We’ll be looking at the cost implications of starting a plumbing business. Luckily, the expenses for this business are generally minimal.
As a plumber seeking to establish your business, you’re likely to face difficulties in coming up with accurate figures for your startup capital.
In other words, knowing the cost of setting up your plumbing business can be confusing. We have stepped in to make this process easier.
Average Plumbing Business Startup Cost
In starting your plumbing business, knowing your overall expenses is of the essence. This helps guarantee making informed decisions on the allocation of resources. One of the most essential requirements for a plumbing business is a van or truck.
Now, there are options available to you. You can decide to get a new one which might cost as much as $30,000 or go for a used truck which costs much less. Another option is to lease one to significantly cut down on expenses.
Plumbing equipment or tools will cost you around $5,000. These consist of tubing cutter, pipe wrench, hole saw, closet auger, slip joint pliers, and hand auger or snake.
Other types of equipment include compression sleeve puller, hack saw, propane torch & solder, plunger, and basin wrench.
However, these tools will be worthless when placed in the hand of a novice. As such, you’ll need to obtain certification or licensing. This will take a year of training before being qualified for one.
A plumbing certificate will cost anywhere from $1,500 to $8,500.
As a professional, you’ll require a set of uniforms. Getting there won’t cost much and will start at $300. To market or spread the word about your plumbing business, you’ll need the right tools. These include business cards among others.
Well designed business cards will start at $100.
Plumbing businesses will need insurance coverage. A comprehensive insurance plan for your plumbing business should cost between $600 and $2,000 a year.
If you have your plumbing equipment already, it will cut down on the overall startup costs.
Cost Of Starting Your Plumbing Business – Break Down
Having provided an answer to the cost implication for starting a plumbing business, we’ll now shift our focus to the “how” of starting this business.
Starting one isn’t so difficult. It involves the following process;
Cost Of Getting Certified And Obtaining The Required Licensing
Each state has its unique certification and licensing requirements for plumbers. You’ll have to find out what your state’s requirements are.
One of the easiest ways of finding out is by performing a Google search on plumbing license requirements and including your state’s name. This will come up with relevant results and how to go about the process.
It is best when going through the search results to stick with trusted sources such as government websites.
So, what does it take to get certified? If you’re an absolute beginner who’s interested in pursuing a career in plumbing, you’ll need to have a GED or high school diploma.
Certification programs for plumbers are usually held at local colleges and include courses that focus on building codes, safety techniques, piping methods, math, design of water and waste systems as well as welding skills and trade documentation among others.
Getting some experience is also vital. One of the ways you can achieve this is by taking apprenticeship training. Here, you’ll be learning and working under an experienced plumber and getting paid at the same time. It will take between two to five years to complete such training. That way, you gain experience in addition to building your network.
After the apprenticeship program comes to the licensing exam. In certain states or regions, licensing will need to be renewed periodically. After obtaining your license, you can begin to practice independently.
Cost Involved in Developing A Plan
One of the primary requirements for starting a plumbing business has to do with having a plan of action. Without this, your business will be left to chance. Your plan achieves several things.
First, it holds you accountable as well as guides your business towards growth and profitability.
A plumbing business plan covers all aspects of your operations from your pricing plan to the targeted market as well as your area of operation. You’ll also need to identify your unique selling point.
In other words, what makes your plumbing services stand out from those of your competitors?
You should also have set business goals among other things.
Plumbing Equipment Costs
We earlier listed the tools necessary for every plumber to have. However, when getting these, you should pay close attention to the quality of such equipment.
Getting the most basic ones and also those which are durable should be your target.
Cost Of Business Registration And Insurance
Clients will only feel comfortable and confident patronizing a registered and insured plumbing business. Every state has its set of laws guiding the operations of plumbing businesses. Being able to meet such requirements starts with getting your business registered.
As a plumber, you’ll be dealing with a lot of liability. This calls for getting your business insured. Now, the cost of insurance varies from state to state.
Also, the cost of getting insured is influenced by your business size or the scale of operations of your plumbing business in addition to the type of insurance you wish to apply for.
There are different types of insurance plans you can apply for. These range from workers’ compensation insurance, general liability insurance as well as commercial automobile insurance among others. Does this have any benefits for your business? A lot!
The main benefit derived from an insurance coverage is that protects your business, workers as well as clients in the event of an accident or property loss. Your plumbing business is only taken seriously by the client if it is bonded or insured.
In discussing how much it cost to start a plumbing business, we’ve been able to establish the fact that it doesn’t cost as much to start one.
What more? We further broke down the cost into equipment, uniforms, tools as well as a vehicle or truck among other things.
Apart from providing information on plumbing startup costs, we also included the steps to take in setting up your business. Every information included here goes a long way to helping you succeed.