A Beginner's Guide to Starting Your Own Handyman Business

If you like working with your hands and have a knack for customer service, you might consider starting a handyman business. This is the kind of service that's consistently in demand, as people are always in need of repairs around their homes. That said, starting a business is a major project, so it's important to carefully plan your entrepreneurial endeavor. This step-by-step guide can help you get your handyman company started.

Hone your handyman skills

You can't just watch a YouTube tutorial or two and call yourself a handyman. You need to have the skills it takes to do the job safely and correctly. Many local community colleges offer coursework in practical skills like tiling and electrician's work. U.S. News & World Reports offers a guide of community colleges you can search to find a school in your area. You can then get the training you need to get started.

Consider selecting a specialty

Some people work as generalists in the handyman field, while others focus on unique specialty areas. Popular niches could include flooring or siding, for example. Decide in advance whether you want to be a generalist handyman or a specialist. If you choose a niche field, keep in mind that you'll have to compete with tradesmen. For example, focusing on electrical work like light installations means competing with electricians.

Get the permits or licenses you need

Most states require that handymen have some kind of license attesting to their skills and their ability to do their work safely. Research municipal licensing requirements using this state-by-state directory from Cover Wallet. Proving to clients that you are licensed makes you more marketable. Plus, if you're caught working without the requisite permit, you may face fines or other administrative penalties.

Secure the necessary insurances

A handyman works in people's homes, sometimes with dangerous or heavy equipment. If something happens, like you accidentally break something in the house, you want to make sure you can afford to pay for it. Insurance is the answer. This primer to handyman insurance explains what types of coverage you may need. General liability insurance covers you in case of on-the-job accidents, for example.

Set up the administrative side of your business

Before you start business operations, there are a few logistical points to address. First, consider registering your business as a formal legal entity, like an S corp or a limited liability company (LLC) with your state. An S corp Michigan filing enables business owners to claim tax deductions on company losses and offers savings on self-employment taxes. Meanwhile, an LLC in Michigan helps protect your personal liability in case of legal issues and offers tax advantages. Of course, these are just two examples of the legal structures available to you in Michigan. Take some time to research the best fit for your company based on your unique situation.

Once you’ve registered your business with the state, open a business bank account to keep your personal and professional finances separate. This will further simplify your bookkeeping.

Invest in the tools and technologies you need

You'll need to buy some tools so you can do your handyman work, so invest accordingly. Additionally, consider the technologies you'll need for administrative work. For example, construction cost estimating software can help you calculate how much to charge customers based on material and labor costs, and suggest a payment plan for customers. With this type of tool, you can even send estimates directly from the job site and follow up with customers via email reminders if an estimate has been sent but isn't yet approved.

Set up a website and start marketing

Once you've taken care of all the above points, you can finally get your business off the ground. The first step is finding customers! Begin by creating a website that outlines exactly what services you offer and provides details about your credentials, costs, and more. Then promote your business website using marketing techniques like social media and pay-per-click advertising.

If you want to become an entrepreneur but hate the thought of being stuck at a desk all day, a handyman business might be for you. The above guide walks you through the startup process, addressing all the points you need to consider to make your dream a reality.

Engage with other local entrepreneurs and access great business-building resources by joining the Macomb County Chamber of Commerce!

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