start a service that does not need a license because you may able to handle the small repairing jobs than bigger jobs with a license. It’s easier and better to start a service that does not need a license.
Identify Your Ideal Customers
The third step on how to start a handyman business is to specify your target customers. Initially, you may tend to work for everyone who hires you for service regardless of what price they offer. As you are starting out, you may want to grow your reach by giving services to every possible customer. But you may end up falling short and gain bad reputations.
So you should take this factor into consideration. Don’t lower your rates for getting more customers. Otherwise, you may end up losing huge money in the initial years. So focus on designing your business for a specific range of customers. Don’t offer your services to those customers who are not a good fit for your business.
It’s a fact that there are some customers who are not ready to give the price you deserve and they try to lower your fees. If you don’t agree with them, they will give you bad reviews, so there is no need to provide services to such customers. Focus on those customers who are ready to pay your price if you offer good services.
Other factors to consider while choosing your ideal customers are:
- Distance: Some customers stay fifty miles away; some customers may stay only a half-miles away.
- Demand on Quality of Service: Some customers demand the best services, while some customers demand the job done.
If you choose specific customers who pay you the right price and happy with your service, then you will enjoy working more and stay motivated unless you may end up losing interest in your business and become frustrated with the bad experiences. If you are providing services to everyone, you may struggle both financially and mentally.
Many people neglect this part, but it can give you a good reputation, more referrals and you will enjoy your work. Now let’s move on to the next step of how to start a handyman business.
Prepare a Business Plan
Once you are ready with the services you want to offer, licensing requirements, and the ideal customers, you need to prepare a business plan for your handyman business. Most people start a handyman business because they don’t want to work under a boss. They want to work independently for themselves and live life on their own terms.
Initially, that may be a good reason, and you may feel motivated, but with time it may fade away. So a business plan is necessary to keep you on track. Even though you don’t need a full-proof plan but you can have goals for different time periods.
- Short-term: You can prepare a list of things to achieve in a six-month time period.
- Midterm: You need to specify what milestones you will reach within one year.
- Long-term: Finally, you need to have a long-term vision that means for three or five years.
Invest some time to break down every part and try to be as specific as possible with your planning. The more specific your plans, the better you can measure your progress, and you can make modifications later. You can ask these crucial questions for each of these time periods.
- How many customers will you have?
- Where are you going to work?
- How many profits will make?
- What will be your business size?
Try to answer these questions with specific, measurable, and reasonable. If the goals you are setting for yourself do not make any sense to you, they are not actual goals. Now let’s take move on to the next step on how to start a handyman business guide.
As we have discussed in the previous steps about the handyman business laws. Now you have prepared a plan that means you know how big your business is and whether you need a license for starting your business or not. If you have a small project, then you can work without a license but you may need it later. So get licensed when your business requires it.
Set Your Pricing
Now one of the crucial parts is pricing. Here many people make mistakes because they properly don’t analyze their own credibility and the market demand. So here is what you need to consider while setting your price.
How Much Can You Make?
It may be surprising for you but it’s possible to make a six-figure income if you become a pro handyman. There are many limiting believes that can conserve you to charge higher even though you deserve it. Although it is difficult to set the right price for your service the following things will help you decide.
- Your level of expertise.
- Work experience in a number of years.
- Selling skills
The above things matter, but you should never provide services that do not earn you profits. For that, you need to offer good quality service and have the right mindset for charging a particular price. You shouldn’t keep a price for your services from anywhere. You can conduct your research on how to set prices for your handyman services.
Once you set up your business, you might think of marketing about your business. However, it’s not a good strategy to think of marketing at the end. You need to start advertising and marketing your business, even before setting up your business.
Digital marketing is a great way to promote your services and get the ideal customers. There are different ways to market your services with the help of digital marketing. Some of the effective ways to market your handyman business are social media marketing, PPC advertising, etc. Don’t just take it for granted that word of mouth will take your business to the level you want. You need to be strategic in promoting your services. Now let’s understand the final step of how to start a handyman business.
Some important Questions
Finally, here are the two important questions you need to answer before you start your handyman business.
Is Handyman Business a Good Fit for You?
Well, you need to be honest with yourself and answer this question. Do you really enjoy working with your hands and with people? If yes and you are self-motivated, you will enjoy your work, and it’s a fun job to do. You can make good profits and you will get work satisfaction.
What do You Need to Start Your Handyman Business?
Although I have shared everything in detail in the article, let me make it clear what you need minimum to start a handyman business. The first thing is money, a business bank account, handyman insurance, and a contractor license to gt started.
Here we come to the end of the guide on how to start a handyman business. Now let me quickly summarize what we have learned from the article.
Frequently Asked Questions
Here are the frequently asked questions whose answers have been scouted from the internet to clarify more of your queries.
1. How Profitable Is A Handyman Business?
Although, working as a handyman can be freeing with flexible hours and freedom during the job. However, the salary prospect is not that lucrative when it comes to making high profits.
2. What Handyman Jobs Pay The Most?
These are the 4 best paying handyman jobs in the United States.
Ace Contrators: $62,000/ per year
Ace corporate: $61,000/ per year
Home Handyman: $61,000/per year
Indepependent Handyman: $59,000/per year
3. How Can A Handyman Make A Lot Of Money?
Work for yourself to get recognized.
Make sure to charge high for professional service, especially for workplaces.
Finding the correct clients is important
4. What Can I Write Off As A Handyman?
Home Office cost for furnishing
Once you follow the eight steps mentioned above, you can build a profitable handyman business. First of all, start with analyzing your skills and market demand then learn about the laws. After preparing a business plan, you get licensed and set prices for your service. Lastly, prepare a marketing strategy and ask important questions before you start your business.
In this article, we have tried to answer the question- how to start a handyman business. If you have followed the article, you will be in a much better position to understand what it takes to set up a handyman business.
I hope the above information has helped you to understand how to start a handyman business. If you have any queries, feel free to ask and share your thoughts on this post.
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