How to start a remodeling business

To start a remodeling business, you need to consider the costs, determine the prices for your services, and market your remodeling business. For details on each of these steps you can take to start a remodeling business, use this guide:

• Consider the costs. This depends on the size, scale, services you provide, and the number of employees you will have.

  If you are looking to start your remodeling business on your own, meaning you won't be hiring any employees, you can expect to spend somewhere in the range of $50,000 to $75,000 to get your business up and running.

  This includes the following costs:

  • Tool sets

  • Company vehicle

  • Supplies

  • Proper licensing fees

  • Insurance plans you will need

However, if you want to start a business that offers major renovation services, your costs will likely fall in the range of $250,000 to $500,000.

You will need this much start-up capital in order to hire qualified employees and acquire the appropriate amount of building materials needed for large-scale remodeling jobs.

Here are some ongoing costs to also keep in mind:

• Accounts with material suppliers

• Wages or salaries for your crews or employees

• Maintenance of your tools and company vehicles

Office space is another expense you might want to prepare for, though remodeling businesses can be run out of your home office, as long as you have a dedicated site for the storage of all of your tools, materials, and vehicles.

You can also market the old fashion way by handing out fliers, discount coupons, and other promotional items by hand.

You or an employee can hand out fliers in heavily populated community areas or blanket potential customers' cars with fliers in communal parking lots. You should make sure you comply with any local solicitation laws when doing this strategy though.

One of the best forms of marketing for a remodeling business is word of mouth.

Here you don't actually have to do much of the marketing at all, just simply provide very good services to your customers and ask your clients to recommend you to other possible clients and customers.

Other ideas for marketing include:

• Email campaigns

• Direct mail ads

• Radio spots

You should also be sure to add your company's name to all of your vehicles, this acts as free advertising when the trucks are outside of a job site or on the road.

Consider joining professional groups and organizations, such as the National Association of Home Builders or the National Association of the Remodeling Industry.

You can utilize the advertising power of these professional organizations to help promote your remodeling business.