How to Start a Home Remodeling Business 1-2-3

Starting a remodeling business does not require a large investment or even much overhead to operate. You can also cut costs by working out of your home. You'll need tools and a vehicle, and you can rent larger equipment until you can afford to purchase (if you decide to).

First, select a remodeling niche in which you want to specialize. Will you do the work yourself, or do you prefer to sub-contract the work out? Do you want to hire employees?

Put together a remodeling business plan to help you figure out start-up and operating costs and to give you a roadmap to follow as you grow your business.

Steps to Start a Home Remodeling Company

2. You will need to get a business license from your local city or county office (state-by-state listings here). If you don't already have one, you'll need a contractor's license as well. Although not necessary, the National Association of the Remodeling Industry also offers certification programs to professional remodeling contractors who work in the field full-time.

3. If you are not using your personal name as your business name, register business name with the county clerk. If you want to incorporate your business, you can review information online to see how incorporating may benefit your remodeling company. Get a business tax ID from the IRS website. You can also get information at the website about business income tax, self-employment tax and estimated taxes.

4. It's important to keep personal and business finances separate, especially come tax time. You can open a business bank account with a FDIC insured bank in an afternoon for minimal cost. It's a good idea to interview a few banks to compare services. There are many other benefits that a business account can offer, so make sure to ask.

5. Meet with an insurance agent to find out the exact insurance you are required to have and additional options you may want. The IIABA (Independent Insurance Agents & Brokers of America) can help you find a reputable agent in your area. You can also use insurance network websites to get business insurance quotes for free.

6. In order to make the most of the tax benefits your remodeling business offers, set up a meeting with a local tax accountant. This doesn't obligate you to use their services, but you can get a better understanding of what tax and accounting tasks need to be done, and if you'd prefer to do them yourself. If you decide to do your own business bookkeeping, pick up some business accounting software like Quickbooks Pro. See also: small business tax deductions.

7. Give your customers a professional first impression of your business when they initially contact you. If you have internet service, you can use a virtual phone and fax service with voicemail and lots of other features included for less than $10 a month. Month after month, this can add up to a substantial cost savings.

8. Get business cards and other promotional materials you'll need for your business like brochures or postcards. Hand them out to people you know and include them in all correspondence. Business cards work well as cheap advertising too. 250 Free Business Cards. See also: 30-50% off Postcards, Brochures and more Design your own marketing materials online using professional templates. Designs provided, printing done for you.

9. Set up a website. A website can help you advertise your remodeling services by showing your previous remodeling work, including photos, providing contact information, offering discounts and detailed information that potential customers want. You can save money by creating your own website with simple online design programs, or outsource the job to an affordable website designer.

Getting started:

Linda Case has worked in the remodeling industry for over 30 years. She also writes for Remodeling Magazine and has coached hundreds of remodelers on their businesses. Along with industry expert Victoria Downing, she's put together an Action Plan for Profit, specifically for people wanting to start their own remodeling businesses.

Find out:

How to Land Profitable Jobs: How to sell yourself and your services so that you get the work you want and you don't spend a lot of time marketing.
How to Make Clients Happy... so they will refer more business to you and hire you for more jobs.
How to Find Awesome Workers: How to find great people to work for you so that you can make more money and spend less time working.

Start a Remodeling Business

Marketing Your Remodeling Services

Get Free Publicity
Besides advertising in your local yellow pages and placing ads in newspapers and neighborhood mailers, you can save money by writing a brief press release or "letter" to your local paper announcing your company's premier opening.

Offer a special discount or free offer for first-time customers, and publications will find this more newsworthy. This means that they're more likely to publish news about your company. Your press release doesn't have to be long, and you can find press release samples here: How to Get Free Press.

Set up a simple website for under $50/year to advertise your remodeling services. Help people find you in the search engines: get listed in 20 search engines for free or in 300 search engines for $4.

Local Search is becoming more and more popular. People are many times using online search instead of the traditional yellow pages to find local businesses. Local Search sources that are affordable and receive substantial traffic include: Google Local, Yelp, Super Pages and Insider Pages.

Advertise your services, find clients online and bid on projects with online contractor networks like MiNeeds.com, BidClerk or Service Magic.

Advertise with Signs
Use a car magnet to advertise your business while you are on the road, a yard sign to announce a sale or a banner to promote your store's grand opening. You can design and create your own signs cheaply online using SignsBannersDecals.com.

Print Brochures Showing Your Services and Expertise
Don't just tell people about your remodeling business - show them! Pictures are worth a thousand words, and brochures can present a professional company image - while selling your services to potential clients at the same time.

You want to use quality materials and photos if you can, but company brochures don't have to be expensive. You can use programs online to design your own brochures, and have them automatically printed for you at a discounted price.

Postcard Marketing
Do a postcard mailing to introduce your remodeling service to potential customers (businesses and/or individuals). Using low-cost online services makes this an easy marketing task. First, choose a special offer thatyou want to announce to potential customers. Second, design your postcards online using professional postcard templates with VistaPrint (you can get 50% off here). And third, get targeted leads from a lead generation company like Resource Nation.