You’re a technician at an HVAC contractor business, and you’re tired of working for someone else.
And you’ve heard that the air heating and cooling industry is an 84 billion-dollar enterprise in the US and is continuing to grow. After all, everyone, no matter what part of the county they live in, needs air conditioning or at least some heat source. And you’ve got a lot of background in the installation and repair of air systems.
Is it time to start an HVAC business? More importantly, can your new HVAC business be successful? Check out this brief guide to learn how to start.
Create an HVAC Business Plan
To start your own HVAC company, you need to first construct a business plan. Your business plan outlines things you MUST consider when creating your HVAC business. Some examples include:
- Business Description: What is the nature of your company? What problems can your company solve for the consumer? If you specialize in one facet of HVAC work, use that specialization to set you apart from other HVAC companies.
- Structure: Are you going solo as an HVAC contractor, or will you have a partnership with a colleague? There are corporation labels that have advantages and disadvantages for small businesses. Examine them all and decide which is best for you and how you want your business to run.
- Financial Plan: decide what equipment you need to own or buy to start your HVAC contractor business. You will need some capital and may need to obtain financing. You want to convince a lender that your business will be a success by providing an example of your growth projection over the next five years.
- Market Research and Solutions: Marketing is key to your business’s success. First, you need to find out who your competitors are and how you can improve their success. Next, you must create a website and use social media platforms to promote your business. Take advantage of marketing firms that specialize in contractor leads and let them do all of this work and more for you.
Get Proper Credentials
To be a legitimate HVAC business, you need to get all appropriate licenses, such as local/state business and contractor’s licenses. This process will require you to pass a contractor’s test to show you have HVAC knowledge, and you may need to take an HVAC certification course or two before this testing.
You will need liability insurance to cover injuries on your jobs, and workers’ compensation insurance if you plan to have other employees.
Finally, you will need to get an HVAC business bond that covers you in case the quality of your work does not meet standards.
Prepare Financially and Mentally
You will need to calculate all the initial costs of starting an HVAC company. Besides the items listed above, here’s a partial list of things you will need to buy:
- A company van or other vehicle
- Tools used in HVAC work
- Safety equipment
- Vehicle signage
- Marketing materials: website, business cards, company uniforms, advertising
Be aware that your business may not be profitable immediately, so have a reserve amount of money ready to support yourself with until that time.
Finally, realize that starting a successful business is hard work. It will require money, time, and a lot of learning to become a business owner. Ensure you are mentally ready to give all of this and more to your new project before you start.
How to Start Your HVAC Business
Do a lot of research. Talk to HVAC company owners, read articles online, and be willing to spend some time thinking about the specifics of your plan. The more time you spend in this research, the more prepared you will be to start checking off your task list and get your HVAC business rolling.
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