PROPERTY MAINTENANCE BUSINESS PLAN SAMPLE
Whenever a building is constructed, it starts to deteriorate in value and requires periodic renovation to put it back into shape.
Real estate maintenance and renovation industry is huge and highly rewarding if you follow the right procedure.
This article will provide tips on starting a property maintenance and renovation business.
Here is a sample business plan for starting a property renovation and maintenance business.
- One-off versus Long-Term Accounts
As a property manager, you will come in contact with clients who require a one-off maintenance solution and those who need a long-term maintenance contract. Most property managers prefer long-term contracts. This is because there is a steady income stream. Another reason is the fact that you do not need to spend a significant amount of time waiting for patronage.
One-off contracts on the other hand require one-time property maintenance. Under this arrangement, you will need to constantly be on the lookout for new clients. It is best if the two are combined. Also, one-off accounts can be converted to long-term accounts if your clients trust your service(s).
- Limit Your Scope of Operation for a Start
As a new property maintenance business, number of employees will be limited. Hence you need to adjust your services to what you can provide without overstretching yourself. As the business grows, more services can be added as more employees are hired.
Your new business will have a limited number of clientele. This will increase as more people get to know about your services. This is where marketing becomes vital to business growth.
What Tools are required?
Starting a property management business requires tools. It is expected that you already have prior knowledge in this area. If so, then you should have an idea of the tools required. If not, the following are some tools you must have;
- Property Maintenance Tools
They include screw drivers, locking pliers, shovel, different sizes of ladders including a six-foot stepladder, reversible drills, measuring tapes, adjustable wrench, hacksaw, chisels, combination square, four-in-hand file, post hole digger, wrecking bar, circular saw, mower, extension ladder, bow saw and many more. Most of these can be found in a standard tool box.
- Other Essential Items
Apart from those listed above, other things you need include a truck or van, cleaning equipments, business cards, business brochures, a dedicated business line, an insurance coverage and most important of all is a professional license.
Choose Only Maintenance & Renovation Services you are most comfortable with
When starting this business, you should choose only those services which you are most comfortable with. As your business expands and you employ more professionals, you can add more services. These added services would be those your new employees are highly competent in.
During the course of your business, you will gradually shift to more managerial roles. This becomes necessary as you find competent hands to get the job done.
Obtaining a Business License
A business license gives you the legal backing to provide property maintenance services. Clients are also interested in patronizing licensed property managers. How do you obtain this business license? Through the following steps;
- Register your Business Name
This may be handled by the Office of the Secretary of State, Department of treasury or the Depart of Licensing. This depends on your state.
- Under Training
To qualify for a property maintenance license, you need to enroll for training. This may be offered during apprenticeship programs, colleges or technical schools. The aim of such training is to obtain an official recognition that qualifies you for licensing.
- Liability Insurance
This is very important because during property renovation, damages may occur. Liability insurance covers such damages and compensates clients. It is necessary to find out insurance companies that offer the best liability insurance most suitable for your business.
- Submitting your Licensing Application
The licensing body receives your application for review. This process may take up to a month before a license is finally issued.
Your License should be Up to Date
It is necessary to ensure that your license as well as those of your workforce (if any) is up to date. Your employees will handle most of the jobs while you supervise and manage the business. Without having the required licensing, your business may be up for liability when things go south. You shouldn’t allow this happen. Diligently going through paperwork will keep your business safe.
Grow your Property Maintenance Business One Client at a Time
A satisfied client is always an asset. Most clients with one-off accounts are convinced to switch to long-term accounts once their expectations are met or exceeded. You should invest time and effort in ensuring your clients are fully satisfied.
By approaching this one client at a time, a buzz about your services will be created in no time.
Consider Putting in More Time
A new business requires more time during its formative years. You can commit more time in ensuring that your business kicks off with minimal interruptions. This is a key to growth. Marketing is an important component of any business including a property renovation business. Investing more time in for this will expand your client base.
Starting a property maintenance and renovation business has been our focus. We have discussed some of the basic requirements for running a successful maintenance business. It is necessary to have a strong desire for this. Without this, your business will experience slow growth.